Investor Presentaiton
Operating Costs and Efficiency
☐
Cost to Income Ratio Trends
Highlights
Costs declined by 14% to AED 3.1 billion in 2010 due to management
focus on cost optimisation and operating efficiency; the cost to income ratio
improved by 1.5% from 32.9% in 2009 to 31.3% in 2010
In Q3 2011 YTD, costs increased by 8% compared to the same period last
year to AED 2,483 million resulting from accelerated investment in future
growth across advertising and marketing costs, and expansion of retail
distribution and sales force
The Cost to Income ratio increased by 3% to 33.4% in Q3 2011 YTD from
30.7% in Q3 2010 YTD.
The cost to Income ratio is expected to be managed to the target range
of c.32%-33%
Costto Income ratio (YTD)
38.6
37.8 37.4
35.8
Target CI Ratio of 32%-33%
Operating Cost Trends in 2010 (AED million)
3,551
232
(33)
(48)
(187)
3,051
34.9
33.7
32.7
32.9
32.2
32.2
31.
30.8
36.7
33.8 33.4
Q1 08020803 0804 0801 0902 0903 0904 0901 1002 1003 1004 1001 11021103 11
Quarterly Operating Cost Components (AED million)
2.291
132
188
571
1400
Q310 YTD
2009
Staff costs
Occupancy, Advertising
equipment & & marketing
operations
Other costs
2010
■Staff costs
■ Advertising, Marketing & Other
Emirates NBD
2.483
260
628
1595
Q311 YTD
■Occupancy, equipment & operations
■Network International
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