Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — H1 2015 Earnings Presentation
19 slides from Union Bank Of Colombo's earnings presentation, 2015
Slide 1: Investor Presentation Half Year 2015 results
Investor Presentation Half Year 2015 results
Slide 2: The core of our strategy
The core of our strategy To be a key player in the Sri Lankan banking sector by becoming a fully fledged commercial bank
Slide 3: Key Company Milestones
Key Company Milestones 1995-2000 2001-2010 2011-2014 2015 Established as the 8th Restructuring of the Listed in the CSE, indigenous Commercial bank through a Highest First bank in Sri Lanka Bank Sampath Bank led oversubscribed IPO to implement consortium Microsoft cloud Acquisition of technology Fir
Slide 4: Union Bank Today
Union Bank TODAY 62 Branches with access to a network of 2,700 ATM’s Island wide New business plan with a strategic focus on Corporate, SME and Retail Banking New branch outlook and consumer focused layouts Management strengthened with key industry leaders 4
Slide 5: Financial results - 2Q15 (Snapshot)
Financial results- 2Q15 (Snapshot) Financial Highlights - Bank 2Q results for 2015 LKR Mn QoQ Variance Net Interest Income 511 3% Total Operating income 688 4% Operating Cost 563 3% Pre Impairment Profits 125 8% Net Profit for the period 35 39% Loans and Advances 33,093 13% Customer Deposits 30,398
Slide 6: Financial results - 1H15 (Snapshot)
Financial results- 1H15 (Snapshot) Financial Highlights - Bank For the six months ended June 2015 LKR Mn YoY Growth Net Interest Income 1,039 43% Total Operating income 1,350 37% Operating Cost 1,109 45% Pre Impairment Profits 242 9% Net Profit for the period 60 211% Loans and Advances 33,093 38% Cu
Slide 7: Information of ordinary shares of the bank
Information of ordinary shares of the bank Share Price Performance (LKR) Top 10 shareholders Name of Shareholder Structure LKR 30.06.2014 28 Culture Finance Holdings (An affiliate of TPG) 70.00% 26 Vista Knowledge Pte Ltd 5.90% 24 Associated Electrical Corporation Ltd 2.70% 22 Mr.A.I.Lovell 2.10% 20
Slide 8: Profitability Overview – Bank
Profitability Overview – Bank Net Interest income Interest Margins LKR Mn 5.0% 700 4.5% 600 4.0% 500 400 3.5% 300 3.0% 200 2.5% 100 - 2.0% 7
Slide 9: Profitability Overview - Bank
Profitability Overview - Bank Net fees and Commission income LKR Mn 40 35 The bank has placed a lot of emphasis on building its Fee 30 based business lines to catch up with industry averages. 25 20 Key initiatives have been set in place to grow Fee based 15 10 income from Corporate, SME and Retail s
Slide 10: Profitability Overview - Bank
Profitability Overview - Bank Total Operating income Operating Expenses LKR Mn LKR Mn 1,600 37% 45% 1,400 1,200 1,200 1,000 1,000 800 800 600 600 400 400 200 200 - - 1H14 1H15 1H14 1H15 Profit after tax The Bank has invested significantly over the last few quarters to improve efficiencies in process
Slide 11: Loans and Funding
Loans and Funding Loans Mix – 30th June 2015 Gross Loans and Receivables LKR Mn 7% 35,000 20% Term Loans 30,000 OD 50% 25,000 Trade Others 20,000 23% 15,000 Deposit Mix – 30th June 2015 Customer Deposits LKR Mn 35,000 8% 9% 30,000 FD SA 25,000 18% CA 20,000 65% Others 15,000 10
Slide 12: Asset Quality Overview
Asset Quality Overview Gross NPL 16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2H14 1H15 Significant progress over the last 12 months has been made with regard to NPL’s. Origination and underwriting strengthened for the future. Recoveries streamline
Slide 13: CASA
CASA Current Accounts Savings Accounts LKR Mn LKR Mn 3,000 6,000 2,500 5,000 2,000 4,000 1,500 3,000 1,000 2,000 500 1,000 0 0 CASA Significant progress has been made to strengthen 30% CASA within the bank. 25% 20% Current Accounts have grown at a compounded 15% monthly growth rate of 6% over the la
Slide 14: Financials – Income Statement (Bank)
Financials – Income Statement (Bank) Rs Mn IH15 vs 1H14 2Q15 vs 2Q14 1Q14 2Q14 1H 14 1Q15 2Q15 1H15 YoY YoY Net Interest Income 330 399 729 528 511 1,039 43% 28% Net Fee and commission income 28 30 58 25 30 55 6% 2% Net Trading and other operating 95 103 198 109 147 256 29% 43% income Total Operatin
Slide 15: Financials – Balance Sheet (Bank)
Financials – Balance Sheet (Bank) Rs Mn 1H 14 2014 1Q15 IH15 1H15 VS 1H14 YoY Assets Cash and Balances with CB 4,112 13,634 10,436 4,353 6% Loans and receivables to other customers 23,922 25,945 29,258 33,093 38% Other interest earning assets 5,318 6,238 6,489 15,032 183% Investment in subsidiaries
Slide 16: Financials – Income Statement (Group)
Financials – Income Statement (Group) Rs Mn IH15 vs 1H14 2Q15 vs 2Q14 1Q14 2Q14 1H 14 1Q15 2Q15 1H15 YoY YoY Net Interest Income 384 431 815 615 615 1,230 51% 43% Net Fee and commission income 57 63 120 62 68 131 9% 8% Net Trading and other operating 124 204 328 124 133 257 22% 35% income Total Oper
Slide 17: Financials – Balance Sheet (Group)
Financials – Balance Sheet (Group) Rs Mn 1H 14 2014 1Q15 IH15 1H15 VS 1H14 YoY Assets Cash and Balances with CB 4,761 14,014 10,622 4,463 6% Loans and receivables to other customers 26,256 29,218 32,867 36,909 41% Other interest earning assets 4,828 5,699 6,175 14,648 203% Non interest earning asset
Slide 18: Key highlights of 1H15
Key highlights of 1H15 New Management and organizational structure implemented in keeping with the new business strategy. Customer reach expansion accelerated with branches totaling to 62 and 20 offsite ATMs. Branch lay outs and branches are being refurbished with stronger consumer oriented branding
Slide 19: Corporate Information
Corporate Information Board of Directors Legal Form Name Title P. Jayendra Nayak Chairman A Public Limited Liability Company incorporated in Sri Lanka under the Companies Act No. 17 of 1982. Re-registered under the Alexis Lovell Deputy Chairman Companies Act No. 7 of 2007. Listed as a public quoted
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