Mystate Limited · ASX:MYS
Mystate — H1 FY2011 Earnings Presentation
27 slides from Mystate's earnings presentation, Mar 7, 2011
Slide 1: MyState Limited Investor Presentations March 2011
For personal use only MyState Limited (ASX Code: MYS) Investor Presentations March 2011
Slide 2: MyState Limited Investor Presentations
For personal use only MyState Limited Investor Presentations March 2011 John Gilbert Managing Director Paul Viney Chief Financial Officer/Secretary
Slide 3: Disclaimer
Disclaimer For personal use only This presentation contains certain forward-looking statements with respect to the financial condition, results of operations, business plans and objectives of management. All such forward-looking statements involve known and unknown risks, significant uncertainties,
Slide 4: Programme
For personal use only Programme • Merger Update • Business Update • Performance Highlights • Strategic Priorities
Slide 5: Our Group Structure
Our Group Structure For personal use only MyState Limited Non-Operating Holding Company d 10 ne 0% ow ow 0% ne 10 d Subsidiary Subsidiary
Slide 6: The Merger Proposal: months On
The Merger Proposal: 18 months On For personal use only • MyState Limited is an APRA approved Non-operating holding company • MyState Financial and Tasmanian Perpetual Trustees are main subsidiaries • For All Shareholders: Ø Earnings per share (EPS) accretive in Year 1 and strongly EPS accretive the
Slide 7: MyState Limited: Market Position
MyState Limited: Market Position For personal use only Market capitalisation $ 251M NPAT $11.6M Net Assets $202.0M Funds Under Management (1) $0.93B Loans Under Management (2) $1.77B Funds Under Advice or Administration (1)(2) $771M Deposits (2) $1.45B (1) Relates to Tasmanian Perpetual Trustees Lim
Slide 8: MyState Limited: Merger Outcomes
MyState Limited: Merger Outcomes For personal use only • Revenue synergies Ø Increased product and service offering delivering opportunities to create revenue growth Ø Cross referral process between MSF and TPT producing good results • Cost synergies Ø Operating cost synergies realised in YEJ 10 and
Slide 9: MYS Group Half-Year Results
MYS Group Half-Year For personal use only Results YEJ 11 • Group Revenue of $92.56M • Group Profit After Tax (PAT) of $11.61M • Earnings Per Share (EPS) of 17.21 cents • Interim Dividend declared of 12.0 cents per share payable 31 March 2011 (Previous “Interim Dividend” of 10.0 cents per share paid
Slide 10: MYS Group Half-Year Results: Revenues
MYS Group Half-Year Results For personal use only Revenues • MSF Net Interest Margin (NIM) up 12% on previous period • TPT Managed Investment Scheme (MIS) management fees have stabilised after the Global Financial Crisis (GFC), but below 2009 levels • TPT capital and income commissions are in line w
Slide 11: MYS Group Half-Year Results: Expenses
MYS Group Half-Year Results For personal use only Expenses • MSF salaries down on last year, demonstrating progress with head count reduction • MSF bad debts increased by 7%, however a significant gain in recoveries provided a threefold return on bad debts ($82k – 2009 to $370k 2010) • Other MSF cos
Slide 12: MSF $1.71 billion in Deposits & FUA
MSF $1.71 billion in Deposits & FUA For personal use only MSF Deposits & FUA § Retail 2,000 Deposits down 8% 1,500 § $259 million ($ Millions) FUA* through 1,000 Financial Planning 500 Services. * FUA – funds 0 under advice 2009 2010 H/Y 2011 Deposits FUA
Slide 13: Household Deposits as at Dec 2010
Household Deposits as at 31 Dec 2010 For personal use only % 9.7 System data source: APRA - Licensed bank deposit data; Six month growth is to Dec 10 annualized
Slide 14: MSF $1.77 billion in Loans
MSF $1.77 billion in Loans For personal use only MSF Loans 2,000 § 3.6% ($ Millions) 1,500 Growth in Loans 1,000 500 0 2008 2009 2010 H/Y2011 Loans
Slide 15: MSF Home Lending as at Dec 2010
MSF Home Lending as at 31 Dec 2010 For personal use only *System data source : RBA, Lending and Credit aggregates, published on 31 Jan 2011 *Six month growth is to Dec 10 annualised.
Slide 16: MSF Net Interest Margin
For personal use only MSF Net Interest Margin Ne t Inte re st M a rgin 3.50% 3.30% 3.10% 2.90% 2.70% 2.50% Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Net Int er est M ar gin
Slide 17: MYS Group Capital Adequacy
For personal use only MYS Group Capital Adequacy Capital Adequacy 16.75% 16.25% GROUP 15.75% Capital Adequacy 15.25% Board 14.75% Policy 14.25% 13.75% 13.25% 12.75% Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10
Slide 18: TPT $0.93 billion Funds Under Management
TPT $0.93 billion Funds Under Management For personal use only TPT Funds Under Management Fund levels 1,600 impacted by 1,379 GFC, 1,400 1,305 1,307 unfavourable 1,247 1,211 1,170 interest rate 1,200 environment, 1,045 1,006 intense 1,000 934 928 ($ Millions) competition for retail funds and 800 adv
Slide 19: TPT $0.51 billion Funds Under Advice
TPT $0.51 billion Funds Under Advice For personal use only T P T F u n d s U n d e r A d v ic e 5% Increase in 700 FUA 600 567 576 547 $511 million 501 511 485 FUA* through 500 Financial ($ Millions) 400 Planning Services. 300 200 *FUA – funds under advice 100 0 2006 2007 2008 2009 2010 H /Y 2 0 1 1
Slide 20: Returns to Shareholders
Returns to Shareholders For personal use only The Board of MyState Limited has established a policy of generally paying ordinary dividends each year within the range of 70% to 90% of net profit after tax. This reflects; Ø confidence in the prospects of the business Ø strong cash flow generation Ø hi
Slide 21: Twelve Month Relative Stock Performance to December 2010
MyState Limited Twelve Month Relative Stock For personal use only Performance to December 2010 Relative Performance (%) 150 140 130 120 110 100 90 80 70 Jan-10 Fe b-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Nov-10 De c-10 ASX:MYS - Share Pricing S&P/ASX All Ordinaries Index -
Slide 22: Twelve Month Stock Performance to December 2010
MyState Limited Twelve Month Stock For personal use only Performance to December 2010 Share Pricing in AUD 3.90 1,200,000 3.70 1,000,000 3.50 800,000 3.30 600,000 3.10 400,000 2.90 200,000 2.70 2.50 0 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Se p-10 Oct-10 Nov-10 Nov-10 Dec-10 ASX:MYS
Slide 23: Forecast H2 YEJ 2011
Forecast H2 YEJ 2011 For personal use only • Continuation of solid revenue position • Maintenance of net interest margin • Strong credit quality • Further restructuring costs • Expected net profit after tax (NPAT) to be approximately $22.0 million
Slide 24: Strategic Priorities
For personal use only Strategic Priorities
Slide 25: Strategic Priorities
For personal use only Strategic Priorities • Rolling 3 year Strategic Plan developed by Board and Executive and to be reviewed each year. • Yearly targets/milestones set with quarterly progress reporting to the Board. • Further Development of Rural and Commercial lending capability.
Slide 26: Questions?
For personal use only Questions ?
Slide 27: MyState Limited Investor Presentations March 2011
For personal use only MyState Limited (ASX Code: MYS) Investor Presentations March 2011