Boubyan Bank K.s.c. · KSE:BOUBYAN

Boubyan Bank K.s.c — Boubyan Bank — FY2019 Earnings Presentation

21 slides from Boubyan Bank K.s.c's earnings presentation, Jan 23, 2020

  1. Slide 1: Cover letter to Boursa Kuwait

    Kuwait: 23/01/2020 Ref: 7817/2020 To: The General Manager Boursa Kuwait Dear Sir, PowerPoint Presentation of Analysts’ Conference Call for the Financial Year Ended December 31° 2019 Reference is made to the provisions of Article no. (8-4-2) of Boursa Kuwait Rulebook issued by virtue of Resolution no

  2. Slide 2: Boubyan Bank Investors Presentation 2019 Results – Analyst Call

    Boubyan Bank Investors Presentation 2019 Results – Analyst Call

  3. Slide 3: Disclaimer

    DISCLAIMER THE INFORMATION SET OUT IN THIS PRESENTATION AND PROVIDED IN THE DISCUSSION SUBSEQUENT THERETO DOES NOT CONSTITUTE AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. IT IS SOLELY FOR USE AT AN INVESTOR PRESENTATION AND IS PROVIDED AS INFORMATION ONLY. THIS PRESENTATION DOES N

  4. Slide 4: Outline

    Outline 1 Boubyan’s Performance & Strategy – At a glance 2 Income statement analysis 3 Balance sheet analysis 4 Capitalisation and Leverage 3

  5. Slide 5: Financial Highlights

    Boubyan’s Performance & Strategy - At a Glance Financial Highlights Financial snapshot Market share KD million 2019 2018 Growth % Assets Deposits Financing Portfolio Net Profit to shareholders 62.6 56.1 12% 9.3% Operating Income 145.8 139.7 4% 8.6% 7.2% Operating Profit 84.7 83.0 2% 5.8% 6.5% Total

  6. Slide 6: The Bank's strategy builds on robust domestic foundations

    Boubyan’s Performance & Strategy - At a Glance The Bank’s strategy builds on robust domestic foundations Strategic objectives ▪ Clear focus on high net worth and affluent clients ▪ Expand branch footprint Retail Banking ▪ Maintain leadership in customer experience ▪ Product and channel innovation ▪

  7. Slide 7: Outline

    Outline 1 Boubyan’s Performance & Strategy – At a glance 2 Income statement analysis 3 Balance sheet analysis 4 Capitalisation and Leverage 6

  8. Slide 8: Profitability and performance ratio

    Income statement analysis Profitability and performance ratio Net profit (KD Million) Operating profit (KD Million) 12% 2% 56.1 62.6 83.0 84.7 2018 2019 2018 2019 * Return on Average Equity (%) Return on Average Assets (%) 13.0% 11.7% 1.35% 1.30% 2018 2019 2018 2019 * Return on Average Equity is com

  9. Slide 9: Operating income components and Net Profit Margins

    Income statement analysis Operating income components and Net Profit Margins Operating Income (KD Million) * Net Financing Income Operating income Net Financing Income 4% -1% 139.7 145.8 120.3 119.5 2018 2019 2018 2019 Composition on operating income Net Profit Margin % Investment inc Fees, Com. & F

  10. Slide 10: Operating costs and efficiency

    Income statement analysis Operating costs and efficiency Operating costs (KD Million) Composition of Operating costs* Operating costs Staff costs General & Admin Depreciation 8% 8% 13% 33% 28% 56.8 61.1 59% 59% 2018 2019 2018 2019 Operating efficiency (%) Operating costs to average assets (%) Cost t

  11. Slide 11: Provisions and related ratios

    Income statement analysis Provisions and related ratios Provisions (KD Million) General Specific Investment/other 23.8 18.7 8.4 0.6 13.2 11.2 4.2 5.0 2018 2019 Loss ratio % Provisions to Operating profit % 29.2% 22.1% 0.57% 0.39% 2018 2019 2018 2019 Source: Financial statements, Boubyan analysis 10

  12. Slide 12: Outline

    Outline 1 Boubyan’s Performance & Strategy – At a glance 2 Income statement analysis 3 Balance sheet analysis 4 Capitalisation and Leverage 11

  13. Slide 13: Assets and Sources of Funding

    Balance sheet analysis Assets and Sources of Funding Total assets (KD Million) Composition of assets 22% 3% 2% 3% 2% 20% 24% 75% 70% 5,301 4,345 2018 2019 2018 2019 Financing Portfolio *Liquid assets Investments PPE & Other assets Total deposits (KD Million) Financing Portfolio to Deposit Ratio 17%

  14. Slide 14: Financing Portfolio and asset quality

    Balance sheet analysis Financing Portfolio and asset quality Financing Portfolio – KD Million Composition of Financing Portfolio 14% Corporate Retail 44% 43% 3,262 3,729 56% 57% 2018 2019 2018 2019 Non performing Financing Portfolio Loss Coverage ratio NPL - KD Million NPL % 0.9% 0.9% 252% 211% 32.9

  15. Slide 15: Outline

    Outline 1 Boubyan’s Performance & Strategy – At a glance 2 Income statement analysis 3 Balance sheet analysis 4 Capitalisation and Leverage 14

  16. Slide 16: Capital Adequacy

    CAPITALISATION AND LEVERAGE Capital Adequacy Capital adequacy ratio Leverage ratio RWA - KD Million Total CAR 20.3% 18.2% 11.2% 10.0% 3,246 2,704 2018 2019 2018 2019 Composition of regulatory capital CET1 Additional Tier 1 Tier 2 6% 6% 15% 11% 78% 83% 2018 2019 Source: Regulatory returns 15

  17. Slide 17: Questions ?

    Questions ?

  18. Slide 18: Appendix

    Appendix

  19. Slide 19: Consolidated Income Statement

    Consolidated Income Statement KD Million 31-Dec 31-Dec 31-Dec 2019 2018 2017 Income Murabaha and other Islamic financing income 207.6 182.9 149.4 Distribution to depositors and Murabaha Cost (88.2) (62.6) (46.0) Net finance income 119.5 120.3 103.5 Net investment income 4.2 1.1 7.9 Net fees and comm

  20. Slide 20: Consolidated Statement of Financial Position

    Consolidated Statement of Financial Position KD Million 31-Dec 31-Dec 31-Dec 2019 2018 2017 Assets Cash and balances with banks 232.4 83.8 76.6 Deposits with Central Bank of Kuwait 306.2 244.7 263.7 Deposits with other banks 427.3 237.1 208.9 Islamic financing to customers 3,728.8 3,262.3 3,193.0 In

  21. Slide 21: Thank you

    Thank you

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