Security Bank Corp. (philippines) · PSE:SECB

Security Bank Corp. (philippines) — Security Bank — FY2021 Earnings Presentation

19 slides from Security Bank Corp. (philippines)'s earnings presentation, Mar 9, 2022

  1. Slide 1: FY 2021 Results Highlights

    FY 2021 Results Highlights By: Sanjiv Vohra, President and CEO March 9, 2022

  2. Slide 2: Total Revenues and Net Income

    Total Revenues and Net Income Total Revenues Total Revenues (excluding Trading Gains) ₱36.8 50.4 Billion ₱35.7 Billion -27% 37.0 35.7 -4% -₱13.6 B 36.8 -₱1.4 B FY 2020 FY 2021 FY 2020 FY 2021 Profit Before Tax Net Income ₱10.3 Billion 10.3 ₱6.9 Billion +141% 7.4 -7% 6.9 +6.0 B -₱0.5 B 4.3 FY 2020 FY

  3. Slide 3: Net Interest Income and Net Interest Margin

    Net Interest Income and Net Interest Margin Net Interest Income Net Interest Margin ₱27.5 Billion 4.43% 30.6 -10% 27.5 4.71% -27bps 4.43% -₱3.2 B FY 2020 FY 2021 FY 2020 FY 2021 3 Note: Numbers may not sum up due to rounding

  4. Slide 4: Non-Interest Income

    Non-Interest Income Total Non-Interest Income Securities Trading Gains ₱9.4 Billion ₱1.2 Billion 19.7 13.4 -53% -91% 3.6 -₱10.4 B 9.4 -₱12.2 B 13.4 4.5 1.2 1.2 2.7 3.7 FY 2020 FY 2021 FY 2020 FY 2021 Service Charges, Fees & Commissions Non-Interest Income - Others ₱4.5 Billion 4.5 ₱3.7 Billion 3.7 3

  5. Slide 5: Cost-to-Income Ratio and Operating Expense

    Cost-to-Income Ratio and Operating Expense Cost-to-Income Ratio Operating Expense* 57.8% 57.8% ₱21.3 Billion 39.1% +8% 21.3 19.7 +₱1.6 B YoY growth 6.9 6.4 +8% Compensation and fringe benefits 3.3 -1% FY 2020 FY 2021 3.3 Taxes and licenses 2.5 +9% Manpower Headcount 2.3 0.4 0.4 Depreciation and amor

  6. Slide 6: Total Loans and Total Deposits

    Total Loans and Total Deposits Total Loans* Total Deposits ₱449 Billion ₱524 Billion +2% YoY 449 +19% 524 439 YoY +₱10 B 440 +₱83 B 111 25% -6% 104 23% +19% 317 61% 266 60% 328 75% +5% 344 77% +18% 174 40% 206 39% Dec. 31, 2020 Dec. 31, 2021 Dec. 31, 2020 Dec. 31, 2021 *Loans (net of allowance); Gro

  7. Slide 7: Asset Quality

    Asset Quality Gross NPL Ratio and NPL Reserve Cover Allowance over Total Loans 115% 3.90% 91% 93% 4.70% 4.14% 3.90% 3.90% 4.15% 3.94% Dec. 31, 2020 Sep. 30, 2021 Dec. 31, 2021 Dec. 31, 2020 Sep. 30, 2021 Dec. 31, 2021 7

  8. Slide 8: Provisions for Credit Losses

    Provisions for Credit Losses Provisions for Credit Losses Provisions per Segment ₱5.3 Billion In Php millions FY 2020 FY 2021 Retail 19,671 1,168 26.4 -80% Wholesale 6,012 4,795 -₱21.1 B Financial Markets 62 (4) Others 673 (694) Total 26,418 5,265 In Php millions Q3-2021 Q4-2021 5.3 Retail 142 606 W

  9. Slide 9: Balance Sheet and Key Financial Ratios

    Balance Sheet and Key Financial Ratios Total Assets Total Liabilities ₱700 Billion 700 ₱575 Billion 653 530 575 64% 67% 50% 55% 16% 33% 16% 36% 17% 20% 4% 1% 9% 5% 4% 3% Dec. 31, 2020 Dec. 31, 2021 Dec. 31, 2020 Dec. 31, 2021 Liquidity Ratios CET 1 and Total CAR Liquidity Coverage Ratio (LCR) 150% 1

  10. Slide 10: Quarterly Financial Highlights

    Quarterly Financial Highlights Net Interest Income Net Interest Margin ₱7.0 Billion 4.37% 7.3 4.88% 6.6 6.9 6.9 7.0 4.22% 4.29% 4.32% 4.37% Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Low-Cost Deposits ₱317 Billion +2% +5% +5% +6% 300 317 266 272 286 Q4-2020 Q1-20

  11. Slide 11: Quarterly Financial Highlights

    Quarterly Financial Highlights Total Loans* Total Deposits ₱449 Billion ₱524 Billion +0.3% 522 QoQ 524 +4% +₱1.6 B 430 QoQ 449 +₱19 B 103 25% +1% 104 23% +6% 300 58% 317 61% 327 75% +4% 344 77% 222 42% -6% 206 39% Sep. 30, 2021 Dec. 31, 2021 Sep. 30, 2021 Dec. 31, 2021 *Loans (net of allowance); Gro

  12. Slide 12: Quarterly Financial Highlights

    Quarterly Financial Highlights Non-Interest Income Service Charges, Fees & Commissions ₱2.4 Billion ₱1.3 Billion 1.3 1.0 1.1 1.1 1.1 2.9 2.6 2.2 2.4 2.1 Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 12

  13. Slide 13: Quarterly Financial Highlights

    Quarterly Financial Highlights Operating Expenses Provisions ₱5.5 Billion ₱1.2 Billion 5.1 5.3 5.4 5.5 4.3 5.3 2.0 1.6 0.4 1.2 Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Q4-2020 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Pre-Provision Operating Profit Net Income ₱3.8 Billion ₱2.1 Billion 5.9 4.3 2.1 3.7 3.7 3.8 1

  14. Slide 14: Summary

    Summary 1. Loans: Gross Loans +4% QoQ. Increase in Wholesale* (+6% QoQ; +5% YoY). Retail* flat QoQ and -9% YoY. 2. NIM: Up on a Quarterly Sequential Basis. 3. Trading Gains: Muted given upward rate movements. 4. Credit Provisions: Significant Decrease versus previous year. • Retail portfolio metrics

  15. Slide 15: 2022 Themes

    2022 Themes 1. Our Vision: To become the most customer-centric bank The Philippines’ Best Bank in the Philippines 2. Grow earning asset base: Best Bank for loans and investment High Net Worth Clients Best Retail Bank in the Philippines securities in the Philippines 3. Invest in strategic enablers: M

  16. Slide 16: Our Sustainability Framework

    Our Sustainability Framework Governance Policy/Commitments Focus Areas 2020: SBC Sustainability Framework 2021: Environmental & Social Four focus UN SDGs for Risk Management System delivering mission of enriching lives, empowering businesses, ❖ Risk management policies and building communities and p

  17. Slide 17: Retail Banking Segment Strategy Summary

    Retail Banking Segment Strategy Summary Annual Income PHP How to Get There: Overarching To become the Most Customer 1. To attract New to Bank Customers : Develop and Affluent ≥1 Mio Ambition Centric Bank Deliver Compelling Customer Value Proposition Medium Term 2. To Deepen Wallet Share of Existing

  18. Slide 18: Wholesale Banking Segment 2022 Themes

    Wholesale Banking Segment 2022 Themes Growth Transformation ▪ Rebounding Pandemic-Impacted ▪ Capture Ecosystem of Customers Industries under Focus Industries ▪ Infrastructure Spending ▪ Cross Sell ▪ ESG and Renewable Energy ▪ Leveraging on CRM Tools for Deal Financing Origination ▪ SB Capital Deal O

  19. Slide 19: FY 2021 Results Highlights

    FY 2021 Results Highlights By: Sanjiv Vohra, President and CEO March 9, 2022

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