National Development Bank Plc · CSELK:NDB.N0000
National Development Bank — FY2019 Earnings Presentation
17 slides from National Development Bank's earnings presentation, Feb 19, 2020
Slide 1: Investor Webinar Full Year 2019
INVESTOR WEBINAR Full Year 2019 National Development Bank PLC [CSE Stock Code - NDB.N0000] 19 February 2020 15:30 HRS Colombo Sri Lanka
Slide 2: Forward Looking Statements
Forward Looking Statements Forward Looking Statements This document has been prepared by National Development Bank PLC [“NDB”, “Bank” or the “Group”] solely for use at its presentation to potential & current investors. By accepting this document, you agree to maintain absolute confidentiality regard
Slide 3: Corporate Participants
Corporate Participants Presented by Dimantha Seneviratne Director/ Group Chief Executive Officer Panelists Buwaneka Perera – Senior Vice President - Corporate Banking Sanjaya Perera – Senior Vice President – Personal Banking & Branch Network Deepal Akuratiyagama – Chief Operating Officer Suvendrini
Slide 4: Agenda
Agenda • Part I – Business Overview • Part II - Financial Performance • Part III - Q&A 4
Slide 5: Agenda
Agenda • Part I – Business Overview • Part II - Financial Performance • Part III - Q&A 5
Slide 6: Business Overview
Business Overview Celebrating 40 years of banking excellence Presence [Physical and Virtual] • 112 branches & service to the nation. • 100 ATMs [Off-site 20] 1979 – 2019 • 54 Cash Recycle Machines [Off-site 22] • 80+ localities offering Branchless Banking – “BANK2U” NDB has been a key catalyst in th
Slide 7: Agenda
Agenda • Part I – Business Overview • Part II - Financial Performance • Part III - Q&A 7
Slide 8: Movement in KPIs FY 2019 - Snapshot
Movement in KPIs FY 2019 - Snapshot Income Statement - FY 2019 YoY Growth % LKR Mn Movement in key ratios Gross income 59,114 16 KPI % FY 2019 FY 2018 Net interest income 17,707 20 NIM 3.5 3.5 CIR 39.9 39.3 Net fee & comm income 3,909 25 FY 2019 FY 2018 Pre-tax core banking 9,629 8 profit ROE 13.73
Slide 9: Fund and Non Fund Based Revenue Analysis
Fund and Non Fund Based Revenue Analysis Fund Based Revenue - LKR Mn FY 2019 FY 2018 Variance % Interest Income 53,175 44,354 8,821 20 Interest Expense 35,467 29,550 5,917 20 Net interest income 17,708 14,805 2,903 20 Non Fund Based Revenue - LKR Mn FY 2019 FY 2018 Variance % Net fee and commission
Slide 10: Operating Expenses & Taxation [Bank]
Operating Expenses & Taxation [Bank] Cost to Income Ratio - % Operating Expenses - LKR Mn FY 2019 FY 2018 % Increase Personnel expenses 4,957 4,444 12 2019 39.90 Depreciation & amortization 525 442 19 Other expenses 3,952 3,593 10 2018 39.34 Total operating expenses 9,434 8,479 11 • Staff base incre
Slide 11: Balance Sheet & Asset Quality [Bank]
Balance Sheet & Asset Quality [Bank] LKR Bn FY 2019 FY 2018 YoY YOY % Quantum growth growth Total assets 530 473 57 12 Gross loans 409 353 56 16 Total deposits 405 348 57 17 Borrowings 72 75 [3] [4] Total equity 39 35 4 11 • Balance sheet growth moderated to match the prevailing economic conditions
Slide 12: Loan Book Analysis
Loan Book Analysis Total gross loans – Currency Sectoral composition of the loan book 3% composition 6% 100 22% 8% 21 25 80 10% % composition 60 FCY LCY 40 79 18% 75 10% 20 9% 13% 0 2019 2018 Manufacturing Consumption Financial services Wholesale & retail trade • Gross loans - High performing produc
Slide 13: Funding Sources
Funding Sources Key Balance Sheet growth funding sources; • Increase in deposits • Funds sourced via a listed debenture issuance Deposits [LKR Bn] Deposit FY 2019 FY 2018 Quantum increase • Highest growth seen in Time Deposits during the year Current 2 • Net outflows in FCY CASA deposits 25 23 exper
Slide 14: Capital & Liquidity
Capital & Liquidity BASEL III – FY 2019 Bank Group Common Equity Tier 1 Capital Ratio % [Minimum Requirement -7.0%] 9.2 10.2 Tier 1 Capital Ratio % [Minimum Requirement – 8.5%] 9.2 10.2 Total Capital Ratio % [Minimum Requirement – 12.5%] 13.4 14.2 Liquidity Coverage Ratio [%] – Rupee [Minimum Requir
Slide 15: Investor Ratios
Investor Ratios Investor Ratios Bank Group FY 2019 FY 2018 FY 2019 FY 2018 Closing price per share [LKR] 100.00 106.80 NA NA EPS [LKR] [Annualized] 23.05 28.44 21.53 26.33 ROE [%] 13.73 17.41 11.59 14.26 ROA [%] [Pre-tax] 2.01 2.22 1.97 2.17 Book value per Share [LKR] 178.02 166.41 195.59 185.49 P/E
Slide 16: Agenda
Agenda • Part I – Business Overview • Part II - Financial Performance • Part III - Q&A 16
Slide 17: NDB Investor Relations
NDB Investor Relations NDB’s Investor Relations is the recipient of the Gold Award for Best Investor Relations at the coveted CFA Sri Lanka Capital Market Awards, for four consecutive years in 2019, 2018, 2017 & 2016. Investor/ Analysts Support Clearly defined Quarterly Results Calendar released a
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