First Abu Dhabi Bank · ADX:FAB
First Abu Dhabi Bank — Investor Presentation (May 2025)
54 slides from First Abu Dhabi Bank's investor presentation, May 2025
Slide 1: Investor Presentation May 2025
MAY 2025 INVESTOR PRESENTATION Scan to download this presentation
Slide 2: Disclaimer
Disclaimer The information contained herein has been prepared by First Abu Dhabi Bank P.J.S.C ("FAB"). The information contained in this presentation may not have been reviewed or reported on by the Group's auditors. FAB relies on information obtained from sources believed to be reliable but does no
Slide 3: The investment case for FAB – the UAE's global bank
The investment case for FAB – the UAE’s global bank The UAE’s global bank Diversified franchise Track record of delivering Regional ESG pacesetter and one of the strongest with a strong regional consistently strong powering the UAE financial institutions presence and a strategic returns, targeting >
Slide 4: The UAE's global bank and one of the strongest financial institutions globally
The UAE’s global bank and one of the strongest financial institutions globally
Slide 5: The UAE's global bank
The UAE’s global bank All figures as of 31 March 2025 unless stated otherwise A global powerhouse Among the strongest and safest banks globally Strongest Combined Credit Rating Among MENA Banks 1.31 AED Tn (USD 356bn) 152 AED Bn (USD 42bn) Maintained top rankings across Aa3 / AA- / AA- AA MSCI ESG R
Slide 6: Among the most profitable AA- rated banks globally
Among the most profitable AA- rated banks globally 30% Mashreq Western banks GCC banks APAC banks 25% JP Morgan ENBD 20% Al Rajhi Return on Tangible Equity (%) DBS Morgan Stanley Nordea KFH Natwest ICICI* RBC**** Swedbank QNB State Bank of India* NBK SNB 15% ADCB UOB OCBC Scotia**** HSBC HDFC Bank*
Slide 7: A regional banking powerhouse
A regional banking powerhouse Banking sector assets1 National Q1’25 Net Profit2 Total Assets2 Equity2 Market Cap4 Credit Ratings4 (USD Bn) champion2,3 (USD Bn) (USD Bn) (USD Bn) (USD Bn) (Moody’s/S&P/Fitch) 1,262 1.4 355.7 34.7 41.6 Aa3 / AA- / AA- UAE 1,250 1.6 311.1 51.4 57.3 A1 / A- / A- KSA 570
Slide 8: A market heavyweight delivering consistently strong shareholder returns
A market heavyweight delivering consistently strong shareholder returns Diverse shareholding and strong representation in major indices Delivering mid to high teens RoTE through the cycle 22% 20.4% 2 4.5 % 22.4% 37.9% Top 3 1 9.5 % Foreigners Mubadala Among largest 17.6% 40% Foreign 16.8% Medium ter
Slide 9: Enhanced scale and profitability, driving higher shareholder returns
Enhanced scale and profitability, driving higher shareholder returns 16,405 17,055 13,411 12,531 Net profit (AED Million) 8,286 7,844 Cash dividends 5,745 AED 27.2Bn (AED Million) 5,351 Cumulative cash dividend payout (2021-2024) 2021 2022 2023 2024 Payout1 as % net profit 44% 44% 50% 51% Cash DPS 0
Slide 10: AA- level Credit Ratings reflect FAB's strong credit fundamentals
AA- level Credit Ratings reflect FAB’s strong credit fundamentals MOODY’S S&P Fitch LT Aa3 AA- AA- Strongest combined credit ratings ST P-1 A-1+ F1+ among MENA banks Outlook Stable Stable Stable • The bank's role as primary banker for the Government • S&P Global Ratings expects FAB to retain its • W
Slide 11: Robust macro fundamentals
Robust macro fundamentals
Slide 12: Resilient profile amid global uncertainties
Resilient profile amid global uncertainties A robust UAE economy amid global uncertainty,… …with FAB a resilience anchor Equity markets and banks 25e macro assumptions (FAB in-house view) share price performances ✓ Region’s strongest credit ratings of AA- or equivalent, since April 1st, 20251 with a
Slide 13: UAE is well positioned to weather tariff-related uncertainties
UAE is well positioned to weather tariff-related uncertainties UAE global trade volumes (USD Bn) 486 7% of UAE 2% of UAE 471 Imports Exports 33 10 Total Imports Total Exports Imports from USA Exports to USA Imports value % of UAE Exports value % of UAE Top 5 Imports from USA to UAE (USD Bn) Imports
Slide 14: Robust UAE macroeconomic backdrop
Robust UAE macroeconomic backdrop UAE to continue to outperform global economy 1 … against a backdrop of relatively high oil prices2 Oil price strength bolsters fiscal balances3 UAE vs Global Real GDP growth (%) Budget surplus/deficit as a % of GDP Oil Production (Mn bl/day) (LHS) 4.0 Brent Monthly
Slide 15: Strong FDI track record, growth set to continue
Strong FDI track record, growth set to continue in-line with national investment strategy UAE has attracted the lion share of GCC FDI over the last 5 years1 With consistent year on year growth in UAE FDI1 Clear national plans to accelerate FDI growth2 The UAE’s national investment strategy 2031 sets
Slide 16: Abu Dhabi: a preferred hub for investment, talent and innovation
Abu Dhabi: a preferred hub for investment, talent and innovation Vision 2030 laid the foundation for the long-term prosperity of Abu Dhabi Areas of focus Key sectors Strategic entities Top rankings The government’s strategy principally Achieve strategic goals by focusing on 12 sectors being implem
Slide 17: Abu Dhabi: strong economic growth and diversification momentum
Abu Dhabi: strong economic growth and diversification momentum Building the diversification success story Abu Dhabi is a global hub for AI-driven innovation % growth, YoY to Q3’24 1 Driven by key Abu Dhabi projects2: Powered by: Abu Dhabi - Overall GDP Growth 4.5 Oil & Gas G42 – Technology holding c
Slide 18: Solid banking sector fundamentals underpinned by robust liquidity
Solid banking sector fundamentals underpinned by robust liquidity Lending recovery fueled by robust economy, ample liquidity Dominant market share among UAE banks3 Credit growth, net (YoY) Deposits growth (YoY) 13.5% >30% >29% >25% 12.9% 13.2% 11.3% 7.9% 11.9% 5.8% 6.5% 5.9% 10.9% 4.1% 7.4% Total As
Slide 19: Diversified franchise with a strong regional presence and a strategic global footprint
Diversified franchise with a strong regional presence and a strategic global footprint
Slide 20: FAB is the UAE's global bank, with the most extensive international network
FAB is the UAE’s global bank, with the most extensive international network facilitating cross-border liquidity, trade and investment flows FAB’s international network has significant coverage over UAE’s trade flows Region’s trade flow to CEPA1 agreements concluded UAE (Imports & Exports) Europe CEP
Slide 21: Q1'25 revenue of AED 8.81Bn delivered through a diversified franchise
Q1’25 revenue of AED 8.81Bn delivered through a diversified franchise By division,... Investment Banking Wholesale Banking Personal, Business, Wealth and and Markets Privileged Client Banking Group AED AED AED 3.06 ↑15% yoy 1.44 ↑12% yoy 3.15 ↑11% yoy Bn Bn Bn …geography, …and income source. 57% AED
Slide 22: Track record of delivering strong returns
Track record of delivering strong returns
Slide 23: A strong financial track record
A strong financial track record Growing scale Improved profitability Strong margins and efficiency Solid asset quality Total assets (AED Bn) Total income (AED Bn) NIM (%) NPL ratio (%) 9% CAGR 13% CAGR 1,307 4.0 3.9 3.9 1,213 1.97 1,001 1,110 1,169 1.93 3.4 3.3 31.6 1.80 27.8 21.7 23.9 Dec'21 Dec'22
Slide 24: Q1'25 financial results
Q1’25 financial results
Slide 25: Q1'25 key highlights
Q1’25 key highlights • Outstanding Q1’25 results with PBT at AED 6.13Bn (+22% yoy), NPAT at AED 5.13Bn (+23% yoy), and RoTE at 20.4%. • Group revenue +11% yoy to AED 8.81Bn, driven by solid business momentum, resilient NIMs, and diversified income streams across divisions, geographies and sources of
Slide 26: Continued growth, diversification and innovation across the franchise
Continued growth, diversification and innovation across the franchise Diversified Expanding Digital & AI-led Regional ESG Growth Engine International Reach Transformation pacesetter • Strong deal pipeline execution, • Significant international balance • Accelerated AI deployment and • Sustainable an
Slide 27: On track with 2025 financial guidance
On track with 2025 financial guidance 2025 guidance Q1’25 actuals Scale Loan growth High single-digit +4% ytd Cost of Risk < 75bps 51bps Asset Quality Provision > 90% 98% coverage ratio RoTE > 16% 20.4% Profitability & Capital CET1 > 13.5% 13.5% (pre-dividend) 27 | May 2025 Investor Presentation
Slide 28: PBT up 22%, NPAT up 23% yoy driven by strong revenue momentum
PBT up 22%, NPAT up 23% yoy driven by strong revenue momentum Income Statement - Summary (AED Mn) Q1'25 Q4'24 qoq % Q1'24 yoy % PBT at AED 6.13Bn, up 22% yoy and 32% qoq, driven by Net interest Income 5,006 4,936 1 4,859 3 diversified revenue momentum, well-managed expenses Non- interest Income 3,
Slide 29: Resilient margins, strong business momentum, drive NII higher
Resilient margins, strong business momentum, drive NII higher Net Interest Margin (NIM) was 1.97%, rising 1.96 1.97 5bps yoy and 4bps qoq reflecting disciplined Group NIM 1.92 1.93 1.89 pricing, offsetting the impact of lower (%) benchmark rates over the period. Strong business momentum and well
Slide 30: NFI strength reflects robust fees, record performance in markets
NFI strength reflects robust fees, record performance in markets Non-funded income trend (AED Bn) FX and other investment income, net (AED Mn) GM Sales GM Trading Treasury and other qoq ↑35%, yoy ↑14% 3.8 2,344 2,047 3.3 1,831 1,733 736 1,621 858 581 3.1 531 539 932 658 899 588 633 2.8 2.8 531 501 5
Slide 31: Cost efficiency sustained amid ongoing investments
Cost efficiency sustained amid ongoing investments Opex drivers (AED Mn) Cost-to-Income Ratio yoy ↑3% 22.3% (Q1’24: 24.0%) Operating expenses at AED 1.97Bn, up 3% yoy and stable sequentially reflecting +22 +67 ongoing operating efficiencies amid 1,916 (40) 1,965 continued investments. Cost-to-in
Slide 32: Strong balance sheet momentum
Strong balance sheet momentum • Total assets grew 6% yoy and 8% ytd, crossing the AED 1.3 trillion milestone for the first time. Balance Sheet summary (AED Bn) Mar'25 Dec'24 ytd % Mar'24 yoy % • Loans, advances and Islamic financing (net) grew 8% yoy and 4% ytd reflecting healthy Cash and balances wi
Slide 33: Solid asset quality metrics
Solid asset quality metrics Impairment charges, net (AED Mn) & CoR1 (bps) NPLs2 and ECLs3 (%) Net impairment charges CoR (L&A) (bps) Provision Coverage (%) NPL Ratio (%) 99 96 95 96 98 77 84 74 63 51 3.7 3.7 3.8 3.4 3.3 qoq ↓34%, yoy ↓29% NPLs (AED Bn) Provisions (AED Bn) 20.4 19.1 18.9 19.4 18.7 19
Slide 34: Strong capital position above regulatory requirements
Strong capital position above regulatory requirements CET1 ratio progression CET1, Tier 1 and CAR trends (%) 18.0% 17.4% 17.5% 17.1% 17.2% 15.7% 15.9% 15.4% 15.4% 15.1% 14.3% 14.0% 15.0% 13.7% 13.7% 13.5% +80bps 1.3% Cash DPS: 75 fils Mar'24 Jun'24 Sep'24 Dec'24 Mar'25 AED 8.3Bn 13.7% -89bps -6bps 1
Slide 35: Appendix – Financial information
Appendix – Financial information
Slide 36: Q1'25 highlights – Group financials
Q1’25 highlights – Group financials Income Statement - Summary (AED Mn) Q1’25 Q4’24 qoq % Q1’24 yoy % Net interest Income 5,006 4,936 1 4,859 3 Non-interest Income 3,808 2,768 38 3,112 22 Operating Income 8,814 7,704 14 7,971 11 Operating expenses (1,965) (1,970) (0) (1,916) 3 Impairment charges,
Slide 37: A well-diversified, high-quality loan book
A well-diversified, high-quality loan book Gross loans trend (Figures in AED Bn) Gross loans by product (Figures in AED Bn) 551 ytd ↑4%, yoy ↑8% 1.8 571 1.7 5.5 5.5 30.0 30.1 Gross Islamic financing 50.5 63.3 Vehicle financing loans 19.5 20.5 530 534 550 551 571 Credit Cards Personal Loans Trade rel
Slide 38: Healthy asset quality and strong provisioning
Healthy asset quality and strong provisioning Loans by stage (AED Bn - as of Mar’25) ECL2 by stage (AED Bn - as of Mar’25) (AED Bn) (AED Bn) AED 562.3Bn AED 18.0Bn (Gross loans net of IIS) as of Mar’25 as of Mar’25 Ratio % of gross loans Coverage by stage Mar'25 Dec'24 (net of IIS)1 Mar'25 Dec'24 (%
Slide 39: Strong and diversified liquidity profile
Strong and diversified liquidity profile Customer deposits trend (AED Bn) Customer deposits by counterparty (AED Bn) ytd ↑7%, yoy ↑4% Total Customer Deposits CASA 782 839 820 839 803 766 782 Certificates of deposits 4% 4% 16% 16% Personal/retail sector Corporate / private sector 46% 51% Public Secto
Slide 40: Leading issuer in the MENA region
Leading issuer in the MENA region Liability mix Medium-term wholesale funding Issuances1 Maturities1 Term Borrowings & Sub 25,181 Customer Debt, 6% Deposits, 71% Others, 9% AED 1,179Bn USD 16,192 Mar’25 14,519 Due to Banks & 13,445 CNH Repos, 12% 11,224 10,648 10,427 GBP Commercial Paper, 7,790 2% 5
Slide 41: Diversified term funding portfolio
Diversified term funding portfolio Term Funding Portfolio by Type1 Term Funding Portfolio by Currency1 Local currency Asian Currency Other 2% ex-Formosa PP 5% 5% 13% CHF Formosa EUR Callable US$ Bullet Private 5% Bullet 8% 29% 15% Placement GBP 11% 4% Conventional Public European 19% Currency CNH 18
Slide 42: High-quality and diversified investment portfolio
High-quality and diversified investment portfolio Investments by type Investments by ratings Mar’25 Dec’24 Mar’25 Dec’24 Mar’25 Mar’25 AAA AED 263Bn AED 263Bn 14% 11% FVTPL - Debt 22% 20% AA 37% 41% FVTPL - Equity & Funds 3% 2% Dec’24 A 19% 20% AED 248Bn Dec’24 Amortised Cost (Debt Inv) 1% 2% BBB 5%
Slide 43: Segmental overview
Segmental overview During the period, the Group reorganized its operating segments to align with its customer-centric strategy, resulting in changes to the composition and reporting of the Bank’s operating segments. For more information, please refer to note 28 of FAB’s Q1’25 Financial Statements an
Slide 44: Regional ESG pacesetter
Regional ESG pacesetter
Slide 45: FAB has a unique sustainability profile in the MENA region
FAB has a unique sustainability profile in the MENA region 1st MENA Market 1st GCC Bank Leader Bank to commit to net to issue a green bond in MENA green loans1 zero by 2050 1st MENA 1st MENA 1st MENA Bank Bank Bank to publish a TCFD to publish a to publish a TNFD and PRB report transition plan repor
Slide 46: Significant progress to date towards our sustainable finance target
Significant progress to date towards our sustainable finance target UAE banks’ sustainable Progress towards FAB Our sustainable finance impact1 finance commitment by 2030 sustainable finance target of USD 136 billion by 2030 6,038 MW 2 1.5 MnTonnes of expected GHG Renewable energy capacity USD 136Bn
Slide 47: The regional pacesetter for sustainability
The regional pacesetter for sustainability Transitioning to a low carbon future Capitalising on our social responsibility Transforming our governance model Sustainable and Transition Finance: Financial inclusion: ESG ratings • Total sustainable and transition finance • Supported SMEs with AED
Slide 48: Our sustainable transition journey
Our sustainable transition journey 2023 2021 Implemented TCFD recommendations and published first Group ESG strategy TCFD report 2050 finalised and approved Applied emission reduction net zero targets to 8 high- Net Zero emitting sectors within loan portfolio (representing 90% carbon 2020 FAB became
Slide 49: Leader in MENA green and social bond issuance
Leader in MENA green and social bond issuance • In 2022, FAB’s Sustainable Finance Framework was updated to further align with market best practices and to FAB green bonds outstanding (as of 31 Mar’25) expand the scope of financial products. AED Sukuk • The framework was developed to align with mark
Slide 50: A Regional Top Performer
A Regional Top Performer ENTITIES BEST WORST SCORE 0 10 20 30 40 80+ 17.3 INDUSTRY RELEVANCE AAA AA A BBB BB B CCC AA 100 75 50 25 0 80 50 | May 2025 Investor Presentation
Slide 51: Acting as a regional pacesetter by embedding ESG in everything we do
Acting as a regional pacesetter by embedding ESG in everything we do Transitioning to a low-carbon future Capitalising on our social responsibility Transforming our governance model To expand access to financial services for all – in particular, To act in partnership with our key stakeholders to acc
Slide 52: A driver of sustainable and transition finance
A driver of sustainable and transition finance Projects Amount Impact generated SDG Alignment Facilitated NEOM, KSA (Green Finance) • 5mn tonnes of CO2 avoided per year(estimated) • 300 direct jobs created when 100% operational World’s largest upcoming green hydrogen- USD 2.05 bn • 1.2 mn tonnes per
Slide 53: Focus on financed emissions
Focus on financed emissions In March 2023, we announced our emission reduction targets for our high-emitting sectors in our portfolio: Oil & Gas, Power & Energy, and Aviation, underlining our dedication to lowering both financed and operational emissions. In November 2023, we expanded this commitmen
Slide 54: For more information, please visit www.bankfab.com
For more information, please visit www.bankfab.com or contact FAB Investor Relations team at ir@bankfab.com You can also download FAB’s Investor Relations App from App Store / Google Play to access latest corporate updates 2024 Annual Report A magazine cover with a tree and a sunset FAB’s Nature Rep
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