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Commercial Banking Strategy 2023 results Appendix 2023 financial highlights Balance sheet, $bn 49% Revenue $5.5bn (2022: $3.7bn) Customer lending 354 ECL $(0.6)bn (94)% 350 346 (2022: $(0.3)bn) 0 26 ·27- Costs $(1.9)bn (12)%* (2022: $(1.7)bn) 354 324 319 77% PBT $3.1bn (2022: $1.8bn) ROTE29 28.8% 16.6ppts (2022: 12.2%) 2022 1Q23 Revenue performance, $m o/w SVB UK: 7.6 2Q23 7.0 +49% (18)% Customer accounts 491 497 496 0 23 24: 6,756 5,541 4,885 1,943* 4,451 588 -278: 3,708 489. [507 −511■ 516 491 474 472 335 [530 1,407 1,374 1,381 534 1,456 1,476 2,693 2,928 3,056 1,976 1,363 2022 1Q23 2022 3022 4022 1Q23 2023 o/w SVB UK: 8.7 2023 7.2 GPS GTRF 2023 vs. 2022 ♦ Revenue up $1.8bn (49%) 31 with growth across all our main legal entities, notably in Asia and the UK RFB. GPS was up $1.7bn due to higher interest rates and business repricing actions, GBM Collaboration revenue was up 10% and fees were up 8%. This was partly offset by lower C&L due to lower balances and higher funding costs Customer lending and accounts of $319bn and $472bn were down 10% and 4%, mainly due to HFS transfers, excl. which: Lending down $8bn (2%), as higher interest rates and softening economic conditions led to reduced loan demand in Hong Kong, the UK and mainland China. This was partly offset by the acquisition of SVB UK Deposits up $5bn (1%) as market-wide reductions in the UK were offset by the acquisition of SVB UK and inflows in the US Balance sheet movements also included the transfer of clients and balances from GBM to CMB in Asia 32 2023 vs. 1023 Revenue: 1023 included a $1.5bn provisional gain on the acquisition of SVB UK. Excluding this, revenue was up $0.3bn (6%), mainly in GPS due to higher interest rates and business repricing actions Customer lending down $4bn (1%) due to lower C&L balances in Hong Kong and UK RFB and the transfer of Oman balances to HFS Credit & Lending Markets products, Insurance o/w: HFS portfolio 30 and Investments and Other ◆ Customer accounts broadly stable outside the UK RFB * Costs were up $201m due to higher performance-related pay accrual, SVB UK and higher technology costs o/w $1.5bn provisional gain on acquisition of SVB UK 28
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