Al Ahli Bank Of Kuwait · KSE:ABK
Al Ahli Bank Of Kuwait — Q1 2025 Earnings Presentation
37 slides from Al Ahli Bank Of Kuwait's earnings presentation, 2025
Slide 1: Investor Presentation Q1 2025
AL AHLI BANK OF KUWAIT INVESTOR PRESENTATION Q1 2025
Slide 2: Disclaimer
DISCLAIMER • THE INFORMATION SET OUT IN THIS PRESENTATION AND PROVIDED IN THE • Past performance is not indicative of future results. Al Ahli Bank of Kuwait is DISCUSSION SUBSEQUENT THERETO DOES NOT CONSTITUTE AN OFFER OR under no obligation to update or keep current the information contained SOLICI
Slide 3: Table of Contents
Table of Contents 04 SECTION 1 ABK Overview 13 SECTION 2 Operating 17 SECTION 3 Strategy & Business & Footprint Environment Overview 29 SECTION 4 Financial Performance 32 SECTION 5 Appendix Highlights 3
Slide 4: ABK Overview and Footprint
SECTION 1 ABK OVERVIEW AND FOOTPRINT 4
Slide 5: Al Ahli Bank of Kuwait
AL AHLI BANK OF KUWAIT ABK Egypt ABK Kuwait Subsidiary Acquired 2015 Parent Entity Established 1967 Overview ABK Cayman Island Limited 45 Branches 28 Branches (1 Fully Digitized Branch) Established 2022 Subsidiary Egypt Leasing Company Headquarters in Kuwait Subsidiary ABK Capital Egypt Investments
Slide 6: ABK Overview & Background
ABK OVERVIEW & BACKGROUND Ownership Structure 11.7% Established in 1967 by the Behbehani family, ABK has steadily become one of the leading Kuwaiti Banks retaining the same core shareholder base since its establishment. 9.9% Headquartered in Kuwait City, the Group has three subsidiaries: Ahli Capita
Slide 7: Overview of ABK's Awards & Ratings
OVERVIEW OF ABK’S AWARDS & RATINGS Ratings Awards MEED International Finance – ABK Capital • Best Retail Bank (Egypt) • Most Innovative Multi-Asset Fund Management • Excellence in Customer Protection/Fraud Control Company Last Affirmed | Jun-24 (Kuwait) Long Term Rating |A2 Outlook | Stable Global F
Slide 8: ABK Key Financial Highlights
ABK KEY FINANCIAL HIGHLIGHTS Self-funded balance sheet Stable operating performance Customer Deposits: KD 4.4Bn Net Interest Margin: 2.1% Customer Deposits / Total Liabilities: 66.4% Operating Profit / Average Assets: 1.61% Strong capital position High liquidity & stable funding Tier 1 Ratio: 13.60%
Slide 9: Financial Snapshot (KD'Bn)
FINANCIAL SNAPSHOT (KD’Bn) Net Loans & Advances Total Assets 3M 2025 4.7 3M 2025 7.4 3M 2024 4.3 3M 2024 6.5 2024 4.8 2024 7.4 2023 4.3 2023 6.3 2022 4.0 2022 6.4 Customer Deposits Shareholders’ Equity 3M 2025 4.4 3M 2025 0.6 3M 2024 3.9 3M 2024 0.6 2024 4.4 2024 0.6 2023 3.8 2023 0.6 2022 4.4 2022
Slide 10: Financial Snapshot
FINANCIAL SNAPSHOT Total Operating Income (KD’Mn) Net Profit Attributable to Shareholders’ of the Bank (KD’Mn) 3M 2025 50.4 3M 2025 15.7 3M 2024 51.9 3M 2024 14.5 2024 200.8 2024 52.4 2023 185.0 2023 45.2 2022 171.6 2022 32.3 Non Performing Loans (%) Loans to Deposit Ratio (%)* 3M 2025 1.38 3M 2025
Slide 11: Financial Snapshot
FINANCIAL SNAPSHOT Net Interest Margin (%) Cost / Income Ratio (%) Return on Average Equity (%) 3M 2025 2.1 3M 2025 41.9 3M 2025 8.1 3M 2024 2.4 3M 2024 46.4 3M 2024 9.6 2024 2.1 2024 46.5 2024 8.4 2023 2.2 2023 47.5 2023 6.8 2022 2.3 2022 47.2 2022 5.0 Tier 1 Ratio (%) Total Capital Adequacy Ratio
Slide 12: Key Highlights
KEY HIGHLIGHTS • 66.4% of the total liabilities consist of customer deposits Stable funding base and good • Liquidity coverage ratio and net stable funding ratio of 255% and 109% against regulatory requirement of 100% for each benchmark liquidity buffers • Leverage of 8.2%, above the 3.0% required b
Slide 13: Operating Environment
SECTION 2 OPERATING ENVIRONMENT 13
Slide 14: Snapshot of Kuwait's Economy
SNAPSHOT OF KUWAIT'S ECONOMY Key Economic Indicators GCC GDP per capita (2025) (USD’000)3 72 50 30 30 29 Population Inflation CBK Benchmark 19 2024 Mar 2025 Rate 4.99 Mn1 2.41% 4.00%2 Qatar UAE KSA Kuwait Bahrain Oman Evolution of oil price and Kuwait’s average daily crude oil production Oil Price (
Slide 15: Snapshot of Kuwait's Banking Sector
SNAPSHOT OF KUWAIT’S BANKING SECTOR USD 154.6 Bn The banking sector is regulated by Provisions required by CBK of local bank the CBK. Leading supervisory instructions have been more cash loans* practices are in place to monitor precautionary in nature and interest rates charged, lending higher than
Slide 16: Peer Comparison
PEER COMPARISON Loans & Advances (KD’Bn) Customer Deposits (KD’Bn) 23.7 22.9 Gulf Bank 5.5 4.9 4.8 4.7 Burgan Bank 4.5 4.4 2.8 2.5 Net Interest Margin (%) Return on Equity (%) 2.7 22.5 2.6 16.4 2.2 8.4 2.2 7.3 2.2 5.2 16 *Numbers are as of Q4 2024
Slide 17: Strategy and Business Overview
SECTION 3 STRATEGY AND BUSINESS OVERVIEW 17
Slide 18: ABK's Vision, Mission, and Core Values
ABK'S VISION, MISSION, AND CORE VALUES The Foundation of ABK’s Strategy ABK’s strategy supports our vision and mission across our values that define our holistic approach to each element of our organization from processes and product development to talent management and client service. Vision Missio
Slide 19: ABK's Strategic Priorities
ABK'S STRATEGIC PRIORITIES Core Business and Risk Areas Scale and create value Kuwait: Scale franchise in retail, private banking, and commercial banking Egypt: Maintain growth momentum, continuous focus on risk UAE: Grow selectively; focus on diversification/synergy benefits Cross-group: Leverage s
Slide 20: ABK's Strategic Priorities: Core Enablers
ABK'S STRATEGIC PRIORITIES Core Enablers Innovate and Enable Digital and advanced analytics transformation: Implement comprehensive digital and advanced analytics roadmap focused on customer experience as well as efficiency gains Technology and operational excellence Build modern, agile, and secure
Slide 21: Overview of ABK's Business Segments
OVERVIEW OF ABK’S BUSINESS SEGMENTS Breakdown by Operating Income (KD’Mn) 16% 12% 15% 12% 15% Commercial Banking A holistic range of various cash & non-cash 2022 2023 45% 3M 45% 3M 48% 2024 48% 49% 2024 2025 facilities to local and international entities. 36% 43% 37% 39% 40% 171.6 185.0 200.8 51.9 5
Slide 22: Commercial and Retail Banking
COMMERCIAL AND RETAIL BANKING Commercial Banking Operating Income (KD’Mn) 162 170 Corporate Banking 143 • Split into 2 divisions (Corporate Banking & Structured Finance), 10 specialized business units 51% 56% • Offering a wide & broad spectrum of financial products and 57% services to local & intern
Slide 23: Treasury & Investments
TREASURY & INVESTMENTS Treasury & Investment Segment Assets (KD’Mn) The Group’s Treasury manages the Group’s assets and liabilities and liquidity requirements under the supervision of the Asset and Liabilities Committee (ALCO) Manages the money market books and money market funding positions for the
Slide 24: International Operations
INTERNATIONAL OPERATIONS The Group’s International operations encompass the operations of its UAE branches and its ABK Egypt subsidiary contributing around 40% of operating income and 37% of assets International Operating Income (KD’Mn) Al Ahli Bank of Kuwait – UAE • First Kuwaiti Bank in the UAE an
Slide 25: ABK Sustainability Frameworks
ABK SUSTAINABILITY FRAMEWORKS Main Reporting Framework International Framework International ESG Rating Kuwait Frameworks Global Reporting Initiative for Sustainability for Sustainability • A sustainability reporting • The United Nations • ESG rating agencies assess and Kuwait National Development s
Slide 26: ABK Sustainability 2023 Report Highlights
ABK SUSTAINABILITY 2023 REPORT HIGHLIGHTS Customer Trust Employee Wellbeing Committed to and Satisfaction and Development Gender Diversity • Customer Satisfaction Index (CSI): 83.3% • Total training hours • Female employees: 44% • Net Promoter Score (NPS): 50.0% provided: 44,676.5 • Females in manag
Slide 27: Loans, Portfolio, Funding and Liquidity
LOANS, PORTFOLIO, FUNDING AND LIQUIDITY Loan Portfolio (KD’Mn) Gross Maximum Exposure by Credit Risk (%) 4,829 4,720 Others* 4,258 4,273 17% 17% 19% 19% 4,039 Personal Government and related entities 17% 15% 15% 14% Construction and real estate 6.97% 7.08% 6.59% Banks and other institutions 6.52% 6.
Slide 28: Asset Quality Overview
ASSET QUALITY OVERVIEW Non-Performing Loan Ratio (%) Stage-wise Breakdown of Gross Loans (KD’Mn) 5,158 5,054 4,578 61 238 4,600 67 220 4,321 60 59 283 61 279 235 1.43% 1.33% 1.34% 1.38% 1.23% 4,859 4,767 4,027 4,235 4,260 2022 2023 2024 3M 2024 3M 2025 2022 2023 2024 3M 2024 3M 2025 Loan Loss Covera
Slide 29: Financial Performance Highlights
SECTION 4 FINANCIAL PERFORMANCE HIGHLIGHTS 29
Slide 30: Operating Performance
OPERATING PERFORMANCE Operating Income (KD’Mn) & Cost to Income (%) Breakdown of Operating Income (%) 47.2% 47.5% 46.5% 46.4% 41.9% 73% 74% 72% 71% 71% 201 172 185 19% 19% 22% 20% 18% 8% 7% 10% 7% 9% 52 50 2022 2023 2024 3M 2024 3M 2025 2022 2023 2024 3M 2024 3M 2025 Net Interest Income Net Fee and
Slide 31: Capitalization Overview
CAPITALIZATION OVERVIEW Tier 1 Ratio and Capital Adequacy Ratio (%) Regulatory Capital (KD’Mn) 853 852 750 161 733 682 162 154 155 16.9% 16.8% 103 16.7% 16.3% 15.6% 692 690 579 596 578 13.6% 13.3% 13.3% 13.7% 12.8% 2022 2023 2024 3M 2024 3M 2025 2022 2023 2024 3M 2024 3M 2025 Tier 2 Capital Tier 1 C
Slide 32: Appendix
SECTION 5 APPENDIX 32
Slide 33: Balance Sheet
BALANCE SHEET BASED ON CONSOLIDATED IFRS FINANCIALS KD’000 2022 2023 2024 3M 2024 3M 2025 Assets Cash and balances with banks 1,138,750 691,432 1,043,183 908,551 1,157,642 Kuwait Government Treasury bonds 20,500 17,500 5,000 17,500 5,000 Central Bank of Kuwait bonds 167,884 163,712 81,453 164,222 80
Slide 34: Income Statement
INCOME STATEMENT BASED ON CONSOLIDATED IFRS FINANCIALS KD’000 2022 2023 2024 3M 2024 3M 2025 Interest income 269,327 413,538 471,444 117,243 121,009 Interest expense (143,950) (276,146) (327,264) (80,263) (85,251) Net Interest Income 125,377 137,392 144,180 36,980 35,758 Net Fees and commissions inc
Slide 35: ABK Share Information
ABK SHARE INFORMATION Legal Name: Al Ahli Bank of Kuwait (K.S.C.P) Thomson Reuters Ticker: ABKK.KW Date Established: 23 May 1967 ISIN: KW0EQ0100044 Regulated By: Sector: Banking Central Bank of Kuwait (CBK) + Kuwait’s Capital Paid-Up Share Capital: KWD 249,310,667.500 Markets Authority (CMA) Number
Slide 36: Annual Report
| SRD DN KY ANNUAL REPORT EMBRACING | SUSTAIVASILITY REPORT A BLEND OF SIMPLICITY GREEN INITIATIVES AND EXCELLENCE
Slide 37: Ahlan Ahli
Ahlan Ahli 1 899 899 | eahli.com | Al Ahli Bank of Kuwait | abk_kuwait Investor Relations: IR@abkuwait.com | +965 2290 7000 | Ext. 6706
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