CIB FY 2021 IFRS Annual Financial Report

Consolidated Income Statement for the Year Ended December 31, 2021

Notes

Dec. 31, 2021

Dec. 31, 2020

EGP Thousands

EGP Thousands

Interest and similar income

45,078,169

42,196,235

Interest and similar expense

(20,204,272)

(17,107,598)

Net interest income

3

24,873,897

25,088,637

Fee and commission income

4,045,573

3,059,264

Fee and commission expense

(1,655,096)

(983,450)

Net fee and commission income

4

2,390,477

2,075,814

Dividend income

5

59,725

50,175

Net trading income

6

774,992

483,006

Profits (Losses) on financial investments

20

594,863

1,001,958

Administrative expenses

7

(7,787,584)

(6,877,303)

Other operating expenses

8

(1,673,546)

(2,500,823)

Impairment charges for credit losses

9

(1,679,747)

(5,018,781)

Profits from subsidiaries acquisition

-

8,086

Bank's share in the profits of associates

12

14,996

22,426

Profit before income tax from continuing operations

17,568,073

14,333,195

Income taxes

10

(5,565,599)

(4,999,985)

Net profit for the year

12,002,474

9,333,210

Attributable to:

Equity holders of the parent

12,006,925

9,335,044

Non-controlling interest

(4,451)

(1,834)

Net Profit for the year

12,002,474

9,333,210

Earning per share

11

Basic attributable to equity holders of the parent

6.09

4.74

Diluted attributable to equity holders of the parent

6.05

4.70

The accompanying notes from 1 to 42 form an integral part of these consolidated financial statements.

Hussein Abaza

Sherif Samy

CEO & Managing director

Chairman

28-Apr-22

28-Apr-22

Consolidated Statement of Comprehensive Income for the Year Ended December 31, 2021

Dec. 31, 2021

Dec. 31, 2020

EGP Thousands

EGP Thousands

Profit for the year

12,002,474

9,333,210

Other comprehensive income items that will not be reclassified to the Profit or Loss:

Change in fair value of equity instruments measured at fair value through other comprehensive income after tax impact related to OCI

(149,323)

(13,966)

Other comprehensive income items that is or may be reclassified to the profit or loss:

Change in fair value of debt instruments measured at fair value through other comprehensive income after tax impact related to OCI

(2,181,779)

827,630

Change in fair value from selling FVOCI financial instruments

(702,776)

(1,018,469)

Transferred from reserve on disposal of financial assets at fair value through OCI

(177,488)

(76,717)

Cumulative foreign currencies translation differences

(4,218)

(3,684)

Effect of deferred tax on Investment FVOCI

(95,905)

(215,428)

Effect of ECL in fair value of debt instruments measured at fair value through OCI

(93,566)

205,182

Total other comprehensive income for the year

8,597,419

9,037,758

As follows:

Bank's shareholders

8,601,870

9,039,592

Non-controlling interest

(4,451)

(1,834)

Total other comprehensive income for the year

8,597,419

9,037,758

Consolidated Statement of Financial Position as at December 31, 2021

Notes

Dec. 31, 2021

Dec. 31, 2020

EGP Thousands

EGP Thousands

Assets

Cash and balances at the central bank

13

43,492,248

33,768,549

Due from banks

14

80,141,769

87,426,301

Loans and advances to banks, net

15

312,216

776,980

Loans and advances to customers, net

16

145,575,243

119,570,005

Financial Assets at fair value through profit or loss

19

443,859

552,288

Derivative financial instruments

17

225,376

248,759

Financial Assets at fair value through OCI

19

197,238,721

156,157,553

Financial Assets at amortized cost

19

20,547,465

25,285,225

Right of use assets

23

1,084,585

814,587

Investments in associates

21

205,315

139,871

Other assets

22

11,207,128

9,175,525

Intangible assets

38

51,831

51,831

Goodwill

38

206,287

206,287

Deferred tax assets

10.2

456,002

437,772

Property and equipment

23

2,461,116

2,311,147

Total assets

503,649,161

436,922,680

Liabilities and equity

Liabilities

Due to banks

24

866,056

8,817,535

Due to customers

25

407,241,538

341,169,450

Lease liabilities

23

1,087,820

905,861

Derivative financial instruments

17

265,470

331,073

Issued debt instruments

18

1,557,263

-

Other liabilities

27

13,710,791

15,070,029

Current Tax liability

2,234,985

859,582

Other loans

26

5,140,782

7,746,946

Provisions

28

3,541,462

3,224,180

Total liabilities

435,646,167

378,124,656

Equity

Issued and paid in capital

29

19,702,418

14,776,813

Reserves

30

33,552,794

32,939,079

Reserve for employee stock ownership plan (ESOP)

30

1,674,392

1,064,648

Retained earnings

30

12,618,855

9,534,429

Total equity attributable to equity holders of the parent

67,548,459

58,314,969

Non-controlling interest

39

454,535

483,055

Total equity

68,002,994

58,798,024

Total liabilities and equity

503,649,161

436,922,680

The accompanying notes from 1 to 42 form an integral part of these consolidated financial statements.

Hussein Abaza

Sherif Samy

CEO & Managing director

Chairman

28-Apr-22

28-Apr-22

Consolidated Statement of Changes in Shareholders' Equity

Dec. 31, 2020

Issued and paid in capital

Reserve for employee stock ownership plan (ESOP)

Retained earnings

Reserves

Total

Non-controlling interest

Total equity

Beginning balance at 1st of Jan 2020

14,690,821

963,152

11,690,446

23,180,850

50,525,269

-

50,525,269

Total comprehensive income

-

-

9,335,044

-

9,335,044

(1,834)

9,333,210

Capital increase

85,992

-

-

-

85,992

-

85,992

Reserve for employee stock ownership plan (ESOP)

-

552,438

-

-

552,438

-

552,438

Dividend

-

-

(2,013,318)

-

(2,013,318)

-

(2,013,318)

Transferred to reserves

-

(450,942)

(9,477,743)

9,758,229

(170,456)

(890)

(171,346)

Non-controlling interest

-

-

-

-

-

485,779

485,779

Balance at 31 December 2020

14,776,813

1,064,648

9,534,429

32,939,079

58,314,969

483,055

58,798,024

Beginning balance at 1st of Jan 2021

14,776,813

1,064,648

9,534,429

32,939,079

58,314,969

483,055

58,798,024

Total comprehensive income

-

-

12,006,925

-

12,006,925

(4,451)

12,002,474

Capital increase

4,925,605

-

-

(4,925,605)

-

-

-

Transferred to reserves

-

-

-

-

-

-

-

Reserve for employee stock ownership plan (ESOP)

-

609,744

-

-

609,744

-

609,744

Dividend

-

-

(156,389)

-

(156,389)

(24,069)

(180,458)

Transferred to reserves

-

-

(8,766,110)

5,539,320

(3,226,790)

-

(3,226,790)

Balance at 31 December 2021

19,702,418

1,674,392

12,618,855

33,552,794

67,548,459

454,535

68,002,994

Consolidated Statement of Cash Flow for the Year Ended December 31, 2021

Notes

Dec. 31, 2021

Dec. 31, 2020

EGP Thousands

EGP Thousands

Cash flow from operating activities

Profit before income tax from continued operations

17,568,073

14,333,195

Adjustments to reconcile net profit to net cash provided by operating activities

Fixed assets depreciation

885,060

924,667

Impairment charge for credit losses (Loans and advances to customers)

1,756,505

4,806,518

Other provisions charges

380,459

1,235,659

Impairment charge for other assets

31,975

69,217

Impairment charge for credit losses (due from banks)

16,808

7,081

Exchange revaluation differences for financial assets at fair value through OCI and at amortized cost

17,261

249,642

Impairment (Reversal of impairment) charge for credit losses (financial investments)

(93,566)

205,182

Utilization of other provisions

(45,483)

(2,382)

Other provisions no longer used

(2,451)

(13,273)

Impairment of intangible assets

206,287

-

Exchange differences of other provisions

(15,243)

(7,193)

Impairment (Reversal of impairment) charges of investments in associates and subsidiaries

107,913

16,511

Profits from selling property, plant and equipment

(2,947)

(1,094)

Losses from selling financial investments

(702,776)

(1,018,469)

Shares based payments

609,744

552,438

Bank's share in the profits of associates

(14,996)

(22,426)

Operating profits before changes in working capital

20,702,623

21,335,273

Net decrease (increase) in working capital

Due from banks

(17,183,300)

(10,899,927)

Financial assets at fair value through profit or loss

118,972

58,822

Derivative financial instruments

(42,220)

16,109

Loans and advances to banks and customers

(27,280,547)

(5,020,609)

Other assets

(2,135,921)

568,988

Due to banks

(7,951,479)

(2,993,072)

Due to customers

66,072,088

36,720,995

Income tax obligations paid

(3,444,749)

(3,779,782)

Other liabilities

(1,359,238)

2,146,103

Net cash generated from operating activities

27,496,229

38,152,900

Cash flow from investing activities

Proceeds from Investments in associates.

-

750

Payment for purchases of associates

(158,360)

-

Payment for purchases of property, equipment and branches constructions

(981,186)

(1,091,829)

Proceeds from selling property and equipment

2,947

1,094

Proceeds from redemption of financial assets at amortized cost

4,741,459

82,309,481

Payment for purchases of financial assets at amortized cost

(3,844)

(233,765)

Payment for purchases of financial assets at fair value through OCI

(250,679,698)

(117,787,925)

Proceeds from selling financial assets at fair value through OCI

206,611,955

54,137,187

Proceeds from selling property and equipment

-

194,722

Net cash used in (generated from) investing activities

(40,466,727)

17,529,715

Consolidated Statement of Cash Flow for the Year Ended December 31, 2021

(Cont.)

Dec. 31, 2021

Dec. 31, 2020

EGP Thousands

EGP Thousands

Cash flow from financing activities

Decreased (increase) in long term loans

(2,606,164)

4,474,200

Dividend paid

(156,389)

(2,013,318)

Issued debt instruments

-

85,992

Cash payments for lease (principle and interest)

(242,292)

(242,173)

Net cash generated from (used in) financing activities

(3,004,845)

2,304,701

Net (decrease) increase in cash and cash equivalent during the year

(15,975,343)

57,987,316

Beginning balance of cash and cash equivalent

66,350,285

8,362,969

Cash and cash equivalent at the end of the year

50,374,942

66,350,285

Cash and cash equivalent comprise:

Cash and balances at the central bank

13

43,492,248

33,768,549

 Due from banks with maturities of 3 months or less

14

44,983,081

60,271,448

Treasury bills with maturities of three months or less

19

549

54,988

Obligatory reserve balance with CBE

13

(38,100,936)

(27,744,700)

Total cash and cash equivalent

31

50,374,942

66,350,285