MCB Bank Limited · PSX:MCB
MCB Bank — MCB LSE Conference (London 2010)
19 slides from MCB Bank's conference presentation, Dec 10, 2010
Slide 1: MCB Bank Limited Pakistan, London
MCB BANK LIMITED PAKISTAN London December 10, 2010
Slide 2: Overview of the Bank - Snapshot
OVERVIEW OF THE BANK Snapshot ATMs 500 Headquarters: Lahore, Pakistan Branches 1,109 Founded: 1947 Staff 9,276 Privatised: 1991 Share price 188.31 Size: Leading Bank in Pakistan Paid-up Capital (M) 7,602 representing 9% of total Banking Authorised Capital (M) 10,000 Sector Assets & Deposits ROA 3.18
Slide 3: MCB's Key Strategic Success Factors
MCB’sKey Strategic Success MCBFactors Strategic Positioning Customer Financial Needs MCB Strategic Thrusts 1. Build leading payments bank Transactional Borrowing – Extensive Branch Network – #1 in ADCs 1 – Dominant in payment products Build leading – Transactional Convenience payments bank 2. Branch
Slide 4: Key Performance Financial Indicators
KeyPerformanceFinancial Indicators (Covering last 5 yearsperformance / growth)
Slide 5: Financial Position - Strong Bottom Line Growth
Financial Position - Strong Bottom Line Growth PKR Mln Year 2005 2006 2007 2008 2009 9M 10 Growth in Advances – CAGR 5% Total Assets 298,777 342,108 410,486 443,616 509,224 539,485 40% 31% Growth 15% 15% 20% 8% 15% 6% 30% 20% 100% 20% 10% 10% 10% 90% Other Assets 0% 80% YE 05 YE 06 YE 07 YE 08 YE 09
Slide 6: Securing Our Investments Into More Viable Options
Securing Our Investments Into More Viable Options PKR Mln 100% 0 124 1,667 667 448 188 7,357 5,544 7,647 2,204 6,348 8,135 8,883 1,143 5,178 90% 6,082 6,952 4,836 4,875 7,699 4,716 2,983 6,233 80% 4,549 5,104 5,681 4,508 7,388 4,683 Percentage share to total investments 70% CAGR (‘05-09) 3,791 60% P
Slide 7: Quarterly additions in NPLs & Concentration
Quarterly additions in NPLs & Concentration PKR Mln Quarterly Addition In NPLs 1,600 1,385 1,373 1,400 1,222 1,200 Q310 Q210 Q110 Q409 Q309 Q209 Q109 991 1,000 OAEM 822 5 (2) (6) (150) 133 (17) 11 800 Substandard (271) 479 (1,210) (573) 36 (600) (1,318) 600 Doubtful (503) (768) 204 1,048 (720) 83 1,
Slide 8: Equity and Liabilities
Equity and Liabilities PKR Mln 100% YE 05 YE 06 YE 07 YE 08 YE 09 9M 10 90% Fixed 13,296 33,297 32,202 61,680 62,652 78,122 80% Savings 137,251 137,122 160,789 156,126 176,055 193,643 70% Current 78,798 87,043 99,106 112,375 128,898 150,507 Deposits 229,345 257,462 292,098 330,182 367,605 422,272 60
Slide 9: Focused Increase in Profitability
Focused Increase in Profitability PKR Mln Markup Income (Rs.) – CAGR 31% Profit After Tax (Rs.) – CAGR 15% 51,616 40,044 31,787 25,778 17,756 15,266 15,375 15,495 FY2005 FY2006 FY2007 FY2008 FY2009 12,142 Sep 2010: 40,241 NIM (Rs.) – CAGR 24% 8,922 35,775 28,483 21,253 23,921 14,975 FY2005 FY2006 FY
Slide 10: Performance Snapshot
Performance Snapshot ROA EPS Market Capitalisation Rs. In Bln In Rupees 300 4.50% 25.00 251 4.00% 250 3.50% 20.00 200 3.00% 15.00 152 143 2.50% 150 134 2.00% 10.00 79 1.50% 100 72 1.00% 5.00 50 0.50% 0.00% 0.00 - YE 05 YE 06 YE 07 YE 08 YE 09 9M 10 YE 05 YE 06 YE 07 YE 08 YE 09 9M 10 YE 05 YE 06 YE
Slide 11: Shareholders Returns
Shareholders Returns Dividend Yield (Based on Cash Dividends) Dividend Payout 10.0% 9.1% 70.00% 9.0% 62.25% 65.00% 8.0% 56.86% 60.00% 53.97% 7.0% 55.00% 6.0% 5.0% 50.00% 45.39% 5.0% 4.0% 2.9% 3.1% 45.00% 2.4% 40.00% 34.08% 3.0% 35.00% 2.0% 1.0% 30.00% 0.0% 25.00% 2005 2006 2007 2008 2009 2005 2006 2
Slide 12: MCB - Financial Position as at September 30, 2010
MCB – Financial Position as at September 30, 2010 PKR Mln Sep Dec Sep June +/ - %age %age %age 2010 2009 2009 2010 Assets 539,485 509,224 30,261 6% 468,802 15% 532,102 1% Advances - net 228,577 253,249 (24,672) -10% 238,292 -4% 245,058 -7% Investments 207,794 167,134 40,660 24% 142,937 45% 179,515 1
Slide 13: MCB - Profitability Review - September 30, 2010
MCB – Profitability Review – September 30, 2010 PKR Mln Increase of 354M, with QoQ increase of 312M in NIM Sep 2010 Sep 2009 +/- % Budgeted +/- +/- % 1. YoY increase of 1.95B in Interest Income; Mark-up Income 40,241 38,289 1,953 5% 41,229 -988 -2% - On loans, dec of 2.9B - On Investments, inc of 4.
Slide 14: MCB - Highest Quarterly Profit in the History
MCB – Highest Quarterly Profit in the History PKR Mln Q3- 10 Q2 - 10 Q1 - 10 Q4- 09 Q3- 09 Q2 - 09 Q1 - 09 Highest Markup Income Earned 14,000 13,500 Mark-up Income 13,845 13,295 13,101 13,327 12,350 12,847 12,983 13,000 12,500 12,000 Mark-up Expense 4,560 4,322 4,377 4,180 3,830 3,857 3,886 11,500
Slide 15: MCB - Stand Outs
MCB – Stand Outs • Registered highest PBT / PAT for the period ended September 30, 2010 • Effective Cost Cutting / Risk Management Policies • Highest EPS • Highest Return on Assets (ROA) • Significant Return on Equity (ROE) • Highest Capital Adequacy ratio • NPL coverage ratio • Infected portfolio b
Slide 16: Recognitions/ Awards
MCB Recognitions/ Awards
Slide 17: Series of Awards Won
MCB BANK LIMITED – EXCELLENCE “Seriesof AwardsWon” 2009 2008 Asia Money – Best Domestic Bank in Pakistan EuroMoney – Best Bank In Asia EuroMoney Best Bank In Pakistan The Asset - Best Domestic Bank in Pakistan AsiaMoney – Best Domestic Bank In Pakistan 2006 2005 EuroMoney – Best Bank In Pakistan Eur
Slide 18: Awards in 2010
MCB BANK LIMITED – ACHIEVEMENTS IN 2010 “Most Stable Bank in Pakistan “Best Bank Led Mobile Money Transfer Program” Awardsin 2010 “Best Corporate Report Award 2009”
Slide 19: Thank You
THANKYOU For further details on MCB Bank Limited, please visit www.mcb.com.pk For any query/comments/feedback, please e-mail investor.relations@mcb.com.pk