Asa International Group Plc · LSE:ASAI
Asa International — H1 2023 Earnings Presentation
24 slides from Asa International's earnings presentation, Sep 20, 2023
Slide 1: H1 2023 results presentation
H1 2023 results presentation ASA International Group plc | 20 September 2023 Karin Kersten Tanwir Rahman Chief Executive Officer Chief Financial Officer
Slide 2: Karin Kersten, CEO
INTERNATIONAL Karin Kersten CEO
Slide 3: Highlights – H1 2023
Highlights – H1 2023 Operational performance improved and disappointing financial performance due to external factors The total number of clients decreased by Clients Branches 3% due to the intentional shrinking of operations in India and continuing impact 2.2m 2,073 of demonetization and election i
Slide 4: Overview key performance indicators
Overview key performance indicators H1 2023 operational performance improved YoY YTD YTD USDm H1 2023 FY 2022 H1 2022 FY 2021 % change % change % change cc(3) Number of Clients (millions) 2.2 2.3 2.4 2.4 -7% -3% Number of Branches 2,073 2,028 2,129 2,044 -3% 2% Average Gross OLP / client (USD) 156 1
Slide 5: OLP impacted by currency devaluation in PK and NG
OLP impacted by currency devaluation in PK and NG East Africa continued to drive growth South Asia OLP (1) (USD m) West Africa OLP (USD m) H1 2023 FY 2022 YTD % change H1 2023 FY 2022 YTD % change (Constant currency(2)) (Constant currency(2)) 112.1 60.3 -8% South Asia +9% West A frica 118.6 82.4 65.
Slide 6: Tanwir Rahman, CFO
INTERNATIONAL Tanwir Rahman CFO
Slide 7: Overview key financial metrics
Overview key financial metrics H1 2023 financial performance disappointing due to external factors YoY YTD YTD USDm H1 2023 FY 2022 H1 2022 FY 2021 % change % change % change cc(3) Profit before tax 13.8 46.3 23.8 25.7 -42% -40% -31% Income Statement Net profit 3.7 17.9 13.1 6.4 -72% -59% -45% OLP (
Slide 8: Gross yield, cost of funding and margin development
Gross yield, cost of funding and margin development GROSS YIELD, COST OF FUNDING AND NET INTEREST MARGIN } Net interest margin and gross yield slightly 37.2% increased as subsidiaries with higher yields 35.5% 35.8% 36.3% increased their OLP as percentage of overall Group. } Upward adjustment of inte
Slide 9: Funding profile impacted by FX translation losses
Funding profile impacted by FX translation losses FUNDING BREAKDOWN(1, 2) } USD 75 million in fresh debt raised to fund 505.6 operations in H1 2023. Cash and cash equivalents as 486.5 of 30 June 2023 was USD 45 million. 87.8 86.3 431.3 } Strong funding pipeline of USD 181 million fresh 387.2 84.1 lo
Slide 10: Karin Kersten, CEO
INTERNATIONAL Karin Kersten CEO
Slide 11: August 2023 business update
August 2023 business update Loan portfolio quality further improved since May 2023 } ASA India continues to prioritise LOAN PORTFOLIO QUALITY the recovery of existing and Gross OLP (in USDm)(1) PAR>30(2) PAR>30 less PAR>180(3) overdue loans with a responsible Country Jun/23 Jul/23 Aug/23 Jun/23 Jul/
Slide 12: August 2023 business update (Cont'd)
August 2023 business update (Cont’d) Collection efficiency } Collection efficiency (‘CE’) COLLECTION EFFICIENCY(1) remained broadly stable in most Collection efficiency until 31 August 2023 Country of our operating countries Mar/23 Apr/23 May/23 Jun/23 Jul/23 Aug/23 compared to May 2023. Pakistan 99
Slide 13: Regulatory update
Regulatory update Progress to become fully Central Bank regulated institutions, with the capacity to mobilise deposits Pakistan ASA Pakistan received the Microfinance Banking ('MFB') licence from the State Bank of Pakistan ('SBP') on 24 May 2022 and is awaiting receipt of the certificate of commence
Slide 14: Digital strategy unchanged and in progress
Digital strategy unchanged and in progress Sustainable growth and increased financial inclusion by growing loan portfolio, adding digital financial services and broadening services Increase number Increase loan Grow revenues from Greenfield branches Increase of branches and volumes by payments and i
Slide 15: From – To: What the future holds
From – To: What the future holds CBS and DFS implementation is pre-requisite for digitalization Present Future • Packaged Core Banking System (CBS)(2) • In-house developed loan system (AMBS) • Digital Financial Services (DFS) system • Supplier Market Place (SMP) system Technology • Branch • Branch •
Slide 16: Redesign the group meetings' purpose
Redesign the group meetings’ purpose Process of the change in the group meetings 1 Not all the clients go to digital at once 2 Clients can be partially digital 3 Frequency of meetings can change Today Purpose of the group meetings for our clients Future Analog financial transactions Financial inclus
Slide 17: Substantial strides implementing digitalisation strategy
Substantial strides implementing digitalisation strategy CBS software, DFS app, and SMP app Progress 1. CBS software implementation and customisation The implementation of the core banking system in Pakistan is well under way and planned to go live in the coming months. After the implementation in P
Slide 18: Summary and outlook
Summary and outlook Summary results H1 2023 } The Company’s operational performance in constant currency terms improved compared to the end of 2022 with OLP growing by 6% in constant currency terms. } Operational and financial results decreased in USD terms, with profit before tax decreasing to USD
Slide 19: Creating hope. Changing fortunes.
CREATING HOPE. CHANGING FORTUNES.
Slide 20: South Asia
South Asia Clients Branches OLP -8% -1% -5% } ASA Pakistan continued to grow its business with the number of clients up 0.4% to 608k, and the number of branches remained at 345. OLP decreased from USD 79.1m to USD 65.6m (up 5% on a constant currency basis). PAR>30 decreased from 0.7% at year-end 202
Slide 21: South East Asia
South East Asia Clients Branches OLP +1% +5% +8% } Pagasa Philippines’ number of clients increased by 2% to 332k by 30 June 2023 and the number of branches went up by 22 to 367 with its loan portfolio also increasing from USD 49.6m at year-end 2022 to USD 52.3m at the end of June 2023 (up 5% on a co
Slide 22: West Africa
West Africa Clients Branches OLP -13% +1% -27% } ASA Savings & Loans, the Group’s operating subsidiary in Ghana continued to grow with client numbers by 2% to 181k serviced from 143 branches, up by 6 compared to the year-end of 2022. OLP decreased by 1% from USD 40.8m to USD 40.6m (up 11% on a const
Slide 23: East Africa
East Africa Clients Branches OLP +10% +6% +8% } ASA Tanzania expanded its operation as the number of clients went up from 217k to 227k serviced from 190 branches, up by 10. OLP increased from USD 51.2m to USD 56.3m (up 14% on a constant currency basis). PAR>30 increased from 0.4% to 0.7%. } ASA Keny
Slide 24: Legal Disclaimer
Legal Disclaimer IMPORTANT: You must read the following disclaimer before independent judgment and each person made aware of the to be reliable, but that there is no guarantee of the accuracy continuing. The following applies to this document, and the information set-forth here shall be responsible
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