Attijariwafa Bank Sa · CSEMA:ATW
Attijariwafa Bank Sa — H1 2013 Earnings Presentation
31 slides from Attijariwafa Bank Sa's earnings presentation, June 2013
Slide 1: Results Presentation as of 30 June 2013
RESULTS PRESENTATION As of 30 June 13 Attijariwafa bank – Results at 30 June 2013 1
Slide 2: Agenda
Agenda Overview of the economic environment IFRS consolidated financial statements as of June 30, 2013 Analysis of the main contributors Attijariwafa bank share price performance Back up Attijariwafa bank – Results at 30 June 2013 2
Slide 3: Macro-economic environment in 1H2013: Africa
Macro-economic environment in 1H2013 Africa Economic trends in Africa Real GDP growth Economic growth in Africa: 4.8% in 2013P versus 6.6% in 2012 2012 2013F 2014F North Africa: Africa 6.6% 4.8% 5.3% Slowdown in North African economic growth (3.9% in 2013F Central Africa 5.7% 5.7% 5.4% versus 9.5%
Slide 4: Macro-economic environment in 1H2013: Morocco (1/2)
Macro-economic environment in 1H2013 Morocco (1/2) Real GDP growth Economic growth GDP growth of 4.4% in 2013F which is one of the highest (4.9%) rates in the MENA region: 5.0% (2.1%) - Weaker non agricultural activity (2.1% vs 4.3% in 2012) (4.5%) 4.4% 3.7% (4.3%) - Strong growth of agricultural
Slide 5: Macro-economic environment in 1H2013: Morocco (2/2)
Macro- economic environment in 1H2013 Morocco (2/2) Trends in Balance of payments' Balance of payments components Improvement of Trade balance (goods and MAD billions services*) deficit (-7.3%) due to imports and +8% +9% -4% -0.5%* exports contraction(-3.0% and -0.9% 54 59 56 50 respectively). Exc
Slide 6: Macro-economic environment in 1H2013: Tunisia - Senegal
Macro-economic environment in 1H2013 Tunisia - Senegal Tunisia: Real GDP growth Tunisia 5.3% Gradual economic recovery after Arab Spring 4.5% 4.0% 6.0% inflation in 2013F versus 5.6% in 2012 3.6% 3.1% 3.1% Ave. 2009 2010 2011 2012 2013F 2014F 2004- 2008 -1.9% Senegal: Real GDP growth Senegal 4.5
Slide 7: Moroccan banking sector
X% CAGR Moroccan banking sector X% +/- Deposits YoY growth of +5% compared to +2% between 2011 and 2012 Banking sector growth Slowdown in loans growth (+16% between 2006 and as of June 30, 2013 2011, +5% between 2011 and 2012 and +3% between June- 12 and June- 2013): - Deposits-Loans deficit of
Slide 8: Moroccan banking sector: loans growth and market shares
Moroccan banking sector AWB market shares in Morocco x% CAGR Focus on loans growth between 2008 and 2013 Average Retail loans (MAD billion) Retail loans: YoY growth 24.68% 24.41% 23.47% 23.50% 24.75% +12% +13% +6% +8% 22.98% 22.88% 22.33% 22.29% 13% 14% 12% Average : 11% 11% 11% 10% 11%12% 14% 10% 1
Slide 9: Moroccan financial market (1/2)
Moroccan financial market (1/2) Financial market trends 1H2013 Stock market: Capitalization and volume Decline in stock market activity in 1H2013 MAD billion in terms of market capitalization and volumes: Liquidity ratio Moroccan All Shares Index (MASI) fell by 40% 20% 14% 11% 14% 6.1% Ytd to 8 79
Slide 10: Moroccan financial market (2/2)
Moroccan financial market (2/2) Financial market trends 1H2013 Yield curve trend between December 2011 and Rise of government bond yields June 2013 5.69% 5.39% Further increase of government bond yields 4.99% in 2013 mainly due to high public deficit and tight 4.89% 4.56% liquidity 5.04% 4.95% 4.1
Slide 11: Focus on NPL ratio in Morocco
Focus on NPL ratio in Morocco NPL ratio 19.62% 11.68% 8.61% 6.33% 6.00% 5.04% 4.94% 4.99% 5.43% 4.22% 3.04% 3.55% 3.22% 3.27% 2.99% 3.42% 2004 2007 2008 2009 2010 2011 2012 June-13 Banking sector AWB Decrease of the NPL ratio in Morocco from 19.62% in 2004 to 4.99% in 2012 thanks to a strong growt
Slide 12: Agenda
Agenda Overview of the economic environment IFRS consolidated financial statements as of June 30, 2013 Analysis of the main contributors Attijariwafa bank share price performance Back up Attijariwafa bank – Results at 30 June 2013 12
Slide 13: Attijariwafa bank Group key figures
Attijariwafa bank Group key figures as of June 30, 2013* Total assets: MAD 384.7 billion NBI: MAD 9.1 billion 15,578 employees +3% +5% +5% Total savings**: MAD 316.4 Gross operating income: MAD 3,037 branches billion 5.1billion +5% +5% +23% Deposits : +8% Total loans: MAD 253.6 Net consolidated inco
Slide 14: Stable cost-income ratio and higher cost of risk
IFRS consolidated financial statements as of June 30, 2013 Stable Cost-income ratio and higher cost of risk Cost-Income ratio Cost of risk 43.43%* 42.95%* -48 bps 43.72% 43.80% +8 bps 0.74% +28 bps 0.46% June-12 June-13 June-12 June-13 Operating expenses contained despite the Increase of cost of
Slide 15: Profitability ratios in line with best standards
IFRS consolidated financial statements as of June 30, 2013 RoE Profitability ratios in line with 17.9% -1.8 pts best standards 16.1% Shareholders’ equity up 8% YoY and RoA June-12 June-13 stable : - Capital increase of MAD 685.2 million RoA through optional conversion of 2012 dividends into new sh
Slide 16: Superior Operating Performance
Superior Operating Performance NBI Growth Efficiency Ratios (Cost-Income ratio) 48.1% 45.3% 45.1% 44.2% 43.8% 43.8% 25% 19% 21% 40.8% 11% 8% 7% 1 5% 2007 2008 2009 2010 2011 2012 June-13 2007 2008 2009 2010 2011 2012 June-13 AWB has managed to sustain a strong NBI growth AWB managed to constrain
Slide 17: Conservative Approach to Capital Management
Conservative Approach to Capital Management All Data Based on Basel II RWA Growth (MADbillion) Core Tier 1 Ratio (%) 08-12 CAGR 9.1 AWB is fully compliant with the requirements of 7.8 7.9 its local regulator (Bank 7.3 7.3 Al Maghrib) which are 10.0% 288.0 amongst the most 276.7 stringent worldwide
Slide 18: Agenda
Agenda Overview of the economic environment IFRS consolidated financial statements as of June 30, 2013 Analysis of the main contributors Attijariwafa bank share price performance Back up Attijariwafa bank – Results at 30 June 2013 18
Slide 19: Contributions to consolidated NBI by activity
IFRS consolidated financial statements as of June 30, 2013 Structure of NBI as of June ,2013 Contributions to consolidated NBI by (11%) 10% activity as of June 30, 2013 12% (12%) 53% (54%) 25% (23%) Slight change in the NBI structure: (xx%) Structure June 2012 -1pt for Banking in Morocco, Europe &
Slide 20: Growth of NBI by business lines
Growth of NBI by business lines x% Growth rate BMET International Retail Banking In MAD billion In MAD billion +4.8% 4.9 +10.4% 4.7 2.1 2.3 NBI (In MAD billion) June-12 June-13 June-12 June-13 8.7 9.1 +4.7% Specialised Financial Insurance June-12 June-13 Companies In MAD billion In MAD billion +2.7%
Slide 21: Contributions to consolidated NIGS by activity
IFRS consolidated financial statements as of June 30, 2013 Structure of NIGS as of June ,2013 Contributions to consolidated NIGS (15%) 15% by activity as of June 30, 2013 11% (8%) 58% (65%) 16% (12%) Slight change in the NIGS structure: (xx%) Structure June 2012 -7 pts for Banking in Morocco, Euro
Slide 22: Growth of NIGS by business lines
Growth of NIGS by business lines x% Growth rate BMET in MAD million Insurance In MAD million -15.3% -5.4% 1,507 360 1,276 341 NIGS (in MAD million) June-12 June-13 June-12 June-13 2,333 2,221 -4.8% International Retail Banking Specialised Financial June-12 June-13 In MAD million Companies In MAD mil
Slide 23: Growth of Cost of Risk by business lines
Growth of Cost of Risk by business lines x% Growth rate X% CoR (%) BMET in MAD million Specialised Financial 0,28% 0,80% Companies In MAD million +192% 745 1,19% 0,89% -24% 156 119 255 Cost of risk (in MAD million) 0,46% 0,74% June-12 June-13 June-12 June-13 972 594 +64% International Retail Banking
Slide 24: Main contributors to net banking income in June 2013
Main contributors to net banking income in June 2013 in MAD million Subsidiaries Contribution June-13 Contribution weight Growth Rate Attijariwafa bank 4,607 50.1% 3.4% Wafa Assurance 926 10.2% -4.4% Attijari bank Tunisie 641 7.0% 5.8% Wafasalaf 528 5.8% -2.7% CBAO (Senegal) 424 4.7% 14.8% SIB (Ivor
Slide 25: Main contributors to net income group share in June 2013
Main contributors to net income group share in June 2013 Subsidiaries Contribution June-13 Contribution weight Growth Rate in MAD million Attijariwafa bank 1,224 55.1% -18.5% Wafa Assurance 341 15.3% -5.4% Attijari bank Tunisie 112 5.0% 93.8% Wafasalaf 86 3.9% 5.4% CBAO (Senegal) 56 2.5% -2.1% SIB (
Slide 26: Agenda
Agenda Overview of the economic environment IFRS consolidated financial statements as of June 30, 2013 Analysis of the main contributors Attijariwafa bank share price performance Back up Attijariwafa bank – Results at 30 June 2013 26
Slide 27: Attijariwafa bank share price performance
Attijariwafa bank share price performance Attijariwafa bank vs MASI from 12-31-08 to 09-09-13 MASI Flottant ATTIJARIWAFA BANK Base 100 190 déc 08 2011 2012 Share price as of 30 June 2013: AWB : -10.6% AWB : -14.0% MASI : -15.1% MAD 327.9 2010 MASI : -12.9% 165 AWB : +50.7% 2013 Largest market ca
Slide 28: Attijariwafa bank market indicators
Attijariwafa bank market indicators Attijariwafa bank 12/31/2011 12/31/2012 06/30/2013 Share price 350 313 328 Year High 475 377 345 Year Low 345 304 300 P/B (*) 2.59x 2.04x 2.12x P/E (*) 15.15x 14.00x 15.02x DY 2.43% 2.88% 2.74% Number of shares 192,995,960 201,243,086 203,527,226 Market capitalisa
Slide 29: Agenda
Agenda Overview of the economic environment IFRS consolidated financial statements as of December 31st, 2012 Analysis of the main contributors Attijariwafa bank share price performance Back up Attijariwafa bank – Results at 30 June 2013 29
Slide 30: Consolidated NBI
IFRS consolidated financial statements as of June 30, 2013 NBI in MAD billion Consolidated NBI 9.1 8.7 growth of +4.7% +4.7% Strong growth in the NBI: +4.7% June-12 June-13 +2% on the net interest income +14% on the net fee income Structure of the NBI -5% on income from market activities 4,9% (3.3%)
Slide 31: Net consolidated income
IFRS consolidated financial statements as of June 30, 2013 Net consolidated income (MAD million) Net consolidated income -1.9% Net income group share -4.8% 2,722 2,669 Growth in annual results - -1.9% for the net consolidated income -1.9% - -4.8% for the income group share June-12 June-13 Net inco