National Bank Of Kuwait K.s.c. · KSE:NBK
National Bank Of Kuwait K.s.c — National Bank of Kuwait — FY2018 Earnings Presentation
20 slides from National Bank Of Kuwait K.s.c's earnings presentation, 2019
Slide 1: National Bank of Kuwait Investor Presentation FY2018 Earnings Call
National Bank of Kuwait Investor Presentation FY2018 Earnings Call
Slide 2: Disclaimer
Disclaimer THE INFORMATION SET OUT IN THIS PRESENTATION AND PROVIDED IN THE DISCUSSION SUBSEQUENT THERETO DOES NOT CONSTITUTE AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. IT IS SOLELY FOR USE AT AN INVESTOR PRESENTATION AND IS PROVIDED AS INFORMATION ONLY. THIS PRESENTATION DOES N
Slide 3: Contents
Contents Section 1 GCEO opening remarks Section 2 Financial Performance FY2018 Section 3 Appendix Section 4 Questions 2
Slide 4: Net Profits 2018
Net Profits 2018 Net Profit 4Q 2018 (KDm) Net Profit 2018 (KDm) 98 371 +17.0% +15.0% 84 322 4Q 2017 4Q 2018 2017 2018 3
Slide 5: Strong economic backdrop
Strong economic backdrop Real GDP Growth (% YoY) Current account balance (% of GDP) 10 10 50 8 8 Curr acc 40 6 6 4 4 30 2 2 0 0 20 -2 -2 10 -4 -4 GDP -6 -6 Non-oil 0 -8 -8 -10 -10 -10 2008 2010 2012 2014 2016 2018f 2020f 2010 2012 2014 2016 2018 2020 4
Slide 6: Stable Credit Ratings
Stable Credit Ratings Rating Long-term Standalone Outlook Key Rating Drivers Agency Rating Rating • Dominant domestic position Aa3 a3 Stable • Resilient profitability and growth outlook • Robust asset quality, capitalization and liquidity • Leading position in Kuwait A+ a- Stable • More diversified
Slide 7: Contents
Contents Section 1 Opening remarks Section 2 Financial Performance FY 2018 Section 3 Appendix Section 4 Questions 6
Slide 8: Operating Performance 2018
Operating Performance 2018 Net Profit (KDm) Operating Surplus (KDm) 370.7 606.9 322.4 557.2 +15.0% +8.9% 84.0 86.5 98.3 152.6 147.2 138.3 4Q 2017 3Q 2018 4Q 2018 2017 2018 4Q 2017 3Q 2018 4Q 2018 2017 2018 Operating Income (KDm) Operating Income 883.2 Non-interest income 822.7 Net interest income &
Slide 9: Operating Performance 2018
Operating Performance 2018 Net Interest Income (KDm) Average Interest Earning Assets (KDbn) 690.5 25.6 629.0 +9.8% 24.1 +6.3% 162.7 178.2 175.4 4Q 2017 3Q 2018 4Q 2018 2017 2018 2017 2018 Net Interest Margin Net Interest Margin drivers YTD NIM Qtrly NIM 2.74% -0.35% 2.71% +0.08% 2.69% +0.35% 2.69% 2
Slide 10: Operating Performance 2018
Operating Performance 2018 Non-interest income (KDm) Operating Expenses (KDm) Net fees and commissions Staff expenses Other operating expenses 193.7 192.8 Net gains from dealing in FX 265.4 276.3 4 Others 21 39 -0.5% 34 +4.1% 111 116 50.0 150 74.4 74.3 41.4 46.0 139 67.0 4 154 160 10 10 0 10 33 34 2
Slide 11: Operating Performance 2018
Operating Performance 2018 Net profit (KDm) - International Net Profit (KDm) – Domestic / International 112.7 94.7 +19.0% Int'l Int'l 29% 30% Dom. Dom. 71% 70% 2017 2018 2017 2018 Net profit (KDm) - Boubyan Bank Total Assets (KD’bn) – Kuwait/ International / Boubyan Bank 56.2 47.7 +17.9% BB BB 15% 1
Slide 12: Operating Performance 2018
Operating Performance 2018 Total Assets (KDbn) Loans, Advances and Islamic Financing (KDbn) 27.4 15.5 26.0 14.5 +5.4% +6.9% Dec 17 Dec 18 Dec 17 Dec 18 Customer Deposits (KDbn) Funding Mix Due to banks and other FIs Customer Deposits 14.4 CD's / GMTN / T2 Bonds 13.8 +4.4% 62% 62% 34% 35% Dec 17 Dec
Slide 13: Performance and Asset Quality ratios 2018
Performance and Asset Quality ratios 2018 Return on Average Equity Return on Average Assets 1.38% 12.0% 1.28% 10.8% 2017 2018 2017 2018 Capital Adequacy Ratios Asset Quality Ratios 1.75% 17.8% 287.5% 17.2% 1.60% 228.1% 15.8% 1.45% 15.3% 1.42% 1.38% 1.30% 1.15% 2017 2018 2017 2018 Tier 1 Ratio Capita
Slide 14: Contents
Contents Section 1 Opening remarks Section 2 Financial Performance FY 2018 Section 3 Appendix Section 4 Questions 13
Slide 15: Performance Measures FY2018
Performance Measures FY2018 % 2017 2018 Return on average assets 1.28% 1.38% Return on average equity 10.8% 12.0% Net interest margin 2.61% 2.69% Cost to income 32.3% 31.3% NPLs to gross loans 1.42% 1.38% Loan loss reserves to NPLs 287.5% 228.1% Common equity tier 1 capital (CET1) 14.2% 13.8% Tier 1
Slide 16: Consolidated Statement Of Income (KWD million)
Consolidated Statement Of Income (KWD million) KWD million 2016 2017 2018 Interest Income 665 743 897 Interest Expense 190 224 331 Net Interest Income 476 519 566 Murabaha and other Islamic financing income 128 156 186 Finance cost and Distribution to depositors 34 46 62 Net Income from Islamic fina
Slide 17: Consolidated Statement Of Financial Position (KWD million)
Consolidated Statement Of Financial Position (KWD million) KWD million 2016 2017 2018 Cash and short term funds 2,687 2,744 2,967 Central Bank of Kuwait bonds 749 656 810 Kuwait Government treasury bonds 493 1,076 872 Deposits with banks 2,408 2,488 2,364 Loans, advances and Islamic financing to cus
Slide 18: Contents
Contents Section 1 Opening remarks Section 2 Financial Performance FY 2018 Section 3 Appendix Section 4 Questions 17
Slide 19: Questions
tnikgll Questions
Slide 20: Thank you
tnikgll Thank you
National Bank of Kuwait — FY2018 Earnings Presentation on 6ix