BMED.L Regulatory News (BMED)

3 Apr 2009 07:00



BMCE BANK GROUP

1ST Announcement of Annual Results under IFRS

THE RISE OF A NASCENT MULTINATIONAL BANKING GROUP

The Board of Directors of BMCE Bank, chaired by Mr. Othman BENJELLOUN, was held on Friday March 27, 2009, at the Bank's Head Office in Casablanca. It examined the Group's activities during the fiscal year 2008 and closed the related accounts.

The Board decided to propose to the Annual General Meeting the cooptation of Mr. Roberto LÓPEZ ABAD, the General Director of Caja Mediterráneo, as a Director of BMCE Bank.

The Board will also propose to the AGM the payment of a dividend of 3 dirhams per share.

The 2008 annual accounts are presented under IAS/IFRS standards, as well as those of the FY 2007 for comparison purposes. A complete version of the IAS/IFRS financial statements is available on the bank's website www.bmcebank.ma.

- Increase in results despite sizeable investments to fuel the growth of the Group and exogenous constraints in Europe.

- Sustained investment in the network expansion, with the opening of a hundred branches in 2008, i.e. 270 branches in 4 years.

- Fruitful market positioning in Africa, with a 16% contribution to Net Earnings Group Share from African Subsidiaries

- Sound risk management, with an NPL ratio below 4%, one of the lowest risk levels in the sector.

SATISFACTORY FINANCIAL PERFORMANCE

CONSOLIDATED ACTIVITY: HONORABLE RESULTS IN A MIXED ENVIRONNEMENT

+42% growth in total assets exceeding the MAD 150 billion mark (EUR 13.4 bn).

ACTIVITY IN MOROCCO: ACCELERATION OF THE NETWORK EXPANSION PROGRAM

FINANCIAL BASE

Reinforcement of capital base to support the growth strategy in Morocco and abroad, and of liquidity, through the issue of :

- Total of MAD 2 billion (EUR 177.6 m) of subordinated debt on the local market ;

- EUR 70 million of perpetual subordinated debt from the IFC ;

- EUR 50 million of subordinated debt from Proparco, a subsidiary of AFD (Agence Française de Développement) ;

- MAD 2.5 billion (EUR 226 m) in certificates of deposits.

SOUND AND DYNAMIC RISK MANAGEMENT

- Completion of the standardized approach and start of the transition towards the advanced approach;

- Reinforcement of the corporate governance system, with the set up of the operational risk committee and the Group's market risk committee;

- Realization of the operational risk mapping;

- Implementation of procedures manual for market risks;

- Deployment of an integrated IT system for risk management.

PERFORMING DEBT COLLECTION PROCESS

BMCE BANK STOCK: GOOD RESISTENCE TO THE DOWNTURN TREND IN THE MARKET

ACCELERATION OF THE GROUP'S GROWTH STRATEGY,

FURTHER STRENGTHENING ITS POSITION AS A MAJOR PLAYER IN

THE REGIONAL AND NATIONAL BANKING LANDSCAPE

ACTIVITY IN MOROCCO: GOOD COMMERCIAL PERFORMANCE

REINFORCED POSITION ON THE INDIVIDUALS AND

PROFESSIONALS MARKET

ENTERPRISES & SME MARKET: STRENGTHENED ACTIVITY OF THE BUSINESS CENTERS

INTERNATIONAL ACTIVITIES AS A GROWTH RELAY

SPECIALIZED FINANCIAL SERVICES: GROWING CONTRIBUTION IN THE GROUP'S EARNINGS

INVESTMENT BANKING ACTIVITIES: GOOD RESILIENCE IN A DIFFICULT MARKET

2008, A YEAR OF CONSECRATION

2009 PROSPECTS

Consolidation of the growth dynamics of BMCE Bank Group in 2009 in Morocco and abroad, mainly thanks to:

Sustained branch expansion program, with the opening of an additional 100 new branches;

Expected growing momentum for commercial activity across the Group's different business lines (Retail bank, Wholesale Bank, Specialized Financial Services);

Increasing contribution from the Afrian subsidiaries to the Group's earnings, especially from Bank of Africa;

Consolidation of the Group's activities in Europe around MediCapital Bank.

A SOCIALLY RESPONSIBLE BANK

The "1,001 Schools" Program

- 136 schools and pre-schools built and equipped in Morocco

- 2 schools built and equipped in Senegal and Congo Brazzaville, and 4 planned in Kenya, Benin, Mali and Niger

- 360 teachers

- 12,000 pupils

- 6,000 adults benefiting from litercay training, 80% of which are female

- 60 development projets

- 99% success rate for the Medersat.com schools' pupils during the last three years

IFRS SIMPLIFIED FINANCIAL STATEMENTS

CONSOLIDATED ACTIVITY

BALANCE SHEET

	2008				2007
ASSETS	Euros	Dollars	MAD	% Change 08-07	MAD
Cash and amounts due from central banks and post office banks	778	1 088	8 762	8.4%	8 085
Financial assets at fair value through profit or loss	1 495	2 090	16 831	74.2%	9 663
Available for sale financial assets	124	173	1 397	37.6%	1 015
Loans and receivables due from credit institutions	1 917	2 680	21 586	9.5%	19 720
Loans and receivables due from customers	7 613	10 641	85 709	45.3%	58 985
Held to maturity financial assets	527	736	5 928	206.7%	1 933
Investment property	45	63	505	6.1%	476
Tangible fixed assets	317	443	3 570	52.2%	2 346
Intangible fixed assets	49	68	548	104.5%	268
Goodwill	22	31	250	858.5%	26
Other assets	477	667	5 375	49.4%	3599
TOTAL ASSETS	13 365	18 679	150 461	41.8%	106 116

LIABILITIES	Euros	Dollars	MAD	% Change 07-08	MAD
Due to Credit institutions	1 123	1 570	12 647	38.3%	9 144
Due to customers	10 077	14 085	113 450	38.4%	81 969
Debt securities	407	570	4 587	461.9%	816
Provisions	29	40	325	19.3%	273
Subordinated debts and special guarantee funds	369	516	4 156	314.5%	1 003
Shareholders equity	734	1 026	8 265	15.4%	7 160
Group share	494	690	5 557	-15.5%	6 579
Minority interest	241	336	2 708	366.5%	581
Other liabilities	624	873	7 030	22.2%	5 751
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY	13 365	18 679	150 461	41.8%	106 116

INCOME STATEMENT

	2008				2007
	Euros	Dollars	MAD	% Change 07-08	MAD
Net interest income	366	512	4 125	63.7%	2 519
Net fee income	102	143	1 150	40.6%	818
Income from market transactions	45	62	503	-36.6%	793
Net miscellaneous	21	30	240	78.3%	135
Net banking income	535	747	6 018	41.1%	4 265
- General operating Expenses	317	443	3 570	52.9%	2 335
- Provision for amortization and depreciation	29	41	332	71.5%	193
Gross operating income	188	263	2 117	21.9%	1 737
- Cost of risk	8	11	89	-72.0%	318
Operating income	180	252	2 028	43.0%	1419
Pretax income	187	262	2 110	46.5%	1440
- Income tax	60	84	673	48.7%	452
Net Earnings	128	178	1 437	45.5%	987
- Minority interest	54	75	607	351.5%	134
Net Earnings - Group share	74	103	830	-2.6%	853

 

 

 http://www.rns-pdf.londonstockexchange.com/rns/0731Q_-2009-4-2.pdf

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