Bank Alfalah Limited · PSX:BAFL
Bank Alfalah — Q3 2022 Earnings Presentation
16 slides from Bank Alfalah's earnings presentation, October 2022
Slide 1: Analyst Briefing: 2022 Third Quarter Performance Review & Outlook
Bank Alfalah Limited Analyst Briefing 2022 – Third Quarter Performance Review & Outlook Oct 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 – 3Q 2022
Financial Results – 3Q 2022 BAF - Confidential 4
Slide 4: Balance Sheet Snapshot
Financial Results – 3Q 2022 Balance Sheet Snapshot Amount PKR mn Sep-21 Dec-21 Jun-22 Sep-22 YoY YTD ▪ Deposits grew 34% YoY, (CASA up 30%) - Focus on 87,561 105,606 131,807 120,744 38% 14% market penetration and Cash branch expansion continued. Bal with banks 8,979 9,783 12,610 19,457 117% 99% Lend
Slide 5: Profit & Loss Snapshot
Financial Results – 3Q 2022 Profit & Loss Snapshot Amount PKR mn 9M 2021 9M 2022 YoY 3Q 2021 2Q 2022 3Q 2022 QoQ YoY ▪ NII grows 83% YoY; solid growth in earning assets and 71,829 144,216 101% 25,817 46,688 61,586 32% 139% margins expansion after re- Interest Income pricing of the well positioned In
Slide 6: Key Ratios
Financial Results – 3Q 2022 Key Ratios 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 ▪ Improved spreads owing to interest rate hikes supported Yield on Advances 7.5% 7.2% 7.6% 8.6% 10.1% 11.9% by volumetric growth. Yield on Investments 7.5% 7.3% 8.0% 9.7% 11.7% 13.7% ▪ Cost to income remains below
Slide 7: Trends Analysis
Trends Analysis BAF - Confidential 8
Slide 8: Financial Snapshot
Trends Analysis Financial Snapshot Deposits (PKR bn) – Domestic Market Share reaches 5.6% CASA Deposits (PKR bn) – CASA Ratio at 74.0% 1,500 1,319 1,385 6.0% 1,200 90.0% Thousands Thousands 1,025 1,178 949 968 1,139 1,000 876 85.0% 1,036 814 80.6% 1,000 5.6% 5.5% 800 78.6% 76.9% 80.0% 600 74.0% 5.3%
Slide 9: Quarterly Advances & Asset quality trends
Trends Analysis Quarterly Advances & Asset quality trends Marginal rise in NPL Ratio to 4.1% on subjective classification Coverage stands at 104% 5.0% NPLs (PKR Bn) NPLs/gross advances 35 110% 31.5 30 105% 26.3 4.0% 25.0 24.7 24.3 4.1% 25 100% 110% 3.7% 3.5% 3.4% 3.5% 20 105% 104% 3.0% 102% 95% 101%
Slide 10: 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 11: 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 12: 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 13: Awards
Awards Awards Best Customer Franchise PSX Top 25 Listed Best Investor Relations, Pakistan Digital Awards 2022 Award 2021 Companies Award 2021 • Best High Impact Campaign Award for Savings Account Campaign PSX Listed Companies • Best Digital Campaign Award for Home Remittance Campaign by Pakistan Ban
Slide 14: 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)** 55,039 Market Capitalization (USD mn)* 250 Average Daily Turnover (mn shares) - 12M 1.18 Average Daily Turnover (USD mn) - 12M 213.66 Current S
Slide 15: Contact Details
Bank Alfalah Limited Contact Details For any queries: Syed Akbar Ali, CFA, FRM Head of Capital Markets & Investor Relations Bank Alfalah Limited Phone: +92 (21) 3242 3617 E-mail: syed.akbar@bankalfalah.com BAF - Confidential 16
Slide 16: 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