1
Consolidated Resultsfor the Period EndedDecember 31, 2001
Conference CallFebruary 22, 2002
2
Net Income and EquityNet Income and Equity
Net Income (R$ million) 241 300 183 (19.7)% 31.7%
Earnings/1000 shares (R$) 1.72 2.15 1.49 (20.0)% 15.4%
Equity (R$ million) 6,072 6,065 5,504 0.1% 10.3%
ROAE (%) 16.8 21.9 17.6 - -
ROAA (%) 1.7 2.1 1.7 - -
Basle Ratio (%) 13.7 13.3 16.5 - -
YoY%QoQ% 4Q00 3Q014Q01
Note: Basle Ratio according to the Central Bank of Brazil.
3
Managerial Impact of Investments Abroad Managerial Impact of Investments Abroad
In R$ million
Exchange rate fluctuation on investments abroad (324.7) 310.6 125.2
Hedge on investments abroad 188.2 (141.8) (46.5)
Managerial net impact (136.5) 168.8 78.7
Opportunity Cost (73.8) (75.7) (64.5)
Managerial impact of investments abroad (210.3) 93.0 14.2
4Q01 3Q01 2Q01
4
Net Income and EquityNet Income and Equity
Net Income (R$ million) 972 739 31.5%
Earnings/1000 shares (R$) 6.95 6.02 15.4%
Equity (R$ million) 6,072 5,504 10.3%
ROAE (%) 16.8 17.5 -
ROAA (%) 1.8 1.8 -
Basle Ratio (%) 13.7 16.5 -
YoY% 20002001
Earnings per 1000 shares - R$
2.99
4.38 4.585.57 6.02
6.95
1996 1997 1998 1999 2000 2001
CAGR = 18.4%
15%
5
Exchange rate fluctuation on investments abroad 281.9
Hedge on investments abroad (77.9)
Managerial net impact 204.0
Opportunity cost (291.3)
Managerial impact of investments abroad (87.3)
2001
Managerial Impact of Investments Abroad - 2001 Managerial Impact of Investments Abroad - 2001
In R$ million
6
Loan PortfolioLoan Portfolio
In R$ million
YoY%QoQ%Dec/00Sep/01Dec/01
4,912 4,505 3,422 9.0% 43.5%495 479 507 3.3% (2.4)%799 853 948 (6.3)% (15.7)%
2,947 2,505 2,367 17.6% 24.5%
General Purpose Lending Trade Finance
Consumer CreditReal EstateLeasingCredit Cards
12,914 12,647 10,569 2.1% 22.2%
3,291 3,847 3,802 (14.5)% (13.4)%
Subtotal 16,205 16,494 14,371 (1.8)% 12.8%
Subtotal 9,153 8,342 7,244 9.7% 26.4%
Total 25,358 24,836 21,615 2.1% 17.3%
7
Total GrowthUnibanco + Bandeirantes
Fininvest/Credi Luiza andInvestcred
Sep/01 Dec/01Dec/00
23,844
23,801
25,457
25,827
1,613
22,148
2,026
14.9%
1.5%16.6%
Note: Investcred and Magazine Luiza consolidated from December 2001.
In R$ million
20,695
1,453
Fininvest: R$ 1,690 MMCredi Luiza: R$ 45 MMInvestcred: R$ 291 MM
Loans and GuaranteesLoans and Guarantees
8
41%
59%
42%
58%
WholesaleBanking
RetailBanking
R$ 22.1 Billion R$ 25.8 Billion16.6%16.6%
Retail + 19% Wholesale +16%Retail + 19% Wholesale +16%
December 2000 December 2001
Loans and Guarantees Breakdown Loans and Guarantees Breakdown
WholesaleBanking
RetailBanking
9
1%
3%
5%
7%
52%
4%
4%3%
20%
54%1%
3%5%
7%
19%
2%7%
3%
Individuals 35%
Corporate 65%
Large Corporate Small Companies CredicardCartão UBBMiddle Market
Companies FininvestCommercial Portfolio
Private
R$ 22.1 billion R$ 25.8 billion
Individuals 34%
Corporate 66%
December 2000 December 2001
Loans and Guarantees Breakdown Loans and Guarantees Breakdown
10
91%91%91%
24,90123,473
22,148
Dec/00 Mar/01 Jun/01
% AA - C Total Portfolio (R$ million)
91%
Sep/01
25,457
91%
Dec/01
25,827
Credit Quality (Loans and Guarantees)Credit Quality (Loans and Guarantees)
11
Unibanco consolidated excluding Fininvest/Credi Luiza and Investcred
Unibanco Consolidated
3.02.8
4.1 4.1
3.03.02.83.2
3.53.4
4.23.8
4.1
1Q00 2Q00 3Q00 4Q00 1Q01 2Q01 3Q01 4Q01
%
Over 60 Days Past Due Credits / Total LoansOver 60 Days Past Due Credits / Total Loans
12
AA - C Portfolio of Loans and Guarantees AA - C Portfolio of Loans and Guarantees
93% 93% 92% 92%
91% 91% 91% 91%
86% 85% 85%
87%
82%
80% 80%
83%
Mar/01 Jun/01 Sep/01 Dec/01
Multiple Bank Unibanco Consolidated
Cartão UBB/Credicard Fininvest/Credi Luiza and Investcred
13
Allowance for loan losses (opening balance) 1,564 1,654 1,172 1,484 972
Expenses with provision for loan losses 489 346 365 1,650 1,242
Balances included/adjusted 38 - 406 38 491
Loan charge-offs (553) (436) (459) (1,634) (1,221)
Allowance for loan losses (closing balance) 1,538 1,564 1,478 1,538 1,484
Net write-off / Total loans and guarantees 1.4% 1.3% 1.7% 4.6% 3.8%
Loan recovery 180 104 89 440 383
Loan Loss ProvisionsLoan Loss Provisions
20014Q003Q01 2000
In R$ million
4Q01
14
Funds in Local Currency 32,492 31,755 29,640 2.3% 9.6%
Funds in Foreign Currency 10,775 12,761 10,250 (15.6)% 5.1%
Total Funds 43,267 44,516 39,890 (2.8)% 8.5%
Assets Under Management 20,398 19,868 20,467 2.7% (0.3)%
Total Funds+Assets Under Mgt. 63,665 64,384 60,357 (1.1)% 5.5%
FundingFunding
QoQ% Dec/00Sep/01 YoY%
In R$ million
Dec/01
15
DepositsDeposits
Demand Deposits 2,403 2,295 2,392 4.7% 0.5%
Savings Deposits 4,734 4,208 3,706 12.5% 27.7%
Interbank Deposits 158 222 199 (28.8)% (20.6)%
Time Deposits 11,637 9,741 7,053 19.5% 65.0%
Total Deposits 18,932 16,466 13,350 15.0% 41.8%
YoY%QoQ%Dec/00Sep/01Dec/01
The industry growth was
8.1% over the last twelve
months
The industry growth was
8.1% over the last twelve
months
6,4536,164
6,098
4,373
Sep/00
7,137
Dec/00 Mar/01 Jun/01 Dec/01
Core Deposits (Demand Deposits + Savings) - R$MM
63%39%
17%
In R$ million
16
Securities Portfolio - local currency 8,280 7,420Securities Portfolio - foreign currency 7,075 7,492Total Securities Portfolio 15,355 14,894
Loan Portfolio (net) - local currency 17,351 16,007Loan Portfolio (net) - foreign currency 6,469 7,265Net Loan 23,820 23,272
Deposits - local currency 17,272 14,911Deposits - foreign currency 1,660 1,555Total Deposits 18,932 16,466
Notes and debentures - local currency 478 457Notes and debentures - foreign currency 2,819 3,441Total Notes and debentures 3,297 3,898
Borrowings and onlendings - local currency 4,331 3,979Borrowings and onlendings - foreign currency 5,420 6,667Total Borrowings and onlendings 9,751 10,646
Dec/01 Sep/01
In R$ million
Main Assets & Liabilities in Foreign and Local CurrencyMain Assets & Liabilities in Foreign and Local Currency
17
BIS RatioBIS Ratio
- Risk average assets growth (3.0)% 0.2%
- Changes in the swap credit risk (0.1)% 0.0%
- Changes in market riskForeign exchange position (0.7)% 0.4%Interest rate (0.1)% (0.1)%
- Adjusted equity growth 1.3% (0.1)%(mainly net income)
- Other effects (0.2)% 0.0%
BIS Ratio (opening ratio) 16.5% 13.3%
BIS Ratio on December 31, 2001 13.7% 13.7%
2000/2001
3Q01/4Q01
18
%
19%
2%
11%
11%
Net Income 26%
ROAE
1S01
2,454
(815)
1,037
(1,882)
431
15.8%
2S01
2,932
(835)
1,148
(2,081)
541
19.1%
(before loan loss provisions)Profits from financial intermediation
Loan Loss Provisions
Fee Income
Personnel & Adm. Expenses
In R$ million
Consolidated ResultsConsolidated Results
-
19
12.6% 12.0%
9.9% 10.7%
1998 1999 2000 2001
Net Financial MarginNet Financial Margin
20
Fee IncomeFee Income
200020013Q01
Tariffs & Commissions 283 273 228 1,073 802
Credit Cards 243 226 180 864 619
Asset Management 62 61 62 248 219
Total 588 560 470 2,185 1,640
In R$ million
4Q004Q01
21
200020013Q01 4Q004Q01
Multiple Bank UBB+Band 615 655 593 2,461 2,020
Multiple Bank ContAtiva 32 29 2 100 2
Sub-Total UBB + Bandeirantes 647 684 595 2,561 2,022
Fininvest (50% up to Nov/00) 115 95 59 393 164
Other Subsidiaries & Affiliates 248 292 239 1,009 816
TOTAL 1,010 1,071 893 3,963 3,002
Unibanco Consolidated, Bandeirantes and Fininvest pro-forma
Multiple Bank UBB+Band 647 684 757 2,561 2,637
Fininvest (100%) 115 95 118 393 328
Other Subsidiaries & Affiliates 248 292 239 1,009 816
TOTAL 1,010 1,071 1,114 3,963 3,781
Personnel and Administrative ExpensesPersonnel and Administrative ExpensesIn R$ million
22
Pro-forma Administrative ExpensesPro-forma Administrative Expenses
3,002
615
164
615
2,022
2,6372,561
3,7813,963
26.6%
(2.9)%
32.0%
4.8%
Pro-forma2000
2001 2001
Reported Bandeirantes non-consolidated
50% Fininvest non-consolidated
Multiple Bank UBB + BAND Consolidated
Pro-forma2000
In R$ million
23
1,071Total
Consolidated
4Q01 vs. 3Q01
Fininvest +20 21.0%
115
4Q01
3Q01Multiple Bank+
Bandeirantes 647
684
-61
-5.7%
Other Companies -44 -15.1%
Personnel & Adm. Expenses Main Changes Personnel & Adm. Expenses Main Changes
In R$ million
655
ContAtiva
29
615 32
4Q01
3Q01 95
4Q01
3Q01 292
248
4Q01
3Q01
1,010
-37
-5.4%
24
Fee Income / Personnel & Adm. ExpensesFee Income / Personnel & Adm. Expenses
4Q00 3Q01 4Q01
Fee Income / Personnel and Administrative Expenses
Personnel and Administrative Expenses
Fee Income
R$
mil
lio
n58.2%
893
1,071
470 560
52.7% 52.3%
588
1,010
25
Efficiency RatioEfficiency Ratio
Number of Employees
4Q00
64.7%
Efficiency Ratio*
4Q01
58.4%
2000
28,384
60.0%
2001
58.0%
29,704
(1) (Personnel Expenses + Other Administrative Expenses) / (Net Income from Financial Intermediation + Provisions for Loan Losses + Fee Income + Insurance, Capitalization and Pension Plans Premiums + Changes in technical provisions for insurance, capitalization and private retirement plans + Claims + Private Retirement plans benefits expenses + Selling and other insurance and private and private retirement plans expenses expenses + Credit card selling expenses + Taxes + Other Operating Income - Other Operating Expenses)
26
StrategyStrategy
Client BaseClient Base Productper Client
Productper Clientx
Organic
Growth
(ContAtiva)
Organic
Growth
(ContAtiva)
Acquisitions
- Bandeirantes
- Fininvest
- Ponto Frio
- Magazine Luiza
Acquisitions
- Bandeirantes
- Fininvest
- Ponto Frio
- Magazine Luiza
Cross Selling
- DBM
- CRM
Cross Selling
- DBM
- CRM
27
Goals for Dec, 2001
16 new branches35 Corporate-site branches
30 In-Store Branches
Attrition : 18 % p.y.
Average Activation : 90%
765,000 new accounts
Goals for Dec, 2001
16 new branches35 Corporate-site branches
30 In-Store Branches
Attrition : 18 % p.y.
Average Activation : 90%
765,000 new accounts
Actual in Dec, 2001
19 new branches54 Corporate-site branches
58 In-Store Branches
Attrition : 15 % p.y.
Average Activation : 95%
997,269 new accounts
Actual in Dec, 2001
19 new branches54 Corporate-site branches
58 In-Store Branches
Attrition : 15 % p.y.
Average Activation : 95%
997,269 new accounts
Organic Growth Plan - ContAtivaOrganic Growth Plan - ContAtiva
28
• Branch integration fully completed by October 2001
• Estimated reduction of 35% of Banco Bandeirantes’
annual costs, was exceeded reaching 42% at the end of 2001
Banco Bandeirantes’ IntegrationBanco Bandeirantes’ Integration
29
Scale GainScale Gain
99
3.73.5
98 00
4.0
3.0
7.7
0.7
01
4,9
3.9
0,2
Client Base - (in millions)
5.2
2.9
1.1
13.1
Note: Includes savings and retirees. In Dec/01 Bandeirantes fully migrated.
30
Banking Population: Income DistributionBanking Population: Income Distribution
9 million individualsIncome > R$ 1,000/month
Income < R$ 1,000/month
21 million individuals
Focus on
Household Brands
31
(Annual Sales < R$5 MM)
Lower Middle Market
Small Business
Wholesale Retail
(R$5 MM < Annual Sales < R$25 MM)
(R$1,300 < Monthly Income < R$4,000 )
(R$350 < Monthly Income < R$1,300)
INDIVIDUALSCORPORATE
Large Companies
(Annual Sales > R$100 MM)
Private Banking
(Financial Investment > R$1,000,000)
Exclusive Client
Upper Middle Market(R$25 MM < Annual Sales < R$100 MM)
Special Client
Banco 1 (Virtual Bank)
(Montly Income > R$ 800 )
Uni Class
(Monthly Income > R$4,000 )
Payroll
Private
SegmentationSegmentation
32
Uni Class 5.9 5.8 6.1
Exclusive 4.6 4.9 5.3
Special 3.7 3.7 4.2
Total 4.7 4.8 5.2 Total 4.7 4.8 5.2
Average Product per ClientSegment
Jun/00 Jun/01 Dec/01
Scale = Volume x Transactions
< 1 year = 4.7 > 1 year = 5.3
Database Marketing - Number of Products per Client Database Marketing - Number of Products per Client
33
Wholesale Banking Rankings and Market SharesWholesale Banking Rankings and Market Shares
Market Segment Dec/00 Dec/01 Ranking
Underwriting RF 19% 19% 1st
BNDES onlending 9% 11% 1st
BNDES Exim 12% 14% 1st
Compror/Vendor 15% 19% 3 rd
Together, Private Banking and UAM will form Wealth Management segment
Together, Private Banking and UAM will form Wealth Management segment
Market Share
34
Insurance IndicatorsInsurance Indicators
Net Premiums Written - R$ million Combined Ratio - %
1,148
1,413
22,980
23,899 (E)
2000
2001
101.1
99.6
106.2
103.0
Claims - %
UASEG MARKET
63.4
66.2
63.060.9
62.360.6
63.9 55.6 64.4
68.267.3 68.765.5 66.9 67.5 68.1
1Q00 2Q00 3Q00 4Q00 1Q01 2Q01 3Q01 4Q01
35
Ranking Product
2001
1st Fire
1st Ocean Marine
1st Petrochemical
1st Aircraft
1st D & O
1st Extended Warranty
2nd Home Owners
Insurance IndicatorsInsurance Indicators
36
AcknowledgementAcknowledgement
• First Brazilian company to obtain a corporate governance rating: graded 8.4 ranking on a 1 to 10 scale by SR Rating
• One of the 4 Brazilian companies selected to join the Dow Jones
Sustainability Index (DJSI)
• Latin America Top 5 IR Site Award, sponsored by Latin Finance
Magazine and MZ Consult.
37
For further information contact our Investor Relations Area at
phone: 5511-3097-1626 / 1313fax: 5511-3813-6182
email: [email protected]: www.unibanco.com(select Investor Relations option)
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