FirstBank H1'11 Investor & Analyst Presentation
Highlights
Risk Mgt &
Corporate
Governance
Financial
Review
Operating
Environment
We have seen operating income grow at a faster rate than normalised
expenses
Operating income and expenditure
Operating Income
Operating Expenses
QoQ operating income growth %
QoQ operating expense growth %
Staff cost
FirstBank
Since 1894
Operating expense breakdown (N'bn)
Depreciation
Admin and general expenses
NDIC Premium
13%
9%
25%
13%
12%
5%
2%
6%
6%
-2%
6
7%
7
6%
42%
48
3 4%
26 37%
Laka aka
-10%
-13%
40 26
Q1'10
7%
4
6%
32
38%
7%
8
4
7%
7%
21 38%
6
4
7%
52
2
7%
17 39%
10
41
39%
45%
37
2-7%
2 7%
26 48%
48%
53%
86 55
130 84
178 117
54 34
121 71
12
14 46%
46%
H1'11
H1'10
9m'10
FY'10
Q1'11
H1'11
Q1'10
Operating income breakdown by SBU N'bn (bank only)
161
49
61
7
13%
31 19%
14
23%
20
20
76 48%
42%
25
â– Institutional banking
Retail banking
25
42%
Public sector
Corporate banking
5
11%
7
19
12%
6 13%
11%
Private banking
0.3 1%
8
20
12%
12%
Treasury
0.4
1%
1%
10
20%
7
13
8%
11%
Dec-10
Mar-11
Jun-11
.
H1'10
9m'10
FY'10
Q1'11
Comments
Customer focused approach driving better granularity and innovative
approach to growing our income streams
Focus on increasing cross sell ratio across our client base, as well as
driving growth in transactional banking
Rise in operating costs attributable mainly to one off increases in staff
costs to bring remuneration in line with industry as part of a holistic
talent management strategy
Adjusting for the one-off increase in staff costs, as well as the N3 bn
AMCON resolution fund charge our controllable costs grew 5%
Branch rebranding was completed in 20 branches over Q1 with
additional 55 branches in 12 locations up for rebranding by end of Q3
We have started seeing positive impacts of various cost reduction
strategies
Strategy &
Summary &
Transformation
Outlook
FirstBank H1'11 Investor & Analyst Presentation - 27/07/2011
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