Post on 14-Aug-2020
transcript
January 2019
3Q18 Investor Presentation
2
Presentation Outline
I. Overview
II. Financial Highlights
III. Ownership, Board and Management
IV. Environmental, Social and Governance
V. Awards and Citations
3
• The Philippines’ largest bank with total assets of P2.9 Tn (USD53.9 Bn).
• A full-service universal bank with one of the widest distribution networks consisting of more than 1,200 operating branches and over 4,000 ATMs nationwide.
• Part of the SM Group, one of the country’s largest conglomerates.
About BDO
Milestones• Expansion through organic growth and M&As
1967
KB license
1994
P77 BN
Merged with Dao Heng
Bank Philippines
2001
P36 BN
U/KB license
1996
Acquired 1st e-Bank’s banking business
P121 BN
2002
Acquired UOB Philippines’ branch banking business
P234 BN
2005 2012
Acquired Rural Bank of San Juan’s banking business
P1.2 TN
2014
Acquired Citibank
Savings, DB Trust
and Real Bank
P1.9 TN
Acquired One
Network Bank
2015
Acquired by SM Group
1976
Assets
P13 BN
P617 BN
Merged with Equitable PCI Bank.
Acquired Amex Savings Bank Philippines
2007 2016 2017
Joint Ventures with Nomura Securities, and Mitsubishi Motors
Phils./Sojitz/JACCS; Acquired exclusive franchise of Diners Club Int’l and full
control of Generali Pilipinas Life (renamed as BDO Life Assurance)
P2 TN
Est. as
Acme
Savings
Bank
2003
Acquired Banco Santander Philippines
P149 BN
P2.3 TN
2008 2009
Acquired GE Money Bank
P862 BN
P802 BN
Full-Service Bank StrategyNiche Strategy
#19 #17 #13 #9 #9 #5 #2 #1Ranking
Commercial Bank Expansion
P2.7 TN
5
Full Service Bank• Complete range of financial products and services
Corporate &
Institutional
Banking
Corporate and
middle market
lending
Trade finance
Specialized
lending
Financial
Institutions
Cross-border
financing
Consumer
Banking
Auto
Mortgage
Credit cards
Personal loans
Merchant
payment
processing
Leasing &
Finance
Direct lease,
sale and
leaseback
arrangements
Installment
paper
purchases
Receivable
discounting
and factoring
Branch
Banking
Deposit &
related products
Over-the-
counter
transactions
Cross-selling
distribution
platform
Treasury
Services
Fixed income
dealership
Foreign
exchange
transactions
Portfolio
management
Liquidity
management
Transaction
Banking
Cash
management
Electronic
banking
ATMs
Prepaid cards
Merchant
acquiring
Remittances
Trust
Banking
Investment
management
Unit investment
trust funds
Living trusts
Retirement
funds
Special trusts /
custodianship
Private
Banking
Wealth
advisory
Customized
portfolio
management
Investment
Banking
Underwriting &
distribution of
fixed income &
equity
securities
Fin’l advisory
Project finance
Loan
syndication
Stock
Brokerage
Equities trading
Online stock
trading
Insurance
Brokerage
(property &
casualty)
Bancassurance
(individual &
group life
insurance)
Rural
Banking
Salary loans
MSME loans
Deposit
products
Cash
management
Remittances
6
Market Reach• Wide and extensive coverage in key areas
25 International Offices
Europe - 1010 Remittance Offices
Middle East - 1Representative Office
Asia - 11 2 Full-service Branches
6 Remittance Offices
3 Representative Offices
North
America - 3 Remittance Offices
Philippines - 1,262
Branches
As of 28 December 2018
BDO ONB Total
Luzon 349 18 367
Metro
Manila573 1 574
Visayas 121 18 139
Mindanao 81 101 182
Total
Branches1,124 138 1,262
7
Business Franchise
#1
Customer
Loans
#1
Deposits#1
Remittances
#1
Assets Under
Management
#1
Private
Banking
Leading Trade
Services Provider2
Major Player in
Cash Management3
#1
Rural
Banking
#2
Leasing &
Finance
#1
Investment
Banking4
#1 Insurance
Brokerage5
• Market-leading positions in almost all business lines
#1
Credit
Cards1
Notes:1 In terms of cardholder base, merchant acquiring gross billings, and credit card receivables2 According to Asian Banking and Finance, Global Finance3 According to The Asset, The Asian Banker, Alpha South East Asia4 In terms of corporate issuances5 Among insurance brokers in terms of premiums produced and commissions earned
2,345
1,581 1,544 1,543
693 692468 448 442 410
LBP BPI MBT PNB CHIB SECB DBP UBP RCBC
1,947
1,325 1,283
737534 484 398 378 301 244
MBT BPI LBP PNB CHIB SECB RCBC UBP DBP
2,892
2,1411,963
1,782
906 814 735 637 635 618
MBT BPI LBP PNB CHIB SECB UBP DBP RCBC
8
Industry Ranking
Total Assets
(in PHP billions)
Source: Company data, consolidated statements of condition (SOC). Ranking as at 30 September 2018
Note: Financials prepared by banks under BSP’s SOC requirements differ slightly from reported financials under SEC
guidelines due to certain differences in accounting rules requested by the two authorities
Gross Customer Loans
Customer Deposits Assets Under Management
• No. 1 among Philippine banks
(in PHP billions) (in PHP billions)
(in PHP billions)
BDO Market Share – 19% BDO Market Share – 34%
BDO Market Share – 22%BDO Market Share – 18%
1,061
583
433328
131 117 92 86 86 46
BPI MBT LBP CHIB SCB PNB UCPBRCBCSECB
BDO Private Bank, Inc. 100%
BDO Capital & Investment Corporation 99.88%
BDO Leasing and Finance, Inc. BDO -87.43%, BDO Capital – 1.11%
One Network Bank, Inc. (A Rural Bank) 99.85%
BDO Remit (USA), Inc. 100%
BDO Remit (Japan) Ltd. 100%
BDORO Europe Ltd. 100%
BDO Remit (Canada) Ltd. 100%
Express Padala (HK) Ltd. 100%
BDO Remit(Italia) S.p.A. 100% (a)
BDO Remit Limited 100%
BDO Remit (Macau)Limited 100%
BDO Remit Int’l Holdings B.V. 96.32%
Averon Holdings, Inc. 100%
BDO Rental, Inc. 100%
MMPC Auto Financial Services Corp. 40%
BANKING / FINANCE
BDO Unibank, Inc.
Armstrong Securities 80% (b)
REMITTANCES INSURANCE PROPERTY
BDO Nomura Securities, Inc. 51%
BDO Strategic Holdings, Inc. 100%
BDO Insurance Brokers, Inc. 100%
BDO Life Assurance Company (formerly Generali Pilipinas Life Assurance Co.) BDO-97.0%, BDO Capital-3.0%
Equimark-NFC Development Corp. 60%
SM Keppel Land, Inc. 50%
Northpine Land, Inc. 20%
Taal Land, Inc. 33.33% (b)
Unicorn First Properties, Inc. 35% (a)
OTHERS
NLEX Corp. (formerly Manila North Tollways Corp.) 12.4%
Venture Industry for Business Enterprises 24% (a)
• With equity investments in allied and non-allied enterprises
Organizational Structure
** not yet operational.
(a) For dissolution(b) For sale
BDO Securities Corporation 100%
BDO Remit (UK) Ltd. (formerly CBN London Ltd.) 100%
CBN Greece S.A. 99.92% (a)
BDO Remit (Ireland) Designated Activity Company. 100%
CBN Remittance Center S.A. 99.99%
Stockholders of BDO
Financial Allied Subsidiary
Financial Allied Affiliate
Non-Financial Allied Subsidiary
Non-Allied UndertakingSubsidiary/Affiliates of BDO
Subsidiaries
Non-Financial Allied Affiliate
The Banker Top 1000 World Banks – Tier 1 Capital 2017
10
USD Million
231
Rank Origin Bank
235
232
234
237
238
239
240
233
236
5,421
5,419
5,403
5,391
5,344
5,289
5,203
5,140
5,114
5,067
Bank Gospodarstwa Krajowego
Taipei Fubon Bank
Iyo Bank
Mashreqbank
BDO Unibank
E. Sun Commercial Bank
Yes Bank
Bank Nederlandse Gemeenten
Qatar Islamic Bank
Landwirtschaftliche Rentenbank
5,344
3,611
3,325
1,940
1,782
1,415
1,088
1,014
0 1000 2000 3000 4000 5000 6000
MBT
BPI
SECB
PNB
CHIB
RCBC
UBP
The Banker Top Philippine Banks – Tier 1 Capital 2017
11
USD MillionBank
1
Rank
2
3
4
5
6
7
8
Acronyms:
BDO BDO Unibank PNB Philippine National Bank
BPI Bank of the Philippine Islands RCBC Rizal Commercial Banking Corp.
CHIB China Banking Corporation SECB Security Bank Corp.
MBT Metropolitan Bank& Trust UBP UnionBank of the Philippines
Note: Only private banks are included in the 2017 individual country rankings list
12
Credit RatingsMoody’s Fitch
09-Jul-2018 19-Nov-2018
Foreign Currency Bank Deposits/Issuer/Debt Rating (IDR)
Long Term Baa2 BBB-
Short Term P-2 F3
Outlook Stable Stable
Senior Unsecured debt
Long Term Baa2 BBB-
Short Term P-2
Outlook Stable
BCA/Viability/Financial Strength Rating
Baseline Credit Assessment (BCA) baa2
Adjusted BCA Rating baa2
Viability Rating bbb-
Financial Strength Rating
Outlook
Counterparty Risk (CR) Assessment
Long Term Baa1(cr)
Short Term P-2 (cr)
Counterparty Risk Rating (CRR)*
Foreign Currency
Long Term Baa1
Short Term P-2
Local Currency
Long term Baa1
Short Term P-2
*Ratings affirmed based on Fitch Press Release dated Nov. 19, 2018
Source: Moody’s, Fitch
13
Trading Fact SheetStock Details
Type Common Shares
Stock Ticker BDO
ISIN PHY077751022
Exchange Philippine Stock Exchange
Par Value P10.00
Outstanding No. of Shares* 4,374,048,064
Foreign Ownership Up to 40%
American Depositary Receipts (ADR) Program Details
Type Sponsored Level 1 ADR
ADR Ticker BDOUY
ISIN US05537Y305
Ratio 1 ADR = 10 Ordinary Shares
Depositary Bank Deutsche Bank Trust Company Americas
Contact Details
ADR Broker Helpline
Tel (New York) + 1 212 250 9100
Tel (London) + 44 207 547 6500
Email adr@db.com
ADR website www.adr.db.com
Depositary Bank's Local Custodian Deutsche Bank AG, Manila
*As of December 31, 2018
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Presentation Outline
I. Overview
II. Financial Highlights
III. Ownership, Board and Management
IV. Environmental, Social and Governance
V. Awards and Citations
9M18 P&L
(in PHP billion) 9M18 9M17 YoY% 9M18 9M17 YoY%
Interest Income 92.5 72.8 27% 90.4 71.0 27%
Loans & Other Receivables 82.5 64.1 29% 81.3 62.9 29%
Interest Expense 21.0 13.1 61% 20.9 12.8 63%
Net Interest Income 71.5 59.8 20% 69.6 58.2 20%
Non-interest Income 35.8 34.8 3% 28.2 25.5 10%
Fee Income 22.2 20.8 7% 21.6 20.0 8%
Insurance Premiums 8.7 7.2 21% - - -
Trading & FX 1.0 3.3 -71% 2.9 2.2 30%
Others 3.8 3.5 11% 3.7 3.3 9%
Gross Operating Income 107.3 94.6 13% 97.8 83.7 17%
Operating Expense 71.7 63.6 13% 63.3 54.6 16%
Ins. Reserves, Benefits and Claims 5.0 5.8 -13% - - -
Pre-Provision Operating Profit 35.5 31.0 15% 34.5 29.2 18%
Provisions 5.5 4.4 25% 4.9 4.1 20%
Net Income Before Tax 30.0 26.6 13% 29.6 25.1 18%
Taxes 8.6 6.2 39% 8.2 6.1 36%
Net Income 21.5 20.4 6% 21.4 19.0 13%
BDO Conso BDO ex-ONB & BDO Life
15
3Q18 Balance Sheet
(in PHP billion) 3Q18 3Q17 YoY%
Resources
Reserve Assets 528.7 561.3 -6%
Investment Securities 366.9 330.8 11%
Gross Customer Loans 1,959.4 1,669.8 17%
Investment Properties 18.9 15.5 22%
Other Assets 47.8 42.5 13%
Total Resources 2,921.7 2,619.9 12%
Liabilities
Deposits 2,345.9 2,090.4 12%
CASA 1,641.6 1,523.7 8%
Bills Payable/Sub-Debt 148.3 133.7 11%
Insurance Contract Liab. 25.8 25.7 0%
Other Liabilities 89.9 75.4 19%
Total Liabilities 2,609.9 2,325.2 12%
Total Capital 311.8 294.7 6%
Total Liabilities & Capital 2,921.7 2,619.9 12%
BDO Conso
16
16%
16%
20%
14%
17%19% 17%
15%
19%20%
17%
16%
18%17%
0%
5%
10%
15%
20%
25%
30%
2012 2013 2014 2015 2016 2017 3Q18
Industry
BDO
16%
8%
15% 17%
17%
22%
28%
15%
19%20%
17%
16%18%
17%
0%
5%
10%
15%
20%
25%
30%
2012 2013 2014 2015 2016 2017 9M18
Growth inInterest incomefrom Loans Only(YoY)
Loan Growth(YoY)
17
BDO Loan Growth vs. Industry
BDO Loan Growth vs. Interest Income Growth
a
aUKB, based on loans net of RRPs
BLR 5.0% 9.0% 9.4%
20.4(9M17)
14.5
22.6 22.8
25.026.2
28.1
21.5
12.0% 14.3% 13.7% 13.6% 12.7% 10.3% 9.5%
-500.0%
-400.0%
-300.0%
-200.0%
-100.0%
0.0%
0
5
10
15
20
25
30
35
2012 2013 2014 2015 2016 2017 9M18
(in P bn)
NetIncome
18
Capital & Leverage Ratios
BDO 3Q18a
CAR
Min. w/
BSP DSIB
Industry
ROE 12.7% 13.7% 11.0% 9.8% 10.5% 10.0% 9.3%
bUKB
b
a Per SOC, BSP
ROCE
Net Income & ROE
1Q18 7.9%
2Q18 9.7%
3Q18 11.0%
19
Income Statement(in PHP billion) 2012 2013 2014 2015 2016 2017 9M18
Interest Income 54.0 56.6 63.6 72.1 82.0 99.8 92.5
Interest Expense 17.9 13.4 12.4 15.2 16.4 18.0 21.0
Net Interest Income 36.1 43.2 51.2 57.0 65.6 81.8 71.5
Non-interest Income 24.4 31.8 29.5 31.8 41.6 47.2 35.8
Fee Income 13.4 15.5 18.0 19.4 22.2 28.9 22.2
Insurance Premiums - - - - 8.1 9.9 8.7
Trading & FX 8.2 12.8 7.1 7.2 4.8 3.9 1.0
Others 2.8 3.6 4.4 5.3 6.5 4.5 3.8
Gross Operating Income 60.5 75.0 80.7 88.8 107.2 129.0 107.3
Operating Expenses 39.5 43.3 48.5 55.1 70.0 84.9 71.7
Ins. Reserves, Benefits and Claims - - - - 5.7 7.5 5.0
Pre-Provision Operating Profit 21.1 31.8 32.2 33.7 37.2 44.1 35.5
Provisions 4.9 7.0 5.1 3.0 3.8 6.5 5.5
Income bef. Pre-Acquisition 16.1 24.8 27.1 30.7 33.4 37.6 30.0
Pre-Acquisition Income - - - - (0.4) - -
Taxes 1.6 2.1 4.2 5.7 6.8 9.5 8.6
Net Income 14.5 22.6 22.8 25.0 26.2 28.1 21.5
20
Balance Sheet(in PHP billion) 2012 2013 2014 2015 2016 2017 3Q18
Resources
Reserve Assets 201.4 491.5 488.4 461.7 511.0 511.1 528.7
Investment Securities 237.3 227.9 221.5 225.8 269.0 332.9 366.9
Gross Customer Loans 769.0 911.5 1,089.4 1,279.4 1,482.0 1,754.9 1,959.4
Investment Properties 9.1 10.4 13.9 14.6 15.2 18.0 18.9
Other Assets 24.8 31.5 50.5 49.9 47.8 51.2 47.8
Total Resources 1,241.5 1,672.8 1,863.6 2,031.3 2,325.0 2,668.1 2,921.7
Liabilities
Deposits 931.6 1,345.3 1,492.3 1,663.9 1,905.2 2,121.0 2,345.9
Bills Payable/Sub-debt 100.4 97.3 110.4 107.6 110.6 140.5 148.3
Insurance Contract Liab. - - - - 20.6 26.0 25.8
Other Liabilities 55.2 65.8 81.3 60.2 71.1 82.3 89.9
Total Liabilities 1,087.2 1,508.4 1,684.0 1,831.6 2,107.4 2,369.8 2,609.9
Total Capital 154.4 164.4 179.7 199.6 217.6 298.3 311.8
Total Liabilities & Capital 1,241.5 1,672.8 1,863.6 2,031.3 2,325.0 2,668.1 2,921.7
Financial Performance Indicators2012 2013 2014 2015 2016 2017 9M18
Profitability
Return on Ave. Common Equity 12.0% 14.3% 13.6% 13.6% 12.7% 10.2% 9.5%
Return on Average Assets 1.3% 1.6% 1.3% 1.3% 1.3% 1.1% 1.0%
Margins and Liquidity
Net Interest Margin (NIM) 3.4% 3.3% 3.2% 3.2% 3.2% 3.5% 3.6%
Loan to Deposit Ratio 82.5% 67.8% 73.0% 76.9% 77.8% 82.7% 83.5%
Liquid Assets to Total Assets 35.3% 43.0% 38.1% 33.8% 33.5% 31.6% 30.7%
Cost Efficiency
Cost to Income Ratio 65.2% 57.7% 60.1% 62.1% 65.3% 65.8% 66.9%
Cost to Assets Ratio 3.4% 3.0% 2.7% 2.8% 3.2% 3.4% 3.4%
Asset Quality
NPL Ratio 2.8% 1.6% 1.3% 1.2% 1.3% 1.2% 1.1%
NPL Cover 125.7% 170.7% 188.4% 166.1% 139.4% 146.2% 174.9%
Capital and Leverageb
CET1 .0% .0% 12.4% 11.3% 10.6% 12.9% 12.3%
Tier 1 Ratio 15.2% 14.6% 12.8% 11.7% 10.9% 13.1% 12.5%
Capital Adequacy Ratio (CAR) 19.1% 15.8% 14.6% 13.3% 12.3% 14.5% 13.9%
Basel III Leverage Ratio (BLR) 9.4%aAnnualized 5 6 7 8 9 10 11bPer SOC, BSP
Basel II Basel III
a
a
a
a
21
22
Presentation Outline
I. Overview
II. Financial Highlights
III. Ownership, Board and Management
IV. Environmental, Social and Governance
V. Awards and Citations
23
Shareholder Structure
• Majority owned by the SM Group
As of 30 September 2018
Name Nationality Shareholdings
Percentage
of
Ownership
SM Investments Corp. Filipino 1,750,930,649 40.04%
PCD Nominee Foreign 1,327,314,542 30.35%
PCD Nominee Filipino 799,647,139 18.28%
Multi-Realty Development Corporation
Shoemart, Inc.
Filipino
Filipino
282,890,230
90,024,395
6.47%
2.06%
Sub-Total, Top Shareholders 97.20%
Total Shares Outstanding* 4,373,300,839
Source: Top 100 Shareholders as of 30 September 2018
*Number of chares outstanding subsequently increased to 4,374,048,064 as of December 31, 2018 due to the purchase of additional common shares
by the Bank’s eligible senior officers pursuant to the Banks employee stock option/grant program and issuance of additional shares as a result of the
recently concluded stock rights offer.
24
Financial
Services
Property
Retail
Access to SM’s customer
network
• Over 18,000 PHL tenants
• More than 9,500 suppliers
• 4.0 million average daily foot
traffic
• In-house business
• Home mortgage financing
for SM property projects
New business
opportunity
• Goodwill from the SM
franchise
• Joint product development
SM expertise
• Middle market knowledge
• Expertise in retail market
and real estate
Branch locations
• Branches, ATMs in SM malls
• One of the leading property
developers in the country with
strong presence in mall operations
and housing developments
• Dominant domestic mall
developer/operator - 72 malls in
the Philippines with GFA of 8.2 mn
sqm (with 7 more malls in China)
• Largest local retail chain with 845
stores nationwide
• Increased presence in
discretionary retail with 1,304
outlets
• Biggest domestic banking
operations
• Interests in BDO and China Bank
The SM Group
• Harnessing synergies with the country’s largest conglomerate
7 directors out of 11 have an average of 35 years of banking
experience, including a former Partner and Head of Asia
Financials Research at Goldman Sachs
2 directors are practicing attorneys, and another one is a
Philippine bar topnotcher and member of the State Bar of
New York
• One of the strongest Board of Directors in the industry with extensive
banking and finance, legal and business background
Experienced
Bankers
Practicing
Lawyers
1 director is a successful businessman who has made his
mark in the field of retailing
Successful
Entrepreneur
Board of Directors
25
Board of Directors
• With broad business and professional experience
Henry T. Sy Senior
Chairman Emeritus — first appointed to the Board in 1976
Founder and Chairman of the SM Group of Companies
Started his entrepreneurship career in 1958
Chairman of SMIC, SM Prime Holdings and SM Dev. Corp.
Jesus A. Jacinto Jr.
Vice Chairman — first appointed to the Board in 1996
Chairman and President of BDO Insurance Brokers
Chairman and President of Jaces Corp.
MBA Columbia University
Teresita T. Sy
Chairperson — first appointed to the Board in 1977
Serves as Director in multiple subsidiaries of BDO
Vice Chairperson of SMIC and Director of other SM Group
companies, including Multi-Reality Dev. Corp.
Antonio C. Pacis
Director — first appointed to the Board in 2004
Director of BDO Capital
Corporate lawyer since 1967
Degree from Harvard Law School
Josefina N. Tan
Director — first appointed to the Board in 2007
President of BDO Private Bank
Former Director of EPCIB from 2005 to 2007
Former Director of Banco de Oro from 2001 to 2005
Nestor V. Tan
President and CEO — first appointed to the Board in 1998
Holds Directorships of numerous BDO subsidiaries
Director of the Bankers Association of the Philippines
MBA Wharton School
Dioscoro--Roy I. Ramos
Independent Director — first appointed to the Board in 2016
CIO of RY&S Investments Ltd., Hong Kong since 2011
Former Partner and Head of Asia Financials Research from
1994 to 2011 at Goldman Sachs
Jimmy T. Tang
Independent Director — first appointed to the Board in 1984
Serves as Independent Director since 2002
Previously served as Director since 1984
Chairman and President of AVESCO Group of Companies
Gilberto C. Teodoro
Independent Director – first appointed to the Board in 2014
Served as Secretary of National Defense from 2007-2009
Masters of Laws from Harvard Law School
Topnotcher, 1989 Philippine Bar Examinations
Jones M. Castro Jr.
Independent Director — first appointed to the Board in 2012
Served as Head for South Asia and SEA at Wells Fargo Bank
MBA Stanford University
Jose F. Buenaventura
Independent Director — first appointed to the Board in 2013
Senior Partner of Romulo Mabanta Buenaventura Sayoc & De
Los Angeles Law Offices since 1976
Master of Laws from Georgetown University Law Center
Christopher A. Bell-Knight
Director — re-elected to the Board in 2013
Previously served as BDO Director from May 2005 - Sep 2010
Former VP and Country Head of the Bank of Nova Scotia
Associate of the Chartered Institute of Bankers - British
Senior Management Team • With extensive professional banking expertise
Corporate Support
Joseph Gerard D. Tiamson
Head — COG Transaction Processing
With BDO since 2016
Over 30 years of banking experience
Frederic Mark S. Gomez
Head — I.T.
With BDO since 2017
Over 21 years financial services experience
Evelyn C. Salagubang
Head — HRG Recruitment
With BDO since 2007
Over 25 years experience in HR
Lucy Co Dy
Head — Comptrollership
With BDO since 1985
Over 30 years of banking experience
Edwin Romualdo G. Reyes
Head — Transaction Banking
With BDO since 2015
Over 30 years banking experience
Evelyn L. Villanueva
Head — Risk Management
With BDO since 2002
Over 30 years of banking experience
Luis S. Reyes Jr.
Head — IR & Corplan
With BDO since 2003
Over 30 years of banking experience
Atty. Federico P. Tancongco
Head — Compliance
With BDO since 2005
Over 24 years of banking experience
Alvin C. Go
Head — Legal
With BDO since 2013
In the practice of law for 30 years
Maria Theresa L. Tan
General Manager — BDO Insurance
With BDO since 2009
22-year banking and insurance experience
Albert Santiago Yeo
Head — Private Banking
With BDO since 2017
Over 32 years banking experience
Eduardo V. Francisco
Head — Investment Banking
With BDO since 1999
30 years banking experience
Ador A. Abrogena
Head — Trust and Investments
With BDO since 1990
Over 30 years of banking experience
Walter C. Wassmer
Head — Business Lending
With BDO since 1997
Over 30 years of banking experience
Rolando C. Tanchanco
Head — Consumer Lending
With BDO since 2004
Over 25-year banking experience
Jaime C. Yu
Head — Branch Banking
With BDO since 1997
Over 34 years of banking experience
Dalmacio D. Martin
Head — Treasury
With BDO since 2009
Over 30 years of banking experience
Products, Services and SubsidiariesIntermediation
Nestor V. Tan
President and CEO With BDO since 1997
Over 30 years of banking experience
Roberto E. Lapid
President — BDO Leasing and Finance
With BDOLF since 1993
Over 34 years of banking experience
Estrellita V. Ong
Head — Internal Audit
With BDO since 2011
Over 23 years experience in audit
Renato Vergel de Dios
CEO & Director – BDO Life Assurance Co. Inc.
With BDO since 2016
Over 40 years of experience in insurance
Jesus Antonio Saldaña Itchon
President, One Network Bank
With BDO since Sep. 15, 2017
Over 30 years of banking experience
Maria Cecilia G. Fonacier
Head — Marketing Communications
With BDO since 2017
Over 20 years of banking experience
Grace C. Palomar
Head — HRG Training & Org Dev’t
With BDO since 2015
Over 37 years experience in HR
Sixto Sison Gaddi
Head — HRG Workforce Management
With BDO since 2018
Over 25 years experience in HR
Aurea Imelda S. Montejo
Head — COG Enterprise Support
With BDO since 1992
Over 26 years of banking experience
Gregorio C. Severino
Head — COG Transaction Banking
With BDO since 1996
Over 32 years of banking experience
Myla R. Untalan
Head — Digital Infrastructure
With BDO since 2003
Over 25 years of banking experience
28
Presentation Outline
I. Overview
II. Financial Highlights
III. Ownership, Board and Management
IV. Environmental, Social and Governance
V. Awards and Citations
Sustainable Development ProgramsFinding Ways through Innovative Banking
424,229
32School buildings built with 112 classrooms serving 16,600 students
50
4,751,660
Health centers rehabilitated with
total population covered
536Disaster-resilient homes built
Of which 88 units are for PWDs
and their families in a model community, the first of its kind in the country
Period covered: Disaster Relief: 2008-2017Rural Health Centers: 2012-2017School Buildings: 2012-2017Housing resettlement: 2009-2017
Sustainable Development ProgramsFinding Ways through Innovative Banking
77% Female Employees
PHP14.1 billion of
Sustainable Energy Finance Projects
US$150 million for
green bond in the Philippines
Green facility in partnership with Japan Bank for International Cooperation million
636,545 tonnes of CO2e avoided
per year equivalent to:
485.6 MWH capacity of renewable
energy generated
136,305 passenger vehicles off
the road
16,321,660 tree seedlings grown
for 10 years
Period covered: Gender Equality Data: As of 2017Alternative and Clean Energy Data: As of 2017Environmental and Social benefits from BDO Green Financing Program
Sustainable Development ProgramsFinding Ways through Innovative Banking
ESG EQUITY FUND
Over PhP 22 MillionRaised to-date*
Period covered: Life Below Water Data: 2016* From 2011-2017
Sustainable Development ProgramsFinding Ways through Innovative Banking
Governance principles of fairness, integrity, transparency, accountability and performance consistently applied throughout the institution
Annual Self-Assessment of the Board, Board Committees, Directors, Advisers, and Senior Management to gauge performance, competence and the ability to manage the Bank
Non-executive Directors including Independent Directors now comprise 90.91% of board strength, more than the requirements of the BSP of at least majority of the Board
Term limit of Independent Directors at nine (9) years in accordance with international best practice
ESG Recognition / Awards
Silver Awardee Corp Governance Scorecard
Awardee for ten (10) consecutive years
Among the Best Companies in the Philippines in CSR and
Environmental Responsibility
Platinum
Award
Among the recipients of the 6th and 7th Asian Excellence
Award
Corporate Governance Asia
Teresita T. Sy-Coson Asian Corporate Director Award
Institutional InvestorOne of the 15 Recipients of the
Institutional Investor Governance
Awards 2016
ASEAN Corporate
Governance Scorecard Among the Top 50 Publicly-Listed
Companies 2013-2015
Asian
Banking &
Finance
Corporate Social Responsibility Program of the Year - Silver
BDO Unibank is a constituent
of the FTSE4Good Index
http://www.ftse.com/product
s/indices/FTSE4Good
34
Presentation Outline
I. Overview
II. Financial Highlights
III. Ownership, Board and Management
IV. Environmental, Social and Governance
V. Awards and Citations
35
Awards and Citations, 2014-2018
Best Bank in the Philippines
Asiamoney
FinanceAsia
Euromoney
Global Finance
Philippine Bank of the
Year 2016
Charlton East Coles
Top 15, Philippine Company of
the Year 2016
The BankerBank of the Year, Philippines
The AssetBest Domestic bank, Philippines
(2014-2017)
The Asian BankerStrongest Bank, Philippines
Best
Debt/Equity,
M&A
House
Best
Investment
Bank
Best
Private
Bank
Best Project
Finance
Bank
Best Retail &
Wholesale
Bank
36
Awards and Citations, 2014-2018
Best
Investment
Bank/Deals
Best
Private
Bank
Best Project
Finance
Bank/Deals
Best
Wholesale
Bank
Fund House of the
Year - Philippines
Best in Treasury & Working
Capital – SMEs in the
Philippines
FinanceAsia
FinanceAsia FinanceAsia
The Asset The AssetThe Asset
The AssetThe Asset
Euromoney
Global Finance
Asian Private
Banker
Asiamoney Asiamoney
AsianInvestor
Euromoney
Asiamoney
Project Finance
MagazineGlobal Finance
World FinanceBest Investment Management
Company
Best
in Trade
Finance
Best in
Fund
Management
Best
FX Bank/
Provider
37
Awards and Citations, 2014-2018
Best
in Internet
Banking
Best
Retail Bank
The Asset
Best in
Internet
Banking
Best
in Trade
Finance
Best in Deposit Initiatives
The
Asian Banker
Best
in Cash Mgt. &
Transaction
Banking
Best
FX Bank/
Provider
Best in
Social Media
Initiatives
The
Asian Banker
The
Asian BankerBest Retail Bank in the
Philippines
Best Trade Finance
Provider in the
Philippines
2016 Cash
Management Poll as
voted by Corporates
On-line Banking Initiative of the Year
Automotive Lending Initiative of the Year
Mortgage & Home Loan Product of the Year
The
Asian Banker
Asian Banking &
Finance
Asiamoney
Asian
Banking &
Finance
Asian
Banking &
Finance
Global Finance
BSP
Outstanding PhilPaSS
Participant Servicing
Customer ePayments for
Commercial Banks
Gold Award - Top
Commercial Bank that
Generate the Largest
Overseas Filipino
Remittances
Asian
Banking &
FinanceSocial Media Initiative of
the Year
The AssetBest Retail Social-Media
Banking Experience, Philippines (2015-2017)
The Asset
The Mortgage Product of the Year (2018)
Mortgage Business of the
Year
Excellence in
Investor
Relations
Best
in Trade
Finance
Best in
Fund
Management
Best
FX Bank/
Provider
38
Awards and Citations, 2014-2018
Best
in Internet
Banking
Asiamoney
FinanceAsia
Among the Most Trusted Brands
Reader’s Digest
Asset Management Company of the Year
The AssetImpact Investor of the Year
Award
Best
FX Bank/
Provider
Best
in Fund
Management
Excellence in
Leadership &
Management
Excellence in
Investor
Relations(Individual Awards)
Best Managed Company in the Philippines – Large Cap
FinanceAsiaAmong the Best Managed Public
Companies
Asiamoney
Nestor V. TanBest Executive
Most Organized Investor Relations
Among the Best Investor Relations Companies in the
Philippines
Among the Best Senior Management IR Support
Teresita T. Sy-CosonAsia’s Best CEO Award
Pedro M. Florescio One of Asia’s Best CFOs (IR)
Best FX Provider in the
Philippines
Best Investment
Management Company -
Philippines
Teresita T. Sy
Management Man of
the Year 2016
Among the Best at
Investor Relations
FinanceAsiaManagement
Association of
the Philippines
World Finance
Global Finance
Corporate
Governance
Asia
Luis S. Reyes, Jr.Best IR Professionals (Phils)
Corporate
Governance
Asia
Nestor V. Tan.Asia’s Best CEO AwardBest Corporate Communications
Best Wealth Manager, Philippines (2017)
Institutional
InvestorNestor V. Tan
Best CEO – Emerging Markets (Philippines)
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40
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