Consolidated Results 2003

1

Consolidated Results 2003

Conference CallFebruary 13th, 2004

2

R$ Million

Performance Indicators

2003 2002

2003/2002

Net Income 1,052 1,010 4.2%

Earnings/1000 shares (R$) 7.65 7.29 4.9%

Operating income 1,906 1,083 76.0%

ROAE 15.3% 16.0% -70 b.p.

BIS Ratio 18.6% 15.7% 290 b.p.

Total Loans 27,917 26,751 4.4%

Deposits+Funds 52,302 44,372 17.9%

Stockholders' Equity 7,156 6,559 9.1%

Dividends/Interest on Capital Stock- net 362 340 6.5%

3

R$ Million

Consolidated Results

13.8%

17.1% 16.5%17.5%

1Q03 2Q03 3Q03 4Q03

ROAE (%)

4Q03 3Q03 4Q02

Profit from Financial Intermediation 1,353 1,276 876

(+) Fee Income 785 702 713

(-) Personnel & Adm. Expenses (1,236) (1,182) (1,073)

(+/-) Other Operating Income/Expenses (447) (368) (294)

(=) Operating Income 455 428 222

(+/-) Non-Operating Income (expenses), Net 2 (7) 30

(=) Income Before Taxes & Profit Sharing 457 421 252

(+/-) Income Tax & Social Contrib. (66) (56) 79

(-) Profit Sharing/Minority Interest (100) (95) (65)

Net Income 291 270 266

4

R$ Million

Impacts on Investments Abroad

-18.2%

2003 2002

Investments Abroad (US$ Million) 842 1,015

Exchange Rate (R$/US$) 2.8892 3.5333

Exchange Rate Fluctuation on Investments Abroad (631) 1,187

Hedge on Investments Abroad 636 (794)

Net Accounting Impact before Income Tax and Social Contribution 5 393

Fiscal Effects (215) 404

Net Impact after Income Tax and Social Contribution (210) 797

5

R$ Million

Financial Margin

4Q03 3Q03%

4Q03/3Q03

Revenue from Financial Intermediation 3,016 3,486 -13.5%

Expenses on Financial Intermediation (1,321) (1,794) -26.4%

Financial Margin before Provisions for Loan Losses (A) 1,695 1,692 0.2%

Provisions for Loan Losses (342) (416) -17.8%

Financial Margin after Provisions for Loan Losses 1,353 1,276 6.0%

Total Average Assets (-) Fixed Assets (B) 65,611 63,800 2.8%

Net Financial Margin (A/B) 10.7% 11.0% -30 b.p.

6

R$ Million

Securities Portfolio

Dec-03 % Porfolio Dec-02 % Porfolio

Trading Securities 5,845 39% 4,957 28%

Securities Available 3,452 23% 6,411 35%

for Sale

Securities Held

to Maturity 5,773 38% 6,610 37%

Total Securities 15,070 17,978

7

R$ Million

Securities Portfolio – Market Value Adjustment

Market Value

AdjustmentDec 31,2003

Market Value

Adjustment

Income Statement Impact 171 190 (19)

Stockholders´ Equity Impact (318) 101 (419)

Total Impact (147) 291 (438)

Held to Maturity 394 1,397 (1,003)

Dec 31,2002

8

R$ Million

Loan Portfolio Breakdown

4.4%

Retail Bank

Wholesale Bank

10,881 11,401 12,123

15,870 15,223 15,794

Dec-02 Sep-03 Dec-03

+4.8%

-4.1%

-0.5%

+6.3%

+3.8%

+4.9%26,751 26,62427,917

9


Corporate

14,566

1,159 2,324

18,049

13,888

1,5143,064

18,466

Large Corporate Middle Market Small Companies Total Corporate

-4.7%

+30.6%+31.8%

+2.3%

5,225

1,462 2,015

8,702

5,453

1,6722,326

9,451

Total Individuals

+4.4%

+8.6%

+15.4%+14.4%

Fininvest / PontoCred /

LuizaCredUnicard / Credicard 2002

Individuals

2003

R$ Million

Multiple Bankand Other Companies

10


R$ Million

27,917

17.0% 12.2%7.9%

10.1%9.9%

9.8%

29.0% 33.9%34.5%

34.9% 34.5% 39.0%

9.0% 9.5% 8.8%Dec-02 Jun-03 Dec-03

26,751 26,195

91.0%90.5%

91.2%

AA-C Loan Porfolio / Total Loan Portfolio

AA

D-H

A

B

C

11

Non-Accrual Portfolio / Loan Portfolio

4.2% 4.4%5.5%

6.0%

4.8%

140.5%

126.5%

102.8%96.6%

115.1%

Dec-02 Mar-03 Jun-03 Sep-03 Dec-03

Non-Accrual Portfolio / Loan Porfolio

Coverage Ratio of Non-Accrual Portfolio

12

Net Write-Off / Loan Portfolio

Required Provision vs. Additional

Loan Portfolio

87% 87% 86%

13% 13% 14%

Dec-02 Jun-03 Dec-03

Additional Provision / Total Provision

Minimum Required Provision / Total Provision

1.1% 1.1%

0.7%

4Q02 2Q03 4Q03

13

R$ Million

Funding

25,988 25,357

18,38426,945

Dec-02 Dec-03

FundsDeposits

44,372

52,302

-2.4%

+46.6%

+17.9%

14

Issues – Capital Markets

DateIssue Amount

(Million)Term Maturity Coupon Return (p.y.)

US$ 1.4 billion raised in 2003

EUROBONDS

Jan-03 US$ 100 1 year Jan/04 6.875% 7.000%

Jul-03 US$ 125 18 months Jan/05 4.000% 4.000%

Jun-03 US$ 105 6 years Jul/09 6.150% 6.150%

Nov-03 US$ 226 10 years Oct/13Libor + Libor +2.860% 2.860%

SECURITIZATION

Dec-03 US$ 2001st to 5th year Dec/08 7.375%

8.200%6th to 10th year Dec/13 9.375%

TIER II

Jan-04* US$ 100 18 months Aug/05 3.000% 3.050%

Jun-03 US$ 120 6 years Jul/09Libor +4.250%

Libor +4.250%

15

Net Revenue by Business

Net Financial Result

Banking Fees

Credit Cards

Insurance/Annuities/Pension Plans

Asset Management Fees

11%

7% 5% 4% 4%

12% 11% 11%

15% 21% 21% 19%

20% 22% 27% 25%

46% 40%37%

41%

1998 2000 2002 2003

16

Direct Management Indirect Management

Consumer Companies

Tricard

17

Main Indicators

R$ Million

Consumer Companies: Fininvest, Unicard, 50% LuizaCred, 50% PontoCred and 33.3% Credicard

Consumer Companies

2003 2002%

2003/2002

Billings 23,067 20,139 14.5%

Equity Income 504 407 23.8%

Credit Portfolio 4,060 3,511 15.6%

Loan Losses 765 881 -13.2%

Loan Losses / Credit Portfolio 18.8% 25.1% -630 b.p.

Volume of Transactions (in million) 338 274 23.4%

18

R$ Million

Consumer Companies Under Management: Fininvest, Unicard, 50% PontoCred and 50% InvestCred.

Consumer Companies Managed by Unibanco

Main Indicators

Consumer Companies

Billings 10,088 9,277 8.7%



Loan Losses 647 778 -16.8%


Volume of Transactions (in million) 122 111 9.9%

2003 2002%

2003/2002

19

R$ Million

Main Indicators

Consumer Companies

Billings 3,574 3,440 3.9%



Loan Losses 355 498 -28.7%


ROAE 49.5% 23.5%

Administrative and Personnel Expenses 387 424 -8.7%

2600 b.p.

2003 2002%

2003/2002

20

Main Indicators

R$ Million

Consumer Companies

2003 2002

2003/2002

Billings 5,428 4,823 12.5%


Credit Portfolio 1,065 915 16.4%

Loan Losses 234 233 0.4%


Number of Credit Cards (in thousands) 4,385 3,853 13.8%

21

Insurance + Private Pension Plans

Technical Reserves

R$ Million

Dec-02 Jun-03 Dec-03Insurance Private Pension Plans

4Q03 3Q03 4Q02 2003 2002

2003/2002

Billings + Premiums Written 788 728 630 3,373 2,460 37.1%

Net Income 54 57 62 258 254 1.6%

Equity Income 27 28 31 129 127 1.6%

825

2,7853,532

+26.8%

3,892

+10.2%

+40%

825781

2,004

809

2,723

821

3,071

22

Market Share – Premiums Written

Insurance

Source: SUSEP and ANS

Administrative Expenses / Premiums Written

1998 2000 2002 Nov-2003

7.21%

6.65%

4.90%

2.88%

17.1%

13.0%10.6% 9.8%

2000 2001 2002 2003

23

15.5%

23.0%

IPC-A

Unibanco

8.2%

Total Expenses

IPC-A

Unibanco

9.3%

3,963 4,2334,578

2001 2002 2003

R$

mill

ion

Personnel and Administrative Expenses x IPC-A

Total Expenses - Unibanco Consolidated

24

59.4% 63.5% 61.8% 62.0%

143.0%

170.6%158.9% 160.1%

3Q03 4Q03

66.4%

177.7%

4Q02 2002 2003

Fee Income / Personnel Expenses

Fee Income / Personnel and Administrative Expenses

Fee Income / Personnel and Administrative Expenses

25

In Million

0.8

3.7 4.05.2 5.6 6.0

0.7

3.03.9 3.5

4.0

2.9 3.03.0

1.1 1.11.1

Dec-94 Dec-99 Dec-00 Dec-01 Dec-02 Dec-03

7.7

13.1 13.214.1

Note: Unibanco includes saving account holders and retirees, from 1999.

Operational Highlights

Client Base

26

Corporate Governance

Unibanco HoldingsUnibanco

Chairman: Pedro Moreira Salles

Vice-Chairmen: Gabriel Jorge Ferreira

Pedro Sampaio Malan

Board Members: Israel Vainboim

Pedro Bodin de Moraes

Armínio Fraga

Chairman: Roberto Konder Bornhausen

Vice-Chairman: Pedro Moreira Salles

Board Members: Israel Vainboim

Tomas Zinner

Gabriel Jorge Ferreira

Carlos Alberto Cruz

Guilherme Affonso Ferreira

Koji Yamada

Unibanco

Board of Directors - after General Meeting on January 23th, 2004

Tomas Zinner

27

For further information contact our Investor Relations Area at

phone: 5511-3097-1626 / 1313fax: 5511-3813-6182

email: [email protected]: www.unibanco.com

(select Investor Relations option)

This presentation contains forward-looking statements regarding Unibanco. its subsidiaries and affiliates - anticipated synergies. growth plans. projected results and future strategies. Although these forward-looking statements reflect management’s good faith beliefs. they involve known and unknown risks and uncertainties that may cause the Company’s actual results or outcomes to be materially different from those anticipated and discussed herein. These risks and uncertainties include. but are not limited to. our ability to realize the amount of the projected synergies and the timetable projected. as well as economic. competitive. governmental and technological factors affecting Unibanco’s operations. markets. products and prices. and other factors detailed in Unibanco’s filings with the Securities and Exchange Commission which readers are urged to read carefully in assessing the forward-looking statements contained herein. Unibanco undertakes no duty to update any of the projections contained herein.

Documents

Consolidated Results 2003