UOB released its full year results today. Its net profit reduced by 4.1 per cent from 2010 to $2.33 billion. Though its total income increased, but its net profit was impacted by higher operating expenses and higher impairment charges due to loans growth. Share of associates’ profits were lower also.
Return on Equity declined by 1.8 percentage points to 11.1 per cent. Non-performing loan rate (NPL) was 0.1 percentage point lower at 1.4 per cent.
|NPL ratio||1.4%||1.5%||-0.1% pt|
|Dividend (Total)||60 cents||70 cents||– 10 cents|
|Net Asset Value per share||$13.23||$12.80||+3.4%|
Earnings per share declined 9 cents to $1.43. UOB proposed total dividend of 60 cents, which is the same as in 2010 except that no special dividend was recommended for 2011 (10 cents special dividend in 2010). Dividend payout ratio of 42 per cent for 2011 is lower than 2010 at 46 per cent (inclusive of special dividend).
Net asset value per share improved by 3.4 per cent to $13.23. Based on share price today (23 Feb 2012) of $18.40, price to book ratio is 1.39.
Of the three local banks of DBS, OCBC and UOB, DBS outperformed the other two banks on the basis of strongest net profit for the whole year. OCBC and UOB were quite comparable, with UOB slightly ahead of OCBC.
Some more information on UOB:
|Net Interest income||$3.6b||$3.5b||+4.1%|
|Net Interest margin||1.92%||2.09%||-17 basis points|
|Capital Adequacy – Tier 1||13.5%||14.0%|
|Capital Adequacy – Total||16.7%||17.5%|
Share price for 2011:
Last Done $15.27
Price to NAV: 1.33 times
Copyright © 2012, limkimtong for Living Investment
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