Bank Aljazira · TADAWUL:1020
Bank Aljazira — FY2024 Earnings Presentation
26 slides from Bank Aljazira's earnings presentation, Feb 11, 2025
Slide 1: Bank AlJazira Earnings Presentation FY 2024
Bank AlJazira Earnings Presentation FY 2024
Slide 2: Strong asset growth with steady improvement in efficiency and profitability
Highlights Highlights Strategy Financials Guidance Appendix Strong asset growth with steady improvement in efficiency and profitability Macro Saudi Arabia’s favorable operating Non-oil Real GDP Growth SAIBOR 3M Avg (%) Banking Sector Loan Growth Background environment: robust non-oil GDP growth 6.3%
Slide 3: Strategic Progress
Strategic Progress
Slide 4: Refreshed Strategy
Refreshed Strategy Highlights Strategy Financials Guidance Appendix We are advancing on the transformation agenda during the 1st year of our 5-year strategy The Refreshed Strategy Business Lines Vision Where are we heading? Corporate Retail Segment and sector focused CIBG: Bank-of-choice for affluen
Slide 5: Corporate Strategic Initiatives
Corporate Strategic Initiatives Highlights Strategy Financials Guidance Appendix Strategic progress in corporate achieved strong growth momentum Corporate Segment Strategic Time Span Strategic Initiatives 2024 Short-term Medium-term Long-term 17 1. Key account planning 4 8 5 initiatives 2. Reviewed
Slide 6: Retail Strategic Initiatives
Retail Strategic Initiatives Highlights Strategy Financials Guidance Appendix Retail is progressing well in redefining value proposition and advancing digitization Retail Segment: Strategic Time Span: Strategic Initiatives 2024 Short-term Medium-term Long-term 14 1. Redefine value proposition for ke
Slide 7: Financial Performance
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Slide 8: Balance Sheet: Summary & Total Assets
Balance Sheet: Summary & Total Assets Highlights Strategy Financials Guidance Appendix Balance sheet | Assets expanding by 15% YoY driven by financing Balance Sheet Total Assets (SAR Bn) 4Q 2024 Management commentary +15% The balance sheet witnessed a 15% expansion during FY 2024. 145.2 148.9 129.
Slide 9: Balance Sheet: Financing
Balance Sheet: Financing Highlights Strategy Financials Guidance Appendix Financing | Financing increased 20% fueled by 22% growth in commercial loans Financing Composition (SAR Bn) 4Q 2024 Financing Movement YoY (SAR Bn) 4Q 2024 Trade Finance SAR Bn +20% Large corporates 2.4% 3.8 Commercial 11.2% M
Slide 10: Balance Sheet: Investments
Balance Sheet: Investments Highlights Strategy Financials Guidance Appendix Investments | Optimizing portfolio by replacing maturities with fixed-rate assets at favorable rates Investments Movement YoY (SAR Bn) 4Q 2024 Investments (SAR Bn) 4Q 2024 +5% +5% 2.0 0.8 36.2 34.4 34.6 36.1 36.2 34.0 34.4 (
Slide 11: Balance Sheet: Liabilities and Liquidity
Balance Sheet: Liabilities and Liquidity Highlights Strategy Financials Guidance Appendix Liquidity | Substantial buffers to accommodate future growth Total Liabilities Movement YoY (SAR Bn) 4Q 2024 Loans to Customers' Deposit Ratios (%) 4Q 2024 +16% 88.5% 89.7% 89.6% 85.9% 86.5% 14.1 0.1 131.7 4.3
Slide 12: Balance Sheet: Customers' Deposits
Balance Sheet: Customers’ Deposits Highlights Strategy Financials Guidance Appendix Deposits | CASA share increased to 44% supported by growth in savings accounts Customers' Deposits (SAR Bn) 4Q 2024 Customers' Deposits Movement YoY (SAR Bn) 4Q 2024 +15% +15% 103.3 108.2 3.7 0.2 108.2 94.1 97.3 98.6
Slide 13: Income Statement: Summary & Net Income
Income Statement: Summary & Net Income Highlights Strategy Financials Guidance Appendix Income Statement | 21% net income growth from top-line expansion Income Statement Quarterly Net Income (SAR Mn) 4Q 2024 Management commentary +0% FY 2024 net income up 21% YoY, from higher operating income, par
Slide 14: Net Financing and Investment Income and Margin
Income Statement: Net Financing and Investment Income and Margin Highlights Strategy Financials Guidance Appendix Net financing & investment income | Up 11% from asset growth despite a slight decline in margin Net Financing & Investment Income Movement YoY (SAR Mn) FY 2024 Quarterly Net Margin (%) 4
Slide 15: Income Statement: Fee & Other Income
Income Statement: Fee & Other Income Highlights Strategy Financials Guidance Appendix Fee & other income | Boosted by investment income and fees from banking services Fee & Other Income Movement YoY (SAR Mn) FY 2024 Net Fee Income From Banking Services Movement YoY (SAR Mn) FY 2024 +19% +10% 42 1,14
Slide 16: Operating Income & Expenses
Income Statement: Operating Income & Expenses Highlights Strategy Financials Guidance Appendix Operating Income | Cost-to-income ratio improving YoY from positive jaws Quarterly Total Operating Income (SAR Mn) 4Q 2024 Quarterly Operating Expenses (SAR Mn) 4Q 2024 Operating Jaws FY 2024 +9% +9% 13.3%
Slide 17: Credit Quality
Credit Quality Highlights Strategy Financials Guidance Appendix Credit quality | Portfolio quality remains healthy with improving NPL ratio Cost of Risk* (%) FY 2024 NPL Ratio and Stage 3 Share (%) 4Q 2024 NPL Coverage Ratio 4Q 2024 4.67% 0.32% 0.32% 4.16% 3.81% 3.74% 0.30% 3.45% 0.28% 1.84% 1.57% 1
Slide 18: Capitalization
Capitalization Highlights Strategy Financials Guidance Appendix Capitalization | Stabilized capital ratios following pressure in 1Q 2024 Capital Adequacy Ratio (%) 4Q 2024 Capital Adequacy Ratio Movement YoY (%) 4Q 2024 19.9% -190bps 18.3% 18.2% 18.1% 18.0% 0.8% 19.9% 17.3% -0.3% 0.1% 18.0% 15.9% 15
Slide 19: Profitability
Profitability Highlights Strategy Financials Guidance Appendix Profitability | Returns are improving YoY EPS (SAR ) FY 2024 ROAE (%) FY 2024 8.46% 8.53% 8.56% 8.36% 1.01 1.01 7.87% 0.86 7.32% 7.47% 7.50% 7.32% 6.79% -14% +17% 2022 2023 2024 FY 23 1Q 24 1H 24 9M 24 FY 24 ROAE ROAE before zakat and ta
Slide 20: Segmental Performance
Segmental Performance Highlights Strategy Financials Guidance Appendix Segments | Diverse mix, with strong contributions from corporate and brokerage in 2024 Total Assets Movement YoY (SAR Bn) 4Q 2024 Total Assets Composition (%) 4Q 2024 +15% Corporate 2.6% 0.2% 3.4 0.33 0.08 148.9 33.9% 7.4 Retail
Slide 21: Guidance
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Slide 22: Guidance: double-digit asset growth expected in 2025
Guidance Highlights Strategy Financials Guidance Appendix Guidance | We expect double-digit asset growth with improved efficiency and profitability in 2025 Guidance Metric FY 2023 Actual FY 2024 Actual FY 2025 Guidance Drivers Financing growth +14% +20% YoY Lower teens Anticipate the continuation of
Slide 23: Q&A
Q&A tm hag
Slide 24: Appendix
Spill lis BANK ALJAZIRA Appendix
Slide 25: Connect with us
Contacts Highlights Strategy Financials Guidance Appendix Connect with us IR Contacts Latest Reports IR email: IR@BankAlJazira.com Board of Directors’ Report Sustainability Report Muhammad Majid Khan, Head of Investor Relations Direct: +966 (12) 609 8997 Email: MMKhan@BankAljazira.com Bank AlJazira
Slide 26: Disclaimer
Disclaimer Highlights Strategy Financials Guidance Appendix Disclaimer The Bank Aljazira (BAJ) prepared this presentation on a proprietary basis as general background information about the activities of BAJ. The information contained herein is given in summary form and for discussion purposes only.