Al Ansari Financial Services Pjsc · DFM:ALANSARI
Al Ansari Financial Services Pjsc — Q1 2025 Earnings Presentation
31 slides from Al Ansari Financial Services Pjsc's earnings presentation, May 2025
Slide 1: Q1 2025 Financial Results Presentation
Q1 2025 Financial Results Presentation
Slide 2: Disclaimer
Disclaimer The information contained herein has been prepared by Al Ansari Financial Services PJSC (the “Company” or the “Group”). The information contained in this presentation may not have been reviewed or reported on by the Company’s auditors. The company relies on information obtained from sourc
Slide 3: Today's Presenters
Today’s Presenters Rashed A. Al Ansari Mohammad Bitar Faisal Anwar Group Chief Executive Officer Deputy Group Chief Executive Officer Group Chief Financial Officer
Slide 4: Table of Contents
Table of Contents 01 Q1 2025 Highlights 02 Business Highlights 03 Financial Highlights ▪ Key Highlights ▪ Revenue Contribution ▪ Income Statement Overview ▪ Quarter to Quarter Journey ▪ Market Analysis ▪ Balance Sheet Overview ▪ Financial & Operating ▪ Remittances ▪ Capex Business Model Performance
Slide 5: Q1 2025 Highlights
01 Q1 2025 Highlights ▪ Key Highlights ▪ Quarter to Quarter Journey ▪ Financial & Operating Performance Snapshots
Slide 6: Q1 2025 Key Highlights
Q1 2025 Key Highlights +7% Operating Income increased by 7% YoY to AED 294m, attributed to Operating Income an increase across all business lines vs. Q1’24 +13% EBITDA increased by 13% YoY to AED 138 million with an EBITDA EBITDA Margin of 46.8% due to increase vs. Q1’24 in operating income +10% Net
Slide 7: Quarter to Quarter Journey
Quarter to Quarter Journey Operating Income (AED’mn) 303 Excluding one-off Iraq Income 300 1% 4% -6% 292 294 - 294 288 -1% 288 2% 285 -3% 6% 275 275 -6% 3% 268 3% Value 260 % Change Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 ▪ Q4’22 – Q4’23 : There is a downward trend wi
Slide 8: Q1 2025 Financial & Operating Snapshot
Q1 2025 Financial & Operating Snapshot Financial Performance (AED) Operating Performance 294 mn 138 mn 12.5 mn 270 Operating EBITDA Total number of Number of Income transactions physical branches +7% vs. Q1’24 +13% vs. Q1’24 +1% vs. Q1’24 11 net new branches since Q1’24 46.8% 109 mn 22 bn 2.5 mn EBI
Slide 9: Business Highlights
02 Business Highlights ▪ Revenue Contribution ▪ Market Analysis ▪ Remittances ▪ Bank Notes ▪ WPS and Other Products & Services
Slide 10: Revenue Contribution
Revenue Contribution Q1’24 Q1’25 +18% 2% +29% 2% 6% 8% 32% 60% 32% 58% +7% +4% Remittance Bank Notes WPS Others % Growth in Revenue
Slide 11: UAE Continues To Remain Robust Despite Global Headwind
UAE Continues To Remain Robust Despite Global Headwind UAE Economy Remains Resilient on All Fronts Encouraging c. 4.7% c. 5.1% c. 3.0% Macro Overall UAE GDP Growth Expected (2025) UAE Non-oil GDP Growth Expected (2025) Growth in Total UAE Population (2024) Robust Travel c. 23mn c. 5mn c. 1mn and Tou
Slide 12: Remittances: Q1'25
Remittances: Q1’25 Operating Income (AED’mn) 171 4% 164 Q1'24 Q1'25 Outward Remittances – Value (AED’bn) Digital vs. Face to Face 10.4 10.4 21% 24% Q1’24 Q1’25 79% 76% Q1'24 Q1'25 Remittance operating income increased by 4% as compared Outward Remittance transactions conducted through digital channe
Slide 13: Bank Notes: Q1'25
Bank Notes: Q1’25* Operating Income (AED’mn) Bank Notes Value of Transactions (AED’bn) 93 22 7% 6% 87 21 Q1'24 Q1'25 Q1'24 Q1'25 Total Value of transactions has increased by 6% as compared to Q1’24 driven Bank Notes operating income has increased 7% as compared to Q1’24 by an increase in prepaid car
Slide 14: WPS and Other Products & Services: Q1'25
WPS and Other Products & Services: Q1’25 Operating Income (AED’mn) WPS Salary Disbursals (‘000) 30 2,472 26% 27% 1,950 24 Q1'24 Q1'25 Q1'24 Q1'25 WPS and other products & services operating income has increased by 26% WPS salary disbursals witnessed an increase of 27% compared to Q1’24 compared to Q
Slide 15: Financial Highlights
03 Financial Highlights ▪ Income Statement Overview ▪ Balance Sheet Overview ▪ Capex Business Model
Slide 16: Income Statement Overview
Income Statement Overview AED’000 AED’000 Q1’25 Q1’24 % % Change Change Commentary Net gain on currency exchange 144,868 129,037 12.3% ▪ Net gain on currency exchange saw an increase of 12.3% YoY mainly on account of increase in remittances margin Net commission income 149,336 145,689 2.5% ▪ The net
Slide 17: Balance Sheet Overview
Balance Sheet Overview AED’000 AED’000 Mar’25 Dec’24 Dec’24 %Change % Change Commentary Right of use assets 120,225 95,868 25.4% ▪ The increase in Right of Use assets by 25.4% can be attributed to addition of new branch locations, renewals and lease term modifications Property and Equipment 71,799 7
Slide 18: Capex-light Business Model, Easy to Scale and Able to Deliver Strong Growth
Capex-light Business Model, Easy to Scale and Able to Deliver Strong Growth and Value to the Shareholders Current Assets and Capex(1) (AED’mn) Commentary Current Liabilities (AED’bn) Total capex as ▪ Majority of the current assets are composed of Net 1.6 1.5 % of Operating 2.8% 1.7% Income cash and
Slide 19: Dividend Policy
04 Dividend Policy ▪ Dividend Policy
Slide 20: Dividend Policy
Dividend Policy Historical Dividends (AED’mn) Dividend Policy 1,076 ▪ Minimum dividend of 70% of the net profit after tax generated and paid on a semi-annual basis (in April and October of each year) 600 Dividend Distribution ▪ FY 2024: The Group has paid a dividend amount 327 315 276 of AED 315 mil
Slide 21: Growth Strategy
05 Growth Strategy ▪ 6 Pillar Strategy
Slide 22: Clear Growth Strategy Centered on 6 Pillars
Clear Growth Strategy Centered on 6 Pillars 01 Physical Network Expansion 02 Geographic Expansion 03 Digital Innovation Further expanding Continued 80% of remittance market in Growing market share in pre-paid cards investment in 2027 is expected to still be Kuwait and entering other offering Al Ansa
Slide 23: Clear Growth Strategy Centered on 6 Pillars (continued)
Clear Growth Strategy Centered on 6 Pillars (continued) 04 Revenue Optimisation 05 Corporate Cross-border Remittances 06 CashTrans Scope to increase margins given c. +550k* the quality of the services, market SMEs active in the UAE leadership position and growing Planned and ongoing digital capabili
Slide 24: Business Updates
06 Business Updates ▪ BFC & Al Ansari Exchange Kuwait Acquisitions
Slide 25: Acquisitions Highlights
Acquisitions Highlights Transformational Transformational transactions transactions that that are are well-positioned well-positioned to to benefit benefit all all our our stakeholders stakeholders including including shareholders, customers, shareholders, employees customers and regulators and empl
Slide 26: Consolidated Profile
Consolidated Profile Become The Largest Remittance & Consolidated** Foreign Exchange Player in Growth FY24 (AED’000) AAEK % GCC by Number of Branches Operating income 1,148,975 1,407,712 23% Total Number 462 of Branches* 510,302 593,198 EBITDA 16% EBITDA margin 44% 42% 267 UAE Branches Net profit af
Slide 27: Strategic Rationale
Strategic Rationale Become The Leading Regional Powerhouse Geographic Expansion and Diversification • Become #1 player in Bahrain market, #3 player in Kuwait • Strengthen our market position by expanding the customer market, and a sizeable player in India market (in addition to base and increasing o
Slide 28: Synergy Opportunities
Synergy Opportunities 01 Improved Bargaining Power 02 Operational Efficiencies 03 Integration of Support Functions Streamlined operations and shared services expected Increased bargaining power to result in enhanced Integration of support with suppliers resulting in the productivity and functions ex
Slide 29: Guidance
07 Guidance ▪ Short to Mid Term Guidance
Slide 30: Short to Mid Term Guidance
Short to Mid Term Guidance Target Item Time Horizon (annual growth rate unless otherwise stated) Branch Network 480 total no. of physical branches Mid-term Low to mid teens Short–term Remittance Income Single digit Mid-term Low to mid teens Short–term Bank Notes Income Single digit Mid-term Mid to h
Slide 31: Thank You
Thank You Dy Abo GLor ay yjlLio il AL ANSARI FINANCIAL SERVICES PLS.C
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