Olp Financial Services Pakistan Limited · PSX:OLPL
Olp Financial Services Pakistan — Corporate Update (November 2022)
29 slides from Olp Financial Services Pakistan's corporate update, Nov 17, 2022
Slide 1: Corporate Briefing Session
OLP Financial Services Pakistan Limited (PSX Symbol: OLPL) CORPORATE BRIEFING SESSION November 17, 2022 04:00 PM
Slide 2: Agenda
Agenda 1 Introduction 4 Financial Information 2 Corporate Governance 5 OLP’s Position in Lending NBFCs 3 Operational Information 6 Future Strategy
Slide 3: OLP's Timeline
OLP’s Timeline Year Milestones 1987 Introduced Corporate Lease 1992 Launched Consumer Auto Lease Product 1993 - Commenced Certificate of Deposits - First Joint Venture in Oman (Exited in 2018) 1997 Joint Venture In Egypt 2000 Started Operating Lease Business 2001 Joint Venture In Saudi Arabia 2002 J
Slide 4: Annual Profit (Rs. Million)
Annual Profit (Rs. Million) Rs. In Millions 1,9 00.00 1,719 1,447 1,376 1,4 00.00 1,283 1,380 1,158 976 973 900 .00 808 1,023 915 882 640 841 747 671 702 454 395 414 360 351 516 400 .00 306 274 225 396 226 166 157 150 156 179 151 334 338 112 133 321 125 60 266 267 21 33 42 49 209 0.11 5 13 202 148 1
Slide 5: Dividend Incl. Bonus Shares
Dividend Incl. Bonus Shares 55% 50% 45% 45% 45% 45% 45% 45% 45% 45% 40% 40% 40% 40% 38% 38% 35% 35% 35% 35% 35% 30% 30% 30% 30% 30% 28% 27% 25% 25% 23% 22% 18% 15% 15% 10% 10% 5% 0% 0% 0% 0% -5% 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Slide 6: Corporate Governance
Se 2 2 OLP Corporate Governance
Slide 7: Internal Governance Structure
Internal Governance Structure Audit Management Committee Committee HR Nomination and Remuneration Credit Committee Committee Board CEO Asset Risk Liability Committee Management Committee Information Technology Credit Steering Committee Committee www.olpfinance.com 7 7
Slide 8: Internal Governance Structure – Board & Board Committees
Internal Governance Structure – Board & Board Committees Human Resource, Nomination and Board of Directors Audit Committee Risk Committee Credit Committee Remuneration Committee Chairman and Independent 1 Mr. Khalid Aziz Mirza Chairman Director 2 Mr. Nasim Hyder Independent Director Chairman Member
Slide 9: OLP's Risk Management Framework
OLP’s Risk Management Framework OLP’s Risk Management 1ST Line of Defense 2ND Line of Defense 3RD Line of Defense Framework is overseen by Board’s Risk Committee and Governance Risk Management Compliance ultimately by the Board. • Board approved policies • Performs both First and • Checks adherence
Slide 10: Core Values
Core Values www.olpfinance.com 10 10
Slide 11: Operational Information
Se 2 2 OLP Operational Information
Slide 12: Operations
Operations OLP is headquartered at Karachi with 36 branches situated in 34 cities across Pakistan. Staff strength of 456 permanent employees. The Pakistan Credit Rating Agency Limited (PACRA) has assigned OLP a long term rating of (AA+) and a short term rating (A1+) (maintained same rating since 201
Slide 13: Main Branches in Pakistan
Main Branches in Pakistan ZONAL OFFICES BRANCHES KARACHI - (HEAD OFFICE) KHALID BIN WALEED DHA HYDERABAD HYDERABAD SUKKUR ISLAMABAD ISLAMABAD CHAKWAL MIRPUR RAWALPINDI TAXILA FAISALABAD FAISALABAD JHANG SAHIWAL SARGODHA LAHORE LAHORE THOKAR NIAZ BAIG MULTAN MULTAN BAHAWALPUR RAHIM YAR KHAN VEHARI PE
Slide 14: OLP Products
OLP Products www.olpfinance.com 14 14
Slide 15: Sector Wise Portfolio - June 30, 2022
Operational Review – Executions and Average TR Sector Wise Portfolio - June 30, 2022 AmountNFA in Rs ‘million & OTHER INDIVIDUAL SECTOR FINANCES & LOANS (Rs. Million) GOODS TRANSPORT INDIVIDUAL 7,704 PUBLIC TRANSPORT GOODS TRANSPORT 3,638 DISTRIBUTOR SERVICES 1,911 SERVICES 15% 6% PUBLIC TRANSPORT 1
Slide 16: Financial Information
a“ 2 J OLP Financial Information
Slide 17: Financial Performance
OLP Financial Services PakistanPerformance Financial Limited - Financial Performance Statement of Profit or Loss June June June June June Amount in Rs. million 2018 2019 2020 2021 2022 Income from operations 3,478 3,856 4,048 3,278 3,905 Other income 896 273 359 368 520 Share of profit from associat
Slide 18: Financial Position
Financial Position Statement of Financial Position June June June June June Amounts in Rs. million 2018 2019 2020 2021 2022 Net investment in finance lease 17,917 17,287 13,488 13,209 12,684 Finances and loans 4,460 4,714 4,501 7,526 11,556 Total portfolio – net of provision 22,377 22,001 17,989 20,
Slide 19: Funding Analysis
Funding Analysis Rs. in millions 8,914 Equity 7,249 8,013 8,526 8,234 4,536 COD (Retail Deposits) 5,276 4,259 4,869 4,407 Bank 13,484 11,774 11,387 8,454 9,203 2018 2019 2020 2021 2022 Total Borrowing 17,050 15,646 12,861 14,072 18,020 D/E Ratio (times) 2.35 1.95 1.56 1.65 2.02 www.olpfinance.com 19
Slide 20: Overdue Trend Analysis (> 90days)
Overdue Trend Analysis (> 90days) Rs. in millions 9.70% Infection 5.90% 5.30% Ratio 4.50% 1,207 1,837 1,290 1,124 June-19 June-20 June-21 June-22 Provision 871 1,173 1,121 1,055 Provision Coverage % 72% 64% 87% 94% www.olpfinance.com 20
Slide 21: Financial Ratios (2020-2022)
Operational Review – Executions and Average TR FINANCIAL RATIOS (2020-2022) Amount in Rs ‘million Return on equity (ROE) (%) Return on assets (ROA) (%) 3.9 2.9 3.0 8.6% 10.9% 10.1% June-20 June-21 June-22 June-20 June-21 June-22 Debt equity ratio (Times) Earnings per share (EPS) (Rs.) 4.0 5.2 5.0 1.
Slide 22: Financial Ratios (2020-2022)
Operational Review – Executions and Average TR FINANCIAL RATIOS (2020-2022) Amount in Rs ‘million Price to Book ratio (Times) Dividend Yield (%) 19.05 0.53 0.47 13.98 15.53 0.41 June-20 June-21 June-22 June-20 June-21 June-22 www.olpfinance.com 22 22
Slide 23: Financial Performance
OLP Financial Services Pakistan Limited - Financial Performance Financial Performance Description Sep 2022 Sep 2021 Variance % Amounts in Rs. Million Income from operations 1,280 836 53% Other income 187 84 124% Share of profit from associates 22 11 109% Total Income 1,489 930 60% Finance cost 687 3
Slide 24: Financial Position
Financial Position Description Sep-2022 Jun-2022 Variance Amount in Rs. million Net investment in finance lease 12,074 12,684 -5% Finances and loans 12,450 11,556 8% Total Portfolio - Net 24,524 24,240 2% Investments 4,667 2,956 58% Other assets 1,807 2,534 -28% Total Assets 30,998 29,730 4% Bank bo
Slide 25: OLP's Position in Lending NBFCs
OLP’s Position in Lending NBFCs 25
Slide 26: Financial Highlights Non Banking Financial Institution Sector
Financial Highlights Non Banking Financial Institution Sector Rs. in million Industry 2016 2017 2018 2019 2020 2021 No. of Companies (Lending Institutions) 33 32 35 35 37 35 Total assets 76,825 80,024 81,248 81,574 78,265 78,426 Profit after taxation 1,818 2310 2,869 2,130 1,823 2,761 OLP & OLP Moda
Slide 27: Future Strategy
. q Future Strategy = A
Slide 28: Future Strategy
Future Strategy Introduction / New Lessees: Product differentiation: Vendor relationships Staff training: development of new - OLP will focus on - Offer vehicle lease and brand visibility: - To further enhance products to diversify increasing its client bundled with insurance - Vendor relationships
Slide 29: Thank You
Thank You www.olpfinance.com 29
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