Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — Q1 2016 Earnings Presentation
18 slides from Union Bank Of Colombo's earnings presentation, April 2016
Slide 1: Investor Presentation 1Q16
Investor Presentation 1Q16 1
Slide 2: Vision
Vision We are geared to deliver a bold new world Our Vision is to be the innovator of banking solutions to the wider Corporate, SME and Retail segments and to be their Bank of choice, through professional and empowered people 2
Slide 3: Mission
Mission To our customers we provide the means of economic upliftment through customized banking and financial services. To our shareholders we provide a return on their investment above industry norm. To our staff we are a learning and innovative organization providing opportunities for faster caree
Slide 4: Key Company Milestones
Key Company Milestones 1995-2000 2001-2010 2011-2013 2014-2016 Established as the 8th Restructuring of the bank Listed in the CSE, TPG through its affiliate indigenous Commercial through a Sampath Bank Highest Culture Finance Holding Bank led consortium oversubscribed IPO strikes landmark deal with
Slide 5: Financial Overview - Bank
Financial Overview - Bank “The Bank’s 1st quarter performance signifies the Bank’s capacity to reach the ambitious growth projected for the remainder of 2016” - CEO 5
Slide 6: Snapshot 1Q16
Snapshot 1Q16 March 2016 LKR Mn YoY Growth Net Interest Income 444 (16%) Total Operating income 766 16% Operating Cost 672 23% Net Profit for the period 80 220% Loans and Advances 43,259 48% Customer Deposits 42,598 43% Total Assets 75,823 53% Profit for Shareholders grew by 220% 6
Slide 7: Financial Performance – Income Statement
Financial Performance – Income Statement 1Q16 YoY Growth Net Interest Income 444 (16%) Net Fee and commission income 62 146% Net Trading and other operating income 261 138% Total Operating income 766 16% Operating Cost 672 23% Impairment 3 96% Net profit before taxes and VAT on FS 91 58% Taxes inclu
Slide 8: Revenue Generation
Revenue Generation 1Q16 Vs 1Q15 Incremental Income LKR Mn YoY NII 444 (16%) Fee Income 62 146% Trading & Others 261 138% NII NII 80% Fee & Commission 58% income Trading Other operating OI income OI 42% 20% Total operating income grew by 16% 1Q15 1Q16 8 *OI – Other income
Slide 9: Operating Expenses
Operating Expenses 1Q16 Vs 1Q15 Personnel Incremental cost LKR Mn YoY Expenses Staff Cost 306 32% Depreciation & Depreciation & Amortization 92 19% Amortization Other Operating cost 274 16% Other Expenses 1Q16 1Q15 Cost to income ratio % Operating Expenses (LKR Mn) Expense distribution 1Q15 1Q16 86.
Slide 10: Statement of financial position – (Bank)
Statement of financial position – (Bank) LKR Mn YTD Total Assets (LKR Mn) Cash and balances with banks 4,331 54% 75,823 70,530 Reverse REPO 369 (76%) Placement with banks 173 (39%) Loans & Receivables 43,259 8% Investment in units 6,628 (22%) 1Q15 1Q16 Other interest earning assets 17,410 22% Loans
Slide 11: Financial Position - Composition of the Balance Sheet
Financial Position - Composition of the Balance Sheet Segmental dispersion of Loans Loans - 57% 8% 49% Assets Corporate SME 43% Treasury Assets - 33% Retail Product composition of Deposits Deposits - 56% 8% 15% Funding CA SA Borrowings - 20% FD 77% 11
Slide 12: Financial Position - Loan Growth & Capital Adequacy
Financial Position - Loan Growth & Capital Adequacy Loans and Receivables LKR Mn 1Q16 8% 40,000 49% 30,000 43% 20,000 2015 10,000 7% - 2011 2012 2013 2014 2015 1Q16 50% 43% Capital Adequacy Corporate SME Retail 45% 40% 35% 30% 25% 20% 15% 10% Tier 2 5% Tier 1 0% 12 2011 2012 2013 2014 2015 1Q16 Tier
Slide 13: Financial Position - Deposit Growth & CASA
Financial Position - Deposit Growth & CASA Customer Deposits LKR Mn 45,000 8% 40,000 15% 35,000 CA 30,000 SA 25,000 FD 20,000 15,000 10,000 77% 5,000 - 2011 2012 2013 2014 2015 1Q16 CASA LKR Mn 12,000 30% 10,000 25% 8,000 20% 6,000 15% CASA grew by 9% in the first quarter of 2016 4,000 10% 2,000 5%
Slide 14: Asset quality overview
Asset quality overview Gross NPL Net NPL 14% 14% 12% 12% 10% 10% 8% 8% 6% 6% 4% 4% 2% 2% 0% 0% 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 Significant progress since 2014 has been made with regard to NPL’s despite our aggressive loan growth. Net NPL for
Slide 15: Key Indicators - Bank
Key Indicators - Bank Performance Indicators 2015 1Q16 Return on Equity 1.1% 1.9% Return on Assets 0.3% 0.3% Net Interest Margin 3.4% 2.4% Gross - Non Performing Loans 3.6% 3.3% Net – Non Performing Loans 2.7% 2.3% Total Capital Adequacy 23.9% 24.5% 15
Slide 16: Financial Performance – Group
Financial Performance – Group 1Q16 YoY Growth Net Interest Income 571 (7%) Net Fee and commission income 105 68% Net Trading and other operating income 342 175% Total Operating income 1,018 27% Operating Cost 800 26% Impairment 29 63% Net profit before taxes and VAT on FS 189 120% Taxes including VA
Slide 17: Statement of financial position – (Group)
Statement of financial position – (Group) LKR Mn YTD Total Assets (LKR Mn) Cash and balances with banks 4,293 42% 76,542 82,078 Reverse REPO 369 (77%) Placement with banks 173 (41%) Loans & Receivables 49,284 8% Investment in units 6,628 (22%) 1Q15 1Q16 Other interest earning assets 17,275 26% Loans
Slide 18: Corporate Information
Corporate Information Board of Directors Legal Form Name Title A Public Limited Liability Company incorporated in Sri Lanka under the Companies Act No. 17 of 1982. Re-registered under the P. Jayendra Nayak Chairman Companies Act No. 7 of 2007. Listed as a public quoted Company Alexis Lovell Deputy C
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