National Bank Of Kuwait K.s.c. · KSE:NBK
National Bank Of Kuwait K.s.c — National Bank of Kuwait — Q1 2025 Earnings Presentation
24 slides from National Bank Of Kuwait K.s.c's earnings presentation, 2025
Slide 1: National Bank of Kuwait Investor Presentation 1Q 2025 Earnings Call
PUBLIC National Bank of Kuwait Investor Presentation 1Q 2025 Earnings Call National Bank of Kuwait 1
Slide 2: Disclaimer
PUBLIC 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
Slide 3: Contents
PUBLIC Contents Section 1 Vice Chairman and Group CEO Opening Remarks Section 2 Financial Performance Section 3 Appendix Section 4 Questions National Bank of Kuwait 3
Slide 4: Key Economic Highlights
PUBLIC Key Economic Highlights GCC Headline Growth (%) Real GDP Growth1 (% y/y) 2024f 2025f 2026f 15 15 Oil sector Bahrain 0.8 3.0 2.7 10 Non-oil sector 10 Kuwait -2.4 1.9 3.3 Headline Oman 1.3 3.2 3.4 5 5 Qatar 2.6 2.4 5.5 0 0 KSA 1.3 3.6 4.3 -5 -5 UAE 3.8 3.9 4.9 GCC 1.7 3.4 4.4 -10 -10 3Q22 4Q22
Slide 5: Operating Performance & Profitability
PUBLIC Operating Performance & Profitability Net Profit (KDm) Pre-tax Profit (KDm) (8.5%) 0.8% 146.6 134.1 172.0 173.4 1Q 2024 1Q 2025 1Q 2024 1Q 2025 Return on Average Assets Return on Average Equity Net Operating Income (KDm) 0.6% 15.2% 13.1% 309 311 1.55% 1.33% 1Q 2024 1Q 2025 1Q 2024 1Q 2025 1Q
Slide 6: NBK's Strategy
PUBLIC NBK’s Strategy ▪ The Bank aims to (i) remain the primary banker for the leading local companies whilst continuing to be active in the mid-market sector;(ii) ✓ Corporate remain the bank of choice for foreign companies and continuing to serve at least 75% of those companies and (iii) maintain i
Slide 7: Key ESG Achievements
PUBLIC Key ESG Achievements We measure our progress against well-defined metrics and targets to achieve the greatest positive impact. Strategy Pillars Key Highlights* ▪ In the process of developing an Environmental and Climate Change Policy, a fundamental part of NBK’s commitment to carbon neutralit
Slide 8: Contents
PUBLIC Contents Section 1 Group CEO Opening Remarks Section 2 Financial Performance Section 3 Appendix Section 4 Questions National Bank of Kuwait 8
Slide 9: Operating Performance 1Q 2025
PUBLIC Operating Performance 1Q 2025 Net Profit (KDm) Profit Before Tax (KDm) 146.6 Profit before Tax (KDm) Effective Tax Rate (%) 143.1 134.1 172.0 173.4 164.6 -8.5% +0.8% 16.3% 9.2% 1Q 2024 4Q 2024 1Q 2025 1Q 2024 4Q 2024 1Q 2025 Net Operating Income (KDm) Net Operating Income Mix Net interest inc
Slide 10: Operating Performance 1Q 2025
PUBLIC Operating Performance 1Q 2025 Net Interest Income* (KDm) Average Interest Earning Assets (KDbn) 238.1 246.4 39.2 236.8 -0.6% 36.2 +8.1% 1Q 2024 4Q 2024 1Q 2025 1Q 2024 1Q 2025 Net Interest Margin* Net Interest Margin drivers YTD NIM Qtrly NIM 2.71% 2.73% 2.64% 2.66% 2.45% 2.64% -0.14% 2.69% 2
Slide 11: Operating Performance 1Q 2025
PUBLIC Operating Performance 1Q 2025 Non-interest income (KDm) Operating Expenses (KDm) Net fees and commissions Net gains from dealing in FX Other non-interest income Staff expenses Other operating expenses 73.9 73.9 125.5 70.9 115.7 4 7 111.5 7 16 +4.3% 10 11 +3.8% 60 53 54 53 54 55 59 66 62 1Q 20
Slide 12: Group Diversification
PUBLIC Group Diversification 1Q 2025 Op. Income by Business Line (%) 1Q 2025 Net Profit by Business Line (%) 1Q 2025 Total Assets by Business Line (%) NBK Wealth Corporate Corporate 10% NBK Wealth Corporate 12% NBK Wealth 17% 3% 13% 9% Consumer 20% Consumer Consumer 16% 12% Islamic 23% Islamic 19% I
Slide 13: Operating Performance 1Q 2025
PUBLIC Operating Performance 1Q 2025 Total Assets (KDbn) Loans, Advances and Islamic Financing (KDbn) 40.3 41.6 24.6 38.3 23.7 +8.7% 22.4 +9.9% Mar 24 Dec 24 Mar 25 Mar 24 Dec 24 Mar 25 Customer Deposits & FI Deposits* (KDbn) Funding Mix Customer Deposits FI Deposits Customer Deposits Due to banks D
Slide 14: Performance and Asset Quality Ratios 1Q 2025
PUBLIC Performance and Asset Quality Ratios 1Q 2025 Return on Average Equity Return on Average Assets 1.55% 1.55% 15.2% 15.1% 1.33% 13.1% 1Q 2024 FY 2024 1Q 2025 1Q 2024 FY 2024 1Q 2025 Capital Adequacy Ratios Asset Quality Ratios CET 1 Ratio Tier 1 Ratio Capital Adequacy Ratio Loan Loss Coverage Ra
Slide 15: Expected Credit Losses (ECL) 1Q 2025
PUBLIC Expected Credit Losses (ECL) 1Q 2025 Financial Statements ECL Disclosure (KDm) Total Gross Loans (KDbn) Stage 1 Stage 2 Stage 3 31 March 2025 Stage 1 Stage 2 Stage 3 Total 23.3 24.6 25.5 Loans, advances and Islamic 23,551 1,587 352 25,490 1% 1% 1% financing to customers 8% 6% 6% 4,543 889 13
Slide 16: 2025 Guidance
PUBLIC 2025 Guidance 2025 Guidance FY 2024 1Q 2025 (v/s 2024) Loan Growth (ytd) +6.4% +3.8% Mid Single Digit NIM 2.66% 2.45% Contracting Cost to Income ratio 37.4% 37.3% High 30s Cost of Risk 37bps 40bps c.40bps Earnings (yoy) +7.0% -8.5% Capital Adequacy 17.3% 16.6% National Bank of Kuwait 16
Slide 17: Contents
PUBLIC Contents Section 1 Vice Chairman and Group CEO Opening Remarks Section 2 Financial Performance Section 3 Appendix Section 4 Questions National Bank of Kuwait 17
Slide 18: Consolidated Statement Of Income (KDm)
PUBLIC Consolidated Statement Of Income (KDm) KDm 1Q 2024 1Q 2025 YoY Growth (%) Interest Income 452 437 (3%) Interest Expense 263 252 (4%) Net Interest Income 189 185 (2%) Murabaha and other Islamic financing income 111 118 7% Finance cost and Distribution to depositors 62 67 8% Net Income from Isl
Slide 19: Consolidated Statement Of Financial Position (KDm)
PUBLIC Consolidated Statement Of Financial Position (KDm) KDm March-2024 March-2025 YoY Growth % Cash and short term funds 4,271 4,685 10% Central Bank of Kuwait bonds 860 334 (61%) Kuwait Government treasury bonds 193 150 (22%) Deposits with banks 1,918 1,767 (8%) Loans, advances and Islamic financ
Slide 20: Performance Measures 1Q 2025
PUBLIC Performance Measures 1Q 2025 March-2024 March-2025 Return on Average Assets 1.55% 1.33% Return on Average Equity 15.2% 13.1% Net Interest Margin 2.64% 2.45% Cost to Income 36.1% 37.3% NPLs to Gross Loans 1.51% 1.38% Loan Loss Reserves to NPLs 248% 251% CET 1 Ratio 12.9% 12.6% Tier 1 Ratio 14.
Slide 21: Contents
PUBLIC Contents Section 1 Vice Chairman and Group CEO Opening Remarks Section 2 Financial Performance Section 3 Appendix Section 4 Questions National Bank of Kuwait 21
Slide 22: Questions?
PUBLIC Questions? National Bank of Kuwait 22
Slide 23: Thank You
PUBLIC Thank You National Bank of Kuwait 23
Slide 24: National Bank of Kuwait Investor Presentation 1Q 2025 Earnings Call
PUBLIC National Bank of Kuwait Investor Presentation 1Q 2025 Earnings Call National Bank of Kuwait 24
National Bank of Kuwait — Q1 2025 Earnings Presentation on 6ix