CIMB GROUP HOLDINGS BERHAD FULL YEAR 2009 RESULTS Analyst - PowerPoint PPT Presentation

CIMB GROUP HOLDINGS BERHAD FULL YEAR 2009 RESULTS Analyst Presentation 23 February 2010

Agenda 1) Summary 2) CIMB Group FY09 Financials 3) Malaysian Consumer Bank 4) Treasury & Investment Banking 5) Asset Management & Insurance 6) CIMB Niaga 7) CIMB Thai 8) Other Highlights 9) Closing Remarks 2

CIMB GROUP : FY09 RESULTS SUMMARY

Key Messages • 4Q net profit at RM803 mil, up 10.5% QoQ and up 151.7% YoY • FY09 net profit at RM2,807 mil, up 43.8% YoY • FY09 ROE at 15.0% against target of 12.5% and revised target of 14-15% • FY09 net dividend of 18.5 sen per share as per target • We met/exceeded all key KPI targets for 2009 • Strong financial outperformance by Treasury and CIMB Niaga • Substantial progress in building foundations of regional bank • Excellent market share and awards showing • In anticipation of FRS 139 (1Q10), GP reversals and additional SPs made in 4Q09 • In anticipation of FRS 139 (1Q10) and Basel II (2H10), CIMB Bank (Basel I) RWCR >15% • FY10 ROE target set at 16% • Proposed 1:1 bonus issue 4

Group’s Key Highlights of 2009 Strategic Consumer Banking CIMB Express • Singapore retail banking • Recognised as a regional banking stock • Completed CIMB Thai acquisition and launched transformation • Regionalised CIMB Preferred and cards • Niaga-Lippo systems integration completed • Transformation II at Msian consumer bank – BRP III, 1View • Vietnam stockbroking JV and Bank of Yingkou acquisition • 1Platform project • Completed regional brand harmonisation • Structured products in THB • Launched Mikro Laju in Indonesia • RAM rated CIMB Bank AAA, Fitch rated CIMB Thai A+, CIMB Niaga AA+ • 505 CIMB Niaga branches now able to offer Shariah • Plan for SET listing products Investment Banking Others • Largest ever SEA IPO for Maxis • Emerged as 2nd largest Islamic bank by assets in Malaysia • Largest Asia-ex Japan corporate bond for Petronas • ADB-IDB Islamic Infrastructure Fund • Largest IPO in Indonesia for BTN • Sale of properties • No. 1 in ASEAN domestic currency bonds • Indonesia insurance JV with SunLife • Regional client management framework • Corporatisation of SEASAM • Capital management initiatives 5

CIMB GROUP : FY09 RESULTS CIMB GROUP FY09 FINANCIALS

Earnings Summary (RM ’mil) 4Q09 3Q09 Q-o-Q FY09 FY08 Y-o-Y Net interest income 1,569 1,595 (1.6%) 6,069 4,661 30.2% Non interest income 1,211 1,192 1.6% 4,601 3,080 49.4% Operating income 2,780 2,787 (0.3%) 10,670 7,741 37.8% Loan provisions (203) (246) (17.5%) (1,023) (795) 28.7% - Specific (244) (190) 28.4% (915) (544) 68.2% - General 41 (56) >100% (108) (251) (57.0%) Other provisions 48 (122) >100% (151) (66) 128.8% Overhead expenses (1,538) (1,439) 6.9% (5,718) (4,122) 38.7% Share of JV / Associates 7 21 (66.7%) 34 (42) >100% PBT 1,094 1,001 9.3% 3,812 2,716 40.4% Net profit 803 727 10.5% 2,807 1,952 43.8% EPS (sen) 22.7 20.6 10.2% 79.5 57.8 37.5% ROE 16.2% 15.4% 5.2% 15.0% 11.9% 26.1% 7

Quarterly Earnings Trend Quarterly Earnings Trend 2,787 2,780 2,589 2,514 2,158 2,017 16.6% 1,980 16.2% 1,882 15.4% 15.1% 14.4% 1,683 13.6% 12.7% 11.4% 1,094 7.7% 1,001 947 879 839 803 739 749 727 650 663 614 572 535 486 448 448 319 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 Operating income* PBT* Net profit* ROE** Notes: 8 * Amounts denoted in RM ’mil ** Annualised quarter (respectively)

Contribution by Entity 4Q09 3Q09 FY09 FY08 Legal Entity RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT CIMB Bank 331 30% 526 53% 2,078 55% 1,995 74% CIMB Niaga 229 21% 253 25% 787 21% 302 11% CIMB Thai 26 2% 50 5% 47 1% (41) (1%) CIMB Labuan 77 7% 52 5% 248 7% 49 2% CIMB Islamic 49 4% 47 5% 171 5% 98 4% CIMB Investment Bank 151 14% 12 1% 208 5% 150 6% CIMB-GK 29 3% 51 5% 55 1% (18) (1%) Others * 202 19% 10 1% 218 5% 140 5% PBT 1,094 100% 1,001 100% 3,812 100% 2,716 100% Note: 9 * Asset Management, Group Insurance, CIMBG level and consol adjustment

Contribution by Geography 4Q09 3Q09 Thailand Others Thailand Others 3% 3% 5% 6% Indonesia Indonesia 20% 25% Malaysia Malaysia 67% 71% FY09 FY08 Others Thailand Others Thailand 5% 1% 1% -1% Indonesia 11% Indonesia 20% Malaysia Malaysia 89% 74% 10

Revenue By Segments (RM ’mil) 4Q09 3Q09 Q-o-Q FY09 FY08 Y-o-Y Consumer Banking 934 899 3.9% 6.5% 3,590 3,372 Corporate & Investment Banking 555 393 41.2% 2.8% 1,697 1,650 Treasury & Investments 294 451 (34.8%) 37.1% 1,680 1,225 GAM & Insurance 65 92 (29.3%) 92.0% 311 162 CIMB Niaga 775 740 4.7% 101.8% 2,688 1,332 CIMB Thai 157 212 (25.9%) 100.0% 704 - Total income 2,780 2,787 (0.3%) 37.8% 10,670 7,741 Loan provisions (203) (246) (17.5%) (1,023) (795) 28.7% - Specific (244) (190) 28.4% (915) (544) 68.2% - General 41 (56) >100% (108) (251) (57.0%) (66) Other provisions (incl. impairment) 48 (122) >100% (151) 128.8% (1,538) (1,439) 6.9% 38.7% Overhead expenses (5,718) (4,122) Share of JV / Associates 7 21 (66.7%) 34 (42) >100% PBT 1,094 1,001 9.3% 40.4% 3,812 2,716 Net profit 803 727 10.5% 43.8% 2,807 1,952 11

Estimated PBT By Segment 4Q09 3Q09 Q-o-Q FY09 FY08 Y-o-Y PBT (after Head Office cost allocation) RM ’mil RM ’mil % RM ’mil RM ’mil % Consumer Banking - Good Bank 244 122 100.0% 612 419 46.1% 42 24 75.0% 80 267 (70.0%) - Bad Bank 286 146 95.9% 692 686 0.9% Corporate & Investment Banking 248 146 69.9% 691 867 (20.3%) Treasury & Investments 299 366 (18.3%) 1,475 952 54.9% GAM & Insurance 6 40 (85.0%) 120 (50) >100% CIMB Niaga 229 253 (9.5%) 787 302 160.6% CIMB Thai (after GAAP adjustments) 26 50 (48.0%) 47 (41) >100% PBT 1,094 1,001 9.3% 3,812 2,716 40.4% Net profit 803 727 10.5% 2,807 1,952 43.8% 12

Estimated PBT By Segment 4Q09 3Q09 Consumer CIMB Thai CIMB Thai Banking 2% 5% 15% CIMB Niaga Consumer Banking 21% 26% CIMB Niaga 25% Corporate & Inv GAM & Insurance Banking 1% 15% GAM & Treasury & Insurance Investments Treasury & Corporate & Inv 4% 36% Investments Banking 27% 23% FY09 FY08 Consumer CIMB Thai CIMB Niaga Banking 1% Consumer 11% CIMB Niaga 25% Banking 21% 18% Treasury & GAM & Investments Insurance 35% Corporate & Corporate & 3% Inv Banking Inv Banking 18% 32% Treasury & Investments GAM & 39% CIMB Thai Insurance -1% -2% 13

Consolidated Balance Sheet Changes (RM ‘mil) 31st Dec 09 30th Sept 09 31st Dec 08 Q-o-Q Y-o-Y Cash & short term funds 28,729 20,473 24,409 40% 18% Securities purchased under resale agreements 4,545 4,090 3,311 11% 37% Deposits & placements with financial institutions 2,383 7,582 4,063 (69%) (41%) Securities held for trading 14,999 11,817 10,423 27% 44% – Money Market 11,647 8,378 8,319 39% 40% – Corporate bonds 2,679 2,711 1,942 (1%) 38% – Equity 621 576 162 8% 283% – CIMB Thai 52 152 - (66%) 100% Securities available for sale 11,001 11,710 11,608 (6%) (5%) Securities held to maturity 14,267 13,782 11,921 4% 20% Loans, advances & financing 142,218 136,467 117,382 4% 21% Other assets 22,296 22,971 23,974 (3%) (7%) Total assets 240,438 228,892 207,091 5% 16% 8% 22% 178,882 166,155 146,890 Deposits from customers (26%) (26%) Deposits & placements of banks and other FI 10,132 13,720 13,653 Obligations on securities sold under REPOs 565 - 63 100% 797% Other borrowings 10,445 10,668 10,397 (2%) 0% Other liabilities 17,768 17,248 17,275 3% 3% Total liabilities 217,792 207,791 188,278 5% 16% Shareholders’ funds 20,345 19,388 17,099 5% 19% Total liabilities & equity 240,438 228,892 207,091 5% 16% 14

15 Dec-09 518.2 Sep-09 545.6 Jun-09 459.1 Mar-09 370.0 AFS MTM Position Dec-08 370.0 (RM ’mil)

Key Ratios (%) 4Q09 3Q09 FY09 FY08 NIM 2.69 2.72 2.64 2.30 Fee income / total income 19.7 13.3 15.9 18.3 Non-interest income/ total income 43.6 42.8 43.1 39.8 Cost / income 55.3 51.6 53.6 53.2 Loan loss coverage 90.8 86.7 90.8 88.1 Loan loss charge 0.14 0.17 0.69 0.65 Gross NPL ratio 5.0 5.5 5.0 4.9 Net NPL ratio 2.0 2.4 2.0 2.3 CIMB Bank* 1.2 2.2 1.2 2.5 CIMB Niaga 1.0 1.8 1.0 1.4 CIMB Thai 7.1 8.6 7.1 4.9 Average shareholders’ funds (RM’mil) 19,853 18,822 18,722 16,405 Book Value per share (RM) 5.76 5.49 5.76 4.85 Note: 16 * CIMB Bank Group excl. CIMB Thai

Gross Loans Growth 31st Dec 09 30th Sept 09 31st Dec 08 Products / Divisions Y-o-Y growth (RM ’bil) (RM ’bil) (RM ’bil) 21.5% Consumer Banking 70.2 67.5 62.0 13.2% RM148.9 bil Mortgages 29.0 27.5 24.2 20.1% RM122.5 HP 11.3 11.2 11.0* 3.4% bil OD and TL 11.4 10.7 9.2 23.3% Credit cards 3.0 2.8 2.7 13.7% Dec 08 Dec 09 CIMB Xpress 1.6 1.4 0.8 83.2% Business 13.0 13.2 13.9 (6.5%) Others 0.9 0.8 0.2 244.3% Corporate & Loans Growth 38.9 40.3 36.5 5.5% Investment YTD 21.5% CIMB Niaga 30.8 26.8 23.8 29.4% YTD, excluding 14.2% CIMB Thai CIMB Thai 8.9 8.5 - n.a Note: 17 * Excluding of Loans sold to Cagamas