Investor Presentaiton

BANK OF GEORGIA GROUP INCOME STATEMENT Bank of Georgia Group Consolidated Change GEL thousands, unless otherwise noted 2019 2018 2019 Banking Business 2018 Discontinued Operations y-o-y Change y-o-y 2019 2018 Interest income Interest expense Net interest income Fee and commission income Fee and commission expense Net fee and commission income Net foreign currency gain Net other income / (expense) Operating income 1,437,161 1,322,297 (647,742) (580,544) 8.7% 11.6% 1,437,161 1,327,085 (647,742) 8.3% (587,481) 10.3% 789,419 741,753 6.4% 789,419 739,604 6.7% 284,193 228,769 24.2% 284,193 229,670 23.7% (104,179) (76,107) 36.9% (104,179) (76,488) 36.2% 180,014 152,662 17.9% 180,014 153,182 17.5% 119,363 128,762 -7.3% 119,363 129,437 -7.8% 21,474 7,262 NMF 21,474 7,815 NMF 1,110,270 1,030,439 7.7% 1,110,270 1,030,038 7.8% Salaries and other employee benefits (excluding one-offs) (231,443) (214,761) 7.8% (231,443) (215,816) 7.2% One-off termination costs of executive management (1) (12,412) NMF (12,412) NMF Salaries and other employee benefits (243,855) (214,761) 13.5% (243,855) (215,816) 13.0% Administrative expenses (106,157) (112,654) -5.8% (106,157) (113,264) -6.3% Eliminations Change y-o-y Change 2019 2018 y-o-y (4,788) NMF 6,937 NMF 2,149 NMF (901) NMF 381 NMF (520) NMF (675) NMF (553) NMF 401 NMF 1,055 NMF 1,055 NMF 610 NMF Depreciation, amortisation and impairment Other operating expenses Operating expenses Profit from associates Expected credit loss/ impairment charge on finance lease receivables Operating income before cost of risk Expected credit loss/ impairment charge on loans to customers Other expected credit loss/ impairment charge on other assets and provisions Cost of risk (78,118) (4,228) (432,358) 789 678,701 (94,155) (885) (12,544) (45,442) 71.9% (78,118) (45,442) 71.9% (3,995) 5.8% (376,852) 14.7% (4,228) (432,358) (3,995) 5.8% 1,339 654,926 (139,499) (164) (20,562) -41.1% 3.6% -32.5% NMF -39.0% 789 678,701 (94,155) (885) (12,544) (378,517) 1,339 652,860 (139,499) 14.2% 1,665 NMF -41.1% 4.0% -32.5% 2,066 NMF (164) (20,562) NMF -39.0% (107,584) (160,225) -32.9% (107,584) (160,225) -32.9% Net operating income before non-recurring items Net non-recurring items (excluding one-offs) 571,117 494,701 15.4% 571,117 492,635 15.9% (10,723) (22,471) -52.3% (10,723) (22,643) -52.6% One-off termination costs of former CEO, one-off demerger related expenses (2) (3,985) (34,685) -88.5% (3,985) (34,685) -88.5% Net non-recurring items (14,708) (57,156) -74.3% (14,708) (57,328) -74.3% Profit before income tax expense from continuing operations Income tax expense (excluding one-offs) 556,409 437,545 27.2% 556,409 435,307 27.8% 2,238 2,066 NMF 172 NMF - 172 NMF NMF (58,619) (34,948) Income tax benefit related to one-off termination costs, one-off demerger related expenses and one-off impact of re-measurement of deferred tax balances (3) 2,161 Income tax expense Profit from continuing operations Profit from discontinued operations Profit One-off items (1)+(2)+(3) Profit attributable to: (56,458) 499,951 499,951 (21,717) (56,665) 380,880 107,898 488,778 67.7% NMF -0.4% 31.3% NMF 2.3% (58,619) (34,948) 67.7% 2,161 (56,458) 499,951 (21,717) NMF (56,665) -0.4% 378,642 32.0% 2,238 NMF 110,136 499,951 378,642 32.0% 110,136 NMF NMF (2,238) NMF (14,236) (56,402) -74.8% (14,236) (56,402) -74.8% - shareholders of the Group - non-controlling interests Profit from continuing operations attributable to: - shareholders of the Group - non-controlling interests Profit from discontinued operations attributable to: - shareholders of the Group - non-controlling interests 497,664 2,287 468,996 19,782 6.1% -88.4% 497,664 2,287 377,075 32.0% 91,921 NMF 1,567 45.9% 18,215 NMF 497,664 379,313 2,287 1,567 31.2% 45.9% 497,664 2,287 377,075 32.0% 2,238 NMF 1,567 45.9% 89,683 NMF 91,921 NMF (2,238) NMF 18,215 NMF 18,215 NMF : Earnings per share (basic) 10.45 10.78 -3.1% - earnings per share from continuing operations 10.45 8.72 19.8% - earnings per share from discontinued operations 2.06 NMF Earnings per share (diluted) 10.42 10.71 -2.7% - earnings per share from continuing operations 10.42 8.66 20.3% - earnings per share from discontinued operations 2.05 NMF BANK OF GEORGIA 67

View entire presentation