SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
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BARCLAYS
PLC
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(Registrant)
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Date:
October 25, 2019
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By: /s/
Garth Wright
--------------------------------
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Garth
Wright
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Assistant
Secretary
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Barclays PLC
Q3 2019 Results Announcement
30
September 2019
Performance
Highlights
Resilient
performance delivering a year-to-date
Group return on tangible equity of 9.7% (excluding litigation and
conduct)
●
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The
Group delivered a Q319 return on average tangible equity (RoTE) of
10.2%, resulting in a Q319 YTD RoTE of 9.7%1
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●
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The
Group continues to target a >9% RoTE for 2019 and >10% for
20201.
However, given global macroeconomic uncertainty and the current low
interest rate environment, it has become more challenging to
achieve these targets, particularly with respect to
2020
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●
|
Continuing
to improve returns on a sustainable basis remains a key priority
for the Group, whilst also delivering attractive capital returns to
shareholders and investing in key business growth
initiatives
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●
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The
strengthening of the USD/GBP foreign exchange rate in the third
quarter, whilst increasing costs and impairment, provided a greater
benefit to income and profits
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Returns1
Group RoTE targets
of >9% in 2019 and >10% in 2020
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●
|
Group
profit before tax of £4.9bn (Q318 YTD: £5.3bn) and
earnings per share (EPS) of 19.7p (Q318 YTD: 21.6p)
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●
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Group
Q319 YTD RoTE of 9.7% (Q318 YTD: 11.1%)
|
-
Barclays UK RoTE of
17.2% (Q318 YTD: 18.9%)
|
|
-
Barclays
International RoTE of 10.4% (Q318 YTD: 11.6%), with a Corporate and
Investment Bank (CIB) RoTE of 9.3% (Q318 YTD: 9.7%) and Consumer,
Cards and Payments (CC&P) RoTE of 15.8% (Q318 YTD:
21.7%)
|
|
Cost efficiency
Cost: income ratio
of <60% over time
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●
|
Group
operating expenses were stable at £10.1bn, resulting in a
cost: income ratio of 62%1 (Q318 YTD: 62%) and
positive jaws, reflecting cost efficiencies offset by continued
investment in the business
|
●
|
Cost
control remains a priority given the challenging income environment
experienced in the first three quarters of the year
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●
|
Group
cost guidance unchanged; management expects to reduce 2019 costs
below £13.6bn2
|
Capital and dividends
CET1 ratio target becomes c.13.5% following
discussions with
regulators on
operational risk
change
|
●
|
Common
equity tier 1 (CET1) ratio of 13.4% (December 2018:
13.2%)
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●
|
Following
discussions with regulators, the Group has removed the operational
risk Risk Weighted Assets (RWAs) floor which it had previously
applied, resulting in a £14.2bn reduction in total RWAs. This
increased the CET1 ratio by c.60bps. As a result, the target CET1
ratio has been revised to c.13.5%. The total capital requirement
for operational risk remains unchanged
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●
|
The
Group paid a half year dividend of 3p which is expected to
represent, under normal circumstances, around one-third of the
total dividend for the year
|
●
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Group profit before tax was £3.3bn (Q318 YTD: £3.1bn)
and, excluding litigation and conduct, was £4.9bn (Q318 YTD:
£5.3bn). The cost: income ratio was 62% (Q318 YTD:
62%), with Barclays International income up 4%. Credit impairment
charges increased to £1.4bn (Q318 YTD: £0.8bn), due to
the non-recurrence of favourable US macroeconomic scenario updates
and single name recoveries in Q318 YTD. Credit metrics remained
stable across both secured and unsecured lending
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●
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Barclays UK profit before tax was £0.4bn (Q318 YTD:
£1.6bn). This included an additional provision for
Payment Protection Insurance (PPI) of £1.4bn (Q318 YTD:
£0.4bn). Excluding litigation and conduct, profit before tax
was £1.9bn (Q318 YTD: £2.0bn). Income declined 2%, as
ongoing margin pressure was partially offset by continued growth in
mortgages and deposits. Operating expenses were stable as cost
efficiency savings were offset by planned digital investment and
inflation
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●
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Barclays International profit before tax was £3.5bn (Q318 YTD:
£3.6bn) driven by 4% increases in both CIB and CC&P
income. Operating expenses increased 1% due to continued investment
in the business. Credit impairment charges increased from
£0.3bn to £0.8bn, due to the non-recurrence of favourable
US macroeconomic scenario updates and single name recoveries in
Q318 YTD
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●
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Tangible net asset value (TNAV) per share was 274p (December 2018:
262p) as 10.4p of statutory EPS (which included the effect
of the additional provision for PPI of 8p per share in Q319) and
positive net reserve movements, were partially offset by dividend
payments totalling 7p per share
|
1
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Excluding litigation and conduct, with returns targets based on a
Group CET1 ratio of c.13.5%.
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2
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Excluding litigation and conduct, calculated using a USD/GBP FX
rate of 1.27 and subject to foreign currency
movements.
|
James E Staley, Group Chief Executive Officer, said:
“For the year to September our Group RoTE stands at 9.7%,
including a 10.2% return in the third quarter.
Profit before tax was just under £5bn, excluding litigation
and conduct, and earnings per share were 19.7 pence for the nine
months.
These represent another set of consistent and resilient results,
and they show the benefits of our diversified model - one which
allows us to weather today’s macro headwinds, and grow our
businesses and profitability over time.
In Barclays UK, the business has delivered a robust year-to-date
RoTE of 17.2%, including 21.2% in the third quarter, through
mortgage and deposit balance growth.
The CIB has produced an RoTE of 9.3% for the first nine months,
including 9.2% in the third quarter. This reflects a strong
performance in Markets, with income up in the quarter by 13%, and
in Banking, where income rose by 33%.
Our CC&P business produced an RoTE of 15.8%, and we are
targeting further growth in US cards, with a particular focus on
capturing new partnership opportunities, a core strength of the
Barclays franchise in the States.
As we continue to invest in our digital capabilities across the
bank, management’s focus on cost control remains a priority.
Our cost to income ratio was stable at 62%, and we continue to
expect to see positive jaws across the Group over the remainder of
the year, and for the full year.
These results show we remain on track to achieve our target of a
group return of greater than 9% for 2019. We continue to target an
RoTE of greater than 10% in 2020, though we acknowledge that the
outlook for next year is unquestionably more challenging now than
it appeared a year ago, in particular given the uncertainty around
the UK economy and the interest rate environment.
Despite the impact to profitability of the £1.4bn PPI
provision, our CET1 ratio of 13.4% continues to be within our
target, which is revised to c.13.5%, now that our operational risk
RWAs are accounted for more consistently with UK
peers.”
James E Staley, Group Chief Executive Officer
Barclays Group results
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|
for the nine months ended
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30.09.19
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30.09.18
|
|
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£m
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£m
|
% Change
|
Total income
|
16,331
|
16,063
|
2
|
Credit impairment charges and other provisions
|
(1,389)
|
(825)
|
(68)
|
Net operating income
|
14,942
|
15,238
|
(2)
|
Operating expenses
|
(10,051)
|
(10,003)
|
-
|
Litigation and conduct
|
(1,682)
|
(2,147)
|
22
|
Total operating expenses
|
(11,733)
|
(12,150)
|
3
|
Other net income
|
51
|
32
|
59
|
Profit before tax
|
3,260
|
3,120
|
4
|
Tax charge1
|
(814)
|
(836)
|
3
|
Profit after tax
|
2,446
|
2,284
|
7
|
Non-controlling interests
|
(38)
|
(151)
|
75
|
Other equity instrument holders
|
(628)
|
(522)
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(20)
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Attributable profit
|
1,780
|
1,611
|
10
|
|
|
|
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Performance measures
|
|
|
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Return on average tangible shareholders' equity
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5.1%
|
4.9%
|
|
Average tangible shareholders' equity (£bn)
|
46.6
|
44.1
|
|
Cost: income ratio
|
72%
|
76%
|
|
Loan loss rate (bps)
|
53
|
33
|
|
Basic earnings per share
|
10.4p
|
9.4p
|
|
Dividend per share
|
3.0p
|
2.5p
|
|
|
|
|
|
Performance
measures excluding litigation and conduct2
|
|
|
|
Profit before tax
|
4,942
|
5,267
|
(6)
|
Attributable profit
|
3,391
|
3,685
|
(8)
|
Return on average tangible shareholders' equity
|
9.7%
|
11.1%
|
|
Cost: income ratio
|
62%
|
62%
|
|
Basic earnings per share
|
19.7p
|
21.6p
|
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet and capital
management3
|
£bn
|
£bn
|
£bn
|
Tangible net asset value per share
|
274p
|
262p
|
260p
|
Common equity tier 1 ratio
|
13.4%
|
13.2%
|
13.2%
|
Common equity tier 1 capital
|
41.9
|
41.1
|
41.7
|
Risk weighted assets
|
313.3
|
311.9
|
316.2
|
Average UK leverage ratio
|
4.6%
|
4.5%
|
4.6%
|
UK leverage ratio
|
4.8%
|
5.1%
|
4.9%
|
|
|
|
|
Funding and liquidity
|
|
|
|
Group liquidity pool (£bn)
|
226
|
227
|
213
|
Liquidity coverage ratio
|
151%
|
169%
|
161%
|
Loan: deposit ratio
|
82%
|
83%
|
83%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to Additional Tier 1 (AT1) instruments has been recognised
in the tax charge of the income statement, whereas it was
previously recorded in retained earnings. Comparatives have been
restated, reducing the tax charge for Q318 year to date by
£141m. This change does not impact EPS or return on average
tangible shareholders’ equity.
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2
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Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
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3
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Capital, RWAs and leverage measures are calculated applying the
transitional arrangements of the Capital Requirements Regulation
(CRR) as amended by the Capital Requirements Regulation II (CRR II)
applicable as at the reporting date. This includes IFRS 9
transitional arrangements. For more information on the
implementation of CRR II see page 25.
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4
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The fully loaded CET1 ratio was 13.0%, with £40.7bn of CET1
capital and £313.1bn of RWAs, calculated without applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting date.
|
Group Finance Director’s
Review
Group
performance
●
|
Profit
before tax was £3,260m (Q318 YTD: £3,120m), including an
additional provision for PPI of £1,400m (Q318 YTD: £400m)
in Q319. Excluding litigation and conduct, profit before tax was
£4,942m (Q318 YTD: £5,267m), with higher income and
stable operating expenses offset by increased credit impairment
charges. The 6% appreciation of average USD against GBP positively
impacted income and profits and adversely impacted credit
impairment charges and operating expenses
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●
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Total
income increased 2% to £16,331m. Barclays UK income decreased
2% as ongoing margin pressure and continued reduced risk appetite
in UK cards were partially offset by mortgage and deposit balance
growth. Barclays International income was up 4%, across both CIB
and CC&P. The higher CIB income was due to positive performance
in FICC, Banking fees and Transaction banking, partially offset by
reduced client activity in Equities and a reduction in Corporate
lending. The higher CC&P income reflected balance growth in US
cards and partnership growth in merchant acquiring
|
●
|
Credit
impairment charges increased to £1,389m (Q318 YTD:
£825m). Economic scenarios were updated in Q319, as part of a
review which is conducted at least annually. The prior year
benefitted from favourable US macroeconomic scenario updates and
single name recoveries, whilst Q319 impairment reflects a
c.£60m net charge from revised scenarios, impacting primarily
the Group’s UK and US cards portfolios. Credit metrics
remained stable across both secured and unsecured lending,
reflecting the continued prudent management of credit
risk
|
●
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Operating
expenses were stable at £10,051m, as cost efficiencies were
offset by continued investment in the business. The cost: income
ratio, excluding litigation and conduct, was stable at 62% (Q318
YTD: 62%)
|
●
|
The
effective tax rate was 25.0%. Excluding litigation and conduct, the
underlying effective tax rate was 17.9%
|
●
|
Attributable
profit was £1,780m (Q318 YTD: £1,611m). Excluding
litigation and conduct, attributable profit was £3,391m (Q318
YTD: £3,685m), generating a RoTE of 9.7% (Q318 YTD: 11.1%) and
EPS of 19.7p (Q318 YTD: 21.6p)
|
Barclays UK
|
Profit
before tax, excluding litigation and conduct, decreased 7% to
£1,899m. RoTE was robust at 17.2% (Q318 YTD: 18.9%),
reflecting the resilience of the Barclays UK business in a
challenging income environment. Including litigation and conduct
charges of £1,524m (Q318 YTD: £468m), profit before tax
was £375m (Q318 YTD: £1,566m)
|
●
|
Total
income decreased 2% to £5,394m due to a 2% decrease in net
interest income to £4,410m
|
|
-
|
Personal
Banking income decreased 2% to £2,945m, reflecting ongoing
mortgage margin pressure, partially offset by mortgage and deposit
balance growth and improved liability margins
|
|
-
|
Barclaycard
Consumer UK income decreased 8% to £1,459m reflecting a
continued reduced risk appetite and reduced borrowing by customers,
which resulted in a lower level of interest earning lending (IEL)
balances
|
|
-
|
Business
Banking income increased 6% to £990m driven by deposit and
lending growth, improved liability margins and the non-recurrence
of client remediation in Q318 YTD
|
|
-
|
Net
interest margin decreased 14bps to 3.10%, reflecting increased
refinancing activity by mortgage customers, lower IEL balances in
UK cards, and the mix effect from growth in secured
lending
|
●
|
Credit
impairment charges decreased 2% to £522m, primarily reflecting
an improved risk profile in UK cards and releases of single name
exposures in Business Banking, partially offset by the impact of UK
macroeconomic scenario updates of c.£30m, primarily impacting
the UK cards portfolio. The 30 and 90 day arrears rates in UK cards
decreased to 1.7% (Q318: 1.8%) and 0.8% (Q318: 0.9%)
respectively
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●
|
Operating
expenses were stable at £2,973m (Q318 YTD: £2,961m) as
cost efficiencies were offset by planned digital investment in the
business and inflation. The cost: income ratio, excluding
litigation and conduct, was 55% (Q318 YTD: 54%)
|
●
|
RWAs
increased to £76.8bn (December 2018: £75.2bn) including
the recognition of property leases following the implementation of
IFRS 16, growth in Mortgages and Business Banking and a change in
the mix of assets in the liquidity pool
|
Barclays
International
●
|
Profit
before tax, excluding litigation and conduct, decreased 4% to
£3,508m with a RoTE of 10.4% (Q318 YTD: 11.6%), reflecting
returns in the CIB of 9.3% (Q318 YTD: 9.7%) and CC&P of 15.8%
(Q318 YTD: 21.7%)
|
●
|
The 6%
appreciation of average USD against GBP positively impacted income
and profits, and adversely impacted credit impairment charges and
operating expenses
|
●
|
Total
income increased to £11,223m (Q318 YTD:
£10,805m)
|
|
-
|
CIB
income increased 4% to £7,917m
|
|
|
−
|
Within
Markets, FICC income increased 15% to £2,638m reflecting a
strong performance in rates and growth in securitised products.
Equities income decreased 11% to £1,478m driven by equity
derivatives, which were impacted by reduced client activity.
Included in Markets was a £126m gain related to the Tradeweb
position and a net loss of £40m due to the impact of treasury
operations and hedging counterparty risk
|
|
|
−
|
Banking
fees income increased 3% to £1,955m driven by an increase in
advisory fees, partially offset by lower debt underwriting fees
reflecting a reduced Banking fee pool1. However, Barclays
share of the global Banking fee pool has increased since FY18, to
4.4%1
|
|
|
−
|
Within
Corporate, Transaction banking income increased 6% to £1,283m
reflecting growth in deposits. This was offset by a decrease in
Corporate lending income to £563m (Q318 YTD: £635m).
Excluding mark-to-market movements on loan hedges, Corporate
lending income was broadly stable
|
|
-
|
CC&P
income increased 4% to £3,306m reflecting balance growth in
the US cards business and partnership growth in merchant
acquiring
|
●
|
Credit
impairment charges increased to £844m (Q318 YTD:
£304m)
|
|
-
|
CIB
credit impairment charges increased to £127m (Q318 YTD:
release of £185m) due to the non-recurrence of favourable
macroeconomic scenario updates and single name recoveries in Q318
YTD
|
|
-
|
CC&P
credit impairment charges increased to £717m (Q318 YTD:
£489m) due to the non-recurrence of favourable US
macroeconomic scenario updates in Q318 YTD. Q319 included the
impact of macroeconomic scenario updates, predominantly in the US,
of c.£30m. Credit metrics decreased, with US cards 30 and 90
day arrears of 2.6% (Q318: 2.7%) and 1.3% (Q318: 1.4%)
respectively
|
●
|
Operating
expenses increased 1% to £6,923m
|
|
-
|
CIB
operating expenses decreased 1% to £5,191m as cost
efficiencies were partially offset by continued investment in the
business
|
|
-
|
CC&P
operating expenses increased 7% to £1,732m driven by continued
investment across the businesses
|
●
|
RWAs
increased to £223.1bn (December 2018: £210.7bn), driven
by an increase in CIB activity and appreciation of USD against
GBP
|
Head Office
●
|
Loss
before tax of £593m (Q318 YTD: £2,006m), included
litigation and conduct charges of £128m (Q318 YTD:
£1,585m), reflecting the non-recurrence of the Residential
Mortgage Backed Securities settlement in Q318 YTD
|
●
|
Total
income was an expense of £286m (Q318 YTD: £262m) which
included legacy capital instrument funding costs, treasury items
and hedge accounting expenses, partially offset by the recognition
of dividends on Barclays stake in Absa Group Limited. Income
expense increased reflecting the non-recurrence of a £155m
one-off gain from the settlement of receivables relating to the
Lehman Brothers acquisition in Q318 YTD, partially offset by lower
net expenses from treasury operations and hedge
accounting
|
●
|
Operating
expenses, excluding litigation and conduct, were £155m (Q318
YTD: £159m)
|
●
|
RWAs
decreased to £13.4bn (December 2018: £26.0bn) mainly
driven by the removal of the Group’s operational risk
RWAs
floor, partially offset by the recognition of property leases
following the implementation of IFRS 16
|
1
|
Data Source: Dealogic, for the period covering 1 January to 30
September 2019.
|
Group capital and
leverage
●
|
The Group’s CET1 ratio increased to 13.4% (December 2018:
13.2%). The increase was primarily driven by a reduction in the
Group’s RWAs due to the removal of the operational risk floor
effective from 30 September 2019
|
|
|
-
|
CET1 capital increased by £0.8bn to £41.9bn. This was
driven by underlying profit generation of £4.0bn partially
offset by dividends paid and foreseen of £1.8bn, the
additional provision for PPI of £1.4bn, pension deficit
reduction contribution payments of £0.5bn and a loss on the
redemption of Additional Tier 1 (AT1) securities of
£0.4bn
|
|
|
-
|
RWAs increased by £1.4bn to £313.3bn primarily driven by
an increase in CIB, offset by the reduction in the Group’s
operational risk RWAs
|
●
|
The Group previously applied a floor to its Pillar 1 capital
requirements for operational risk, which was set by reference to
the Group’s total operational risk RWAs as at 31 December
2017 of £56.7bn. Following discussions with regulators, the
Group has removed this floor with effect from 30 September 2019,
thereby reducing RWAs by £14.2bn and increasing the
Group’s CET1 ratio by c.60bps
|
●
|
Following the removal of the Pillar 1 operational risk floor, the
Group has received a new Pillar 2A requirement (as per the
Prudential Regulation Authority’s (PRA’s) Individual
Capital Requirement) effective from 24 October 2019. This has
increased the Pillar 2A CET1 requirement by c.35bps to 3.0% and the
Group’s overall capital requirement from 11.7% to 12.0%. The
total capital requirement for operational risk remains unchanged.
As a result, the Group is targeting a CET1 ratio of c.13.5% going
forward
|
●
|
The average UK leverage ratio increased to 4.6% (December 2018:
4.5%) primarily driven by an increase in Tier 1 (T1) capital, which
included the accretion of CET1 capital and a net increase of AT1
capital, partially offset by an increase in exposure to
£1,171bn (December 2018: £1,110bn). The UK leverage ratio
decreased to 4.8% (December 2018: 5.1%)
|
Group
funding and liquidity
●
|
The
liquidity pool was stable at £226bn (December 2018:
£227bn), reflecting the Group’s prudent liquidity
management approach. The liquidity coverage ratio (LCR) remained
well above the 100% regulatory requirement at 151% (December 2018:
169%), equivalent to a surplus of £77bn (December 2018:
£90bn). The LCR and surplus have been managed down through the
course of the year, supporting increased business funding
requirements while maintaining a conservative liquidity
position
|
●
|
Wholesale
funding outstanding, excluding repurchase agreements, was
£162bn (December 2018: £154bn). The Group issued
£8.2bn equivalent of minimum requirement for own funds and
eligible liabilities (MREL) instruments year-to-date from Barclays
PLC (the Parent company). The Group is well advanced in its MREL
issuance plans, with a Barclays PLC MREL ratio of 30.4% as at 30
September 2019 relative to an estimated requirement including
requisite buffers of 31.2% by 1 January 2022. This increased from
29.9% as at 30 June 2019 due to the revision of the Group’s
Pillar 2A requirement, following the removal of the Group’s
operational risk RWAs floor
|
Other matters
●
|
The
Group called three AT1 instruments eligible for call on 15
September 2019. The redemptions resulted in a decrease of 13bps to
the CET1 ratio due to two of these instruments being held on the
balance sheet at historical FX rates
|
●
|
The
risks associated with the process of the UK withdrawal from the
European Union continue to be closely monitored. Impairment stock
as at 30 September 2019 includes an adjustment of £150m
representing the anticipated impact of economic uncertainty in the
UK
|
Payment Protection
Insurance
●
|
Following
the increase to the provision of £1.4bn and provision
utilisation of £350m during the third quarter, the Group held
a provision of £1.4bn against the cost of PPI redress and
associated processing costs as at 30 September 2019. The Group has
recognised £11bn of cumulative provisions to date
|
|
The
provision increase at Q319 is attributable to the exceptional level
of claims and information requests from customers and Claims
Management Companies (CMCs) ahead of the Financial Conduct
Authority (FCA) complaint deadline of 29 August 2019 and enquiries
from the Official Receiver on behalf of bankrupt
individuals
|
|
At the
end of Q319, there were in excess of 2m claims, enquiries and
information requests at various stages of processing. The increase
in provision has been calculated by applying a number of
assumptions to this population, which are based on limited
observations from processing completed to date, historical
experience and management judgement. These assumptions include the
proportion of claims and information requests expected to be valid.
The provision estimate is more sensitive to this assumption given
the volumes
|
|
The
following table outlines key assumptions regarding the proportion
of valid claims used in the provision calculation as at 30
September 2019 and a sensitivity analysis illustrating the impact
on the provision, if the assumptions prove too high or
low
|
|
Historically Observed
|
|
Current Assumption
|
|
Sensitivity £m
|
|
Valid %
|
|
Valid %
|
|
+/- 1% valid rate
|
Claims Received
|
30% -
40%
|
|
30%1
|
|
11
|
Information Requests Received
|
5% -
11%
|
|
8%
|
|
76
|
●
|
There
is additional uncertainty surrounding the legal position in
relation to enquiries received from the Official Receiver. Uphold
rates and average claim redress may differ from that experienced
more generally, given the particular circumstances of this
population
|
●
|
The
Group expects the level of uncertainty to reduce during Q419 as a
greater proportion of claims, enquiries and information requests
are processed. Given the degree of sensitivity illustrated above,
it is possible that the eventual cumulative provision may differ
from the current estimate
|
Outlook and
guidance
●
|
The
Group continues to target a >9% RoTE for 2019 and >10% for
20202.
However, given global macroeconomic uncertainty and the current low
interest rate environment, it has become more challenging to
achieve these targets, particularly with respect to
2020
|
●
|
Continuing
to improve returns on a sustainable basis remains a key priority
for the Group, whilst also delivering attractive capital returns to
shareholders and investing in key business growth
initiatives
|
●
|
Group
cost guidance is unchanged, with management expecting to reduce
2019 costs below £13.6bn3
|
●
|
The
Group expects to be at its revised target CET1 ratio of c.13.5% at
year-end
|
Tushar Morzaria, Group Finance Director
1 1
|
Based
on recently observed data, August and September 2019.
|
3 2
|
Excluding
litigation and conduct, with returns targets based on a Group CET1
ratio of c.13.5%.
|
5 3
|
Excluding
litigation and conduct, calculated using a USD/GBP FX rate of 1.27
and subject to foreign currency movements.
|
Results by
Business
Barclays UK
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
4,410
|
4,515
|
(2)
|
Net fee, commission and other income
|
984
|
1,005
|
(2)
|
Total income
|
5,394
|
5,520
|
(2)
|
Credit impairment charges and other provisions
|
(522)
|
(530)
|
2
|
Net operating income
|
4,872
|
4,990
|
(2)
|
Operating expenses
|
(2,973)
|
(2,961)
|
-
|
Litigation and conduct
|
(1,524)
|
(468)
|
|
Total operating expenses
|
(4,497)
|
(3,429)
|
(31)
|
Other net income
|
-
|
5
|
|
Profit before tax
|
375
|
1,566
|
(76)
|
Attributable (loss)/profit1
|
(157)
|
957
|
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances to customers at amortised cost
|
193.2
|
187.6
|
186.7
|
Total assets
|
257.9
|
249.7
|
252.0
|
Customer deposits at amortised cost
|
203.3
|
197.3
|
195.8
|
Loan: deposit ratio
|
97%
|
96%
|
96%
|
Risk weighted assets
|
76.8
|
75.2
|
74.8
|
Period end allocated tangible equity
|
10.4
|
10.2
|
10.1
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.19
|
30.09.18
|
|
Return on average allocated tangible equity
|
(2.0%)
|
12.7%
|
|
Average allocated tangible equity (£bn)
|
10.4
|
10.0
|
|
Cost: income ratio
|
83%
|
62%
|
|
Loan loss rate (bps)
|
35
|
37
|
|
Net interest margin
|
3.10%
|
3.24%
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
% Change
|
Profit before tax
|
1,899
|
2,034
|
(7)
|
Attributable profit
|
1,332
|
1,417
|
(6)
|
Return on average allocated tangible equity
|
17.2%
|
18.9%
|
|
Cost: income ratio
|
55%
|
54%
|
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays
UK
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Analysis of total income
|
£m
|
£m
|
% Change
|
Personal Banking
|
2,945
|
3,008
|
(2)
|
Barclaycard Consumer UK
|
1,459
|
1,582
|
(8)
|
Business Banking
|
990
|
930
|
6
|
Total income
|
5,394
|
5,520
|
(2)
|
|
|
|
|
Analysis of credit impairment charges and other
provisions
|
|
|
|
Personal Banking
|
(124)
|
(129)
|
4
|
Barclaycard Consumer UK
|
(364)
|
(340)
|
(7)
|
Business Banking
|
(34)
|
(61)
|
44
|
Total credit impairment charges and other provisions
|
(522)
|
(530)
|
2
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Analysis of loans and advances to customers at amortised
cost
|
£bn
|
£bn
|
£bn
|
Personal Banking
|
150.1
|
146.0
|
145.4
|
Barclaycard Consumer UK
|
14.9
|
15.3
|
15.3
|
Business Banking
|
28.2
|
26.3
|
26.0
|
Total loans and advances to customers at amortised
cost
|
193.2
|
187.6
|
186.7
|
|
|
|
|
Analysis of customer deposits at amortised cost
|
|
|
|
Personal Banking
|
157.9
|
154.0
|
153.4
|
Barclaycard Consumer UK
|
-
|
-
|
-
|
Business Banking
|
45.4
|
43.3
|
42.4
|
Total customer deposits at amortised cost
|
203.3
|
197.3
|
195.8
|
Barclays
International
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
2,976
|
2,831
|
5
|
Net trading income
|
3,270
|
3,613
|
(9)
|
Net fee, commission and other income
|
4,977
|
4,361
|
14
|
Total income
|
11,223
|
10,805
|
4
|
Credit impairment charges and other provisions
|
(844)
|
(304)
|
|
Net operating income
|
10,379
|
10,501
|
(1)
|
Operating expenses
|
(6,923)
|
(6,883)
|
(1)
|
Litigation and conduct
|
(30)
|
(94)
|
68
|
Total operating expenses
|
(6,953)
|
(6,977)
|
-
|
Other net income
|
52
|
36
|
44
|
Profit before tax
|
3,478
|
3,560
|
(2)
|
Attributable profit1
|
2,419
|
2,620
|
(8)
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
138.1
|
127.2
|
132.4
|
Trading portfolio assets
|
119.4
|
104.0
|
124.6
|
Derivative financial instrument assets
|
286.0
|
222.1
|
214.8
|
Financial assets at fair value through the income
statement
|
158.0
|
144.7
|
147.8
|
Cash collateral and settlement balances
|
112.5
|
74.3
|
94.3
|
Other assets
|
195.6
|
189.8
|
186.3
|
Total assets
|
1,009.6
|
862.1
|
900.2
|
Deposits at amortised cost
|
217.6
|
197.2
|
200.3
|
Derivative financial instrument liabilities
|
283.3
|
219.6
|
213.7
|
Loan: deposit ratio
|
63%
|
65%
|
66%
|
Risk weighted assets
|
223.1
|
210.7
|
214.6
|
Period end allocated tangible equity
|
31.4
|
29.9
|
30.2
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.19
|
30.09.18
|
|
Return on average allocated tangible equity
|
10.3%
|
11.3%
|
|
Average allocated tangible equity (£bn)
|
31.2
|
30.9
|
|
Cost: income ratio
|
62%
|
65%
|
|
Loan loss rate (bps)
|
80
|
30
|
|
Net interest margin
|
4.00%
|
4.15%
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
% Change
|
Profit before tax
|
3,508
|
3,654
|
(4)
|
Attributable profit
|
2,445
|
2,692
|
(9)
|
Return on average allocated tangible equity
|
10.4%
|
11.6%
|
|
Cost: income ratio
|
62%
|
64%
|
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays International
|
|
|
|
Corporate and Investment Bank
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Income statement information
|
£m
|
£m
|
% Change
|
FICC
|
2,638
|
2,293
|
15
|
Equities
|
1,478
|
1,662
|
(11)
|
Markets
|
4,116
|
3,955
|
4
|
Banking fees
|
1,955
|
1,906
|
3
|
Corporate lending
|
563
|
635
|
(11)
|
Transaction banking
|
1,283
|
1,215
|
6
|
Corporate
|
1,846
|
1,850
|
-
|
Other
|
-
|
(97)
|
|
Total income
|
7,917
|
7,614
|
4
|
Credit impairment (charges)/releases and other
provisions
|
(127)
|
185
|
|
Net operating income
|
7,790
|
7,799
|
-
|
Operating expenses
|
(5,191)
|
(5,258)
|
1
|
Litigation and conduct
|
(30)
|
(45)
|
33
|
Total operating expenses
|
(5,221)
|
(5,303)
|
2
|
Other net income
|
27
|
12
|
|
Profit before tax
|
2,596
|
2,508
|
4
|
Attributable profit1
|
1,787
|
1,865
|
(4)
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
95.8
|
86.4
|
93.3
|
Trading portfolio assets
|
119.3
|
104.0
|
124.5
|
Derivative financial instrument assets
|
286.0
|
222.1
|
214.8
|
Financial assets at fair value through the income
statement
|
157.3
|
144.2
|
147.3
|
Cash collateral and settlement balances
|
111.6
|
73.4
|
93.3
|
Other assets
|
171.5
|
160.4
|
153.8
|
Total assetspa
|
941.5
|
790.5
|
827.0
|
Deposits at amortised cost
|
152.1
|
136.3
|
137.6
|
Derivative financial instrument liabilities
|
283.2
|
219.6
|
213.7
|
Risk weighted assets
|
184.9
|
170.9
|
175.9
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.19
|
30.09.18
|
|
Return on average allocated tangible equity
|
9.2%
|
9.6%
|
|
Average allocated tangible equity (£bn)
|
25.9
|
26.0
|
|
Cost: income ratio
|
66%
|
70%
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
% Change
|
Profit before tax
|
2,626
|
2,553
|
3
|
Attributable profit
|
1,813
|
1,901
|
(5)
|
Return on average allocated tangible equity
|
9.3%
|
9.7%
|
|
Cost: income ratio
|
66%
|
69%
|
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for more information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays International
|
|
|
|
Consumer, Cards and Payments
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Total income
|
3,306
|
3,191
|
4
|
Credit impairment charges and other provisions
|
(717)
|
(489)
|
(47)
|
Net operating income
|
2,589
|
2,702
|
(4)
|
Operating expenses
|
(1,732)
|
(1,625)
|
(7)
|
Litigation and conduct
|
-
|
(49)
|
|
Total operating expenses
|
(1,732)
|
(1,674)
|
(3)
|
Other net income
|
25
|
24
|
4
|
Profit before tax
|
882
|
1,052
|
(16)
|
Attributable profit1
|
632
|
755
|
(16)
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
42.3
|
40.8
|
39.1
|
Total assets
|
68.1
|
71.6
|
73.2
|
Deposits at amortised cost
|
65.5
|
60.9
|
62.7
|
Risk weighted assets
|
38.2
|
39.8
|
38.7
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.19
|
30.09.18
|
|
Return on average allocated tangible equity
|
15.8%
|
20.7%
|
|
Average allocated tangible equity (£bn)
|
5.3
|
4.9
|
|
Cost: income ratio
|
52%
|
52%
|
|
Loan loss rate (bps)
|
213
|
156
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
% Change
|
Profit before tax
|
882
|
1,101
|
(20)
|
Attributable profit
|
632
|
791
|
(20)
|
Return on average allocated tangible equity
|
15.8%
|
21.7%
|
|
Cost: income ratio
|
52%
|
51%
|
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for more information and calculations of
performance measures excluding litigation and conduct.
|
Head Office
|
Nine months ended
|
Nine months ended
|
|
30.09.19
|
30.09.18
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
(323)
|
(580)
|
44
|
Net fee, commission and other income
|
37
|
318
|
(88)
|
Total income
|
(286)
|
(262)
|
(9)
|
Credit impairment (charges)/releases and other
provisions
|
(23)
|
9
|
|
Net operating income
|
(309)
|
(253)
|
(22)
|
Operating expenses
|
(155)
|
(159)
|
3
|
Litigation and conduct
|
(128)
|
(1,585)
|
92
|
Total operating expenses
|
(283)
|
(1,744)
|
84
|
Other net expenses
|
(1)
|
(9)
|
89
|
Loss before tax
|
(593)
|
(2,006)
|
70
|
Attributable loss1
|
(482)
|
(1,966)
|
75
|
|
|
|
|
|
As at 30.09.19
|
As at 31.12.18
|
As at 30.09.18
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Total assets
|
22.9
|
21.5
|
18.6
|
Risk weighted assets
|
13.4
|
26.0
|
26.8
|
Period end allocated tangible equity
|
5.5
|
4.9
|
4.2
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.19
|
30.09.18
|
|
Average allocated tangible equity (£bn)
|
5.0
|
3.2
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
% Change
|
Loss before tax
|
(465)
|
(421)
|
(10)
|
Attributable loss
|
(386)
|
(424)
|
9
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for further
information and calculations of performance measures excluding
litigation and conduct.
|
Quarterly Results
Summary
Barclays
Group
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
2,445
|
2,360
|
2,258
|
|
2,296
|
2,388
|
2,190
|
2,188
|
|
2,272
|
Net fee, commission and other income
|
3,096
|
3,178
|
2,994
|
|
2,777
|
2,741
|
3,386
|
3,170
|
|
2,750
|
Total income
|
5,541
|
5,538
|
5,252
|
|
5,073
|
5,129
|
5,576
|
5,358
|
|
5,022
|
Credit impairment charges and other provisions
|
(461)
|
(480)
|
(448)
|
|
(643)
|
(254)
|
(283)
|
(288)
|
|
(573)
|
Net operating income
|
5,080
|
5,058
|
4,804
|
|
4,430
|
4,875
|
5,293
|
5,070
|
|
4,449
|
Operating costs
|
(3,293)
|
(3,501)
|
(3,257)
|
|
(3,624)
|
(3,329)
|
(3,310)
|
(3,364)
|
|
(3,621)
|
UK bank levy
|
-
|
-
|
-
|
|
(269)
|
-
|
-
|
-
|
|
(365)
|
Operating expenses
|
(3,293)
|
(3,501)
|
(3,257)
|
|
(3,893)
|
(3,329)
|
(3,310)
|
(3,364)
|
|
(3,986)
|
Guaranteed Minimum Pensions (GMP) charge
|
-
|
-
|
-
|
|
(140)
|
-
|
-
|
-
|
|
-
|
Litigation and conduct
|
(1,568)
|
(53)
|
(61)
|
|
(60)
|
(105)
|
(81)
|
(1,961)
|
|
(383)
|
Total operating expenses
|
(4,861)
|
(3,554)
|
(3,318)
|
|
(4,093)
|
(3,434)
|
(3,391)
|
(5,325)
|
|
(4,369)
|
Other net income/(expenses)
|
27
|
27
|
(3)
|
|
37
|
20
|
(7)
|
19
|
|
13
|
Profit/(loss) before tax
|
246
|
1,531
|
1,483
|
|
374
|
1,461
|
1,895
|
(236)
|
|
93
|
Tax charge1
|
(269)
|
(297)
|
(248)
|
|
(83)
|
(192)
|
(386)
|
(258)
|
|
(1,089)
|
(Loss)/profit after tax
|
(23)
|
1,234
|
1,235
|
|
291
|
1,269
|
1,509
|
(494)
|
|
(996)
|
Non-controlling interests
|
(4)
|
(17)
|
(17)
|
|
(75)
|
(43)
|
(55)
|
(53)
|
|
(68)
|
Other equity instrument holders
|
(265)
|
(183)
|
(180)
|
|
(230)
|
(176)
|
(175)
|
(171)
|
|
(181)
|
Attributable
(loss)/profit1
|
(292)
|
1,034
|
1,038
|
|
(14)
|
1,050
|
1,279
|
(718)
|
|
(1,245)
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
(2.4%)
|
9.0%
|
9.2%
|
|
(0.1%)
|
9.4%
|
11.8%
|
(6.5%)
|
|
(10.3%)
|
Average tangible shareholders' equity (£bn)
|
48.4
|
46.2
|
45.2
|
|
44.3
|
44.6
|
43.5
|
44.2
|
|
48.1
|
Cost: income ratio
|
88%
|
64%
|
63%
|
|
81%
|
67%
|
61%
|
99%
|
|
87%
|
Loan loss rate (bps)2
|
52
|
56
|
54
|
|
77
|
30
|
35
|
36
|
|
56
|
Basic (loss)/earnings per share
|
(1.7p)
|
6.0p
|
6.1p
|
|
(0.1p)
|
6.1p
|
7.5p
|
(4.2p)
|
|
(7.3p)
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct3
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Profit before tax
|
1,814
|
1,584
|
1,544
|
|
434
|
1,566
|
1,976
|
1,725
|
|
476
|
Attributable profit/(loss)
|
1,233
|
1,074
|
1,084
|
|
48
|
1,135
|
1,338
|
1,212
|
|
(894)
|
Return on average tangible shareholders' equity
|
10.2%
|
9.3%
|
9.6%
|
|
0.4%
|
10.2%
|
12.3%
|
11.0%
|
|
(7.4%)
|
Cost: income ratio
|
59%
|
63%
|
62%
|
|
79%
|
65%
|
59%
|
63%
|
|
79%
|
Basic earnings/(loss) per share
|
7.2p
|
6.3p
|
6.3p
|
|
0.3p
|
6.6p
|
7.8p
|
7.1p
|
|
(5.3p)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet and capital
management4
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Total assets
|
1,290.4
|
1,232.8
|
1,193.5
|
|
1,133.3
|
1,170.8
|
1,149.6
|
1,142.2
|
|
1,133.2
|
Tangible net asset value per share
|
274p
|
275p
|
266p
|
|
262p
|
260p
|
259p
|
251p
|
|
276p
|
Common equity tier 1 ratio
|
13.4%
|
13.4%
|
13.0%
|
|
13.2%
|
13.2%
|
13.0%
|
12.7%
|
|
13.3%
|
Common equity tier 1 capital
|
41.9
|
42.9
|
41.4
|
|
41.1
|
41.7
|
41.4
|
40.2
|
|
41.6
|
Risk weighted assets
|
313.3
|
319.1
|
319.7
|
|
311.9
|
316.2
|
319.3
|
317.9
|
|
313.0
|
Average UK leverage ratio
|
4.6%
|
4.7%
|
4.6%
|
|
4.5%
|
4.6%
|
4.6%
|
4.6%
|
|
4.9%
|
Average UK leverage exposure
|
1,171.2
|
1,134.6
|
1,105.5
|
|
1,110.0
|
1,119.0
|
1,081.8
|
1,089.9
|
|
1,044.6
|
UK leverage ratio
|
4.8%
|
5.1%
|
4.9%
|
|
5.1%
|
4.9%
|
4.9%
|
4.8%
|
|
5.1%
|
UK leverage exposure
|
1,099.8
|
1,079.4
|
1,065.0
|
|
998.6
|
1,063.5
|
1,030.1
|
1,030.8
|
|
984.7
|
|
|
|
|
|
|
|
|
|
|
|
Funding and liquidity
|
|
|
|
|
|
|
|
|
|
|
Group liquidity (£bn)
|
226
|
238
|
232
|
|
227
|
213
|
214
|
207
|
|
220
|
Liquidity coverage ratio
|
151%
|
156%
|
160%
|
|
169%
|
161%
|
154%
|
147%
|
|
154%
|
Loan: deposit ratio
|
82%
|
82%
|
80%
|
|
83%
|
83%
|
83%
|
84%
|
|
81%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Prior to Q118 comparatives calculated based on gross loans and
advances at amortised cost before the balance sheet presentation
change and IAS 39 impairment charge.
|
3
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
4
|
Capital, RWAs and leverage measures are calculated applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting date. This includes IFRS 9
transitional arrangements. For more information on the
implementation of CRR II see page 25
|
Quarterly Results by
Business
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
1,503
|
1,438
|
1,469
|
|
1,513
|
1,529
|
1,493
|
1,493
|
|
1,540
|
Net fee, commission and other income
|
343
|
333
|
308
|
|
350
|
367
|
343
|
295
|
|
330
|
Total income
|
1,846
|
1,771
|
1,777
|
|
1,863
|
1,896
|
1,836
|
1,788
|
|
1,870
|
Credit impairment charges and other provisions
|
(101)
|
(230)
|
(191)
|
|
(296)
|
(115)
|
(214)
|
(201)
|
|
(184)
|
Net operating income
|
1,745
|
1,541
|
1,586
|
|
1,567
|
1,781
|
1,622
|
1,587
|
|
1,686
|
Operating costs
|
(952)
|
(1,022)
|
(999)
|
|
(1,114)
|
(988)
|
(968)
|
(1,005)
|
|
(1,117)
|
UK bank levy
|
-
|
-
|
-
|
|
(46)
|
-
|
-
|
-
|
|
(59)
|
Litigation and conduct
|
(1,480)
|
(41)
|
(3)
|
|
(15)
|
(54)
|
(3)
|
(411)
|
|
(53)
|
Total operating expenses
|
(2,432)
|
(1,063)
|
(1,002)
|
|
(1,175)
|
(1,042)
|
(971)
|
(1,416)
|
|
(1,229)
|
Other net (expenses)/income
|
-
|
(1)
|
1
|
|
(2)
|
1
|
5
|
(1)
|
|
(5)
|
(Loss)/profit before tax
|
(687)
|
477
|
585
|
|
390
|
740
|
656
|
170
|
|
452
|
Attributable (loss)/profit1
|
(907)
|
328
|
422
|
|
241
|
510
|
473
|
(26)
|
|
258
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances to customers at amortised cost
|
193.2
|
189.1
|
187.5
|
|
187.6
|
186.7
|
185.3
|
184.3
|
|
183.8
|
Total assets
|
257.9
|
259.0
|
253.1
|
|
249.7
|
252.0
|
245.9
|
235.2
|
|
237.4
|
Customer deposits at amortised cost
|
203.3
|
200.9
|
197.3
|
|
197.3
|
195.8
|
194.3
|
192.0
|
|
193.4
|
Loan: deposit ratio
|
97%
|
97%
|
96%
|
|
96%
|
96%
|
96%
|
96%
|
|
95%
|
Risk weighted assets
|
76.8
|
76.2
|
76.6
|
|
75.2
|
74.8
|
75.0
|
72.5
|
|
70.9
|
Period end allocated tangible equity
|
10.4
|
10.3
|
10.5
|
|
10.2
|
10.1
|
10.2
|
9.8
|
|
9.6
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
(34.9%)
|
12.7%
|
16.3%
|
|
9.6%
|
20.1%
|
18.8%
|
(1.1%)
|
|
10.7%
|
Average allocated tangible equity (£bn)
|
10.4
|
10.3
|
10.4
|
|
10.1
|
10.1
|
10.1
|
9.8
|
|
9.6
|
Cost: income ratio
|
132%
|
60%
|
56%
|
|
63%
|
55%
|
53%
|
79%
|
|
66%
|
Loan loss rate (bps)2
|
20
|
47
|
40
|
|
61
|
24
|
45
|
43
|
|
39
|
Net interest margin
|
3.10%
|
3.05%
|
3.18%
|
|
3.20%
|
3.22%
|
3.22%
|
3.27%
|
|
3.32%
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct3
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Profit before tax
|
793
|
518
|
588
|
|
405
|
794
|
659
|
581
|
|
505
|
Attributable profit
|
550
|
358
|
424
|
|
253
|
558
|
474
|
385
|
|
295
|
Return on average allocated tangible equity
|
21.2%
|
13.9%
|
16.4%
|
|
10.1%
|
22.0%
|
18.8%
|
15.7%
|
|
12.3%
|
Cost: income ratio
|
52%
|
58%
|
56%
|
|
62%
|
52%
|
53%
|
56%
|
|
63%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2.
|
Prior to Q118 comparatives calculated based on gross loans and
advances at amortised cost before the balance sheet presentation
change and IAS 39 impairment charge.
|
3
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays
UK
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Analysis of total income
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Personal Banking
|
1,035
|
946
|
964
|
|
998
|
1,021
|
1,015
|
972
|
|
1,116
|
Barclaycard Consumer UK
|
472
|
497
|
490
|
|
522
|
551
|
504
|
527
|
|
445
|
Business Banking
|
339
|
328
|
323
|
|
343
|
324
|
317
|
289
|
|
309
|
Total income
|
1,846
|
1,771
|
1,777
|
|
1,863
|
1,896
|
1,836
|
1,788
|
|
1,870
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of credit impairment (charges)/releases and other
provisions
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
(36)
|
(36)
|
(52)
|
|
(44)
|
(8)
|
(49)
|
(72)
|
|
(56)
|
Barclaycard Consumer UK
|
(49)
|
(175)
|
(140)
|
|
(250)
|
(88)
|
(139)
|
(113)
|
|
(124)
|
Business Banking
|
(16)
|
(19)
|
1
|
|
(2)
|
(19)
|
(26)
|
(16)
|
|
(4)
|
Total credit impairment charges and other provisions
|
(101)
|
(230)
|
(191)
|
|
(296)
|
(115)
|
(214)
|
(201)
|
|
(184)
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of loans and advances to customers at amortised
cost
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Personal Banking
|
150.1
|
147.3
|
145.9
|
|
146.0
|
145.4
|
143.6
|
142.1
|
|
141.3
|
Barclaycard Consumer UK
|
14.9
|
15.1
|
15.0
|
|
15.3
|
15.3
|
15.2
|
15.2
|
|
16.4
|
Business Banking
|
28.2
|
26.7
|
26.6
|
|
26.3
|
26.0
|
26.5
|
27.0
|
|
26.1
|
Total loans and advances to customers at amortised
cost
|
193.2
|
189.1
|
187.5
|
|
187.6
|
186.7
|
185.3
|
184.3
|
|
183.8
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of customer deposits at amortised cost
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
157.9
|
156.3
|
154.1
|
|
154.0
|
153.4
|
152.9
|
151.9
|
|
153.1
|
Barclaycard Consumer UK
|
-
|
-
|
-
|
|
-
|
-
|
-
|
-
|
|
-
|
Business Banking
|
45.4
|
44.6
|
43.2
|
|
43.3
|
42.4
|
41.4
|
40.1
|
|
40.3
|
Total customer deposits at amortised cost
|
203.3
|
200.9
|
197.3
|
|
197.3
|
195.8
|
194.3
|
192.0
|
|
193.4
|
Barclays
International
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
1,059
|
1,017
|
900
|
|
984
|
965
|
853
|
1,013
|
|
987
|
Net trading income
|
1,110
|
1,016
|
1,144
|
|
837
|
1,103
|
1,094
|
1,416
|
|
935
|
Net fee, commission and other income
|
1,581
|
1,870
|
1,526
|
|
1,400
|
1,222
|
1,760
|
1,379
|
|
1,397
|
Total income
|
3,750
|
3,903
|
3,570
|
|
3,221
|
3,290
|
3,707
|
3,808
|
|
3,319
|
Credit impairment charges and other provisions
|
(352)
|
(247)
|
(245)
|
|
(354)
|
(143)
|
(68)
|
(93)
|
|
(386)
|
Net operating income
|
3,398
|
3,656
|
3,325
|
|
2,867
|
3,147
|
3,639
|
3,715
|
|
2,933
|
Operating costs
|
(2,282)
|
(2,435)
|
(2,206)
|
|
(2,441)
|
(2,277)
|
(2,306)
|
(2,300)
|
|
(2,428)
|
UK bank levy
|
-
|
-
|
-
|
|
(210)
|
-
|
-
|
-
|
|
(265)
|
Litigation and conduct
|
-
|
(11)
|
(19)
|
|
(33)
|
(32)
|
(47)
|
(15)
|
|
(255)
|
Total operating expenses
|
(2,282)
|
(2,446)
|
(2,225)
|
|
(2,684)
|
(2,309)
|
(2,353)
|
(2,315)
|
|
(2,948)
|
Other net income
|
21
|
13
|
18
|
|
32
|
12
|
11
|
13
|
|
21
|
Profit before tax
|
1,137
|
1,223
|
1,118
|
|
215
|
850
|
1,297
|
1,413
|
|
6
|
Attributable profit/(loss)1
|
799
|
832
|
788
|
|
(21)
|
687
|
926
|
1,007
|
|
(1,134)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
138.1
|
134.8
|
130.9
|
|
127.2
|
132.4
|
125.5
|
117.5
|
|
126.8
|
Trading portfolio assets
|
119.4
|
120.0
|
117.2
|
|
104.0
|
124.6
|
116.5
|
114.9
|
|
113.0
|
Derivative financial instrument assets
|
286.0
|
243.8
|
217.3
|
|
222.1
|
214.8
|
228.2
|
214.1
|
|
236.2
|
Financial assets at fair value through the income
statement
|
158.0
|
154.7
|
153.5
|
|
144.7
|
147.8
|
141.2
|
150.6
|
|
104.1
|
Cash collateral and settlement balances
|
112.5
|
101.3
|
97.8
|
|
74.3
|
94.3
|
91.5
|
82.6
|
|
71.9
|
Other assets
|
195.6
|
196.8
|
202.3
|
|
189.8
|
186.3
|
183.6
|
186.9
|
|
204.1
|
Total assets
|
1,009.6
|
951.4
|
919.0
|
|
862.1
|
900.2
|
886.5
|
866.6
|
|
856.1
|
Deposits at amortised cost
|
217.6
|
212.0
|
215.5
|
|
197.2
|
200.3
|
191.0
|
167.2
|
|
187.3
|
Derivative financial instrument liabilities
|
283.3
|
243.0
|
213.5
|
|
219.6
|
213.7
|
224.9
|
210.8
|
|
237.8
|
Loan: deposit ratio
|
63%
|
64%
|
61%
|
|
65%
|
66%
|
66%
|
70%
|
|
68%
|
Risk weighted assets
|
223.1
|
214.8
|
216.1
|
|
210.7
|
214.6
|
218.0
|
214.2
|
|
210.3
|
Period end allocated tangible equity
|
31.4
|
30.2
|
30.6
|
|
29.9
|
30.2
|
30.5
|
30.0
|
|
27.5
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
9.9%
|
10.7%
|
10.4%
|
|
(0.3%)
|
8.8%
|
11.8%
|
13.4%
|
|
(15.9%)
|
Average allocated tangible equity (£bn)
|
32.2
|
31.1
|
30.5
|
|
31.3
|
31.1
|
31.4
|
30.1
|
|
28.5
|
Cost: income ratio
|
61%
|
63%
|
62%
|
|
83%
|
70%
|
63%
|
61%
|
|
89%
|
Loan loss rate (bps)2
|
99
|
72
|
73
|
|
107
|
41
|
22
|
31
|
|
76
|
Net interest margin
|
4.10%
|
3.91%
|
3.99%
|
|
3.98%
|
3.87%
|
4.03%
|
4.57%
|
|
4.31%
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct3
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Profit before tax
|
1,137
|
1,234
|
1,137
|
|
248
|
882
|
1,344
|
1,428
|
|
261
|
Attributable profit/(loss)
|
801
|
840
|
804
|
|
13
|
713
|
960
|
1,019
|
|
(884)
|
Return on average allocated tangible equity
|
10.0%
|
10.8%
|
10.6%
|
|
0.2%
|
9.2%
|
12.2%
|
13.6%
|
|
(12.4%)
|
Cost: income ratio
|
61%
|
62%
|
62%
|
|
82%
|
69%
|
62%
|
60%
|
|
81%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Prior to Q118 comparatives calculated based on gross loans and
advances at amortised cost before the balance sheet presentation
change and IAS 39 impairment charge.
|
3
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and Investment Bank
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
FICC
|
816
|
920
|
902
|
|
570
|
688
|
736
|
869
|
|
607
|
Equities
|
494
|
517
|
467
|
|
375
|
471
|
601
|
590
|
|
362
|
Markets
|
1,310
|
1,437
|
1,369
|
|
945
|
1,159
|
1,337
|
1,459
|
|
969
|
Banking fees
|
688
|
698
|
569
|
|
625
|
519
|
704
|
683
|
|
605
|
Corporate lending
|
195
|
216
|
152
|
|
243
|
197
|
198
|
240
|
|
269
|
Transaction banking
|
424
|
444
|
415
|
|
412
|
416
|
385
|
414
|
|
408
|
Corporate
|
619
|
660
|
567
|
|
655
|
613
|
583
|
654
|
|
677
|
Other
|
-
|
-
|
-
|
|
(74)
|
(56)
|
(44)
|
3
|
|
1
|
Total income
|
2,617
|
2,795
|
2,505
|
|
2,151
|
2,235
|
2,580
|
2,799
|
|
2,252
|
Credit impairment (charges)/releases and other
provisions
|
(31)
|
(44)
|
(52)
|
|
(35)
|
3
|
23
|
159
|
|
(127)
|
Net operating income
|
2,586
|
2,751
|
2,453
|
|
2,116
|
2,238
|
2,603
|
2,958
|
|
2,125
|
Operating costs
|
(1,712)
|
(1,860)
|
(1,619)
|
|
(1,835)
|
(1,712)
|
(1,773)
|
(1,773)
|
|
(1,885)
|
UK bank levy
|
-
|
-
|
-
|
|
(188)
|
-
|
-
|
-
|
|
(244)
|
Litigation and conduct
|
(4)
|
(7)
|
(19)
|
|
(23)
|
(32)
|
-
|
(13)
|
|
(255)
|
Total operating expenses
|
(1,716)
|
(1,867)
|
(1,638)
|
|
(2,046)
|
(1,744)
|
(1,773)
|
(1,786)
|
|
(2,384)
|
Other net income
|
12
|
3
|
12
|
|
15
|
4
|
5
|
3
|
|
7
|
Profit/(loss) before tax
|
882
|
887
|
827
|
|
85
|
498
|
835
|
1,175
|
|
(252)
|
Attributable profit/(loss)1
|
609
|
596
|
582
|
|
(84)
|
431
|
600
|
834
|
|
(1,227)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
95.8
|
92.1
|
90.6
|
|
86.4
|
93.3
|
87.8
|
81.3
|
|
88.2
|
Trading portfolio assets
|
119.3
|
119.9
|
117.2
|
|
104.0
|
124.5
|
116.5
|
114.9
|
|
112.9
|
Derivative financial instruments assets
|
286.0
|
243.7
|
217.3
|
|
222.1
|
214.8
|
228.1
|
214.2
|
|
236.1
|
Financial assets at fair value through the income
statement
|
157.3
|
154.1
|
152.9
|
|
144.2
|
147.3
|
140.7
|
150.2
|
|
103.8
|
Cash collateral and settlement balances
|
111.6
|
100.4
|
96.9
|
|
73.4
|
93.3
|
90.6
|
81.1
|
|
71.9
|
Other assets
|
171.5
|
168.1
|
163.2
|
|
160.4
|
153.8
|
151.6
|
159.8
|
|
175.8
|
Total assets
|
941.5
|
878.3
|
838.1
|
|
790.5
|
827.0
|
815.3
|
801.5
|
|
788.7
|
Deposits at amortised cost
|
152.1
|
145.4
|
151.4
|
|
136.3
|
137.6
|
130.3
|
107.6
|
|
128.0
|
Derivative financial instrument liabilities
|
283.2
|
242.9
|
213.5
|
|
219.6
|
213.7
|
224.9
|
210.9
|
|
237.7
|
Risk weighted assets
|
184.9
|
175.9
|
176.6
|
|
170.9
|
175.9
|
180.4
|
181.3
|
|
176.2
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
9.1%
|
9.2%
|
9.3%
|
|
(1.3%)
|
6.6%
|
9.1%
|
13.0%
|
|
(20.2%)
|
Average allocated tangible equity (£bn)
|
26.9
|
25.8
|
25.1
|
|
26.0
|
25.9
|
26.4
|
25.6
|
|
24.3
|
Cost: income ratio
|
66%
|
67%
|
65%
|
|
95%
|
78%
|
69%
|
64%
|
|
106%
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Profit before tax
|
886
|
894
|
846
|
|
108
|
530
|
835
|
1,188
|
|
3
|
Attributable profit/(loss)
|
614
|
601
|
598
|
|
(57)
|
456
|
600
|
844
|
|
(977)
|
Return on average allocated tangible equity
|
9.2%
|
9.3%
|
9.5%
|
|
(0.9%)
|
7.0%
|
9.1%
|
13.2%
|
|
(16.1%)
|
Cost: income ratio
|
65%
|
67%
|
65%
|
|
94%
|
77%
|
69%
|
63%
|
|
95%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Analysis of Barclays
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer, Cards and
Payments
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total income
|
1,133
|
1,108
|
1,065
|
|
1,070
|
1,055
|
1,127
|
1,009
|
|
1,067
|
Credit impairment charges and other provisions
|
(321)
|
(203)
|
(193)
|
|
(319)
|
(146)
|
(91)
|
(252)
|
|
(259)
|
Net operating income
|
812
|
905
|
872
|
|
751
|
909
|
1,036
|
757
|
|
808
|
Operating costs
|
(570)
|
(575)
|
(587)
|
|
(606)
|
(565)
|
(533)
|
(527)
|
|
(543)
|
UK bank levy
|
-
|
-
|
-
|
|
(22)
|
-
|
-
|
-
|
|
(21)
|
Litigation and conduct
|
4
|
(4)
|
-
|
|
(10)
|
-
|
(47)
|
(2)
|
|
-
|
Total operating expenses
|
(566)
|
(579)
|
(587)
|
|
(638)
|
(565)
|
(580)
|
(529)
|
|
(564)
|
Other net income
|
9
|
10
|
6
|
|
17
|
8
|
6
|
10
|
|
14
|
Profit before tax
|
255
|
336
|
291
|
|
130
|
352
|
462
|
238
|
|
258
|
Attributable profit1
|
190
|
236
|
206
|
|
63
|
256
|
326
|
173
|
|
93
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
42.3
|
42.7
|
40.3
|
|
40.8
|
39.1
|
37.7
|
36.2
|
|
38.6
|
Total assets
|
68.1
|
73.1
|
80.9
|
|
71.6
|
73.2
|
71.2
|
65.1
|
|
67.4
|
Deposits at amortised cost
|
65.5
|
66.6
|
64.1
|
|
60.9
|
62.7
|
60.7
|
59.6
|
|
59.3
|
Risk weighted assets
|
38.2
|
38.9
|
39.5
|
|
39.8
|
38.7
|
37.6
|
32.9
|
|
34.1
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
14.2%
|
17.8%
|
15.4%
|
|
4.8%
|
19.8%
|
26.2%
|
15.6%
|
|
8.9%
|
Average allocated tangible equity (£bn)
|
5.3
|
5.3
|
5.4
|
|
5.3
|
5.2
|
5.0
|
4.5
|
|
4.2
|
Cost: income ratio
|
50%
|
52%
|
55%
|
|
60%
|
54%
|
51%
|
52%
|
|
53%
|
Loan loss rate (bps)2
|
283
|
180
|
182
|
|
290
|
138
|
90
|
263
|
|
255
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct3
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Profit before tax
|
251
|
340
|
291
|
|
140
|
352
|
509
|
240
|
|
258
|
Attributable profit
|
187
|
239
|
206
|
|
70
|
257
|
360
|
175
|
|
93
|
Return on average allocated tangible equity
|
14.0%
|
18.0%
|
15.4%
|
|
5.4%
|
19.9%
|
28.9%
|
15.7%
|
|
9.0%
|
Cost: income ratio
|
50%
|
52%
|
55%
|
|
59%
|
54%
|
47%
|
52%
|
|
53%
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Prior to Q118 comparatives calculated based on gross loans and
advances at amortised cost before the balance sheet presentation
change and IAS 39 impairment charge.
|
3
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Head Office
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
(117)
|
(95)
|
(111)
|
|
(201)
|
(106)
|
(156)
|
(318)
|
|
(254)
|
Net fee, commission and other income
|
62
|
(41)
|
16
|
|
190
|
49
|
189
|
80
|
|
87
|
Total income
|
(55)
|
(136)
|
(95)
|
|
(11)
|
(57)
|
33
|
(238)
|
|
(167)
|
Credit impairment (charges)/releases and other
provisions
|
(8)
|
(3)
|
(12)
|
|
7
|
4
|
(1)
|
6
|
|
(3)
|
Net operating (expenses)/income
|
(63)
|
(139)
|
(107)
|
|
(4)
|
(53)
|
32
|
(232)
|
|
(170)
|
Operating costs
|
(59)
|
(44)
|
(52)
|
|
(69)
|
(64)
|
(36)
|
(59)
|
|
(76)
|
UK bank levy
|
-
|
-
|
-
|
|
(13)
|
-
|
-
|
-
|
|
(41)
|
GMP charge
|
-
|
-
|
-
|
|
(140)
|
-
|
-
|
-
|
|
-
|
Litigation and conduct
|
(88)
|
(1)
|
(39)
|
|
(12)
|
(19)
|
(31)
|
(1,535)
|
|
(75)
|
Total operating expenses
|
(147)
|
(45)
|
(91)
|
|
(234)
|
(83)
|
(67)
|
(1,594)
|
|
(192)
|
Other net income/(expenses)
|
6
|
15
|
(22)
|
|
7
|
7
|
(23)
|
7
|
|
(3)
|
Loss before tax
|
(204)
|
(169)
|
(220)
|
|
(231)
|
(129)
|
(58)
|
(1,819)
|
|
(365)
|
Attributable loss1
|
(184)
|
(126)
|
(172)
|
|
(234)
|
(147)
|
(120)
|
(1,699)
|
|
(369)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Total assets
|
22.9
|
22.4
|
21.4
|
|
21.5
|
18.6
|
17.2
|
40.4
|
|
39.7
|
Risk weighted assets
|
13.4
|
28.1
|
27.0
|
|
26.0
|
26.8
|
26.3
|
31.2
|
|
31.8
|
Period end allocated tangible equity
|
5.5
|
7.0
|
4.5
|
|
4.9
|
4.2
|
3.6
|
3.0
|
|
10.0
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Average allocated tangible equity (£bn)
|
5.8
|
4.8
|
4.3
|
|
2.9
|
3.4
|
2.0
|
4.3
|
|
10.0
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures excluding
litigation and conduct2
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Loss before tax
|
(116)
|
(168)
|
(181)
|
|
(219)
|
(110)
|
(27)
|
(284)
|
|
(290)
|
Attributable loss
|
(118)
|
(124)
|
(144)
|
|
(218)
|
(136)
|
(96)
|
(192)
|
|
(305)
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated. This change
does not impact EPS or return on average tangible
shareholders’ equity.
|
2
|
Refer to pages 36 to 45 for further information and calculations of
performance measures excluding litigation and conduct.
|
Performance
Management
Margins and
balances
|
|
|
|
|
|
|
|
Nine months ended 30.09.19
|
Nine months ended 30.09.181
|
|
Net interest income
|
Average customer assets
|
Net interest margin
|
Net interest income
|
Average customer assets
|
Net interest margin
|
|
£m
|
£m
|
%
|
£m
|
£m
|
%
|
Barclays UK
|
4,410
|
189,994
|
3.10
|
4,515
|
186,474
|
3.24
|
Barclays International2
|
2,985
|
99,862
|
4.00
|
2,972
|
95,693
|
4.15
|
Total Barclays UK and Barclays International
|
7,395
|
289,856
|
3.41
|
7,487
|
282,167
|
3.55
|
Other3
|
(332)
|
|
|
(723)
|
|
|
Total Group4
|
7,063
|
|
|
6,764
|
|
|
1
|
The Group’s treasury results are reported directly within
Barclays UK and Barclays International from Q218 following
ring-fencing, resulting in gains and losses made on certain
activities being recognised as Other income, rather than in Net
interest income.
|
2
|
Barclays International margins include interest earning lending
balances within the investment banking
business.
|
3
|
Other includes Head Office and non-lending related investment
banking businesses not included in Barclays International
margins.
|
4
|
The Group’s combined product and equity structural hedge
notional as at 30 September 2019 was £173bn, with an average
duration of 2.5 to 3 years. Group net interest income includes
gross structural hedge contributions of £1.4bn (Q318 YTD:
£1.3bn) and net structural hedge contributions of £0.4bn
(Q318 YTD: £0.6bn). Gross structural
hedge
contributions represent the absolute level of interest earned from
the fixed receipts on the basket of swaps in the structural hedge,
while the net structural hedge contributions represent the net
interest earned on the difference between the structural hedge rate
and prevailing floating
rates.
|
Quarterly analysis for Barclays UK and Barclays
International
|
Net interest income
|
Average customer assets
|
Net interest margin
|
Three months ended 30.09.19
|
£m
|
£m
|
%
|
Barclays UK
|
1,503
|
192,262
|
3.10
|
Barclays International1
|
1,038
|
100,589
|
4.10
|
Total Barclays UK and Barclays International
|
2,541
|
292,851
|
3.44
|
|
|
|
|
Three months ended 30.06.19
|
|
|
|
Barclays UK
|
1,438
|
189,172
|
3.05
|
Barclays International1
|
980
|
100,645
|
3.91
|
Total Barclays UK and Barclays International
|
2,418
|
289,817
|
3.35
|
|
|
|
|
Three months ended 31.03.19
|
|
|
|
Barclays UK
|
1,469
|
187,570
|
3.18
|
Barclays International1
|
967
|
98,313
|
3.99
|
Total Barclays UK and Barclays International
|
2,436
|
285,883
|
3.46
|
|
|
|
|
Three months ended 31.12.18
|
|
|
|
Barclays UK
|
1,513
|
187,813
|
3.20
|
Barclays International1
|
994
|
99,137
|
3.98
|
Total Barclays UK and Barclays International
|
2,507
|
286,950
|
3.47
|
|
|
|
|
Three months ended 30.09.18
|
|
|
|
Barclays UK
|
1,529
|
188,239
|
3.22
|
Barclays International1
|
945
|
96,785
|
3.87
|
Total Barclays UK and Barclays International
|
2,474
|
285,024
|
3.44
|
1
Barclays International margins include interest earning lending
balances within the investment banking
business.
Credit Risk
Loans and advances at amortised cost
by stage
The
table below presents an analysis of loans and advances at amortised
cost by gross exposure, impairment allowance, impairment charge and
coverage ratio by stage allocation and business segment as at 30
September 2019. Also included are off-balance sheet loan
commitments and financial guarantee contracts by gross exposure,
impairment allowance and coverage ratio by stage allocation as at
30 September 2019. Barclays does not hold any material purchased or
originated credit impaired assets as at period-end.
|
Gross exposure
|
|
Impairment allowance
|
Net
exposure
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
As at 30.09.19
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
£m
|
Barclays UK
|
142,242
|
22,362
|
2,660
|
167,264
|
|
189
|
1,296
|
1,118
|
2,603
|
164,661
|
Barclays International
|
28,865
|
4,223
|
1,969
|
35,057
|
|
360
|
864
|
1,420
|
2,644
|
32,413
|
Head Office
|
5,134
|
532
|
874
|
6,540
|
|
7
|
41
|
314
|
362
|
6,178
|
Total Barclays Group retail
|
176,241
|
27,117
|
5,503
|
208,861
|
|
556
|
2,201
|
2,852
|
5,609
|
203,252
|
Barclays UK
|
28,667
|
3,484
|
1,201
|
33,352
|
|
13
|
45
|
114
|
172
|
33,180
|
Barclays International
|
94,613
|
10,205
|
1,691
|
106,509
|
|
137
|
268
|
439
|
844
|
105,665
|
Head Office
|
3,025
|
-
|
40
|
3,065
|
|
-
|
-
|
38
|
38
|
3,027
|
Total Barclays Group wholesale
|
126,305
|
13,689
|
2,932
|
142,926
|
|
150
|
313
|
591
|
1,054
|
141,872
|
Total loans and advances at amortised cost
|
302,546
|
40,806
|
8,435
|
351,787
|
|
706
|
2,514
|
3,443
|
6,663
|
345,124
|
Off-balance sheet loan commitments and financial guarantee
contracts1
|
335,072
|
19,774
|
734
|
355,580
|
|
102
|
171
|
50
|
323
|
355,257
|
Total2
|
637,618
|
60,580
|
9,169
|
707,367
|
|
808
|
2,685
|
3,493
|
6,986
|
700,381
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 30.09.19
|
|
Period ended 30.09.19
|
|
|
Coverage ratio
|
|
Loan impairment charge and loan loss
rate3
|
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Loan impairment charge
|
Loan loss rate
|
|
|
%
|
%
|
%
|
%
|
|
£m
|
bps
|
|
Barclays UK
|
0.1
|
5.8
|
42.0
|
1.6
|
|
|
489
|
|
39
|
|
Barclays International
|
1.2
|
20.5
|
72.1
|
7.5
|
|
|
704
|
|
268
|
|
Head Office
|
0.1
|
7.7
|
35.9
|
5.5
|
|
|
23
|
|
47
|
|
Total Barclays Group retail
|
0.3
|
8.1
|
51.8
|
2.7
|
|
|
1,216
|
|
78
|
|
Barclays UK
|
-
|
1.3
|
9.5
|
0.5
|
|
|
27
|
|
11
|
|
Barclays International
|
0.1
|
2.6
|
26.0
|
0.8
|
|
|
84
|
|
11
|
|
Head Office
|
-
|
-
|
95.0
|
1.2
|
|
|
-
|
|
-
|
|
Total Barclays Group wholesale
|
0.1
|
2.3
|
20.2
|
0.7
|
|
|
111
|
|
10
|
|
Total loans and advances at amortised cost
|
0.2
|
6.2
|
40.8
|
1.9
|
|
|
1,327
|
|
50
|
|
Off-balance sheet loan commitments and financial guarantee
contracts1
|
-
|
0.9
|
6.8
|
0.1
|
|
|
57
|
|
|
|
Other financial assets subject to impairment2
|
|
|
|
|
|
|
5
|
|
|
|
Total
|
0.1
|
4.4
|
38.1
|
1.0
|
|
|
1,389
|
|
|
|
1
|
Excludes loan commitments and financial guarantees of £14.6bn
carried at fair value.
|
2
|
Other financial assets subject to impairment not included in the
table above include cash collateral and settlement balances,
financial assets at fair value through other comprehensive income
and other assets. These have a total gross exposure of
£192.1bn and impairment allowance of £21m. This comprises
£12m Expected Credit Loss (ECL) on £192.1bn stage 1
assets, £0.2m on £18m stage 2 fair value through other
comprehensive income, cash collateral and settlement assets and
£9m on £9m stage 3 other assets.
|
3
|
Q319 loan impairment charge represents nine months of impairment
charge, annualised to calculate the loan loss rate. The loan loss
rate for Q319 is 53bps after applying the total impairment charge
of £1,389m.
|
|
Gross exposure
|
|
Impairment allowance
|
Net
exposure
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
As at 31.12.18
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
£m
|
Barclays UK
|
134,911
|
25,279
|
3,040
|
163,230
|
|
183
|
1,389
|
1,152
|
2,724
|
160,506
|
Barclays International
|
26,714
|
4,634
|
1,830
|
33,178
|
|
352
|
965
|
1,315
|
2,632
|
30,546
|
Head Office
|
6,510
|
636
|
938
|
8,084
|
|
9
|
47
|
306
|
362
|
7,722
|
Total Barclays Group retail
|
168,135
|
30,549
|
5,808
|
204,492
|
|
544
|
2,401
|
2,773
|
5,718
|
198,774
|
Barclays UK
|
22,824
|
4,144
|
1,272
|
28,240
|
|
16
|
70
|
117
|
203
|
28,037
|
Barclays International
|
87,344
|
8,754
|
1,382
|
97,480
|
|
128
|
244
|
439
|
811
|
96,669
|
Head Office
|
2,923
|
-
|
41
|
2,964
|
|
-
|
-
|
38
|
38
|
2,926
|
Total Barclays Group wholesale
|
113,091
|
12,898
|
2,695
|
128,684
|
|
144
|
314
|
594
|
1,052
|
127,632
|
Total loans and advances at amortised cost
|
281,226
|
43,447
|
8,503
|
333,176
|
|
688
|
2,715
|
3,367
|
6,770
|
326,406
|
Off-balance sheet loan commitments and financial guarantee
contracts1
|
309,989
|
22,126
|
684
|
332,799
|
|
99
|
150
|
22
|
271
|
332,528
|
Total2
|
591,215
|
65,573
|
9,187
|
665,975
|
|
787
|
2,865
|
3,389
|
7,041
|
658,934
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 31.12.18
|
|
Year ended 31.12.18
|
|
|
Coverage ratio
|
|
Loan impairment charge and loan loss rate
|
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Loan impairment charge
|
Loan loss rate
|
|
|
%
|
%
|
%
|
%
|
|
£m
|
|
bps
|
|
Barclays UK
|
0.1
|
5.5
|
37.9
|
1.7
|
|
|
830
|
|
51
|
|
Barclays International
|
1.3
|
20.8
|
71.9
|
7.9
|
|
|
844
|
|
254
|
|
Head Office
|
0.1
|
7.4
|
32.6
|
4.5
|
|
|
15
|
|
19
|
|
Total Barclays Group retail
|
0.3
|
7.9
|
47.7
|
2.8
|
|
|
1,689
|
|
83
|
|
Barclays UK
|
0.1
|
1.7
|
9.2
|
0.7
|
|
|
74
|
|
26
|
|
Barclays International
|
0.1
|
2.8
|
31.8
|
0.8
|
|
|
(142)
|
|
-
|
|
Head Office
|
-
|
-
|
92.7
|
1.3
|
|
|
(31)
|
|
-
|
|
Total Barclays Group wholesale
|
0.1
|
2.4
|
22.0
|
0.8
|
|
|
(99)
|
|
-
|
|
Total loans and advances at amortised cost
|
0.2
|
6.2
|
39.6
|
2.0
|
|
|
1,590
|
|
48
|
|
Off-balance sheet loan commitments and financial guarantee
contracts1
|
-
|
0.7
|
3.2
|
0.1
|
|
|
(125)
|
|
|
|
Other financial assets subject to impairment2
|
|
|
|
|
|
|
3
|
|
|
|
Total
|
0.1
|
4.4
|
36.9
|
1.1
|
|
|
1,468
|
|
|
|
1
|
Excludes loan commitments and financial guarantees of £11.7bn
carried at fair value.
|
2
|
Other financial assets subject to impairment not included in the
table above include cash collateral and settlement balances,
financial assets at fair value through other comprehensive income
and other assets. These have a total gross exposure of
£129.9bn and impairment allowance of £12m. This comprises
£10m ECL on £129.3bn stage 1 assets and £2m on
£0.6bn stage 2 fair value through other comprehensive income
assets.
|
Loans and advances at amortised cost
by product
The
table below presents a breakdown of loans and advances at amortised
cost and the impairment allowance with stage allocation by asset
classification.
|
|
Stage 2
|
|
|
As at 30.09.19
|
Stage 1
|
Not past due
|
<=30 days past due
|
>30 days past due
|
Total
|
Stage 3
|
Total
|
Gross exposure
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
Home loans
|
135,373
|
13,687
|
1,695
|
733
|
16,115
|
2,272
|
153,760
|
Credit cards, unsecured loans and other retail lending
|
48,442
|
9,937
|
502
|
514
|
10,953
|
3,574
|
62,969
|
Corporate loans
|
118,731
|
12,103
|
435
|
1,200
|
13,738
|
2,589
|
135,058
|
Total
|
302,546
|
35,727
|
2,632
|
2,447
|
40,806
|
8,435
|
351,787
|
|
|
|
|
|
|
|
|
Impairment allowance
|
|
|
|
|
|
|
|
Home loans
|
28
|
50
|
15
|
14
|
79
|
351
|
458
|
Credit cards, unsecured loans and other retail lending
|
550
|
1,692
|
158
|
255
|
2,105
|
2,551
|
5,206
|
Corporate loans
|
128
|
310
|
14
|
6
|
330
|
541
|
999
|
Total
|
706
|
2,052
|
187
|
275
|
2,514
|
3,443
|
6,663
|
|
|
|
|
|
|
|
|
Net exposure
|
|
|
|
|
|
|
|
Home loans
|
135,345
|
13,637
|
1,680
|
719
|
16,036
|
1,921
|
153,302
|
Credit cards, unsecured loans and other retail lending
|
47,892
|
8,245
|
344
|
259
|
8,848
|
1,023
|
57,763
|
Corporate loans
|
118,603
|
11,793
|
421
|
1,194
|
13,408
|
2,048
|
134,059
|
Total
|
301,840
|
33,675
|
2,445
|
2,172
|
38,292
|
4,992
|
345,124
|
|
|
|
|
|
|
|
|
Coverage ratio
|
%
|
%
|
%
|
%
|
%
|
%
|
%
|
Home loans
|
-
|
0.4
|
0.9
|
1.9
|
0.5
|
15.4
|
0.3
|
Credit cards, unsecured loans and other retail lending
|
1.1
|
17.0
|
31.5
|
49.6
|
19.2
|
71.4
|
8.3
|
Corporate loans
|
0.1
|
2.6
|
3.2
|
0.5
|
2.4
|
20.9
|
0.7
|
Total
|
0.2
|
5.7
|
7.1
|
11.2
|
6.2
|
40.8
|
1.9
|
|
|
|
|
|
|
|
|
As at 31.12.18
|
|
|
|
|
|
|
|
Gross exposure
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
Home loans
|
130,066
|
15,672
|
1,672
|
862
|
18,206
|
2,476
|
150,748
|
Credit cards, unsecured loans and other retail lending
|
45,785
|
11,262
|
530
|
437
|
12,229
|
3,760
|
61,774
|
Corporate loans
|
105,375
|
12,177
|
360
|
475
|
13,012
|
2,267
|
120,654
|
Total
|
281,226
|
39,111
|
2,562
|
1,774
|
43,447
|
8,503
|
333,176
|
|
|
|
|
|
|
|
|
Impairment allowance
|
|
|
|
|
|
|
|
Home loans
|
31
|
56
|
13
|
13
|
82
|
351
|
464
|
Credit cards, unsecured loans and other retail lending
|
528
|
1,895
|
169
|
240
|
2,304
|
2,511
|
5,343
|
Corporate loans
|
129
|
300
|
16
|
13
|
329
|
505
|
963
|
Total
|
688
|
2,251
|
198
|
266
|
2,715
|
3,367
|
6,770
|
|
|
|
|
|
|
|
|
Net exposure
|
|
|
|
|
|
|
|
Home loans
|
130,035
|
15,616
|
1,659
|
849
|
18,124
|
2,125
|
150,284
|
Credit cards, unsecured loans and other retail lending
|
45,257
|
9,367
|
361
|
197
|
9,925
|
1,249
|
56,431
|
Corporate loans
|
105,246
|
11,877
|
344
|
462
|
12,683
|
1,762
|
119,691
|
Total
|
280,538
|
36,860
|
2,364
|
1,508
|
40,732
|
5,136
|
326,406
|
|
|
|
|
|
|
|
|
Coverage ratio
|
%
|
%
|
%
|
%
|
%
|
%
|
%
|
Home loans
|
-
|
0.4
|
0.8
|
1.5
|
0.5
|
14.2
|
0.3
|
Credit cards, unsecured loans and other retail lending
|
1.2
|
16.8
|
31.9
|
54.9
|
18.8
|
66.8
|
8.6
|
Corporate loans
|
0.1
|
2.5
|
4.4
|
2.7
|
2.5
|
22.3
|
0.8
|
Total
|
0.2
|
5.8
|
7.7
|
15.0
|
6.2
|
39.6
|
2.0
|
Treasury and Capital
Risk
Capital
The
Group’s CET1 overall capital requirement is 12.0% comprising
a 4.5% Pillar 1 minimum, a 2.5% Capital Conservation Buffer (CCB),
a 1.5% Global Systemically Important Institution (G-SII) buffer, a
3.0% Pillar 2A requirement applicable from 24 October 2019 and a
0.5% Countercyclical Capital Buffer (CCyB).
The
Group’s CCyB is based on the buffer rate applicable for each
jurisdiction in which the Group have exposures. On 28 November
2018, the Financial Policy Committee set the CCyB rate for UK
exposures at 1%. The buffer rates set by other national authorities
for our non-UK exposures are not currently material. Overall, this
results in a 0.5% CCyB for the Group for Q319.
The
Group’s Pillar 2A requirement as per the PRA’s
Individual Capital Requirement applicable from 24 October 2019 has
been revised to 5.3% (September 2019: 4.7%), of which at least
56.25% needs to be met with CET1 capital, equating to approximately
3.0% of RWAs (September 2019: 2.6%). The increase follows the
removal of the operational risk RWA floor from Pillar 1, and also
reflects the new requirement that is calibrated at least annually.
Certain elements of the Pillar 2A requirement are a fixed quantum
whilst others are a proportion of RWAs and are based on a point in
time assessment.
On 27
June 2019, as part of the EU Risk Reduction Measure package, CRR II
entered into force amending CRR. As an amending regulation,
the existing provisions of CRR apply unless they are amended by CRR
II. The amendments largely take effect and are phased in from 28
June 2021 with a number of exceptions which were implemented with
immediate effect.
These
exceptions primarily relate to MREL. Amendments within this section
include changes to qualifying criteria for CET1, AT1 and Tier 2
instruments, the inclusion of additional holdings eligible for
deduction, an amendment to the treatment of deferred tax assets and
the introduction of requirements for MREL. Grandfathering and
transitional provisions relating to MREL have also been
introduced.
Certain
aspects of CRR II are dependent on final technical standards to be
issued by the European Banking Authority (EBA) and adopted by the
European Commission as well as UK implementation of the
rules. The disclosures in the following section reflect
Barclays’ interpretation of the current rules and
guidance.
Capital
ratios1,2,3
|
As at
|
As at
|
As at
|
30.09.19
|
30.06.19
|
31.12.18
|
CET1
|
13.4%
|
13.4%
|
13.2%
|
Tier 1 (T1)
|
17.0%
|
17.4%
|
17.0%
|
Total regulatory capital
|
21.1%
|
21.4%
|
20.7%
|
|
|
|
|
Capital resources
|
£bn
|
£bn
|
£bn
|
Total equity excluding non-controlling interests per the balance
sheet
|
66.2
|
67.6
|
62.6
|
Less: other equity instruments (recognised as AT1
capital)
|
(10.9)
|
(12.1)
|
(9.6)
|
Adjustment to retained earnings for foreseeable
dividends
|
(0.7)
|
(0.8)
|
(0.7)
|
|
|
|
|
Other regulatory adjustments and deductions
|
|
|
|
Additional value adjustments (PVA)
|
(1.9)
|
(1.8)
|
(1.7)
|
Goodwill and intangible assets
|
(8.1)
|
(8.0)
|
(8.0)
|
Deferred tax assets that rely on future profitability excluding
temporary differences
|
(0.3)
|
(0.4)
|
(0.5)
|
Fair value reserves related to gains or losses on cash flow
hedges
|
(1.5)
|
(1.2)
|
(0.7)
|
Gains or losses on liabilities at fair value resulting from own
credit
|
-
|
(0.1)
|
(0.1)
|
Defined benefit pension fund assets
|
(2.0)
|
(1.4)
|
(1.3)
|
Direct and indirect holdings by an institution of own CET1
instruments
|
(0.1)
|
(0.1)
|
(0.1)
|
Adjustment under IFRS 9 transitional arrangements
|
1.1
|
1.2
|
1.3
|
Other regulatory adjustments
|
(0.1)
|
-
|
-
|
CET1 capital
|
41.9
|
42.9
|
41.1
|
|
|
|
|
AT1 capital
|
|
|
|
Capital instruments and related share premium accounts
|
10.9
|
12.1
|
9.6
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
0.8
|
0.7
|
2.4
|
Other regulatory adjustments and deductions
|
(0.1)
|
(0.1)
|
(0.1)
|
AT1 capital
|
11.5
|
12.7
|
11.9
|
|
|
|
|
T1 capital
|
53.4
|
55.6
|
53.0
|
|
|
|
|
T2 capital
|
|
|
|
Capital instruments and related share premium accounts
|
8.3
|
8.0
|
6.6
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
4.7
|
5.0
|
5.3
|
Other regulatory adjustments and deductions
|
(0.3)
|
(0.3)
|
(0.3)
|
Total regulatory capital
|
66.1
|
68.3
|
64.6
|
|
|
|
|
Total RWAs
|
313.3
|
319.1
|
311.9
|
1
|
CET1, T1 and T2 capital, and RWAs are calculated applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting date. This includes IFRS 9
transitional arrangements and the grandfathering of CRR and CRR II
non-compliant capital instruments.
|
2
|
The fully loaded CET1 ratio, as is relevant for assessing against
the conversion trigger in Barclays PLC AT1 securities, was 13.0%,
with £40.7bn of CET1 capital and £313.1bn of RWAs
calculated without applying the transitional arrangements of the
CRR as amended by CRR II applicable as at the reporting
date.
|
3
|
The Group’s CET1 ratio, as is relevant for assessing against
the conversion trigger in Barclays Bank PLC T2 Contingent Capital
Notes, was 13.4%. For this calculation CET1 capital and RWAs are
calculated applying the transitional arrangements under the CRR,
including the IFRS 9 transitional arrangements. The benefit of the
Financial Services Authority (FSA) October 2012 interpretation of
the transitional provisions, relating to the implementation of CRD
IV, expired in December 2017.
|
Movement in CET1
capital
|
Three months
|
Nine months
|
ended
|
ended
|
30.09.19
|
30.09.19
|
£bn
|
£bn
|
Opening CET1 capital
|
42.9
|
41.1
|
|
|
|
Profit for the period attributable to equity holders
|
-
|
2.4
|
Dividends paid and foreseen
|
(0.6)
|
(1.8)
|
(Decrease)/increase in retained regulatory capital generated from
earnings
|
(0.7)
|
0.6
|
|
|
|
Net impact of share schemes
|
0.1
|
0.2
|
Fair value through other comprehensive income reserve
|
(0.2)
|
0.3
|
Currency translation reserve
|
0.5
|
0.7
|
Other reserves
|
(0.4)
|
(0.4)
|
Increase in other qualifying reserves
|
-
|
0.7
|
|
|
|
Pension remeasurements within reserves
|
0.4
|
0.3
|
Defined benefit pension fund asset deduction
|
(0.6)
|
(0.7)
|
Net impact of pensions
|
(0.2)
|
(0.4)
|
|
|
|
Additional value adjustments (PVA)
|
(0.1)
|
(0.1)
|
Goodwill and intangible assets
|
(0.1)
|
(0.1)
|
Deferred tax assets that rely on future profitability excluding
those arising from temporary differences
|
0.1
|
0.2
|
Adjustment under IFRS 9 transitional arrangements
|
(0.1)
|
(0.2)
|
Decrease in regulatory capital due to adjustments and
deductions
|
(0.2)
|
(0.2)
|
|
|
|
Closing CET1 capital
|
41.9
|
41.9
|
|
|
|
Risk weighted assets by risk type and
business
|
|
Credit risk
|
|
Counterparty credit risk
|
|
Market risk
|
|
Operational risk
|
Total RWAs
|
|
Std
|
IRB
|
|
Std
|
IRB
|
Settlement risk
|
CVA
|
|
Std
|
IMA
|
|
|
|
As at 30.09.19
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
|
£bn
|
£bn
|
Barclays UK
|
4.1
|
60.4
|
|
0.3
|
-
|
-
|
-
|
|
0.2
|
-
|
|
11.8
|
76.8
|
Corporate
and Investment Bank
|
27.4
|
69.3
|
|
12.9
|
17.4
|
0.1
|
4.0
|
|
15.6
|
16.6
|
|
21.6
|
184.9
|
Consumer,
Cards and Payments
|
28.3
|
2.4
|
|
0.1
|
-
|
-
|
-
|
|
-
|
0.1
|
|
7.3
|
38.2
|
Barclays International
|
55.7
|
71.7
|
|
13.0
|
17.4
|
0.1
|
4.0
|
|
15.6
|
16.7
|
|
28.9
|
223.1
|
Head Office
|
5.3
|
6.3
|
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
1.8
|
13.4
|
Barclays Group
|
65.1
|
138.4
|
|
13.3
|
17.4
|
0.1
|
4.0
|
|
15.8
|
16.7
|
|
42.5
|
313.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 30.06.19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Barclays UK
|
3.8
|
60.2
|
|
0.3
|
-
|
-
|
-
|
|
0.1
|
-
|
|
11.8
|
76.2
|
Corporate
and Investment Bank
|
24.6
|
68.2
|
|
12.4
|
16.4
|
0.2
|
3.4
|
|
15.4
|
13.7
|
|
21.6
|
175.9
|
Consumer,
Cards and Payments
|
29.3
|
2.1
|
|
0.1
|
-
|
-
|
-
|
|
-
|
0.1
|
|
7.3
|
38.9
|
Barclays International
|
53.9
|
70.3
|
|
12.5
|
16.4
|
0.2
|
3.4
|
|
15.4
|
13.8
|
|
28.9
|
214.8
|
Head Office
|
5.7
|
6.4
|
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
16.0
|
28.1
|
Barclays Group
|
63.4
|
136.9
|
|
12.8
|
16.4
|
0.2
|
3.4
|
|
15.5
|
13.8
|
|
56.7
|
319.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 31.12.18
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Barclays UK
|
3.3
|
59.7
|
|
0.2
|
-
|
-
|
0.1
|
|
0.1
|
-
|
|
11.8
|
75.2
|
Corporate
and Investment Bank
|
26.1
|
64.8
|
|
9.8
|
14.9
|
0.2
|
3.3
|
|
13.9
|
16.2
|
|
21.7
|
170.9
|
Consumer,
Cards and Payments
|
29.5
|
2.2
|
|
0.1
|
0.1
|
-
|
-
|
|
-
|
0.6
|
|
7.3
|
39.8
|
Barclays International
|
55.6
|
67.0
|
|
9.9
|
15.0
|
0.2
|
3.3
|
|
13.9
|
16.8
|
|
29.0
|
210.7
|
Head Office
|
4.3
|
5.8
|
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
15.9
|
26.0
|
Barclays Group
|
63.2
|
132.5
|
|
10.1
|
15.0
|
0.2
|
3.4
|
|
14.0
|
16.8
|
|
56.7
|
311.9
|
Movement analysis of
RWAs
|
|
Credit risk
|
Counterparty credit risk
|
Market risk
|
Operational risk
|
Total RWAs
|
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
Opening RWAs (as at 31.12.18)
|
195.6
|
28.8
|
30.8
|
56.7
|
311.9
|
Book size
|
4.2
|
6.1
|
(0.3)
|
-
|
10.0
|
Acquisitions and disposals
|
(0.2)
|
-
|
-
|
-
|
(0.2)
|
Book quality
|
(1.2)
|
(0.2)
|
-
|
-
|
(1.4)
|
Model updates
|
0.8
|
0.5
|
-
|
-
|
1.3
|
Methodology and policy
|
2.1
|
(0.4)
|
2.0
|
(14.2)
|
(10.5)
|
Foreign exchange movements1
|
2.2
|
-
|
-
|
-
|
2.2
|
Closing RWAs (as at 30.09.19)
|
203.5
|
34.8
|
32.5
|
42.5
|
313.3
|
1
|
Foreign exchange movements does not include foreign exchange for
counterparty credit risk or market risk.
|
RWAs increased £1.4bn to £313.3bn:
●
|
‘Book size’ increased RWAs by £10.0bn primarily
driven by increased CIB activity
|
●
|
‘Book quality’ decreased RWAs by £1.4bn primarily
due to changes in risk profile within Barclays
International
|
●
|
‘Model updates’ increased £1.3bn primarily due to
the recalibration of modelled wholesale RWAs
|
●
|
‘Methodology and policy’ decreased RWAs by £10.5bn
primarily due to removal of the operational risk floor
|
●
|
‘Foreign exchange movements’ increased RWAs by
£2.2bn primarily due to the appreciation of period end USD
against GBP.
|
Leverage ratio and
exposures
The
Group is subject to a leverage ratio requirement of 4.0% as at 30
September 2019. This comprises the 3.25% minimum requirement, a
G-SII additional leverage ratio buffer (G-SII ALRB) of 0.53% and a
countercyclical leverage ratio buffer (CCLB) of 0.2%. Although the
leverage ratio is expressed in terms of T1 capital, 75% of the
minimum requirement, equating to 2.4375%, needs to be met with CET1
capital. In addition, the G-SII ALRB and CCLB must be covered
solely with CET1 capital. The CET1 capital held against the 0.53%
G-SII ALRB was £6.1bn and against the 0.2%, CCLB was
£2.3bn.
The
Group is required to disclose an average UK leverage ratio which is
based on capital on the last day of each month in the quarter and
an exposure measure for each day in the quarter. The Group is also
required to disclose a UK leverage ratio based on capital and
exposure on the last day of the quarter. Both approaches exclude
qualifying claims on central banks from the leverage
exposures.
Leverage
ratios1,2
|
As at
30.09.19
|
As at
30.06.19
|
As at
31.12.18
|
£bn
|
£bn
|
£bn
|
Average UK leverage ratio
|
4.6%
|
4.7%
|
4.5%
|
Average T1 capital3
|
53.8
|
53.8
|
50.5
|
Average UK leverage exposure
|
1,171
|
1,135
|
1,110
|
|
|
|
|
UK leverage ratio
|
4.8%
|
5.1%
|
5.1%
|
|
|
|
|
CET1 capital
|
41.9
|
42.9
|
41.1
|
AT1 capital
|
10.7
|
12.0
|
9.5
|
T1 capital3
|
52.6
|
54.9
|
50.6
|
|
|
|
|
UK leverage exposure
|
1,100
|
1,079
|
999
|
|
|
|
|
UK leverage exposure
|
|
|
|
Accounting assets
|
|
|
|
Derivative financial instruments
|
286
|
244
|
223
|
Derivative cash collateral
|
69
|
59
|
48
|
Securities financing transactions (SFTs)4
|
142
|
144
|
130
|
Loans and advances and other assets4
|
793
|
786
|
732
|
Total IFRS assets
|
1,290
|
1,233
|
1,133
|
|
|
|
|
Regulatory consolidation adjustments
|
1
|
(1)
|
(2)
|
|
|
|
|
Derivatives adjustments
|
|
|
|
Derivatives netting
|
(263)
|
(223)
|
(202)
|
Adjustments to cash collateral
|
(61)
|
(51)
|
(42)
|
Net written credit protection
|
16
|
15
|
19
|
Potential future exposure (PFE) on derivatives
|
134
|
127
|
123
|
Total derivatives adjustments
|
(174)
|
(132)
|
(102)
|
|
|
|
|
SFTs adjustments
|
18
|
17
|
17
|
|
|
|
|
Regulatory deductions and other adjustments
|
(13)
|
(12)
|
(11)
|
|
|
|
|
Weighted off-balance sheet commitments
|
114
|
110
|
108
|
|
|
|
|
Qualifying central bank claims
|
(136)
|
(136)
|
(144)
|
|
|
|
|
UK leverage exposure2
|
1,100
|
1,079
|
999
|
1
|
Fully loaded average UK leverage ratio was 4.5%, with £1,170bn
of leverage exposure. Fully loaded UK leverage ratio was 4.7%, with
£51.5bn of T1 capital and £1,099bn of leverage exposure.
Fully loaded UK leverage ratios are calculated without applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting
date.
|
2
|
Capital and leverage measures are calculated applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting date.
|
3
|
T1 capital is calculated in line with the PRA
Handbook.
|
4
|
Comparative numbers have been revised to reflect the allocation of
margin lending from Loans and advances and other assets to
SFTs.
|
The
average UK leverage ratio increased to 4.6% (December 2018: 4.5%).
T1 capital increased £3.3bn to £53.8bn, which included
the accretion of CET1 capital and a net increase in AT1 capital,
partially offset by an increase in exposure of £61bn to
£1,171bn primarily driven by SFTs trading
activity.
The UK
leverage ratio decreased to 4.8% (December 2018: 5.1%). T1 capital
increased £2.0bn to £52.6bn, which included the accretion
of CET1 capital and a net increase in AT1 capital. The UK leverage
exposure increased £101bn to £1,100bn primarily driven
Loans and advances and other assets and SFTs.
The
Group also discloses a CRR leverage ratio1 within its
additional regulatory disclosures prepared in accordance with EBA
guidelines on disclosure under Part Eight of the CRR (see Barclays
PLC Pillar 3 Report Q3 2019, due to be published on 25 October 2019
and which is available at home.barclays/investor-relations/reports-and-events/latest-financial-results).
1
|
CRR leverage ratio as amended by CRR II applicable as at the
reporting date.
|
Minimum requirement for own funds and
eligible liabilities
The CRR
II requirements relating to own funds and eligible liabilities came
into effect from 27 June 2019. Eligible liabilities have been
calculated reflecting our interpretation of the current rules and
guidance. Certain aspects of CRR II are dependent on final
technical standards to be issued by the EBA and adopted by the
European Commission as well as UK implementation of the
rules.
The
Group is required to meet the higher of: (i) the MREL set by the
Bank of England; or (ii) the requirements in CRR II, both of which
have RWA and leverage based requirements. MREL is subject to phased
implementation and will be fully implemented by 1 January 2022, at
which time the Group’s indicative MREL is expected to be two
times the sum of its Pillar 1 and Pillar 2A requirements, as set by
the Bank of England. In addition, CET1 capital cannot be counted
towards both MREL and the capital buffers, meaning that the buffers
will effectively be applied above both the Pillar 1 and Pillar 2A
requirements relating to own funds and eligible liabilities. The
Bank of England will review the MREL calibration by the end of
2020, including assessing the proposal for Pillar 2A
recapitalisation, which may drive a different 1 January 2022 MREL
than currently proposed.
Following
the revision of the Pillar 2A requirement, the Group’s
indicative MREL is currently expected to be 31.2% of RWAs from 1
January 2022 comprising:
|
●
|
Loss
absorption and recapitalisation amounts consisting of two times the
8% Pillar 1 and 5.3% Pillar 2A requirement
|
|
●
|
Capital
buffers including a 1.5% G-SII buffer, 2.5% CCB and 0.5%
CCyB
|
Own
funds and eligible liabilities ratios1
|
As at
30.09.19
|
As at
30.06.19
|
As at
31.12.183
|
CET1 capital
|
13.4%
|
13.4%
|
13.2%
|
AT1 capital instruments and related share premium
accounts2
|
3.4%
|
3.8%
|
3.1%
|
T2 capital instruments and related share premium
accounts2
|
2.6%
|
2.4%
|
2.1%
|
Eligible liabilities
|
11.0%
|
10.6%
|
9.7%
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
30.4%
|
30.2%
|
28.1%
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
0.2%
|
0.2%
|
0.7%
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
1.5%
|
1.6%
|
1.6%
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments
|
32.1%
|
32.0%
|
30.5%
|
|
|
|
|
Own
funds and eligible liabilities1
|
£bn
|
£bn
|
£bn3
|
CET1 capital
|
41.9
|
42.9
|
41.1
|
AT1 capital instruments and related share premium
accounts2
|
10.7
|
12.0
|
9.6
|
T2 capital instruments and related share premium
accounts2
|
8.1
|
7.8
|
6.6
|
Eligible liabilities
|
34.5
|
33.7
|
30.4
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
95.2
|
96.4
|
87.7
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
0.8
|
0.7
|
2.3
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
4.7
|
5.0
|
5.1
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments
|
100.6
|
102.0
|
95.1
|
|
|
|
|
Total RWAs1
|
313.3
|
319.1
|
311.9
|
1
|
CET1, T1 and T2 capital, and RWAs are calculated applying the
transitional arrangements of the CRR as amended by CRR II
applicable as at the reporting date. This includes IFRS 9
transitional arrangements and the grandfathering of CRR and CRR II
non-compliant capital instruments.
|
2
|
Includes other AT1 capital regulatory adjustments and deductions of
£0.1bn (included in AT1 issued by subsidiaries in December
2018: £0.1bn), and other T2 credit risk adjustments and
deductions of £0.2bn (included in T2 issued by subsidiaries in
December 2018: £0.3bn).
|
3
|
The comparatives are based on the Bank of England's statement of
policy on MREL.
|
Condensed Consolidated Financial
Statements
Condensed consolidated income
statement
|
|
|
Nine months ended
|
Nine months ended
|
|
|
30.09.19
|
30.09.18
|
|
|
£m
|
£m
|
Total income
|
|
16,331
|
16,063
|
Credit impairment charges and other provisions
|
|
(1,389)
|
(825)
|
Net operating income
|
|
14,942
|
15,238
|
Operating expenses excluding litigation and conduct
|
|
(10,051)
|
(10,003)
|
Litigation and conduct
|
|
(1,682)
|
(2,147)
|
Operating expenses
|
|
(11,733)
|
(12,150)
|
Other net income
|
|
51
|
32
|
Profit before tax
|
|
3,260
|
3,120
|
Tax charge1
|
|
(814)
|
(836)
|
Profit after tax
|
|
2,446
|
2,284
|
|
|
|
|
Attributable to:
|
|
|
|
Equity holders of the parent1
|
|
1,780
|
1,611
|
Other equity instrument holders
|
|
628
|
522
|
Total equity holders of the parent
|
|
2,408
|
2,133
|
Non-controlling interests
|
|
38
|
151
|
Profit after tax
|
|
2,446
|
2,284
|
|
|
|
|
Earnings per share
|
|
p
|
p
|
Basic earnings per ordinary share
|
|
10.4
|
9.4
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. Comparatives have been restated, reducing the
tax charge for Q318 YTD by £141m. This change does not impact
EPS or return on average
tangible shareholders’ equity.
|
Condensed consolidated balance sheet
|
|
|
As at
|
As at
|
|
|
30.09.191
|
31.12.18
|
Assets
|
|
£m
|
£m
|
Cash and balances at central banks
|
|
156,668
|
177,069
|
Cash collateral and settlement balances
|
|
116,699
|
77,222
|
Loans and advances at amortised cost
|
|
345,124
|
326,406
|
Reverse repurchase agreements and other similar secured
lending
|
|
2,653
|
2,308
|
Trading portfolio assets
|
|
120,491
|
104,187
|
Financial assets at fair value through the income
statement
|
|
162,882
|
149,648
|
Derivative financial instruments
|
|
286,403
|
222,538
|
Financial assets at fair value through other comprehensive
income
|
|
74,844
|
52,816
|
Investments in associates and joint ventures
|
|
761
|
762
|
Goodwill and intangible assets
|
|
8,068
|
7,973
|
Current tax assets
|
|
603
|
798
|
Deferred tax assets
|
|
2,879
|
3,828
|
Other assets
|
|
12,276
|
7,728
|
Total assets
|
|
1,290,351
|
1,133,283
|
|
|
|
|
Liabilities
|
|
|
|
Deposits at amortised cost
|
|
420,638
|
394,838
|
Cash collateral and settlement balances
|
|
103,980
|
67,522
|
Repurchase agreements and other similar secured
borrowing
|
|
18,460
|
18,578
|
Debt securities in issue
|
|
86,588
|
82,286
|
Subordinated liabilities
|
|
19,435
|
20,559
|
Trading portfolio liabilities
|
|
43,048
|
37,882
|
Financial liabilities designated at fair value
|
|
233,734
|
216,834
|
Derivative financial instruments
|
|
283,529
|
219,643
|
Current tax liabilities
|
|
722
|
628
|
Deferred tax liabilities
|
|
-
|
51
|
Other liabilities
|
|
12,799
|
10,683
|
Total liabilities
|
|
1,222,933
|
1,069,504
|
|
|
|
|
Equity
|
|
|
|
Called up share capital and share premium
|
|
4,527
|
4,311
|
Other reserves
|
|
6,943
|
5,153
|
Retained earnings
|
|
43,867
|
43,460
|
Shareholders' equity attributable to ordinary shareholders of the
parent
|
|
55,337
|
52,924
|
Other equity instruments
|
|
10,860
|
9,632
|
Total equity excluding non-controlling interests
|
|
66,197
|
62,556
|
Non-controlling interests
|
|
1,221
|
1,223
|
Total equity
|
|
67,418
|
63,779
|
|
|
|
|
Total liabilities and equity
|
|
1,290,351
|
1,133,283
|
1
|
Barclays adopted the accounting standard IFRS 16 on 1 January 2019.
The impact on adoption was an increase in property, plant and
equipment of £1.6bn, an increase in other liabilities of
£1.6bn, with no material impact on retained earnings.
|
Condensed consolidated statement of
changes in equity
|
|
Called up share capital and share premium
|
Other equity instruments
|
Other reserves
|
Retained earnings
|
Total
|
Non-controlling interests
|
Total equity
|
Nine months ended 30.09.19
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
Balance as at 1 January 2019
|
4,311
|
9,632
|
5,153
|
43,460
|
62,556
|
1,223
|
63,779
|
Profit after tax
|
-
|
628
|
-
|
1,780
|
2,408
|
38
|
2,446
|
Other comprehensive profit after tax for the period
|
-
|
-
|
1,793
|
283
|
2,076
|
-
|
2,076
|
Total comprehensive income for the period
|
-
|
628
|
1,793
|
2,063
|
4,484
|
38
|
4,522
|
Issue of new ordinary shares
|
181
|
-
|
-
|
-
|
181
|
-
|
181
|
Issue of shares under employee share schemes
|
35
|
-
|
-
|
359
|
394
|
-
|
394
|
Issue and exchange of other equity instruments
|
-
|
1,238
|
-
|
(406)
|
832
|
-
|
832
|
Other equity instruments coupons paid1
|
-
|
(628)
|
-
|
-
|
(628)
|
-
|
(628)
|
Vesting of shares under employee share schemes
|
-
|
-
|
(3)
|
(389)
|
(392)
|
-
|
(392)
|
Dividends paid
|
-
|
-
|
-
|
(1,201)
|
(1,201)
|
(38)
|
(1,239)
|
Other movements
|
-
|
(10)
|
-
|
(19)
|
(29)
|
(2)
|
(31)
|
Balance as at 30 September 2019
|
4,527
|
10,860
|
6,943
|
43,867
|
66,197
|
1,221
|
67,418
|
|
|
|
|
|
|
|
|
Three months ended 30.09.19
|
|
|
|
|
|
|
|
Balance as at 1 July 2019
|
4,494
|
12,123
|
6,403
|
44,556
|
67,576
|
1,221
|
68,797
|
Profit after tax
|
-
|
265
|
-
|
(292)
|
(27)
|
4
|
(23)
|
Other comprehensive profit after tax for the period
|
-
|
-
|
539
|
423
|
962
|
-
|
962
|
Total comprehensive income for the period
|
-
|
265
|
539
|
131
|
935
|
4
|
939
|
Issue of new ordinary shares
|
22
|
-
|
-
|
-
|
22
|
-
|
22
|
Issue of shares under employee share schemes
|
11
|
-
|
-
|
118
|
129
|
-
|
129
|
Issue and exchange of other equity instruments
|
-
|
(1,266)
|
-
|
(406)
|
(1,672)
|
-
|
(1,672)
|
Other equity instruments coupons paid1
|
-
|
(265)
|
-
|
-
|
(265)
|
-
|
(265)
|
Vesting of shares under employee share schemes
|
-
|
-
|
1
|
(5)
|
(4)
|
-
|
(4)
|
Dividends paid
|
-
|
-
|
-
|
(517)
|
(517)
|
(4)
|
(521)
|
Other movements
|
-
|
3
|
-
|
(10)
|
(7)
|
-
|
(7)
|
Balance as at 30 September 2019
|
4,527
|
10,860
|
6,943
|
43,867
|
66,197
|
1,221
|
67,418
|
|
As at
|
As at
|
|
30.09.19
|
31.12.18
|
Other reserves
|
£m
|
£m
|
Currency translation reserve
|
4,605
|
3,888
|
Fair value through other comprehensive income reserve
|
8
|
(258)
|
Cash flow hedging reserve
|
1,516
|
660
|
Own credit reserve
|
(167)
|
(121)
|
Other reserves and treasury shares
|
981
|
984
|
Total
|
6,943
|
5,153
|
1
|
From 2019, due to an IAS 12 update, the tax relief on payments in
relation to AT1 instruments has been recognised in the tax charge
of the income statement, whereas it was previously recorded in
retained earnings. This change does not impact EPS or return on
average tangible shareholders’ equity.
|
Barclays PLC Parent
Company
Summary balance
sheet
|
As at
|
As at
|
|
30.09.19
|
31.12.18
|
Assets
|
£m
|
£m
|
Investment in subsidiaries
|
59,689
|
57,374
|
Loans and advances to subsidiaries
|
30,758
|
29,374
|
Financial assets at fair value through the income
statement
|
11,207
|
6,945
|
Derivative financial instruments
|
98
|
168
|
Other assets
|
68
|
115
|
Total assets
|
101,820
|
93,976
|
|
|
|
Liabilities
|
|
|
Deposits at amortised cost
|
537
|
576
|
Debt securities in issue
|
33,090
|
32,373
|
Subordinated liabilities
|
8,191
|
6,775
|
Financial liabilities designated at fair value
|
3,650
|
-
|
Other liabilities
|
121
|
72
|
Total liabilities
|
45,589
|
39,796
|
|
|
|
Equity
|
|
|
Called up share capital
|
4,317
|
4,283
|
Share premium account
|
210
|
28
|
Other equity instruments
|
10,865
|
9,633
|
Other reserves
|
394
|
394
|
Retained earnings
|
40,445
|
39,842
|
Total equity
|
56,231
|
54,180
|
|
|
|
Total liabilities and equity
|
101,820
|
93,976
|
Investment in subsidiaries
The
investment in subsidiaries of £59,689m (December 2018:
£57,374m) predominantly relates to investments in Barclays
Bank PLC and Barclays Bank UK PLC, as well as holdings of their AT1
securities of £10,986m (December 2018: £9,666m). The
increase during the period was driven by capital contributions into
Barclays Bank PLC of £995m and additional AT1 holdings of
$2,000m, £1,000m and £1,000m, partially offset by the
redemption of AT1 holdings with principal amounts totalling
$1,211m, €1,077m and £698m.
Financial assets and liabilities designated at fair
value
Financial
liabilities designated at fair value of £3,650m (December
2018: £nil) comprises issuances during the period totalling
$2,750m Fixed-to-Floating Rate Senior Notes, £600m Fixed Rate
Senior Notes, AUD940m Fixed and Floating Rate Senior Notes and
¥20,000m Fixed-to-Floating Rate Bonds. The proceeds raised
through these transactions were used to invest in subsidiaries of
Barclays PLC and are included within the financial assets
designated at fair value through the income statement balance of
£11,207m (December 2018: £6,945m).
Subordinated liabilities
During
the period, Barclays PLC issued $1,500m of Fixed-to-Floating Rate
Subordinated Notes, which are included within the subordinated
liabilities balance of £8,191m (December 2018:
£6,775m).
Other equity instruments
Other
equity instruments comprises AT1 securities issued by Barclays PLC.
There have been three issuances during the period, with principal
amounts totalling $2,000m, £1,000m and £1,000m, whilst
there were redemptions in Q319 with principal amounts totalling
$1,211m, €1,077m and £698m.
Management of internal investments, loans and advances
Barclays
PLC retains the discretion to manage the nature of its internal
investments in subsidiaries according to their regulatory and
business needs. Barclays PLC may invest capital and funding into
Barclays Bank PLC, Barclays Bank UK PLC and other Group
subsidiaries such as the Group Service Company and the US
Intermediate Holding Company (IHC).
Appendix: Non-IFRS Performance
Measures
The
Group’s management believes that the non-IFRS performance
measures included in this document provide valuable information to
the readers of the financial statements as they enable the reader
to identify a more consistent basis for comparing the
businesses’ performance between financial periods, and
provide more detail concerning the elements of performance which
the managers of these businesses are most directly able to
influence or are relevant for an assessment of the Group. They also
reflect an important aspect of the way in which operating targets
are defined and performance is monitored by
management.
However,
any non-IFRS performance measures in this document are not a
substitute for IFRS measures and readers should consider the IFRS
measures as well.
Non-IFRS performance measures
glossary
Measure
|
Definition
|
Loan:
deposit ratio
|
Loans
and advances at amortised cost divided by deposits at amortised
cost.
|
Period
end allocated tangible equity
|
Allocated tangible
equity is calculated as 13.0% (2018: 13.0%) of RWAs for each
business, adjusted for capital deductions, excluding goodwill and
intangible assets, reflecting the assumptions the Group uses for
capital planning purposes. Head Office allocated tangible equity
represents the difference between the Group’s tangible
shareholders’ equity and the amounts allocated to
businesses.
|
Average
tangible shareholders’ equity
|
Calculated as the
average of the previous month’s period end tangible equity
and the current month’s period end tangible equity. The
average tangible shareholders’ equity for the period is the
average of the monthly averages within that period.
|
Average
allocated tangible equity
|
Calculated as the
average of the previous month’s period end allocated tangible
equity and the current month’s period end allocated tangible
equity. The average allocated tangible equity for the period is the
average of the monthly averages within that period.
|
Return
on average tangible shareholders’ equity
|
Annualised profit
after tax attributable to ordinary equity holders of the parent, as
a proportion of average shareholders’ equity excluding
non-controlling interests and other equity instruments adjusted for
the deduction of intangible assets and goodwill. The components of
the calculation have been included on page 37.
|
Return
on average allocated tangible equity
|
Annualised profit
after tax attributable to ordinary equity holders of the parent, as
a proportion of average allocated tangible equity. The components
of the calculation have been included on page 37.
|
Cost:
income ratio
|
Total
operating expenses divided by total income.
|
Loan
loss rate
|
Quoted
in basis points and represents total annualised impairment charges
divided by gross loans and advances held at amortised cost at the
balance sheet date. The components of the calculation have been
included on page 22.
|
Net
interest margin
|
Annualised net
interest income divided by the sum of average customer assets. The
components of the calculation have been included on page
21.
|
Tangible net asset
value per share
|
Calculated by
dividing shareholders’ equity, excluding non-controlling
interests and other equity instruments, less goodwill and
intangible assets, by the number of issued ordinary shares. The
components of the calculation have been included on page
45.
|
Performance
measures excluding litigation and conduct
|
Calculated by
excluding litigation and conduct charges from performance measures.
The components of the calculations have been included on pages 38
to 45.
|
Returns
Return
on average tangible equity is calculated as profit after tax
attributable to ordinary equity holders of the parent as a
proportion of average tangible equity, excluding non-controlling
and other equity interests for businesses. Allocated tangible
equity has been calculated as 13.0% (2018: 13.0%) of RWAs for each
business, adjusted for capital deductions, excluding goodwill and
intangible assets, reflecting the assumptions the Group uses for
capital planning purposes. Head Office average allocated tangible
equity represents the difference between the Group’s average
tangible shareholders’ equity and the amounts allocated to
businesses.
|
(Loss)/profit attributable to ordinary equity holders of the
parent
|
|
Average tangible equity
|
|
Return on average tangible equity
|
Nine months ended 30.09.19
|
£m
|
|
£bn
|
|
%
|
Barclays UK
|
(157)
|
|
10.4
|
|
(2.0)
|
Corporate and Investment Bank
|
1,787
|
|
25.9
|
|
9.2
|
Consumer, Cards and Payments
|
632
|
|
5.3
|
|
15.8
|
Barclays International
|
2,419
|
|
31.2
|
|
10.3
|
Head Office
|
(482)
|
|
5.0
|
|
n/m
|
Barclays Group
|
1,780
|
|
46.6
|
|
5.1
|
|
|
|
|
|
|
Nine months ended 30.09.18
|
|
|
|
|
|
Barclays UK
|
957
|
|
10.0
|
|
12.7
|
Corporate and Investment Bank
|
1,865
|
|
26.0
|
|
9.6
|
Consumer, Cards and Payments
|
755
|
|
4.9
|
|
20.7
|
Barclays International
|
2,620
|
|
30.9
|
|
11.3
|
Head Office
|
(1,966)
|
|
3.2
|
|
n/m
|
Barclays Group
|
1,611
|
|
44.1
|
|
4.9
|
Performance measures excluding
litigation and conduct
|
|
|
|
|
|
|
|
|
Nine months ended 30.09.19
|
|
Barclays UK
|
Corporate and Investment Bank
|
Consumer, Cards and Payments
|
Barclays International
|
Head Office
|
Barclays Group
|
Cost: income ratio
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
Total operating expenses
|
(4,497)
|
(5,221)
|
(1,732)
|
(6,953)
|
(283)
|
(11,733)
|
Impact of litigation and conduct
|
1,524
|
30
|
-
|
30
|
128
|
1,682
|
Operating expenses
|
(2,973)
|
(5,191)
|
(1,732)
|
(6,923)
|
(155)
|
(10,051)
|
|
|
|
|
|
|
|
Total income
|
5,394
|
7,917
|
3,306
|
11,223
|
(286)
|
16,331
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
55%
|
66%
|
52%
|
62%
|
n/m
|
62%
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
Profit/(loss) before tax
|
375
|
2,596
|
882
|
3,478
|
(593)
|
3,260
|
Impact of litigation and conduct
|
1,524
|
30
|
-
|
30
|
128
|
1,682
|
Profit/(loss) before tax excluding litigation and
conduct
|
1,899
|
2,626
|
882
|
3,508
|
(465)
|
4,942
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
Attributable (loss)/profit
|
(157)
|
1,787
|
632
|
2,419
|
(482)
|
1,780
|
Post-tax impact of litigation and conduct
|
1,489
|
26
|
-
|
26
|
96
|
1,611
|
Profit/(loss) attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
1,332
|
1,813
|
632
|
2,445
|
(386)
|
3,391
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
Average shareholders' equity
|
13.9
|
25.9
|
6.4
|
32.3
|
8.4
|
54.6
|
Average goodwill and intangibles
|
(3.5)
|
-
|
(1.1)
|
(1.1)
|
(3.4)
|
(8.0)
|
Average tangible shareholders' equity
|
10.4
|
25.9
|
5.3
|
31.2
|
5.0
|
46.6
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity excluding
litigation and conduct
|
17.2%
|
9.3%
|
15.8%
|
10.4%
|
n/m
|
9.7%
|
|
|
|
|
|
|
|
Basic earnings per ordinary share
|
|
|
|
|
|
|
Basic weighted average number of shares (m)
|
|
|
|
|
|
17,192
|
|
|
|
|
|
|
|
Basic earnings per ordinary share excluding litigation and
conduct
|
|
|
|
|
|
19.7p
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended 30.09.18
|
|
Barclays UK
|
Corporate and Investment Bank
|
Consumer, Cards and Payments
|
Barclays International
|
Head Office
|
Barclays Group
|
Cost: income ratio
|
£m
|
£m
|
£m
|
£m
|
£m
|
£m
|
Total operating expenses
|
(3,429)
|
(5,303)
|
(1,674)
|
(6,977)
|
(1,744)
|
(12,150)
|
Impact of litigation and conduct
|
468
|
45
|
49
|
94
|
1,585
|
2,147
|
Operating expenses
|
(2,961)
|
(5,258)
|
(1,625)
|
(6,883)
|
(159)
|
(10,003)
|
|
|
|
|
|
|
|
Total income
|
5,520
|
7,614
|
3,191
|
10,805
|
(262)
|
16,063
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
54%
|
69%
|
51%
|
64%
|
n/m
|
62%
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
Profit/(loss) before tax
|
1,566
|
2,508
|
1,052
|
3,560
|
(2,006)
|
3,120
|
Impact of litigation and conduct
|
468
|
45
|
49
|
94
|
1,585
|
2,147
|
Profit/(loss) before tax excluding litigation and
conduct
|
2,034
|
2,553
|
1,101
|
3,654
|
(421)
|
5,267
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
Attributable profit/(loss)
|
957
|
1,865
|
755
|
2,620
|
(1,966)
|
1,611
|
Post-tax impact of litigation and conduct
|
460
|
36
|
36
|
72
|
1,542
|
2,074
|
Profit/(loss) attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
1,417
|
1,901
|
791
|
2,692
|
(424)
|
3,685
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
Average shareholders' equity
|
13.5
|
26.3
|
5.9
|
32.2
|
6.2
|
51.9
|
Average goodwill and intangibles
|
(3.5)
|
(0.3)
|
(1.1)
|
(1.4)
|
(2.9)
|
(7.8)
|
Average tangible shareholders' equity
|
10.0
|
26.0
|
4.9
|
30.9
|
3.2
|
44.1
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity excluding
litigation and conduct
|
18.9%
|
9.7%
|
21.7%
|
11.6%
|
n/m
|
11.1%
|
|
|
|
|
|
|
|
Basic earnings per ordinary share
|
|
|
|
|
|
|
Basic weighted average number of shares (m)
|
|
|
|
|
|
17,074
|
|
|
|
|
|
|
|
Basic earnings per ordinary share excluding litigation and
conduct
|
|
|
|
|
|
21.6p
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Barclays Group
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Cost: income ratio
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total operating expenses
|
(4,861)
|
(3,554)
|
(3,318)
|
|
(4,093)
|
(3,434)
|
(3,391)
|
(5,325)
|
|
(4,369)
|
Impact of litigation and conduct
|
1,568
|
53
|
61
|
|
60
|
105
|
81
|
1,961
|
|
383
|
Operating expenses
|
(3,293)
|
(3,501)
|
(3,257)
|
|
(4,033)
|
(3,329)
|
(3,310)
|
(3,364)
|
|
(3,986)
|
|
|
|
|
|
|
|
|
|
|
|
Total income
|
5,541
|
5,538
|
5,252
|
|
5,073
|
5,129
|
5,576
|
5,358
|
|
5,022
|
|
|
|
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
59%
|
63%
|
62%
|
|
79%
|
65%
|
59%
|
63%
|
|
79%
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
|
|
|
|
Profit/(loss) before tax
|
246
|
1,531
|
1,483
|
|
374
|
1,461
|
1,895
|
(236)
|
|
93
|
Impact of litigation and conduct
|
1,568
|
53
|
61
|
|
60
|
105
|
81
|
1,961
|
|
383
|
Profit before tax excluding litigation and conduct
|
1,814
|
1,584
|
1,544
|
|
434
|
1,566
|
1,976
|
1,725
|
|
476
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable (loss)/profit
|
(292)
|
1,034
|
1,038
|
|
(14)
|
1,050
|
1,279
|
(718)
|
|
(1,245)
|
Post-tax impact of litigation and conduct
|
1,525
|
40
|
46
|
|
62
|
85
|
59
|
1,930
|
|
351
|
Profit/(loss) attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
1,233
|
1,074
|
1,084
|
|
48
|
1,135
|
1,338
|
1,212
|
|
(894)
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average shareholders' equity
|
56.4
|
54.0
|
53.2
|
|
52.2
|
52.5
|
51.3
|
52.0
|
|
55.9
|
Average goodwill and intangibles
|
(8.0)
|
(7.8)
|
(8.0)
|
|
(7.9)
|
(7.9)
|
(7.8)
|
(7.8)
|
|
(7.8)
|
Average tangible shareholders' equity
|
48.4
|
46.2
|
45.2
|
|
44.3
|
44.6
|
43.5
|
44.2
|
|
48.1
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity excluding
litigation and conduct
|
10.2%
|
9.3%
|
9.6%
|
|
0.4%
|
10.2%
|
12.3%
|
11.0%
|
|
(7.4%)
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per ordinary share
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average number of shares (m)
|
17,192
|
17,178
|
17,111
|
|
17,075
|
17,074
|
17,067
|
17,037
|
|
16,996
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings/(loss) per ordinary share excluding litigation and
conduct
|
7.2p
|
6.3p
|
6.3p
|
|
0.3p
|
6.6p
|
7.8p
|
7.1p
|
|
(5.3p)
|
|
|
|
|
|
|
|
|
|
|
|
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Cost: income ratio
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total operating expenses
|
(2,432)
|
(1,063)
|
(1,002)
|
|
(1,175)
|
(1,042)
|
(971)
|
(1,416)
|
|
(1,229)
|
Impact of litigation and conduct
|
1,480
|
41
|
3
|
|
15
|
54
|
3
|
411
|
|
53
|
Operating expenses
|
(952)
|
(1,022)
|
(999)
|
|
(1,160)
|
(988)
|
(968)
|
(1,005)
|
|
(1,176)
|
|
|
|
|
|
|
|
|
|
|
|
Total income
|
1,846
|
1,771
|
1,777
|
|
1,863
|
1,896
|
1,836
|
1,788
|
|
1,870
|
|
|
|
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
52%
|
58%
|
56%
|
|
62%
|
52%
|
53%
|
56%
|
|
63%
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit before tax
|
(687)
|
477
|
585
|
|
390
|
740
|
656
|
170
|
|
452
|
Impact of litigation and conduct
|
1,480
|
41
|
3
|
|
15
|
54
|
3
|
411
|
|
53
|
Profit before tax excluding litigation and conduct
|
793
|
518
|
588
|
|
405
|
794
|
659
|
581
|
|
505
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable (loss)/profit
|
(907)
|
328
|
422
|
|
241
|
510
|
473
|
(26)
|
|
258
|
Post-tax impact of litigation and conduct
|
1,457
|
30
|
2
|
|
12
|
48
|
1
|
411
|
|
37
|
Profit attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
550
|
358
|
424
|
|
253
|
558
|
474
|
385
|
|
295
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
13.9
|
13.8
|
13.9
|
|
13.6
|
13.7
|
13.6
|
13.4
|
|
13.1
|
Average goodwill and intangibles
|
(3.5)
|
(3.5)
|
(3.5)
|
|
(3.5)
|
(3.6)
|
(3.5)
|
(3.5)
|
|
(3.5)
|
Average allocated tangible equity
|
10.4
|
10.3
|
10.4
|
|
10.1
|
10.1
|
10.1
|
9.8
|
|
9.6
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity excluding litigation
and conduct
|
21.2%
|
13.9%
|
16.4%
|
|
10.1%
|
22.0%
|
18.8%
|
15.7%
|
|
12.3%
|
Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Cost: income ratio
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total operating expenses
|
(2,282)
|
(2,446)
|
(2,225)
|
|
(2,684)
|
(2,309)
|
(2,353)
|
(2,315)
|
|
(2,948)
|
Impact of litigation and conduct
|
-
|
11
|
19
|
|
33
|
32
|
47
|
15
|
|
255
|
Operating expenses
|
(2,282)
|
(2,435)
|
(2,206)
|
|
(2,651)
|
(2,277)
|
(2,306)
|
(2,300)
|
|
(2,693)
|
|
|
|
|
|
|
|
|
|
|
|
Total income
|
3,750
|
3,903
|
3,570
|
|
3,221
|
3,290
|
3,707
|
3,808
|
|
3,319
|
|
|
|
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
61%
|
62%
|
62%
|
|
82%
|
69%
|
62%
|
60%
|
|
81%
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
1,137
|
1,223
|
1,118
|
|
215
|
850
|
1,297
|
1,413
|
|
6
|
Impact of litigation and conduct
|
-
|
11
|
19
|
|
33
|
32
|
47
|
15
|
|
255
|
Profit before tax excluding litigation and conduct
|
1,137
|
1,234
|
1,137
|
|
248
|
882
|
1,344
|
1,428
|
|
261
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable profit/(loss)
|
799
|
832
|
788
|
|
(21)
|
687
|
926
|
1,007
|
|
(1,134)
|
Post-tax impact of litigation and conduct
|
2
|
8
|
16
|
|
34
|
26
|
34
|
12
|
|
250
|
Profit/(loss) attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
801
|
840
|
804
|
|
13
|
713
|
960
|
1,019
|
|
(884)
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
33.3
|
32.1
|
31.6
|
|
32.4
|
32.5
|
32.8
|
31.4
|
|
29.9
|
Average goodwill and intangibles
|
(1.1)
|
(1.0)
|
(1.1)
|
|
(1.1)
|
(1.3)
|
(1.4)
|
(1.4)
|
|
(1.4)
|
Average allocated tangible equity
|
32.2
|
31.1
|
30.5
|
|
31.3
|
31.1
|
31.4
|
30.1
|
|
28.5
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity excluding litigation
and conduct
|
10.0%
|
10.8%
|
10.6%
|
|
0.2%
|
9.2%
|
12.2%
|
13.6%
|
|
(12.4%)
|
Corporate and Investment Bank
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Cost: income ratio
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total operating expenses
|
(1,716)
|
(1,867)
|
(1,638)
|
|
(2,046)
|
(1,744)
|
(1,773)
|
(1,786)
|
|
(2,384)
|
Impact of litigation and conduct
|
4
|
7
|
19
|
|
23
|
32
|
-
|
13
|
|
255
|
Operating expenses
|
(1,712)
|
(1,860)
|
(1,619)
|
|
(2,023)
|
(1,712)
|
(1,773)
|
(1,773)
|
|
(2,129)
|
|
|
|
|
|
|
|
|
|
|
|
Total income
|
2,617
|
2,795
|
2,505
|
|
2,151
|
2,235
|
2,580
|
2,799
|
|
2,252
|
|
|
|
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
65%
|
67%
|
65%
|
|
94%
|
77%
|
69%
|
63%
|
|
95%
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
|
|
|
|
Profit/(loss) before tax
|
882
|
887
|
827
|
|
85
|
498
|
835
|
1,175
|
|
(252)
|
Impact of litigation and conduct
|
4
|
7
|
19
|
|
23
|
32
|
-
|
13
|
|
255
|
Profit before tax excluding litigation and conduct
|
886
|
894
|
846
|
|
108
|
530
|
835
|
1,188
|
|
3
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable profit/(loss)
|
609
|
596
|
582
|
|
(84)
|
431
|
600
|
834
|
|
(1,227)
|
Post-tax impact of litigation and conduct
|
5
|
5
|
16
|
|
27
|
25
|
-
|
10
|
|
250
|
Profit/(loss) attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
614
|
601
|
598
|
|
(57)
|
456
|
600
|
844
|
|
(977)
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
26.9
|
25.8
|
25.2
|
|
26.0
|
26.2
|
26.7
|
25.9
|
|
24.7
|
Average goodwill and intangibles
|
-
|
-
|
(0.1)
|
|
-
|
(0.2)
|
(0.3)
|
(0.3)
|
|
(0.4)
|
Average allocated tangible equity
|
26.9
|
25.8
|
25.1
|
|
26.0
|
25.9
|
26.4
|
25.6
|
|
24.3
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity excluding litigation
and conduct
|
9.2%
|
9.3%
|
9.5%
|
|
(0.9%)
|
7.0%
|
9.1%
|
13.2%
|
|
(16.1%)
|
Consumer, Cards and Payments
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Cost: income ratio
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Total operating expenses
|
(566)
|
(579)
|
(587)
|
|
(638)
|
(565)
|
(580)
|
(529)
|
|
(564)
|
Impact of litigation and conduct
|
(4)
|
4
|
-
|
|
10
|
-
|
47
|
2
|
|
-
|
Operating expenses
|
(570)
|
(575)
|
(587)
|
|
(628)
|
(565)
|
(533)
|
(527)
|
|
(564)
|
|
|
|
|
|
|
|
|
|
|
|
Total income
|
1,133
|
1,108
|
1,065
|
|
1,070
|
1,055
|
1,127
|
1,009
|
|
1,067
|
|
|
|
|
|
|
|
|
|
|
|
Cost: income ratio excluding litigation and conduct
|
50%
|
52%
|
55%
|
|
59%
|
54%
|
47%
|
52%
|
|
53%
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
|
|
|
|
|
|
|
|
|
|
Profit before tax
|
255
|
336
|
291
|
|
130
|
352
|
462
|
238
|
|
258
|
Impact of litigation and conduct
|
(4)
|
4
|
-
|
|
10
|
-
|
47
|
2
|
|
-
|
Profit before tax excluding litigation and conduct
|
251
|
340
|
291
|
|
140
|
352
|
509
|
240
|
|
258
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable profit
|
190
|
236
|
206
|
|
63
|
256
|
326
|
173
|
|
93
|
Post-tax impact of litigation and conduct
|
(3)
|
3
|
-
|
|
7
|
1
|
34
|
2
|
|
-
|
Profit attributable to ordinary equity holders of the parent
excluding litigation and conduct
|
187
|
239
|
206
|
|
70
|
257
|
360
|
175
|
|
93
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
6.4
|
6.3
|
6.4
|
|
6.4
|
6.3
|
6.0
|
5.5
|
|
5.3
|
Average goodwill and intangibles
|
(1.1)
|
(1.0)
|
(1.0)
|
|
(1.1)
|
(1.1)
|
(1.1)
|
(1.0)
|
|
(1.1)
|
Average allocated tangible equity
|
5.3
|
5.3
|
5.4
|
|
5.3
|
5.2
|
5.0
|
4.5
|
|
4.2
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity excluding litigation
and conduct
|
14.0%
|
18.0%
|
15.4%
|
|
5.4%
|
19.9%
|
28.9%
|
15.7%
|
|
9.0%
|
Head Office
|
|
|
|
|
|
|
|
|
|
|
|
Q319
|
Q219
|
Q119
|
|
Q418
|
Q318
|
Q218
|
Q118
|
|
Q417
|
Profit before tax
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Loss before tax
|
(204)
|
(169)
|
(220)
|
|
(231)
|
(129)
|
(58)
|
(1,819)
|
|
(365)
|
Impact of litigation and conduct
|
88
|
1
|
39
|
|
12
|
19
|
31
|
1,535
|
|
75
|
Loss before tax excluding litigation and conduct
|
(116)
|
(168)
|
(181)
|
|
(219)
|
(110)
|
(27)
|
(284)
|
|
(290)
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to ordinary equity holders of the
parent
|
|
|
|
|
|
|
|
|
|
|
Attributable loss
|
(184)
|
(126)
|
(172)
|
|
(234)
|
(147)
|
(120)
|
(1,699)
|
|
(369)
|
Post-tax impact of litigation and conduct
|
66
|
2
|
28
|
|
16
|
11
|
24
|
1,507
|
|
64
|
Attributable loss excluding litigation and conduct
|
(118)
|
(124)
|
(144)
|
|
(218)
|
(136)
|
(96)
|
(192)
|
|
(305)
|
Tangible net asset value
|
|
|
|
|
As at 30.09.19
|
As at 30.06.19
|
As at 31.12.18
|
|
£m
|
£m
|
£m
|
Total equity excluding non-controlling interests
|
66,197
|
67,576
|
62,556
|
Other equity instruments
|
(10,860)
|
(12,123)
|
(9,632)
|
Goodwill and intangibles
|
(8,068)
|
(7,993)
|
(7,973)
|
Tangible shareholders' equity attributable to ordinary shareholders
of the parent
|
47,269
|
47,460
|
44,951
|
|
|
|
|
|
m
|
m
|
m
|
Shares in issue
|
17,269
|
17,245
|
17,133
|
|
|
|
|
|
p
|
p
|
p
|
Tangible net asset value per share
|
274
|
275
|
262
|
Shareholder
Information
|
|
|
|
|
|
Results timetable1
|
|
|
Date
|
|
|
2019 Full Year Results and Annual Report
|
|
|
13 February 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change3
|
Exchange rates2
|
30.09.19
|
30.06.19
|
30.09.18
|
30.06.19
|
30.09.18
|
Period end - USD/GBP
|
1.23
|
1.27
|
1.30
|
(3%)
|
(5%)
|
YTD average - USD/GBP
|
1.27
|
1.29
|
1.35
|
(2%)
|
(6%)
|
3 month average - USD/GBP
|
1.23
|
1.29
|
1.30
|
(5%)
|
(5%)
|
Period end - EUR/GBP
|
1.13
|
1.12
|
1.12
|
1%
|
1%
|
YTD average - EUR/GBP
|
1.13
|
1.15
|
1.13
|
(2%)
|
-
|
3 month average - EUR/GBP
|
1.11
|
1.14
|
1.12
|
(3%)
|
(1%)
|
|
|
|
|
|
|
Share price data
|
|
|
|
|
|
Barclays PLC (p)
|
150.40
|
149.80
|
171.78
|
|
|
Barclays PLC number of shares (m)
|
17,269
|
17,245
|
17,127
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For further information please contact
|
|
|
|
|
|
|
|
|
|
|
|
Investor relations
|
Media relations
|
Lisa Bartrip +44 (0) 20 7773 0708
|
Thomas Hoskin +44 (0) 20 7116 4755
|
|
|
|
|
|
|
More information on Barclays can be found on our website:
home.barclays.
|
|
|
|
|
|
|
|
|
|
|
|
Registered office
|
|
|
|
|
|
1 Churchill Place, London, E14 5HP, United Kingdom. Tel: +44 (0) 20
7116 1000. Company number: 48839.
|
|
|
|
|
|
|
|
Registrar
|
|
|
|
|
|
Equiniti, Aspect House, Spencer Road, Lancing, West Sussex, BN99
6DA, United Kingdom.
|
|
Tel: 0371 384 20554
from the UK or +44 121 415 7004 from
overseas.
|
|
|
|
|
|
|
|
American Depositary Receipts (ADRs)
|
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J.P.Morgan
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jpmorgan.adr@eq-us.com
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Tel: +1 800 990 1135 (toll free in US and Canada), +1 651 453
2128 (outside the US and Canada) or +1 651 453 2133 (for the
hearing
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impaired).
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https://shareowneronline.equiniti.com/UserManagement/ContactUs.aspx
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J.P.Morgan Chase Bank N.A., Shareholder Services, PO Box
64504, St. Paul, MN 55164-0504, USA.
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1
Note that these dates are provisional and subject to
change.
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2
The average rates shown above are derived from daily spot rates
during the year.
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3
The change is the impact to GBP reported
information.
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4
Lines open 8.30am to 5.30pm (UK time), Monday to Friday, excluding
UK public holidays in England and Wales.
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Notes
The
terms Barclays or Group refer to Barclays PLC together with its
subsidiaries. Unless otherwise stated, the income statement
analysis compares the nine months ended 30 September 2019 to the
corresponding nine months of 2018 and balance sheet analysis as at
30 September 2019 with comparatives relating to 31 December 2018
and 30 September 2018. The abbreviations ‘£m’ and
‘£bn’ represent millions and thousands of millions
of Pounds Sterling respectively; the abbreviations ‘$m’
and ‘$bn’ represent millions and thousands of millions
of US Dollars respectively; and the abbreviations
‘€m’ and ‘€bn’ represent
millions and thousands of millions of Euros
respectively.
There
are a number of key judgement areas, for example impairment
calculations, which are based on models and which are subject to
ongoing adjustment and modifications. Reported numbers reflect best
estimates and judgements at the given point in time.
Relevant
terms that are used in this document but are not defined under
applicable regulatory guidance or International Financial Reporting
Standards (IFRS) are explained in the results glossary that can be
accessed at home.barclays/investor-relations/reports-and-events/latest-financial-results.
The
information in this announcement, which was approved by the Board
of Directors on 24 October 2019, does not comprise statutory
accounts within the meaning of Section 434 of the Companies Act
2006. Statutory accounts for the year ended 31 December 2018, which
contained an unmodified audit report under Section 495 of the
Companies Act 2006 (which did not make any statements under Section
498 of the Companies Act 2006) have been delivered to the Registrar
of Companies in accordance with Section 441 of the Companies Act
2006.
These
results will be furnished as a Form 6-K to the US Securities and
Exchange Commission (SEC) as soon as practicable following their
publication. Once furnished with the SEC, a copy of the Form 6-K
will be available from the SEC’s website at www.sec.gov.
Barclays
is a frequent issuer in the debt capital markets and regularly
meets with investors via formal road-shows and other ad hoc
meetings. Consistent with its usual practice, Barclays expects that
from time to time over the coming quarter it will meet with
investors globally to discuss these results and other matters
relating to the Group.
Non-IFRS performance measures
Barclays
management believes that the non-IFRS performance measures included
in this document provide valuable information to the readers of the
financial statements as they enable the reader to identify a more
consistent basis for comparing the businesses’ performance
between financial periods and provide more detail concerning the
elements of performance which the managers of these businesses are
most directly able to influence or are relevant for an assessment
of the Group. They also reflect an important aspect of the way in
which operating targets are defined and performance is monitored by
Barclays management. However, any non-IFRS performance measures in
this document are not a substitute for IFRS measures and readers
should consider the IFRS measures as well. Refer to the appendix on
pages 36 to 45 for further information and calculations of non-IFRS
performance measures included throughout this document, and the
most directly comparable IFRS measures.
Forward-looking statements
This
document contains certain forward-looking statements within the
meaning of Section 21E of the US Securities Exchange Act of 1934,
as amended, and Section 27A of the US Securities Act of 1933, as
amended, with respect to the Group. Barclays cautions readers that
no forward-looking statement is a guarantee of future performance
and that actual results or other financial condition or performance
measures could differ materially from those contained in the
forward-looking statements. These forward-looking statements can be
identified by the fact that they do not relate only to historical
or current facts. Forward-looking statements sometimes use words
such as ‘may’, ‘will’, ‘seek’,
‘continue’, ‘aim’,
‘anticipate’, ‘target’,
‘projected’, ‘expect’,
‘estimate’, ‘intend’, ‘plan’,
‘goal’, ‘believe’, ‘achieve’ or
other words of similar meaning. Forward-looking statements can be
made in writing but also may be made verbally by members of the
management of the Group (including, without limitation, during
management presentations to financial analysts) in connection with
this document. Examples of forward-looking statements include,
among others, statements or guidance regarding or relating to the
Group’s future financial position, income growth, assets,
impairment charges, provisions, business strategy, capital,
leverage and other regulatory ratios, payment of dividends
(including dividend payout ratios and expected payment strategies),
projected levels of growth in the banking and financial markets,
projected costs or savings, any commitments and targets, estimates
of capital expenditures, plans and objectives for future
operations, projected employee numbers, IFRS impacts and other
statements that are not historical fact. By their nature,
forward-looking statements involve risk and uncertainty because
they relate to future events and circumstances. The forward-looking
statements speak only as at the date on which they are made and
such statements may be affected by changes in legislation, the
development of standards and interpretations under IFRS, including
evolving practices with regard to the interpretation and
application of accounting and regulatory standards, the outcome of
current and future legal proceedings and regulatory investigations,
future levels of conduct provisions, the policies and actions of
governmental and regulatory authorities, geopolitical risks and the
impact of competition. In addition, factors including (but not
limited to) the following may have an effect: capital, leverage and
other regulatory rules applicable to past, current and future
periods; UK, US, Eurozone and global macroeconomic and business
conditions; the effects of any volatility in credit markets; market
related risks such as changes in interest rates and foreign
exchange rates; effects of changes in valuation of credit market
exposures; changes in valuation of issued securities; volatility in
capital markets; changes in credit ratings of any entity within the
Group or any securities issued by such entities; the potential for
one or more countries exiting the Eurozone; instability as a result
of the exit by the UK from the European Union and the disruption
that may subsequently result in the UK and globally; and the
success of future acquisitions, disposals and other strategic
transactions. A number of these influences and factors are beyond
the Group’s control. As a result, the Group’s actual
financial position, future results, dividend payments, capital,
leverage or other regulatory ratios or other financial and
non-financial metrics or performance measures may differ materially
from the statements or guidance set forth in the Group’s
forward-looking statements. Additional risks and factors which may
impact the Group’s future financial condition and performance
are identified in our filings with the SEC (including, without
limitation, our Annual Report on Form 20-F for the fiscal year
ended 31 December 2018), which are available on the SEC’s
website at www.sec.gov.
Subject
to our obligations under the applicable laws and regulations of any
relevant jurisdiction, (including, without limitation, the UK and
the US), in relation to disclosure and ongoing information, we
undertake no obligation to update publicly or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.