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Institutional Presentation December 2006

Unibanco and Unibanco Holdings, S.A. Institutional Presentation December 2006. Investor Relations. Overview of Unibanco. Highlights. Controlled by the Moreira Salles group. Publicly traded at Bovespa (Brazil) and NYSE. Level I Corporate Governance on the Bovespa.

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Institutional Presentation December 2006

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  1. Unibanco and Unibanco Holdings, S.A. Institutional Presentation December 2006 Investor Relations

  2. Overview of Unibanco

  3. Highlights Controlled by the Moreira Salles group Publicly traded at Bovespa (Brazil) and NYSE Level I Corporate Governance on the Bovespa Level III ADR on the NYSE and a member of IBOVESPA Very liquid stock: R$30.4 mln / US$14.1 mln ADTV* at Bovespa R$117.1 / US$54.5 mln ADTV* at NYSE Financial statements in US GAAP since 1997 *In 4Q06

  4. A Snapshot of Unibanco Retail and Consumer Credit • Serves individuals and SMEs with annual revenues lower than R$150 million. • Approximately 24 million clients • Leading Consumer Finance franchise • Improvement of the credit card portfolio, which posted a 27% growth over the past 12 months Wholesale As of December 2006 Insurance & Annuity – Unibanco AIG • Joint venture with AIG • Individuals and corporate: life, auto, assets, disability, pension funds and annuities • Unibanco AIG operational results: 33% of net income in 2006. • Unibanco Insurance and Pension Plans placed 4th in the ranking of private pension plans published by Susep. The company ranked 2nd in sales of corporate pension plans CROSS SELLING • Balanced business mix • Aggressive expansion in the retail segment • Benchmark in consumer finance and wholesale business Wealth Management • Offers investment products via Unibanco Asset Management to individuals and institutional investors and covers high net worth individuals, in the private banking segment • Total assets under management: R$43,7 billion • Awarded “Top Equity Management “ by Valor Economico newspaper for the 4th consecutive year • 2nd place in Private Banking (Anbid), with 10% market share • Full coverage of more than 2,000 corporations with annual revenues greater than R$150 million, in addition to institutional investors in Brazil and internationally • Investment Banking: M&A, Capital Markets & Project Finance • The Wholesale loan portfolio reached R$19,421, up 14.7% over the past 12 months

  5. Organizational Structure CEO PedroMoreiraSalles • Prominent Board Members • Independent Audit Committee Board of Directors Pedro Malan Chairman Pedro Moreira Salles Vice-Chairman Audit Committee Gabriel Jorge Ferreira Chairman Members João Dionisio Armínio Fraga Joaquim F. Castro Neto Gabriel J. Ferreira Israel Vainboim Pedro Bodin Board Members Eduardo A. Guimarães Guy Almeida Andrade Insurance and Pensions José Rudge Wholesale and Wealth Management Demosthenes Madureira Retail Márcio Schettini Treasury Daniel Gleizer Legal, Tax, Audit, Compliance, and Risk Lucas Melo Corporate Communication and HR Marcos Caetano Planning. Control. Operations and IR Geraldo Travaglia Operational Efficiency MarcosLisboa

  6. Timeline Over 80 years of history to become one of the leading full service banks in Brazil

  7. Segmentation and Distribution Nationwide Distribution Client Focus (As of December 2006) Lower Middle Market

  8. Client Base 23.8 In Millions of Clients 22.8 22.2 21.0 20.4 4.7 3.8 4.2 3.2 3.0 18.2 1.8 7.1 6.7 6.9 5.3 5.6 14.1 5.0 4.1 4.3 4.5 4.3 5.2 5.3 5.0 4.0 7.7 7.4 7.2 6.8 7.0 6.4 6.0 Dec-06 Jun-06 Sep-06 Dec-03 Dec-04 Dec-05 Mar-06

  9. Retail Business Model

  10. Risk Management Credit / GDP As anticipated by Unibanco in 2005 33% 31% 27% 26% 24% 2006 2002 2003 2004 2006 7.6% 7.2% 6.7% Financial System Delinquency ratio (Individuals) 6.0% 5.9% Macroeconomic Scenario Dec-06 Jun-05 Dec-05 Jun-06 Feb-05 Approval rate – Fininvest Personal Loans 41% Conservative credit approach Risk Management 22% 10% Jun-05 Apr-06 4Q06 Loan Portfolio Consumer Finance Companies Provisions for Loan Losses Consumer Finance Companies R$ Millions R$ Millions Credit restriction 3,068 232 2,910 154 2,292 107 Dec-04 Dec-05 Dec-06 4Q04 4Q05 4Q06

  11. Personal Loans – Mix of Brazilian Financial System 100% Overdraft loans 90% 40% 80% Personal Loans 70% 60% Payroll loans 60% 50% 40% Vehicles 30% 20% Mortgage Loans Durable Goods Financing - Others 10% Credit Cards Others 0% Dec-01 Apr-02 Sep-02 Feb-03 Jul-03 Dec-03 May-04 Oct-04 Mar-05 Aug-05 Jan-06 Jun-06 Dec-06

  12. Auto Financing Business Repositioning Cars + Trucks & Buses Loans Motorcycle Loans (run-off) +20.0% -51.4% R$ Millions R$ Millions 4,833 580 4,029 282 Dec-05 Dec-06 Dec-05 Dec-06 Focus: New Cars (Financed Units) Focus: New Trucks & Buses (Financed Units) Base 100 = 2005 Base 100 = 2005 2006 2006 147 120 114 97 Market Market

  13. Credit Cards 30 30.0 25.0 Total Cards 20.0 21 15.0 9 Private Label cards 10.0 5.0 Credit Cards Jun-04 Dec-04 Jun-05 Dec-05 Jun-06 Sep-06 Dec-06 Highlights Loan Portfolio (Unicard + Hipercard) +26.7% R$ Millions • Issues Visa and Mastercard cards • Alliances with retailers 5,070 4,001 • Acquirer, issuer and processor of credit cards • Accepted by more than 200 thousand retailers Dec-05 Dec-06 Number of cards (In millions)

  14. Hipercard Affiliated Retailers Points of sale +67% In thousands +145% 228 204 93 122 2005 2006 Dec-05 Dec-06 Number of cards (In millions) +171% 6.5 4.2 2.7 2.4 Mar-04 Acquisition Dec-04 Dec-05 Dec-06

  15. Credit Cards: Hipercard Presence troughout the country 2004: 9 Northeast capitals 2006: 18 capitals among Northeast, South and Southeast

  16. New Joint - Ventures Establishment of credit, financing and investment society with the following partners: • Ipiranga Group (second largest oil company in the country): - Offering of financial products, such as credit cards, personal credit, consumer credit and insurance. - 4,200 service centers and 9 million Ipiranga’s clients • VR Group (one of the leading benefit companies in Brazil): - Offering of employee’s benefit products to Unibanco’s clients • Offering of financial products, such as payroll loans, credit lines, credit card receivables accounts, among others • VR has relationship with 20 thousand HR departments and agreements with 200 thousand retailers • Banco Cruzeiro do Sul (one of the leaders in payroll loans) - Banco Cruzeiro do Sul has expertise in managing alternative distribution channel mainly for the public sector - Development of business in the payroll loan segment BanCred

  17. Financial Performance

  18. Performance R$ Millions 4Q06 2006(1) D2006/2005 D4Q06/4Q05 + 13.2% + 20,2% Net Income(1) 576 2,210 + 20.2% + 20,5% 912 3,521 Operating Income 25.8% 24.8% 22.4% 24.2% 21.1% 10.4(1) 10.1(1) 9.9 9.3 20.1% 9.3 16.8% 8.1 8.1 2005 2004 2006 3Q06 4Q06 4Q04 4Q05 Annualized ROAE (%) Stockholders’ Equity (R$ Bln) (1) Before the extraordinary event

  19. Reduction in goodwill amortization period During 3Q06, Unibanco reduced its goodwill amortization period from 10 to 5 years R$ Millions 2006 2005 Net income with goodwill amortization 1,750 1,838 Acceleration of goodwill amortization (460) - Net income without goodwill amortization 2,210 1,838 Stockholders’ equity with goodwill amortization 9,921 9,324 Stockholders’ equity without goodwill amortization 10,381 9,324 ROAE with goodwill amortization (%) 18.2 21.1 ROAE without goodwill amortization (%) 22.4 21.1

  20. 2006 Performance D 2006 2005 ROAE (1) 22.4% 21.1% 130 b.p. ROAA (1) 2.3% 2.1% 20 b.p. Efficiency Ratio 49.3% 51.5% -220 b.p. BIS Ratio 16.0% 15.6% 40 b.p. Earnings per share (R$) (1) 0.79 0.66 19.7% (1) Before the extraordinary event of goodwill amortization

  21. Highlights • 20.2% net income growth, 2006 versus 2005 • 20.5% operating income growth, 2006 versus 2005 • Improvement in Efficiency Ratio: 49.3% in 2006 from 51.5% in 2005 Results • 6.6% growth in the Retail portfolio in 4Q06, with Credit Cards up 17.1% and SMEs up 7.0% • Loan portfolio quality improvement: • 18.8% reduction in provisions for loan losses, 4Q06 versus 4Q05 • Better ratio of D-H portfolio over total loans (6.4%vis-à-vis 7.7% in December 2005) • Higher E-H portfolio coverage ratio, 115%, compared to 112% in December 2005 Loan Portfolio • Gross Financial Margin grew to 10.2% in 2006, vis-à-vis 10.0% in 2005, despite the 475 b.p. Selic rate decline • Net Financial Margin improved to 8.0% in 4Q06, higher than the 7.5% in 4Q05 Financial Margin • Up 47% in 2006 compared to a 33% growth of Ibovespa. The greatest growth among Brazilian private-owned banks listed on Bovespa in 2006 • Ibovespa weighting: 1.923%. A 95% increase since its inclusion (May 2005) UnitsUBBR11

  22. 2006 Business Highlights • 17% overall client base growth, reaching 23.8 million, with a 13% increase in branch customers • New partnerships and alliances: Sonae/Wal-Mart, Ipiranga, Grupo VR (UniVR), and Banco Cruzeiro do Sul • Expansion of Hipercard to the South and Southeast, with 145% growth in total points-of-sale • 26.7% credit card portfolio growth over the last 12 months • Core deposits funding surpassed R$16 billion, +30% in the year Retail • Top 3 in BNDES overall ranking with 8.6% market share • 30% increase in cash management revenues • Lead coordinator of Ambev´s debentures issuance, which was awarded “Local Currency Financing Deal” in 2006, by LatinFinance magazine • Investment Banking department made 31 deals, valued at approximately R$18 billion • Top 10 Research House, according to Institutional Investor magazine. 1st place in Natural Resources category, and 3rdplace in Consumer Goods Wholesale • AUM reached R$44 billion • Private Bank AUM grew 25% in 2006 • Awarded “Top Equity Management” by Valor Econômico newspaper, for the 4th consecutive year Wealth Management • Operational results: 33% of net income in 2006, vis-à-vis 9% in 2005 • Leadership in commercial lines, energy, environment, D&O (Directors and Officers) and extended warranty products • Combined ratio of 94.5% in 2006, better than 98.3% in 2005 Insurance and Pension Plans

  23. Financial Indicators R$ Millions Loan Portfolio Total Assets 103,777 45,361 101,999 43,323 41,929 39,875 39,684 98,217 93,770 91,831 Sep-06 Dec-06 Dec-05 Mar-06 Jun-06 Sep-06 Dec-05 Mar-06 Jun-06 Dec-06 Gross Profit from Financial Intermediation Earnings per Unit (R$) 0.42 2,489 0.39 2,481 2,392 0.38 0.37 2,357 0.35 2,257 4Q05 1Q06 2Q06 3Q06 4Q06 4Q05 1Q06 2Q06 3Q06 4Q06

  24. Income Statement Summary R$ Millions 3Q06 4Q06 4Q05 2006 2005 Gross Profit from Financial Intermediation 9,719 8,247 2,489 2,481 2,257 Provisions for Loans Losses (579) (533) (656) (2,422) (1,904) Net Profit from Financial Intermediation 1,956 1,902 1,601 7,297 6,343 909 909 889 3,582 3,270 Fees from Services Rendered Personnel and Administrative Expenses (1,458) (1,527) (1,348) (5,713) (5,092) Operating Income 906 912 759 3,521 2,921 Net Income before the extraordinary event 2,210 1,838 576 509 566

  25. Loan Portfolio Growth R$ Millions +13.8% +4.7% 45,361 43,323 39,875 25,940 6.6% 24,338 Retail 22,949 2.3% 19,421 18,985 Wholesale 16,926 Dec-05 Sep-06 Dec-06

  26. Loan Portfolio Growth Main Highlights Individuals D Year D Quarter R$ Millions +11.6% +6.4% 26.7% 17.1% Credit Cards 17,425 -4.5% 6.0% Consumer Finance Companies 16,383 15,614 20.0% 6.8% Car Loans -51.4% -20.8% Motorcycle Financing Dec-06 Dec-05 Sep-06 Branch Network 17.6% 1.9% Corporate R$ Millions +15.1% +3.7% 16.1% 7.0% SMEs 27,936 26,940 14.7% 2.3% Large Corporate 24,261 Dec-06 Dec-05 Sep-06

  27. Financial Margin Financial Margin Net Financial Margin 18.00% Provisions for Loan Losses / Financial Margin Selic Interest Rate -770 b.p. 13.25% 10.2% 29.1% 10.0% 27.9% 27.2% 23.3% 21.4% 7.7% 7.7% 4Q05 1Q06 2Q06 3Q06 4Q06 2005 2006

  28. Asset Quality 7.7% 6.7% 6.4% Coverage D-H Portfolio D-H Portfolio/ Loan Portfolio 92% 87% 67% Dec-05 Sep-06 Dec-06 Coverage E-H Portfolio 115% 114% 112% Dec-05 Sep-06 Dec-06 Dec-05 Sep-06 Dec-06

  29. Additional Allowance for Loan Losses R$ Millions +35.8% 599 548 441 Dec-05 Jun-06 Dec-06

  30. Loan Portfolio Coverage Allowance for Loan Losses / Loan Portfolio Dec-06 Sep-06 Dec-05 15.3% 12.4% 10.1% Consumer Finance Companies 9.4% 9.8% 6.1% Credit Cards 9.6% 9.4% 9.2% Retail Bank - Individuals Auto Financing 4.2% 4.6% 3.6% SMEs 6.6% 6.6% 4.7% Retail 8.1% 7.9% 6.1% Wholesale 3.2% 3.4% 3.9% Unibanco Consolidated 5.9% 5.8% 5.2%

  31. Deposits and Assets under Management R$ Millions Dec-06 Sep-06 Dec-05 Demand Deposits 3,963 4,469 3,778 6,757 5,558 5,629 Savings Deposits Core Deposits CDs 5,452 4,648 3,044 Core Deposits 16,172 14,675 12,451 Time Deposits + Debentures 29,631 29,130 25,946 Total Deposits + Debentures (A) 45,803 43,805 38,397 Assets Under Management (B) 43,780 42,475 37,396 89,583 86,280 75,793 Total Deposits + Debentures + AUM (A+B) Core Deposits / Total Deposits 45% 40% 35%

  32. Core Deposits Growth Core Deposits R$ Millions +49.6% 16,172 12,451 10,811 Dec-04 Dec-05 Dec-06 Core Deposits Comparison Dec06 vs Dec05 Dec06 vs Dec04 29.9% 49.6% 14.3% 23.9% Brazilian Financial System (1) (1) Source: Brazilian Central Bank, preliminary data.

  33. Efficiency Ratio Efficiency Ratio Evolution R$ Millions 60.9% 51.5% 49.3% 11,593 9,878 8,310 5,713 5,092 5,058 2004 2005 2006 Efficiency Ratio Revenues Expenses

  34. Insurance and Pension Plans 98.3% 53.0% 48.8% 94.5% 2005 2006 2005 2006 R$ Millions Technical Reserves Premiums Earned +21.2% +19.0% 8,298 2,038 1,953 Insurance 6,846 1,713 1,470 Pension Plans 6,345 5,376 2005 2006 2005 2006 Loss Ratio Combined Ratio

  35. Shareholders’ Structure and Stocks

  36. Shareholders’ Structure Thousands of Shares % of Unibanco shares Moreira Salles Group Float Units +GDS Others Total 513,068 1,073,969 40,668 1,627,705 18% 38% 2% 58% PN Unibanco Holdings UNITs 76,7% + PN Unibanco % of Unibanco shares Unibanco Holdings Float Units +GDS Others Total 1,627,705 1,073,969 98,515 2,800,189 58% 38% 4% 100% 1 GDS=10 Units

  37. Units and GDSs Weighting (%) Index Jan to Apr-07 Ibovespa 1.923 IBrX-50 3.879 IBrX-100 3.369 IGC Corporate Governance Index 3.967 ISE Sustainability Index* 5.884 * Valid from December 2006 to November 2007. Units (UBBR11) versus Ibovespa • Unibanco Units gained 47% in 2006 • Unit continues to increase its weighting within the Ibovespa. Since its inclusion in the Ibovespa in May 2005, its participation increased more than 95% GDSs (UBB) versus Dow Jones Units Weighting in Brazilian Stock Indices

  38. Annex I Dividends

  39. Dividend History 35% 38% 37% 38% 35% 35% 36% 37% 35% 36% 757 R$ Millions 617 CAGR = 20% 403 448 2nd Half 1st Half 334 362 340 Pay Out Ratio 323 244 264 196 180 210 171 164 283 354 143 133 108 82 89 204 166 160 152 131 102 82 54 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 • Unibanco has paid semi-annual dividends for more than 3 decades • From 2005 on, Unibanco started paying quarterly dividends

  40. Annex II Ratings

  41. Unibanco Ratings Moody’s Global Scale: Foreign Currency Global Scale: Local Currency Long TermDebt Long Term Deposits Short Term Deposits Financial Strength Long Term Deposits Short Term Deposits Ba2 Ba3 NP - A1 P-1 Brazil Brazil Baa3(1) Ba3 NP C- A1 P-1 Unibanco Unibanco Standard and Poor’s Foreign Currency Local Currency Long Term Short Term Long Term Short Term BB Brazil Brazil BB+ B B Unibanco BB B Unibanco BB B Fitch Ratings Foreign Currency Local Currency Long Term Short Term Long Term Short Term BB B BB - Brazil Brazil Unibanco BB+ B Unibanco BB+ B (1) The Baa3 rating was attributed to the MTN Programme (Medium Term Note Programme) of Unibanco and also to the notes indexed to the IGP-M (General Market Price Index) and payable in US dollars issued by Unibanco Grand Cayman Branch.

  42. Brazilian Economy

  43. Perspectives Macroeconomic Perspectives 2006 2007 (E) Exchange Rate R$/US$ (Enf of Year) 2.20 2.10 Real GDP Growth (%) 2.9% 3.5% SELIC (End of Year) 13.25% 11.50% IPCA (Inflation) 3.1% 4.0% Trade Balance (US$) 46.1 bi 45.5 bi

  44. Investor Relationsphone: 5511-3584-1980fax: 5511-3584-1585email: investor.relations@unibanco.com site: www.ir.unibanco.com • This presentation contains forward-looking statements regarding Unibanco. its subsidiaries and affiliates - anticipated synergies. growth plans. projected results and future strategies. Although these forward-looking statements reflect management’s good faith beliefs. they involve known and unknown risks and uncertainties that may cause the Company’s actual results or outcomes to be materially different from those anticipated and discussed herein. These risks and uncertainties include. but are not limited to. our ability to realize the amount of the projected synergies and the timetable projected. as well as economic. competitive. governmental and technological factors affecting Unibanco’s operations. markets. products and prices. and other factors detailed in Unibanco’s filings with the Securities and Exchange Commission which readers are urged to read carefully in assessing the forward-looking statements contained herein. Unibanco undertakes no duty to update any of the projections contained herein.

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