Meezan Bank Limited. · PSX:MEBL
Meezan Bank — Q1 2024 Earnings Presentation
26 slides from Meezan Bank's earnings presentation, March 2024
Slide 1: Financial Results Quarter Ended March 31, 2024 Investor Presentation
Financial Results Quarter Ended on March 31, 2024 Investor Presentation 1
Slide 2: Pakistan Banking Awards
Pakistan Banking Awards Best Bank Award 2018 Best Bank Award 2023 Best Bank Award 2020
Slide 3: Performance Overview – Mar 2024 Headlines
Performance Overview – Mar 2024 Headlines 65% 1% vs Dec Basic Earnings Per Share YoY Rs.25.4 billion Rs.3.04trillion Rs.14.18 per share 2% vs Dec ADR Return on Equity Rs. 2.27 trillion 41% 53% Plus 3 vs Dec New Branches Distribution to Shareholders for Q1‘24 1,007 334 70% Cash 3
Slide 4: Performance Overview – Mar 2024 Headlines Growth
Performance Overview – Mar 2024 Headlines Growth Q1 2024 Q1 2023 % Profit After Tax Rs 25.4 billion Rs 15.4 billion Rs 10 billion 65% Gross Financings Rs 931 billion Rs 1.05 trillion (Rs 118 billion) (11%) Investments Rs 1.63 trillion Rs 1.28 trillion Rs 344 billion 27% CASA Deposits Rs 2.03 trillio
Slide 5: 65% Growth in PAT - Driven by Volumetric Growth and Higher Benchmark Rates
65% Growth in PAT- Driven by Volumetric Growth and Higher Benchmark Rates (Unconsolidated) Rs in mn Profit & Loss Account Q1 2024 Q1 2023 Growth % Average Policy Rate 22.00% 17.71% 24% Return on financings, investments and placements 119,146 81,953 45% Return on deposits and other dues expensed (51,
Slide 6: Key Performance Indicators – Profitability
Key Performance Indicators – Profitability (Unconsolidated) Rs in bn Full Year Profit After Tax 2012 – Q1 ‘24 +65%* Actual Projected Last two years average growth in PAT 72% (2021 – 2023). +88% MEBL posted growth in profitability even in years where Policy Rate witnessed a decline. +58% +28% +46% 84
Slide 7: Q1'2024 vs Q4'2023 (Unconsolidated)
Q1’ 2024 vs Q4’ 2023 (Unconsolidated) Rs in mn Profit & Loss Account Q1' 24 Q4' 23 Growth % Average Policy Rate 22.00% 22.00% - Return on financings, investments and placements 119,146 127,905 (7%) Return on deposits and other dues expensed (51,582) (56,122) 8% Net spread earned 67,564 71,783 (6%) T
Slide 8: 12% Growth in Assets Since Mar 2023 – Led by Higher Investments
12% Growth in Assets Since Mar 2023 – Led by Higher Investments (Unconsolidated) Rs in mn Balance Sheet Mar 2024 Mar 2023 Growth Dec 2023 Growth Islamic Financing and related assets - Gross 930,822 1,049,226 (118,404) (11%) 992,027 (61,205) (6%) Less: Provisions (34,267) (24,757) (9,510) (38%) (30,3
Slide 9: Key Ratios (1/2)
Key Ratios (1/2) ROE - % ROA - % 56.3% 3.4% 53.9% 3.0% 44.6% 36.4% 2.0% 34.6% 30.7% 1.7% 1.7% 1.5% 23.8% 1.0% 19.6% 0.9% 0.9% 19.3% 2016 2017 2018 2019 2020 2021 2022 2023 Mar-24 2016 2017 2018 2019 2020 2021 2022 2023 Mar-24 Income Efficiency Ratio - % Gross ADR - % 66.5% 64.3% 62.9% 61.4% 59.3% 57
Slide 10: Key Ratios (2/2)
Key Ratios (2/2) Rs in bn Capital Adequacy Ratio % 24.1% CAR 22.4% 17.8% 18.4% 16.6% 10.9% 12.6% 14.5% Excess 12.9% 4.1% 6.3% 6.3% 6.4% 2.6% Additional 2.3% 1.6% 0.5% D-SIB 10.7% 11.3% 11.9% 12.5% 11.5% 11.5% 11.5% 11.5% 11.5% Minimum Required 2016 2017 2018 2019 2020 2021 2022 2023 Mar-24 Min. Req.
Slide 11: Key Performance Indicators - Financing
Key Performance Indicators - Financing Rs in Bn Gross Financing & Infection Ratio Strong NPL Coverage Ratio 40 250% 1, 200 3.0% 2.8% 2023: Gross Financing Market Share 8% 35 194% 931 1, 00 2.5% 1,018 179% 34 200% 992 30 166% 2.1% 30 142% 800 2.0% 1.9% 1.9% 25 133% 139% 133% 1.8% 128% 150% 1.7% 118%
Slide 12: Key Performance Indicators – Investment
Key Performance Indicators – Investment Rs 1.6 Trillion Up by 3% from Dec-2023 Rs in bn Investment Mix Investments (Rs in Bn) Mar 2024 Dec 2023 Var. 1,465 1,465 GIS GoP Ijarah Sukuk (GIS) 1,465 1,409 4% 1,409 1,409 137 Energy Sukuk & Other Govt. (PES) 137 141 (3%) PES 141 Others (Shares , Corp sukuk
Slide 13: Key Performance Indicators - Deposits
Key Performance Indicators - Deposits Rs in bn Deposit Growth Since Inception Market Share of Deposits 8% 2,217 2,270 `` CAGR Since Inception 34% 1,658 1,456 1,254 933 785 559 667 379 468 230 288 70 100 131 169 5 8 14 23 34 55 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 201
Slide 14: Key Performance Indicators - Deposits Rs 2.27 tn
Key Performance Indicators - Deposits Mar 2024 Mar 2023 Growth Rs in bn Mix Rs in bn Mix Rs in bn % CA 1,083 48% 918 51% 165 18% CASA Deposits Grew by 29% SA 947 41% 650 37% 297 46% CASA 2,030 89% 1,568 88% 462 29% TD 240 11% 223 12% 17 8% Total 2,270 100% 1,791 100% 479 27% Mar 2024 TD, 11% Mar 202
Slide 15: 40% Growth in Fees and Commission Income
40% Growth in Fees and Commission Income Rs in ‘000 Fee, Commission, and other Income Mar 2024 Mar 2023 Growth % Debit card related fees 2,309 1,684 37% Trade related fees and commissions 1,241 838 48% Branch banking customer fees 818 581 41% Fee income from subsidiary (AMIML) and related funds 279
Slide 16: Al-Meezan Investment Management Ltd (Meezan Bank's subsidiary)
Al-Meezan Investment Management Ltd (Meezan Bank’s subsidiary) Al Meezan Investment Management (AMIM) has a vision… to make Shariah Compliant Investing a first choice for investors. Having a diverse clientele base of over 279,000 investors, ranging from institutions and businesses to individuals and
Slide 17: Al-Meezan Financial Performance – March 31, 2024
Al-Meezan Financial Performance – March 31, 2024 Mar Mar ∆% 2024 2023 ✓ Largest Asset Management Company in Pakistan AUMs (incl. Discretionary ✓ Established track record of over 29 years 498 286 74% Portfolio) – Rs Bn ✓ One of the largest investor base of over 279,000 investors ✓ Manages the largest
Slide 18: Our Digital Footprint
Our Digital Footprint 18
Slide 19: Meezan Bank's Digital Footprint continues to expand
Meezan Bank’s Digital Footprint continues to expand Meezan Bank is leveraging the latest technologies to strategically expand its reach, bring in newer product innovations, digitize its customers journeys and offer newer and simpler payment solutions. The Bank enjoys digital leadership in the follow
Slide 20: Digital Channels Statistics (1/3)
Digital Channels Statistics (1/3) No’s No in mn’s 3.42 Millions Total Debit Cards POS Machines Deployment Mobile App Active Users No in 000’s 3,428 20,847 3,268 1.99 18,336 1.91 2,813 16,433 15,013 1.65 1.70 2,326 1.56 1,991 12,300 1,505 1,175 1,305 “Active users”: Login once a month CY17 CY18 CY19
Slide 21: Digital Channels Statistics (2/3)
Digital Channels Statistics (2/3) *EPG: E-Commerce Payment Gateway No. in Mn POS Acquiring – Spend & Transactions EPG - Spend & Transactions (Quarterly) Digital Bill Payments Transactions 2,500 312 350 (Quarterly) 301 (Quarterly) 239 300 9.00 8.23 50.00 2,000 11.52 7.33 45.00 196 250 10.92 8.00 9.84
Slide 22: Digital Channels Statistics (3/3)
Digital Channels Statistics (3/3) Values in Tn No. in Mn Values in Bn IB / MB / CMS Value Growth (Quarterly) Digital Transfer Transactions P2P 4.75 Card Base Spending Value (Quarterly) (Quarterly) 78.42 4.09 71 73.19 68 3.53 62 60.90 3.11 56 51.18 54.99 2.89 50 Q1 - 2023 Q2 - 2023 Q3 - 2023 Q4 - 202
Slide 23: Thank You
Thank You 23
Slide 24: Appendix
Appendix 24
Slide 25: 65% Growth in Consolidated Profit After Tax
65% Growth in Consolidated Profit After Tax Rs in mn Profit & Loss account Q1 2024 Q1 2023 Growth % PSX - 100 Index 67,005 40,001 68% Net spread earned 67,556 41,068 65% Fee, commission, forex & other income 6,722 4,176 61% Capital gain / (loss) and dividend income 243 19 1,165% Non funded income 6,
Slide 26: Awards and Recognitions
Awards and Recognitions (Sy Neca Bok LLU Ay CFASociety Tye asIAN BANKER’ The Banker PAKISTAN BANKING AWARDS UW Pa kistan Sasccoc SOSIReas BURRIGINES FOU CATSGTMRSECSUTOUET? ‘THE INSTITUTE OF BANKERS KERS PAKISTAN em AWAK, > a 2 gol, PAKISTAN = 8 Sx STOCK EXCHANGE scat = P LIMITED ; a4 ~*, mulssels >