Commonwealth Bank Of Australia · ASX:CBA
Commonwealth Bank Of Australia — H1 2015 Earnings Presentation
20 slides from Commonwealth Bank Of Australia's earnings presentation, Feb 11, 2015
Slide 1: Media Presentation for the Half Year Ended 31 December 2014
MEDIA PRESENTATION FOR THE HALF YEAR ENDED 31 DECEMBER 2014 For personal use only IAN NAREV Results Presentation CHIEF EXECUTIVE OFFICER For the half year ended 31 December 2009 10 February Commonwealth Bank of Australia ACN 123 123 124 2010 COMMONWEALTH BANK OF AUSTRALIA | ACN 123 123 124 | 11 FEBR
Slide 2: Disclaimer
Notes Disclaimer For personal use only The material that follows is a presentation of general background information about the Group’s activities current at the date of the presentation, 11 February 2015. It is information given in summary form and does not purport to be complete. It is not intended
Slide 3: Our Vision and Values
Our Vision and Values For personal use only Our Vision Our Values Integrity Have the courage to do and say what’s right To excel at securing and Collaboration Listen and work as one inclusive team enhancing the financial Excellence wellbeing of Do your best people, Accountability businesses and Take
Slide 4: Our strategy
Our strategy Customer Focus For personal use only People Productivity Technology Strength Capabilities “One CommBank” Growth Continued growth in business and institutional banking Opportunities Disciplined capability-led growth outside Australia TSR Outperformance 4
Slide 5: Continuing growth
Continuing growth For personal use only Dec 14 vs Dec 14 Dec 13 Statutory Profit ($m) 4,535 8% Cash NPAT ($m) 4,623 8% ROE – Cash (%) 18.6 (10) bpts Cash Earnings per Share ($) 2.84 8% Dividend per Share ($) 1.98 8% 5
Slide 6: Broad contributor to Australian wellbeing
Broad contributor to Australian wellbeing Operating For personal use only Income Loan impairment 1H15 Expenses Including ~5,000 Cost of lending across SME partners the economy and suppliers $0.4bn $2.0bn Tax expense $1.7bn Australia’s 3rd largest tax payer, equivalent to Salaries $2.9bn $1.6bn 4% of
Slide 7: All divisions contributing
All divisions contributing 1 Income 7% Cash NPAT 1H15 For personal use only Costs 2% C:I 160 bpts to 34.5% Income 6% Transaction Deposits 16% Business loans 5% C:I 120 bpts to 43.5% + 12% Costs 5% NIM lower (home loans) 1,992 Income 6% Lending 5% Avg Lending
Slide 8: Continuing volume growth
Continuing volume growth Household Deposits Home Lending Credit Cards For personal use only Balance Growth1 Balance Growth1 Balance Growth 1 Underweight in higher growth Existing customers represent segments – broker and ~90% of new RBS accounts 10.3% investment lending 9.1% 8.1% 6.8% 6.4% 5.8% 3.6%
Slide 9: Continued focus on the customer
Continued focus on the customer For personal use only 1 Retail Customer Satisfaction Area CBA 86% 5 CBA Business - Micro =1st 84% Peers 5 82% Business - Small =1st 80% 5 Business - Medium =1st 78% 5 76% Business - Large 1st 74% 6 Wealth 1st 72% 7 70% IFS 1st 68% 9 Jun 07 Dec 14 % Satisfied ('Very Sa
Slide 10: MFI share
MFI share 3 MFI share CBA MFI share by age 3 For personal use only % Overall 34.0% 34.0 45.8% Dec 14 32.7 42.7% 42.3% Dec 13 45.5% 41.6% 39.2% 20.0 20.0 MFI Share 29.9% 13.4 13.3 28.9% 28.1% 11.3 11.4 28.6% 28.5% 26.5% Dec Dec Dec Dec Dec Dec Dec Dec 13 14 13 14 13 14 13 14 14-17 18-24 25-34 35-49 5
Slide 11: Open Advice Review Program
Open Advice Review Program For personal use only Independent Reports program Expert outcomes publicly Independent Provides support Customer for customers Advocates Hon Ian Callinan AC Chairman Reviews Independent individual cases Review Panel Hon Geoffrey Davies AO Hon Julie Dodds-Streeton QC if req
Slide 12: Productivity improving service and efficiency
Productivity improving service and efficiency Improving service 1 Driving efficiency For personal use only Personal loans funded Cost-to-Income (%) same day 27% Asset Finance – Credit approval time 67% 43.8% Productivity saving Home insurance claims – $140m turnaround time 39% 42.9% Transaction Bank
Slide 13: Leading technology
Leading technology Digital property settlement Online & electronic origination For personal use only CBA First e-docs for new home loan customers CBA first bank to perform property – 75% take-up where offered purchase settlement on PEXA1 platform 10% of personal transaction accounts Digitisi
Slide 14: Leading technology: CommBank app
Leading technology CommBank app For personal use only #1 free financial app1 #1 in customer satisfaction2 ~3 million unique users 15 million log-ons per week $2.5bn in transactions per week Temporary lock Cancel and replace ■ Temporarily lock/unlock Oct 14 Oct 14 credit cards ■ Instantly c
Slide 15: Leading technology: Albert at the cricket
Leading technology “Albert” at the cricket For personal use only Albert, CBA’s revolutionary new EFTPOS tablet, helped the McGrath Foundation raise more than $100,000 during the January Pink Test in Sydney As well as accepting card payments, Albert also issued tax receipts for high value donatio
Slide 16: Leading technology: TYME
Leading technology Take Your Money Everywhere (“TYME”) For personal use only TYME machine for ultra low cost KYC in large retail stores In-built smartphone with locked apps Modular design allowing fingerprint or other biometric sensors Provides under-serviced customers access to regulated bank acc
Slide 17: Strength to support our customers
Strength to support our customers Deposit Funding Wholesale Funding Tenor For personal use only % of Total Funding Years Portfolio Tenor 1 3.9 63% 63% 63% 3.8 3.7 Dec 12 Dec 13 Dec 14 Dec 12 Dec 13 Dec 14 Liquids 2 Capital 2 Liquids ($bn) Basel III Common Equity Tier 1 13.3% 151 137 8.5% 9.2% 128 8.
Slide 18: Strength to support our community
Strength to support our community For personal use only We have reached our commitment to provide financial education to ‘One Million Kids’ $50m committed for financial education for next three years More than 250,000 students are active in our school banking program Our Indigenous Customer Assistan
Slide 19: Outlook
Outlook For personal use only On-going focus on long-term strategy to strengthen the franchise in an increasingly competitive environment Some signs of positive transition in Australian economy: reality ahead of sentiment But clear, long term policy needed to build confidence so as to sustain
Slide 20: Media Presentation for the Half Year Ended 31 December 2014
MEDIA PRESENTATION FOR THE HALF YEAR ENDED 31 DECEMBER 2014 For personal use only IAN NAREV Results Presentation CHIEF EXECUTIVE OFFICER For the half year ended 31 December 2009 10 February Commonwealth Bank of Australia ACN 123 123 124 2010 COMMONWEALTH BANK OF AUSTRALIA | ACN 123 123 124 | 11 FEBR
Commonwealth Bank of Australia — H1 2015 Earnings Presentation on 6ix