National Bank Of Canada · TSX:NA

National Bank Of Canada — Q1 2006 Earnings Presentation

13 slides from National Bank Of Canada's earnings presentation, Mar 2, 2006

  1. Slide 1: Analyst and Investor Presentation: First Quarter 2006 Highlights

    Analyst and Investor Presentation Q1 2006 Results Conference Call Montreal, March 2, 2006 First Quarter 2006 - Highlights Delivering another good quarter ƒ Revenues reached an all time high of $1 billion ƒ Net income up at $217M (1) ƒ Earnings per share at $1.28, a 3% increase YoY(1) ƒ ROE at 20%, e

  2. Slide 2: 2006 Objectives and First Quarter 2006 Performance Snapshot

    2006 Objectives ƒ All 2006 objectives 2006 Objectives Q1 06 were met or surpassed in the first quarter with Growth in earnings per share (1) 5% to 10% 3% the exception of EPS Return on common shareholders' equity 16% to 18% 20% ƒ Q1 2005 delivered Equal or greater best ever EPS Tier 1 capital ratio

  3. Slide 3: Dividend Per Share and Revenues - Business Line Mix

    Dividend Per Share Quarterly Growth for shareholders 0.48 Quarterly dividend ƒ Up 9% from the 0.44 0.44 0.42 0.42 previous quarter at $0.48 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Annual Share Buy Back Program: $1.72 ƒ 1.8M shares repurchased for total $1.42 consideration of $106M $0.93 $1.08 in Q1 2006 $0.82

  4. Slide 4: Revenues and Personal and Commercial Banking Highlights

    Revenues Growth in all sectors TEB (millions of dollars) ƒ Reaching the $1B Personal and Commercial Banking Wealth Management revenue mark Financial Markets Other 1000 999 33 939 949 966 ƒ Wealth Management 272 245 228 235 277 continues its momentum bringing more diversity 192 207 199 205 214 in the

  5. Slide 5: P&C Revenue Composition and Volume Evolution

    P&C Revenue Composition Q1 2006 - YoY: TEB (millions of dollars) ƒ All sectors up 5% Retail Banking Credit cards Insurance Commercial except insurance at 528 529 11% 502 181 182 173 29 29 26 67 70 70 236 248 248 Q1 05 Q4 05 Q1 06 Q1 2006 Results Conference Call YOUR TRUSTED PARTNER today and tomorro

  6. Slide 6: P&C Loan Evolution and Margin Evolution

    P&C Loan Evolution Highlights - YoY: Quarterly average volume growth, Q1 2005 = 100 (millions of dollars) ƒ 24% increase in the Personal Mortgage Loans Pers. Loans excl. Indirect Loans consumer loans Credit Card Receivables Commercial Loans 130 ƒ Mortgage loans keep 24% 120 2005 momentum (up 6%) 9%

  7. Slide 7: Wealth Management Highlights and Revenue Composition

    Wealth Management – Highlights Q1 2006 - YoY: TEB (millions of dollars) ƒ 11% increase in Revenues Expenses Net Income revenues due mainly 38 to higher contribution from retail brokerage 26 26 ƒ 46% increase in net 214 192 205 income 151 160 155 ƒ Improved efficiency ratio due largely to greater eff

  8. Slide 8: Retail Assets Under Management and Financial Markets Highlights

    Retail Assets Under Management Composition Q1 2006 - YoY: TEB (billions of dollars) ƒ Overall, 12% increase Deposits Retail brokerage Mutual funds Discount brokerage Segregated and private inv. mgmt 90 94 ƒ Growth in all sub-sectors: 84 4 4 8 ƒ 8% Deposit 3 7 7 11 ƒ 10% Retail brokerage 11 9 ƒ 22% M

  9. Slide 9: Financial Markets Revenue Composition and Trading Revenue Breakdown

    Financial Markets Revenue Composition Q1 2006 - YoY: TEB (millions of dollars) ƒ The Financial Markets’ Trading Corp. banking ALM Capital markets Inv. gains Other diversified business mix continues to support 277 272 37 the revenue growth 28 235 20 35 42 7 ƒ Equity portfolio has 75 73 65 $82M of unr

  10. Slide 10: Global Portfolio Composition and Risk Provisioning

    Global Portfolio Composition Highlights: As at December 31, 2005 Outstanding ƒ Stable overall mix with Personal loans Corporate Banking Commercial Banking Mortgages Credit cards retail banking 3% representing 68% of portfolio 26% ƒ Close to 82% of retail 39% portfolio is secured 6% 26% Adjusted for

  11. Slide 11: Impaired Loans and Impaired Loan Formation

    Impaired Loans Highlights - YoY: (millions of dollars) ƒ 15% decrease in the Gross impaired loans Net impaired before general allowance gross impaired loans Net impaired loans Gross impaired/Common equity minus goodwill plus reserves ƒ Best ever ratio at 6.7% 8.2% 7.4% 7.0% 6.8% 6.7% 304 271 261 260

  12. Slide 12: Daily Trading P/L and Summary

    Daily Trading P/L – Q1 2006 (millions of Cdn dollars) 10 8 6 4 2 0 -2 -4 -6 Excludes underwriting Q1 2006 Results Conference Call YOUR TRUSTED PARTNER today and tomorrow 23 Summary Another good quarter ƒ Balanced contribution from all three sectors ƒ Provision for credit losses at $17M ƒ Pursuing ou

  13. Slide 13: Investor Relations Contact and Forward-Looking Statements Caution

    Investor Relations: 514-394-0296 www.bnc.ca/investorrelations investorrelations@nbc.ca CAUTION REGARDING FORWARD-LOOKING STATEMENTS From time to time, National Bank of Canada makes written and oral forward-looking statements, included in this Investor Presentation, in other filings with Canadian reg

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