Bank Alfalah Limited · PSX:BAFL
Bank Alfalah — Q3 2018 Earnings Presentation
15 slides from Bank Alfalah's earnings presentation, Nov 1, 2018
Slide 1: Analyst Briefing – 3Q 2018 Performance Review & Outlook
Analyst Briefing – 3Q 2018 Performance Review & Outlook 01st November 2018
Slide 2: Introductory Snapshot – Data as of September 30th 2018
Introductory Snapshot – Data as of September 30th 2018 Commencement of Operations 1997 Head Quarters Karachi Major Sponsors Dhabi Group Credit Rating (Long Term / Short Term) AA+ / A1+ Branches 641 (including 152 Islamic Branches) Cities Covered 225 cities in Pakistan, 7 cities overseas Internationa
Slide 3: Profit & Loss Snapshot
Profit & Loss Snapshot Amount PKR mn 9M17 9M18 YoY 3Q17 3Q18 YoY NII increased 13% YoY; Interest Income 41,973 42,904 2% 13,993 14,812 6% backed by increase in advances and higher Interest Expenses 19,897 19,662 -1% 7,028 6,826 -1% NIMs. Net Int Income 22,076 23,242 5% 6,966 7,886 13% Strong rec
Slide 4: Balance Sheet Snapshot
Balance Sheet Snapshot Amount PKR mn Sep-17* Dec-17 Sep-18 YoY YTD Advances increased 19% YoY to PKR473bn. All Cash 71,520 70,381 73,675 3% 5% categories of loan book Bal with banks 13,106 3,754 4,631 -65% 23% grew in double digit. Islamic book witnessed Lending to FI 53,980 48,896 74,387 38% 52%
Slide 5: Key Ratios
Key Ratios 3Q17 4Q17 1Q18 2Q18 3Q18 NIMs grew 60bps YoY, aided by higher yield & Yield on Advances 6.7% 7.5% 7.3% 7.3% 7.8% volume of advances. Yield on Investments 6.6% 6.5% 6.6% 6.5% 6.7% Cost of deposits increased 30bps YoY while flat QoQ, Cost of Deposits 2.6% 2.8% 2.7% 2.6% 2.9% despite ris
Slide 6: 3Q 2018 Performance Review
3Q 2018 Performance Review
Slide 7: Advances & Asset Quality Trends
Advances & Asset Quality Trends NPLs mostly contained Specific Coverage remains at 88% 6% NPLs NPLs/gross advances 30 Provisions Coverage 100.0% 89.8% 90.7% 25 89.2% 89.0% 87.9% 4.2% 4.0% 4.2% 20 5% 3.5% 23 80.0% 3.3% 15 17.6 15.6 15.7 15.5 15.1 14.9 3% 17.4 17.4 16.6 17.0 15 60.0% 10 2% 8 40.0% 5 0
Slide 8: Deposit Mix & Cost
Deposit Mix & Cost Deposit Growth Trend (PKR bn) CASA Continues to Remain Strong (PKR bn) 800 800 700 700 680 600 640 641 653 600 85% 79% 80% 80% 606 500 500 74% 547 547 526 523 75% 503 400 457 400 446 77% 396 300 300 350 200 200 2012 2013 2014 2015 2016 2017 3Q18 2012 2013 2014 2015 2016 2017 3Q18
Slide 9: Appendix
Appendix
Slide 10: Balance Sheet Summary
Balance Sheet Summary 5yr Amounts in PKR mn 2012 2013 2014 2015 2016 2017 CAGR Cash & Bal. With Treasury Bank 58,044 61,205 50,516 62,369 74,071 70,381 4% Balances With Other Banks 26,721 34,764 12,332 16,552 9,373 3,754 -32% Lending to Fis 877 2,522 18,313 27,626 30,149 48,896 123% Advances (Net) 2
Slide 11: Profit & Loss Summary
Profit & Loss Summary 5yr Amounts in PKR mn 2012 2013 2014 2015 2016 2017 CAGR Interest Income 46,080 43,961 55,378 61,438 57,245 56,919 4% Interest Expense 27,500 27,066 33,505 32,811 28,474 27,639 0% Net Interest Income 18,580 16,895 21,873 28,627 28,770 29,281 10% NPL Provisions 1,850 959 1,448 2
Slide 12: Key Ratios
Key Ratios 2012 2013 2014 2015 2016 2017* Capital Adequacy Ratio (Tier - I) 8.5% 8.4% 9.6% 9.6% 9.9% 11.2% Capital Adequacy Ratio Total 12.6% 12.1% 12.8% 13.3% 13.2% 13.7% Net Interest Margins 4.5% 3.5% 3.8% 4.0% 3.6% 3.5% Admin Cost to Income Ratio 60.0% 68.8% 67.3% 60.3% 62.5% 64.1% Non - Interest
Slide 13: Snapshot of the Bank Stock Market Related Data
Snapshot of the Bank Stock Market Related Data Bloomberg Code BAFL PA Reuters Code BAFL.KA Shares Outstanding (mn)*** 1,774.36 Market Capitalization (PKR bn) 92.7 Market Capitalization (USD mn)* 699 Average Daily Turnover (mn shares) 0.9 Average Daily Turnover (USD mn)* 0.3 Current Stock Price** 52.
Slide 14: Disclaimer
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, estimates and projections as
Slide 15: Contact Information
Contact Information For any queries: Imtiaz Gadar, CFA Head of Capital Markets Bank Alfalah Limited Ph# +92 21 3241 6979 +92 21 3242 3617 [email protected]