Emirates NBD Financial Performance Overview slide image

Emirates NBD Financial Performance Overview

Financial results highlights Q1 2022 Highlights Income Expenses Risk Capital Liquidity Divisional Strong Q1-22 results with net profit up 18% y-o-y on higher income and lower impairments • Net interest income up 4% y-o-y on improved loan and deposit mix Better/ Better / Income Statement (AED bn) Q1-22 Q1-21 Q4-21 Key Highlights (Worse) (Worse) Net interest income 4.3 4.1 4% 4.3 (2)% • Non-funded income 2.1 2.1 2% 2.2 (3)% Total income 6.4 6.2 3% 6.5 (2)% Operating expenses (2.0) (1.9) (5)% (2.3) 14% Pre-impairment operating profit 4.4 4.3 3% 4.2 4% Impairment allowances (1.4) (1.8) 20% (2.2) 36% Operating profit 3.0 2.5 19% 2.1 45% Taxation charge and others (0.3) (0.2) (24)% (0.1) (378)% Net profit 2.7 2.3 18% 2.0 36% Cost: income ratio (%) 30.8% Net interest margin (%) 2.60% 30.3% (0.5)% 34.8% 2.46% 0.14% 2.59% 4.0% • 0.01% - Initial signs of higher rates feeding through to margins - Record CASA balances improving funding costs • Non-funded income up 2% y-o-y from increased transaction activity - Increased local and international card transactions W Growth in client flow FX & Derivative transaction income Expenses well controlled in Q1-22 with CI ratio within guidance - Higher staff cost y-o-y driving an increase in underlying earnings and future growth Balance Sheet (AED bn) 31-Mar-22 31-Mar-21 Inc/ (Dec) 31-Dec-21 Inc/ (Dec) W Other costs lower due to seasonality from earlier campaigns • Total assets 694.0 695.1 687.4 1% Loans 425.4 436.1 Deposits 469.0 459.1 (2)% 2% 422.3 1% Q1-22 cost of risk of 116 bps lower y-o-y and q-o-q reflecting operating environment improving 456.5 CET-1 (%) LCR (%) NPL ratio (%) 15.0% 157.4% 6.4% 15.6% (0.6)% 15.1% 165.1% (7.7)% 177.6% 6.1% 0.3% 6.3% 3% (0.1)% (20.2)% 0.1% • • 1% Loan growth in Q1-22 El lending up 6%, Retail lending up 4% and DenizBank's net loans up 11% Group maintains strong Capital and Liquidity with coverage ratio highest amongst regional peers 15
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