Pt Bank Qnb Indonesia Tbk · IDX:BKSW
Pt Bank Qnb Indonesia Tbk — QNB — Investor Presentation (September 2020)
38 slides from Pt Bank Qnb Indonesia Tbk's investor presentation, September 2020
Slide 1: Investor Relations Presentation
Investor Relations Presentation September 2020
Slide 2: Contents
Contents 1. QNB at a Glance 2. QNB Comparative Positioning – Qatar and MEA 3. Financial Highlights – as at 30 September 2020 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
Slide 3: QNB at a Glance
QNB at a Glance
Slide 4: QNB is a strong and highly rated bank with a growing international footprint
QNB is a strong and highly rated bank with a growing international footprint #1 bank in the Middle East and Africa across all financial metrics International network with presence in more than 31 countries Most valuable banking brand in the Middle East and Africa, worth USD 6.0 Bn1 About 29,000 empl
Slide 5: QNB's International Footprint
QNB's International Footprint Sub-Saharan Africa Middle East South Sudan: (1 Branch) Qatar: (54 Branches) Togo: (733 Branches4, 20.1% stake in KSA: (1 Branch) Ecobank) UAE: (8 (+11) Branches, 40.0% stake Asia in CBI) Indonesia: (18 Branches, 92.48% stake Syria: (15 (+301) Branches, 50.8% stake In QN
Slide 6: QNB Comparative Positioning – Qatar and MEA
QNB Comparative Positioning – Qatar and MEA
Slide 7: Top Domestic Banks – June 2020
Top 5 Domestic Banks – June 2020 QNB continues to excel in the domestic market Assets Loans 267.0 193.6 45.5 39.5 30.8 30.0 29.7 23.9 21.5 17.2 Deposits Net Profit 195.6 1.76 0.39 29.3 0.30 0.25 21.3 18.5 15.4 0.14 Note: All amounts are in USD billions 7 Source: Banks’ June 2020 Press Release or Fin
Slide 8: Top MEA Banks – June 2020
Top 5 MEA Banks – June 2020 QNB maintained its position as the leading bank in the region across all categories Assets Loans 267.0 193.6 235.8 189.0 123.0 150.6 148.6 104.7 84.3 73.3 Deposits Net Profit 195.6 1.76 141.2 1.31 1.31 1.28 125.5 1.11 101.4 89.2 Note: All amounts are in USD billions Sourc
Slide 9: Leading MEA institution by brand value and market capitalisation
QNB is the leading financial institution in the MEA region with regards to brand value and market capitalisation Brand value and market capitalisation (USD Bn as at 31-Dec-19) Top MEA banking brands Top MEA banks by market capitalisation 6.03 52.2 4.13 45.1 4.03 43.6 3.51 39.4 2.67 25.2 Source: Bran
Slide 10: Financial Highlights – as at September 2020
Financial Highlights – as at 30 September 2020
Slide 11: QNB demonstrate sustainable growth
QNB demonstrate sustainable growth Financial Highlights (as at 30 September 2020) Growth vs. September 2019 • Net interest margin (NIM)2: 2.49% Profit1 • USD2.61 billion -15% • Cost to income ratio: 24.2% • Earnings per share: USD 0.26 • USD270.9 billion assets +8% • NPL (% of gross loans): 2.0% Ass
Slide 12: QNB ALAHLI
QNB ALAHLI Highlights (as at 30 September 2020) Growth vs. September 2019 • USD344.6 million +10% • Net interest margin (NIM)2: 5.71% Profit1 (EGP5.5 billion) (+2%) • Cost to income ratio: 28.4% • USD18.6 billion assets +16% (EGP293.2 billion) (+12%) • NPL (% of gross loans): 2.3% Assets • USD10.7 b
Slide 13: QNB FINANSBANK
QNB FINANSBANK Highlights (as at 30 September 2020) Growth vs. September 2019 • USD305.1 million -20% • Net interest margin (NIM)2: 4.12% Profit1 (TRY2.1 billion) (-4%) • Cost to income ratio: 38.9% • USD31.3 billion assets -4% (TRY243.0 billion) (+32%) • NPL (% of gross loans): 4.5% Assets • USD19.
Slide 14: Geographical diversification contributes to growth
Geographical diversification contributes to growth Geographical Contribution (as at 30 September) Domestic International % Share of International as percentage of the total Net Profit1 Loans Deposits USD billion USD billion USD billion 3.08 196.8 196.4 2.97 179.4 182.0 2.61 166.8 169.9 111.8 1.93 2.
Slide 15: Consistent Profitability and Cost Discipline
Consistent Profitability and Cost Discipline Income Statement Breakdown (USD billion as at 30 September) Net Profit1 Operating Income2 Net Interest Income % Cost to Income Ratio % Net Interest Margin3 5 yrs: 2% 5 yrs: 9% 3.08 5.28 5 yrs: 10% 2.97 5.24 2.82 4.82 5.02 4.32 2.65 2.61 4.66 4.10 3.74 3.8
Slide 16: Asset growth driven by lending activities mainly in QAR and USD
Asset growth driven by lending activities mainly in QAR and USD Assets Analysis (as at 30 September) Total Assets Evolution 2020 Split of Assets (%) USD billion By Type By Currency 5 yrs: 14% 270.9 Cash and Balances with 7.9 QAR 27.7 250.5 233.9 Central Banks 217.6 USD 42.7 Due from 195.9 6.8 Banks
Slide 17: Good loan growth
Good loan growth Loans Analysis (as at 30 September) Total Loans Evolution 2020 Split of Loans (%) USD billion By Geography By Sector1 5 yrs: 14% 196.8 Qatar 75.8 Govt. & Govt. 34.9 179.4 Agencies 166.8 Turkey 9.7 Services/ 159.0 38.3 Commerce 139.3 Egypt 5.4 Industry 5.9 Europe 3.1 Real Estate & 10
Slide 18: High quality lending portfolio is underpinned by low NPL ratios
High quality lending portfolio is underpinned by low NPL ratios Asset Quality Analysis (as at 30 September) Non Performing Loans (NPL) by Segment • QNB has continued to x Total NPL’s increase its provisions in USD million response to the global 3,348 3,527 4,054 economic situation as a result 2,152
Slide 19: High quality investment portfolio with 91% of securities rated AA or Sovereign
High quality investment portfolio with 91% of securities rated AA or Sovereign Investments Analysis (USD million as at 30 September 2020) Fair Value Through Other Comprehensive Income Amortised Cost Quoted Fixed rate Unquoted Floating rate State of Qatar 6,313 State of Qatar 3,741 Sovereign Debt 0 S
Slide 20: Robust growth in customer deposits and funding
Robust growth in customer deposits and funding Funding Analysis (as at 30 September) Total Customer Deposits Evolution 2020 Split of Deposits (%) USD billion By Sector By Type By Geography 5 yrs: 13% Qatar 55.3 196.4 Govt. & Time Govt. Agencies 25.1 77.5 182.0 Deposits 169.9 GCC 2.6 157.8 Europe 17.
Slide 21: Solid liquidity profile
Solid liquidity profile Liquidity Analysis (as at 30 September) Loans to Deposits Ratio Evolution 2020 Sources of Liquidity % % of total liabilities 101.3 100.8 98.2 98.6 100.2 Due to 8.8 Banks Customer 80.1 Deposits Debt 4.8 Securities 2016 2017 2018 2019 2020 Other 3.1 Borrowings Liquid Assets1 Ev
Slide 22: Strong capital adequacy ratio maintained above QCB and Basel III requirements
Strong capital adequacy ratio maintained above both QCB and Basel III requirements Capital Analysis (as at 30 September) Basel III Capital Adequacy Ratio % 18.1 17.0 16.0 (QCB) 12.8 13.0 (QCB) 11.0 (QCB) CET 1 Tier 1 Total CAR • Capital adequacy ratio is above QCB and Basel III requirements includin
Slide 23: Diversifying business mix will bolster sustainable growth
Diversifying business mix will bolster sustainable growth Business Mix Contribution (% share as at 30 September 2020) Lines of Business Net Profit1 Op. Income Loans Deposits 78 76 90 78 • Maintain dominant domestic Group market share Corporate • Grow international contribution • Nurture SME business
Slide 24: IFRS 9 - Additional buffer for long term earnings stability
IFRS 9 - Additional buffer for long term earnings stability • QNB implemented IFRS 9 with effect from 1 January 2018 based on the QCB guidelines. Financial Impacts • As per QCB instructions, ECL impact has been treated as Tier 2 Capital for CAR purposes with no amortisation of the transition impact.
Slide 25: QNB Group Financials
QNB Group Financials Key data (as at 30 September 2020) QNB QNB incl. QNB ALAHLI QNB incl. QNB Finansbank % Contribution of QNB AA % Contribution of QNB Finansbank Financials Ratios Presence USD billion 106% 2.61 271 104% 28,783 103% 2.32 244 227 2.00 197 196 178 178 167 164 15,337 8,621 2.0% 1.7% 1
Slide 26: Sustainability
Sustainability
Slide 27: QNB Group is committed to enhancing its ESG Practices
QNB Group is committed to enhancing its Environmental, Social and Governance (ESG) Practices Established QNB Group Sustainability Strategy, Policy and Governance External Commitments Reporting & Disclosures Green, Social and Qatar National Vision 2030 Sustainability Bond (GSSB) Annual GRI Sustainabi
Slide 28: Sustainability for QNB is the delivery of long-term value
Sustainability for QNB is the delivery of long-term value in financial, environmental, social and ethical terms, for the benefit of our stakeholders QNB Group Sustainability Framework Stakeholder engagement Our sustainability framework consists of three pillars: Customers • Engagement through custom
Slide 29: Introduction to QNB Green, Social and Sustainability Bond Framework
Introduction to QNB Green, Social and Sustainability Bond Framework Defining an ambitious Framework, in line with best practices and standards Rationale for issuing QNB Green, Social, Sustainability Bond Framework description QNB intends to: • Under this Framework, Green and Social and • Align its s
Slide 30: QNB Green and Social “Use of Proceeds”
QNB Green and Social “Use of Proceeds” Applying strict Eligibility Criteria when selecting green and/or social projects Green Bond Use of Proceeds Green Buildings Renewable Clean Energy Sustainable Sustainable Pollution New and existing Energy Transportation Efficiency management of water and Preven
Slide 31: Economic Overview
Economic Overview
Slide 32: Qatar’s hydrocarbon wealth makes it the world’s richest country
Qatar’s hydrocarbon wealth makes it the world’s richest country Oil and gas reserves per capita (2019) GDP per capita (2018) k barrels of oil equivalent (boe) k USD PPP Qatar* 115.7 Qatar 130 Kuwait 23.7 Luxembourg 106 Venezuela 12.4 Singapore 101 UAE 12.3 Ireland 80 Saudi Arabia 9.8 Brunei 78 Libya
Slide 33: Qatar accumulated large reserves and is using them to diversify the economy
Qatar accumulated large reserves during its hydrocarbon expansion and is now using these reserves to diversify the economy through major investments Real GDP Growth by Sector %, year-on-year Hydrocarbon Non-Hydrocarbon 30 Hydrocarbon Phase 25 20 Diversification Phase 15 10 Qatar’s National Vision 20
Slide 34: Qatar’s fundamentals resilient
Qatar’s fundamentals resilient Qatar Trade (USD Bn) Financial Soundness Indicators (2017-2019, %) Exports Imports Capital Adequacy 2017 2018 2019 9 Tier 1 capital/risk-weighted assets 16.5 17 17.5 8 Regulatory capital/risk-weighted assets 16.8 18 18.5 7 Asset Quality 6 Non-performing loans/total loa
Slide 35: Qatar’s National Vision 2030 supported by large infrastructure investment
Qatar’s National Vision 2030 is supported by a large infrastructure investment programme Major Projects Pipeline as of September 2020 Project End Lusail Mixed-Use Development 2022 Comments • New investment sectors are opening up to Economic Free Zones 2025 truction support self sufficiency and long-
Slide 36: Qatar set to significantly increase its LNG production
Qatar is set to significantly increase its LNG production, boosting domestic growth while maintaining its position as the world’s largest exporter Qatar’s current and expected share of global LNG market Global LNG demand Qatar LNG production Million metric tons per annum • Globally Qatar is the larg
Slide 37: Qatar is one of the highest rated sovereigns in the world
Qatar is one of the highest rated sovereigns in the world, ranking above a number of advanced economies Moody’s Sovereign Ratings1 AAA US, Germany, Canada, Australia, N Zealand, Switz’nd, Norway, Sweden, Denmark, Neth’lands, Lux’bourg, Singapore Aa1 Austria, Finland Aa2 UK, France, South Korea, Isle
Slide 38: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: • These materials contain statements about future events and expectations that are forward-looking statements. • These statements typically