Bank Alfalah Limited · PSX:BAFL

Bank Alfalah — Q1 2021 Earnings Presentation

16 slides from Bank Alfalah's earnings presentation, May 2021

  1. Slide 1: Analyst Briefing: 2021 First Quarter Performance Review & Outlook

    Bank Alfalah Limited Analyst Briefing 2021 – First Quarter Performance Review & Outlook May 2021

  2. Slide 2: Introductory Snapshot

    Bank Alfalah Limited Introductory Snapshot Commencement of Operations 1997 Head Quarters Karachi Major Sponsors Dhabi Group (50%); IFC (15%) Credit Rating (Long Term / Short Term) AA+ / A1+ Branches 732 (including 187 Islamic Branches) ATMs/ CDMs 828/223 Cities Covered 225 cities in Pakistan, 7 citi

  3. Slide 3: Financial Results – 1Q21

    Financial Results – 1Q21

  4. Slide 4: Key Highlights

    Bank Alfalah Limited Key Highlights Deposits up by 21% YoY; CA up 25% YoY Profit after Tax grows by 62% QoQ Deposits defied normal 1Q seasonality and are up PAT is up by 62% on a QoQ basis (23% YoY) on 4% since Dec and 21% YoY; CA is up 25% YoY account of higher income and lower provisions Loans +16

  5. Slide 5: Balance Sheet Snapshot

    Financial Results – 1Q21 Balance Sheet Snapshot Amount PKR mn Mar-20 Dec-20 Mar-21 YoY QoQ  Cash balances reduced sequentially given efforts Cash 78,802 99,348 88,556 12% -11% towards efficient cash management Bal with banks 8,524 6,234 12,445 46% 100% Lending to FI 50,404 77,306 35,612 -29% -54% 

  6. Slide 6: Profit & Loss Snapshot

    Financial Results – 1Q21 Profit & Loss Snapshot Amount PKR mn 1Q20 4Q20 1Q21 YoY QoQ  23% YoY and 62% sequential EPS growth on Interest Income 25,906 20,880 21,388 -17% 2% strong non interest income and lower provisions Interest Expenses 14,125 10,643 11,061 -22% 4% Net Int. Income 11,781 10,238 10

  7. Slide 7: Key Ratios

    Financial Results – 1Q21 Key Ratios 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21  1Q21 NIMs declined marginally compared to 4Q20. Yield on Advances 12.7% 12.5% 9.7% 8.2% 7.2% 7.2% NII however intact due to volumetric growth Yield on Investments 10.6% 10.6% 9.6% 8.2% 7.5% 7.3% Cost of Deposits 5.9% 5.8% 4.2% 3.3%

  8. Slide 8: Appendix

    Appendix

  9. Slide 9: Quarterly Advances & Asset quality trends

    Appendix Quarterly Advances & Asset quality trends Marginal decline in NPLs lowers infection ratio to 4.2% Coverage stands at 94% - no coverage on GoP backed NPLs NPLs NPLs/gross advances 5.0% 4.7% 4.8% 30 100% 4.5% 4.3% 4.2% 98% 25 90% 92% 94% 4.0% 91% 20 80% 83% 25.1 25.2 25.9 25.4 3.0% 23.5 15 70

  10. Slide 10: Deposit Mix

    Appendix Deposit Mix Deposit Growth Trend* (PKR bn) CASA Continues to Remain Strong* (PKR bn) 913 714 882 700 687 782 800 723 594 653 600 563 637 635 541 600 503 502 500 400 400 2015 2016 2017 2018 2019 2020 1Q21 2015 2016 2017 2018 2019 2020 1Q21 Deposit Mix Deposits Composition 7% 22% 16% Current

  11. Slide 11: Balance Sheet

    Appendix Balance Sheet Amounts in PKR mn 2015 2016 2017 2018 2019 2020 5yr CAGR Cash & Bal. With Treasury Bank 62,369 74,071 70,381 82,408 100,732 99,348 10% Balances With Other Banks 16,552 9,373 3,754 3,875 4,710 6,234 -18% Lending to FIs 27,626 30,149 48,896 62,172 71,435 77,306 23% Advances (Net

  12. Slide 12: Profit & Loss

    Appendix Profit & Loss Amounts in PKR mn 2015 2016 2017 2018 2019 2020 5yr CAGR Interest Income 61,438 57,144 56,919 59,672 92,519 92,616 9% Interest Expenses 32,811 28,153 27,354 27,746 47,623 47,911 8% Net Int. Income 28,627 28,991 29,565 31,926 44,896 44,705 9% Non Int. Income 8,862 8,907 9,381 1

  13. Slide 13: Key Ratios

    Appendix Key Ratios 2015 2016 2017 2018 2019 2020 Capital Adequacy Ratio (Tier - I) 9.7% 9.9% 10.9% 12.2% 13.3% 12.7% Capital Adequacy Ratio Total 13.4% 13.2% 13.4% 15.0% 16.9% 16.5% Net Interest Margins 4.0% 3.6% 3.6% 4.0% 5.3% 4.3% Admin Cost to Income Ratio 60.3% 62.5% 64.8% 57.3% 52.6% 54.7% Non

  14. Slide 14: Stock Market Related Data

    Appendix Stock Market Related Data Bloomberg Code BAFL PA Reuters Code BAFL.KA Shares Outstanding (mn) 1,777.1 Market Capitalization (PKR bn) 51,305 Market Capitalization (USD mn)* 333.8 Average Daily Turnover (mn shares) 1.9 Average Daily Turnover (USD mn)* 0.5 Current Stock Price** (PKR) 28.87 12M

  15. Slide 15: Disclaimer

    Appendix Disclaimer This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and proje

  16. Slide 16: Contact Details

    Appendix Contact Details For any queries: Imtiaz Gadar, CFA Head of Capital Markets Division Bank Alfalah Limited Phone: +92 21 3242 3617 E-mail: imtiaz.gadar@bankalfalah.com 16

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