United Bank For Africa Plc · NSENG:UBA
United Bank For Africa — 9M 2013 Earnings Presentation
26 slides from United Bank For Africa's earnings presentation, Nov 11, 2013
Slide 1: Nine Months 2013 Results
NINE MONTHS 2013 RESULTS Investors/Analysts Presentation November 11, 2013
Slide 2: Forward Looking Statements
Forward Looking Statements From time to time, the Bank makes written and/or oral forward-looking statements, including in this presentation and in other communications. In addition, representatives of the Bank may make forward-looking statements orally to analysts, investors, the media and others. A
Slide 3: Important Notes
Important Notes Definition of terms: FY means “Full Year”; and 1Q means “First Quarter”; 2Q means “Second Quarter”; HY means “Half Year”; 1H means “First Half”; 3Q means “Third Quarter” and 9M means “Nine Months”. The results were prepared in line with the International Financial Reporting Standards
Slide 4: Outline
Outline 1 Overview of UBA 2 Macroeconomic Overview 3 Nine Months 2013 Financial Highlights 4 Review of Nine Months 2013 Financial Results 5 Focus on UBA Cameroun 6 Appendix 4
Slide 5: 1. Overview of UBA
UBAM United Bank for Africa 1. Overview of UBA fen SS =" 40a Z n Coted'ivoire Burkina Faso Uganda SierraLeone Rep.Benin Senegal Chad Kenya Tanzania Gabon Zambia Guinea Mozambique CongoDR — Congo Brazzaville USA England France www.ubagroup.com Africa’s global bank
Slide 6: Brief History
Brief History Acquired majority interest in two banks based in B/Faso and Benin Successfully raised N20bn UBA merged with Standard Won Financial Times’ debt capital Trust Bank Bankers’ Awards for French & British Commenced operations in Bank Limited Standard Continental Trust Bank Best Overall Bank
Slide 7: Key business strengths
Key business strengths Africa’s global bank with a uniquely scaled platform Strong retail franchise reaching over 7 million customers through more than 700 business offices spread across 22 countries globally Improving financial performance underpinned by solid risk management standards Aggressively
Slide 8: 2. Overview of Macro Economy
UBAM United Bank for Africa (2. Overview of Macro Economy BSS ==" --24=0DaZ n Coted'ivoire Burkina Faso Uganda SierraLeone Rep.Benin Senegal Chad Kenya Tanzania Gabon Zambia Guinea Mozambique CongoDR — Congo Brazzaville USA England France www.ubagroup.com Africa’s global bank
Slide 9: Overview of Macro Economy
Overview of Macro Economy Nigeria Ghana Guinea Liberia Cote d’Ivoire Locations outside Africa GDP ($bn) 263.61 GDP ($bn) 41.71 GDP ($bn) 6.70 GDP ($bn) 2.37 GDP ($bn) 25.08 GDP Growth 6.20% GDP Growth 6.10% GDP Growth 3.90% GDP Growth 9.80% GDP Growth 8.30% Population (mn) 166.21 Population (mn) 25.
Slide 10: 3. Nine Months 2013 Financial Highlights
3. Nine Months 2013 Financial Highlights
Slide 11: Nine Months 2013 Financial Highlights
Nine Months 2013 Financial Highlights 11
Slide 12: 4. Review of Nine Months 2013 Financial Highlights
4. Review of Nine Months 2013 Financial Highlights
Slide 13: Income Analysis
Income Analysis Gross earnings trend (N’bn) Gross earnings by income type 188.0 167.1 33% 29% 132.8 Interest income 67% Non-interest income 71% 1H 2012 9M12 9M13 9M11 9M12 9M13 Revenue split by geography Gross earnings of N188bn achieved in the first nine months of 2013 Nigeria Africa excl. Nigeria
Slide 14: Profitability
Profitability Operating Income (N’bn) Profit for the Period (N’bn) 129.9 36.5 37.4 122.6 104.1 9.4 9M11 9M12 9M13 9M11 9M12 9M13 Operating income was N129.9bn for the Return on Avg. Equity Return on Avg. Assets period 31.9% – Grew by 5.9% YoY 27.1% 2.5% 2.6% 23.8% PBT at N37.4bn in spite of pressure
Slide 15: Profit Drivers
Profit Drivers Net Interest Margin Cost of Funds 5.9% 3.4% 3.5% 5.8% 5.8% 3.3% 9M12 1H13 9M13 9M12 1H13 9M13 Cost-to-Income Ratio Stable net interest margins, now 5.8% same as Q2. Improvement is expected by year 67.0% 64.3% end. 60.7% Cost of funds slightly up from 3.3% in Q2. Cost-to-income ratio i
Slide 16: Financial Position
Financial Position Total Assets (N’trn) Total Assets plus Contingents (N’trn) 2.58 3.03 2.27 2.67 1.92 2.29 FY11 FY12 9M13 FY11 FY12 9M13 Total Assets Mix Total assets grew by 13.5% so far 3% 2% this year; now N2.58 trillion. 3% 5% Cash & Bank balances Overall, balance sheet footing is 31% Loans 32%
Slide 17: Loan Portfolio
Loan Portfolio Loan Book (N’bn) Loan Book, by Customer Type 5% 9% 870.7 687.4 9% Corporate 647.2 Consumer Public Sector 64% 13% Financial Institutions Commercial FY11 FY12 9M13 Net loan book stood at N870.7bn Loan Distribution, by Sector NPL Ratio – Grew by 26.7% from FY12 position in line with our
Slide 18: Deposit Portfolio
Deposit Portfolio Total Deposits (N’trn) Deposit Mix 2.17 21.6% 20.2% 23.1% 1.78 17.1% 16.6% 13.7% 1.47 Time Savings Demand 61.3% 63.2% 63.2% FY11 FY12 9M13 FY11 FY12 9M13 Deposit Mix, by geography 9M13 Total deposits stood at N2.17 trillion, up by 22.1% year till date. 17% Nigeria Nearly 77% of dep
Slide 19: Funding, Liquidity and Capital Adequacy
Funding, Liquidity and Capital Adequacy Capital Adequacy Ratio Funding Mix 23.5% 21.7% 3.1% 21.4% 5.9% 5.9% 4.0% 7.4% 9.9% 8.7% 8.5% 7.9% Others FY11 FY12 9M13 Borrowings Liquidity Ratio Equity 69.0% 69.8% Deposits 59.8% 84.2% 76.3% 78.2% FY11 FY12 9M13 Deposits continue to be a core source of asset
Slide 20: 5. Focus on UBA Cameroun
UBAM United Bank for Africa [ 5. Focus on UBA Cameroun Pane 240-245 ZZ. 0 Bras www.ubagroup.com Africa’s global bank
Slide 21: UBA Cameroon – Key Financial Highlights
UBA Cameroon – Key Financial Highlights 30-Sep-13 30-Sep-12 % Change Gross Earnings 3,873 2,933 32.0% COMPREHENSIVE INCOME & Net Interest Income 728 665 9.5% PROFIT TREND (N’million) Other Income 2,704 1,989 35.9% Operating Income 3,431 2,654 29.3% Operating Expenses 2,288 1,717 33.3% Profit after T
Slide 22: Income Analysis
Income Analysis Revenue Trend (N’bn) Revenue Trend (N’bn) Interest Income Non Interest Income 3.87 27% 32% 30% 2.93 2.51 73% 68% 70% 9M11 9M12 9M13 9M11 9M12 9M13 Profitability (N’bn) Operating Income 3.43 PBT 2.65 Consistent growth in revenue and a 32% increase 2.38 over comparative period 1.14 0.9
Slide 23: Financial Position
Financial Position Growing Asset Base (N’bn) Deposits (N’bn) 59.7 46.9 31.1 36.3 23.4 19.1 9M11 9M12 9M13 9M11 9M12 9M13 Loan growth (N’bn) Deposit mix Demand Savings Term 21.1 51% 15.0 67% 60% 10.8 7% 9% 13% 42% 31% 20% 9M11 9M12 9M13 9M11 9M12 9M13 Total assets grew by 41.7% so far this year; now
Slide 24: 6. Appendix
UBAM United Bank for Africa 6. Appendix fen SS =" 40a Z n Coted'ivoire Burkina Faso Uganda SierraLeone Rep.Benin Senegal Chad Kenya Tanzania Gabon Zambia Guinea Mozambique CongoDR — Congo Brazzaville USA England France www.ubagroup.com Africa’s global bank
Slide 25: Summary Historical Financial Results
Summary Historical Financial Results Thank you 25
Slide 26: Thank you
UBAM United Bank for Africa fen 2S =" b= 4=00 Cote d'ivoire Burkina Faso Uganda SierraLeone Rep.Benin Senegal Chad Kenya Tanzania Gabon Zambia Guinea Mozambique CongoDR — Congo Brazzaville USA England France www.ubagroup.com Africa’s global bank
United Bank for Africa — 9M 2013 Earnings Presentation on 6ix