I&m Group Plc · NSEKE:IMH
I&m — I&M Bank (Rwanda) — Q3 2021 Earnings Presentation
24 slides from I&m's earnings presentation, 2021
Slide 1: Our core values and brand promise
Our core values Integrity Respect Trust Innovation Courage Our Brand Promise
Slide 2: I&M Bank (Rwanda) PLC Quarter 3 2021 Results Investor Presentation
I&M BANK (RWANDA) PLC QUARTER 3 2021 RESULTS INVESTOR PRESENTATION
Slide 3: Index
Index 1 Financial Highlights & Trend Analysis 2 Performance Drivers & Strategy Update 3 Appendix
Slide 4: Delivered another strong set of results in Q3, reflecting business momentum
Delivered another strong set of results in Q3, reflecting business momentum • Net operating income up 29% YoY driven by the 21% increase in net interest income and efficiency improvement. Growth • Customer growth up by 25% YTD to 50,578 customers (SME: +64%, Corporate: +17%; Retail: +22%). • Net Loa
Slide 5: 9M-21 underlying profit of RWF 8.3 Billion
9M-21 underlying profit of RWF 8.3 Billion, driven by solid headline earnings growth and lower cost of credit. Cost-to-Income ratio RWF Million Sept-21 Sept-20 % - 7% Net interest income 19,620 16,263 21 64.1% 59.6% Net fee income 1,592 1,390 15 Trading and other income 3,069 3,522 -13 Total operati
Slide 6: Well-funded, diversified and highly liquid balance sheet
Well-funded, diversified and highly liquid balance sheet (large % contribution from deposits from customers & banks) % Var. % Var. Credit Quality indicators RWF Billion Sept-21 Dec-20 Sept-20 Sep-20 Dec-20 Sept-21 Dec-20 Loans & Advances 217.1 205.2 208.1 6% 4% Financial Investments 92.6 100.9 74.0
Slide 7: Strong capital levels & liquidity ratios
Strong capital levels & liquidity Ratios Capital Adequacy Ratio Liquidity Coverage Ratio 350 22.00% 600% 325 542% 297 21.00% 300 500% 19.65% 20.00% 250 241 415% 18.76% 400% 19.00% 200 18.27% 18.00% 300% 150 229% 16.45% 17.00% 16.14% 200% 100 16.00% 50 100% 14.35% 15.00% 0 14.00% Dec-19 Dec-20 Sep-21
Slide 8: Key ratios reflect business growth and momentum
Key ratios reflects the business growth and tangible momentum behind our strategy execution. Dec-20 Sept-21 Liquidity Coverage Ratio, % 542 415 Cost/ Income Ratio, % 57.86 59.7 Return on Equity (ROAE), % 10.99 12.6(1) Return on Assets (ROAA), % 1.39 1.65(2) Net Loans to Deposit Ratio, % 68.8 72.9 Ea
Slide 9: Index
Index 1 Financial Highlights & Trend Analysis 2 Performance Drivers & Strategy Update 3 Appendix
Slide 10: We continue to be guided by our iMara 2.0 strategy
We continue to be guided by our iMara 2.0 strategy Aspiration Rwanda’s leading Financial Partner for Growth 1. Driving Business Growth 2. Building a Resilient Organisation 3. Optimising the operating model Strategic Pillars And initiatives Enablers Customer Experience Cultural Transformation Strateg
Slide 11: Strong underlying performance across all business segments
Continue to maintain a strong underlying performance across all business segments Corporate Banking Business Banking Retail Banking 76.7 32.4 72.3 213.4 216.0 29.7 24.8 57.1 23.1 52.7 112.0 118.6 Loans Deposits Loans Deposits Loans Deposits Dec-20 Sep-21 Dec-20 Sep-21 Dec-20 Sep-21 • Continue to str
Slide 12: Focus on digitization and revenue generation
Focus on digitization and revenue generation • Deployed low-cost deposits attraction strategy; • Continued strength in digital adoption with 72% of Bank’s transactions done on alternative channels, compared Key sales to 52% recorded in 2020. achievements • +45,117 new users YTD on SPENN platform. Mo
Slide 13: Covid-19 vaccinations encouraged across the board
Covid-19 vaccinations encouraged across the board Rwanda: 43.27% of the population has received at least of the doses recommended. I&M Rwanda: nearly 100% of all staffs are fully vaccinated, enabling business to resume smoothly. Source: COVID-19 Data Explorer – Our World in Data 13
Slide 14: Improved prospects and Sustainability
Improved prospects and Sustainability Accolades Credit Ratings Upgraded GCR Ratings as capital position improves and operating environment pressure eases. “Product Innovation of the Year” by SME Finance Forum Stable Outlook. Awarded for delivering outstanding products and services to our SME clients
Slide 15: Disclaimer
Disclaimer The contents herein have been presented in good faith. The information, statements and opinions set out in this presentation and subsequent discussion do not constitute a public offer for the purposes of any applicable law or an offer to sell or solicitation of any offer to purchase any s
Slide 16: Index
Index 1 Financial Highlights & Trend Analysis 2 Performance Drivers & Strategy Update 3 Appendix
Slide 17: Appendix
Appendix Economic Overview Banking sector overview Our Bank • I&M Bank Journey • Balance Sheet & Quarterly Income Statement
Slide 18: Economic Overview
Economic Overview Global conditions Pandemic Impact • The global economy is experiencing a strong but • Rwanda’s GDP rebounded in the first half of 2021 with uneven recovery with estimated growth of 6% in 2021 growth of 20.6% driven by a faster recovery of the and 4.9% in 2022. (1) agriculture secto
Slide 19: Rwanda – Banking sector overview
Rwanda – Banking sector overview Sector review • Banking sector assets recorded growth of 20% YoY in Sept 4,854 2021 to RWF 4,853Bn from RWF 4,028Bn as of Sept 2020. 4,310 3,476 • Customer deposits increased to RWF 2,970Bn, a 16% YoY 3,091 2,971 growth from the Sept 2020 levels. 2,712 2,685 2,647 2,
Slide 20: Appendix
Appendix Economic Overview Banking sector overview Our Bank • I&M Bank Journey • Balance Sheet & Quarterly Income Statement
Slide 21: I&M Journey
I&M JOURNEY 2003: The Government of Rwanda increased the share capital to Frw 7.6 Bn and BCR became 86.8% owned by the Government I&M Bank Rwanda is listed on the Rwanda Stock of Rwanda. Exchange (RSE) 2004: Actis acquired 80% share in BCR after a recapitalization. 1963 2012 2018 2003-4 2017 Digital
Slide 22: Proven continuous growth across key financial metrics
Proven continuous growth across key financial metrics 5-Year Financial Highlights 417.2 435.3 (Rwf ‘Billions) 317.9 298.3 297.8 294.2 260.2 243.4 230.9 217.1 209.1 205.2 171.9 169.0 150.7 60.1 54.5 42.8 39.6 35.1 Equity Loans & Advances Total Deposits Total Assets 2017 2018 2019 2020 Sep-21 Loan-to-
Slide 23: Quarterly Income Statements
Quarterly Income Statements RWF Millions Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 9M'20 9M'21 Net interest income 5,593 5,637 5,033 6,150 6,656 6,653 6,311 16,263 19,620 Net fee income 447 321 622 579 397 455 740 1,390 1,592 Trading and Other Income 1,142 925 1,455 3,287 990 1,149 929 3,522 3,069 T
Slide 24: Thank you
Thank you I&M Bank (Rwanda) PLC KN 03 Ave, 9 P.O. BOX 354 Kigali, Rwanda E: [email protected] T: + 250 788 16 2040