Barclays 2015 Annual Report Download - page 241

home.barclays/annualreport Barclays PLC Annual Report 2015 I 239
Return on average tangible equity
2015
%
2014
%
2013 c
%
Personal and Corporate Banking 16.2 15.8 12.7
Barclaycard 22.3 19.9 19.9
Africa Banking 11.7 12.9 11.3
Investment Bank 6.0 2.8 8.5
Barclays Core operating businesses 12.7 10.8 11.6
Head Office impacta(1.8) 0.5 2.8
Barclays Core 10.9 11.3 14.4
Barclays Non-Core impacta(5.1) (5.4) (9.3)
Barclays Group adjusted total 5.8 5.9 5.1
Return on average equity
2015
%
2014
%
2013 c
%
Personal and Corporate Banking 12.1 11.9 9.7
Barclaycard 17.7 16.0 15.5
Africa Banking 8.7 9.3 8.1
Investment Bank 5.6 2.7 8.2
Barclays Core operating businesses 10.4 8.9 9.7
Head Office impacta(1.4) 0.3 1.6
Barclays Core 9.0 9.2 11.3
Barclays Non-Core impacta(4.1) (4.1) (7.0)
Barclays Group adjusted total 4.9 5.1 4.3
Profit/(loss) attributable to ordinary equity holders of the parentb
2015
£m
2014
£m
2013 c
£m
Personal and Corporate Banking 2,203 2,075 1,681
Barclaycard 1,114 943 822
Africa Banking 332 360 356
Investment Bank 829 415 1,308
Head Office (202) 112 (89)
Barclays Core 4,276 3,905 4,078
Barclays Non-Core (1,510) (1,072) (1,783)
Barclays Group adjusted total 2,766 2,833 2,295
Notes
a Return on average equity and average tangible equity for Head Office and Barclays Non-Core represents their impact on Barclays Core and the Group respectively. This does not
represent the return on average equity and average tangible equity of Head Office or the Non-Core business.
b Profit for the period attributable to ordinary equity holders of the parent includes the tax credit recorded in reserves in respect of interest payments on other equity instruments.
c 2013 adjusted total operating expenses and profit before tax have been revised to account for the reclassification of £173m of charges, relating to a US residential mortgage-related
business settlement with the Federal Housing Finance Agency, to provisions for ongoing investigations and litigation including Foreign Exchange to aid comparability.
Returns on average equity and average tangible equity are calculated as
profit for the year attributable to ordinary equity holders of the parent
(adjusted for the tax credit recorded in reserves in respect of coupons on
other equity instruments) divided by average allocated equity or average
allocated tangible equity for the period as appropriate, excluding
non-controlling and other equity interests for businesses, apart from
Africa Banking (see below). Allocated equity has been calculated as
10.5% of CRD IV fully loaded risk weighted assets for each business,
adjusted for CRD IV fully loaded capital deductions, including goodwill
and intangible assets, reflecting the assumptions the Group uses for
capital planning purposes. The excess of allocated Group equity, caused
by the fully loaded CRD IV CET1 ratio being below 10.5% on average in
the period, is allocated as negative equity to Head Office. Allocated
tangible equity is calculated using the same method, but excludes
goodwill and intangible assets.
For Africa Banking, the equity used for return on average equity is
Barclays’ share of the statutory equity of the BAGL entity (together with
that of the Barclays Egypt and Zimbabwe businesses which remain
outside the BAGL corporate entity), as well as Barclays’ goodwill on
acquisition of these businesses. The tangible equity for return on
tangible equity uses the same basis, but excludes both the Barclays’
goodwill on acquisition and the goodwill and intangibles held within the
BAGL statutory equity.
Returns and equity
by business
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