United Overseas Bank Limited · SGX:U11
United Overseas Bank — H1 2015 Earnings Presentation
8 slides from United Overseas Bank's earnings presentation, Jul 31, 2015
Slide 1: UOB Group First Half 2015: Delivering on Our Core Banking Franchise
UOB Group First Half 2015 Delivering on Our Core Banking Franchise Wee Ee Cheong Deputy Chairman and Chief Executive Officer 31 July 2015 Disclaimer: This material that follows is a presentation of general background information about the Bank’s activities current at the date of the presentation. It
Slide 2: Continued Growth for Core Franchise
Continued Growth for Core Franchise Profit: S$1.6bn, -2.1%YoY in 1H 2015 mainly due to lower trading & investment income, higher expenses and normalised tax in 1H 2015 Core franchise continued to deliver, with higher net interest income and fee income Net interest income higher, with healthy l
Slide 3: Robust Balance Sheet
Robust Balance Sheet Portfolio resilient with stable Strengthening our Balance Sheet asset quality and adequate provisions Assets: Others 6% Inner circle: 2008 – NPL ratio stable at 1.2% Investments Outer circle: 1H15 4% – Strong NPL coverage of 144.1% Government – High general provisions-to-loans
Slide 4: Capitalising on Rising Intra-Regional Flows
Capitalising on Rising Intra-Regional Flows ■ Capture regional opportunities Growing Intra-Regional Wholesale Business arising from increased regional connectivity Intra-Regional Loan (S$) Breakdown by Origin Dec 2010 Jun 2015 ■ Continuing to invest in regional capabilities Greater Others Loans Grew
Slide 5: Strong Performance in Cash Management
Strong Performance in Cash Management Trade Loans Deposits ■ Trade loans declined in line with China’s slowing -17% CAGR CAGR +44% economy +58% 37% +10% 37% 36% ■ Emphasis on liability 42% 33% 33% 41% 33% 30% management 48% 63% 64% 63% demonstrated by strong 58% 70% 67% 67% 67% 52% 59% cash manageme
Slide 6: Tapping on Increasing Connectivity
Tapping on Increasing Connectivity Physical Connectivity Digital Connectivity China ASEAN-China 2013 Total trade: US$405bn 10-yr CAGR: 17% OBOR1: UOB present in >10 of the OBOR countries Myanmar Thailand AEC1: New growth catalyst Malaysia Singapore Indonesia Intra-ASEAN 2013 Total trade: US$609bn 10
Slide 7: Capturing Rising Asian Consumer Affluence
Capturing Rising Asian Consumer Affluence Wealth management’s1 Growing Regional Wealth Management Profit Contribution FY2010 – June 2015 performance: CAGR — AUM up from $48bn to $83bn +26% — Customer base grew from 30% 100,000 to 198,000 +16% 30% — Widened regional wealth Region 26% 27% 30% 32% ma
Slide 8: Looking Ahead
Looking Ahead Near-term uncertainties in external environment Nonetheless, long-term structural drivers for Asia remain intact Connectivity is the key to seizing growth opportunities Increased physical connectivity via initiatives such as the upcoming AEC and China’s ‘One Belt, One Road’ — P