Training Materials
Public Information Pack
2018
Private & Confidential
Information Pack – Key Content
Summary – Description of activity, size (market cap, latest revenues, ebitda/ebit, net income), key
financial trends for company & sector, consensus market view, key shareholders and 1/2 most relevant
news – 1 A4 page.
Sections -
1./ Corporate Information
• Brief description of what the company does
• Corporate structure – entities, ownership etc
• Key executives, roles and backgrounds
• Shareholding (Insiders, Institutional) – Key transactions over last 12 months, price
• Key corporate events during last 24 months – rights, buybacks, acquisitions
• Minorities and relevance
2./ Financials
• Historical annuals: 0Y, -1Y, -2Y, -3Y
• Quarterlies (applicable): 0YQ1, 0YQ2, 0YQ3, 0YQ4, -1YQ1, -1YQ1, -1YQ2, -1YQ3, -1YQ4
• Consensus forecasts (if available): Next quarter, +1Y (annual), +2Y (annual) for key IS
items(Revenues, EBITDA/EBIT, Net Income)
• Analyst ratings and TP (if available - from bbg)
• Comps
• Compaqs
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Information Pack – Key Content
3./ Stock book
• 2 pages at most. Provides summary of key metrics.
• Different for financials (ex insurance) vs non financials.
• Financials in appendix. Non financials depends on sector but these are universals –
Revenue/EBITDA/Net Income Growth, margins, working capital, cash metrics
(FCFF, FCFE, OCF), indebtedness (net debt/ebitda. Net debt/total assets, net
debt/market cap), balance sheet liquidity (Cash/short term debt, Current ratio),
EBITDA to cash bridge
*Don’t ignore comprehensive income statement deviation and off balance sheet
liabilities.
4./ Factiva / Search
• Where - Social Media (Twitter), Google, You tube, Google Trends (company
name/products)
• For What – Company news, Company + fraud/scandal, Company + Lawsuit/plaintiff
• Period – 24 months
5./ Reports – Summary page of consensus view on stock and range of views. Critical issues
causing variance in views on stock or industry. Attachments of initiation in last 18 months,
latest major reports, latest quarterly report. Industry report if available.
Private & Confidential 3
Information Pack – Presentation
Printing
• Front page blue VCSC with company / project name
• Double sided
• Normally done in A5 but A4 here
• Normally B&W but colour here
• Sections separated by a separator and tagged
• Bound
Private & Confidential 4
Appendix – Stockbook - Banks
Key Accounting Ratios (%) ROE decomposition (%)
Profitability
Yield on earning assets Net interest income/Total assets
Cost of interest-bearing liabilities
Net interest spread
Non-interest income/Total assets
NIM Costs/Total assets
Operating income/Total assets
Other income(expense)/Total assets
ROE
ROA Provisions expense/Total assets
Efficiency Taxes/Total assets
Costs/Income
ROAA
Costs/Total assets
Asset quality Equity multiplier
Loss loans/Gross customer loans (NPL) ROAE
Provisions/Loss loans
Provisions/Gross customer loans
NIM - provisions adjusted
Provisions expense/Gross customer loans
Provision expense/Operating profit
Capital adequacy
Tier 1 ratio
Equity/Assets
Payout ratio
Income and cost growth
Net interest income
Non-interest income
Operating costs
Net profit
Income breakdown
Fee income/Total income
Other non interest income/Total income
Non-interest income/Total income
Interest income/Total income
Balance sheet growth
Loan
Deposit
Asset
Equity
Balance sheet structure
Net customer loans/Total assets
Short term securities/ Total assets
Earning assets/Total assets
Deposits/Total assets
Loans/Deposits - Customer
Loans/Deposits - Regulated
Private & Confidential 5
