What long-term strategies fit CARE's declining EPS trend?

Given the challenges of declining EPS and the need for long-term strategies, **CARE's focus should be on revitalizing its financial performance** while addressing the broader industry trends. Here are several strategies that could be effective: 1. **Digital Transformation and Customer Experience**: Embrace digital channels to enhance customer experience and reduce costs. As per the study, 50% of UK consumers now use digital-only providers. Investing in digital platforms can help CARE attract and retain customers. 2. **Diversification of Income Streams**: While the banking industry may see a dip in net interest margins, there is an opportunity to increase non-interest income. CARE should explore investment banking fees, asset management, and refinancing fees for growth. 3. **Strengthening of Financial Resilience**: With credit quality expected to return to normal, CARE must focus on credit risk management. This includes robust underwriting practices and proactive monitoring of delinquencies. 4. **Cost Management and Efficiency**: The industry's efficiency ratio may hover around 60% in 2025. CARE should focus on streamlining operations, reducing inefficiencies, and optimizing its expense structure. 5. **Enhancing Customer Trust and Long-term Value**: Prioritize building customer trust through financial access, inclusion, and personalized experiences. This can lead to long-term customer loyalty and retention. 6. **Innovation and Competitive Differentiation**: In a competitive landscape, innovation is key. CARE should focus on developing unique products and services that cater to evolving customer needs and preferences. 7. **Talent Development and Strategic Workforce Planning**: Attract and retain top talent by offering competitive compensation and benefits. A robust talent strategy can drive innovation and strategic thinking within the organization. By implementing these strategies, CARE can not only stabilize its EPS trend but also position itself for long-term growth and profitability in a rapidly changing banking landscape.