SBI Shinsei Bank, Limited · TSE:8303
SBI Shinsei Bank — Shinsei Bank — Shareholder Meeting (June 2014)
16 slides from SBI Shinsei Bank's shareholder meeting presentation, Jun 18, 2014
Slide 1: 14th Annual General Meeting of Shareholders
[TRANSLATION] The Bank assumes no responsibility for this translation or for direct, indirect or any other form of damages arising for the translation. 14th Annual General Meeting of Shareholders Shinsei Bank, Limited June 18, 2014
Slide 2: Fiscal Year 2013 Financial Results
Fiscal Year 2013 Financial Results 2
Slide 3: FY2013 Consolidated Financial Summary: Total Revenue
FY2013 Consolidated Financial Summary: Total Revenue grew due to expansion of customer base and promotion of initiatives in priority areas FY2012 FY2013 Net interest income, despite an improvement in interest JPY199.0 BN JPY 203.0 BN margin, declined vs. FY2012 as a result of an increase in the to
Slide 4: FY2013 Consolidated Financial Summary: Expenses
FY2013 Consolidated Financial Summary: Expenses increased due to increased investment of management resources in strategic areas, etc. FY2012 FY2013 Investment of management resources into strategic areas such as personnel and advertising undertaken in JPY 128.6 BN JPY 132.8 BN order to grow the c
Slide 5: FY2013 Consolidated Financial Summary: Net Credit Costs
FY2013 Consolidated Financial Summary: Large improvement in net credit costs FY2012 FY2013 Large improvement in net credit costs vs. previous period due to reversals of reserves for loan losses associated with NPL disposal at the Institutional Group and improvement in asset quality. JPY 5.5 BN JPY
Slide 6: FY2013 Consolidated Financial Summary: Other Losses
FY2013 Consolidated Financial Summary: Other losses increased due to additional provisioning of reserves for losses on interest repayment (grey zone) FY2012 FY2013 The necessary amount to cover future grey zone risk at consumer finance subsidiaries was recalculated based upon recent grey zone repa
Slide 7: FY2013 Consolidated Financial Summary: Net Income
FY2013 Consolidated Financial Summary: Net income in-the-black for 4 consecutive years since 2010 FY2012 FY2013 While net income was down vs. the previous period due to the additional provisioning of grey zone reserves, in-the- black net income has been recorded for 4 consecutive JPY 51.0 BN years
Slide 8: Assets
Assets: Asset balance has grown vs. previous period despite progression of NPL disposal March 2013 March 2014 While institutional lending has JPY9,321.1 BN JPY9,029.3 BN declined as the fiercely competitive environment continues and there was a Others reduction in the NPL balance as there were som
Slide 9: Liabilities
Liabilities: Deposits have a large contribution as a source of funding for Shinsei Bank March 2013 March 2014 Continuing to promote the JPY 8,598.5BN optimization of the funding JPY 8,345.6BN base, which is centered on deposits from retail banking customers Others Retail deposits account for app
Slide 10: Major Operating Assets: Housing and Unsecured Personal Loans
Major Operating Assets: Housing loans and Shinsei Bank Card Loan Lake leading growth Housing Loan Balance Unsecured Personal Loan Balance March 2013 March 2014 March 2013 March 2014 JPY 1,184.0BN Shinsei Bank JPY 1,091.6BN 64.6 BN Card 118.8 BN Loan Lake Shinsei 227.4 BN Financial 192.0 BN SHINKI 38
Slide 11: Major Operating Assets: Institutional and Real Estate Finance
Major Operating Assets: Reducing NPLs whilst increasing loan assets in strategic focus areas Institutional Business Loan Balance Real Estate Finance Balance(*) March 2013 March 2014 March 2013 March 2014 JPY 1,504.9 BN JPY 1,479.9 BN JPY 721.2 BN JPY 620.0 BN (*)Includes bonds, etc. 11
Slide 12: Grey Zone Interest Repayments
Grey Zone Interest Repayments: 15.6BN of additional grey zone reserves provisioned GE indemnity concluded on March 31, 2014 in lieu of 175.0BN payment Shinsei Financial SHINKI APLUS FINANCIAL FY2012 FY2013 FY2012 FY2013 FY2012 FY2013 JPY 21.3 BN JPY 17.2 BN* JPY 16.2 BN JPY 7.8 BN JPY 5.7 BN JPY 4.6
Slide 13: Asset Quality
Asset Quality: NPL ratio decreased due to NPL disposal Non-Performing Loans (NPL) Balance NPL Ratio and Coverage (Ratio) March 2013 March 2014 March 2013 March 2014 6% JPY 242.6 BN 5.32% 5% 232.7 BN JPY 164.7 BN (95.9%) 157.0 BN (95.3%) 4% 3.81 % 0% 3% Amount of NPL Under Financial Revitalization La
Slide 14: Capital
Capital: High core capital adequacy ratio achieved due to retention of earnings and reduction of risk weighted assets Capital Adequacy Related Information (Basel 3, Domestic Standard) JPY BN March 2014 Basic Items Related to Core Capital 889.5 Deductions Related to Core Capital (71.9) Total Core Cap
Slide 15: Dividend: Year-end Dividend JPY 1.00 per share
Dividend: Year-end Dividend JPY 1.00 per share 15
Slide 16: FY2014 Earnings Forecast
FY2014 Earnings Forecast: Consolidated Net Income: 55.0 billion yen Non-consolidated Net Income: 34.0 billion yen Fiscal Year-end Dividend: JPY 1.00 per share 16