Bank of Baroda Uganda : BARODA JUNE FINANCIALS-1

SUMMARISED CONSOLIDATED UNAUDITED FINANCIAL STATEMENT FOR THE SIX MONTHS PERIOD ENDED AT JUNE 30, 2023

1. Summary consolidated statement of profit or loss and other comprehensive income for six months period ended June 30, 2023

	"Six months	"Six months	"Year ended
	period ended	period ended	December 31,
	June 30, 2023	June 30, 2022	2022 (Audited)
	(Unaudited)	(Unaudited)	UShs'000"
	UShs'000"	UShs'000"
Interest income	122,593,795	101,209,055	227,666,481
Interest expense	(38,987,446)	(25,632,326)	(56,746,719)
Net interest income	83,606,349	75,576,729	170,919,762
Non-interest income	20,438,387	18,457,986	34,071,677
Operating expenses	(24,120,300)	(16,813,137)	(37,009,688)
Impairment allowance on financial	10,223,095	(1,270,150)	(11,065,014)
assets
Profit before tax	90,147,531	75,951,428	156,916,737
Taxation	(21,883,892)	(16,574,368)	(34,731,723)
Profit from continuing operations	68,263,639	59,377,060	122,185,014
(Loss) / (gain) from discontinued	(52,550)	20,954	10,952
operations (net of tax)
Profit for the period	68,211,089	59,398,014	122,195,966
Other comprehensive income
Items that are or may be
subsequently reclassified to
profit or loss:
"Investment in government	9,646,627	(19,219,851)	(13,789,664)
securities at FVTOCI - net change
in fair value (net of tax)"
"Investment in government	(770,657)	(1,226,378)	(2,777,317)
securities at FVTOCI -reclassified
to profit or loss (net of tax)"
Gain on property revaluation	7,061,465	-	-
Other comprehensive income	15,937,435	(20,446,229)	(16,566,981)
(net of tax)
Total comprehensive income for	84,148,524	38,951,785	105,628,985
the period
Earnings per share
Number of shares	15,000,000	2,500,000	2,500,000
Basic & diluted earning per	9.10	47.50	48.87
share (annualised) continuing
operations
Basic & diluted earning per share	9.09	47.52	48.88
(annualised) continuing and
discontinued operations

2. Summary consolidated statement of financial position

	"As at	"As at	"As at
	June 30, 2023	June 30, 2022	December 31,
	(Unaudited)	(Unaudited)	2022 (Audited)
	UShs'000"	UShs'000"	UShs'000"
Assets
Cash and balances with Bank of	240,675,965	231,728,667	228,514,586
Uganda
Due from group companies	3,206,595	7,904,718	6,292,990
Investment in government	889,554,906	781,094,110	787,992,707
securities
Deposits and balances due from	346,470,805	262,905,651	282,869,624
other financial institutions
Loans and advances to customers	1,016,671,017	1,015,992,566	1,089,050,974
Other assets	5,446,516	6,121,654	5,235,400
Current tax receivable	-	1,970,419	364,885
Property, equipment and right of	37,096,549	27,887,841	27,053,210
use assets
Intangible assets	62,636	105,492	76,955
Deferred tax asset	-	7,617,343	7,681,070
Assets of disposal groups	82,790	727,461	716,765
Total assets	2,539,267,779	2,344,055,922	2,435,849,166
Equity and liabilities
Equity

3. Summary consolidated statement of changes in equity for six months period ended June 30, 2023

Particulars	Regulatory	Revaluation	Fair value	Total	Proposed	Ordinary	Retained	Total
	credit risk	reserve	through OCI	reserves**	dividend	Share Capital	earnings	UShs'000
	reserve*	UShs'000	reserve	UShs'000	UShs'000	UShs'000	UShs'000
	UShs'000		UShs'000
Six months ended June 30, 2022 (Unaudited)
Balance as on January 1, 2022 (Audited)	-	7,860,737	4,115,906	11,976,643	50,000,000	25,000,000	467,713,346	554,689,989
Profit for the period	-	-	-	-	-	-	59,398,014	59,398,014
Transfer of excess depreciation on revaluation (net of tax)	-	(196,518)	-	(196,518)	-	-	196,518	-
Transfer to FVTOCI reserves (net of tax)	-	-	(19,219,851)	(19,219,851)	-	-	-	(19,219,851)
Recycling of government securities at FVTOCI (net of tax)	-	-	(1,226,378)	(1,226,378)	-	-	-	(1,226,378)
Dividends payable					(25,000,000)
Balance at June 30, 2022 (Unaudited)	-	7,664,219	(16,330,323)	(8,666,104)	25,000,000	25,000,000	527,307,878	568,641,774
Year ended December 31, 2022 (Audited)
Balance as on January 1, 2022 (Audited)	-	7,860,737	4,115,906	11,976,643	50,000,000	25,000,000	467,713,346	554,689,989
Profit for the year	-	-	-	-	-	-	122,195,966	122,195,966
Transfer from regulatory reserves	-	-	-	-	-	-	-	-
Transfer of excess depreciation on revaluation (net of tax)	-	(393,037)	-	(393,037)	-	-	393,037	-
Transfer to FVTOCI reserves (net of tax)	-	-	(13,789,664)	(13,789,664)	-	-	-	(13,789,664)
Recycling of government securities at FVTOCI (net of tax)	-	-	(2,777,317)	(2,777,317)	-	-	-	(2,777,317)
Dividends paid					(50,000,000)			(50,000,000)
Dividends proposed	-	-	-	-	25,000,000	-	(25,000,000)	-
Balance at December 31, 2022 (Audited)	-	7,467,700	(12,451,075)	(4,983,375)	25,000,000	25,000,000	565,302,349	610,318,974
Six months ended June 30, 2023 (Unaudited)
Balance as on January 1, 2023 (Audited)	-	7,467,700	(12,451,075)	(4,983,375)	25,000,000	25,000,000	565,302,349	610,318,974
Profit for the period	-	-	-	-	-	-	68,211,089	68,211,089
Transfer of excess depreciation on revaluation (net of tax)	-	(390,708)	-	(390,708)	-	-	390,708	-
Gain on revaluation(net of tax)	-	7,061,465	-	7,061,465	-	-	-	7,061,465
Issue of bonus shares	-	-	-	-	-	125,000,000	(125,000,000)	-
Transfer to credit risk reserve	7,404,115			7,404,115	-	-	(7,404,115)	-
Transfer to FVTOCI reserves (net of tax)	-	-	9,646,627	9,646,627	-	-	-	9,646,627
Recycling of government securities at FVTOCI (net of tax)	-	-	(770,657)	(770,657)	-	-	-	(770,657)
Dividends received from Baroda Capital Markets (Uganda) Limited							(350,000)	(350,000)
Dividends payable- additional proposed dividend	-	-	-	-	5,000,000	-	(5,000,000)	-
Balance at June 30, 2023 (Unaudited)	7,404,115	14,138,457	(3,575,105)	17,967,467	30,000,000	150,000,000	496,150,031	694,117,498

4. Summary consolidated statement of cash flows for six months period ended June 30, 2023		5. Other disclosures as at June 30, 2023
	"Six months	Six months	Year ended			"Six months	Six months	"Year ended
	period ended	period ended	December 31,			period ended	period ended	December
	June 30, 2023	June 30, 2022	2022			June 30, 2023	June 30,	31, 2022
	(Unaudited)	(Unaudited)	(Audited)			(Unaudited)	2022	(Audited)
	UShs'000"	UShs'000"	UShs'000"			UShs'000"	(Unaudited)	UShs'000"
Cash flows from operating activities							UShs'000"
Profit before tax	90,147,531	75,951,428	156,916,737
	Contingent liabilities
Adjustments for:
				Letters of credit	73,046,595	94,410,879	74,834,197
Depreciation and amortization	1,424,994	1,397,066	2,806,402
	Guarantees and	96,507,590	93,275,782	97,366,443
Loss on sale of property and equipment	(3,082)	(2,312)	-
	performance bonds
Impairment of loans and advances	(10,223,095)	1,270,150	11,065,014
	Total	169,554,185	187,686,661	172,200,640
Fair value adjustments	12,679,957	(29,208,899)	(23,667,116)
(Loss)/gain from discontinued operations	(52,550)	20,954	10,952
	Commitments
Changes in;
					Undrawn credit lines	383,758,243	326,792,602	322,331,730
Loans and advances to customers (net)	82,603,052	(75,166,466)	(158,019,738)
Other assets	(211,116)	(1,430,604)	(544,350)		Total	383,758,243	326,792,602	322,331,730
Government securities	(108,677,504)	(67,669,869)	(83,803,839)
Cash reserve requirement	(9,660,000)	(44,160,000)	(48,340,000)
Customer deposits	(24,553,535)	117,748,086	185,081,355
	Non-performing loans	18,757,783	1,595,609	14,954,653
Balances due to banking institutions	55,752,648	(196,384)	(340,208)
	and other assets
Assets and liabilities of disposal groups	455,101	(20,954)	(10,952)
	Interest in suspense	490,197	90,113	770,987
Other liabilities	(16,377,178)	25,320,250	8,247,545
	Bad debts written off	759,248	7,984	7,984
Cash used in operating activities	73,305,223	3,852,447	49,401,802
	Large loan exposures	345,360,667	360,857,000	390,203,806
Income tax paid	(9,347,101)	(16,525,235)	(34,803,318)
	Insider loan	103,577	54,016	95,965
Net cash used in operating activities	63,958,122	(12,672,788)	14,598,484
Cash flows from investing activities					exposures
Purchase of property and equipment	(1,477,231)	(205,788)	(802,537)
Proceeds from sale of properties and equipment	4,932	4,350	52,618		Capital position
Purchase of other intangible assets	(8,400)	-	-
	Core capital	620,961,700	497,919,578	569,653,157
Net cash used in investing activities	(1,480,699)	(201,438)	(749,919)
	Supplementary capital	24,333,073	17,944,850	18,540,680
					Total qualifying	645,294,772	515,864,428	588,193,837
Cash flows from financing activities
				capital
Dividends paid	-	(25,000,000)	(50,000,000)
	Total risk weighted	1,730,995,695	1,456,292,113	1,731,643,044
Net cash used in financing activities	-	(25,000,000)	(50,000,000)
	assets (RWA)
					Core capital to RWA	35.87%	34.19%	32.90%
Net changes in cash and cash equivalents for the period/year	62,477,423	(37,874,226)	(36,151,435)
	Total qualifying capital	37.28%	35.42%	33.97%
Cash and cash equivalents at the beginning of the period/ year	348,716,370	384,867,805	384,867,805
Cash and cash equivalents at the end of the period/year	411,193,793	346,993,579	348,716,370		to RWA

Share capital	150,000,000	25,000,000	25,000,000
Reserves	17,967,467	(8,666,104)	(4,983,375)
Proposed dividend	30,000,000	25,000,000	25,000,000
Retained earnings	496,150,031	527,307,878	565,302,349
Total shareholders' equity	694,117,498	568,641,774	610,318,974
Liabilities
Customer deposits	1,753,282,286	1,709,963,810	1,777,297,079
Repurchase agreement and	64,478,162	8,869,338	8,725,514
borrowed funds
Other liabilities	22,853,747	56,303,631	39,230,925
Current tax payable	856,872	-	-
Deferred tax	3,633,964	-	-
Liabilities of disposal groups	45,250	277,369	276,674
Total liabilities	1,845,150,281	1,775,414,148	1,825,530,192
Total equity and liabilities	2,539,267,779	2,344,055,922	2,435,849,166

• The regulatory credit risk reserve represents the excess of the impairment allowance on loans and advances as computed in accordance with the Financial Institutions Act, 2004 and as amended over the impairment allowance on loans and advances as computed in accordance with International Financial Reporting Standards. This reserve is not distributable.
• The total reserves represent the sum of regulatory credit risk reserve, revaluation reserve and fair value through OCI reserve.

Highlights of the results

The Bank has posted a y-o-y growth of 2.53% in deposits as on June 30, 2023.

The Bank has posted a y-o-y growth of 0.07% in loans and advances (Net) as on June 30, 2023.

The Bank has posted a y-o-y growth of 14.84% in Net profit after tax for the period ended June 30,2023.

The Bank's networth has also grown by 22.07% y-o-y as on June 30, 2023.

The Bank's Capital Adequacy Ratio as on June 30, 2023 is well above the minimum norms Core Capital to Risk Weighted Assets (RWA) 35.87% against the minimum requirement of 12.50%.

Total Qualifying Capital to RWA: 37.28% against the minimum requirement of 14.50%

Basis of preparation

The interim financial statements are prepared in compliance with International Financial Reporting Standards (IFRS) and the Accounting Policies used are consistent with those used in the annual financial statements for the year ended December 31, 2022.

Board approval

Board of Directors have approved the publication of the financials of the Bank for half year ended June 30, 2023 in its meeting dated September 25, 2023. Further, payment of interim dividend for the year 2023 has not been recommended.

A copy of the summarised unaudited financial statements can be obtained from our website www.bankofbaroda.ugas well as from our Head office.

Mrs. Nsanze R Vastina	Shashi Dhar	Prithvi Singh Bhati
Chairperson	Managing Director	Executive Director

SERVING THE PEOPLE OF UGANDA SINCE 1953

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Our off-Site ATMs: Namanve Industrial Area, Mukono | Njeru Industrial Area, Jinja

Website: www.bankofbaroda.ug Head Office: Plot 18, Kampala Road, P.0 Box 7197, Kampala Tel: [phone] Bank of Baroda (Uganda) Limited is regulated by Bank of Uganda and Customer Deposits are protected by the Deposit Protection Fund of Uganda up to UGX 10 Million, Terms and Conditions Apply.