United Arab Bank · ADX:UAB
United Arab Bank — Q1 2018 Earnings Presentation
11 slides from United Arab Bank's earnings presentation, 2018
Slide 1: Management Discussion & Analysis Q1 2018
MANAGEMENT DISCUSSION & ANALYSIS Q1 2018 www.uab.ae
Slide 2: UAB Reports AED36m Net Profit for Q1 2018
Management Discussion & Analysis – Q1 2018 UAB Reports AED36m Net Profit for Q1 2018 representing a 29% uplift vs. same period in prior year 8% increase ‘Non-core’ portfolio in Total Income Q-o-Q managed down to 2% of Total Loans Robust Liquidity profile Loan : Deposit Ratio maintained managed down
Slide 3: Financial Performance Summary
Management Discussion & Analysis – Q1 2018 Financial Performance Summary United Arab Bank P.J.S.C ("UAB" or “the Bank”) announces its Financial Results for the three months ended 31st March 2018. Strong performance is evidenced across the period with the Bank reporting a Net Profit of AED36m for Q1
Slide 4: Financial Performance
Management Discussion & Analysis – Q1 2018 Financial Performance Income Statement 2018 2017 Variance (AED millions) Q1 FY Q4 Q3 Q2 Q1 QoQ% YoY% Net Interest Income 128 489 114 130 126 119 13% 8% Non-Interest Income 46 188 48 40 49 51 -4% -11% Total Operating Income 174 677 162 170 175 171 8% 2% Prov
Slide 5: Financial Performance (cont.)
Management Discussion & Analysis – Q1 2018 Financial Performance (cont.) Gross Loans 2018 2017 Variance (AED millions) Q1 Q4 Q3 Q2 Q1 QoQ% YoY% Core 13,788 13,872 13,446 13,947 13,810 -0.6% -0.2% Non-Core 320 287 323 443 565 11.7% -43.3% Total Loans 14,108 14,159 13,770 14,390 14,375 0% -2% % Core 9
Slide 6: Income Statement Review
Q1 2017 Management Discussion & Analysis – Q1 2018 30% Income Statement Review (AEDm) 51 Q1 2018 Net Interest Income (AEDm) 70% 130 Q1 2016 128 126 26% 24% 119 Q1 2017 114 74% Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 76% Net Interest Income Non-Interest Income Total Income of AED174m in Q1 2018 was a
Slide 7: Income Statement Review (cont.)
Management Discussion & Analysis – Q1 2018 Income Statement Review (cont.) OPERATING EXPENSES (AEDm) PROVISION CHARGE (AEDm) (-) 32% (-) 27% 79 115 84 54 Q4 2017 Q1 2018 Q4 2017 Q1 2018 Operating Expenses for Q1 2018 were AED84m representing a 27% reduction against Q4 2017, as the Bank continues to
Slide 8: Balance Sheet Review
Management Discussion & Analysis – Q1 2018 Balance Sheet Review CORE LOANS (AEDm) INVESTMENT PORTFOLIO (AEDm) 13,872 13,788 13,677 3,725 3,413 3,314 FY 2016 FY 2017 Q1 2018 FY 2016 FY 2017 Q1 2018 Customer Loans across the Bank’s core Corporate and Retail units remained stable compared to FY 2017 wh
Slide 9: Balance Sheet Review (cont.)
Management Discussion & Analysis – Q1 2018 Balance Sheet Review (cont.) FY 2015 5% 5% 11% 79% Customer Deposits Medium Term Borrowings Due to Banks Other Liabilities Customer Deposits have and will continue to represent the Bank’s key source of funds as evidenced through a stable 84% concentration i
Slide 10: Solid Banking Fundamentals
Management Discussion & Analysis – Q1 2018 Solid Banking Fundamentals Significant focus placed on Capital Adequacy, Funding and Liquidity which represent the fundamentals of a solid Bank. LOANS:DEPOSITS RATIO ADVANCES TO STABLE CAPITAL ADEQUACY RATIO* RESOURCES RATIO CB UAE 15.7% thres hold (100%) 8
Slide 11: Asset Quality
Management Discussion & Analysis – Q1 2018 Asset Quality NPL : GROSS LOANS COVERAGE RATIOS 8.8% 8.5% ASSET QUALITY 5.8% 120% 107% 85% FY 2016 FY 2017 Q1 2018 FY 2016 FY 2017 Q1 2018 The Bank has continued to record significant progress in proactively deleveraging its ‘non-core’ higher risk portfolio