Qnb Corp. · NASDAQ:QNBC
Qnb — Investor Presentation (March 2025)
58 slides from Qnb's investor presentation, March 2025
Slide 1: Investor Relations Presentation
Investor Relations Presentation March 2025 Download our IR Application
Slide 2: Contents
1. QNB at a Glance 2. QNB Comparative Positioning – Qatar and MEA Contents 3. Financial Highlights 4. Sustainability 5. Economic Overview Notes: All figures in US Dollars have been converted from Qatari Riyals based on the exchange rate of 1 US Dollar = 3.6405 Qatari Riyals In certain cases, numbers
Slide 3: QNB at a Glance
QNB at a Glance
Slide 4: QNB is a strong and highly rated bank with international footprint
QNB is a strong and highly rated bank with international footprint #1 bank in the Middle East and Africa across all balance sheet metrics International network with presence in more than 28 countries Most valuable banking brand in the Middle East and Africa, worth USD 9.4 Bn1 About 31,000 employees
Slide 5: QNB’s International Footprint
QNB’s International Footprint Middle East Qatar: (48 Branches) Sub-Saharan Africa KSA: (2 Branches) South Sudan: (1 Branch) Togo: (650 Branches³ across Africa through 20.1% UAE: (6¹ + 1¹ Branches, 40% stake in CBI) stake in Ecobank) Syria: (8 + 24¹ Branches, 50.8% stake in QNB Syria Asia Palestine:
Slide 6: QNB Comparative Positioning – Qatar and MEA
QNB Comparative Positioning – Qatar and MEA
Slide 7: Top Listed Domestic Banks – March 2025
Top 5 Listed Domestic Banks – March 2025 QNB continues to excel in the domestic market Assets Loans 363.6 260.2 58.1 46.5 46.4 32.3 36.2 30.6 26.1 23.8 Deposits Net Profit 255.6 1.17 0.27 36.7 30.6 0.18 22.5 21.0 0.12 0.11 Note: All amounts are in USD billions Source: Banks’ March 2025 Press Release
Slide 8: Top Listed MEA Banks – March 2025
Top 5 Listed MEA Banks – March 2025 QNB maintains its position as the leading bank in the region across all balance sheet categories Assets Loans 363.6 355.7 312.3 260.2 280.6 272.9 192.8 188.4 149.3 144.5 Deposits Net Profit 255.6 228.3 1.69 1.61 1.58 189.9 1.40 167.8 167.1 1.17 Note: All amounts a
Slide 9: QNB is the leading financial institution in the MEA region with regards to brand value
QNB is the leading financial institution in the MEA region with regards to brand value Brand Value (USD Bn) Top MEA banking brands Key highlights 9.36 • QNB For the 12th consecutive year, QNB retains the most valuable Banking Brand in Middle East and Africa region 7.52 • The 2025 Brand Value for QNB
Slide 10: Financial Highlights
Financial Highlights
Slide 11: QNB Group demonstrate sustainable growth
QNB Group demonstrate sustainable growth Financial Highlights (as at 31 March 2025) Growth vs. March 2024 • Net interest margin (NIM)2: 2.66% Profit¹ • USD1.17 billion +3% • Cost to income ratio: 22.7% • Earnings per share: USD 0.12 • USD363.6 billion assets +7% • NPL (% of gross loans): 2.8% Assets
Slide 12: QNB Egypt
QNB Egypt1 Financial Highlights (as at 31 March 2025) Growth vs. March 2024 • USD126.6 million -28% • Net interest margin (NIM)3: 6.12% Profit² (EGP6.4 billion) (+2%) • Cost to income ratio: 23.0% • USD17.0 billion assets +10% (EGP861.8 billion) (+17%) • NPL (% of gross loans): 5.3% Assets • USD7.4
Slide 13: QNB Turkiye
QNB Turkiye 1 Financial Highlights (as at 31 March 2025) Growth vs. March 2024 • Net interest margin (NIM)3: 7.80% • USD92.8 million >100% Profit² (TRY3.5 billion) (>100%) • Cost to income ratio: 29.7% • USD47.0 billion assets +27% (TRY1,783.3 billion) (+48%) • NPL (% of gross loans): 2.9% Assets •
Slide 14: Enpara Digital Bank (pro-forma standalone financials)
Enpara Digital Bank (pro-forma standalone financials) Financial Highlights (as at 31 March 2025) Growth vs. March 2024 • USD45.6 million +154% • Net interest margin (NIM): 9.9% Profit¹ (TRY1.7 billion) (+197%) • Cost to income ratio: 33.3% 15%² of QNB Turkiye • NPL (% of gross loans): 5.6% • USD2.9
Slide 15: Strong domestic franchise with widespread geographical footprint
Strong domestic franchise with widespread geographical footprint contributes to diversification and growth Geographical Contribution (as at 31 March 2025) Domestic International % Share of International as percentage of the total Net Profit¹ Loans Deposits USD billion USD billion USD billion 1.14 1.
Slide 16: Consistent Profitability and Cost Discipline
Consistent Profitability and Cost Discipline Income Statement Breakdown (USD billion as at 31 March 2025) Net Profit¹ Operating Income² Net Interest Income % Cost to Income Ratio % Net Interest Margin³ 5 yrs: 4% 1.17 1.14 5 yrs: 10% 5 yrs: 10% 1.07 3.01 2.40 0.99 2.85 2.22 0.91 2.55 1.98 2.12 1.72 1
Slide 17: Asset growth driven by lending activities mainly in USD and QAR
Asset growth driven by lending activities mainly in USD and QAR Assets Analysis (as at 31 March) Total Assets Evolution 2025 Split of Assets (%) USD billion By Type By Currency 5 yrs: 7% 363.6 Cash and Balances QAR 23.7 339.7 6.8 323.6 with Central Banks 304.5 USD 46.6 286.4 Due from Banks 6.0 TRY 6
Slide 18: Stable loan momentum
Stable loan momentum Loan Analysis (as at 31 March) Total Loans Evolution 2025 Split of Loans (%) USD billion By Geography By Sector¹ 260.2 5 yrs: 6% 238.3 Qatar 78.4 Govt. & Govt. 222.4 Agencies 36.5 209.6 Turkey 10.3 198.0 Services/ Commerce 40.8 Egypt 3.0 Europe 3.0 Industry 4.7 GCC 1.8 Real Esta
Slide 19: High quality lending portfolio is underpinned by low NPL ratios
High quality lending portfolio is underpinned by low NPL ratios Asset Quality Analysis Non Performing Loans (NPL) by Segment USD billion 7,239 7,191 7,482 • QNB has continued to increase its x Total NPL’s 5,595 5,350 provisions in response to the global 5,215 economic situation on account of Corpora
Slide 20: High quality investment portfolio with 66% of securities rated AA or Sovereign
High quality investment portfolio with 66% of securities rated AA or Sovereign Investments Analysis (USD million as at March 2025) Fair Value Through Other Comprehensive Income Amortised Cost Quoted Fixed rate 4,095 Unquoted 8,747 Floating rate State of Qatar State of Qatar Sovereign Debt Sovereign
Slide 21: Robust growth in customer deposits and funding
Robust growth in customer deposits and funding Funding Analysis (as at 31 March) Customer Deposits Evolution 2025 Split of Deposits (%) USD billion By Sector By Type By Geography 5 yrs: 6% 255.6 51.7 Govt. & Time Qatar 241.6 25.6 78.5 Govt. Deposits 227.3 216.5 Agencies GCC 2.9 205.9 Europe 17.5 Sav
Slide 22: Solid liquidity profile
Solid liquidity profile Liquidity Analysis (as at 31 March) Loans to Deposits¹ Ratio Evolution Sources of Liquidity % % of total liabilities 96.1 92.2 93.9 96.5 90.3 Due to 12.2 Banks Customer 76.9 Deposits Debt Securities 3.4 2021 2022 2023 2024 2025 Other 3.1 Borrowings Liquid Assets² Evolution US
Slide 23: Strong capital adequacy ratio maintained above QCB and Basel III reform requirements
Strong capital adequacy ratio maintained above both QCB and Basel III reform requirements Capital Analysis (as at 31 March) Basel III Capital Adequacy Ratio including Reform Requirements % 19.3 18.2 17.0 (QCB) 14.8 14.0 (QCB) 12.0 (QCB) CET 1 Tier 1 Total CAR • Capital adequacy ratio is above QCB an
Slide 24: Diversifying business mix bolsters sustainable growth
Diversifying business mix bolsters sustainable growth Business Mix Contribution (% share as at 31 March) Lines of Business Net Profit¹ Op. Income Loans Deposit 74 89 81 68 • Maintain dominant domestic Group market share Corporate • Grow international contribution • Nurture SME business in Qatar • En
Slide 25: IFRS 9 – Additional buffers for earnings stability
IFRS 9 – Additional buffers for earnings stability Financial • QNB implemented IFRS 9 with effect from 1 January 2018 based on the QCB guidelines. Impacts • As per QCB instructions, ECL impact has been treated as Tier 2 Capital for CAR purposes with no amortisation of the transition impact. Coverage
Slide 26: QNB Group Financials
QNB Group Financials Key data (as at March 2025) % Contribution of QNB Egypt QNB excluding QNB Egypt and QNB Turkiye QNB incl. QNB Egypt QNB incl. QNB Turkiye % Contribution of QNB Turkiye Financials Presence 3.01 364 31,371 317 300 260 256 1.97 226 234 228 1.71 214 16,778 1.17 1.08 0.96 9,224 286 5
Slide 27: Sustainability
Sustainability
Slide 28: QNB engages key stakeholder groups to formulate, prioritise, and act upon sustainability topics
QNB engages key stakeholder groups to formulate, prioritise, and act upon the sustainability topics most material to them Define Sustainability strategy and framework to address material topics Map material topics to ESG frameworks (e.g., UNSDGs1) Prioritise impacts based on significance and determi
Slide 29: QNB has established its sustainability framework and strategy along the pillars of ESG
QNB has established its sustainability framework and strategy along the pillars of ESG to actively and positively address material topics Environmental Social Governance QNB Sustainability Framework Climate and ESG in financing Data security and privacy Sustainable finance SMEs, entrepreneurship, Cu
Slide 30: QNB has delivered a number of key ESG milestones
QNB has delivered and achieved a number of key ESG milestones across all areas of our sustainability framework As at 31 December 2024 Sustainable USD 9.6 Bn Sustainable ESRM1, Climate 39 sustainable Finance and Change Strategy, finance of sustainable Product Scope 3 financed products and Transition
Slide 31: QNB is proactively addressing both climate risk and opportunities
QNB is proactively addressing both climate risk and opportunities in its governance, financing, and engagement activities Evaluating and managing risks Identifying and capturing opportunities • Group governance in line with • Market-leading ISSB/ TCFD Sustainable Finance and Product Framework • ESRM
Slide 32: Sustainable finance at a glance
Sustainable finance at a glance As at 31 December 2024 Financing Customer experience PCAF member, USD 9.6 Bn 89% Scope 3 financed Sustainable financing Digital transactions emissions portfolio (online & mobile as a % of total) Covering >90% portfolio USD 3.8 Bn Award-winning SFPF1 0 Market-leading E
Slide 33: QNB’s SFPF is the first of its type in Qatar
1 QNB’s SFPF is the first of its type in Qatar, market leading in region, and aligned with international sustainable financing principles Framework and • QNB Group Sustainable Finance and Product Framework (SFPF) SPO • ISS Corporate Solutions Second Party Opinion (SPO) Sustainable Finance SFPF scope
Slide 34: QNB continues to leverage the SFPF and client engagement
QNB continues to leverage the SFPF and client engagement to further develop and grow its sustainability portfolio As at 31 December 2024 QNB Group’s total sustainable lending portfolio USD 9.6 Bn >75% Sustainability-linked loans Increase in green financing since 2020 Sustainable investments2 USD 1,1
Slide 35: QNB’s SFPF is aligned with international taxonomies and standards
QNB’s SFPF is aligned with international taxonomies, eligibility criteria, and standards to enable and drive ESG and climate financing Sustainable Finance Transition Sustainability- Finance¹ Green/ Social Activities Linked Green Use of Proceeds Social Use of Proceeds • Ambitious and relevant • Credi
Slide 36: QNB is recognised as a leader in sustainable financing
QNB is recognised as a leader in sustainable financing, launching a number of pioneering products and transactions into the market Environmental impact of QNB’s debut USD 600 Mn Green Bond issuance Green Green Repurchase Mortgages Agreements 486,072 tCO2e Lifetime avoided GHG emissions Electric Gree
Slide 37: Sustainable operations at a glance
Sustainable operations at a glance As at 31 March 2025 Environmental impact Gender diversity 100% Renewable energy in QNB Türkiye, 2 0.93 Newly appointed Female/ male India, and UK operations QNB Group female pay ratio board members 14001 & 50001 ISO certifications for Environmental and Energy1 Mana
Slide 38: Integrating ESG into our operations to align with international best practices
Integrating ESG into our operations to align with international best practices and embed sustainability into our DNA Commitment to global and regional frameworks Focus on our people – employee value proposition • Continued emphasis on diversity, inclusion, and nationalisation for our people and tale
Slide 39: QNB is recognised as a regional leader in climate financing and ESG initiatives
QNB is recognised as a regional leader in climate financing and ESG initiatives through external ratings and international awards As at 31 March 2025 Disclosures 2022 2023 2024 A A A 46 50 52 rd th (83 percentile) (85 percentile) (83rd percentile) 22.6 23.6 21.9 (Medium risk) (Medium risk) (Medium r
Slide 40: Economic Overview
$< QNB Economic Overview
Slide 41: Qatar is strategically located between Europe and Asia
Qatar is strategically located between Europe and Asia and possesses one of the largest gas reserves in the world Comments • Qatar is a peninsula located in the Persian Gulf and is a member of the Gulf Cooperation Council (GCC) • Qatar’s total population is around 3 million • Qatar is endowed with t
Slide 42: Qatar’s hydrocarbon production generates significant wealth via exports
Qatar’s hydrocarbon production generates significant wealth via exports and has fueled substantial current account surpluses Hydrocarbon production Current account surplus Mn boe Cumulative, USD Bn 5.5 500 5.0 450 4.5 400 4.0 350 3.5 300 3.0 250 2.5 200 2.0 150 1.5 1.0 100 0.5 50 0.0 0 2000 2005 201
Slide 43: Development of Qatar’s hydrocarbon reserves make it one of the richest countries
The development of Qatar’s vast hydrocarbon reserves make it one of the richest countries in the world Hydrocarbon reserves per capita (2021*) GDP per capita (2024) Thousand barrels of oil equivalent (boe) Thousand USD PPP Qatar 144 Luxembourg 144 Kuwait 24 Ireland 134 UAE 14 Singapore 134 Venezuela
Slide 44: Robust fiscal and external position based on IMF breakeven prices
Robust fiscal and external position based on IMF estimates of breakeven prices for crude oil Definition GCC projected breakeven prices 2025 (USD per barrel) • Brent crude oil price Fiscal at which the fiscal breakeven account would be at price balance 45 50 57 82 91 • Brent crude oil price External
Slide 45: Qatar benefits from solid trade relations and robust energy partnerships
Qatar benefits from solid trade relations and robust energy partnerships Qatar’s external sector Directions of trade (2023) Exports (USD Bn) Imports (USD Bn) • HC: LNG, condensates, oil, gas • Non-HC: petrochemicals, fertilizers, China 19.3 US 5.0 Exports chemicals, plastics, steel, South Korea 12.3
Slide 46: Qatar is a leading LNG exporter with a clear cost advantage
Qatar is a leading LNG exporter and benefits from a clear cost advantage vis-à-vis other exporters LNG export capacity (2024) LNG projects cost curve Million metrics ton per year (mtpa) USD/mmBtu US 93 Australia 88 Qatar 77 Russia 31 Algeria 25 Indonesia 23 Nigeria 23 Qatar is consistently amongst t
Slide 47: Long-term prospects for LNG demand remain robust
Long-term prospects for LNG demand remain robust, creating opportunities for suppliers that are competitive and reliable Global LNG market demand (million ton per year) Rationale – the case for gas 5-year forecast Energy security CAGR: 6.4% 600 • Natural gas is critical to global energy demand Susta
Slide 48: North Field Expansion project will increase LNG output by 85%
Qatar is responding to this demand and opportunity with the North Field Expansion project, which will increase LNG output by 85% Qatar’s LNG output increase • Globally Qatar is the largest LNG exporter with a market share of 20-30% of total LNG Million metrics ton per year (mtpa) exports 142 • In 20
Slide 49: Qatar introduced a diversification strategy via Qatar National Vision 2030
To reduce reliance on hydrocarbon revenues, Qatar introduced a diversification strategy via Qatar National Vision 2030 (QNV 2030) QNV 2030 Comments QNV 2030 aims to promote diversification and foster human, social, economic and environmental development: Knowledge based Human development economy • T
Slide 50: Economic diversification has accelerated over the last decade
Economic diversification has accelerated over the last decade in order to achieve the QNV 2030 Real GDP growth by sector %, year-on-year 30 Hydrocarbon 25 Non-Hydrocarbon 20 15 Accelerated Diversification 10 5 0 -5 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 2021 2024 Source: National Pla
Slide 51: Qatar’s 3rd National Development Strategy aims to support QNV 2030
Qatar’s 3rd National Development Strategy aims to support the execution of QNV 2030 through seven key strategic outcomes Qatar’s NDS 3 (2024-2030) 1. Sustainable Economic Growth Adopt a sustainable growth model to transform into a competitive, productive, diversified, and innovative economy. 2. Fisc
Slide 52: Qatar’s sustainable economic growth model incorporates four key elements
Qatar’s sustainable economic growth model incorporates four key elements QNV 2030 Comments Energy Sector • Qatar will further strengthen its role as a global energy leader and build a position in new emerging fields of low-carbon energy. Business Environment • To position Qatar to have one of the to
Slide 53: Qatar’s development strategy spurs economic growth along two dimensions
Qatar’s development strategy spurs economic growth along two dimensions QNV 2030 • North Field Expansion – North Field East – North Field South – North Field West HC • Project Ru’ya – Third phase of Al-Shaheen’s development • Brownfield projects – Al-Shaheen and Dukhan • Downstream manufacturing pro
Slide 54: Qatar’s development strategy is set to achieve significant growth
Qatar’s development strategy is set to achieve significant growth over the next few years Qatar’s forthcoming GDP acceleration Assumptions %, y/y • HC – All phases of the North Field Expansion project are delivered – Ru’ya and brownfield projects advance • Non-HC – Full development of major petroche
Slide 55: Post-World Cup tourism surge is set to continue
Post-World Cup tourism surge is set to continue on state-of-the-art infrastructure, good value and regional activity Total visitors (thousands) Hotel room keys 2020 581 2021 611 2022 2,560 FIFA World Cup 2022 2023 4,054 2024 5,051 Visitor arrivals by region in 2024 Americas UAE 6% 8% Europe Oman 9%
Slide 56: Qatar is one of the highest rated sovereigns in the world
Given its wealth and stable outlook, Qatar is one of the highest rated sovereigns in the world Standard & Poor’s Sovereign Ratings* Moody’s Sovereign Ratings* Germany, Canada, Switzerland, Norway, Sweden, Netherlands, Germany, Canada, Switzerland, Norway, Sweden, Netherlands, AAA Aaa Luxembourg, Sin
Slide 57: Qatar’s banking and financial system remains resilient and healthy
Qatar’s banking and financial system remains resilient and healthy Financial Soundness Indicators (2020-2023, %) 2020 2021 2022 2023 Capital Adequacy Tier 1 capital/risk-weighted assets 17.6 18.0 18.1 18.2 Regulatory capital/risk-weighted assets 18.8 19.2 19.3 19.2 Asset Quality Non-performing loans
Slide 58: Thank you
Thank you