DBS GROUP HOLDINGS LTD 19th Annual General Meeting 25 April 2018

20 Pages·2017·4.29 MB·English

DBS GROUP HOLDINGS LTD
19th Annual General Meeting
25 April 2018
1
Piyush Gupta
Chief Executive Officer
Income (SGD) Total Income (record)
2017 Financial
Performance
4% YoY
11,924
Record performance 11,489
despite weaker trading
10,801
Net profit (record)
income and lower NIM
underscores quality of
9,618
customer franchise 4% YoY
Dividends
8,927
Loans1
9% YoY
Net Fee Income
12% YoY
2013 2014 2015 2016 2017
1
Underlying Loans, including ANZ, loan growth was 11% 3
Traditional Key Performance Indicators (KPIs) (40%)
Shareholders Customers Employees
Achieve sustainable growth Position DBS as bank of choice Position DBS as employer of choice
Financial outcomes & risk-related KPIs to Increasing customer satisfaction & Including employee engagement &
Our 2017
ensure growth is balanced against risk taken depth of customer relationships people development
Priorities
Balanced scorecard used
Making Banking Joyful KPIs (20%)
to measure how
successfully we are
Digital Transformation Capturing value created Reimagining customer and
serving multiple
from digitalisation employee experiences
Ecosystems: Developing meaningful
stakeholders and driving
relationships with ecosystem partners Driving digital behaviours of our Embedding ourselves in customer &
the execution of our consumer and SME customers in employee journeys to deliver superior
Acquire: Leveraging digital channels to
Singapore and Hong Kong experiences
long-term strategy acquire new customers
Transact: Reduction in manual efforts by Increasing income from digital
driving STP & instant fulfilment customers Creating a Start-Up Culture
Engage: Growing customers’ digital Re-wiring mindsets to be a 24,000-
engagements person start-up anchored on our
PRIDE! values
Areas of Focus (40%)
Regional Businesses Geographic Mix Enablers Regulators Society
Grow regional businesses Scale growth in China, Strengthen Contribute to the Enhance the
in Consumer/Wealth India, Indonesia & management stability of the communities we serve,
Management & Taiwan processes, tech & financial system driving sustainable
Institutional Banking infrastructure outcomes
platform
4
Consumer Bank /
Solid performance
Growth
Wealth Management
17% 24% 31% 25%
Drivers
9% in Total Income
Growth in Growth Market share in Market share of
Diversified franchise led
non-interest in AUM housing loans credit cards
by multiple engines
income to SGD 206 (+2ppt) receivables
1% in Retail Income
of growth
billion (+5ppt)
25% in Wealth Income
Completed integration of ANZ’s retail and wealth
franchise across 5 markets
Institutional Banking Resilient & stable performance
1% in Total Income
32% 14% Double-digit
3% in Corporate Income Growth in
in Cash in Investment
Western
Management Banking Fee
11% in SME Income MNC
Income Income 1
Income
1
Internalview 5
Singapore
Total income 3% to SGD 7.8 billion
▪
Geographic
Driving cashless agenda:
▪
Mix
POSB Smart Buddy, PayLah!, PayNow
Continued to focus on Revamping our branch distribution
▪
growth across the region,
including China, Indonesia
South & Southeast Asia (excluding Singapore)
and India
Dividends ▪ Total income 3% to SGD 696 million
Grew customer franchise in India despite macro
▪
Joint Joint Lead
headwinds; WOS approved
bookrunner Underwriter
Saw growth in Indonesia; launched digibank
▪
Greater China (including Hong Kong)
Total income 5% to SGD 3.1 billion
▪
Strong performance in Hong Kong
▪
SGD 15.9 billion Sole Financial Joint
▪ Captured China outbound flows buyout by Chinese Advisor bookrunner /
consortium lead manager
6
45% 45%
Cost-Income Ratio
Shareholder 44%
43% 43%
KPIs
13%
11%
Productivity gains from
8%
digitalisation & cost Expense Growth
management initiatives 3%
1%
contained expense
growth
Dividends
Expenses (SGD) 5,130
4,900 4,972
4,330
3,614 3,918
2012 2013 2014 2015 2016 2017
7
2.9
NPL Ratio
1.9
Asset Quality 1.7
1.4
1.3
1.2
1.1 NPL
0.9 0.9
Management of portfolio excl
1.0 0.9 O&G
continued to be robust
even as we conservatively
recognised residual weak
4,219 2,979 O&G
oil and gas exposures as
1,525
NPA 3,213 2,996
Total NPA 2,904 2,726 2,792
2,513 3,331 Others
3,091
2009 2010 2011 2012 2013 2014 2015 2016 2017
Overall portfolio healthy
• Recognised residual weak O&G support services exposures as NPA to remove
uncertainty about asset quality
• Asset quality for the rest of the loan portfolio remained benign during the year
8
Customer KPIs
Wealth Management Consumer Bank
4.22 Customer Engagement Score 1 4.12 Customer Engagement Score 1
CSISG Award by the
vs. 4.17 in 2016 vs. 4.09 in 2016
Institute of Service
Excellence
Dividends
Gold Award for Best
Customer Experience
Organisation
SME Bank Large Corporates
4.07 Customer Engagement Score 1 4th Market Penetration Ranking 2
Maintained ranking (4th in 2016)
Maintained customer satisfaction
1 Ipsos Customer Satisfaction Survey (CSS) for Wealth Management, Scorpio Partnership CSS for Consumer Banking and Nielsen SME survey
Customer engagement scores (1 = worst, 5 = best)
2 Large Corporates Penetration Ranking from Greenwich 9
1% (vs 2016: 81%)
Employee
82%
Employee KPIs
Engagement
Awarded Regional Best Employer in Asia Pacific
Asia Pacific Regional
28%
2% (vs 2016: 30%)
Best Employer 2017,
People
Dividends
Aon Hewitt of positions
Development
filled Enabled our people to broaden their exposure
Best of the Best internally
Employer in Singapore,
Indonesia and Taiwan
1.2% (vs 2016: 11.8%)
Employee
13%
Attrition
Voluntary attrition rate remained relatively stable
Best-in-class attrition in Singapore & India
10