Faysal Bank Limited · PSX:FABL
Faysal Bank — FY2022 Earnings Presentation
29 slides from Faysal Bank's earnings presentation, Mar 22, 2023
Slide 1: Slide 1
Slide 2: Investors' Briefing Session: Financial Performance Dec'22
Investors’ Briefing Session Financial Performance – Dec’22 Date: 22nd March 2023 Place: Karachi Presented by: Syed Majid Ali
Slide 3: Table of Contents
Table of Contents Item Slide No. FBL at a glance 4 FBL’s Vision, Mission and Core Values 7 Strategic Focus 9 Business Developments 12 Key Performance Highlights 16 Ratios 22 ESG 27 3
Slide 4: FBL – At a glance
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Slide 5: Faysal Bank Limited (FBL) – At a glance
Faysal Bank Limited (FBL) – At a glance Ownership Ithmaar Holdings B.S.C is the parent holding directly and indirectly 66.78% of shareholding. Dar Al-Maal Al—Islami Trust is the ultimate parent Size Rating 2nd Largest Islamic Bank in Pakistan Credit rating Network: 700 branches with presence Long Te
Slide 6: Our Journey
Our Journey Journey of FBL highlighting the key events from 1987 to 2022 2017 2022 2014 2003 2010 1994 2001 1987 Increased • Conversion to full- shareholding in fledged Islamic Faysal Asset bank Decision to Management • Amalgamation of convert into a full- Limited from • Rs. 1 Trillion mark Incorpor
Slide 7: FBL's Vision, Mission and Core Values
FBL’s Vision, Mission and Core Values
Slide 8: FBL's Vision, Mission and Core Values
FBL’s Vision, Mission and Core values 1 Vision To be the best customer centric Islamic bank, driven by passion and belief. Achieve leadership in providing Shariah compliant financial services with 2 Mission customer care and employee focus, at the heart of our business ethos together with innovation
Slide 9: Strategic Focus
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Slide 10: 2019 to 2023 Corporate Strategy Goals
2019 to 2023 Corporate Strategy Goals Positioning Strategic Actions Strategic Targets Status Strong ▪ Grow low-cost CASA deposits by focusing on mass- CASA Ratio: Improve Dec Dec Contender affluent customer segment 2021 2022 in Retail Market Share: Increase Branches 606 700 ▪ Network expansion into
Slide 11: 2019 to 2023 Corporate Strategy Goals
2019 to 2023 Corporate Strategy Goals Positioning Strategic Actions ▪ Use technology to differentiate from competitors Improved Customer ▪ Manage branch traffic through diversion to Digital Channels Experience –Digital ▪ Use advanced analytics to leverage data to support sales/ cross sales/ loyalty
Slide 12: Business Developments
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Slide 13: Major Business Developments
Major Business Developments Business Performance ➢ Added 94 branches to reach 700 branches with increase in deposits market share from 3.1% to 3.5% in 1 Retail Banking & Dec’22 CBSME ➢ CBSME crossed Rs. 50 billion. ➢ Consumer Banking had a stellar year, with overall consumer portfolio increasing by
Slide 14: Major Business Developments
Major Business Developments Business Performance ➢ A strong shift in customer transaction behavior towards digital modes persuaded the Digital Banking Group to continue innovating to ensure that the customers have a seamless banking experience, on digital channels. ➢ WhatsApp Banking has seen sizeab
Slide 15: Recognition and Accreditations
Recognition and Accreditations • FBL was named "Best Islamic Retail Bank in Pakistan 2022" at Islamic Retail Banking Awards (IRBA) held by Cambridge IFA • “Best Bank of the Year 2021" by Chartered Financial Analyst (CFA) Society Pakistan amongst mid-size banks in the country • FBL bags 7 “Global Div
Slide 16: Key Performance Highlights
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Slide 17: A Recap of 2022
A Recap of 2022 17 1 A Recap of 2022 … 2 Financial Metrics Alhamdulillah! FBL has Record PBT of PKR 22.0 successfully completed billion, 67% higher than PBT PAT conversion to a full- the PKR 13.4 billion in PKR 22 Billion PKR 11.2 Billion fledged Islamic Bank Dec’21 +67% YoY Highest ever Strong curr
Slide 18: Statement of Financial Position
Statement of Financial Position Description Actual YoY Variance 1. Cash & Bank Balances - Excess liquidity was deployed in Ijarah Rs in millions Dec'22 Dec'21 Amount % Sukuks and call money funds to improve overall spreads. Cash and Bank balances 1 58,916 62,034 (3,118) -5.0% 2. Investments – Ijara
Slide 19: P&L – Year ended December 2022
P&L – Year ended 31 December 2022 Description Actual YoY Variance 1. Net markup income – Grown by 55% YoY underpinned by Rs in millions Dec'22 Dec'21 Amount % strong balance sheet expansion (Impact: PKR 7.4 Bn) and Mark-up / return earned 104,521 53,869 50,652 94.0% improvement in overall spreads (I
Slide 20: Advances
Advances Gross Advances – Rs in Billions Gross Advances – Business segment wise composition 12 ; 3% 8 ; 2% 105 ; 22% CIBG Retail 474 417 SAM 334 340 Others 320 348 ; 73% Dec'18 Dec'19 Dec'20 Dec'21 Dec'22 Non-Performing Loans Infection Ratio - 35 89% 88% 89% 90% 82% 80% 87% 80% 9.1% 84% 86% 30 79% 7
Slide 21: Deposits
Deposits Deposits growth outpacing market growth – Rs in Billions Sector wise deposit composition 782 644 18% 541 458 409 22% Individuals 2018 2019 2020 2021 2022 3% Government 2% Public Sector Entities 2% 1% CASA Mix persistently increasing – Rs in Billions 4% Banking Companies 1% Current Savings T
Slide 22: Ratios
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Slide 23: Profitability Ratios – Improving on all key metrics
Profitability Ratios – Improving on all key metrics Cost to Income ratio - Continued to improve and is at 56% Earning Per Share – Consistent growth in profitability 7.40 65.5% 5.37 61.1% 60.8% 60.2% 4.29 3.98 3.19 56.2% FY 18 FY 19 FY 20 FY 21 FY 22 FY 18 FY 19 FY 20 FY 21 FY 22 Strong set of earnin
Slide 24: Balance Sheet Ratios – Improving on all key metrics
Balance Sheet Ratios – Improving on all key metrics Advances to Deposits Ratio - Among the highest Strong Capital Position 60% dividend to purify retained Total Deposits Net Advances ADR Net Eligible Capital Tier 1 % CAR % 72.4% earnings reduced 1,000 67.6% 75.0% 150 Tier1 25.0% 58.9% 61.5% 900 58.1
Slide 25: Investor Metrics
Investor Metrics Share price Price Earning Ratio 7.21 25.83 22.99 23.00 19.00 17.28 4.77 4.28 4.03 3.49 FY 18 FY 19 FY 20 FY 21 FY 22 FY 18 FY 19 FY 20 FY 21 FY 22 Price to Book Ratio Market Capitalization – Rs in Bn 0.80 39.20 0.56 0.52 0.53 34.91 34.89 0.44 28.84 26.23 FY 18 FY 19 FY 20 FY 21 FY 2
Slide 26: ESG
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Slide 27: Integrating ESG into FBL's strategy
Integrating ESG into FBL’s strategy … With the goal to instill environmental awareness among the Bank's personnel and client base and the belief in core Islamic Values of equality, Faysal Bank has a Social comprehensive CSR, Green Banking & Diversity Policy. ➢ “Amal”, branded account for women ➢ Lau
Slide 28: Important Information
Important Information This presentation is prepared for information purposes only, is not and does not form part of any offer for sale or solicitation of any offer to subscribe for or purchase or sell any securities nor shall it or any part of it form the basis of or be relied on in connection with
Slide 29: Thank You
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