Abu Dhabi Islamic Bank · ADX:ADIB

Abu Dhabi Islamic Bank — Q1 2011 Earnings Presentation

27 slides from Abu Dhabi Islamic Bank's earnings presentation, May 2011

  1. Slide 1: Investor Presentation

    Investor Presentation 31 March 2011 Abu Dhabi: May 2011 ADIB © 2010 adib.ae

  2. Slide 2: Table of contents

    Table of contents Pages  ADIB at a glance 3  Focus on network expansion continues 4  An award winning Islamic Bank 5-6  Financial targets over the medium term 7  Salient features of Q1 2011 results 8  31 March 2011 – Balance sheet highlights 9  Q1 2011 – Income statement highlights 10  Conso

  3. Slide 3: ADIB at a glance

    ADIB at a glance - Incorporated in 1997 to serve as first Islamic Bank in the Emirate of Abu Dhabi. Overview - Owned (40 %) by Emirates International Investment Co. LLC. - Listed on Abu Dhabi Securities Exchange (ADX). Fitch Moody's (Re-affirmed 21 Dec 2010) (Re-affirmed 21 Feb 2010) Credit Rating L

  4. Slide 4: Focus on network expansion continues

    Focus on networking expansion continues ADIB continues to investment in coverage during the downturn Branch Network Customers ATM +16% 66 +21% 427,941 +62% 324 55 365,080 45 234 42 287,302 240,101 138 76 Q1 08 Q1 09 Q1 10 Q1 11 Q1 08 Q1 09 Q1 10 Q1 11 Q1 08 Q1 09 Q1 10 Q1 11  66 Branches in 11 year

  5. Slide 5: An award winning Islamic Bank

    An award winning Islamic Bank Franchise Awards “Best Islamic Bank “Best Islamic Bank” 2010” in the Middle East by award by Islamic Business & Bankers Middle East Finance June 2010 December 2010 “Best Islamic Bank” “Best Islamic Bank” in the UAE in the UAE by Islamic Finance News 2010 November 2010 J

  6. Slide 6: An award winning Islamic Bank

    An award winning Islamic Bank Customer Services Awards ADIB ranked 3rd in Annual Bank Best Bank - Call Centre Benchmarking Index for Service Performance Excellence October 2010 October 2010 “Best Private Sector Customer Most improved bank for Service Team” by The International Service Excellence Cus

  7. Slide 7: Financial targets over the medium term

    Financial targets over the medium term 1 ROASE of 20% 2 Cost to Income Ratio of less than 35% 3 Earnings increase of 15% p.a. 7

  8. Slide 8: Salient features of Q1 2011 results

    Salient features of Q1 2011 results Group net profit for Q1 2011 was AED 303.2 Mn vs. AED 293.3 Mn in Q1 2010, an 1 increase of 3.4%. Group operating profit (“margin”) for Q1 2011 was AED 462.8 Mn vs. AED 398.5 Mn 2 for Q1 2010, an increase of 16.1%. 3 Balance sheet footing stands at AED 71.4 Bn vs.

  9. Slide 9: 31 March 2011 – Balance sheet highlights

    31 March 2011 – Balance sheet highlights 31 Mar ‘10 31 Mar ‘11 % chg AED Bn AED Bn Total Assets 66.0 71.4 8%  Total Assets increased by 8% over Q1 2010 to reach AED 71.4 bn. Net Customer Financing 42.0 48.1 15%  Customer financing increased by 15% from Q1 2010 to reach AED 48.1 bn.  Customer depo

  10. Slide 10: Q1 2011 – Income statement highlights

    Q1 2011 – Income statement highlights Q1 2010 Q1 2011 % chg AED Mn AED Mn  Revenues up by 19% on the back of Revenues 680.7 807.5 19% higher net revenue from funds (up 16%) and fees & commission (up 98%). Expenses 282.1 344.7 22%  Expenses up by 22% mainly due to continuous investment in our franc

  11. Slide 11: Consolidated Income Statement

    Consolidated Income Statement % chg Q1 11 % chg Q1 11 AED Mn Q1 10 Q4 10 Q1 11 vs Q1 10 vs Q4 10 Revenues 680.7 839.0 807.5 18.6% -3.7% Net Revenue from Funds 571.6 707.7 664.7 16.3% -6.1% Fees & commission 56.1 90.2 111.2 98.2% 23.3% Investment income 39.2 21.1 28.8 -26.7% 36.4% Foreign Exchange 11

  12. Slide 12: Key income parameters - Group

    Key income parameters - Group Revenues (AED Mn) Net Profit (AED Mn) Fees, commission & others Net revenue from funds 807 Operating profit 463 681 143 Provision for impairment Net Profit 399 579 109 361 476 78 293 303 282 268 98 244 665 572 160 501 378 93 105 38 Q1 08 Q1 09 Q1 10 Q1 11 Q1 08 Q1 09 Q1

  13. Slide 13: Key income parameters – Bank only

    Key income parameters – Bank only Revenues (AED Mn) Net Profit (AED Mn) Fees, commission & others Net revenue from funds Operating profit 490 814 Provision for impairment 125 Net Profit 395 659 351 339 545 62 290 21 259 265 429 221 35 689 151 598 524 105 394 86 38 Q1 08 Q1 09 Q1 10 Q1 11 Q1 08 Q1 09

  14. Slide 14: Consolidated Balance Sheet

    Consolidated Balance Sheet % chg 31 Mar % chg 31 Mar AED Mn 31 Mar 2010 31 Dec 2010 31 Mar 2011 2011 vs 31 Dec 2011 vs 31 Mar 2010 2010 Cash and balances with Central Banks 4,242 5,400 5,995 11.0% 41.3% Due from financial institutions 14,160 15,730 11,203 -28.8% -20.9% Net Customer financing 41,960

  15. Slide 15: Balance Sheet Strength

    Balance Sheet Strength +15% +4%  Total Assets increased by 8% in 48,134 49,935 51,912 Q1 2011 to reach AED 71.4 Bn. 41,960 35,770 41,084  Net Customer financing 27,213 30,039 increased by 15% in Q1 2011 to reach AED 48.1 Bn.  Customer deposits showed a growth of 4% over Q1 2010 to reach AED 51.9

  16. Slide 16: Assets and Liquidity

    Assets and Liquidity Average Earning Assets (AED Bn) & Net Profit Margin (%) Composition of Assets – AED 71.4 Bn NPM % Average Earning Assets Investments; 90 5.2 1.9% Fixed assets & Customer Other Assets; 62.1 financing; 59.2 60.0 6.6% 60 55.6 57.0 4.8 67.4% 49.4 52.4 45.2 48.4 4.5% 4.5% 4.4 4.4% 30

  17. Slide 17: Customer Financing

    Customer Financing Gross Customer Financing by Segment Gross Customer Financing by Customer Type Retail Wholesale Private 50.6 +22% 43.8 Individual; -Individuals – 23.5 bn 60.0% Corporate; 36.4 48.1% -SMEs – 0.8 bn 30.3% 47.2% 27.6 44.6% 44.0% -Corporate – 15.3 bn -PS & ,Govt – 2.6 bn 35.9% 38.2% -F

  18. Slide 18: Customers’ Deposits

    Customers’ Deposits Gross Customers’ Deposits by Segment Gross Customers’ Deposits by Customer Type Wholesale Retail Private Non-profit organisations; SMEs; 5.7% 5.3% +20% 51.9 49.9 Government; 15.8% Public 41.1 -Government – 8.2 bn Sector; 42.8% -Public Sector– 8.1 bn 46.7% -Corporates – 4.1 bn 15.

  19. Slide 19: NPAs, Credit Provisions and Impairments - Group

    NPAs, Credit Provisions and Impairments - Group Cumulative Provisions 2008 2009 2010 Q1 2011 Key points Customer Financing Portfolio Individual/Specific 455 1,233 1,702 1,827  Impaired NPAs increase by AED 189 Mn in 2010 to reach AED 3,770 Mn at end of Q1 2011. Collective/General 135 518 575 603 

  20. Slide 20: Capital Adequacy

    Capital Adequacy ADIB’s CAR of 15.29% remains above the new Central Bank threshold of 12% for CAR Capital Adequacy (%) Capital Resources (AED Bn) CAR Basel II UAE Central Bank requirement Equity Total Capital Resources 16.8% 15.7 15.3% 12.6 13.7% 8.2 8.4 7.9 7.5 12.0% 10.8% 11.0% 5.3 5.4 10.0% 10.0%

  21. Slide 21: Shareholders’ Return

    Shareholders’ Return  31 March 2011 share price was AED 3.22 per share.  Cash dividend of 21.64% for 2010 (Bonus share dividend of 20% for 2009).  Dividend Yield for FYR 2010 of ADIB share is 7.3%. ADIB vs ADX ADIB ADX 4.00 3,400 3.50 3,200 3.00 ADIB Price (AED) 3,000 2.50 ADX Points 2,800 2.00 2

  22. Slide 22: Outlook - 2011

    Outlook - 2011 On the back of our rebranding we are implementing a broad range of initiatives to enhance our product 1 portfolio, improve our processes and introduce new banking channels, all of which is designed to provide support to our customers, with best in market service and Shari’a inspired s

  23. Slide 23: Disclaimer

    Disclaimer The information contained herein has been prepared by Abu Dhabi Islamic Bank PJSC (ADIB). ADIB relies on information obtained from sources believed to be reliable but does not guarantee its accuracy or completeness. This presentation has been prepared for information purposes only and is

  24. Slide 24: Executive Management Biographies

    Executive Management Biographies 24

  25. Slide 25: Executive Management Profile (I)

    Executive Management Profile (I) Joined ADIB in March 2008. He holds a Bachelor degree (major in Corporate Finance) from Loyala of Tirad Marouf Mahmoud Concordia University in Montreal, Canada and has also completed the Executive Management Program at Chief Executive Officer Wharton. He has previous

  26. Slide 26: Executive Management Profile (II)

    Executive Management Profile (II) Abdul Rahman Abdullah Joined ADIB on 12 September 1998. He holds a Bachelor in Science. He has 28 years banking experience Co-Head of Private Banking His previous position was Deputy Head of Private Banking Department at the National Bank of Abu Dhabi. & Wealth Mana

  27. Slide 27: Executive Management Profile (III)

    Executive Management Profile (III) Waheeb Al Khazraji Joined ADIB on 10 December 2005 . He holds Chemical Engineering and MBA degrees along with Head of Human Resource, Chartered Human Resource Consultant (CHRC), Canada and Chartered in Personal Development (CIPD), UK. UAE He has 5 years banking exp

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