Barclays PLC (BCS) Q4 2022 Earnings Call Transcript

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Welcome to Barclays Full Year 2022 Results Analyst and Investor Conference Call. The call will start with a recorded message from C.S. Venkatakrishnan, Group Chief Executive, before I hand over to Anna Cross, Group Finance Director.

C.S. Venkatakrishnan

Good morning. I have recorded this message in anticipation of possibly not being able to join you on the day. I am pleased to report that Barclays has delivered our target return on tangible equity of greater than 10% for the year 2022. We continue to see broad-based income momentum across the group. We have invested in growth opportunities and realized returns from those investments across all 3 operating businesses.

In the Corporate and Investment Bank, we grew income year-over-year and delivered a double-digit RoTE. I want to highlight our Global Markets business, which has managed risk very adroitly through a volatile year and continues to gain not only the market share with clients but mind share with them as well. Our Consumer Cards and Payments business grew income across each of its components, which is payments or Private Bank and U.S. cards.

In U.S. cards, our new partnership with Gap has helped to drive strong income and balance growth and scale to the business by doubling our total number of end customers. In Barclays UK, our RoTE has returned to prepandemic levels. As our sensitivity to interest rates has driven higher income, our investment in efficiency programs have enabled significant cost control and positive jaws.

More broadly, we have managed our costs in a very disciplined way across the group, and we maintain a cautious approach to both the macroeconomic environment, how we position our balance sheet throughout the year and how we continue to do so. Finally, our organic capital generation from profits has enabled continued distributions to our shareholders.

I want to use this opportunity to review our progress against our 3 strategic priorities, which we laid out 1 year ago. Although much has changed in the world, in the U.K., in the U.S. since last year, our priorities remain appropriate and fitting to the environment in which we operate today. The first one is to deliver next-generation digital financial services. The second is to continue to deliver sustainable growth for our Corporate and Investment Bank. And the third is to continue to capture opportunities as we transition to a low-carbon economy globally.