Bank Alfalah Limited · PSX:BAFL
Bank Alfalah — Q3 2015 Earnings Presentation
15 slides from Bank Alfalah's earnings presentation, Oct 30, 2015
Slide 1: Analyst Briefing – 3Q 2015 Performance Review & Outlook
Analyst Briefing – 3Q 2015 Performance Review & Outlook 30th October2015
Slide 2: Basic Data & Market Positioning
Basic Data & Market Positioning Commencement of operations 1997 Head Quarters Karachi Major Sponsors Dhabi Group Credit Rating (Long Term/ Short Term) AA / A1+ Branches 649 (including 158 Islamic Branches) Cities Covered 222 cities in Pakistan, 7 cities overseas International Presence 11 Internation
Slide 3: Balance Sheet Snapshot
Balance Sheet Snapshot Amount PKR Mn Sep-14 Dec-14 Sep-15 YoY YTD Balance sheet size increased by 18% YoY to Cash 44,844 50,516 43,020 -4% -15% PKR 789bn, mainly Bal with banks 13,796 12,332 9,678 -30% -22% reflected in investments and advances. Lending to FI 40,690 18,313 32,854 -19% 79% Lendin
Slide 4: Profit & Loss Snapshot
Profit & Loss Snapshot Amount PKR Mn 3Q14 3Q15 YoY 9M14 9M15 YoY Net Interest Income increased 24% YoY due to Interest Income 14,796 14,981 1% 39,834 46,231 16% decline in cost of funds. Interest Expenses 8,892 7,640 -14% 24,362 24,976 3% Provisions against NPLs Net Int Income 5,904 7,341 24% 15
Slide 5: Key Ratios
Key Ratios 3Q14 4Q14 1Q15 2Q15 3Q15 NIMs remained stable at 4.2% in 3Q2015 as lower Yield on Advances 10.2% 10.4% 9.8% 8.6% 7.6% cost of deposits offset the decline in asset yields. Yield on Investments 10.5% 10.3% 9.9% 9.4% 9.0% Cost of Deposits 5.3% 5.2% 4.9% 4.1% 3.5% ROA improved to 1.2% in
Slide 6: 3Q15 Performance Review
3Q15 Performance Review
Slide 7: Advances & Asset Quality Trends
Advances & Asset Quality Trends NPLs mostly contained Coverage improved to 80% NPLs NPLs/gross advances Provisions Coverage 12% 50 100.0% 25 76.5% 77.6% 80.0% 10% 40 80.0% 69.9% 70.1% 20 8% 30 60.0% 15 6.5% 6.4% 6.4% 5.9% 5.8% 14.3 14.7 14.8 13.0 13.6 6% 20 40.0% 10 18.6 19.4 18.7 18.9 18.5 4% 10 20
Slide 8: Deposit Mix & Cost
Deposit Mix & Cost Deposit growth trend (PKR bn) CASA continues to remain strong (PKR bn) 700 500 73% 69% 71% 600 400 420 430 606 72% 586 69% 374 500 526 300 328 64% 57% 277 400 457 200 225 401 184 300 354 100 325 200 - 2009 2010 2011 2012 2013 2014 3Q15 2009 2010 2011 2012 2013 2014 3Q15 Deposit Mi
Slide 9: Appendix
Appendix
Slide 10: Balance Sheet Summary
Balance Sheet Summary Amount in PKR Mn 2010 2011 2012 2013 2014 4yr-CAGR Cash & Bal. with treasury bank 41,198 50,883 58,044 61,205 55,378 5% Balances with other banks 16,179 17,424 26,721 35,180 12,332 -7% Lending to FIs 6,498 7,765 877 2,522 18,313 30% Advances (net) 207,153 198,469 233,933 260,78
Slide 11: Profit & Loss Summary
Profit & Loss Summary Amount in PKR Mn 2010 2011 2012 2013 2014 4yr-CAGR Interest income 37,530 44,298 46,080 43,961 55,378 10% Interest expense 23,855 25,687 27,500 27,066 33,505 9% Net interest income 13,675 18,611 18,580 16,895 21,873 12% NPL Provisions 2,269 1,870 1,850 959 1,448 -11% Investment
Slide 12: Key Ratios
Key Ratios 2010 2011 2012 2013 2014 Capital Adequacy Ratio (Tier-I) 7.1% 8.6% 8.5% 8.4% 9.6% Capital Adequacy Ratio Total 10.5% 11.6% 12.6% 12.1% 12.8% Net Interest Margins 4.1% 5.1% 4.4% 3.5% 3.8% Admin Cost to Income Ratio 68.4% 57.7% 58.8% 68.7% 65.6% Non Interest Income as % of total 25.6% 22.4%
Slide 13: Snapshot of the Bank Stock Market Related Data
Snapshot of the Bank Stock Market Related Data Bloomberg Code BAFL PA Reuters Code BAFL.KA Shares Outstanding (mn) 1589.81 Market Capitalization (PRsbn) 46.23 Market Capitalization (US$mn)* 438.17 Average Daily Turnover (mn shares) 2.11 Average Daily Turnover (US$mn)* 0.60 Current Stock Price** 29.0
Slide 14: Disclaimer
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 projections as
Slide 15: Contact Information
Contact Information For any queries: Imtiaz Gadar, CFA Head of Public Markets Bank Alfalah Limited Ph# +92 21 3241 6979 +92 21 3242 3617 Imtiaz.gadar@bankalfalah.com 15