Investor Presentaiton
Strong diversified income and profit growth in H1-22
Emirates NBD DenizBank ✡
Highlights
Income
Liquidity
Risk
Expenses
Capital
Divisional
•
Income Statement
(AED bn)
H1-22 H1-21
Better /
(Worse)
H1-22
H1-21
Better /
(Worse)
H1-22 H1-21
Better /
(Worse)
•
Net interest income
9.4
8.1
16%
6.4
5.6
14%
3.0
2.5
19%
•
Non-funded income
4.8
3.4
40%
3.1
2.6
18%
1.7
0.8
117%
Total income
14.2
11.5
23%
9.5
8.2
15%
4.7
3.3
42%
Operating expenses
(4.1)
(3.8)
(8)%
(3.0)
(2.6) (13)%
(1.1)
(1.1)
4%
Pre-impairment
10.1
7.8
30%
6.5
5.6
16%
3.6
2.2
66%
operating profit
.
Impairment allowances
(1.9)
(2.6)
28%
(1.6)
(1.7)
5%
(0.2) (0.9)
72%
Tax and others
(1.1) (0.4)
(199)%
(0.1)
(0.1)
(37)%
(0.9)
(0.3)
(261)%
•
Profit after tax and
7.2
4.8
50%
4.7
3.8
26%
2.5
1.0
136%
before hyperinflation
Hyperinflation adjustment (1.9)
n/m
(1.9)
n/m
Net profit
5.3
4.8
11%
4.7
3.8
26%
0.6
1.0
(44)%
Cost: income ratio
28.7% 32.6% 3.9%
31.4% 32.0% 0.6%
23.1% 34.2%
11.1%
NIM
2.86% 2.45% 0.41%
2.31% 2.07% 0.24%
5.72% 4.13%
1.59%
•
Key Highlights
Group net profit up by 11% and strong diversified income
absorbs new hyperinflation adjustment
ENBD income higher from improving margins and
increased transaction volumes
DeinzBank income higher from increased lending, wider
margins and hedging
Lower provisions with strong writebacks and recoveries as
H1 cost of risk improved to 79bp reflecting improving
operating environment
AED 0.6 bn net profit from DenizBank despite AED 1.9 bn
hyperinflation adjustment
Higher income enables accelerated investment in
international growth and digital
NIMS revised upwards by 50bp on rising interest rates and
improving DenizBank margins
1% loan growth in H1-22 with healthy new lending on
continued strong retail and renewed corporate lending
demand
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