Standard Chartered - Strategy in APAC

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[...] CURRENT STRATEGY Deliver substantial shareholder returns Shareholder returns in excess of $5bn from 2022-2024 • 2022 Full year dividend $523m or 18c per share, up 6c or 50% on FY'21 o 2022 Share buy-backs $1,250m • Announced new $1bn share buy-back to start later in the year $2.8bn of capital returns announced since the start of 2022 • Dividend pay-out ratio increased from 14% in 2021 to 17% in 2022 • Targeting to increase the full-year dividend per share over-time CURRENT STRATEGY Seize China opportunity Target: Double China onshore and offshore profit before tax • New economy client income up 35% Target: Investing $300m in growth opportunities and strategic • 'Best RMB Bank in 21 markets' priorities • Double digit affluent client growth in Corporate, Commercial and Institutional Banking • First foreign bank to obtain a 'Bond Future' license CURRENT STRATEGY Sustainability and Sustainable Finance Building a world-leading SF • SF income $508m up 41% franchise ⚬ Approaching $1bn by 2024 Example of actions: • Leadership in product innovation with 31 products live • 90% of SF assets are located in Asia, Africa or Middle East • Enabled 662k microfinance loans and ~20k SME loans • Strong progress towards net zero goals ⚬ 42% reduction in Scopes 1 and 2 own operations emissions ⚬ 275 net zero branches in IN, CN, HK • Recognised as a ‘Leader' in climate change by the Carbon Disclosure Project (grade: CURRENT STRATEGY SWOT ANALYSIS Strengths • Capital Adequacy Sound capital base, can support its organic and inorganic growth. Sound capital management and moderate risk-weighted asset growth enabled the company to strengthen its capital base. [...]

[...] Standard Chartered - Strategy in APAC 1 Company overview 2 Asian banking industry 3 Covid-19 impact on Standard Chartered 4 Immediate response & refreshed strategy objectives strategy BUSINESS SEGMENTS • Consumer Private & Business Banking (CPBB) ⚬ SC serves 10 million customers in the world ⚬ Net revenue of $6,016 million for 2022, which grew 4.9% YoY, and reported a CAGR of 2.8% during 2020-22. Accounted for 37% of the company's net revenue in FY2022. • Corporate, Commercial & Institutional Banking (CCIB) ⚬ SC serves 20,000 clients ⚬ Net revenue of $10,045 million for 2022, which grew 19.5% YoY, and reported a CAGR of 8.8% during 2020-22. Accounted for 61.8% of the company's net revenue in FY2022. [...]

[...] • Information & communication providers hold significant supplier power over the Impact of the pandemic on Standard Chartered Given the scale of its footprint, SC had more to lose than most from Covid disruption and correspondingly more to gain as the countries within its • Increased volatility in financial orbit recovered markets and commodity prices and severe economic downturns in many countries. • Banks' profit margins were greatly reduced as interest rates decreased with the aim to boost global economies and make borrowing easier for consumers. Borrowing rose in 2020 although banks still suffered losses due to the ultra-low interest environment. COVID 19 IMPACT SC delivered a resilient performance in 2020 • SC unique market footprint straddling the East and the West, prepared the bank to deal with turbulence, both within and between markets. [...]

[...] Accounted for 0.2% of the company's net revenue in FY2022. • Central & Other Items ⚬ Includes the activities of corporate center costs, asset and liability management treasury activities, joint ventures, associate investments, UK bank levy, portfolio management, private equity, and other global items. COMPANY OVERVIEW Company Summary - Standard Chartered Plc $25,200 m Revenue (2022) + vs Net Profit Margin - vs 2021 COMPANY OVERVIEW $22,225.m Market Capitalization as of 28-April- countries and serve clients in a further 64 Total Revenue and Net Income from 2017 to 2022 Standard Chartered Plc in Asia $11,213 m ASIA Revenue (2022) + vs 2021 Only international bank active in all ASEAN countries of the company's net revenue in FY2022. [...]

[...] COMPANY OVERVIEW Largest markets in Asia: Hong Kong, Singapore, India China and North Asia are the company's 3rd market in terms of revenues Income by key markets in South East Asia Sandard Chartered's unique footprint connects high-growth and emerging markets in Asia, Africa and the Middle East with more established economies in Europe and the Americas COMPANY OVERVIEW 8.5% ASIA-PACIFIC BANKING SECTOR The Asia-Pacific banks industry grew by 8.5% in 2022 to reach a value of $85,520.6 billion. In 2027, the Asia-Pacific banks industry is forecast to have a value of $123,156.7 billion, an increase of 44% since 2022 CHINA accounts for 61.9% of the Asia-Pacific banks industry value. INDUSTRY Market shares • Numerous competitors, the industry is intrinsically concentrated on a few large players. • Indispensability of banking services for all types of buyers limits their bargaining power. [...]