I&m Group Plc · NSEKE:IMH
I&m — Q3 2023 Earnings Presentation
27 slides from I&m's earnings presentation, December 2023
Slide 1: Q3 2023 Results Investor Presentation
INTEGRITY TRUST RESPECT INNOVATION COURAGE Q3 2023 RESULTS INVESTOR PRESENTATION Classification: Public
Slide 2: ATMs Staff
81 + 450,000 Branches Customers 4,424 Shareholders 123 +2,700 ATMs Staff Classification: Public
Slide 3: Country operations: Kenya, Uganda, Rwanda, Tanzania, Mauritius
KENYA I&M Bank Ltd 280,000+ Customers 40 Branches 47 ATMs 1,399Staff UGANDA I&M Bank (Uganda) Ltd 75,000+ Customers 12 Branches 13 ATMs 309 Staff RWANDA I&M Bank (Rwanda) PLC 78,000+ Customers 17 Branches 38 ATMs 447 Staff TANZANIA I&M Bank (T) Ltd 23,,000+ Customers 8 Branches 11 ATMs MAURITIUS 190
Slide 4: Macro-economic Highlights
Macro-economic Highlights Classification: Public
Slide 5: I&M's Performance and macro economic factors affecting our region
I&M’s Performance Macro economic factors affecting our region Profit Before Tax KES Headwinds Tailwinds 11.4Bn (10%y/y) 02 Growing Geopolitical Return on Equity tensions disrupting the Improving economic world economy environment in Tanzania 15% (Currencies Absolute 1% y/y ) Interest rates remain Ug
Slide 6: Aspiration, strategic pillars and enablers
Aspiration Eastern Africa’s Leading Financial Partner for Growth initiatives Strategic Pillars & 1. Driving Business Growth 2. Building a Resilient Organisation 3. Optimising the operating model Enablers Customer Experience Cultural Transformation Strategic Partnerships Data Analytics % growth of ne
Slide 7: Group Financial Highlights
GROUP FINANCIAL HIGHLIGHTS Classification: Public
Slide 8: Operating income and breakdown by segments
We remain focused on achieving our strategic ambitions as outlined in iMara 2.0 Strategy Breakdown of Operating Income Operating Income (Kshs Bn) by Segments 17% 16% 29.8 22% 25.0 21% 10.7 20.1 43% 8.8 49% 51% 47% 6.2 18% 16% 19.1 16.2 14.0 33% 31% 33% Q3 2021 Q3 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023
Slide 9: Operating income, provisions and profit before tax
Operating Income (Kshs Bn) Profit before Provisions (Kshs Bn) 29.8 12% 15.3 Q3 FY Q3 Q3 19% 13.7 Key Ratios 2023 2022 2022 2021 25.0 31% 24% Cost to income 20.2 10.5 ratio 49% 45% 45% 48% Cost of Risk* 2.4% 2.3% 3.3% 2.9% ROE* 15% 15% 14% 12% ROA* 2.2% 2.7% 2.3% 2.1% Q3 2021 Q3 2022 Q3 2023 Q3 2021
Slide 10: Net loans & advances and deposits by segment
We remain focused on achieving our strategic ambitions as outlined in iMara 2.0 Strategy Net Loans & Advances (Kshs Bn) Deposits (Kshs Bn) 403 287 231 79 308 208 289 24% 228 11% 67 61 20% 190 188 1% 12% 27% 208 147 164 48% 175 18% 118 101 Q3 2021 Q3 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023 Corporate and
Slide 11: Total assets, loans and customer deposits
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits (Kshs Bn) 27% 24% 31% 544 402 287 429 437 312 399 231 239 308 289 208 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 ü Net loans and advances up by 24% year on year driven by the
Slide 12: Group key results summary
Profit Before Tax (Kshs) Total Income (Kshs) Cost of Risk 11.4bn 29.8bn 2.3% +10% +19% Q3 2022: 2.2% Net Loans & Advances (Kshs) Customer Deposits (Kshs) Return on Equity 287bn 402bn 15% +24% +31% Absolute 1% 14% +1% Classification: Public
Slide 13: Subsidiary Performance Highlights
SUBSIDIARY PERFORMANCE HIGHLIGHTS Classification: Public
Slide 14: Kenya subsidiary income statement performance
Total Operating Income (Kshs Bn) Profit before Provisions (Kshs Bn) 6% 12.1 Q3 FY Q3 Q3 13% 20.5 28% 11.4 19% 18.0 Key Ratios 2023 2022 2022 2021 8.9 15.2 Cost to income ratio 41% 36% 37% 42% Cost of Risk* 2.6% 2.3% 2.6% 2.3% ROE* 16% 18% 16% 12% ROA* 2.2% 3.1% 2.5% 2.1% Q3 2021 Q3 2022 Q3 2023 Q3 2
Slide 15: Kenya subsidiary balance sheet
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits (Kshs Bn) 28% 24% 32% 220 302 395 203 345 177 161 222 229 295 308 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023 ü Net loans and advances up by 24% year on year as we continue Key Ratios
Slide 16: Tanzania subsidiary income statement performance
Total Operating Income (Kshs Bn) Profit before Provisions (Kshs Bn) 0.8 Q3 Q3 2.2 51% 102% Key Ratios 2023 FY 2022 2022 Q3 2021 40% Cost to 26% 1.5 1.2 0.4 income ratio 66% 73% 75% 77% 0.3 Cost of Risk* 0.8% 6.5% 0.9% 0.3% ROE* 4.5% -11% 5.0% 5.0% ROA* 0.7% -1.7% 1.0% 1.0% Q3 2021 Q3 2022 Q3 2023 Q3
Slide 17: Tanzania subsidiary balance sheet
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits(Kshs Bn) 22% 19% 24% 22.9 30.0 39.3 19.2 19.6 17.2 24.2 23.3 32.2 31.0 19.4 27.0 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 ü Net Loans and Advances up 19% year on year driven
Slide 18: Rwanda subsidiary income statement performance
Total Operating Income (Kshs Bn) Profit before Provisions (Kshs Bn) 1.4 2% 18% 4.0 35% 1.4 Q3 FY Q3 28% 3.4 Key Ratios 2023 2022 2022 Q3 2021 1.1 2.7 Cost to income ratio 65% 60% 57% 60% Cost of Risk* 0.6% 1.4% 2.0% 1.0% ROE* 12.9% 13.9% 14.0% 13.0% Q3 2021 Q3 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023 RO
Slide 19: Rwanda subsidiary balance sheet
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits (Kshs Bn) 19% 20% 32% 33 44 68 28 27 57 56 24 34 34 47 29 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 ü Net loans and advances driven by strong demand within SME and Corporate
Slide 20: Uganda subsidiary income statement performance
Total Operating Income (Kshs Bn) Profit before Provisions (Kshs Bn) 1.9 114% 52% 0.3 222% Key Ratios Q3 2023 FY 2022 Q3 2022 Q3 2021 1.3 Cost to income ratio 82% 90% 92% 108% 0.6 402% 0.1 Cost of Risk* 1.1% -7% 2.2% 0.4% ROE* 3.4% 7.3% -4.0% -38% Q3 2021 Q3 2022 Q3 2023 0.0 ROA* 0.7% 1.2% -0.5% -4.0
Slide 21: Uganda subsidiary balance sheet
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits (Kshs Bn) 30% 13% 42% 10.9 26 35 22 21 27 26 7.9 19 23 7.0 5.8 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 ü Net loans and advances and deposits have shown strong improvement f
Slide 22: Mauritius subsidiary income statement performance
Total Operating Income (Kshs Bn) Operating Profit (Kshs Bn) 4.0 1.7 Q3 FY Q3 Q3 54% 125% Key Ratios 2023 2022 2022 2021 -5% 2.7 2.6 0.9 -21% Cost to income 0.7 ratio 64% 67% 71% 66% Cost of Risk 3.0% -0.2% 0.1% 0.5% ROE* 17% 14% 10% 13% Q3 2021 Q3 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023 ROA* 1.3% 2.5%
Slide 23: Mauritius subsidiary balance sheet
Total Assets (Kshs Bn) Net Loans & Advances (Kshs Bn) Customer Deposits (Kshs Bn) 45% 49% 34% 169 144 81 131 107 116 117 95 95 57 57 53 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 Q3 2021 Q3 2022 FY 2022 Q3 2023 ü Balance sheet growth driven by the execution of the Sub-Saharan Q3
Slide 24: Group Outlook
GROUP OUTLOOK Classification: Public
Slide 25: Group outlook: multilateral support and strategic focus
ü Positive news from recent announcements from multilateral institutions – extended IMF support for Kenya, Tanzania and Rwanda; World Bank support for Kenya; - Should aid the tightened conditions and boost growth into 2024; ü Boost to the economies, especially Kenya, should lead to improved performa
Slide 26: Disclaimer
The contents herein have been presented in good faith. The information, statements and opinions set out in this presentation and subsequent discussion do not constitute a public offer for the purposes of any applicable law or an offer to sell or solicitation of any offer to purchase any securities o
Slide 27: Thank You
THANK YOU Merci Webale Murakoze Asante I&M GROUP PLC 1 PARK AVENUE 1ST PARKLANDS P.O. BOX 30238 – 00100 TEL: +254 (0)20 3221000 Investor-Relations@imgroup-plc.com INTEGRITY TRUST RESPECT INNOVATION COURAGE Classification: Public