Arab Banking Corporation B S C · BAHRAIN:ABC
Arab Banking Corporation B S C — Q1 2024 Earnings Presentation
14 slides from Arab Banking Corporation B S C's earnings presentation, May 2024
Slide 1: Q1 2024 Results Presentation
Q1 2024 Results Presentation www.bank-abc.com
Slide 2: Q1 2024 Results – Key Highlights
Q1 2024 Results – Key Highlights Strong momentum in Strong start to 2024 Healthy Balance Sheet with 15% growth in T1 Ratio 14.8%*, strategy execution revenues NSFR 126%, LCR 260% accelerates the delivery Q1 Revenues at $343m Capital, Funding and Liquidity metrics of our vision to build reflecting st
Slide 3: Strong momentum in our Strategy Execution
Strong momentum in our Strategy Execution Execution of the strategy is tracking well with positive momentum across all our pillars of strategy Sustainability fully embedded in our Strategy Roadmap (First Sustainability Report for the Consolidated Group to be published this year) Overall, the Bank co
Slide 4: Industry recognition continues in 2024
Industry recognition continues in 2024 Bank ABC continues to attain top industry awards for its pathbreaking innovations and landmark transactions reinforcing its position as MENA’s leading international bank. ‘Best Trade Finance Provider in the Middle East’ - Global Finance World’s Best Trade Provi
Slide 5: Industry recognition continues in 2024
Industry recognition continues in 2024 ∕ ‘Best Trade Finance Provider in ∕ ‘Best Trade Finance Bank in the ∕ ‘Fastest Growing Digital Bank in Regional the Middle East’ – Global Middle East’ – GTR Leaders in MENA Central’ award for ila Finance World’s Best Trade Trade Awards Bank - Mastercard Finance
Slide 6: Strong Revenue Growth Across the Franchise
Strong Revenue Growth Across the Franchise TOI reached $343m during Q1 2024, Net interest income at $233m +4% Other operating income up +15% higher on a YoY basis, and year on year supported by strong a strong 45% YoY was well diversified across our loan volumes and higher interest reflecting increa
Slide 7: Cost to Income Ratio continues to improve
Cost to Income Ratio continues to improve The Group continues to enforce Operating Expenses and appropriate cost discipline Performing while without compromising on Cost to Income Ratio transforming and investments into the Group’s digital transformation and maintaining robust strategic initiatives
Slide 8: Improving Cost of Risk
Improving Cost of Risk ECLs down 16% YoY to ECL and cost of risk, $m, bps Business growth $36m in Q1 2024 reflecting improved cost being prudently of credit -16% 43 managed by a 36 healthy level of Cost of risk at 75bps risk appetite and improving compared to Q1 2023 risk frameworks NPL Ratio and Co
Slide 9: Healthy Capital Ratios, Well Above Regulatory Minimum
Healthy Capital Ratios, Well Above Regulatory Minimum Overview Capital base remains Total CAR of 15.9% as of Mar RWA stood at $30.3bn as strong 2024 of Mar 24, increasing by 0.3% over Dec 23 CET 1 Ratio (13.0%) comprises the majority of Tier 1 Ratio CET1 and Tier 1 Ratios, % Total CAR, % RWA by Type
Slide 10: Well Diversified and Liquid Balance Sheet
Well Diversified and Liquid Balance Sheet Total Assets of $41.4bn at the end of Q1 2024, compared to $43.9bn at the 2023 year-end, a 6% Q1 2024 Assets by Instrument, $bn reduction, reflecting short-term asset and liability 43.9 41.4 3.5 management actions 3.5 Other 8.9 6.0 Liquid Funds(2) Book conti
Slide 11: In Summary
In Summary Strong start to 2024 with 15% growth in revenues to $343m, with strong momentum backed by core business growth, sustained interest rates and improved cost of credit Operating expenses were at $198m, positive jaws of 1% with C/I ratio improvement to 57.8% as the Group continues to enforce
Slide 12: Appendix: Normalized Financials
Appendix: Normalized Financials US$ millions 2019 2020 2021 2022 2023 Q1 23 Q1 24 Net Interest Income 564 516 592 786 935 223 233 Non-Interest Income* 311 233 277 315 344 76 110 Total Operating Income (TOI)* 875 749 869 1,101 1,279 299 343 Profit Total Operating Expenses -524 -486 -569 -690 -764 -17
Slide 13: Contact Us
Contact Us For more information, contact us on InvestorRelations@bank-abc.com Bank ABC Head Office P.O. Box 5698, Manama Kingdom of Bahrain www.bank-abc.com /12
Slide 14: Disclaimer
Disclaimer IMPORTANT: The following applies to this document, the oral presentation of the information in this document by Arab Banking Corporation B.S.C. ("Bank ABC") or any person acting on behalf of Bank ABC, and any question-and-answer session that follows the oral presentation (collectively, th
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