5
Most key operating ratios were better
9M 2004
3Q 2003
3Q 2004
a
2Q 2004
a
9M 2003
Net interest margin 1.83
1.79 1.72
1.81 1.76
Non-interest incometotal income 41
38 47
43 45
Costincome 45 46
41 43
43 GAAP ROE
9.0 9.0
8.0 10.5
6.8 Cash ROE
11.7 11.9
10.9 13.3
9.7 Loansdeposits
63 60
60 63
60 Loan + non-trading debt securities
deposits
84 81
78 84
78 NPL ratio
2.6 3.0
5.7 2.6
5.7
a Excluding one-time gains of 497m in 2Q04
6
Interest margins highest in six quarters
Sm
Net interest margin
599 588
634 651
645 1,930
2,375 2,645
560 628
1.83 1.79
1.79 1.81
1.72 1.68
1.87 1.81
1.78 1.99
2002 2003
9M 2004
1Q 2Q
3Q 4Q
1Q 2Q
3Q
2003 2004
If DTDB had been deconsolidated, net interest income would have been 566m in 3Q03 and 627m in 2Q04. Net interest margin would have been 1.70 and 1.77 respectively.
7
Customer loans rose 10 from year ago ex-DTDB
Sm
DTDB loans
2,883 2,915
2,915 67,221
65,053
59,940 61,019
61,420 62,429
2,774 3,275
Jun Sep
Dec Mar
Jun Sep
3
62,714 63,902
64,335 65,344
68,328
2003 2004
4 2
1
8
Non-interest income boosted by better treasury income and wealth management revenue in 3Q
548 852
627 275
183 241
153 342
121 213
164 31
44 13
21 25
28 13
88 87
60 797
884
247 240
277 251
259 160
764
442 405
632 425
525 424
448 41
58 51
40 43
47 43
43 36
38 44
50
300 600
900 1200
1500
2002 2003
9M 2004
1Q 2Q
3Q 4Q
1Q 2Q
3Q
Dividend rental Other income
Fee income
Sm
Non-interest income total income
b
2003 2004
1,405 1,823
b
1,479
b b
35
a
a
a Excluding one-time gains of 96m b Excluding one-time gains of 497m
9
1,068 1,078
1,224 891
710 1,396
4,824
4,199
1,047 1,004
1,370 1,403
1,515 1,168
1,516 1,061
775
880
2,826 3,982
3,039 1,552
379 65
453
2,226 8,806
2,059 2,739
2,481 2,438
2,065 1,822
7,025
4,434
2,005
1998 1999 2000 2001 2002 2003 9M
2004 1Q
2Q 3Q
4Q 1Q
2Q 3Q
Singapore Hong Kong
Sm
Retail wealth management sales picked up in 3Q
2003 2004
10
Treasury income better than 2Q04
T
Better Treasury non-interest income compared to 2Q04 from higher trading gains
T
Treasury non-interest income lower compared to favourable 3Q03 base
T
DEaR returned to more normal levels after temporary rise at end-2Q04
1 Jul 2003 to 30 Jun 2004
1 Oct 2003 to 30 Sep 2004
Average DEaR DEaR as at
30 Sep 2004
Sm
26.1 6.9