My first Publication ocbc_ar17_fullreport_english | Page 136

MANAGEMENT DISCUSSION AND ANALYSIS
(OCBC Group – As at 31 December 2017)
OVERVIEW
2017
Selected Income Statement Items (S$ million)
Net interest income
Non-interest income
Total income
Operating expenses
Operating profit before allowances and amortisation
Amortisation of intangible assets
Allowances for loans and impairment of other assets
Operating profit after allowances and amortisation
Share of results of associates
Profit before income tax
Net profit attributable to shareholders
Cash basis net profit attributable to shareholders (1)
Selected Balance Sheet Items (S$ million)
Ordinary equity
Total equity (excluding non-controlling interests)
Total assets
Assets excluding life assurance fund investment assets
Loans and bills receivable (net of allowances)
Deposits of non-bank customers
5,423
4,213
9,636
(4,034)
5,602
(104)
(671)
4,827
389
5,216
4,146
4,250
2016
5,052
3,437
8,489
(3,788)
4,701
(96)
(726)
3,879
396
4,275
3,473
3,569
37,509
39,008
454,938
381,011
234,141
283,642 35,507
37,007
409,884
347,911
216,830
261,486
97.6
100.0
97.4
8.96
11.33 82.2
84.5
82.2
8.49
10.03
Key Financial Ratios (%)
Return on equity (2)(3)
Return on equity – Cash basis (2)(3)
Return on assets (4)
Return on assets – Cash basis (4) 11.2
11.5
1.14
1.17 10.0
10.3
1.03
1.06
Net interest margin
Non-interest income to total income
Cost-to-income
Loans-to-deposits
Non-performing loans ratio 1.65
43.7
41.9
82.5
1.5 1.67
40.5
44.6
82.9
1.3
Total capital adequacy ratio (5)
Tier 1 capital adequacy ratio (5)
Common Equity Tier 1 capital adequacy ratio (5)
Leverage ratio (6)
Singapore dollar liquidity coverage ratio (7)
All-currency liquidity coverage ratio (7) 17.2
14.9
13.9
7.3
262
148 17.1
15.1
14.7
8.2
272
132
Per Ordinary Share
Basic earnings (cents) (2)
Basic earnings – Cash basis (cents) (2)
Diluted earnings (cents) (2)
Net asset value – Before valuation surplus (S$)
Net asset value – After valuation surplus (S$)
+/(-) %
7
23
14
6
19
8
(7)
24
(2)
22
19
19
6
5
11
10
8
8
Excludes amortisation of intangible assets.
Calculated based on net profit less preference dividends and distributions on other equity instruments paid and estimated to be due at the end of
the financial year.
(3)
Preference equity, other equity instruments and non-controlling interests are not included in the computation for return on equity.
(4)
Computation of return on assets excludes life assurance fund investment assets.
(5)
Capital adequacy ratios are computed based on Basel III transitional arrangements.
(6)
Leverage ratio is computed based on the revised MAS Notice 637 on Risk Based Capital Adequacy Requirements for Banks incorporated in Singapore.
(7)
Liquidity coverage ratios (LCR) are computed based on MAS Notice 649 on Minimum Liquid Assets and Liquidity Coverage Ratio, and is reported based
on the average LCR for the respective financial years.
Amounts less than S$0.5 million are shown as “0”.
(1)
(2)
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OCBC ANNUAL REPORT 2017