Kuwait Financial Centre Kpsc · KSE:MARKAZ
Kuwait Financial Centre Kpsc — Kuwait Financial Centre K.P.S.C. "Markaz" — FY2019 Earnings Presentation
21 slides from Kuwait Financial Centre Kpsc's earnings presentation, 2019
Slide 1: Earnings Presentation 2019
Kuwait Financial Centre K.P.S.C. "Markaz" (Boursa Kuwait: MARKAZ) Earnings Presentation 2019 Asset Management | Investment Banking
Slide 2: Discussion Agenda
Discussion Agenda 2019 Performance Highlights …..……………..…….… 3 Markaz Overview ……….……...………...................… 6 Business and Financial Highlights……..……..….….… 9 Shareholders Information …………………………..… 19 2
Slide 3: 2019 Performance Highlights
2019 Performance Highlights Markaz Assets Under Management of KD 1.14 billion Profit and Loss Highlights Balance Sheet Highlights KD 23.49 mn Growth: 53.5% Total AUM Total Revenue1 KD 1.14 billion - Growth: 4.6% y-o-y KD 14.71 mn KD 8.69 mn Growth: 129% Growth: (2.7%) Net Debt / Total Equity of 0.51
Slide 4: 2019 Performance Highlights
2019 Performance Highlights Commenting on the performance, Mr. Diraar Yusuf Alghanim, Chairman of Markaz said: “The global equity market continued its growth momentum from the second Global equity markets delivered outstanding returns in 2019 with a 25.2% half of 2018 into 2019, with all major equit
Slide 5: 2019 Performance Highlights (cont'd)
2019 Performance Highlights (cont’d) In addition, we successfully manage a significant part of the National Real Sectors such as education, healthcare, food and beverage continue to attract Estate Portfolio for Kuwait Investment Authority (KIA) with a focus on driving strong interest from potential
Slide 6: Markaz Overview
Markaz Overview A leading financial institution in the region delivering consistent shareholders returns Leading market position Sustainable long-term Building a sustainable Our Team, the cornerstone shareholder returns economy in Kuwait of our success As one of the region’s Generates sustainable En
Slide 7: Markaz Overview (cont'd)
Markaz Overview (cont’d) Delivering International Investment Reach to our Clients Germany US Poland Turkey Kuwait Qatar Bahrain Oman KSA India UAE Egypt Lebanon Jordan Equity Fixed Income MENA Real Estate Investments International Real Estate Investment Banking Advisory Offices 7
Slide 8: Markaz Overview (cont'd)
Markaz Overview (cont’d) One of the most recognized and well awarded brands across the MENA region Kuwait Asset Manager Best Investment Bank in Best Equity Fund in Kuwait Most Innovative Financial of the Year Kuwait “Midaf” Institution in the Middle East By: Global Investor By: Global Finance By: ME
Slide 9: Business Highlights
Business Highlights Total AUM of KD 1.14 billion, an increase of 4.6% from December 2018 Asset Management Real Estate Investments GCC Equity Funds, Fixed Income Fund, Others Middle East and North Africa, International Total AUM of KD 830.9 million Total AUM of KD 403.3 million MENA Real Estate – AUM
Slide 10: Business Highlights (cont'd)
Business Highlights (cont’d) Adding significant value to clients through high quality advisory services and research Investment Banking Research M&A, Advisory, Equity & Debt Capital Markets, IPOs and restructuring Mena focused Research, Consulting Services Total transaction value executed in 2019
Slide 11: Financials Trend
Financials Trend 2019 Revenues growth on y-o-y basis 2019 Profitability (KD 000’s) Management Fees & Commissions have declined marginally by 2.7% There was a significant improvement of 90.5% in EBIT on compared to 2018, however, it has contributed 37% of Total Revenue y-o-y basis The EBIT margin
Slide 12: Financials Trend (cont'd)
Financials Trend (cont’d) Return on Equity1 Dividend per Share and Payout Return on Equity of 7.3% in 2019 increased by 191% y-o-y Consistent dividend payouts; a dividend of 10 fils per share was Return on Equity adjusted for Impairment of Investment recommended for 2019 Properties is 8.4% in
Slide 13: Profit & Loss Key Metrics
Profit & Loss Key Metrics Full Year Ended Y-o-Y (KWD 000's) 2019 2018 Growth (%) 2019 Income Analysis Management Fees and Commission 8,692 8,930 (3%) Interest Income 1,022 679 51% Dividend Income 1,595 1,493 7% Other Sources of Income KD 0.09 mn Gain from Investments at Fair Value through P/L 9,934
Slide 14: Balance Sheet Key Metrics
Balance Sheet Key Metrics (KWD 000's) Dec 2019 Dec 2018 ASSETS Cash and Bank balances 4,937 4,691 Time Deposits 1,332 2,565 Investments at fair value through profit or loss 106,646 92,674 Debt instruments at fair value through profit or loss 2,735 427 Asset Under Management Investments carried at am
Slide 15: Asset Management & Investment Banking
Asset Management & Investment Banking Management Fees & Commission (KD 000’s) CAGR 4.2% 8,930 8,692 7,359 7,782 7,302 2015 2016 2017 2018 2019 Asset Management Fees1 (KD 000’s) Investment Banking Fees (KD 000’s) CAGR CAGR 5.3% (6.8)% 1,724 8,114 7,206 1,436 6,594 6,346 6,237 1,065 765 578 2015 2016
Slide 16: Asset Management Fees Returns
Asset Management Fees Returns Asset Management Fees1 (KD 000’s) AUM (KD million) 1,093 1,143 8,114 1,027 1,027 7,206 935 6,594 6,346 6,237 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Annualized Management Fees (%) 0.68% 0.71% 0.64% 0.66% 0.61% 2015 2016 2017 2018 2019 1. Asset Management inclu
Slide 17: Return on Principal Investments
Return on Principal Investments Income Returns (KD 000’s) Investment Assets1 (KD million) 175 157 137 145 14,706 133 8,058 5,576 6,428 3,010 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Annualized Income Returns (%) 8.4% 5.6% 4.1% 4.1% 2.3% 2015 2016 2017 2018 2019 1. Investment Assets include
Slide 18: Capital Structure and Returns
Capital Structure and Returns Markaz Net Debt to Total Equity of 0.51x Return on Assets1 (%) (KD 000's) Dec 2019 Dec 2018 Dec 2017 Term Loans 41,632 22,565 17,516 3.5% Bonds Issued 25,000 25,000 25,000 2.6% 2.7% 1.9% Total Debt 66,632 47,565 42,516 1.3% Cash and Bank Balance 4,937 4,691 7,622 Time D
Slide 19: Shareholders Information
Shareholders Information Focused on sustainable value creation for shareholders Major Shareholders Corporate Information Main Market – Boursa Kuwait Major Shareholders Type % Holding Market Segment Listing (Sec Code: 213) Kuwait Pillars for Financial Proposed Cash Dividend – 10 Fils per Direct 28.73
Slide 20: Disclaimer
Disclaimer This document has been prepared by Churchgate Partners for Kuwait Financial Centre K.P.S.C. (“Markaz”) investors, solely for informational purposes. This presentation may contain statements that are not historical facts, referred to as “forward looking statements” .The information contain
Slide 21: Kuwait Financial Centre K.P.S.C. "Markaz" contact details
Kuwait Financial Centre K.P.S.C. "Markaz" P.O. Box 23444, Safat 13095 State of Kuwait Tel: +965 2224 8000 Fax: +965 2242 5828 Email: info@markaz.com www.markaz.com
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