Citizens Financial Group, Inc. · NYSE:CFG
Citizens Financial — Morgan Stanley Financials Conference 2020
15 slides from Citizens Financial's conference presentation, Jun 9, 2020
Slide 1: Morgan Stanley Financials Conference
Morgan Stanley Financials Conference June 9, 2020 Brendan Coughlin Head of Consumer Banking
Slide 2: Forward-looking statements and use of key performance metrics and non-GAAP financial measures
Forward-looking statements and use of key performance metrics and non-GAAP financial measures Forward-Looking Statements. This document contains forward-looking statements within the meaning of Private Securities Litigation Reform Act of 1995. Statements regarding potential future share repurchases
Slide 3: Key messages
Key messages Building a top-performing Consumer Bank focused on helping customers along life’s journey Making strong progress across key Consumer Banking initiatives, with clear momentum and opportunities to improve performance Helping customers navigate current challenges Retail portfolio is highly
Slide 4: Strong progress & momentum with opportunities to grow & improve performance
Strong progress & momentum with opportunities to grow & improve performance Yet opportunities exist to continue trajectory of A franchise with strong progress and momentum growth & performance improvement Achieved scale in Mortgage Opportunity to continue fee income growth Top-15 bank-owned mortgage
Slide 5: Enhancing fee income capabilities with mortgage and wealth
Enhancing fee income capabilities with mortgage and wealth $s in millions Growing and diversifying fee income with multi-year investments $1,156 $973 $884 $883 $905 44% 29% Mortgage + Wealth Mortgage + Wealth (Growth focus areas) (Growth focus areas) (1) 2015 2016 2017 2018 2019 Other income Mortgag
Slide 6: Remixing our balance sheet to improve returns
Remixing our balance sheet to improve returns $s in billions Higher risk-adjusted returns while maintaining strong growth & improving deposit costs Generating attractive loan growth(1) Deposit growth on pace with loan growth(1) $84.8 $74.9 $77.5 $69.7 $72.0 $58.0 $60.0 $61.8 $51.2 $54.7 DDA growth v
Slide 7: Helping SME customers through the Payment Protection Program
Helping SME customers through the Payment Protection Program Quickly launched PPP lending capabilities; serving ~48,000 customers PPP lending summary(1) Highlights 1st Round 2nd Round Total Processed equivalent of ~24 years of loans in about 30 days Loans registered with SBA ~$3.5B ~$1.4B ~$4.9B ─ R
Slide 8: Providing payment relief through current challenges
Providing payment relief through current challenges Actively engaging with retail and small business customers while prudently managing risk ~7% of Consumer Banking loan portfolio in forbearance as of May 31st(1) − ~141k retail customers and ~2.7k small businesses Pace of new forbearance requests sl
Slide 9: Retail portfolio is highly diversified with a strong credit profile
Retail portfolio is highly diversified with a strong credit profile $s in billions % of (2) Total Weighted Retail portfolio 1Q20 CFG Avg. FICO Highlights(2) Residential mortgage $ 18.7 15 % ~785 Home equity 13.0 10 ~760 ~70% of the retail portfolio is secured Auto 12.2 10 ~725 Mortgage average LTV o
Slide 10: How are our customers navigating through COVID-19?
How are our customers navigating through COVID-19? Digital adoption rapidly increasing Customer spending beginning to return 12-weeks ending 5/31 YoY (1) 3/13/20 +5% Digital App Logins Downloads +20% +18% 6/5/20 3/31/20 -7% Non-branch % Online banking -34% of transactions(2) enrolls +13 pts +22% Deb
Slide 11: Strategic priorities to generate top-line growth and efficiencies
Strategic priorities to generate top-line growth and efficiencies Consumer Banking priorities to drive future growth Digital-first Zero-based restructuring of customer journeys from E2E marketing through fulfillment front to back digital re-imagination Accelerating the repositioning of the distribut
Slide 12: Looking forward
Looking forward Confident we can navigate through the current environment and drive toward becoming a top performing consumer bank that delivers well for its stakeholders Strong and experienced leadership team, best-in-class talent Success will leverage what Focus on helping customers along life’s j
Slide 13: Appendix
Appendix 3* Citizens Financial Group, Inc.” 13
Slide 14: Notes
Notes Notes on Key Performance Metrics and Non-GAAP Financial Measures See important information on Key Performance Metrics and Non-GAAP Financial Measures, as applicable, at the beginning and end of this presentation for an explanation of our use of these metrics and non-GAAP financial measures and
Slide 15: Citizens Financial Group, Inc.
3* Citizens Financial Group, Inc.”
Citizens Financial Group — Morgan Stanley Financials Conference 2020 on 6ix