Emirates Nbd Bank (p.j.s.c) · DFM:EMIRATESNBD
Emirates Nbd Bank (p.j.s.c) — Emirates NBD — Q3 2022 Earnings Presentation
18 slides from Emirates Nbd Bank (p.j.s.c)'s earnings presentation, Oct 27, 2022
Slide 1: Results Presentation Q3 2022
Results Presentation Q3 2022 27 October 2022
Slide 2: Important Information
Important Information Disclaimer The material in this presentation is general background information about Emirates NBD's activities current at the date of the presentation. It is information given in summary form and does not purport to be complete. It is not intended to be relied upon as advice to
Slide 3: Executive Summary 9M'22 Results
Executive Summary 9M’22 Results Key Highlights Key Metrics and Guidance Strong momentum continues with 9M’22 profit up 25% to Net Profit CET 1 AED 9.1bn, almost at 2021 full-year profit level AED 9.1bn 15.5% +25% y-o-y Quarterly profit exceeds $1 billion equivalent NIM LCR Income 31% higher driven b
Slide 4: Emirates NBD's profit rises 25% YoY to AED 9.1 bn
Emirates NBD’s profit rises 25% YoY to AED 9.1 bn on strong diversified income growth Highlights Income Liquidity Risk Expenses Capital Divisional Key Highlights Excluding DenizBank Income Statement Better / Better / Better / 9M’22 9M’21 9M’22 9M’21 9M’22 9M’21 • Group profit up 25% on strong divers
Slide 5: Quarterly profits exceed US$ 1bn equivalent
Quarterly profits exceed US$ 1bn equivalent Highlights Income Liquidity Risk Expenses Capital Divisional Income Statement Q3-22 Q3-21 Better / Q2-22 Better / Key Highlights All figures are in AED bn (Worse) (Worse) Net interest income 6.1 4.4 37% 5.1 18% • Strong Q3-22 with net profit exceeding US$1
Slide 6: NIMs trending towards top end of guidance
NIMs trending towards top end of guidance Highlights Income Liquidity Risk Expenses Capital Divisional Net Interest Margin (%) 3.57 Key Highlights Quarterly NIM YTD NIM • 9M’22 NIM improved 59 bps y-o-y due to rate rises and improving 3.09 DenizBank NIMs 2.89 2.82 3.10 • Q3-22 NIM up 48 bps q-o-q on
Slide 7: Non-funded Income
Non-funded Income Highlights Income Liquidity Risk Expenses Capital Divisional Non-funded income All figures are in AED mn Q3-22 Q3-21 Better / (Worse) Q2-22 Better / (Worse) Key Highlights • Q3-22 fee and commission income 15% higher y-o-y from increased Fee and Commission income 1,806 1,565 15% 1,
Slide 8: Improving loans and deposit mix
Improving loans and deposit mix Highlights Income Liquidity Risk Expenses Capital Divisional Gross Loans by Type All figures are in AED bn Key Highlights -1% • Gross lending ex. Sovereign grew up 12% (AED 36 bn) in 9M’22 475 459 463 463 457 DenizBank 79 - Retail lending up 13% (AED 7 bn) with strong
Slide 9: Credit quality improving with market leading coverage
Credit quality improving with market leading coverage Highlights Income Liquidity Risk Expenses Capital Divisional Impaired loans and allowances Key Highlights 6.2 6.3 6.4 6.1 5.8 • NPL ratio improved by 0.3% to 5.8% in Q3-22 on continued strong 37.1 37.2 37.9 37.7 37.9 writebacks and recoveries 29.
Slide 10: Operating Expenses
Operating Expenses Highlights Income Liquidity Risk Expenses Capital Divisional Cost to Income Ratio (%) Key Highlights 34.8 34.0 • 9M’22 cost to income ratio at 28.2% within guidance reflecting stronger income enabling accelerated investment for growth 33.1 33.5 30.8 • Staff costs increased y-o-y o
Slide 11: Funding & Liquidity
Funding & Liquidity Highlights Income Liquidity Risk Expenses Capital Divisional Advances to Deposit and Liquidity Coverage Ratio (%) Key Highlights 180 170 177.6 ADR % LCR % • LCR of 152.2% and ADR of 87.2% demonstrate healthy liquidity 157.2 100 160 • Liquid assets* of AED 65 billion cover 10% of
Slide 12: Capital Adequacy
Capital Adequacy Highlights Income Liquidity Risk Expenses Capital Divisional Capital All figures are in AED bn Key Highlights 90.6 5.4 • CET-1 ratio improved by 0.4% to 15.5% during 2022 as 9.1 - AED 8.6 bn of net earnings more than offset 76.1 (0.4) 0.4 - 10% increase in RWAs on the back of growth
Slide 13: Divisional Performance
Divisional Performance Highlights Income Liquidity Risk Expenses Capital Divisional Operating Segment Metrics 9M’22 Increase/ (Decrease) Key Highlights 7,312 22% Retail Banking and Wealth Management Income (mn) • Lending increased by AED 6.5 bn, whilst CASA grew by a record AED 20 bn in first nine m
Slide 14: Appendix
6) Emirates NBD | | APPENDIX | “CREATE | OPPORTUNITIES TO PROSPER”?
Slide 15: Hyperinflation
Hyperinflation Türkiye Consumer Price Index Key Highlights +138% 52% • Loss on net monetary position for DenizBank was AED 2.4 bn for 9M’22 1,047 1,030 978 978 • AED 2.4 bn debit P&L charge with corresponding credit offset to OCI making 844 844 it capital neutral 56% 687 571 547 571 0.3 524 505 547
Slide 16: 9M'22 results – convenience translation to US$
9M’22 results –convenience translation to US$ Highlights Income Liquidity Risk Expenses Capital Divisional Key Highlights Excluding DenizBank Income Statement Better / Better / Better / 9M’22 9M’21 9M’22 9M’21 9M’22 9M’21 • Group profit up 25% on strong diversified income All figures are in USD bn (
Slide 17: Q3-22 results – convenience translation to US$
Q3-22 results –convenience translation to US$ Highlights Income Liquidity Risk Expenses Capital Divisional Income Statement Q3-22 Q3-21 Better / Q2-22 Better / Key Highlights All figures are in USD bn (Worse) (Worse) Net interest income 1.7 1.2 37% 1.4 18% • Strong Q3-22 with net profit exceeding US
Slide 18: Thank you
Thank you Investor Relations Emirates NBD Head Office I 4th Floor PO Box 777 I Dubai, UAE IR@emiratesnbd.com Tel: +971 4 609 3046