Lion Finance Group Plc · LSE:BGEO
Lion Finance — Q3 2024 Earnings Presentation
31 slides from Lion Finance's earnings presentation, Nov 20, 2025
Slide 1: Results Call Presentation: 3Q24 & 9M24 Performance
RESULTS CALL PRESENTATION 12 November 2024 3Q24 & 9M24 Performance www.bankofgeorgiagroup.com
Slide 2: Disclaimer: forward-looking statements
Disclaimer: forward-looking statements This presentation contains forward-looking statements, including, but not limited to, statements concerning expectations, projections, objectives, targets, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs,
Slide 3: The Group hit record profit in 3Q24, driven by robust performance across core business divisions
The Group hit record profit in 3Q24, driven by robust performance across core business divisions Profit ROAE Cost to income Cost of credit risk Group (consolidated) GEL 509.3m 32.1% 34.8% 0.2% +42.5% y-o-y Georgian Financial Services (GFS) JSC Bank of Georgia Operating income GEL 683.6m Market share
Slide 4: Global Finance 2024 awards featured many prominent global banks
The Global Finance 2024 awards featured 167 participants, among them many prominent global banks and regional winners including Citi, Santander, and DBS 4
Slide 5: Contents
Contents MACROECONOMIC HIGHLIGHTS GROUP OVERVIEW AND STRATEGY 3Q24 AND 9M24 RESULTS 5
Slide 6: Georgian and Armenian economies maintain strong growth momentum
Georgian and Armenian economies maintain strong growth momentum, with ample room for expansion Real GDP growth, year-on-year Nominal GDP per capita, US$ ‘000 Armenia Georgia Regional average* Armenia Georgia Central and Eastern Europe 15% 17.0 16.2 14.8 10% 9.0% 14.0 8.3% 12.4 7.5% 12.0 6.0% 5% 6.0%
Slide 7: Resilient external sector inflows support growth and local currency stability
Resilient external sector inflows support growth and local currency stability in Georgia and Armenia Main sources of external sector inflows in Main sources of external sector inflows in Georgia, US$ bn Armenia, US$ bn Export of goods Tourism revenues Money transfers Export of goods Tourism-related
Slide 8: Service exports continue to expand, boosting productivity
Service exports continue to expand, boosting productivity and providing a resilient source of hard currency inflows Export of services from Georgia, US$ bn. Export of services from Armenia, US$ bn. Travel Transport IT Other % of GDP Travel Transport IT Other % of GDP 26.1% 25.5% 22.8% 23.1% 22.7% 22
Slide 9: GEL and AMD supported by sustained FX inflows and prudent macroeconomic management
GEL and AMD are supported by sustained FX inflows, prudent macroeconomic management and strong economic growth outlooks Currency movements vs. US$, GEL and AMD real effective exchange 12/31/2023 – 11/8/2024 rates, Jan-2014 = 100 GEL AMD 240 220 220.3 4.3% 1.9% 0.9% 0.0% 200 -1.3% -2.6% -3.9% -8.2% -
Slide 10: Inflation remains low, allowing central banks to continue monetary policy easing
Both in Georgia and Armenia, inflation remains low, allowing the central banks to continue monetary policy easing Inflation and monetary policy in Georgia Inflation and monetary policy in Armenia Monetary policy rate CPI inflation, year-on-year Monetary policy rate CPI inflation, year-on-year Inflat
Slide 11: Solid international reserves and fiscal discipline underpin economic resilience
Solid international reserves and demonstrated fiscal discipline underpinning the resilience of the Georgian and Armenian economies International reserves in Georgia International reserves in Armenia (end of period, US$ bn) (end of period, US$ bn) Net international reserves Gross international reserv
Slide 12: Georgian and Armenian banking sectors: robust growth, declining dollarisation, sound balance sheets
The Georgian and Armenian banking sectors are distinguished by robust growth, declining dollarisation and sound balance sheets Bank lending growth on a constant Total bank loan dollarisation Non-performing bank loans to total gross currency basis, y-o-y loans, end-June 2024 or latest available Lithu
Slide 13: Contents
Contents MACROECONOMIC HIGHLIGHTS GROUP OVERVIEW AND STRATEGY 3Q24 AND 9M24 RESULTS 13
Slide 14: What we focus on
What we focus on Our strategic priorities The main bank Excellent customer experience Profitable growth Being the main bank in Anticipating customer needs Growing the balance sheet customers’ daily lives by and wants and providing profitably and focusing on areas leveraging the digital and relevant
Slide 15: Our customers have become more digital and engaged
Our customers have become more digital and engaged Figures given for JSC Bank of Georgia standalone Monthly active customers (individuals) Monthly active customers (businesses) thousands thousands +12.0% y-o-y 110 +19.7% 1,898 1,948 105 1,809 1,836 y-o-y 1,739 100 98 1,469 1,521 +20.4% 92 1,357 1,40
Slide 16: Focusing on increasing product sales in retail digital channels
Focusing on increasing product sales in retail digital channels Figures given for JSC Bank of Georgia standalone Share of products sold digitally (Retail) Digital sales in loans (Retail) Gamification campaign effect 82% 70% 57% 57% 58% Loan digital sales | 2Q24 +11 ppts YoY 47% Non-branch transactio
Slide 17: Payments business – our daily touchpoint with customers
Payments business – our daily touchpoint with customers Figures given for JSC Bank of Georgia standalone Acquiring - volume of payment transactions Issuing – payment MAU GEL millions thousands +31.2% +18.5% +13.3% +2.9% 1,376 5,312 1,337 4,687 4,455 1,283 4,047 4,002 2,009 1,249 1,648 1,782 1,383 1,
Slide 18: Strong NPS following last quarter's record high
Strong NPS following last quarter’s record high Figures given for JSC Bank of Georgia standalone NPS* 71 67 Engaging with customers proactively and responding in real 61 61 60 59 59 time 58 58 55 54 Anticipating customer needs, wants, and future behavior 52 49 46 47 Harnessing strong human relations
Slide 19: Digitalisation momentum at Ameriabank underpins huge upside potential
Digitalisation momentum at Ameriabank underpins huge upside potential Monthly active customers (individuals) Digital engagement of active customers thousands 312 +13.5% 292 296 300 60% y-o-y 57% 275 54% 51% 49% 188 +39.0% 173 43% 160 y-o-y 41% 42% 41% 150 39% 135 72 78 64 66 +46.3% 53 y-o-y Sep-23 D
Slide 20: Contents
Contents MACROECONOMIC HIGHLIGHTS GROUP OVERVIEW AND STRATEGY 3Q24 AND 9M24 RESULTS 20
Slide 21: Strong y-o-y growth enhanced by the consolidation of Ameriabank
Strong y-o-y growth enhanced by the consolidation of Ameriabank All currency data are in GEL m unless otherwise stated Operating income* Net interest income +45.9% +35.1% +52.6% +42.9% -1.2% +3.7% 2,531 1,697 101 43 1,188 327 457 40 1,873 618 641 79 420 428 438 13 1,327 15 1,148 165 162 15 15 15 405
Slide 22: Robust y-o-y Group performance in net non-interest income
Robust y-o-y Group performance in net non-interest income All currency data are in GEL m unless otherwise stated Net fee & commission income Net foreign currency gain +12.7% +22.5% +56.5% +47.3% -11.0% +0.7% 393 395 4 50 39 320 6 77 268 32 151 339 152 153 1 134 315 119 114 108 2 14 16 279 29 98 2 1
Slide 23: Investing in growth, while maintaining the focus on efficiency
Investing in growth, while maintaining the focus on efficiency All currency data are in GEL m unless otherwise stated Operating expenses Cost to income ratio* +76.2% +61.2% -3.4% 852 62 234 52.7% 48.9% 51.2% 529 60 35.6% 34.3% 34.8% 33.7% 338 326 28.8% 29.2% 28.2% 21 21 32.7% 225 556 28.9% 28.7% 185
Slide 24: Strong loan and deposit growth dynamics in core geographies
Strong loan and deposit growth dynamics in core geographies All currency data are in GEL m unless otherwise stated Loan portfolio Deposit portfolio +63.4% +46.6% +3.2% +3.8% 31,872 30,706 30,082 31,059 28,331 938 1,196 27,699 708 659 1,064 6,854 +2.9% 706 +6.1% 6,851 q-o-q 7,714 7,956 21,744 6,523 q
Slide 25: Net interest margin broadly stable
Net interest margin broadly stable Net interest margin (Group)* Loan yield, cost of funds, cost of deposits (Group)* 12.6% 12.4% 12.4% 12.4% 12.6% 12.5% 12.2% 6.6% 6.3% 6.4% 6.3% 6.5% 6.4% 6.2% 4.9% 5.0% 4.8% 4.8% 4.7% 4.9% 4.7% 4.2% 4.2% 4.2% 4.0% 4.0% 4.0% 4.1% 3Q23 4Q23 1Q24 2Q24 3Q24 9M23 9M24 3
Slide 26: Enhanced asset quality through strong performance across all business divisions
Enhanced asset quality through strong performance across all business divisions All currency data are in GEL m unless otherwise stated Cost of credit risk ratio (Group)* Loan portfolio quality (Group) 1.1% NPL coverage*** 0.8% 69.1% 69.2% 72.3% 63.7% 71.4% 0.6% 0.6% NPL coverage adjusted for the dis
Slide 27: Strong bottom-line growth and profitability
Strong bottom-line growth and profitability All currency data are in GEL m unless otherwise stated Profit (Group)* ROAE (Group)* +42.5% +25.1% +18.4% 32.1% 30.7% 31.3% 31.1% 31.2% 1,308 24 26.7% 27.7% 122 30.1% 1,046 28.0% 19 3Q23 4Q23 1Q24 2Q24 3Q24 9M23 9M24 ROAE adjusted for Ameriabank initial EC
Slide 28: Strong capital positions of key operating banks (Sep-24)
Strong capital positions of key operating banks (Sep-24) 23.3% 20.8% 3.2% 3.6% 17.4% 17.2% 0.9% 15.0% 15.0% 2.2% 1.2% 3.3% 20.1% 17.2% 16.5% 15.0% 13.8% 11.7% CET1 Tier1 Total CET1 Tier1 Total Min. requirement Buffer above min. requirement Min. requirement Buffer above min. requirement 28
Slide 29: Strong liquidity positions, well above the 100% minimum requirements
Strong liquidity positions, well above the 100% minimum requirements NBG Liquidity NBG Net stable CBA Liquidity CBA Net stable coverage ratio funding ratio coverage ratio funding ratio 126.3% 124.9% 210.3% 122.6% 30 September 2024 30 September 2024 30 September 2024 30 September 2024 29
Slide 30: Creating long-term shareholder value
Creating long-term shareholder value Capital distribution Total shares outstanding GEL millions millions Target: 30-50% dividend and buyback payout ratio PAYOUT 36% 33% 34% 32% 30% 30% 35% 37% 37% RATIO*: 49.2 535 522 47.5 188 162 45.8 257 220 44.6 73 196 102 122 124 347 360 62 73 80 98 No dividend
Slide 31: Thank you
THANK YOU 31