Emirates Nbd Bank (p.j.s.c) · DFM:EMIRATESNBD
Emirates Nbd Bank (p.j.s.c) — Emirates NBD — FY2021 Earnings Presentation
15 slides from Emirates Nbd Bank (p.j.s.c)'s earnings presentation, Jan 26, 2022
Slide 1: Results Presentation FY 2021
Results Presentation FY 2021 26 January 2022
Slide 2: Important Information
Important Information Disclaimer The material in this presentation is general background information about Emirates NBD's activities current at the date of the presentation. It is information given in summary form and does not purport to be complete. It is not intended to be relied upon as advice to
Slide 3: Emirates NBD delivers strong performance in 2021 on improving economic conditions
Emirates NBD delivers strong performance in 2021 on improving economic conditions Key Highlights Key Metrics & Guidance Net Profit CET 1 Strong performance recovery trend with FY 2021 profit AED 9.3bn, up 34% AED 9.3bn 15.1% +34% y-o-y UAE economic activity picking up helped by Expo 2020 NIM LCR 2.5
Slide 4: Financial results highlights FY 2021
Financial results highlights FY 2021 Highlights Income Liquidity Risk Expenses Capital Divisional Key Highlights Better / Income Statement (AED bn) FY 2021 FY 2020 (Worse) • Strong 2021 results a continuation of recovery with net profit up 34% y-o-y Net interest income 16.9 17.5 (3)% - 38% of income
Slide 5: Financial results highlights Q4 2021
Financial results highlights Q4 2021 Highlights Income Liquidity Risk Expenses Capital Divisional Better / Better / Income Statement (AED bn) Q4-21 Q4-20 Q3-21 (Worse) (Worse) Key Highlights Net interest income 4.3 4.0 7% 4.4 (3)% Non-funded income 2.2 0.9 146% 1.3 67% • Net profit up 53% y-o-y with
Slide 6: Net interest income
Net interest income Highlights Income Liquidity Risk Expenses Capital Divisional Net Interest Margin (%) Key Highlights • FY 2021 NIM down 12 bps due to interest rate cuts in 2020 2.89 - Improved funding cost offset by reduced loan yields Quarterly NIM 2.82 YTD NIM • Q4-21 NIM declined 6bps - Loan y
Slide 7: Funding and liquidity
Funding and liquidity Highlights Income Liquidity Risk Expenses Capital Divisional Advances to Deposit and Liquidity Coverage Ratio (%) Key Highlights ADR % LCR % • LCR of 177.6% and ADR of 92.5% demonstrate healthy liquidity 180 100 165.0 165.1 177.6 158.8 160 157.2 • Liquid assets* of AED 70.8 bil
Slide 8: Loans and deposits trends
Loans and deposits trends Highlights Income Liquidity Risk Expenses Capital Divisional Gross Loans by Type (AED Bn) Key Highlights -4% • Gross loans declined 4% (AED 20bn) in 2021 due to currency depreciation, offsetting -3% significant demand for retail financing 479 472 475 475 459 - Retail financ
Slide 9: Credit quality
Credit quality Highlights Income Liquidity Risk Expenses Capital Divisional Impaired loans and allowances Key Highlights • NPL ratio increased by 0.1% to 6.3% in FY-21 6.2 35.0 6.1 36.1 6.3 36.4 6.2 37.1 6.3 37.2 • Coverage ratio strengthened 10.2% to 127.5% during 2021 29.8 28.9 29.7 29.2 29.2 o S1
Slide 10: Non-funded income
Non-funded income Highlights Income Liquidity Risk Expenses Capital Divisional Key Highlights Better / • FY-21 fee and commission income up 15% y-o-y Non-funded income (AED mn) FY-21 FY-20 (Worse) - Higher transaction volumes due to increased activity Fee and Commission income 6,475 5,627 15% - Impr
Slide 11: Operating expenses
Operating expenses Highlights Income Liquidity Risk Expenses Capital Divisional Key Highlights Cost to Income Ratio (%) • YTD Cost to income ratio improved to 33.5% from 33.8% last year supported by positive income momentum 41.5 35.3 34.0 34.8 - Positive jaws as 3% Income growth outpaced 2% increase
Slide 12: Capital adequacy
Capital adequacy Highlights Income Liquidity Risk Expenses Capital Divisional Capital (AED billion) Key Highlights • CET-1 ratio improved 0.1% during 2021 as 81.5 - AED 9.3bn of retained earnings offset 4.9 (3.2) - AED 3.2bn of proposed dividend 9.3 (0.6) 0.5 9.1 67.1 (5.6) 67.5 - AED 5.6bn impact o
Slide 13: Divisional performance
Divisional performance Highlights Income Liquidity Risk Expenses Capital Divisional Increase / Key Highlights Operating Segment Metrics FY-21 Retail Banking and Wealth Management (Decrease) • Record year for consumer loan origination, cards acquisitions and low-cost CASA Income (mn) 8,045 4% • Custo
Slide 14: DenizBank business overview
DenizBank business overview Highlights Income Liquidity Risk Expenses Capital Divisional Better / Income Statement (AED Mn) FY-21 FY-20 Key Highlights (Worse) Net interest income 5,272 5,667 (7)% • Net profit grew 20% to AED 1,643m in 2021 despite volatility Non-funded income 1,770 1,590 11% • Net i
Slide 15: Thank you
Thank you Investor Relations Emirates NBD Head Office I 4th Floor PO Box 777 I Dubai, UAE IR@emiratesnbd.com Tel: +971 4 609 3046