How we did in 2000
This presentation is the property of its rightful owner.
Sponsored Links
1 / 42

How we did in 2000 PowerPoint PPT Presentation


  • 46 Views
  • Uploaded on
  • Presentation posted in: General

How we did in 2000. Tom Mulcahy Group Chief Executive. Group overview. Cash EPS (1) 104c up 1 5% Profit before tax (2) €1,251m, up 10.5% Return on equity (2) 21.6% Dividend up 15%. (1) before goodwill amortisation / exceptional item (2) before exceptional item. Group overview.

Download Presentation

How we did in 2000

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


How we did in 2000

How we did in 2000


How we did in 2000

  • Tom Mulcahy

    • Group Chief Executive


Group overview

Group overview

  • Cash EPS(1) 104c up 15%

    • Profit before tax(2) €1,251m, up 10.5%

      • Return on equity(2) 21.6%

        • Dividend up 15%

(1)before goodwill amortisation / exceptional item

(2)before exceptional item


Group overview1

Group overview

  • Customer driven earnings at highest level

    • Operating profit(2) up 14%

      • Other income / total income now 40%

        • Margins stabilising in Ireland

          • Allfirst increasing deposit market share

(2)before exceptional item


Where aib made its profit

Where AIB made its profit


Aib bank

AIB Bank

  • Profit up 19%

    Ireland

  • Power of the AIB brand

    • Demographics and product fit driving demand

      • Intense focus - operating efficiency- sales penetration


Aib bank1

AIB Bank

Britain / Northern Ireland

  • Branch deposit growth in Britain +23%

    • Other income up 19% in NI

      • Cost / income ratios improved

        • Well regarded business brand in Britain


Capital markets

Capital Markets

  • Underlying profit up > 20%

    • Leading equity fundraiser for technology sector

      • Significant growth in other income up >25%*

* underlying


Capital markets1

Capital Markets

  • Customer driven revenues predominate

    • Growth in custodial business, now €114bn

      • Developing capability in fund management for corporate debt / bonds


Usa division

USA Division

  • Profit up 10%

    • Strong growth in other income (up 29%)

      • Good cost control

        • Asset quality remains sound


Usa division1

USA Division

  • Committed to the USA market

    • Optimising Allfirst franchise

      • “Not for Profit” business remains exciting


Poland division

Poland Division

  • Profit up 40%

    • Buoyant non-interest income

      • Outlets +44 / ATMs +73

        • BZ NPL workout in progress


Poland division1

Poland Division

  • BZWBK - June 2001- 5th largest bank

    • Investment continues:- change management- integration process- branch expansion

      • Estimated savings - 18% by 2003


Ebusiness

eBusiness

  • Integrated multi-channel distribution is working

    • Online customers - retail220,000- business18,000

      • Containing costs andincreasing share of wallet

        • eEnablement for internal efficiency


Sustained performance profit before taxation

Sustained performanceProfit before taxation

€m


Sustained performance 1994 2000

ROE22.2%

EPS Growth17.3%

Dividend Growth17.7%

Sustained performance1994 - 2000


Aib today

AIB today

  • Sensible portfolio diversification

    • Strong retail / commercial customer ethos

      • Established corporate / management / employee values

        • Robust asset quality

“well positioned for the future”


How we did in 2000

  • Gary Kennedy

    • Group Financial Director


How we did in 2000

Performance by division

1999€m2000 Change%

587AIB Bank696 19

307USA337 10

151Capital Markets156 3

63Poland88 40

24Group (26)

1,132Group profit before tax1,25110.5

*

* excl. exceptional item


How we did in 2000

Profit and loss account

1999€m2000 Change %*

2,822Total operating income 3,32618

1,618Total operating expenses1,94920

Group operating profit 1,204before provisions1,37714

92Total provisions13446

1,112Group operating profit 1,24312

1,132Group profit before tax1,25110.5

*excl. exceptional item


How we did in 2000

Operating income

1999€m2000 Change %*

1,770Net interest income2,02214

1,052Other income1,30424

2,822Total operating income3,32618

37.3%Other income ratio39.2%

* excl. exceptional item


How we did in 2000

Loan growth

* 21% incl. securitisation


How we did in 2000

Deposit growth

* branch customer accounts


How we did in 2000

Net interest margin

H1 2000H2 2000%19992000

3.102.94Group3.273.02

2.732.76Domestic2.972.75

3.403.08Foreign3.543.23


How we did in 2000

Operating expenses

Underlying *

1999€m2000 Change %

970Staff costs1,1446

521Other costs6349

127Depreciation & amortisation1719

1,618Operating expenses1,9497

57.3%Cost / income ratio58.6%

* excl. Bank Zachodni / impact of currency movements


How we did in 2000

Provisions for bad debts

1999Average2000 Average

€mLoans %€mLoans %

450.26AIB Bank560.26

310.29USA340.27

180.32Capital Markets170.23

60.38Poland260.90

1000.281330.30

-15LDC provisions-

850.24Total1330.30


How we did in 2000

Asset quality

%20001999

NPLs / loans1.91.9

Bad debts charge / average loans *0.300.28

Provisions / NPLs100102

  • NPLs / loans ratio at 1% (excl. Bank Zachodni)

  • Provisions / NPLs at 135% (excl. Bank Zachodni)

* excl LDC releases


How we did in 2000

Balance sheet / capital ratios

€mConstant Currency

1999Assets:2000Change %

39,171Loans to customers45,88013

42,335Customer accounts48,4378

67,070Total assets79,68815

%Capital Ratios:%

6.4Tier 16.3

11.3Total10.8


How we did in 2000

Return on risk weighted assets


How we did in 2000

Well positioned for the future

  • Richness of earnings streams- customer driven- fee driven

    • Balance between efficiency / investing for the future- RAROC

      • Maximise portfolio earnings potential- USA and Poland


How we did in 2000

Additional information


How we did in 2000

AIB Bank profit statement

1999€m2000 Change %

932Net interest income1,05613

422Other income50820

1,354Total income1,56416

724Operating costs81613

630Operating surplus74819

45Provisions5625

585Operating profit69218

2Profit on disposal4

587Profit before tax69619


How we did in 2000

AIB Bank

  • ARK Life +48%- APEs +25%

    • Cost / income ratio990052Rep of Ireland5254N.Ireland5157Britain5253AIB Bank52

      • Home mortgages +26%, LTV <57% on 2000 new business


How we did in 2000

Capital Markets profit statement

1999€m2000 Change %

141Net interest income127(10)

272Other income *30713

413Total income4345

239Operating costs2609

174Operating surplus174-

23Provisions18(20)

151Operating profit1563

* incl. associates


How we did in 2000

Capital Markets

  • Corporate banking- loan growth +25%- presence established in New York

    • Investment bankingAssets under management €17bn

      • Treasury & International- Lower profit from proprietary trading- Strong growth in customer treasury services


How we did in 2000

USA Division profit statement

1999€m2000 Change %

506Net interest income5376

297Other income *38128

803Total income91815

463Operating costs54317

340Operating surplus37511

33Provisions3818

307Operating profit33710

* incl. associates


How we did in 2000

USA Division

Allfirst

  • Net income $184.4m- up 7% (US GAAP)- down 2% (Irish GAAP)

  • Loan growth +2.5% (excl. residential mortgages / foreign)- commercial +8%; retail -3%

  • Electronic banking income +16% / corporate deposit fees +12%

  • Assets under management €23bn

    AIB USA

  • Loans +20%, other income +24%


How we did in 2000

Poland Division profit statement

1999€m2000 Change %

139Net interest income25281

87Other income15375

226Total income40579

154Operating costs29591

72Operating surplus11052

9Provisions23146

63Operating profit8738

-Property disposal1

63Profit before tax8840


How we did in 2000

Poland Division

  • WBK +31% (excl. equity gains in ‘99)

  • WBKBZLoan growth+16%+1%Deposit growth+21%+10%

  • Combined networkATMsOutletsBZ283208WBK204197487405


How we did in 2000

Non-performing loans by division

As at December 31, 1999 As at December 31, 2000

NPLs/TotalNPLs/TotalActualProvisions/ActualProvisions/

NPLsAdvancesNPLsNPLsAdvancesNPLs

€m%%€m%%

2341.2112AIB Bank2321.012553USA-€m87

530.4319-US$m810.7205

300.5248Capital Markets290.4262

436 Poland- €m523

1,81417.460- Pln m2,01418.062

7531.9102Total8711.9100


How we did in 2000

Risk weighted assets

1999€m2000 Change %

17,919AIB Bank21,13318

16,898USA20,31820

11,375Capital Markets14,83730

2,838Poland3,65529

245Group27914

49,27560,22222


How we did in 2000

How we did in 2000


  • Login