Compagnie Financiere Tradition Sa · SIX:CFT
Compagnie Financiere Tradition Sa — FY2014 Earnings Presentation
15 slides from Compagnie Financiere Tradition Sa's earnings presentation, Mar 13, 2015
Slide 1: FY 2014 results presentation
Compagnie Financière Tradition FY 2014 results presentation Zurich 13 March 2015
Slide 2: Early signs of revenue stabilisation
Early signs of revenue stabilisation Underlying operating profit up 15.1% to CHF 67.9m Results at a glance FY 2014 Performance M CHF • Improved market share despite revenue down 3.5% in (Variation at constant rates) constant currencies 837.5 -7.8 Revenue -3.5% 874.4 % • Signs of stabilisation; still
Slide 3: The compounded impact of post-Lehman new regulations
The compounded impact of post-Lehman new regulations A new reality for IDB’s core clients forcing them to develop a new vision Basle 3 Minimise use of capital What it means for the =>Reduced risk appetite IDBs =>Shrinking inventories Optimise cash/collateral =>Focus on ROE by business line • Continu
Slide 4: In the new SEF landscape, IDBs are key contenders
In the new SEF landscape, IDBs are key contenders 3'500 Credit Volume by week 3'000 In billions notional USD* FX 2'500 Interest Rate Convergence D D between C D C 2'000 D D2D and D2C C D C 1'500 IDB embedded D 1'000 D DD in the spirit C C 500 of Dodd-Frank 0 Ave 21-Apr 6-Oct 10-Feb 24-Feb 2-Jun 22-S
Slide 5: Ongoing investments in distinctive technology
Ongoing investments in distinctive technology Award-winning platforms with Trad-X and ParFX • Ensure that its services are provided as cost effectively as possible • Deliver electronic or hybrid capablity • Modes of intermediation: Voice / Electronic/ Hybrid across all relevant products • Focus on d
Slide 6: Successfully launched new electronic initiatives
Successfully launched new electronic initiatives Increased number of market participants •Pioneer and global market leader in FX options in partnership with Volbroker consortium •CLOB, RFQ, Auction, Hybrid •New developments include •Logical trading arenas allowing ON/OFF SEF price segregation as wel
Slide 7: Revenue overview
Revenue overview Improving market share despite reduction in IDB revenue Group half-year revenue Half-year revenue by business M CHF M CHF IDB (H2/H2 variation at constant rates) Joint ventures H1 2013 Subsidiaries H2 2013 Non-IDB +2.5% H1 2014 34.9 496.6 H2 2014 26.9 444.4 432.4 +15.5% 30.1 414.5 2
Slide 8: Revenue by region
Revenue by region Strategic positioning through diversified geographical presence Europe: Americas: UK, France, Belgium, Germany, Italy, USA, Argentina, Chile, Colombia, Mexico, Luxembourg, Russia, Spain (Minority), Brazil (Minority) Switzerland Revenue in mCHF Middle East / Africa: (H2/H2 variation
Slide 9: Revenue by product
Revenue by product Overall reduction in all asset classes with mixed regional evolution IDB revenue by product IDB Revenue trend M CHF (variation at constant rates) 250 (H2/H2 variation at constant rates) M CHF +4.6% -0.4% -5.8% -4.7% 200 911.0 H1 2013 876.8 +0.3% H2 2013 H1 2014 FY 2013 Rates Secur
Slide 10: IDB underlying operating margin up to 7.6% from 6.4%
IDB underlying operating margin up to 7.6% from 6.4% Continued focus on costs reduction with above CHF 180m since 2012 Underlying operating profit IDB Headcount trend margin Exceptional items Non IDB IDB 2’476 Support Front office staff M CHF 2’297 2’229 2’125 9.1% 5.7 7.9% 7.3% 1.1 1'765 1.0 1'622
Slide 11: Net profit – Group share of CHF 27.7m
Net profit – Group share of CHF 27.7m Impact from net financial result Reported operating profit M CHF FY 2014 FY 2013 Var cst. Var cur. Underlying adjusted operating profit 67.9 60.0 +15.1% +13.2% Amortisation of intangibles -0.5 -3.2 Net exceptional expenses -18.7 -13.7 Exceptional income +1.1 - A
Slide 12: Consistent focus on sound balance sheet and capital position
Consistent focus on sound balance sheet and capital position Consolidated equity – Group share increase to CHF 341.7m Assets Liabilities M CHF 31.12.14 31.12.13 M CHF 31.12.14 31.12.13 Property, Plant & Equipment 17.7 20.5 Capital 16.8 16.8 Intangible assets 48.0 48.6 Share premium 27.8 44.2 Investm
Slide 13: Net cash position
Net cash position Improved adjusted operating cash flows to CHF 67.2m Net cash position trend Net adjusted cash flows trend* 100 M CHF Financial debts* Unavailable cash, non-current M CHF 400 Other liquid assets (AFS) Cash and cash equivalents 80 11 166 106 60 300 35 101 26 22 15 15 29 40 200 19 16
Slide 14: Shareholders’ equity and capital structure
Shareholders’ equity and capital structure Significantly differentiates the Group from its competitors Shareholders’ equity trend M CHF 400 Total Group share 300 200 100 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011* 2012* 2013 2014 *Restated for IFRS 11 and IAS 19R Sh
Slide 15: Outlook
Outlook • Leverage on key electronic initiatives to deploy the Group’s electronic strategy • Continue to reduce costs while maintaining investments in technology • Consider growth opportunities arising from regulatory evolution • Maintain consistent focus on sound balance sheet and capital position
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