Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — H1 2016 Earnings Presentation
19 slides from Union Bank Of Colombo's earnings presentation, 2016
Slide 1: Investor Presentation First Half 2016
Investor Presentation First Half 2016 00000000000000000000000000000 00000000000000000000000000000 000 1
Slide 2: Vision
Vision We are geared to deliver a bold new world 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 2
Slide 3: Mission
Mission To our customers we provide the means of economic upliftment through customized banking and financial services. To our shareholders we provide a return on their investment above industry norm. To our staff we are a learning and innovative organization providing opportunities for faster caree
Slide 4: Key Company Milestones
Key Company Milestones 1995-2000 2001-2010 2011-2013 2014-2016 Established as the 8th Restructuring of the bank Listed in the CSE, TPG through its affiliate indigenous Commercial through a Sampath Bank Highest oversubscribed Culture Finance Holding Bank led consortium IPO strikes landmark deal with
Slide 5: 2016 Key Milestones
2016 Key Milestones Re-launched the Children Savings BBB (Stable) rating from ICRA proposition (Kidz Saver Account) Introduction of Transaction Personal Loan portfolio crossed Banking the LKR 2,000Mn mark 64 Branches,109 ATMs of which Recognition at Global Excellence 45 are Offsite ATMs and awards 2
Slide 6: Financial Overview - Bank
Financial Overview - Bank “The Bank’s strong half year performance affirms the steady progression of Union Bank towards its strategic positioning as a fully-fledged commercial bank. The Bank has recorded an impressive operating income growth along with notable growth across Corporate, SME and Retail
Slide 7: Snapshot Half Year
Snapshot Half Year Group • Net Profit grows 233% Year on Year (YoY) to Rs.275Mn • Operating Income grows 31% YoY to Rs.2,120Mn • Total Assets increased 16% YTD to Rs.88,946Mn Bank • Net Profit grows 156% YoY to Rs.154Mn • Operating Income grows by 23% YoY to Rs.1,655Mn • NPL ratio reduced to 2% refl
Slide 8: Financial Performance (Quarter) – Bank
Financial Performance (Quarter) – Bank LKR Mn 2Q 16 2Q 15 Growth Net Interest Income 535 511 23 4.6% Net Fee and commission income 59 30 30 99.6% Net Trading and other operating income 295 147 148 100.9% Total Operating income 889 688 201 29.2% Operating Cost 760 563 (198) (35.1%) Impairment Charges
Slide 9: Financial Performance (Half Year) – Bank
Financial Performance (Half Year) – Bank LKR Mn 1H 16 1H 15 Growth Net Interest Income 978 1,039 (61) (5.9%) Net Fee and commission income 121 55 66 120.7% Net Trading and other operating income 556 256 300 116.9% Total Operating income 1,655 1,350 305 22.6% Operating Cost 1,433 1,109 (324) (29.2%)
Slide 10: Revenue Generation (Quarterly) – Bank
Revenue Generation (Quarterly) – Bank Net Interest Income Net Fees and Commission LKR Mn LKR Mn 66 535 62 528 60 59 511 498 484 444 30 25 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 Other Non-Interest Income LKR Mn 295 261 223 147 158 109 Significant increase in NII and O
Slide 11: Statement of financial position – Bank
Statement of financial position – Bank LKR Mn Jun 16 Dec 15 Growth Total Assets (LKR Mn) Treasury Assets 25,530 24,490 1,039 4.2% Loans & Advances 48,513 40,095 8,418 21.0% Non Earning assets 3,762 3,609 154 4.3% Dec 15 Jun 16 Cash & Balance with CB 4,496 2,811 1,685 59.9% Total Assets 82,302 71,005
Slide 12: Composition of the Balance Sheet
Composition of the Balance Sheet Assets Composition Segmental dispersion of Loans 9% Loans – 58.9% 40% 51% Assets Treasury Assets – 31.0% Corporate SME Retail Funding Composition Product composition of Deposits 7% 16% Deposits – 55.7% Funding 77% Treasury Borrowings – 21.5% CA SA FD 12
Slide 13: Loan Growth & Capital Adequacy
Loan Growth & Capital Adequacy Loans and Receivables Net NPL LKR Mn 7.8% 7.4% 48,513 43,259 40,095 4.5% 25,945 23,462 20,024 3.0% 16,902 2.7% 2.3% 2.0% 2011 2012 2013 2014 2015 1Q 16 2Q 16 2011 2012 2013 2014 2015 1Q 16 2Q 16 Capital Adequacy 45% 40% 35% 30% 25% 20% 15% 10% 5% Significant progress i
Slide 14: Deposit Growth & CASA
Deposit Growth & CASA Customer Deposits LKR MN 45,803 42,598 37,653 28,340 27,809 23,642 19,345 2011 2012 2013 2014 2015 1Q16 2Q16 CASA LKR Mn 11,000 30% 10,000 25% 9,000 20% 8,000 15% 7,000 10% 6,000 5,000 5% CASA grows by 17.1% to Rs.10,583Mn 4,000 0% YTD. 1 2 3 4 5 6 7 CASA CASA Ratio 14
Slide 15: Key Indicators - Bank
Key Indicators - Bank Performance Indicators Jun 16 Dec 15 Return on Equity 1.8% 1.1% Return on Assets 0.4% 0.3% Net Interest Margin 2.6% 3.4% Gross - Non Performing Loans 2.9% 3.6% Net - Non Performing Loans 2.0% 2.7% Core Capital Adequacy Ratio 23.2% 24.4% Total Capital Adequacy 22.8% 24.0% 15
Slide 16: Financial Performance (Quarter) – Group
Financial Performance (Quarter) – Group LKR Mn 2Q 16 2Q 15 Growth Net Interest Income 658 615 43 7.0% Net Fee and commission income 100 68 32 47.0% Net Trading and other operating income 344 133 211 158.4% Total Operating income 1,102 816 286 35.0% Operating Cost 873 662 (211) (31.9%) Impairment Cha
Slide 17: Financial Performance (Half Year) – Group
Financial Performance (Half Year) – Group LKR Mn 1H 16 1H 15 Growth Net Interest Income 1,229 1,230 (1) (0.0%) Net Fee and commission income 205 131 75 57.3% Net Trading and other operating income 685 257 428 166.7% Total Operating income 2,120 1,617 503 31.1% Operating Cost 1,673 1,299 (374) (28.8%
Slide 18: Statement of financial position – Group
Statement of financial position – Group Growth Total Assets (LKR Mn) LKR Mn Jun 16 Dec 15 Treasury Assets 25,367 24,034 1,333 5.5% Loans & Advances 54,887 45,450 9,437 20.8% Non Earning assets 4,202 4,042 160 4.0% Dec 15 Jun 16 Cash & Balance with CB 4,490 3,015 1,474 48.9% Total Assets 88,946 76,54
Slide 19: Corporate Information - Bank
Corporate Information - Bank Board of Directors Legal Form Name Title A Public Limited Liability Company incorporated in Sri P. Jayendra Nayak Chairman Lanka under the Companies Act No. 17 of 1982. Re- Alexis Lovell Deputy Chairman registered under the Companies Act No. 7 of 2007. Listed Asoka de Si
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