Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — Investor Presentation (December 2019)
14 slides from Union Bank Of Colombo's investor presentation, December 2019
Slide 1: Investor Presentation
Investor Presentation December 2019 1
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 up-liftment through customized banking and f
Slide 3: CEO's message
CEO’s message “I’m pleased to present Union Bank’s strong performance during a challenging year. Amidst many macro-economic challenges, the Bank had improved its core banking growth with focus on interest income, portfolio realignment and prudent cost management, reporting a resultant rise in profit
Slide 4: UBC recorded significant increase of 50.3% in Profit after tax
UBC recorded significant increase of 50.3% in Profit after tax Growth Income Statement (Rs.Mn) 2019 2018 (%) Net Interest Income 4,479 3,652 22.6% Net Fee & Commission Income 855 833 2.7% Net Trading & Other Operating Income 686 800 -14.2% Total Operating Income 6,021 5,285 13.9% Impairment Charge 3
Slide 5: NIM improved to 3.6% from 3.0%
NIM improved to 3.6% from 3.0% Net Interest Income Gross Fees & Commission Income (Rs.Mn) (Rs.Mn) 4,479 1,069 968 3,652 783 3,046 667 2,507 2,022 1,763 227 169 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 • The net interest income of the Bank grew • The growth was mainly attributable
Slide 6: Operating income increased by 13.9%
Operating income increased by 13.9% Net Trading & Other income Total Operating Income (Rs.Mn) (Rs.Mn) 800 6,021 686 5,285 637 656 656 4,376 3,737 406 2,839 2,293 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 • Net trading and other income reduced by • The overall growth in core banking
Slide 7: Operating margin increased by 40.8%
Operating margin increased by 40.8% Operating margin (Rs.Mn) Total Operating Income 2,500 (Rs.Mn) 6,021 2,000 2,293 1,500 2014 2019 1,000 500 Operating Expenses (Rs.Mn) - 3,830 2014 2015 2016 2017 2018 2019 1,639 • The operating margin increased to Rs.2,191Mn, which is a 40.8% growth YoY. • Total op
Slide 8: Gross NPL ratio was 5.03%
Gross NPL ratio was 5.03% Impairment Gross NPL (Rs. Mn) (%) 541 8.25% 390 342 5.03% 249 3.55% 3.68% 177 2.69% 152 2.40% 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 • Impairment charge of the year was • Reflecting the macro-economic challenges, Rs.390Mn, and was a 14.0% increase YoY.
Slide 9: Statement of Financial Position - Bank
Statement of Financial Position - Bank As at 31 December 2019 2018 Growth (Rs.Mn) (Rs.Mn) (%) Net Loans Treasury Assets 34,700 40,884 -15.1% (Rs.Mn) Loans & Advances 77,358 73,749 4.9% 77,358 Cash & Balances with CB 5,033 7,138 -29.5% Other Assets 4,662 4,149 12.4% Total Assets 121,754 125,920 -3.3%
Slide 10: YoY average CASA growth of 16.3%
YoY average CASA growth of 16.3% Net Loans CASA (Rs.Mn) (Rs.Mn) 77,358 73,749 70,578 19,332 18,719 16,310 55,438 12,358 40,095 9,039 25,944 6,914 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 • The Bank’s Loans and advances grew only • The growth momentum of the CASA by 4.9% portfolio
Slide 11: Group's profit after taxes increased by 50.4% YoY
Group’s profit after taxes increased by 50.4% YoY Income Statement For the year ended 31 December 2019 2018 Growth (Rs.Mn) (Rs.Mn) (%) Net Loans Net Interest Income 5,234 4,466 17.2% (Rs.Mn) Net Fee & Commission Income 958 958 0.1% 84,780 Net Trading & Other Operating Income 724 835 -13.3% Total Ope
Slide 12: Capital Adequacy Ratio is 16.75%
Capital Adequacy Ratio is 16.75% BANK GROUP Key Performance Indicators 31 Dec 2019 31 Dec 2018 31 Dec 2019 31 Dec 2018 Regulatory Capital - Rs '000 Common Equity Tier 1 (Basel III) 15,286,211 15,031,473 15,810,228 15,557,644 Tier 1 Capital / Core Capital (Basel III) 15,286,211 15,031,473 15,810,228
Slide 13: Awards / Ratings
Awards / Ratings Fitch Rating Upgraded UB to BBB- (lka) with stable outlook Best Cash Management Bank Sri Lanka Global Business Outlook Awards 2019 Best website Finance category DotComm Awards 2019 USA. 13
Slide 14: Corporate Information
Corporate Information Board of Directors Legal Form Name Title A Public Limited Liability Company incorporated in Sri Lanka under the Companies Act No. 17 of 1982. Atul Malik Chairman/Non-Ind. Non-Exec. Director Priyantha Fernando Deputy Chairman/ Ind. Non Exec. Director Re-registered under the Comp
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