Kina Securities Ltd. · ASX:KSL
Kina Securities — H1 2020 Earnings Presentation
12 slides from Kina Securities's earnings presentation, Jun 30, 2020
Slide 1: Kina Securities Limited Half Year Results - 30 June 2020
Kina Securities Limited | Half Year Results - 30 June 2020 Kina Securities Limited Half Year Results 2020 1
Slide 2: Disclaimer
DISCLAIMER You must read this notice before reading or making any use of this document or any information contained in this document. By accepting this document, you agree to the following terms and conditions, including any modifications to them. Confidentiality: This Presentation and the informati
Slide 3: Highlights
Highlights Significant progress made on strategic initiatives to deliver growth: 6. Piloted digital concierge, digital kiosks and online 1. Divested Esiloans portfolio to MiBank for K32.5m in account opening in branch, significantly modernising line with strategic partnership. banking in PNG. 2.Comp
Slide 4: Business Growth
Business Growth Every success story FX income Total requires a partner. up 52% to Deposits at Total Net Loans CHEF JULZ HENAO PGK 28.5m PGK 2.5bn at PGK 1.42bn SME KINA BANK CUSTOMER Customer Funds Revenue from new numbers grew Administration up digital channels by 5,968 29% to PGK 3.5m PGK 7.6m 6 K
Slide 5: Economic Update
Economic Update Government announced Domestic environment K5.6 billion Covid-19 They also secured sees new macroeconomic economic support US 363.6m assistance from challenges, most package, adding to IMF’s Covid relief fund. prominent is Covid-19. fiscal pressures. Major national resource projects s
Slide 6: Key Revenue Measures
KEY REVENUE MEASURES Foreign Exchange Income Revenue Statutory NPAT NIM Foreign Exchange Income 28.5 28.5 37.3 8.8% 80.4 69 8.1% 23.3 63 7.6% 68.9 23.3 29.3 7.0% 7.0% 20.1 27.5 20.1 18.7 18.7 47 47 23.6 43 PGK'm 45.9 45.7 PGK’m PGK’m PGK’m 40 PGK'm 20.6 14.1 PGK'm PGK'm 41.6 14.1 30 28 26 23 23 22 2
Slide 7: Productivity and Shareholder Returns
PRODUCTIVITY SHAREHOLDER RETURNS Cost Cost to to income income ratio ratio Return on Of Equity Earnings per Share Dividend per Share 64.9% 21.3 15.5 58.2% 57.1% 57.0% 20.4% 18.3% 50.2% 17.8% 17.5% 16.7 16.8 12.1 16.1% 14.4 10.0 10.0 10.0 12.6 8.8 6.4 6.7 6.8 5.0 5.8 4.0 4.0 4.0 4.8 Jun18 HY Dec18 HY
Slide 8: Balance Sheet and Capital Management
BALANCE SHEET CAPITAL MANAGEMENT Loans FY19 Loans 1H20 Esiloan Credit Card Overdraft Credit Card Overdraft 2.6% 0.6% 4.8% 0.5% 4.4% Housing Loan 23.6% Housing Loan 22.5% Capital Adequacy Leverage ratio Assset Financing 1.1% Assset Financing 1.4% 16% Investment Property Loan 30% 6.6% 29% 29% 15% Inve
Slide 9: Asset Quality and Portfolio
ASSET QUALITY PORTFOLIO Portfolio Asset Quality 538 514 5.9% 316 PGK'm 294 279 249 247 233 PGK’m 3.3% 2.6% 155 2.4% 140 2.2%2.2% 2.1%2.2% 2.1% 87 92 92 90 84 1.7% 73 70 1.4% 1.4% 1.3% 15 22 19 15 19 15 1.0% 12 5 7 9 11 8 8 9 4 4 1 1 1 1 - 2 0.9% 0.8% 0.7% 0.6% 0.6% 0.5% Dec18 FY Dec19 FY Jun20 HY 0.
Slide 10: Customer Growth and Market Share Gains
CUSTOMER GROWTH Customer numbers growth MARKET SHARE GAINS 5,968 164,232 6,750 Market share percentage - lending Market Market share share percentage percentage - deposits - deposits Market share percentage - lending 11.8% 11.8% 10.3% 10.1% 6.4% 6.4% PGK’m PGK’m 7.0% 6.0% 6.4% 5.3% 2,480 2,504 1,402
Slide 11: Deposit Mix and Wealth Management
DEPOSIT MIX WEALTH MANAGEMENT 1,068 1,034 Funds under administration Funds under management management Funds under administration 8.08 805 7.95 13.64 7.90 790 661 650 771 PGK'm 585 591 587 12.55 750 556 544 7.46 12.31 PGK'bn 456 11.72 717 7.14 396 11.38 357 316 293 292 251 Jun18 HY Dec18 FY Jun19 HY
Slide 12: Kina Securities Limited
www.kinabank.com.pg 22 Kina Securities Limited Half Year Results 2020