Saudi Awwal Bank · TADAWUL:1060
Saudi Awwal Bank — Q2 2023 Earnings Presentation
13 slides from Saudi Awwal Bank's earnings presentation, 2023
Slide 1: SAB 2Q23 Results Presentation
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Slide 2: Key messages and profile: 2023 key messages
KEY MESSAGES AND PROFILE 2023 Key messages STRATEGY ON ° Strategy execution is on track with more than two-thirds of our SAR1.5bn fund committed; continued digital 1H23 YTD TRACK enhancements improving customer experience arceaican @ We continue to be a key player in supporting the Vision 2030 trans
Slide 3: SAB’s strengths
SAB’s strengths SAB credentials! We are the leading international bank in the Kingdom with a deep understanding of the needs of our Wealth and customers, and a bespoke product suite that brings intrinsic value to our customers. Our unique Personal partnership with HSBC Group enables us to bring inte
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Slide 5: 2023 Performance: Revenue
2023 PERFORMANCE Revenue 2023 NSCI up 47% YoY; 2023 remains stable vs. 1023 with increase in NSCl-earning assets offsetting a 9bps fall in NIM; quarterly drop in NIM reflects a fall in NIBs ratio Includes gains from Includes e Revenue by business: Quarterly trend SARm SARIE5M ooortolore. NSCI, SARm
Slide 6: Costs
Costs 2023 PERFORMANCE 1H23 costs have increased 18% compared with 1H22 but stable QoQ; CER ratio of 31.9% remains ahead of guidance Recent cost trend, SARm 1H23 vs. 1H22 costs, SARm <> | 1022 2022 3022 4022 1023 2023 1H22— General and. Staff c administrative costs + Higher staff costs as we invest
Slide 7: Purchased or originated credit impaired
Purchased or originated credit impaired 102 45 47 27 24 30 28 13 8 3.8 3.7 3.8 3.8 3.8 3.8 3.8 6
Slide 8: Customer lending
Customer lending 2023 PERFORMANCE 8% lending growth YTD and 4% during 2023: corporate originations remain strong with a healthy pipeline; mortgage portfolio continues to grow but originations fall in the quarter reflective of the overall market Gross customer lending, SARbn Gross customer lending 20
Slide 9: Customer deposits
2023 PERFORMANCE Customer deposits Funding and liquidity remain robust, non-interest bearing deposit ratio fell reflecting the trend in the market Customer deposits, SARbn Demand deposit ratio, % Liquidity coverage ratio, % Stable funding base Robust non-interest bearing deposit ratio Highly liquid
Slide 10: Capital and returns
Capital and returns 2023 PERFORMANCE Returns continue to build although 2023 impacted by zakat and tax provision relating to prior years; CET1 of 16.5% reflects the sustained growth in our loan portfolio Return on tangible equity, % I Tax relating to prior years “Il Loss from discontinued operations
Slide 11: Concluding remarks and 2023 guidance
Concluding remarks and 2023 guidance Strategy on track, investment plan on track, growth on track Progress for the first half delivers 48% revenue growth and 61% net income growth YoY, resulting in an annualised underlying RoTE of 15.2%!; 2023 QTD NIM contracts temporarily to 3.0% Sustained loan gro
Slide 12: Disclaimer
Disclaimer Important notice The information, statements and opinions set out in this presentation are for informational and reference purposes only and do not constitute a public offer for the purposes of any applicable law or an offer to sell or solicitation of any offer to purchase any securities
Slide 13: Jail
Jail SAB