C A L B A N K L I M I T E D

2 0 1 5 A N N U A L R E S U LT S P R E S E N TAT I O NI n v e s t o r & A n a l y s t P r e s e n t a t i o n

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Disclaimer

This report was prepared by CAL to provide background information on the Group.The report is issued for information purposes only, especially with regards to enablingusers understand the inherent potential of the business. It is therefore not asolicitation to buy or sell the stock.

The information contained herein is subject to change and neither the bank nor itsstaff is under any obligation to notify you or make public any announcement withrespect to such change.

Users are hereby advised to exercise caution in attempting to rely on this informationand carry out further research before reaching conclusions regarding their investmentdecisions.

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Outline

Overview of CAL Bank Limited

Operating Environment

Full-Year 2015 Financial Highlights

Review of Full-Year 2015 Financial Performance

Strategy and Outlook

2 0 1 5 A N N U A L R E P O R T P R E S E N T A T I O N

CAL BANK AT A GLANCE

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Management

Mr. Frank AduManaging Director

Mr. Philip OwireduExecutive Director

Mr. Joseph Ofori-TeikoGeneral Manager

Mr. Charles AmoahAssistant General Manager

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

CAL Bank Limited

SSNIT33.2%

ADP I HOLDING 427.7%

OTHERS25.8%

ICAM3.9%

FRONTAURA3.0%

DANIEL OFORI2.5%

FRANK BRAKO ADU, JR

2.2%

CENTUM EXOTICS

2.7%

PARTNERS

SHAREHOLDING STRUCTURETHE BANK AT A GLANCE

CAL Bank Limited is an indigenous bank established inGhana in 1990, listed on the Ghana Stock Exchange

Focus: corporate banking, asset-backed retail lending,

treasury, corporate finance, asset management,

brokerage

Subsidiaries: 3 wholly owned

Network:‐ 25 branches,‐ 93 ATMs,‐ 15 corresponding banks

Headcount: 751 employees

Issued Shares: 548.26 million

Market cap: GHS 548.26 million¹

Public Float: 36.74%

1. As at 31st December, 2015

2 0 1 5 A N N U A L R E P O R T P R E S E N T A T I O N

OPERATING ENVIRONMENT

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Ghana Scorecard

GROSS DOMESTIC PRODUCT

INFLATION

POLICY RATE

CEDI-DENOMINATED5-YEAR GoG BOND ISSUE

FOREIGN EXCHANGE

Provisional estimate of GDP growth as at 3Q2015 - 3.6%

Agriculture - 3.2%

Industry - 3.6%

Services - 4.9%

• Monetary policy rate is currently 26.0% up from 21% in January 2015. The Monetary Policy Committee (MPC) maintained the rate at its last meeting in January 2016.

• The Government of Ghana paid a 24.75% yield on 5-year domestic bond sold at GHc746.4m.

• The foreign exchange market experienced increased volatility in the first half of 2015,resulting in a 26.2% depreciation of the local currency against the US dollar.

• The trend however moderated in the last quarter of 2015 as foreign exchange inflowsimproved amid policy tightness. Foreign inflows from the Cocoa loan and Eurobondissue summing up to about USD 2.8 billion provided a strong buffer to the foreignexchange market.

• Consequently, the cedi appreciated by 14.5% during the second half of 2015.

• Cumulatively, the cedi depreciated by 15.7% on a year–on-year basis in 2015, a muchslower pace than the 31.3% depreciation recorded in 2014.

• Headline inflation of 17.7% in December 2015 up marginally from 17.0% in December2014

• January 2016 recorded an inflation rate of 19.0%

UPCOMING DEVELOPMENTS

• The next MPC Meeting will be from Friday, March 18 to Monday March 21,2016

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Ghana & Banking Sector Scorecard

12LOCAL PRIVATE

3GOVERNMENT

14 FOREIGN

2 9 L I C E N S E D B A N K S I N O P E R A T I O N

NPL RATIO

14.9%¹Up from 11.2% in Dec 2014

TOTAL ASSETS

GHS 63.30 BILLION¹

up by 23.1% from December 2014

NET LOANS & ADVANCES

GHS 27.09 BILLION¹

up by 23.1% from December 2014

NPLs

GHS 4.52 BILLION¹Up from GHS 2.72 billion in December 2014

1. Source: MPC report- January 20162. Source: Trading economics

• 2 new banks licensed in 2015:GN Bank and First National Bank (FNB)

• First Capital Plus Bank rebranded to Capital Bank in 2015

C R E D I T C O N D I T I O N S

AVERAGE LENDING RATES²

38.3%Up from 33.85% in Jan 2015

B A N K S ’ B A L A N C E S H E E T

CREDIT TO PRIVATE SECTOR GROWTH

6.3%Compared to 21.0% in Dec 2014

CREDIT TO HOUSEHOLDS GROWTH

-8.1%Compared to 23.7% in Dec 2014

2 0 1 5 A N N U A L R E P O R T P R E S E N T A T I O N

CAL BANK FULL-YEAR 2015 FINANCIAL PERFORMANCE

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Summarized Income Statement FY 2015

(GHS ‘000) FY 2015 3Q 2015 FY 2014 ΔY/Y

Interest Income 466,822 333,056 355,027 32%

Interest Expense (218,192) (157,131) (170,943) 28%

Net Interest Income 248,630 175,925 184,084 35%

Fees and Commission Income 69,841 52,826 54,921 27%

Fees and Commission Expense (4,511) (3,592) (3,019) 49%

Net Fees & Commissions 65,330 49,234 51,902 26%

Net Trading Income 70,699 59,359 76,337 (7%)

Other Income 16,357 9,015 12,755 28%

Operating Income 400,997 293,533 324,942 23%

Credit Loss Expense (35,677) (17,440) (20,478) 74%

Net Operating Income 365,320 276,093 304,464 20%

Total Operating Expense (144,031) (107,171) (106,067) 36%

Profit Before Tax 221,308 168,978 198,533 11%

Income Tax Expense (44,005) (42,122) (45,454) (3%)

National Fiscal Stabilisation Levy (11,065) (8,364) (9,928) 11%

Profit-After-Tax 166,238 118,492 143,151 16%

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Income Analysis

NET INTEREST INCOME and NET INTEREST MARGIN ANALYSIS NON-FUNDED INCOME

41

.4

84

.6

14

3.7

18

4.1

24

8.6

10.2%

10.1%

12.2%

9.9% 9.5%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

-

50.0

100.0

150.0

200.0

250.0

300.0

FY 11 FY 12 FY 13 FY 14 FY 15

GH

S m

illio

ns

NII NIM

29.6m

48.6m

75.3m

140.8m

TOTAL

152.2m

Income type CAGR (%)

Net Fees & Commissions 45.3%

Net Trading Income 60.9%

Other Income 39.1%

14.6

25.8

29.7

51.9

65.3

10.5

13.9

31.2

76.3

70.6

4.4

8.9

14.4

12.6

16.3

F Y 1 1

F Y 1 2

F Y 1 3

F Y 1 4

F Y 1 5

Net Fees & Commissions Net Trading Income Other Income

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Credit Loss Expense and NPLs

CREDIT LOSS EXPENSE

11

.5

17

.5

17

.5

20

.5

35

.7

F Y 1 1 F Y 1 2 F Y 1 3 F Y 1 4 F Y 1 5

GH

S M

illio

ns

NON PERFORMING LOANS

42

.6

39

.1

80

.7

85

.2

10

3.3

9.7%

5.1%

7.9%

6.2% 5.5%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

-

20.0

40.0

60.0

80.0

100.0

120.0

FY 11 FY 12 FY 13 FY 14 FY 15

GH

S M

illio

ns

NPLs NPL Ratio

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Profit DriversCOST-TO-INCOME-RATIO

50.9%

36.6%

33.8% 32.6%

35.9%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

FY 11 FY 12 FY 13 FY 14 FY 15

COST OF FUNDS

10.4%

16.5%

17.8%

18.7%

17.0%

0.0%

4.0%

8.0%

12.0%

16.0%

20.0%

24.0%

FY 11 FY 12 FY 13 FY 14 FY 15

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Summarized Balance Sheet FY 2015

(GHS ‘000) FY 2015 3Q 2015 FY 2014 ΔY/Y

Investments in Government Securities 291,868 956,491 409,217 (29%)

Loans and Advances to Customers 1,805,285 1,529,894 1,337,205 35%

Other Assets 1,133,597 439,803 890,053 27%

Fixed Assets 133,750 107,006 78,917 69%

Total Assets 3,364,500 3,033,194 2,715,392 24%

Total Deposits 1,602,832 1,397,099 1,395,841 15%

Borrowings 1,113,452 998,543 827,455 35%

Other Liabilities 128,717 163,397 92,555 39%

Shareholders Equity 519,499 474,155 399,541 30%

Total Liabilities and Shareholders Equity 3,364,500 3,033,194 2,715,392 24%

Earnings per share (GHS per share) 0.3032 0.2161 0.2611 16%

Dividends per share (GHS per share) 0.0970 N/A 0.0810 20%

Return on Assets (%) 4.9 5.2 5.3 (8%)

Return on Equity (%) 32.0 33.3 35.8 (11%)

Capital Adequacy Ratio (%) 21.4 20.1 21.8 (2%)

Cost-to-Income Ratio (%) 35.9 36.5 32.6 10%

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Growing Asset Base 2011-2015

TOTAL ASSETS

TOTAL ASSET MIX

80

9.4

1,1

62

.9

1,5

64

.1

2,7

15

.4

3,3

64

.5

-

500.0

1,000.0

1,500.0

2,000.0

2,500.0

3,000.0

3,500.0

4,000.0

FY 11 FY 12 FY 13 FY 14 FY 15

GH

S M

illio

ns

20

15

20

14 Cash & Bank

Balances9%

Loans & Advances

49%Property & Equipment

3%

Investments15%

Other Assets24%

Cash & Bank Balances

7%

Loans & Advances

54%

Property & Equipment

4%

Investments9%

Other Assets26%

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Loan Portfolio

LOAN DISTRIBUTION BY SECTOR

89

.4%

90

.8%

87

.5%

83

.7%

95

.3%

10

.6%

9.2

%

12

.5%

16

.3% 4

.7%

FY 11 FY 12 FY 13 FY 14 FY 15

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Corporate Retail

LOAN DISTRIBUTION BY CUSTOMER TYPE

411 m 747m 980 m 1,337mTOTAL LOANS

1,806m

20

15

20

14

Agriculture<1%

Commerce & Finance

19%

Construction25%

Electricity, Gas & Water17%

Manufacturing3%

Mining & Quarrying

3%

Miscellaneous5% Government

14% Services12%

Transport, Storage & Communication

2%

Agriculture<1%

Commerce & Finance

21%

Construction20%

Electricity, Gas & Water26%

Manufacturing3%

Mining & Quarrying

2%

Miscellaneous4%

Government7%

Services 10%

Transport, Storage & Communication

3%

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Deposit Portfolio 2011-2015

DEPOSIT MIX BY TYPE

65

.7%

74

.9%

73

.0%

67

.4%

69

.4%

34

.3%

25

.1%

27

.0%

32

.6%

30

.6%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

FY 11 FY 12 FY 13 FY 14 FY 15

Local Currency Foreign Currency

CUSTOMER DEPOSITS 586.8m 706.7m 799.2m 1,348.2m 1,544.5m

DEPOSIT MIX BY CURRENCY

50

.0%

52

.4%

46

.0%

45

.6%

46

.3%

46

.9%

43

.3%

48

.9%

50

.5%

48

.5%

3.1

%

4.3

%

5.1

%

3.9

%

5.2

%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

FY 11 FY 12 FY 13 FY 14 FY 15

Current Time Savings

586.8m 706.7m 799.2m 1,348.2m 1,544.5mCUSTOMER DEPOSITS

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Branch Expansion & Deposit Growth

18

19

20

21

25

586.8

706.7

799.2

1,348.2

1,544.5

0

5

10

15

20

25

30

FY 2011 FY 2012 FY 2013 FY 2014 FY 2015

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

Branch Network Customer Deposits

GH

S M

illio

ns

CAGR 27.4%CAGR 8.6%

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Funding Mix

75

.6%

68

.4%

53

.3%

51

.3%

47

.6%

13

.0%

18

.6%

22

.2%

18

.4%

19

.3%

11

.4%

11

.2%

24

.5%

30

.5%

33

.1%

F Y 1 1 F Y 1 2 F Y 1 3 F Y 1 4 F Y 1 5

Deposits Equity Borrowing

809.3m 1,162.9m 1,564.1m 2,715.4mTOTAL ASSETS

3,364.5m

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Capital

RETURN ON AVERAGE EQUITY CAPITAL ADEQUACY RATIO

11.6%

20.0% 19.4%

21.8%21.4%

5.0%

7.5%

10.0%

12.5%

15.0%

17.5%

20.0%

22.5%

25.0%

FY 11 FY 12 FY 13 FY 14 FY 15

Regulatory Minimum: 10%

20.2%

34.8%37.8%

41.7%36.2%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

FY 11 FY 12 FY 13 FY 14 FY 15

RETURN ON AVERAGE ASSETS

2.6%

5.2%

6.9% 6.7%

5.5%

0.0%

2.0%

4.0%

6.0%

8.0%

FY 11 FY 12 FY 13 FY 14 FY 15

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Share Price Chart

0.50

0.60

0.70

0.80

0.90

1.00

1.10

1.20

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

4,500,000

5,000,000

Volume Traded Price (GHS)

Min Price: GHS 0.77Max Price: GHS 1.15End of Period Price: GHS 1.00

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Pricing Evolution

PRICE-TO-EARNINGS RATIO PRICE-TO-BOOK RATIO

4.1

1x

4.0

3x

5.6

9x

3.8

7x

3.3

0x

F Y 1 1 F Y 1 2 F Y 1 3 F Y 1 4 F Y 1 5

0.7

9x

1.0

0x

1.8

5x

1.3

9x

1.0

6x

F Y 1 1 F Y 1 2 F Y 1 3 F Y 1 4 F Y 1 5

2 0 1 5 A N N U A L R E P O R T P R E S E N T A T I O N

STRATEGY & OUTLOOK

A N N U A L R E P O R T P R E S E N T A T I O N | 2 0 1 5

Strategy & Outlook

People+

Technology

Risk Management & Compliance

• Implement a comprehensive performance management and reward systems.

• Deepen staff skills and knowledge.

• Develop and implement structured career progression and succession planning program.

• Enhance organizational competence.

• Implement workplace health and safety program.

• Employ cutting-edge technology to deliver enhanced tailor-made solutions for our corporate customers to offer themconvenience and real-time banking.

• Enhance forex generating capacity to ensure we meet forex needs of our customers.

• Enhance relationship management and product knowledge to ensure we meet forex needs of customers

• Leverage on growth in digital and mobile technology to develop cutting edge solutions that will offer customers

convenience and also reach out to the unbanked.

• Enhance transaction and process efficiency through technology.

• Continuous and sustained investments in technology to ensure development of up-to-date, efficient products and

services.

• Enhance loan monitoring and early-detection toolkits to improve quality of loan portfolio.

• Maintain low NPL ratio.

• Continuously develop risk management and compliance culture amongst staff through training and other staffengagements.

• Ensure adherence to regulatory requirements and best practice compliance procedures.

Retail Banking

CorporateBanking

• Develop e-payment platforms with emphasis on digital channels.

• Leverage on growing card schemes to offer diversified card services for enhanced customer experience, positivelyimpacting on our customer base and translating into increased deposits.

• Promote financial inclusion by deploying digital solutions to offer branchless banking services.

• Refresh existing products and services by leveraging on enhanced technology to improve customer experience andmarket competitiveness.

2 0 1 5 A N N U A L R E P O R T P R E S E N T A T I O N

THANK YOUQ&A