Bank Alfalah Limited · PSX:BAFL
Bank Alfalah — Q1 2022 Earnings Presentation
19 slides from Bank Alfalah's earnings presentation, May 2022
Slide 1: Analyst Briefing: 1Q 2022 Quarterly Performance Review & Outlook
Bank Alfalah Limited Analyst Briefing 1Q 2022 – Quarterly Performance Review & Outlook May 2022 BAF - Confidential
Slide 2: Overview
Bank Alfalah Limited Overview Major Sponsors Credit Rating Domestic Coverage Global Presence Sponsors include Rated AA+ (Long Term) and Presence in over 225 cities 11 International Branches Dhabi Group (50%); IFC (15%) A1+ (Short Term) across Pakistan in 4 countries Our Customers Profits Market Shar
Slide 3: Financial Results – 1Q 2022
Financial Results – 1Q 2022 BAF - Confidential 3
Slide 4: Key Highlights
Financial Results – 1Q 2022 Key Highlights Deposits share grows to 5.3% Profitability Jumps 45% YoY, 34% QoQ 29% YoY growth as deposits clocked at PKR1.18 Robust Interest and Non-Interest Income tn – with 46.5% current account and 80.6% CASA helped income growth to record high Trade & Remittances gr
Slide 5: Balance Sheet Snapshot
Financial Results – 1Q 2022 Balance Sheet Snapshot Amount PKR mn Mar-21 Dec-21 Mar-22 YoY QoQ Deposits grew 29% YoY. CASA improved to 80.6% and CA to Cash 88,556 105,606 111,097 25% 5% 46.5% . Bal with banks 12,445 9,783 14,223 14% 45% Advances are up 18% YoY – notable growth in Retail, Lending
Slide 6: Profit & Loss Snapshot
Financial Results – 1Q 2022 Profit & Loss Snapshot Amount PKR mn 1Q21 4Q21 1Q22 YoY QoQ NII improved due to well positioned ALM book along Interest Income 21,388 28,518 35,942 68% 26% with strong earning assets growth. Interest Expenses 11,061 16,363 21,653 96% 32% Non-interest income up 14% Net
Slide 7: Key Ratios
Financial Results – 1Q 2022 Key Ratios 1Q21 2Q21 3Q21 4Q21 1Q22 Quick spread increase post interest rate hike as Floating Yield on Advances 7.2% 7.5% 7.2% 7.6% 8.6% Rate PIBs/ T-Bills dominate investment book. Yield on Investments 7.3% 7.5% 7.3% 8.0% 9.7% Cost to income drops to Cost of Deposits
Slide 8: BAFL participation in GoP Initiatives
BAFL participation in GoP Initiatives BAF - Confidential 8
Slide 9: Key Player in supporting GoP and SBP initiatives
Bank Alfalah Limited Key Player in supporting GoP and SBP initiatives 01 01 02 RAAST – Temporary Launched Raast to promote digital financial Economic services & financial inclusion. Service integrated Instant PKR50bn+ limit of SBP’s TERF Facility provided Payment Sys. Refinance (TERF) to more than 1
Slide 10: Trends Analysis
Trends Analysis BAF - Confidential 10
Slide 11: Financial Snapshot
Trends Analysis Financial Snapshot Deposits (PKR bn) – Domestic Market Share reaches 5.3% CASA Deposits (PKR bn) – CASA Ratio at 80.6% 1,400 Total Deposits (PKR bn) Domestic Market Share 6.0% 1,000 949 85.0% Thousands Thousands 1,178 876 1,200 1,139 805 814 1,026 1,036 5.5% 800 714 1,000 913 80.6% 8
Slide 12: Quarterly Advances & Asset quality trends
Trends Analysis Quarterly Advances & Asset quality trends Marginal decline in NPLs lowers infection ratio to 3.4% Coverage improves to 105% 5.0% NPLs NPLs/gross advances 30 100% 4.2% 3.9% 3.7% 3.5% 3.4% 25 4.0% 20 102% 105% 75% 99% 101% 3.0% 25.4 25.1 25.0 24.7 24.3 94% 15 2.0% 10 50% 1Q21 2Q21 3Q21
Slide 13: Balance Sheet
Trends Analysis Balance Sheet Amounts in PKR mn 2016 2017 2018 2019 2020 2021 5yr CAGR Cash & Bal. With Treasury Bank 74,071 70,381 82,408 100,732 99,348 105,606 7.4% Balances With Other Banks 9,373 3,754 3,875 4,710 6,234 9,783 0.9% Lending to FIs 30,149 48,896 62,172 71,435 77,306 35,982 3.6% Adva
Slide 14: Profit & Loss
Trends Analysis Profit & Loss Amounts in PKR mn 2016 2017 2018 2019 2020 2021 5yr CAGR Interest Income 57,144 56,919 59,672 92,519 92,616 100,182 11.9% Interest Expenses 28,153 27,354 27,746 47,623 47,911 54,134 14.0% Net Int. Income 28,991 29,565 31,926 44,896 44,705 46,048 9.7% Non Int. Income 8,9
Slide 15: Key Ratios
Trends Analysis Key Ratios 2016 2017 2018 2019 2020 2021 Capital Adequacy Ratio (Tier - I) 9.9% 10.9% 12.2% 13.3% 12.7% 11.1% Capital Adequacy Ratio Total 13.2% 13.4% 15.0% 16.9% 16.5% 14.4% Net Interest Margins 3.6% 3.6% 4.0% 5.3% 4.3% 3.4% Admin Cost to Income Ratio 62.5% 64.8% 57.3% 52.6% 54.7% 5
Slide 16: Awards 2021
Awards Awards 2021 Best Customer Franchise Global Diversity and Inclusion Best Investor Relations, PSX Pakistan Digital Awards Award 2021 Benchmarks (GDIB) Awards 2021 Listed Companies • Best Lifestyle Application Award for Alfa App by Pakistan Banking Awards • Best Digital Campaign for Roshan Digit
Slide 17: Stock Market Related Data
Bank Alfalah Limited Stock Market Related Data Bloomberg Code BAFL PA Reuters Code BAFL.KA Shares Outstanding (mn) 1,777.17 Market Capitalization (PKR bn)** 62,378 Market Capitalization (USD mn)* 331 Average Daily Turnover (mn shares) - 12M 1.72 Average Daily Turnover (USD mn) - 12M 0.35 Current Sto
Slide 18: Contact Details
Bank Alfalah Limited Contact Details For any queries: Zeeshan Afzal, CFA SVP - Capital Markets & Investor Relations Bank Alfalah Limited Phone: +92 21 3312 2125 E-mail: zeeshan.afzal@bankalfalah.com BAF - Confidential 18
Slide 19: Disclaimer
Bank Alfalah Limited Disclaimer This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimat