ABK Strategic Overview and Financial Performance slide image

ABK Strategic Overview and Financial Performance

Al Ahli Bank of Kuwait ("ABK") Overview الأهلي авк Overview of Al Ahli Bank of Kuwait Established on 23rd May 1967, Al Ahli Bank of Kuwait K.S.C.P. ("ABK", or "the Bank") is a leading bank headquartered in Kuwait and regulated by the Central Bank of Kuwait ("CBK") ► Operates through three major segments: Commercial banking Retail banking ▸ Treasury and Investments ► 31 branches in Kuwait, 2 branches in the United Arab Emirates as well as a wholly owned investment banking subsidiary in Kuwait and through the acquisition of Piraeus Bank Egypt, now renamed as "ABK - Egypt", it operates 42 full service branches in Egypt ►DIFC Branch opened in April 2018 ► Signed a Sale & Purchase Agreement in Jan 2020 with Bank & Clients PLC (B&C) which is a licensed and registered Bank in UK, for a full acquisition. The acquisition is subject to the approvals of the regulatory authorities in Kuwait & UK ► Ranked amongst the top 10 safest banks in the Middle East by Global Finance in 2017 and 2018 ▸ Established by the Behbehani family, with approximately 37.5% ownership (direct and indirect) The Bank's Credit Ratings USD million (1) Net Loans & Advances Total Assets Customer Deposits Consolidated IFRS Financials 2014 2015 2016 2017 2018 2019 CAGR 8,273 10,040 9,898 10,189 9,977 10,614 5.1% 11,950 14,363 14,000 14,452 14,995 16,116 6.2% Total Equity 6,620 8,225 9,475 9,739 10,267 1,907 1,831 1,816 1,895 2,230 10,957 10.6% 2,281 3.6% Total Operating Income 402 423 482 520 557 569 7.2% Net Profit 128 100 106 118 139 95 -5.8% Non performing loans ratio (%) 2.5 2.3 2.6 1.7 1.8 1.5 Loans to Deposits ratio (%) 84.6 82.5 83.3 83.4 79.0 80.8 Cost/income ratio 29.8 32.0 39.4 37.7 38.6 38.9 Return on average equity 6.8 5.5 5.8 6.3 7.3 3.7 22.7 16.0 16.5 16.0 17.9 17.5 Total Capital Adequacy ratio (%) 23.7 17.2 17.7 17.2 19.2 18.6 Tier 1 ratio (%) 44.8% Rating Agency Last affirmed Long Term Rating Outlook Ownership Structure (as at 31st December 2019) 10.1% 9.5% Kuwait Investment Co. Behbehani Telecommunications Co. Wafra International Investments Co. Behbehani Investment Co. (direct and indirect) MOODY'S Fitch Ratings Dec 2019 A2 Stable Sept 2019 A+ Stable Note: KD/USD Rates for 2014, 2015, 2016, 2017, 2018 and 2019 respectively - 0.2928, 0.3035, 0.3060, 0.3018, 0.3033,0.3030 9.1% Ali Murad Yousuf Behbehani 8.8% Heirs of Mohamed Saleh Yousuf Behbehani Watani Investment Co 6.3% 6.4% Others 5.0%
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