Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — FY2023 Earnings Presentation
14 slides from Union Bank Of Colombo's earnings presentation, December 2023
Slide 1: Investor Presentation
Investor Presentation December 2023 1 Classification: Internal
Slide 2: Vision
Vision Vision: “Our Vision is to be the innovator of Banking Solutions to the wider Corporate, SME and Retail Segments and to be their Bank of choice, through professional and empowered people”. Mission: ▪ To our customers we provide the means of economic upliftment through customized banking and fi
Slide 3: Union Bank posts steadfast performance in FY 2023
Union Bank posts steadfast performance in FY 2023 Bank Inc/Dec Income Statement (Rs.Mn) FY 2023 FY 2022 (%) Gross Income 22,411 18,966 18% Net Interest Income 6,290 5,814 8% Net Fee & Commission Income 1,200 1,143 5% Net Trading & Other Operating Income 608 793 -23% Total Operating Income 8,098 7,75
Slide 4: Net Interest Income increased by 8.2% YoY
Net Interest Income increased by 8.2% YoY Net Interest Income ( Rs Mn) Gross Fees & Commission ( Rs Mn) 6,290 1,587 5,814 1,445 4,479 4,257 1,069 1,054 3,870 873 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Net Interest Income (NII) increased by 8.2 % YoY Net fee income increased by 5.0% YoY •
Slide 5: Net trading and other income stood at Rs. 608Mn
Net trading and other income stood at Rs. 608Mn Net Trading & Other Income (Rs.Mn) Operating Expenses (Rs.Mn) 1,318 5,120 4,269 778 793 3,830 3,772 3,680 686 608 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 • Net trading and other income stood at Rs. 608Mn in • Despite prudent cost management i
Slide 6: Operating Margin
Operating Margin Operating Margin (Rs.Mn) Operating Income 4000 (Rs.Mn) 3500 8,098 CAGR 3000 15% 2500 2000 2,293 1500 1000 500 2014 2023 0 2019 2020 2021 2022 2023 Operating Expenses (Rs.Mn) • Total operating income before impairments increased 5,120 by 4.5% to Rs. 8,098 Mn CAGR 13% • Total operatin
Slide 7: Impairment Provision decreased by 35.7% YoY
Impairment Provision decreased by 35.7% YoY Impairment and Credit Quality (Rs.Mn) 2,556 1,643 933 736 390 2019 2020 2021 2022 2023 Impairment Charge decreased by 35.7% YoY • The easing of economic hardship due to lower inflation and foreign exchange liquidity helped to create economic activities in
Slide 8: Balance Sheet - Bank
Balance Sheet - Bank Bank Growth Balance Sheet (Rs.Mn) Dec 2023 Dec 2022 Net Loans (Rs.Mn) (%) Treasury Assets 64,216 44,875 43% Loans & Advances 62,208 67,727 -8% CAGR Cash & Balances with CB 3,666 8,002 -54% 10% 62,208 Other Assets 8,998 8,880 1% Total Assets 139,088 129,483 7% Borrowings 25,431 1
Slide 9: Strong CASA and Deposits
Strong CASA and Deposits Loans & Advances (Rs.Mn) Deposit Base (Rs.Mn.) 92,592 87,985 77,358 82,384 83,416 76,532 67,518 67,835 67,727 62,208 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 CASA (Rs.Mn) • The Current Account and Saving Accounts (CASA) mix increased to 27% by the end of 2023 from 2
Slide 10: Strong Total Capital Adequacy ratio of 18.22%
Strong Total Capital Adequacy ratio of 18.22% • Capital Adequacy Ratio - The Bank continued to maintain high capital adequacy ratios. - The Tier I Capital Adequacy Ratio as at 31st December 2023 was 17.23% - well above the minimum statutory requirement of 8.5% - The total capital ratio as at end 31s
Slide 11: Income Statement - Group
Income Statement - Group Inc/Dec Income Statement (Rs.Mn) FY 2023 FY 2022 (%) Gross Income 24,893 21,092 18.0% Net Interest Income 7,174 6,762 6.1% Net Fee & Commission Income 1,289 1,214 6.2% Net Trading & Other Operating Income 715 870 -17.8% Total Operating Income 9,178 8,845 3.8% Impairment Char
Slide 12: Balance Sheet - Group
Balance Sheet - Group Growth Balance Sheet (Rs.Mn) Dec 2023 Dec 2022 (%) Treasury Assets 66,800 45,371 47.2% Loans & Advances 69,559 76,103 -8.6% Cash & Balances with CB 3,815 8,187 -53.4% Other Assets 7,159 7,018 2.0% Total Assets 147,332 136,679 7.8% Borrowings 25,431 12,783 98.9% Customer Deposit
Slide 13: Key Performance Indicators
Key Performance Indicators BANK GROUP Item 31 Dec 2023 31 Dec 2022 31 Dec 2023 31 Dec 2022 Regulatory Capital - LKR '000 Common Equity Tier 1 (Basel III) 14,543,446 14,270,811 16,573,032 16,310,515 Tier 1 Capital / Core Capital (Basel III) 14,543,446 14,270,811 16,573,032 16,310,515 Total Capital /
Slide 14: Corporate Information
Corporate Information Board of Directors Legal Form Name Title A Public Limited Liability Company incorporated in Nirvana Chaudhary Chairman - Non Independent/Non-Executive Director Sri Lanka under the Companies Act No. 17 of 1982. Trevine Fernandopulle Deputy Chairman/Senior Independent Director (I