Bank Of The Ryukyus,limited · TSE:8399
Bank Of The Ryukyus,limited — FY2017 Earnings Presentation
20 slides from Bank Of The Ryukyus,limited's earnings presentation, Jul 6, 2018
Slide 1: Bank of the Ryukyus Management Briefing for FY2017
Bank of the Ryukyus Management Briefing for FY2017 “Oka” (Sparkling Cherry Blossoms), by Chiaki Zaha Winner of the 26th (fiscal 2017) Bingata Design Contest presented by the Bank of the Ryukyus
Slide 2: Economic Overview of Okinawa Prefecture
Economic Overview of Okinawa Prefecture The prefectural economy is expected to continue expanding. Employment shows signs of improvement. Changes in Tourist Numbers and Revenue Changes in Okinawa’s Future Population and Households (Thousands Visitors from overseas (Billions (Thousands Total populati
Slide 3: Financial Industry Trends
Financial Industry Trends Financial industry conditions remain severe, but will be overcome with diversification of earnings Worsening 80 listed regional banks and financial groups January 29, 2016: environment for 8.4% decrease in FY 2017 BOJ adopts negative operation of consolidated net income (Yo
Slide 4: Financial Summary: Net Income
Financial Summary (Consolidated/Non-consolidated): Net Income Highest ever non-consolidated profit. 2nd highest net income for consolidated (Billions Non-consolidated (bank’s net income of yen) Factors Behind the YOY Change in Consolidated (Net income for the period attributable to the owners of par
Slide 5: Net Cost of Credit / Disclosed Claims
Net Cost of Credit / Disclosed Claims Downward trend for net cost of credit and disclosed claims Changes in Net Cost of Credit Changes in Disclosed Claims Gain on amortized loans Total Other amounts Claims in bankruptcy (Billions (Billions Loans in danger of default Loan amortization of yen) of yen)
Slide 6: Securities
Securities Decreasing balance due to redemption of government bonds, but earnings are increasing via diversification of operations Changes in the Balance of Securities Changes in Marketable Securities Income Government bonds and Expenditures Local government bonds Balance of 3 share accounts (Billio
Slide 7: Factors for Gains/Losses for Income on Services for Clients
Factors for Gains/Losses for Income on Services for Clients Bottoming out occurs after introduction of negative interest Changes in Income on Services for Clients Factors Behind YOY Change Service revenue Deposit and loan income and expenditure (Billions (Millions (Billions Expenses of yen) of yen)
Slide 8: Deposits and loans
Deposits and loans Steadily increasing deposits and loans balances but yield on investments is falling Changes in Loans Changes in Deposits (Billions (Billions Syndicated loans Public interest, other of yen) of yen) Local public authorities and other (excluding syndicated loans) Corporations (Billio
Slide 9: Service revenue
Service revenue Diversification of earnings sources to increase commission income Steady increase in (Millions of yen) Changes in Service Revenue new commission income (excluding Creditor Group Insurance Premiums and Loan Guarantee Fees) 5,277 190 Service fees for corporations 5,000 4,849 4,893 90 4
Slide 10: Corporate Business Strategy
Corporate Business Strategy Seeking to cultivate new business fields in addition to the lending business Okinawa STARTUP PROGRAM Corporate Services Commission Income Ratio This program will create and develop innovative and competitive venture companies (start-ups) from Okinawa using the networks
Slide 11: Diversify Fee Business for Individuals
Diversify Fee Business for Individuals Pioneering efforts among regional banks in Japan Started the “Ryugin Card Merchant Service” under both international brands of VISA and MasterCard TOPICS (Agreements) Changes in the Number of Credit Card Jan 2017 Start of credit card merchant management (acqu
Slide 12: Assets in Custody
Assets in Custody Higher balance overall thanks to increase in sales of single-premium insurance and investment trusts, offsetting a decline in government bonds Changes in Assets in Custody Balance (Billions Changes in Sales of Assets in Custody of yen) Single-premium insurance (Billions Single-prem
Slide 13: Branch Strategies
Branch Strategies Develop branches where customers can feel relaxed and at home Oct 2017 Gushikawa Branch received Mar 2018 Makiminato Branch shifted to the new Makiminato Loan Center + (Plus) 12
Slide 14: Expenses
Expenses Personnel expenses, non-personnel expenses, and taxes remained roughly the same Changes in Expenses Changes in Non-personnel Expenses Breakdown (Billions Personnel expenses Equipment and system costs Outsourcing fees of yen) Services outsourcing fee SG&A expenses Non-personnel expenses Depo
Slide 15: Personnel System Innovations
Personnel System Innovations Initiative to improve motivation and productivity of each employee Abolition of the position age limit system Results for mid-career employment Major improvement in compensation for (Cases) 10 those aged 55 to 60. 8 8 8 Abolished system lowering pay of clerks at 55 and
Slide 16: Events to Celebrate Our 70th Anniversary
Events to Celebrate Our 70th Anniversary The Bank of the Ryukyus celebrated its 70th anniversary on May 1, 2018, thanking its customers for all their support Aid to Aid to students traditional studying culture abroad Aiding allowance-based study at high schools or Intend to start new programs to aid
Slide 17: Capital Adequacy Ratio
Capital Adequacy Ratio The capital adequacy ratio rose due to a buildup in profit Changes in Capital Adequacy Ratio Changes in Risk Assets Regulatory capital (Billions of yen) (Billions Capital adequacy ratio (right scale: non-consolidated) of yen) Capital adequacy ratio (right scale: consolidated)
Slide 18: Earnings Forecasts for the Midterm Period
Earnings Forecasts for the Midterm Period Aim to secure steady earnings by strengthening services revenue (Billions of yen) Changes in Income on Services for Clients 8 Medium-term Management Plan Period 6 5.3 5.5 5.3 4 3.3 3.3 2.9 3.3 2 0 End Mar. ‘14 End Mar. ‘15 End Mar. ‘16 End Mar. ‘17 End Mar.
Slide 19: Thank you for supporting the Bank of the Ryukyus
Thank you for supporting the Bank of the Ryukyus 18
Slide 20: About This Presentation
About This Presentation All enquiries regarding this presentation should be addressed to: General Planning Department Bank of the Ryukyus, Limited Tel : +81-98-860-3787 Fax : +81-98-862-3672 e-mail : ryugin@ryugin.co.jp The information in this presentation is on a non-consolidated basis unless other