Far Eastern International Bank · TWSE:2845
Far Eastern International Bank — Q3 2022 Earnings Presentation
21 slides from Far Eastern International Bank's earnings presentation, Nov 10, 2022
Slide 1: Investor Conference 3Q'2022
Investor Conference 3Q’2022 11/10’2022
Slide 2: Far Eastern Group
Far Eastern Group Established in 1937 Span over 10 major industries 9 public listed companies in Taiwan and HK Total Asset of NT$3,125 Bn. (3Q’22) Petrochemical & energy Polyester & synthetic fiber Cement & building material Retail & department store Financial services – 11 companies in oper
Slide 3: Contents
Contents Financial Highlights Key Strategies 3
Slide 4: Assets & Net worth
Assets & Net worth Assets Net Worth (NT$Bn) (NT$Bn) YoY YoY YoY YoY +6.8% +2.0% +6.1% +6.3% 752 52 723 704 50 680 36 38 49 0 49 -2 36 51 34 43 1 0 40 53 14 13 14 13 214 228 190 221 40 457 35 36 36 383 407 427 2020 YE’20 2021 YE’21 9/30'21 9/30'22 2020 YE’20 2021 YE’21 9/30'21 9/30'22 Loan In
Slide 5: Loans & Deposit
Loans & Deposit Gross Loan Deposit (NT$Bn) (NT$Bn) YoY +6.8% YoY YoY YoY +5.2% +4.2% +6.2% 463 433 612 619 582 594 413 95 80 389 93 79 82 74 60 93 67 55 88 56 145 144 214 144 202 206 208 143 61 55 50 61 50 46 37 45 250 260 249 264 81 95 100 70 2020 YE’20 2021 YE’21 9/30'21 9/30'22 2020 YE’20 202
Slide 6: Liquidity
Liquidity Demand Deposit ratio Gross loan-to-deposit ratio 38.68% 37.02% 35.44% 33.65% 74.81% 72.96% 72.99% 70.18% 70.19% 70.70% YE'20 9/30'21 YE'21 9/30'22 67.49% Liquidity coverage ratio 66.81% 142.42% 142.22% 125.50% YE'20 9/30'21 YE'21 9/30'22 114.63% By balance By average balance YE'2
Slide 7: Asset Quality
Asset Quality NPL Ratio NPL Coverage Ratio Loan Coverage Ratio (8/31’22) 0.51% 844% 1.46% 773% 701% 0.35% 621% 1.38% 0.25% 0.27% 1.35% (8/31’22) 538% 496% 1.37% 1.33% 0.22% 0.19% 0.18% 377% 1.32% 0.16% 286% 1.32% 1.31% (8/31’22) YE'20 9/30'21 YE'21 09/30'22 Dec'20 9/30'21 Dec'21 09/30'22 Dec'2
Slide 8: Revenue & Profit before provision
Revenue & Profit before provision Revenue PPOP (NT$Bn) (NT$Bn) YoY -3.8% YoY YoY -0.2% -5.4% YoY 11.2 0.3 10.8 4.4 -2.0% 0.1 8.4 4.1 1.4 1.1 8.4 0.3 0.3 3.4 3.3 0.9 0.8 3.5 3.0 2.4 2.1 (15.1%) 6.0 6.6 5.3 +9.5% 4.8 2020 2021 Y-T-Sep'21 Y-T-Sep'22 2020 2021 3Q'21 Y-T-Sep’21 3Q'22 Y-T-Sep’22 NII
Slide 9: Interest Margin & Fee Income
Interest Margin & Fee Income Interest Margin Fee Income (NT$Bn) 1.39% 1.37% 1.41% YoY L-D Spread 1.36% 3.5 -15.2% YoY 1.04% 1.04% 3.0 NIS 1.02% 1.01% -15.1% 0.9 2.4 0.7 2.1 0.4 0.6 +33.9% 1.10% 1.17% 1.16% 1.12% 2.6 Loan Yield* 2.3 2.0 1.02% 1.02% 1.5 (26.2%) NIM 1.01% 1.01% 2020 2021 3Q'21 Y-T-
Slide 10: Provision & Income before tax
Provision & Income before tax Provision Cost IBT (NT$Bn) (NT$Bn) YoY YoY YoY YoY -44.5% -53.8% +14.4% +15.9% 3.3 2.9 2.9 2.5 Net 1.5 1.9 Net Net Net 0.8 0.9 1.1 0.4 1.2 0.8 0.4 0.4 0.4 0.2 2020 2021 3Q'21 Y-T-Sep’21 Y-T-Sep’22 3Q'22 2020 2021 3Q'21 Y-T-Sep’21 3Q'22 Y-T-Sep’22 Gross Provision c
Slide 11: Net Profitability
Net Profitability ROA (before tax) ROE (before tax) (Y-T-Aug’22) 0.63%* 0.66%* (Y-T-Aug’22) 0.59% 0.59% 9.56%* 8.65%* 8.08% 0.52%* 7.75% 0.48%* 0.47% 7.59%* 0.43% 6.71% 6.80%* 6.02% 2020 3Q'21 Y-T-Sep’21 2021 3Q'22 Y-T-Sep’22 2020 3Q'21 Y-T-Sep’21 Y-T-Sep’21 2021 3Q'22 Y-T-Sep’22 Industry FE
Slide 12: Capital Adequacy
Capital Adequacy CET1 (unconsolidated) BIS (unconsolidated) (NT$Bn) 20% 600 14.10% 13.54% 13.95% 13.49% 489 441 500 15% 408 429 400 10% 300 11.03% 10.47% 10.87% 10.38% 200 11.49% 10.89% 11.30% 10.98% 5% 49 52 100 45 47 0% 0 YE'20 9/30'21 YE'21 9/30'22 YE'20 9/30'21 YE'21 9/30'22 CET1 Risk As
Slide 13: 2022 Fitch Interim Report
2022 Fitch Interim Report FEIB’s ratings (09/30’22): Rating are supported: Viability Rating bbb Moderate risk appetite Adequate loss absorption buffer Foreign LT IDR BBB Expected stable asset quality, for: Foreign ST IDR F3 Taiwan’s economic resilience Taiwan’s stable housing market Na
Slide 14: Contents
Contents Financial Highlights Key Strategies 14
Slide 15: Strengthen risk management
Strengthen risk management Local lending Offshore lending Tightening lending terms by Diversifying exposure, following regulation by adjusting country risk requirement limit Strengthening target market Tightening target market criteria selection, for trusted Enhancing collateral owners
Slide 16: ESG Strategies
ESG Strategies FEIB 30 + ESG 30 ENVIRONMENT ISO 14001 Environmental Management Systems Solar panels installation SOCIAL Society engagement A specialized & full time ESG Task team Sustainable GOVERNANCE finance execution 16
Slide 17: Digital Banking
Digital Banking Bankee (As at Sep.’22) Customers #: Online B2B 161,530 consumer loan Deposit : application - credit data NT$ 8.7Bn. automation Metaverse experience Online transfer 3-in-1 securities a/c setup at account convenience store - eID verification via (As at Sep.’22) Off - co
Slide 18: Contents Appendix
& i WO GO BT Far Eastern Intl Bank Contents
Slide 19: Key Financials
Key Financials (NT$ m, except percentages and per share data) As of or for 12 months ended (Consolidated) December 31 2020 2021 3Q'21 3Q'22 YoY Key balance sheet items Gross loans 388,857 412,872 433,101 462,669 6.8% Total assets 680,291 723,055 704,149 751,866 6.8% Deposits and remittances 582,153
Slide 20: Thank You
& PEC LiLes i Far Eastern Int'l Bank THANK YOU
Slide 21: Disclaimer
Disclaimer This presentation has been prepared by Far Eastern International Bank (the “Company”). This presentation and the materials provided herewith do not constitute an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company in any jurisdiction or an in
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