comdirect bank Presentation to analysts Frankfurt am Main, March 13th, 2003

Transcription

1 comdirect bank Presentation to analysts Frankfurt am Main, March 13th, 2003 Dr. Achim Kassow (CEO) Dr. Andre Carls (CFO)

2 2 Agenda : Successful turnaround Management statement Key figures 2003: New perspectives

3 Improvement in results operating profit achieved 3 Profit from ordinary activities ( m) After-tax profit ( m)

4 Turnaround via sustained cost reduction 4 Income ( m) % Administrative expenses ( m) % Other income Net commission income Net interest after provisions Cost-income ratio Depreciation Other administrative expenses Personell costs

5 Result: Improvement in Germany and UK 5 Income ( m) Administrative expenses ( m) Result ( m) Germany Great Britain Other income Net commission income Net interest after provisions Depreciation Other administrative expenses Personell costs Profit from ordinary activities

6 comdirect ltd: Strong customer growth 6 Customer figures comdirect ltd % From 8 th to 3 rd place within a year Award from leading investment magazine Best Direct ISA Provider Best Dealing Only Stockbroker Dec. 1 31, Dec. 231, Cooperation partner of Lloyds TSB Bank plc

7 com one: programme for the future on schedule Reduce costs Total costs in Germany reduced from 160 m to 122 m Personnel cuts by a third (306 FTEs) Kiel location closed as of year end Stabilise earnings Conditions adjusted to market level without significant negative client reaction Extension of the support tools (information and analysis) to ease re-entry/new entry Intensification of fund sales Streamline structures Smaller Board and realignment of responsibilities Streamlining organisation from 19 to 13 divisions Reduction of executive staff by a third

8 Summary 2002: Strategic objectives achieved 8 Operating profit in the black German business restructured UK market share increased rapidly Turnaround achieved comdirect SpA (Italy) closed comdirect S.A. (France) sold

9 9 Agenda : Successful turnaround Management statement Key figures 2003: New perspectives

10 Key figures of comdirect Group Profit from ordinary activities ( m) After-tax profit ( m) Earnings per share ( ) RoE (%) (pre taxes and extraordinaries) Cost-income ratio (%) Equity ( m) Balance sheet total ( m) Equity ratio (%) Number of employees Total customers (000), of which: Direct brokerage customers (000) Executed orders (m) Portfolio volume ( m) of which: funds volume ( m) Deposit ( m) , , ,699 1,093 2, , ,057 1,066 1,948

11 Statement of earnings comdirect Group according to IAS 11 m Delta Net interest income % Provisions % Net interest income after provisions % Net commission income % Other result* % Total income % Personnel costs % Other administrative expenses % Depreciation % Administrative expenses % Profit/loss from ordinary activities Extraordinary result ,3 -- Taxes on income ,8 -- Net profit/loss *other operating result + trading/investment result

12 Balance sheet comdirect Group according to IAS 12 m Assets Liabilities Cash reserve Liabilities to banks Claims on banks 1,684 1,294 2,289 1,949 Liabilities to customers Claims on customers Provisions Provisions Tax liabilities Trading assets Other liabilities Financial investments 861 1, Subordinated capital Intangible assets Equity Fixed assets Tax assets Other assets 18 9 Total assets 2,974 2,589 2,974 2,589 Total liabilities and equity ( Sound relation between origin and deployment of funds as healthy basis for future business development

13 13 Agenda : Successful turnaround Management statement Key figures 2003: New perspectives

14 Ongoing: Increasing customer value 14 comdirect value creation Number of customers Customer value: profit per customer Costs per customer Cost control and selected further cost measures remain the focus Income per customer Increased income through improved exploitation of customer potential

15 Rigorous cost management to be continued in m Focus A sense for continuous cost management to be established among the employees: Spirit matters! Operative Excellence as a programme 20 project teams Cost target for 2004 will be more than reached already in Actual 2003 Planned 2003 Target Personnel costs Other administrative expenses Depreciation

16 Revenues: Customer portfolio with considerable potential 16 Revenues per Customer ( ) Revenues components by products (%) Revenues potential german private customer Savings for home Health-/Goods Insurances 3 2 Life insurances Securities accounts Savings products Direct 2 Branch 3 Financial 4 banks banks advisor network Payments Consumer loans Source: zeb/rolfes.schierenbeck.associates

17 comdirect customers are interested in further offers 17 Customer requirements Every second customer wants shortterm investments at comdirect (savings products) Every third customer would like liquidity management at comdirect (current account, credit card) Almost half of the customers is looking for personal financial advisory

18 Result: comdirect to have three business areas 18 tomorrow today Discount Brokerage Online Investment Direct Banking Financial advisory Basic banking services

19 Online investment: remains best-in-class 19 Improved usability and personalisation Extended risk management and analysis instruments Broadening of the trading universe State-of-the-art offer for investors and traders Top Trader service package

20 Direct banking: demand in product and service range 20 Launch of new product variations for short-term investments Relaunch current account and credit card Full online closing-capability of banking product range Competitive direct banking offer Product bundles tailored to specific target groups

21 Financial advisory: High profile consultant teams 21 Independent - Neutral broker position with no product supplier preference Holistic Complete range of relevant financial services Life-cycle oriented Concept aligned to life situation of customers High quality personal financial advisory Quality of advice - Top teams of experienced advisors

22 Financial advisory: Focussed development 22 Implementation 180 top advisors in 2006 as milestone target, servicing some 17,000 customers Focus on conurbations Pilot in Q Market launch 2004 Business case Break-even in 2006 Start-up losses of 5 m p.a. for three years Pay back of cumulated start-up losses in five years after launch ( Profitable after three years

23 Implementation started Q1 Q2 Q3 Q4 Q1 Q2 Cost management Conception Excellence programme Rigorous rollout across comdirect Online investment Relaunch web presence and improved usability Differentiation of service profile (customer specific offers) Direct banking Offer conception Launch of short-term investment Relaunch of current account and credit card Financial advisory Implementation prepared Preparation for market launch Pilot phase Successive rollout in conurbations Today

24 Summary 2003: strategic agenda creates new perspectives 24 Continuation of strict cost management Online investment: remains best-in-class Direct banking: competitive offer comdirect to become the one-to-one bank for the modern investor Financial advisory: development of high profile consultant teams

25 Solid basis good opportunities Restructuring 2003 Turnaround Targeted investments Rigorous cost management Considerable profit

26 26 comdirect s programme for the future