Mcb Bank Limited · PSX:MCB
Mcb Bank — Q3 2020 Earnings Presentation
19 slides from Mcb Bank's earnings presentation, Sep 30, 2020
Slide 1: MCB Bank Limited Corporate Briefing
MCB Bank Limited Corporate Briefing September 30, 2020 Presented by: Hammad Khalid Chief Financial Officer
Slide 2: Financial and Operational Landscape
Financial and Operational Landscape Financial Strength Domestic and International Footprint PKR 1,674.9 bn Domestic Assets 1,402 (US$ 10.1 bn) Branches 11 PKR 1,274.9 bn Foreign Deposits (Sri Lanka : 8, Bahrain : 1, (US$ 7.7 bn) Branches EPZ : 1, UAE : 1) PKR 493.7 bn MCB Financial Services Advances
Slide 3: Financial Performance
Financial Performance September 30, 2020
Slide 4: Statement of Financial Position
Statement of Financial Position Increase of 11% in Assets base Rs. in mln Investments: Sep 2020 Dec 2019 Var. % var. Sep 2019 Var. % var. T-Bills : +150B PIBs : +59B ASSETS 1,674,869 1,515,152 159,717 10.54% 1,581,493 93,376 6% Advances - net 445,039 496,679 (51,640) -10.40% 490,255 (45,216) -9% - G
Slide 5: Non Performing Loans (NPLs)
Non Performing Loans (NPLs) Coverage ratio* at 96.89% (YE19: 87.73%), NPLs ratio stands at 10.17% (YE19: 9.15%) Rs. in mln Domestic NPLs Ratio at 8.93% (YE19:8.14%), Industry NPL ratio June’20:9.67% (YE19:8.58%) YTD (Sep 20 vs. Dec 19) Sep 20 Jun 20 Mar 20 Dec 19 Sep 19 Var. % Total NPLs 784 1.6% Su
Slide 6: Investments
Investments Increase of Rs. 150B in Market Treasury Bills & Rs. 59B in Pakistan Investment Bonds. Rs. In mln Sep 2020 Dec 2019 Var. % var. Sep 2019 Var. % var. Treasury Bills 551,540 401,814 149,726 37% 554,337 (2,796) -1% Pakistan Investment Bonds 351,731 292,723 59,008 20% 265,746 85,985 32% TFCs,
Slide 7: Deposits
Deposits Rs. in mln CASA reported at 93.17%, Current Deposits +13% , YTD increase/decrease YTD Saving Deposits +16% & Term Deposits -21% Current deposits 13% 56,199 Savings deposits 16% 96,490 CASA 15% 152,689 Term Deposits -21% (22,583) Total Deposits 11% 130,106 Q3 20 Q2 20 Q1 20 Q4 19 Q3 19 Volum
Slide 8: Profit and Loss Statement
Profit and Loss Statement PBT of Rs. 38.35B (+39.44%) and PAT of Rs. 22.93B (+40.82%) Rs. in mln Markup Income: On Investments: +18.09B Sep 2020 Sep 2019 Var. % var. On Lending to FIs : -2.85B On Advances: -6.45B Mark-up Income 107,035 98,450 8,586 8.72% Mark-up Expense 51,689 55,456 (3,767) -6.79%
Slide 9: Core Earnings
Core Earnings Rs. in mln Sep 2020 Sep 2019 Var. % var. Net Mark-up Income 55,346 42,994 12,352 29% Non Interest Income * 12,959 10,723 2,236 21% Total Income 68,305 53,717 14,589 27% Non Mark-up Expense** 25,688 25,652 36 0% Profit before Provisions 42,617 28,065 14,552 52% Provisions*** 5,257 (602)
Slide 10: Spread
Rs. in mln September 2020 September 2019 Variance Variance Analysis Spread Average Rate Markup Average Rate Markup Volume Price/ bps Markup Volume Price Markup Volume Volume Variance Variance Inc/ Exp Assets Cash 26,089 - - 24,566 - - 1,523 - - - - - Balance with Banks 100,807 0.24 184 87,910 0.60 3
Slide 11: Key Performance Indicators
Key Performance Indicators September 30, 2020 Key Performance Indicators September 30, 2020
Slide 12: Key Performance Indicators
Key Performance Indicators Cost to Income Ratio Quarterly Operating expenses excluding PF • C / I ratio averages 42.7% for last 7 quarters • Resulting into flat OPEX line • C / I ratio improving to 35.8% in Q3-20 • Strategic cost efficiency drive 48.70% Rs. in Billions 46.15% 45.83% 8.45 43.40% 8.28
Slide 13: Comparative Performance
Comparative Performance Admin Expenses Profit after Tax (PAT) (Excluding PF Reversal) Significant increase of 41% in PAT over Sep-19. Efficient cost management leads to 1.2% decrease over Sep-19. Rs. in Billion Rs. in Billion 22.93 24.95 16.29 24.66 Sep 2019 Sep 2020 Sep-19 Sep-20 Deposits Coverage
Slide 14: Domestic Deposits - Growth
Domestic Deposits - Growth Domestic Deposits – Bln PKR Domestic Current Deposits – Bln PKR 81 91 99 94 79 60 73 467 451 414 561 601 611 607 652 698 702 411 389 394 389 389 414 394 389 411 467 451 Mar-19 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Mar-19 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Curren
Slide 15: Group Financial Performance
Group Financial Performance September 30, 2020 Group Financial Performance September 30, 2020
Slide 16: Statement of Financial Position
Statement of Financial Position Rs. in Million Unconsolidated Consolidated Sep 2020 Dec 2019 YTD % Sep 2020 Dec 2019 YTD % Assets 1,674,869 1,515,152 159,717 10.5% 1,796,065 1,612,215 183,850 11.4% Advances - net 445,039 496,679 (51,640) -10.4% 523,265 548,473 (25,208) -4.6% Investments 964,412 748,
Slide 17: Profit and Loss Statement
Profit and Loss Statement Rs. in Million Unconsolidated Consolidated Sep 2020 Sep 2019 +/- % Sep 2020 Sep 2019 +/- % Mark-up Income 107,035 98,450 8,586 8.7% 114,517 105,533 8,984 8.5% Mark-up Expense 51,689 55,456 (3,767) -6.8% 55,717 59,509 (3,792) -6.4% Net Mark-up Income 55,346 42,994 12,352 28.
Slide 18: Awards/ Accolades
Awards/ Accolades “Winner -Best Corporate Report Award Winner – Best Presented Annual Accounts 2019 – Banking Sector” Ranked among the Top 25 Companies in 2014 Winner” - Best Corporate Report Award 2018 Best bank in Pakistan - 2019 Pakistan 1st Runner Up Best Presented Annual Report Awards Winner” -
Slide 19: Thank you!
Thank you! For more information write to us on info@mcb.com.pk. For any investor related query/comments/feedback, please e-mail investor.relations@mcb.com.pk