Union Bank Of Colombo Plc · CSELK:UBC.N0000
Union Bank Of Colombo — Q3 2016 Earnings Presentation
19 slides from Union Bank Of Colombo's earnings presentation, 2016
Slide 1: Investor Presentation 3Q 16
Investor Presentation 3Q 16 00000000000000000000000000000 00000000000000000000000000000 000 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 oversubscribed Culture Finance Holding Bank led consortium IPO strikes landmark deal with
Slide 5: 2016 Key Milestones
2016 Key Milestones Fitch changed outlook from BB+ BBB (Stable) rating from ICRA (Stable) to BB+ (Positive) Cash Management System Re-Launched an improved Online Implemented Banking platform Personal Loan portfolio crossed the Re-launched “Kidz Saver Account” LKR 2,000Mn mark Recognition at Global E
Slide 6: Financial Overview - Bank
Financial Overview - Bank “Union Bank’s first 9 months’ results are impressive, given the changes taking place in the market place. The growth achieved despite macro-economic challenges can be attributed to the operational excellence and the renewed strategic business focus of the Bank. With the bac
Slide 7: Snapshot 3Q 16
Snapshot 3Q 16 Group • Net Profit grows 148% Year on Year (YoY) to Rs.415Mn • Operating Income grows 34% YoY to Rs.3,346Mn • Total Assets increased 22% YTD to Rs.93,577Mn Bank • Net Profit grows 125% YoY to Rs.262Mn • Operating Income grows by 30% YoY to Rs.2,685Mn • NPL ratio reduced to 2% reflecti
Slide 8: Financial Performance (Quarter) – Bank
Financial Performance (Quarter) – Bank LKR Mn 3Q 16 3Q 15 Growth Net Interest Income 672 498 174 34.9% Net Fee and commission income 67 66 1 2.1% Net Trading and other operating income 290 158 132 83.3% Total Operating income 1,030 722 307 42.6% Operating Cost 793 597 (196) (32.7%) Impairment Charge
Slide 9: Financial Performance (YTD) – Bank
Financial Performance (YTD) – Bank LKR Mn YTD 16 YTD 15 Growth Net Interest Income 1,651 1,538 113 7.3% Net Fee and commission income 188 120 68 56.7% Net Trading and other operating income 846 414 432 104.3% Total Operating income 2,685 2,072 613 29.6% Operating Cost 2,226 1,706 (520) (30.5%) Impai
Slide 10: Revenue Generation (Quarterly) – Bank
Revenue Generation (Quarterly) – Bank Net Interest Income Net Fees and Commission LKR Mn 672 LKR Mn 66 67 60 62 59 528 535 511 498 484 444 30 25 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 Other Non-Interest Income LKR Mn 295 290 261 223 147 158 109 Significan
Slide 11: Statement of financial position – Bank
Statement of financial position – Bank Total Assets (LKR Mn) LKR Mn Sep 16 Dec 15 Growth Treasury Assets 25,592 24,490 1,102 4.5% Loans & Advances 52,418 40,095 12,323 30.7% Non Earning assets 3,959 3,609 350 9.7% Dec 15 Sep 16 Cash & Balance with CB 4,813 2,811 2,002 71.2% Loans (LKR Mn) Total Asse
Slide 12: Composition of the Balance Sheet
Composition of the Balance Sheet Assets Composition Segmental dispersion of Loans Loans – 60.4% 10% 48% Assets 42% Treasury Assets – 29.4% Corporate SME Retail Funding Composition Product composition of Deposits 6% 17% Deposits – 57.1% 77% Funding Treasury Borrowings – 20.7% CA SA FD 12
Slide 13: Loan Growth & Capital Adequacy
Loan Growth & Capital Adequacy Loans and Receivables Net NPL LKR Mn 52,418 7.8% 48,513 7.4% 43,259 40,095 4.5% 25,945 23,462 20,024 3.0% 16,902 2.7% 2.3% 2.0% 1.9% 2011 2012 2013 2014 2015 1Q 16 2Q 16 3Q 16 2011 2012 2013 2014 2015 1Q 16 2Q 16 3Q 16 Capital Adequacy 45% 40% 35% 30% 25% Significant p
Slide 14: Deposit Growth & CASA
Deposit Growth & CASA Customer Deposits LKR MN 49,589 45,803 42,598 37,653 28,340 27,809 23,642 19,345 2011 2012 2013 2014 2015 1Q16 2Q16 3Q16 CASA LKR Mn 11,703 10,583 9,809 9,039 6,924 5,262 4,752 5,441 CASA grows by 29.5% to Rs.11,703Mn YTD. 2011 2012 2013 2014 2015 1Q16 2Q16 3Q16 14
Slide 15: Key Indicators - Bank
Key Indicators - Bank Sep YTD Dec YTD Performance Indicators 16 15 Return on Equity 2.1% 1.1% Return on Assets 0.4% 0.3% Net Interest Margin 2.8% 3.4% Gross - Non Performing Loans 2.7% 3.5% Net - Non Performing Loans 1.9% 2.7% Core Capital Adequacy Ratio 23.0% 24.4% Total Capital Adequacy 22.4% 24.0
Slide 16: Financial Performance (Quarter) – Group
Financial Performance (Quarter) – Group LKR Mn 3Q 16 3Q 15 Growth Net Interest Income 806 604 202 33.4% Net Fee and commission income 106 111 (5) (4.1%) Net Trading and other operating income 314 167 148 88.6% Total Operating income 1,226 881 345 39.2% Operating Cost 913 700 (213) (30.4%) Impairment
Slide 17: Financial Performance (YTD) – Group
Financial Performance (YTD) – Group LKR Mn Sep YTD 16 Sep YTD 15 Growth Net Interest Income 2,035 1,833 202 11.0% Net Fee and commission income 311 241 70 29.0% Net Trading and other operating income 999 424 575 135.6% Total Operating income 3,346 2,499 847 33.9% Operating Cost 2,586 1,999 (587) (29
Slide 18: Statement of financial position – Group
Statement of financial position – Group Growth Total Assets (LKR Mn) LKR Mn Sep 16 Dec 15 Treasury Assets 24,876 24,034 842 3.5% Loans & Advances 59,172 45,450 13,722 30.2% Non Earning assets 4,411 4,042 369 9.1% Dec 15 Sep 16 Cash & Balance with CB 5,117 3,015 2,102 69.7% Total Assets 93,577 76,542
Slide 19: Corporate Information - Bank
Corporate Information - Bank Board of Directors Legal Form Name Title P. Jayendra Nayak Chairman A Public Limited Liability Company incorporated in Sri Lanka under the Companies Act No. 17 of 1982. Re- Alexis Lovell Deputy Chairman (Retired - 27-09-16) registered under the Companies Act No. 7 of 200
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