Agenda. Welcome, Opening Remarks and Introduction of Team. Mr. Richard P. Young Managing Director Scotiabank Trinidad and Tobago Limited.

Transcription

1 Stockbrokers Meeting 2011 Scotiabank s Hospitality Suite Queen s Park Oval Monday 12 December 2011

2 Agenda Welcome, Opening Remarks and Introduction of Team Financials Performance Review Questions Closing Remarks Mr. Richard P. Young Managing Director Scotiabank Trinidad and Tobago Limited Mr. Adrian Lezama Assistant General Manager, Finance Scotiabank Trinidad and Tobago Limited Mr. Richard P. Young Mr. Richard P. Young Refreshments 2

3 Mr. Richard P. Young Managing Director Scotiabank Trinidad and Tobago Limited 3

4 Mr. Adrian Lezama Assistant General Manager Scotiabank Trinidad and Tobago Limited 4

5 Overview 2011 Another Record Year Profits after Tax up 6.89% to $544.3MM EPS : up 6.89% ROE : 20.68% ROA : 3.28% P/E : Dividend growth up 18 cents to 128 cents Strong Capital Adequacy Ratio 29.25% Adequate Cash reserves $1.3 B vs. $1.8 B Strong Expense Management Control (-5.57%) 5

6 Consistent Earnings 10 year Compounded Annual Growth Rate (CAGR) 13.58% '11 '10 '09 '08 '07 '06 '05 '04 '03 '02 ' * Net Income After Tax $ Millions 6

7 Strong Balance Sheet 10 Year CAGR 10.88% '11 '10 '09 '08 '07 '06 '05 '04 '03 '02 ' * Total Assets $ Billion 7

8 Loan Growth $672M Retail Loans 10.74% '11 '10 $358M Commercial Loans 8.92% $ Million 8

9 Net Interest and Non-Interest Revenue 10 Year CAGR 10.99% '11 '10 '09 $1,257M 0.58% '08 '07 '06 '05 '04 '03 '02 ' Non-Interest Revenue Net Interest Income Total Net Income $ Millions 9

10 Total Expenses before Loan Losses 10 Year CAGR 10% '11 $511.5M 0.73% '10 '09 '08 '07 '06 '05 '04 '03 '02 ' $ Millions 10

11 Credit Quality 50.0% 45.0% 40.0% 41.28% 42.22% 41.83% 44.84% 43.25% 41.37% 38.80% 35.0% 30.0% 31.59% 25.0% 20.0% 28.05% 23.54% 15.0% 10.0% 5.0% 2.53%2.78% 1.69% 1.09% 1.28% 0.80% 0.84% 2.22% 2.80% 2.70% 0.0% NAL/ Total Loans LLP/NAL 11

12 Performance Ratios Return on Assets 3.9% 3.70% 3.58% 3.4% 2.85%2.92% 3.07% 3.16% 3.34% 3.00% 3.17% 3.28% 2.9% 2.4% 1.9% 2.27% 2.30% 2.44% 2.70% 2.64% 2.90% 2.92% 2.63% 2.48% 2.50% 1.4% Scotiabank Industry Average 12

13 Performance Ratios Return on Equity 29.0% 27.0% 25.0% 23.0% 21.0% 19.0% 17.0% 15.0% 25.05% 25.39% 25.38% 24.60% 24.70% 22.75% 23.89% 22.86% 20.95%20.72% 22.04% 21.54% 22.16% 20.68% 19.41% 18.71% 19.30% 19.55% 20.20% 18.25% 16.00% 15.70% Scotiabank Industry Average 13

14 Earnings per Share 290 Cents

15 Price to Earnings Ratio Cents

16 Cost Containment Productivity Ratio 300% 250% 200% T im e s 150% 100% 50% 0% % Personnel 41.69% Total Exps. TOTAL EXPS/TOTAL REV. PERSONNEL/NIR 16

17 Consistent Dividend Growth 10 Year CAGR 11.53% Cents 16.4% Bonus 2 :

18 550% 500% 450% 400% 350% 300% Return to Shareholders Share price appreciation plus dividends received 10 year CAGR 19.40% 250% 200% 150% 100% 50% 0%

19 Stockbrokers Meeting 2011 Scotiabank s Hospitality Suite Queen s Park Oval Monday 12 December 2011

20 Delivering Our Service Promise 1. Make every customer feel welcome 2. Take the time to understand and anticipate customer needs 3. Provide advice and solutions that are right for each customer 4. Follow-through and keep our promises 5. Sincerely thank every customer, every time 20

21 Core Values Integrity Respect Insight Commitment Spirit 21

22 The five strategic priorities are: 1. Sustainable and Profitable Revenue Growth 2. Capital Management 3. Leadership 4. Prudent Risk Management and Appetite 5. Efficiency and Expense Management 22

23 Sustainable and Profitable Revenue Growth Strong contribution by: ScotiaLife Trinidad and Tobago Limited 15% after tax profit 23

24 Capital Management Return on Assets Scotiabank 3.28% Industry 2.50% Return on Equity Scotiabank 20.68% Industry 16.00% Capital Adequacy Ratio Scotiabank 29.25% Minimum Regulatory 8.00% 24

25 Leadership Core priority and key success factor Employee Development in various forms: Extension of hub strategy providing growth and opportunity T&T top producer of talent in the Region Talent sharing across the Region HR leading the way: highest rating on our employee satisfaction survey Engagement through personal interaction: internal customers Over two-thirds of the Staff received training in

26 Leadership Demonstrations of success Shortlisted as A Champion Employer by the Employers Consultative Association (ECA) a title we won in 2010 and 2008 Shortlisted as A Top 10 Company by the Association of Female Professionals (AFETT) 26

27 Leadership Demonstrations of success Best of the Best Shared Services ER Team Scotiabank Canada recognised the Scotiabank Trinidad and Tobago ER (Employee Relations) Team as the Best of the Best in Shared Services across the Caribbean 27

28 Corporate Social Responsibility Scotiabank Foundation has contributed over $2.5 million to the development of young people in Trinidad and Tobago 28

29 29

30 13 th Annual 5k took place on September 17 Largest event ever over 5000 participants Held in POS, San Fernando and Scarborough 13 th Annual Cancer Screening Clinics Conducted in 10 clinics across Trinidad and Tobago Over 14,000 screened through the programme 30

31 Leadership - Strategic Partnerships Scotiabank Bright Future Ambassadors with Families in Action Advancement of the Caribbean Male with the Scouts Association Youth Development through Sport with the Trinidad and Tobago Olympic Committee 31

32 Prudent Risk Management Credit Quality of Portfolios Treasury Management Operational Excellence Strong Anti-Money Laundering Process 32

33 Efficiency and Expense Management Shared Services and Caribbean South Collections Unit Process Reviews - Branch Capacity Optimization Model - Commercial - Small Business 33

34 Going Forward 34

35 Our Overall Strategy Grow market share Prudent management of our assets Risk considerations must be built into every aspect of the business Capitalise on opportunities for efficiency Apply best practices to continue to enjoy the benefits of cost management Leadership by living our philosophy of One Team One Goal 35

36 Questions 35

37 Thank you and all the best to you and yours for Christmas

38 Stockbrokers Meeting 2011 Scotiabank s Hospitality Suite Queen s Park Oval Monday 12 December 2011