Banco De Bogota Sa · BVC:BOGOTA
Banco De Bogota Sa — Investor Presentation (February 2024)
28 slides from Banco De Bogota Sa's investor presentation, Feb 2, 2024
Slide 1: Investor Visit
Investor Visit • Barclays • T. Rowe Price February 2nd, 2024 • Pictet Group • Vanguard • Aristotle Credit Partners TÍTULO • Fountainhead Asset Management The Issuer´s IR - Recognition granted by the Colombian Securities Exchange is not a certification about the quality of the securities listed at BV
Slide 2: Disclaimer
Disclaimer Banco de Bogotá is an issuer of securities in Colombia and, as such, it is required to comply with periodic reporting requirements and corporate governance practices. As a financial institution, the Bank is subject to inspection and surveillance from Colombia’s Superintendency of Finance.
Slide 3: Business Overview
Business Overview ✓ Founded in 1870, Banco de Bogotá is Colombia’s oldest financial institution ✓ We contribute to the growth and well-being of society and our stakeholders and the main subsidiary of Grupo Aval, the leading financial group in through the responsible management of our financial servi
Slide 4: Presence and Key Figures Q3 2023
Presence and Key Figures Q3 2023 9.6 million 16,677 20,160 Customers (1) Employees (1) Banking Correspondents 479 1,614 Branches (1) ATMs (2) Market Share Banco de Bogotá is a leading Colombia (4) institution in Colombia Panama (3) 12.3% Assets Assets 3.9% 12.2% Gross loans Gross loans 4.5% 12.0% De
Slide 5: Corporate Structure Reflects Business Diversification
Corporate Structure Reflects Business Diversification Universal Bank with a wide portfolio of products and services. Presence across Colombia and Panama. Agencies in Miami and New York.(1) Subsidiaries in Colombia 94.99% 95.81% (2) 94.90% 38.90% Foreign Subsidiaries Panamá New York Agency Miami Agen
Slide 6: Our Corporate Strategy Supports Long-term Goals
Our Corporate Strategy Supports Long-term Goals Customer Sustainable Growth We ensure positive and memorable We grow the business profitably by experiences to achieve customer developing value offerings that loyalty and recommendation, allow us to accompany and support through differentiated solutio
Slide 7: Corporate Strategy: How did we close 2022?
Corporate Strategy How did we close 2022? Customer Sustainable Growth • End-to-end flows for 100% digital disbursements of vehicles, microfinance and • Nearly $4.5 trillion in our green and social lending portfolio. housing loans. • We disbursed $100.5 billion for economic reactivation and job creat
Slide 8: Corporate Strategy: How is 2023 going?
Corporate Strategy How is 2023 going? Customer Sustainable Growth • We have focused on improving customer experience in all our segments, positively • Our transformation has been validated by our clients, allowing us to grow our impacting our NPS. In 2023, Relational NPS is 51.2, increasing 1.8 vs 2
Slide 9: Financial Results Q3-2023
Financial Results Q3-2023 Figures in USD millions Total Assets Breakdown Gross Loan Portfolio (2) 0.3% 13.0% 11.9% 7.7% Loans & Leases, Net Commercial Fixed Income Investments 23.2% Consumer 11.0% $34,188 $24,667 Equity Investments Mortgage Other Assets (1) 64.6% Microcredit 68.4% Total Funding Tota
Slide 10: Digital Transformation
Digital Transformation Credit cards 105 Sales Channel Transformation Insurance 91 8.0 out of 10 Saving accounts Personal loans 175 91 + 490 Time deposits products sold are Total Digital Sales (k) 1 19 digital Others 11 Active Digital Retail Clients (k) Total Digital Transactions (millions) ∆ CAGR 19
Slide 11: Risk Control at the Core of our Operations
Risk Control at the Core of our Operations Asset Quality-PDLs Net Cost of Risk Coverage Impairment loss, Net / Allowances / PDLs average loans 5.6% 1.63x 2.9% 1.39x 1.21x 4.6% 1.00x 4.0% 1.4% 3.4% Q3-22 Q3-23 Q3-22 Q3-23 Q3-22 Q3-23 Commercial Loan Portfolio PDLs Consumer Loan Portfolio PDLs Mortgag
Slide 12: International and Local Risk Ratings Reflect our Creditworthiness
International and Local Risk Ratings Reflect our Creditworthiness International ratings July 10th, 2023 November 29th, 2023 Moody’s Investors Service Fitch Ratings Baa2 “The bank's BCA reflects its strong and resilient earnings BB+ “The bank's ratings also consider its consistent financial Stable ge
Slide 13: Sustainability
Sustainability Environment Social Other Issues ✓ Sustainability Committee’ new members: ✓ Banco de Bogotá signed Asobancaria's Tomás González, former Minister of Key ✓ Second TCFD report issued in October / Social Protocol, promoting diversity, Mining & Energy and David Salamanca, Developments 2023
Slide 14: Q3-2023 Performance Overview
Q3-2023 Performance Overview Attributable Net Income for Q3-2023 was $146.4 billion pesos leading to an annualized 3.8% ROAE. 0.4% 3.8% • Annualized profitability metrics were 0.4% for ROAA and 3.8% for ROAE ROAA ROAE in Q3-2023. Net Interest Margin 4.5% • Lending NIM at 5.4% partially offsets Inves
Slide 15: Digital Transformation
Digital Transformation Credit cards 105 Sales Channel Transformation Insurance 91 8.0 out of 10 Saving accounts Personal loans 175 91 + 490 Time deposits products sold are Total Digital Sales (k) 1 19 digital Others 11 Active Digital Retail Clients (k) Total Digital Transactions (millions) ∆ CAGR 19
Slide 16: Sustainability
Sustainability Environment Social Other Issues ✓ Sustainability Committee’ new members: ✓ Banco de Bogotá signed Asobancaria's Tomás González, former Minister of Key ✓ Second TCFD report issued in October / Social Protocol, promoting diversity, Mining & Energy and David Salamanca, Developments 2023
Slide 17: Context – Colombia Macroeconomic Overview
Context – Colombia Macroeconomic Overview Monthly Activity Indicator vs. GDP 1 (YoY %) Inflation vs. Central Bank Rate (YoY %) 20% 2020 2021 2022 2023e* 14% 13.12% 13.25% GDP (YoY %) -7.3% 11.0% 7.5% 1.3% 12% 12.00% 15% 10.48% 10% 10% 8% 5% 5.62% 6% -0.1% 0% 4% 2021 2022 2023e* -0.3% 3.00% Inflation
Slide 18: Assets & Loan Portfolio Detail – Consolidated
Assets & Loan Portfolio Detail – Consolidated Figures in trillions of pesos Total Assets Breakdown Gross Loan Portfolio Structure Trade & tourism. 1.3% Government. 2.4% Mining and oil. $138.6 0.7% $100.0 Agriculture. 2.8% (1) Other. 0.5% Equity Investments, Other Chemical production. 3.5% 7.7% Asset
Slide 19: Loan Portfolio Quality – PDLs / Gross Loans
Loan Portfolio Quality – PDLs / Gross Loans 30-day PDL Ratio 90-day PDL Ratio 4.3% 5.9% 4.0% 5.8% 3.8% 4.0% 4.9% 3.9% 5.6% 5.6% 3.4% 3.0% 4.6% 4.5% 2.5% 3.6% 3.7% 1.9% Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2022 2023 2022 2023 30-day PDLs by Type 90-day PDLs by Type 16.9% 16.0% 14.1% 11.6% 12.7% 15.4% 7.4% 7
Slide 20: Loan Portfolio Quality – Allowances
Loan Portfolio Quality – Allowances 30-day Coverage Ratio 90-day Coverage Ratio Allowances / 30-day PDLs Allowances / 90-day PDLs 1.34x 1.73x 1.55x 1.47x 1.08x 1.06x 1.63x 1.21x 1.43x 1.39x 0.99x 1.00x 0.79x 0.61x 0.64x 0.42x 0.41x 0.44x Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2022 2023 2022 2023 Allowances /
Slide 21: Loan Portfolio Quality – Cost of Risk & Charge-offs
Loan Portfolio Quality – Cost of Risk & Charge-offs Net Cost of Risk Net Provision Loss / Avg. Loans 3.2% 2.4% 2.9% 1.8% 2.2% 1.4% 1.1% 1.0% 1.3% Q3 Q4 Q1 Q2 Q3 2022 2023 Panama figures measured in USD. Charge-offs / 90-day PDLs Charge-offs / Average Loans 133% 3.1% 2.7% 2.3% 78% 2.1% 2.7% 2.3% 69%
Slide 22: Consolidated Funding
Consolidated Funding Figures in trillions of pesos Total Funding Q3-22 Q2-23 Q3-23 YoY: 4.1%; Exc. FX: 6.4% 2.6 2.4 4.4 QoQ.: 2.6%; Exc. FX: 3.1% 12.3 10.0 9.6 13.5 14.0 % Q3-23 16.0 $114.5 $116.2 $119.2 Deposits 76.5 Bank and others 11.7 83.6 91.2 Long Term Bonds 8.1 90.3 Interbank Borrowings 3.7 1
Slide 23: Equity & Capital Adequacy as Reported
Equity & Capital Adequacy as Reported Figures in trillions of pesos Equity Composition ∆ YoY: -4.7% Tangible Capital Ratio & Equity / Assets ∆ QoQ: -0.1% 16.3 12.2% 11.5% 15.8 15.6 15.6 11.2% 0.04 15.4 0.05 0.05 0.06 0.05 11.3% 10.5% 10.3% 16.3 15.8 15.5 15.5 15.3 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2022
Slide 24: Consolidated NIM
Consolidated NIM Figures in billions of pesos Net Interest Income Growth Rate Q3-22 Q2-23 Q3-23 YoY Exc. Fx QoQ Exc. Fx Net Interest Income 1,219.3 1,284.4 1,258.4 3.2% 4.3% -2.0% -1.3% Net Interests Margins Yields by Quarter 5.3% 5.4% 5.4% 13.3% 13.7% 10.3% 4.5% 4.6% 4.5% 8.4% 8.9% 7.9% 7.4% 5.1% 0
Slide 25: Fees and Other Income
Fees and Other Income Figures in billions of pesos Fee Structure 27.6% 29.1% 25.7% ∆ YoY: 13.0% 485 492 436 31 32 Other ∆ QoQ: 1.5% 51 51 33 41 Fiduciary Activities Banking Fees 361 403 409 Total Fees Fee Income Ratio(1) Q3 Q4 Q1 Q2 Q3 Pro forma 2022 2023 Other income Equity Method Income from Assoc
Slide 26: Efficiency
Efficiency Figures in billions of pesos ∆ YoY: 7.7% ∆ YoY: 7.6% Total Income (1) Total Operating Expenses ∆ QoQ: -2.5% ∆ QoQ: -2.5% 913.9 1,804.8 891.1 1,759.8 1,634.0 828.5 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Pro forma 2022 2023 Pro forma 2022 2023 Efficiency (2) 50.7% 50.6% 50.6% Cost to income Cost to
Slide 27: Profitability as Reported & of Comparable Operations
Profitability as Reported & of Comparable Operations Figures in billions of pesos Net Attributable Income by Quarter 435 277 2022 176 146 259 277 146 Discontinued Operations 1,120 Continued Operations 1,685 Net Attributable Income 2,805 Q3 Q4 Q1 Q2 Q3 2022 2023 (1) Profitability ROAE ROAA 10.9% 7.2%
Slide 28: Contact Information
www.bancodebogota.com Contact Information Germán Salazar Castro – Executive Vice-President Javier Dorich Doig – FP&A, Corporate Development and IR Head investor.relations@bancodebogota.com.co
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