Security Bank Corp. (philippines) · PSE:SECB
Security Bank Corp. (philippines) — Security Bank — Q1 2021 Earnings Presentation
18 slides from Security Bank Corp. (philippines)'s earnings presentation, May 18, 2021
Slide 1: Q1-2021 Results Highlights
Q1-2021 Results Highlights By: Sanjiv Vohra, President and CEO May 18, 2021
Slide 2: Total Revenues
Total Revenues Total Revenues Total Revenues (excluding Trading Gains) ₱8.8 Billion ₱8.1 Billion 13.2 -34% -17% -₱4.4 B 8.8 9.7 -₱1.6 B 8.1 Q1-2020 Q1-2021 Q1-2020 Q1-2021 2
Slide 3: Profit Before Tax and Net Profit
Profit Before Tax and Net Profit Profit Before Tax Net Profit ₱3.3 Billion ₱1.6 Billion 3.3 2.9 +42% -43% +₱1.0 B -₱1.3 B 2.3 1.6 Q1-2020 Q1-2021 Q1-2020 Q1-2021 3
Slide 4: Net Interest Income and Net Interest Margin
Net Interest Income and Net Interest Margin Net Interest Income Net Interest Margin ₱6.6 Billion 4.39% 8.1 -18% 4.68% -29bps 4.39% -₱1.5 B 6.6 Q1-2020 Q1-2021 Q1-2020 Q1-2021 4 Note: Numbers may not sum up due to rounding
Slide 5: Non-Interest Income
Non-Interest Income Total Non-Interest Income Securities Trading Gains ₱2.1 Billion ₱0.7 Billion -58% 3.5 -80% 5.1 -₱3.0 B -₱2.8 B 1.1 2.1 3.5 0.7 1.1 0.7 0.6 0.4 Q1-2020 Q1-2021 Q1-2020 Q1-2021 Service Charges, Fees & Commissions Non-Interest Income - Others ₱1.1 Billion ₱0.4 Billion +1% 0.6 -34% 1
Slide 6: Cost-to-Income Ratio and Operating Expense
Cost-to-Income Ratio and Operating Expense Operating Expense* Cost-to-Income Ratio ₱5.1 Billion 57.6% 57.6% -3% 5.2 5.1 YoY growth -₱0.1 B 39.4% +7% Compensation and fringe benefits 1.6 1.7 +11% Taxes and licenses 0.9 1.0 +11% 0.6 Depreciation and amortization 0.1 0.6 +7% 0.1 Occupancy costs 2.0 -21
Slide 7: Manpower Headcount
Manpower Headcount Manpower Headcount 6,828 Headcount 6,721 6,755 6,766 6,833 6,828 QoQ: - 0.1% YoY: +1.6% Mar. 31, 2020 Jun. 30, 2020 Sep. 30, 2020 Dec. 31, 2020 Mar. 31, 2021 7
Slide 8: Total Loans and Total Deposits (Year-over-Year)
Total Loans and Total Deposits (Year-over-Year) Total Loans* Total Deposits ₱430 Billion ₱519 Billion -7% +3% 519 461 503 -₱31 B 430 +₱16 B 128 28% 107 25% 242 48% +12% 272 52% 333 72% 324 75% -5% 260 52% 247 48% Mar. 31, 2020 Mar. 31, 2021 Mar. 31, 2020 Mar. 31, 2021 *Loans (net of allowance); Gros
Slide 9: Total Loans and Total Deposits (Quarter-on-Quarter)
Total Loans and Total Deposits (Quarter-on-Quarter) Total Loans* Total Deposits ₱430 Billion ₱519 Billion +18% 519 -2% 439 430 440 -₱9 B +₱79 B 111 25% 107 25% 272 52% 266 60% +2% 328 75% 324 75% 247 48% 174 40% +42% Dec. 31, 2020 Mar. 31, 2021 Dec. 31, 2020 Mar. 31, 2021 *Loans (net of allowance);
Slide 10: Asset Quality
Asset Quality Gross NPL Ratio and NPL Reserve Cover Allowance over Total Loans 128% 4.30% 4.30% 118% 115% +204bps 2.26% 3.90% 3.41% 1.59% Mar. 31, 2020 Dec. 31, 2020 Mar. 31, 2021 Mar. 31, 2020 Mar. 31, 2021 10
Slide 11: Provisions for Credit Losses
Provisions for Credit Losses Provisions for Credit Losses Provisions per Segment 5.7 In Php millions Q1-2020 Q1-2021 -93% -₱5.3 B Retail 3,631 705 Wholesale 919 205 Financial Markets 0 (3) Others 1,121 (505) Total 5,671 402 0.4 Q1-2020 Q1-2021 11
Slide 12: Return on Shareholders’ Equity and Return on Assets
Return on Shareholders’ Equity and Return on Assets Return on Shareholders’ Equity Return on Assets 5.38% 9.70% 0.96% -432bps 1.46% -50bps 5.38% 0.96% Q1-2020 Q1-2021 Q1-2020 Q1-2021 12
Slide 13: Balance Sheet
Balance Sheet Total Assets Total Liabilities ₱718 784 Billion ₱596 Billion 718 664 596 59% 36% 60% 46% 39% 26% 20% 41% 14% 15% 20% 5% 2% 8% 5% 4% Mar. 31, 2020 Mar. 31, 2021 Mar. 31, 2020 Mar. 31, 2021 Liquidity Ratios CET 1 and Total CAR 19.2% and 20.1% Liquidity Coverage Ratio (LCR) 144% 19.2% 20.
Slide 14: Quarterly Financial Highlights
Quarterly Financial Highlights Total Revenues Net Interest Income ₱8.8 13.2 Billion 14.4 ₱6.68.1Billion 12.6 7.8 7.6 7.3 10.1 6.6 8.8 Q1-2020 Q2-2020 Q3-2020 Q4-2020 Q1-2021 Q1-2020 Q2-2020 Q3-2020 Q4-2020 Q1-2021 Profit Before Tax Net Interest Margin ₱3.3 Billion 4.39% 3.3 4.68% 4.64% 4.90% 4.96% 4
Slide 15: Quarterly Financial Highlights
Quarterly Financial Highlights Operating Expenses Provisions ₱5.1 Billion ₱0.4 Billion 10.1 5.2 5.0 5.2 5.1 4.3 5.7 5.3 5.3 0.4 Q1-2020 Q2-2020 Q3-2020 Q4-2020 Q1-2021 Q1-2020 Q2-2020 Q3-2020 Q4-2020 Q1-2021 Net Profit ₱1.6 Billion 2.9 2.8 1.6 1.0 0.8 Q1-2020 Q2-2020 Q3-2020 Q4-2020 Q1-2021 15
Slide 16: Summary Themes: Q1-2021
Summary Themes: Q1-2021 1. NIM: Decrease because Asset Mix has changed 2. Loans: Decrease in retail (down -16% YoY) and wholesale (down -4% YoY) given economic backdrop 3. Trading Gains: Lower as bond yields moved up 4. Asset quality metrics improved: NPL ratio. Significantly lower provisions. Maint
Slide 17: 2021 Themes
2021 Themes 1. Our Vision: To become the most customer-centric bank in the Philippines • Our strategic imperative: To invest in our customers 2. Core client engagement in retail and wholesale segments • Leverage on our experience, analytics and research to identify behavioral patterns and tailor pro
Slide 18: Q1-2021 Results Highlights
Q1-2021 Results Highlights By: Sanjiv Vohra, President and CEO May 18, 2021