Vontobel Holding AG · SIX:VONN

Vontobel — H1 2008 Earnings Presentation

21 slides from Vontobel's earnings presentation, Aug 13, 2008

  1. Slide 1: First-half 2008 results

    First-half 2008 results 13 August 2008

  2. Slide 2: First-half 2008 results

    Slide 2 First-half 2008 results Herbert J. Scheidt, Chief Executive Officer

  3. Slide 3: Key figures

    Slide 3 Key figures 6 months ending 1 30-06-08 30-06-07 31-12-07 Net profit before minorities 115.3 170.6 97.7 (in CHF mns) Basic earnings per share 1.81 2.61 1.53 (in CHF) ROE (annualized) 16.4% 24.5% 14.2% Cost/income ratio2 69.7% 62.0% 73.0% 30-06-08 31-12-07 Change Total assets (in CHF bns) 112.

  4. Slide 4: Satisfactory result for the first half of 2008 in a difficult market environment

    Slide 4 Satisfactory result for the first half of 2008 in a difficult market environment Total operating income (in CHF mns) Net profit after minorities1,2 (in CHF mns) 991 840 264 256 453 624 443 2H 339 -13% 97 538 466 183 125 1H 285 397 2005 2006 2007 1H2008 -31% Operating expense 1 (in CHF mns) 2

  5. Slide 5: Sustained inflow of new money – profitability and efficiency in the target range

    Slide 5 Sustained inflow of new money – profitability and efficiency in the target range Growth contribution 2.9% 7.8% 8.1% 8.1% 7.0%2 from NNM Net new CHF 3.2 3.3 2H bns money 1.1 0.3 1.3 2.5 3.2 1H 2005 2006 2007 1H2008 21.6 24.52 16.2 16.42 14.22 -8.1 pp ROE % 2005 2006 1H2007 2H2007 1H2008 73.0

  6. Slide 6: Business unit results

    Slide 6 Business unit results – reflecting the impact of growth initiatives, the market environment and cost discipline Pre-tax segment profit (in CHF mns) Breakdown of profit Segment results Δ (in CHF mns) 33.6 38.5 1H2008 1H2007/2008 2H 30.2 PB -28% 1H 35.6 40.2 44.6 31.9 -12.7 31.9 2005 2006 2007

  7. Slide 7: Continuation of growth initiatives – cautious conduct of clients in Private Banking

    Slide 7 Continuation of growth initiatives – cautious conduct of clients in Private Banking Key figures: Private Banking 6 months ending 30-06-08 30-06-07 31-12-07 Δ 30-06-07 Operating income (in CHF mns) 120.1 128.0 133.8 -6% Pre-tax segment profit 31.9 44.6 38.5 -28% (in CHF mns) Cost/income ratio

  8. Slide 8: Investment Banking: significant increase in result compared to second half of 2007

    Slide 8 Investment Banking: significant increase in result compared to second half of 2007 Key figures: Investment Banking 6 months ending 30-06-08 30-06-07 31-12-07 Δ 30-06-07 Operating income (in CHF mns) 215.1 265.9 180.0 -19% Pre-tax segment profit 93.7 127.4 54.0 -26% (in CHF mns) Cost/income r

  9. Slide 9: Realignment and focusing of Asset Management

    Slide 9 Realignment and focusing of Asset Management Key figures: Asset Management 6 months ending 30-06-08 30-06-07 31-12-07 Δ 30-06-07 Operating income (in CHF mns) 132.3 124.0 136.0 7% Pre-tax segment profit 49.8 37.0 49.3 35% (in CHF mns) Cost/income ratio1 (in %) 62.0 69.9 63.3 -7.9 pp Δ 31-12-

  10. Slide 10: Corporate Center: high IT expenses – unfavourable foreign exchange impact

    Slide 10 Corporate Center: high IT expenses – unfavourable foreign exchange impact on financial investments Key figures: Corporate Center 6 months ending 30-06-08 30-06-07 31-12-07 Δ 30-06-07 Operating income (1.1) 19.7 3.6 NM (in CHF mns) Pre-tax segment result (35.6) (3.7) (23.7) NM (in CHF mns) O

  11. Slide 11: Risk management proves effective in the challenging environment

    Slide 11 Risk management proves effective in the challenging environment Key figures: balance sheet and risk in CHF mns 30-06-08 30-06-07 31-12-07 Δ 31-12-07 Shareholders' equity excl. 1,422 1,388 1,421 0% minority interests1 Total assets1 19,086 18,331 17,992 6% BIS tier 1 ratio ( in%)2 20.1 21.6 2

  12. Slide 12: Strategic challenges for 2008/2009

    Slide 12 Strategic challenges for 2008/2009 ƒ Increasing pressure on Swiss financial centre and intense competition between Environment/ international financial centres principles ƒ Integrated business model is a core element of business philosophy ƒ Continuation of growth initiatives (international

  13. Slide 13: Performance creates trust

    = ea pa © i= Z. © > Performance creates trust

  14. Slide 14: Positive net new money – market-driven reduction in assets under management

    Slide 14 Positive net new money – market-driven reduction in assets under management Net inflow of new money Change in AuM in CHF bns in % in CHF bns 8.1% 8.1%1 31.12. 79.5 3.3 2007 3.2 2.5 Net new 3.2 4.0 money Market- driven -8.6 -10.8 change/FX 30.06. 74.1 -6.8 2008 1H2007 2H2007 1H2008 1 Annuali

  15. Slide 15: Moderate decline in operating income compared to record first half of 2007

    Slide 15 Moderate decline in operating income compared to record first half of 2007 Development of income positions Comments in CHF mns Δ vs 1H2007 Abs. % ƒ Lower levels of 537.6 client activity and 466.4 Total -71.2 -13% market-driven 453.4 decrease in assets 232.2 Trading reduce commission 135.5 i

  16. Slide 16: Continuation of growth initiatives and increased cost discipline

    Slide 16 Continuation of growth initiatives and increased cost discipline Development of operating expense Comments Δ vs 1H07 in CHF mns Abs. % ƒ Cost of 332.3 335.3 investments in 326.6 Total +4.9 -5.7 -2% 20.7 growth 17.9 Depreciation +4.9 +7.1 +40% 25.0 initiatives and 92.4 IT upgrade 112.1 Gener

  17. Slide 17: PB: Sustained net inflow of new money – reflecting high level of client trust

    Slide 17 PB: Sustained net inflow of new money – reflecting high level of client trust Highlights Net new money in CHF bns 1.2 1.2 1.1 ƒ Large volume of net new money acquired in Swiss home market – positive contributions from all international markets ƒ Market-driven reduction 1H2007 2H2007 1H2008

  18. Slide 18: IB: Defended top 3 position in structured products business

    Slide 18 IB: Defended top 3 position in structured products business Highlights Cost/income ratio ƒ SWX-listed derivatives and structured in % 69.4% products remain a strong income driver. 52.5% 56.2% Market impacted by fiercer competition, high levels of volatility and a decline in volumes. ƒ Inter

  19. Slide 19: AM: Client focus on more conservative investments

    Slide 19 AM: Client focus on more conservative investments – satisfactory relative performance Highlights AuM by asset class in % Money market 1.5% 1.9% ƒ Increased demand and switching 13.3% 14.6% Bonds 2.1% Other to more conservative asset 2.5% 27.1% 28.2% Balanced classes 41.5% 39.4% Equities ƒ S

  20. Slide 20: Solid equity position

    Slide 20 Solid equity position Shareholders' equity1 BIS tier 1 capital Market capitalization in CHF mns in CHF mns in CHF mns Ratio 1,421 1,422 24.4% 22.9% 21.4% 20.1% 3,457 1,341 1,344 3,364 1,135 2,589 2,234 1,287 1,023 1,199 503 535 97 125 396 335 98 167 131 115 85 2005 2006 2007 1H2008 2005 200

  21. Slide 21: Continued stable majority of votes and capital – shareholder pooling agreement

    Slide 21 Continued stable majority of votes and capital – shareholder pooling agreement in place until 2017 Vontobel families: 11.5% (shareholder pooling agreement) Publicly held: 34.1% Shareholders Vontrust family holding: 12.5% in the pooling (shareholder pooling agreement) agreement: 40.0% Unlock

Vontobel Holding — H1 2008 Earnings Presentation on 6ix