Arab Banking Corporation B S C · BAHRAIN:ABC
Arab Banking Corporation B S C — FY2022 Earnings Presentation
13 slides from Arab Banking Corporation B S C's earnings presentation, Feb 19, 2023
Slide 1: Q4 / FY 2022 Results Presentation
Q4 / FY 2022 Results Presentation 1
Slide 2: 2022 Performance at a Glance
2022 Performance at a Glance Revenues Crossed the Net profit US$ 154 million Healthy Balance Sheet Continuing to achieve historic $1bn mark +54% YoY major delivery milestones T1 Ratio 15.7%, NSFR 124% in building our Bank of the +29% YoY RoE 3.8%, ~ +1% YoY Future Strong momentum backed Net Operatin
Slide 3: Consistent Strategic Direction: Digital Transformation and our Acquisition in Egypt
Consistent Strategic Direction: Emphasizes Digital Transformation and our Acquisition in Egypt Strategic Intent MENA’s leading international Bank Values Client centric Collaborative Consistent Build our Digital Bank of the Refocus our Wholesale Integrate BBE to deepen Strengthen our Future Banking T
Slide 4: Bank ABC Keeps leading innovation in MENA
Bank ABC Keeps leading innovation in MENA Best Consumer Digital Bank Best User Experience (UX) Design Best Mobile Banking App Best in Social Media Marketing & Services Most Innovative Digital Bank Leading Digital Bank –Middle East Region Superior app design and user Leading Digital Bank – Consumer C
Slide 5: Net Profit surges to $154m, a growth of 55% YoY
Net Profit surges to $154m, a growth of 55% YoY +29% Total Operating Income, $m 1,101m 854m ∕ Exceeded $1billion mark for the first time in history of the Bank. ∕ A 29% headline growth* with solid performance across our markets and business lines, full year consolidation of BBE and benefitting from
Slide 6: Strong Revenue Growth Across the Franchise
Strong Revenue Growth Across the Franchise ∕ TOI crossing the $1b mark for the first time was TOI by business (FY22), $m 29% higher than 2021, reflecting strong growth across our markets and business lines, 7.9% and benefiting from the consolidation of BBE 8.5% 36.9% ABC Brasil ∕ Client and transact
Slide 7: Cost to Income ratio on improvement trajectory
Cost to Income ratio on improvement trajectory Operating Expenses and Cost to Income Ratio ∕ +21% increase in costs YoY +21% ∕ “positive jaws” with revenues growing faster than costs 690 ∕ Reflects strong core business growth and full year consolidation of BBE (+14% on equalised basis) 569 210 Other
Slide 8: Healthy Capital Ratios, well above Regulatory minimum
Healthy Capital Ratios, well above Regulatory minimum Overview CET1 and Tier 1 Ratios, % 15.9% 15.7% ⁄ CET 1 Ratio (14.0%) comprises the majority of Tier 1 Ratio 10.5% ⁄ Total CAR of 16.8% as at YE 2022 ⁄ Capital base remains strong ⁄ RWA stood at $27.5bn as of YE 2022, growing by 8% YoY Dec-21 Dec-
Slide 9: Well Diversified and Liquid Balance Sheet
Well Diversified and Liquid Balance Sheet December 2022 Assets by Instrument, $bn ⁄ Total assets in 2022 at $36.7 billion grew by 5% YoY 34.9 36.6 ⁄ More than half the Assets are maturing within 1-year 2.5 3.3 Other 6.4 6.5 Liquid Funds(2) ⁄ Loans comprised 50% of the Total assets and grew 9.3 8.7 Ma
Slide 10: In Summary …
In Summary … ∕ 2022 net profit of $154m, a surge of 54%, marks a solid and profitable year. ∕ The Group’s total operating income crossed the US$1 billion mark during 2022 for the first time in the Bank’s history, with 29% headline growth (+19% equalising BBE). ∕ Operating expenses were at $690 milli
Slide 11: Appendix: Normalised Financials
Appendix: Normalised Financials US$ millions 2018 2019 2020 2021 2022 Interest Income 559 564 516 592 786 Non-Interest Income* 309 311 233 277 314 Total Operating Income (TOI)* 868 875 749 869 1,100 Profit Total Operating Expenses Operating Profit -474 394 -524 351 -486 263 -569 300 -690 410 or Loss
Slide 12: Contact us
Contact us For more information, Bank ABC Head Office contact us on P.O. Box 5698, Manama Kingdom of Bahrain InvestorRelations@bank-abc.com www.bank-abc.com 12
Slide 13: 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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