Schroders Yearly Results 2006.


67 views
Uploaded on:
Category: Product / Service
Description
Benefit Before Tax. Figures 2001-2003 taking into account UK GAAP, figures to 2004 ... Benefit Before Tax. Figures 2001-2003 in light of UK GAAP, figures to 2004 onwards in view of ...
Transcripts
Slide 1

Schroders Annual Results 2006 29220

Slide 2

Forward-Looking Statements These presentation slides contain forward-looking explanations and gauges regarding the monetary condition and aftereffects of the organizations of Schroders plc and its auxiliaries These announcements and estimates include danger and vulnerability since they identify with occasions and rely on circumstances that may happen later on There are various variables that could bring about real results or improvements to contrast substantially from those communicated or suggested by those forward-looking articulations and figures. Nothing in this declaration ought to be interpreted as a benefit gauge 29220

Slide 3

2006 Results Michael Dobson Chief Executive 29220

Slide 4

Financial Results Jonathan Asquith Chief Financial Officer 29220

Slide 5

Overview Profit before assessment £290.0 million (2005: £250.7 million) Asset Management benefit before duty £219.0 million (2005: £193.9 million) Private Banking benefit before assessment £26.9 million (2005: £6.3 million) Private Equity benefit before assessment £34.6 million (2005: £40.3 million) Funds under administration £128.5 billion (31 December 2005: £122.5 billion) Total profit for the year of 25.0 pence per offer (2005: 21.5 pence per offer) 29220

Slide 6

Profit Before Tax £mn Figures 2001-2003 in view of UK GAAP, figures to 2004 onwards in light of IFRS 29220

Slide 7

Profit Before Tax Asset Management £mn 193.9 Figures 2001-2003 taking into account UK GAAP, figures to 2004 onwards in view of IFRS Figures 2001-2003 incorporate Private Banking 29220

Slide 8

Profit Before Tax Private Banking £mn Figures 2001-2003 in light of UK GAAP, figures to 2004 onwards taking into account IFRS 29220

Slide 9

Profit Before Tax Private Equity and Group £mn IFP Figures 2001-2003 in view of UK GAAP, figures to 2004 onwards taking into account IFRS 29220

Slide 10

290.0 Gain on suspended Underlying 2005 pre charge outsourcing venture benefit Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 300 (20.4) 250 200 150 250.7 230.3 100 50 0 2005 pre charge benefit 2006 pre charge benefit 29220

Slide 11

290.0 Underlying Asset Management net pay Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 300 107.8 250 200 150 230.3 100 50 0 2005 pre charge benefit 2006 pre charge benefit Underlying Asset Management net wage (£mn) 2005 2006 Difference Revenue External expense of offers Asset Management gross benefit Net premium and other salary Underlying net income 667.8 (128.8) 539.0 8.8 547.8 811.1 (166.2) 644.9 10.7 655.6 143.3 (37.4) 105.9 1.9 107.8 29220

Slide 12

290.0 Underlying Asset Management costs Management net wage Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 300 (62.6) 107.8 250 200 150 230.3 100 50 0 2005 pre charge benefit 2006 pre charge benefit Asset Management costs (£mn) 2005 2006 Difference Asset Management staff costs Asset Management different costs Asset Management all out costs (264.5) (109.5) (374.0) (297.6) (139.0) (436.6) (33.1) (29.5) (62.6) 29220

Slide 13

290.0 Asset Management costs Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 45.2 300 (62.6) 107.8 250 200 150 230.3 100 50 0 Underlying Asset 2005 pre charge benefit 2006 pre charge benefit Management net pay Underlying Asset Management benefit (£mn) 2005 2006 Difference Underlying benefit before duty 173.8 219.0 45.2 29220

Slide 14

290.0 Underlying Asset Underlying Private Management benefit Banking benefit Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 20.9 300 250 45.2 200 150 230.3 100 50 0 2005 pre charge benefit 2006 pre charge benefit Underlying Private Banking benefit (£mn) 2005 2006 Difference Revenue External expense of offers Gross benefit Costs Underlying benefit before expense 74.1 (2.0) 72.1 (66.1) 6.0 98.5 (2.8) 95.7 (68.8) 26.9 24.4 (0.8) 23.6 (2.7) 20.9 29220

Slide 15

290.0 Underlying Asset Underlying Private Management benefit Banking benefit Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 (5.7) 20.9 300 250 45.2 200 150 230.3 100 50 0 2005 pre charge benefit Private Equity benefit 2006 pre charge benefit Private Equity (£mn) 2005 2006 Difference Profit before assessment 40.3 34.6 (5.7) 29220

Slide 16

290.0 Underlying Asset Underlying Private Management benefit Banking benefit Group Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 (5.7) (0.7) 20.9 300 250 45.2 200 150 230.3 100 50 0 2005 pre charge benefit Private Equity benefit 2006 pre charge benefit Group (£mn) 2005 2006 Difference Gross benefit Surplus space Administrative costs Net premium and other wage Profit before assessment 30.8 (9.2) (32.0) 20.6 10.2 31.0 (4.5) (29.2) 12.2 9.5 0.2 4.7 2.8 (8.4) (0.7) 29220

Slide 17

290.0 Underlying Asset Underlying Private Management benefit Banking benefit Group Profit Before Tax Reconciliation – 2005 to 2006 £mn 350 (5.7) (0.7) 20.9 300 250 45.2 200 150 230.3 100 50 0 2005 pre charge benefit Private Equity benefit 2006 pre charge benefit 29220

Slide 18

Costs Total Group £mn 2005 2006 309.8 154.4 9.2 10.9 484.3 345.2 185.1 4.5 7.5 542.3 Staff costs Other costs Surplus space procurements Depreciation and amortization Total authoritative costs 29220

Slide 19

Costs Total Group £mn 700 542.3 600 520.0 484.3 470.1 500 408.6 406.2 400 300 200 100 0 2001 2002 2003 2004 2005 2006 Staff Costs Non-staff Costs Figures 2001-2003 taking into account UK GAAP, figures to 2004 onwards in view of IFRS 29220

Slide 20

Compensation Costs: Operating Revenues 70% 57% 56% 60% 51% 47% half 40% 30% 20% 10% 0% 2001 2002 2003 2004 2005 2006 Figures 2001-2003 taking into account UK GAAP, figures to 2004 onwards in light of IFRS 29220

Slide 21

Cost: Income Ratio 120% 102% 96% 100% 86% 80% 66% 65% 60% 40% 20% 0% 2001 2002 2003 2004 2005 2006 Figures 2001-2003 in light of UK GAAP, figures to 2004 onwards in light of IFRS 29220

Slide 22

Capital Allocation 31 December 2006 £mn 31 December 2005 Regulatory Other working Goodwill & Intangibles Liquid finances Third gathering flexible investments Other Schroders stores Private Equity Leasing Total 230.0 208.2 24.6 411.9 134.3 165.9 160.9 7.0 1,342.8 258.6 322.3 73.5 311.8 138.4 163.7 168.2 6.9 1,443.4 29220

Slide 23

Funds Under Management 31 Dec 2006 (31 Dec 2005) By customer sort By customer habitation 29220

Slide 24

Funds Under Management 31 Dec 2006 (31 Dec 2005) By resource sort Equities Fixed Income 29220

Slide 25

Movements in Funds Under Management £bn Institutional Retail Private Banking Total 31 December 2005 Purchase of NFC Net resource (misfortunes)/picks up Market development 31 December 2006 78.7 1.4 (8.0) 5.3 77.4 36.0 0.0 3.8 2.7 42.5 7.8 0.0 0.4 8.6 122.5 1.4 (3.8) 8.4 128.5 29220

Slide 26

Gross Profits and Margin 2005 2006 Gross Profit Margin (bps) Gross Profit Margin (bps) £mn Institutional Retail Total Asset Management Private Banking 254.1 284.9 539.0 72.1 35 85 51 105 295.6 349.3 644.9 95.7 38 89 55 117 29220

Slide 27

Pence per offer £mn Pence per offer £mn Pence per offer £mn Dividends and Earnings Per Share 2005 2006 2004 Interim Final Basic income per offer Diluted income per offer 6.5 13.5 20.0 18.8 39.2 58.0 53.5p 53.1p 7.0 14.5 21.5 20.3 42.0 62.3 65.7p 65.1p 7.5 17.5 25.0 21.4 49.7 71.1 76.9p 75.7p 29220

Slide 28

Distribution Massimo Tosato Global Head of Distribution 29220

Slide 29

The Market Long Term Trends Defined Contribution Schemes Personal Savings Demographics: Defined Benefit Schemes Channels Growth of individual and "instividual" reserve funds Products Outcome situated items Strategic arrangements 29220

Slide 30

Schroders\' Positioning inside these Trends Channel Product Geography 29220

Slide 31

1996 2006 1.2 12 19 48 5 39 179 107 789 37 An International Example The Luxembourg common asset stage FUM ( € bn) Headcount Subfunds Share Classes Countries Outsourced: treasury, store bookkeeping, store care, stock loaning 29220

Slide 32

Gross Sales £bn 35.3 CAGR = +35.6% 28.6 23.7 20.3 10.7 7.7 29220

Slide 33

Investment Alan Brown Global Head of Investment 29220

Slide 34

Investment Performance % of Institutional and Retail resources above and underneath benchmark 3 years to 31 December 2006 Retail Institutional Above benchmark Below benchmark 29220

Slide 35

Opportunities: Pacific ex-Japan European Equities Property – SEPUT & FoFs Performance & Capacity Institutional Asset Allocation & Diversification Our Traditional Business Challenges: UK Multi-Asset Japan Equities Continued Restructuring Performance 29220

Slide 36

Harnessing Change Catalysts Accounting Rules and Regulation Defined Benefit Defined Contribution Two Themes Diversification Outcome Oriented Strategies 29220

Slide 37

Diversification Multi-Asset group Schroder Property Alternative Investments Group NewFinance Capital DGF Equity return at lower unpredictability Property Securities Global expansion and liquidity Commodities Diversification and genuine resource Hedge Fund of Funds Best of breed broadening 29220

Slide 38

Outcome Oriented Strategies LDI Liability coordinating portfolios Structured Products Capital certifications, pay items Absolute and Total Return Credit notes, key security Benchmark Unaware Global dynamic worth, enhanced Sharpe proportions Multi-Asset group Multi-Asset group Fixed Income Quantitative Equity 29220

Slide 39

Private Banking Philip Mallinckrodt Global Head of Private Banking 29220

Slide 40

Private Banking Summary Considerable advancement in 2006 Positioning for development over next five years Integrated plan of action for our banks in UK, Guernsey and Switzerland 29220

Slide 41

Management Priorities in 2006/7 Integrat

Recommended
View more...