DBS Group Holdings Ltd · SGX:D05
DBS — Shareholder Meeting (March 2023)
25 slides from DBS's shareholder meeting presentation, Mar 31, 2023
Slide 1: Annual General Meeting 31 March 2023
ANNUAL GENERAL MEETING 31 MARCH 2023 1
Slide 2: Agenda
Agenda 1. 2022 Record Performance 2. 2023 Outlook 3. Superior Shareholder Returns from our Pervasive Transformation 4. A Force for Good 5. Senior Leadership Changes 2
Slide 3: 1. 2022 Record Performance
Agenda 1. 2022 Record Performance 3
Slide 4: Strong financial performance: Record year in 2022
Strong financial performance: Record year in 2022 ▪ Record full year total income of $16.5bn, net profit of $8.19bn and ROE of 15% ▪ Commercial book total income up 21%, Treasury Markets down 22% from exceptional levels ▪ CIR improved three percentage points to 43% FY2022 ($m) YoY ($m) YoY (%) Total
Slide 5: Key revenue drivers: Institutional Banking Group
Key revenue drivers: Institutional Banking Group ▪ A Full year total income up 28% to ($m) FY2022 FY2021 YoY (%) $7.69bn Total Income A 7,688 5,984 28 Loans and deposits 3,445 3,300 4 ▪ B Broad based growth led by cash Trade 764 757 1 management income, which more Cash / SFS B 2,499 1,002 >100 than
Slide 6: Key revenue drivers: Consumer Banking Group
Key revenue drivers: Consumer Banking Group ▪A Full year total income up 25% to ($m) FY2022 FY2021 YoY (%) $6.65bn from higher rates Total Income A 6,654 5,322 25 Loans and deposits B 3,999 2,263 77 ▪B Higher loan and deposit income from Investment products 1,815 2,221 (18) higher interest rates mor
Slide 7: Healthy balance sheet
Healthy balance sheet Asset quality NPL ratio: declined from 1.3% Improved asset quality as repayments and to 1.1% write-offs more than offset new NPA formation Allowance reserves Total allowance reserves of NPA coverage at 122% and 215% after $6.2bn, including $3.7bn of GP including collateral. Gen
Slide 8: Full-year dividend at $2.00 per share
Full-year dividend at $2.00 per share ▪ Full year dividend at $2.00 per share, 4Q dividend up to 42 cents per share with special dividend of 50 cents per share ▪ In line with policy of paying sustainable dividends that grow progressively with earnings ▪ Barring unforeseen circumstances, annualised d
Slide 9: 2. 2023 Outlook
Agenda 2. 2023 Outlook *DBS
Slide 10: Macro Outlook
Macro Outlook ▪ While uncertainties remain, macroeconomic conditions are improving - Expect interest rates to hold for the rest of the year - China’s reopening to benefit regional operating environment ▪ Potential tail risks: - Uncertain impact of high interest rates - Ongoing US-China geopolitical
Slide 11: Business Outlook
Business Outlook ▪ Peak group NIM guidance of 2.25% with 5-7bps downside risk due to outflows to T-bills, strengthening SGD and higher TM funding costs ▪ Full year guidance of mid-single digit loan growth, double digit fee income growth ▪ Cost growth guidance at 9-10%. Full year cost income ratio to
Slide 12: 3. Superior Shareholder Returns from our Pervasive Transformation
Agenda 3. Superior Shareholder Returns from our Pervasive Transformation 12
Slide 13: HBS studies DBS as a model for digital transformation
HBS studies DBS as a model for digital transformation Harvard Business School became the latest academic institution to capture DBS’ digital transformation journey in a case study “ …executives, Through my numerous conversations with the bank’s what came across very strongly were the digital and pur
Slide 14: Return on Equity in top decile of global peer group
10.0 15.0 20.0 25.0 0.0 5.0 Bk Montreal Banco do Brasil Itau Unibanco China Merchants TD QNB RBC DBS Bank of Jiangsu BNS Industrial SBI Banco Bilbao KBC Capital One JP Morgan world’s 100 largest banks CIBC Banco Bradesco CBA DNB PNC Llyods Nordia Bank Skandinaviska UBS Swedbank US Bancorp PSBC CCB v
Slide 15: Shares trading at high end of global peer group
0.0 0.5 1.0 1.5 2.0 2.5 CBA QNB RBC NAB TD MS SBI DBS US Bancorp JPM PNC KBC BMO Itau Unibanco Data as at 31 December 2022 DNB SEB UOB BNS Nordea China Merchants State Street Westpac Swedbank CIBC BOA OCBC GS ANZ vs. 1.04x in 2015 (rank #40) Svenska Truist BNY UBS Wells DBS 1.53x book in 2022 (rank
Slide 16: Top-in-class in shareholder returns
10.0 15.0 20.0 25.0 -5.0 -25.0 -20.0 -15.0 -10.0 5.0 0.0 Banco do Brasil MS SBI DBS Itau Unibanco China Merchants Hana JPM DNB BOA RBC GS TD UOB Data as at 31 December 2022 BMO PNC KB SEB CBA Sberbank Nordea Banco Bradesco OCBC NAB CIBC DBS, 4th among global peers QNB Resona BNS SMFG MUFJ Swedbank C
Slide 17: 4. A Force for Good
Agenda 4. A Force for Good *DBS 17
Slide 18: Entrenching DBS as a Force for Good
Entrenching DBS as a Force for Good At DBS, we have embedded environmental and social considerations into the fabric of our business via three sustainability pillars Responsible Responsible Impact Banking Business Practices beyond banking Published “Our Path to Net Zero – Achieved carbon neutrality
Slide 19: Our Path to Net Zero
Our Path to Net Zero First bank in Southeast Asia to announce landmark set of decarbonisation commitments to support our clients in their transition to a low-carbon economy ▪ Set up targets for nine sectors in global banking industry ▪ Covers the most carbon-intensive segments of DBS’ lending book a
Slide 20: Illustrating our decarbonisation approach
Illustrating our decarbonisation approach Leveraging Power and Steel sectors as examples ▪ Power is the primary sector that needs to decarbonise ahead of others IEA NZE ▪ A continual decarbonisation effort done through a DBS portfolio position in 2022 combination of a strong commitment to grow our B
Slide 21: Creating Impact beyond Banking
Creating Impact beyond Banking Driven by a deeply-rooted sense of purpose, we believe that we play an important role to support the needs of the society Helping customers Creating positive social Preparing communities navigate impact for the future rising living costs through volunteering Subsidizin
Slide 22: 5. Senior Leadership Changes
Agenda 5. Senior Leadership Changes 22
Slide 23: Growing our own timber
Growing our own timber Underscoring our commitment to groom talent from within, we announced several senior-level organisational changes Shee Tse Koon Han Kwee Juan Lim Him Chuan Sebastian Paredes Group Head of CBG / Singapore CEO Group Head of Head of Wealth Management Strategy & Planning North Asi
Slide 24: Expressing our gratitude
Expressing our gratitude Ho Tian Yee Sim S Lim Paulus Sutisna Neil Ge 24
Slide 25: Thank You
Thank You World’s Best Bank Cash Management Survey: Global Finance Global Best Service Euromoney 100 Best Workplace Model Risk Manager for Innovators of the Year Fast Company Celent Global Innovator #1 Digital Portal for Wealth Clients Qorus-Accenture Cutter Associates Digital Workplace of the Year:
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