Pt Bank Qnb Indonesia Tbk · IDX:BKSW
Pt Bank Qnb Indonesia Tbk — QNB Group — Investor Presentation (December 2017)
33 slides from Pt Bank Qnb Indonesia Tbk's investor presentation, December 2017
Slide 1: Investor Relations Presentation
Investor Relations Presentation December 2017
Slide 2: Contents
Contents 1. QNB at a Glance 2. QNB Comparative Positioning – Qatar and MEA 3. Financial Highlights – as at 31 December 2017 4. Economic Overview Notes: All figures in US Dollars have been converted from Qatari Riyals based on the exchange rate of 1 US Dollar = 3.6405 Qatari Riyals In certain cases,
Slide 3: QNB at a Glance
QNB at a Glance
Slide 4: QNB at a Glance: Overview
QNB at a Glance: Overview Overview • Established in 1964 as the first Qatari owned Financials2 (in USD billion) bank • Owned (50%) by the Government of Qatar via 2017 2016 5yr CAGR the Qatar Investment Authority (QIA) Total Assets 222.8 197.7 17% • Largest bank in Qatar by market cap., assets, Loans
Slide 5: QNB's International Footprint
QNB's International Footprint Sub-Saharan Africa Middle East South Sudan: (1 Branch) Qatar: (65 Branches) Togo: (1,265 Branches1, 20.1% stake in KSA: (1 Branch) Ecobank) UAE: (17 (+12) Branches, 40.0% stake Asia in CBI) Indonesia: (48 Branches, 82.59% stake Syria: (15 (+302) Branches, 50.8% stake In
Slide 6: QNB Comparative Positioning – Qatar and MEA
QNB Comparative Positioning – Qatar and MEA
Slide 7: Top Domestic Banks – December 2017
Top 5 Domestic Banks – December 2017 QNB continues to excel in the domestic market Assets Loans 222.8 160.5 41.3 38.0 28.2 24.5 28.3 25.7 19.8 16.4 Deposits Net Profit 160.8 3.61 28.0 0.66 0.56 21.3 17.3 16.3 0.30 0.23 Note: All amounts are in USD billions 7 Source: Companies’ December 2017 Press Re
Slide 8: Top MEA Banks – December 2017
Top 5 MEA Banks – December 2017 QNB maintained its position as the leading bank in the region across all categories Assets Loans 222.8 160.5 182.1 164.5 128.1 118.4 90.0 82.8 75.4 75.3 Deposits Net Profit 160.8 3.61 2.97 2.61 107.8 2.43 93.4 2.27 88.9 82.4 Stnd. Bank Note: All amounts are in USD bil
Slide 9: QNB is the leading financial institution in the MEA region by brand value and market cap
QNB is the leading financial institution in the MEA region with regards to brand value and market capitalisation Brand value and market capitalisation (USD Bn as at 31-Dec-17) Top MEA banking brands Top MEA banks by market capitalisation 4.23 32.0 3.53 30.3 3.11 29.4 2.60 28.6 2.29 20.6 Source: Bran
Slide 10: Financial Highlights – as at December 2017
Financial Highlights – as at 31 December 2017
Slide 11: QNB demonstrate sustainable profit growth
QNB demonstrate sustainable profit growth Financial Highlights (as at 31 December 2017) Growth vs. December 2016 • Net interest margin (NIM)2: 2.65% NIM (excl. impact of av. FX rates resetting)3: 2.80% Profit1 • USD3.6 billion +6% • Cost to income ratio: 29.1% • Earnings per share: USD 3.8 • ROAA: 1
Slide 12: QNB ALAHLI
QNB ALAHLI Highlights (as at 31 December 2017) Growth vs. December 2016 • Net interest margin (NIM)2: 4.74% • USD278.4 million -26% • Cost to income ratio: 29.1% Profit1 (EGP5.0 billion) (+31%) • ROAA: 2.4% • USD12.6 billion assets +19% (EGP224.6 billion) (+17%) • NPL (% of gross loans): 2.4% Assets
Slide 13: QNB FINANSBANK
QNB FINANSBANK Highlights (as at 31 December 2017) Growth vs. December 2016 • Net interest margin (NIM)2: 4.80% • USD467.3 million +26% • Cost to income ratio: 47.0% Profit1 (TRY1.7 billion) (+52%) • ROAA: 1.4% • USD35.1 billion assets +18% (TRY133.8 billion) (+27%) • NPL (% of gross loans): 4.8% As
Slide 14: Increasing geographical diversification positively contributes to growth
Increasing geographical diversification positively contributes to growth Geographical Contribution (as at 31 December) Domestic International % Share of International as percentage of the total Net Profit1 Loans Deposits USD billion USD billion USD billion 3.61 160.5 160.8 3.40 143.0 139.2 3.09 106.
Slide 15: Consistently High Profitability
Consistently High Profitability Income Statement Breakdown (USD billion as at 31 December) Net Profit1 Operating Income2 Net Interest Income NIM Compression % RoAE % Cost to Income Ratio % Net Interest Margin3 % 9 bps 5 yrs: 15% 5 yrs: 14% 5 yrs: 10% 2.89 2.80 3.60 6.34 6.30 4.91 4.91 2.65 3.40 3.09
Slide 16: Good asset growth driven by lending activities mainly in QAR and USD
Good asset growth driven by lending activities mainly in QAR and USD Assets Analysis (as at 31 December) Total Assets Evolution 2017 Split of Assets (%) USD billion By Type By Currency 222.8 Cash and QAR 40.5 Balances with 6.5 5 yrs: 17% 197.7 Central Banks USD 32.7 Due from 5.4 Banks 147.9 TRY 7.3
Slide 17: Good loan growth
Good loan growth Loans Analysis (as at 31 December) Total Loans Evolution 2017 Split of Loans (%) USD billion By Geography By Sector 160.5 Qatar 67.0 Govt. & Govt. Agencies 45.5 5 yrs: 19% 143.0 Turkey 15.1 Services/ 22.7 Commerce Egypt 3.9 106.7 92.9 Industry 7.3 Europe 4.8 85.3 Impacted 1.6 Real E
Slide 18: High quality lending portfolio is highlighted by low NPL ratios
High quality lending portfolio is highlighted by low NPL ratios Asset Quality Analysis (as at 31 December) Non Performing Loans (NPL) by Segment • QNB has continued to x Total NPL’s increase its provisions in USD million response to the global 1,530 2,600 2,871 economic situation 1,148 975 891 • The
Slide 19: High quality investment portfolio with 84% of securities rated AA or Sovereign
High quality investment portfolio with 84% of securities rated AA or Sovereign Investments Analysis (USD million as at 31 December 2017) Available-for-Sale Investment Securities Held to Maturity Financial Investments Quoted Fixed rate Unquoted Floating rate State of Qatar 8,591 State of Qatar 3,381
Slide 20: Robust growth in customer deposits and funding
Robust growth in customer deposits and funding Funding Analysis (as at 31 December) Total Customer Deposits Evolution 2017 Split of Deposits (%) USD billion By Sector By Type By Geography Qatar 55.5 5 yrs: 17% 160.8 Govt. & Time Govt. Agencies 34.0 78.5 Impacted Deposits 0.6 139.2 GCC Other GCC 1.8
Slide 21: Solid liquidity profile
Solid liquidity profile Liquidity Analysis (as at 31 December) Loans to Deposits Ratio Evolution 2017 Sources of Liquidity % % of total liabilities 98.3% 102.7% 99.8% 93.0% 94.6% Due to Banks 9.3 Customer Deposits 80.0 Debt 3.6 Securities 2013 2014 2015 2016 2017 Other 3.3 Borrowings Liquid Assets1
Slide 22: Strong capital adequacy ratio maintained above QCB and Basel III requirements
Strong capital adequacy ratio maintained above both QCB and Basel III requirements Capital Analysis (as at 31 December) Total Equity1 Evolution Basel III Capital Adequacy Ratio USD billion x Gearing2 % 20.2 18.4 16.0 16.0 16.5 14.8 (QCB) 2015 2016 2017 2016 2017 9.2 10.7 11.1 • Capital base has been
Slide 23: Diversifying business mix will bolster sustainable growth
Diversifying business mix will bolster sustainable growth Business Mix Contribution (% share as at 31 December 2017) Lines of Business Net Profit1 Op. Income Loans Deposits 89 78 89 76 • Maintain dominant domestic Group market share Corporate • Grow international contribution • Nurture SME business
Slide 24: IFRS 9 Implementation: Additional buffer for long term earnings stability
IFRS 9 Implementation: Additional buffer for long term earnings stability Implementation • QNB will implement IFRS 9 with effect from 1 January 2018 based on the QCB guidelines Update • Day1 impact arising from IFRS 9 Expected Credit Loss (ECL) model would be charged to the Opening Retained Earnings
Slide 25: QNB Group Financials
QNB Group Financials Key data (as at 31 December 2017) QNB QNB incl. QNB ALAHLI QNB incl. QNB Finansbank % Contribution of QNB AA % Contribution of QNB Finansbank Financials Ratios Presence USD billion 3.6 223 20.8% 112% 28,275 107% 3.0 192 17.3% 96% 181 16.5% 2.8 161 161 142 131 137 131 16,260 10,1
Slide 26: Economic Overview
Economic Overview
Slide 27: Qatar is endowed with major oil and gas reserves, making it the richest country in the world
Qatar is endowed with major oil and gas reserves, making it the richest country in the world • Text Oil and gas reserves per capita (2016) GDP per capita (2016) k barrels of oil equivalent (boe) k USD PPP Qatar 70.9 Qatar 124 Kuwait 26.8 Luxembourg 106 UAE 14.0 Singapore 88 Venezuela 10.8 Brunei 77
Slide 28: Qatar accumulated large reserves and is now using them to diversify the economy
Qatar accumulated large reserves during its hydrocarbon expansion and is now using these reserves to diversify the economy through major investments Real GDP Growth by Sector %, year-on-year Hydrocarbon Non-Hydrocarbon Hydrocarbon Phase 30% Diversification Phase 25% 20% 15% Qatar’s National 10% Visi
Slide 29: Qatar's fundamentals remain on a stable footing
Qatar’s fundamentals remain on a stable footing Exports/ Imports from/ to Qatar (USD bn, 2017) Deposits (USD bn, 2017) Exports Imports Public sector funding Private sector funding 1 Other 7 361 366 6 86 85 86 90 92 87 87 5 4 3 6.0 198 188 184 183 183 184 5.6 5.9 5.7 5.8 219 5.0 5.0 2 3.5 2.6 2.4 2.2
Slide 30: Qatar remains one of the highest rated sovereigns in the world
Qatar remains one of the highest rated sovereigns in the world Moody’s Sovereign Ratings1 AAA US, Germany, Canada, Australia, N Zealand, Switz’nd, Norway, Sweden, Denmark, Neth’lands, Lux’bourg, Singapore Aa1 Austria, Finland Aa2 UK, France, South Korea, Hong Kong, Isle of Man Investment Grade Aa3 Q
Slide 31: Qatar's large infrastructure investment programme remains undisrupted
Qatar’s large infrastructure investment programme remains undisrupted; new potential for further investment is arising in the medium to long-term Project Pipeline Budget Project End (bn USD) Lusail Mixed-Use Potential Investment Opportunities 45.0 2019 Development truction Cons- Barwa Al Khor 10.0 2
Slide 32: With sustainable and growing reserves Qatar can maintain the peg
With sustainable and growing reserves Qatar can maintain the peg, offset outflows, support banks and continue its investment spending Preserve the peg Offset potential outflows Easily cover Qatari Riyal deposits Public sector deposits up by and currency in circulation of 17.6% of GDP from May-Nov 23
Slide 33: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: • These materials contain statements about future events and expectations that are forward-looking statements. • These statements typically