CYBG Annual Report And Accounts

Year Ended 30 September 2017

David Duffy, Chief Executive Officer

Overview

“We have delivered a strong performance in 2017 having met all of our targets and recorded our first statutory profit in over five years. As a result, we are pleased to be recommending an inaugural dividend to our shareholders.

This is a good first step in our three-year plan and we remain fully focused on the delivery of our medium-term targets, which factor in our cautious view of the economic outlook.

These results show how we’re building the UK’s leading digitally enabled challenger bank, offering stress-free banking to millions of personal and small business customers, and sustainable returns for our shareholders.”

Delivering sustainable customer growth

Overview

3%

Deposit growth

8%

Growth in mortgages

6%

Core SME growth

First statutory profit in over 5 years

Overview

£182m

Statutory profit after tax

33%

Growth in underlying profit before tax

7.5%

Underlying RoTE

Improving efficiency

Overview

67%

Underlying cost to income ratio

7%

Reduction in underlying costs

£675m

Underlying operating costs

Capital optimisation

Overview

12.4%

CET1 ratio

115%

Loan to Deposit ratio

1p

Per share inaugural dividend recommended