Absa Bank Kenya Plc · NSEKE:ABSA
Absa Bank Kenya — FY2024 Earnings Presentation
31 slides from Absa Bank Kenya's earnings presentation, 2025
Slide 1: FY 2024 Results
f_N {absa) Nee” Absa Bank Kenya re FY 2024 Results
Slide 2: FY 2024 Investor Briefing
FY 2024 Investor Briefing Business Financial Strategic Guidance Overview Performance Outlook
Slide 3: Business
Your story matters Business Chief Executive Officer
Slide 4: Operating environment: 2024 was a persistently complex operating environment
FY 2024 Investor Briefing Operating environment: 2024 was a persistently complex operating environment with addressable risks and opportunities In Summary 5.5% 5.6% 5.6% 5.5% 5.2% 4.7% 5.0% 5.1% 16.0% 16.5% Tailwinds 4.3% 3.2% 4.1% 11.5% - Resilient GDP growth 2.9% 9.1% 8.9% - Anchored inflation - S
Slide 5: Our Global and Regional Footprint
FY 2024 Investor Briefing Our Global and Regional Footprint: We are part of a leading Pan African financial institution with global reach 1,010 110,071 +40k 86 10,548 +2,000 9,502 12 USD 92 billion 263 3,131 KES 506 billion
Slide 6: We remain committed to our purpose
FY 2024 Investor Briefing We remain committed to our purpose “Empowering Africa’s tomorrow, together… one story at a time”: We are enabling customer aspirations while supporting them to navigate a tough operating environment
Slide 7: Our 2023-2027 Strategy Overview
FY 2024 Investor Briefing Our 2023-2027 Strategy Overview: We are in the third year of our five-year strategic cycle focused on cementing our position as a diversified franchise with market-leading growth and the primary partner for our customers Strategic Key focus areas of our strategy …on es to 1
Slide 8: Strategy Execution
FY 2024 Investor Briefing Strategy Execution: We are accelerating our execution on our strategic ambition with notable milestones achieved A modern-day Consumer Financial A market leader in business banking A powerhouse Corporate and business Investment Banking growth in and of our CIB customers are
Slide 9: Digital Transformation
FY 2024 Investor Briefing Digital Transformation: We have achieved significant increase in usage of our digital solutions by our customers 87% 94% 25 Growth in 21 Growth in digital Timiza channels Disbursement 2023 2024 2021 2024 Primacy on our Timiza Growth in Digital Savings in Growth in digital d
Slide 10: Innovation
FY 2024 Investor Briefing Innovation: We are a market-leader in delivering innovate, cutting-edge solutions for our customers Agency banking network Short term lending LaRiba unsecured E-citizen payment gateway WorldRemit partnership Micro-insurance for SME Infinite Card Absa access online There are
Slide 11: Absa Kenya Foundation
FY 2024 Investor Briefing Absa Kenya Foundation: We launched our foundation; a critical enabler of fulfilling our intentions of becoming a force for good in the society Absa Foundation Focus Areas Entrepreneurship Education and Skills Natural Resource Management Health and Humanitarian
Slide 12: Our ESG agenda
FY 2024 Investor Briefing Our ESG agenda: We are accelerating growth of our sustainable finance portfolio, while investing in strategic community initiatives (In KES unless stated otherwise) 47bn 11k 263k 25bn 67 100k 9.6bn 500+ 189
Slide 13: Our Brand Positioning
FY 2024 Investor Briefing Our Brand Positioning: We have made significant progress in bringing our new brand promise “Your Story Matters” to life, further growing our brand equity Open (DP World Tour) Absa Magical Kenya 20% No. 1 No. 1 Banking Absa Sirikwa Classic on Women Awards World Cross Issued
Slide 14: For our colleagues: We are building a home of talent and diversity
FY 2024 Investor Briefing For our colleagues: We are building a home of talent and diversity Top 49% Bank wide 51% Employer Male: Female 108 53% Leadership 47% 95 Male: Female 279
Slide 15: In conclusion: We are making positive progress in execution of our strategy
FY 2024 Investor Briefing In conclusion: We are making positive progress in execution of our strategy We have made significant progress in executing our strategy with strong financial and non-financial results - 14% revenue growth …o We have recorded impressive growth in our customer numbers across
Slide 16: Financial
Your story matters Financial Chief Financial Officer
Slide 17: Resilient balance sheet
FY 2024 Investor Briefing Resilient balance sheet: Our balance sheet remains resilient in a tough macro economic environment Loans and Advances Deposits (In KES bn unless stated otherwise) Constant Currency Prevailing Rates Constant Currency Prevailing Rates 7% 1% 0% -8% 36% 36% 34% 28% 37% 31% 31%
Slide 18: Significant momentum in revenue
FY 2024 Investor Briefing Significant momentum in revenue: Double digit revenue growth of 14% supported by a diversified business NII and NFI (In KES bn unless stated otherwise) 14% C Markets on su ank me Wholesale B r 16.1 Corporate NFI 14.5 Bank Consumer 46.2 40.0 NII Business Bank FY 2023 FY 2024
Slide 19: Sustained improvement in efficiency
FY 2024 Investor Briefing Sustained improvement in efficiency: Strategic investments for future growth driving costs, however we are sustaining efficiency levels with positive JAWs growth from inflation and investments Improved (In KES mn unless stated otherwise) 9% 23,507 21,650 Staff Cost 13,018 1
Slide 20: Portfolio quality
FY 2024 Investor Briefing Portfolio quality: Sustaining quality while maintaining a robust balance sheet in a tough operating environment relative to growth (In KES bn unless stated otherwise) 284 336 -8% 309 234 209 2.6% 195 -2% 1.1 9.0 9.2 (0.5) 9.1 (0.8) FY 2023 FY 2024 6.5 2.9% 4.7 2.7% 4.2 4.3%
Slide 21: Accelerated top-line driven profitability and resilient balance sheet momentum
FY 2024 Investor Briefing Accelerated top-line driven profitability and resilient balance sheet momentum P&L Indicators FY 2023 FY 2024 YoY Income 54.5 62.3 14% Net Interest Income 40.0 46.2 15% Non Funded Income 14.5 16.1 11% Operating Costs (21.6) (23.5) 9% Impairment (9.2) (9.1) (2%) Profit Befor
Slide 22: Cost-income-ratio showing marked improvement
FY 2024 Investor Briefing Cost-income-ratio showing marked improvement with profitability supporting better Return- on-Equity Indicators FY 2023 FY 2024 Commentary Cost to Income Ratio 39.7% 37.7% Improved efficiency Loan Loss Rate 2.7% 2.9% Impacted by current macro-economic environment Loan Deposi
Slide 23: Strong capital and liquidity ratios
FY 2024 Investor Briefing Strong capital and liquidity ratios: Providing capacity to support growth ambition and capital distribution Ratio Ratio Ratio 42.5% 20.7% 31.1% 18.1% 17.0% 13.6% Regulatory minimum Regulatory Regulatory minimum minimum 2023 2024 2023 2024 2023 2024
Slide 24: Guidance
Your story matters Guidance Chief Financial Officer
Slide 25: Guidance: Our strategy supports a positive medium-term guidance
FY 2024 Investor Briefing Guidance: Our strategy supports a positive medium-term guidance Principal Financial Metrics …Medium Term Target Accelerated Growth Sustainable growth in balance sheet Increased Efficiency Cost-To-Income Ratio of low 40%’s Sustainable Shareholder Returns Return on Equity abo
Slide 26: Recap
Your story matters Recap Chief Executive Officer
Slide 27: Recap: The strategic roadmap ahead and the bank we are building
FY 2024 Investor Briefing Recap: The strategic roadmap ahead and the bank we are building On consumer banking: Profit After Income …o ne Tax st 62.3bn 20.9bn or y On business banking: +14% at +28% atim e On Corporate and Investment Bank: Customer Customer Assets Liabilities 309bn 367bn On a digitall
Slide 28: For our shareholders: Our consistent stock performance
For our shareholders: Our consistent stock performance has enabled us to deliver incremental returns for shareholders over cycles 2x We have delivered robust share price returns and achieved top quartile ROE performance in the industry, reflecting our resilient business model and steadfast commitmen
Slide 29: For our shareholders: Final dividend proposed
For our shareholders: The board has proposed the payment of a final dividend of 1.55, bringing the total to KES 1.75, 13% increase from last year 13% The Board of Directors has proposed 15% 23% the payment of final dividend for the year 2024 of KES 1.55 per ordinary Total Dividend share of the Compa
Slide 30: Forward-looking statements
FY 2024 Investor Briefing Forward-looking statements Certain statements in this document are forward looking that relate to, among other things, the plans, objectives, goals, strategies, future operations and performance of Absa Bank Kenya PLC . Words such as “anticipates”, “estimates”, “expects”, “
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