SECOND QUARTER REPORT April to June 2015

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1 SECOND QUARTER REPORT April to June 2015

2 01 is proud to be the national bank of the Maldives. We touch the lives of almost every citizen of the country through our extensive network of branches, ATMs, cash agents and online banking facilities. This privilege brings with it great responsibility which we take extremely seriously. We understand that we play a pivotal role as an engine of growth and a partner for success for thousands of individuals, families and businesses. Our aim is to play an active role in community development and to create long-term value for our shareholders. Our strategic pillars are Financial Inclusion, Customer Service and Support for Business. Our strategic foundations are People Excellence and Robust Risk Management. We are firmly focused on being a professionally managed, customer-oriented, financially robust organization which follows international best practices.

3 02 ONE BANK IS INVESTING IN MALDIVES OVER 250,000 CUSTOMERS 27 BRANCHES IN ATMs IN 19 ATOLLS ATOLLS CASH AGENTS IN 100 ISLANDS 3,500 POS MACHINES 2,000 DHONI BANKING TRIPS 16,000 PENSION PAYMENTS MVR 8 BILLION LOANS TO INDIVIDUALS & BUSINESSES MVR 600 MILLION GOVERNMENT LOAN SCHEMES OVER 800 JOBS WITH 1/3 IN ATOLLS 99% STAFF ARE MALDIVIANS THAT BANK IS BANK OF MALDIVES

4 03 Our Business Strengths Solid Financial Platform Deposit base MVR 13.6 billion Assets MVR 17.5 billion Strong capital position well above regulatory requirement Strong Customer Base Leading market share in Retail, Corporate and SME segments Over 250,000 customers Market leader in self-service banking with largest number of online banking and ATM users Leadership in Innovation First to launch POS services in Maldives First to launch cash and cheque deposit machines First to launch Internet Banking First to launch Mobile Banking Leadership in Service Delivery Largest network of branches, ATMs and POS terminals in Maldives Exclusive acquirer and issuer of American Express cards in Maldives Only principal member in the Maldives for Visa and MasterCard Worldwide network of foreign correspondent banking relationships Largest network of Agents delivering POS Banking Services to atoll communities Experienced and Dedicated Team Largest employer in the banking sector with over 800 dedicated employees 99% of our workforce are locals with almost one third employed in the Atolls Strong executive leadership team with experience across many countries and banking markets

5 04 OUR NETWORK 09 BRANCH SELF SERVICE BANKING ATM CASH AGENT ONE BANK IS INVESTING IN MALDIVES

6 05 TABLE OF CONTENTS 06 SUMMARY 1 0 GOVERNANCE 06 BUSINESS DEVELOPMENTS 1 3 CORPORATE GOVERNANCE COMPLIANCE 07 KEY FINANCIAL INFORMATION 1 3 REPORTING COMPLIANCE 1 0 INVESTOR INFORMATION

7 06 1. SUMMARY financial performance continued its positive trajectory during the second quarter with Profit After Tax up 4% on the previous quarter despite one-off costs in the latter period such as Ramazan bonus. Encouragingly year to date Profit After Tax is up 31% on the first half of Most income lines performed well while costs were well controlled. Capital levels remained well in excess of regulatory requirements. During the first half of 2015, new lending to Maldivian individuals and businesses increased by 47% versus the same period last year as the Bank took steps to enhance its suite of loan products to make them more accessible. Investment in financial inclusion and customer service continued with the program to provide basic cash services to all inhabited islands reaching the 100 island milestone, while the Bank also extended its Self-Service Banking program to a seventh location. 2. BUSINESS DEVELOPMENTS Our 32nd Annual General Meeting (AGM) was held on 27th May, at which the highest dividend payout in the Bank s history of MVR 86.1 million (MVR 16 per share) was declared for At the AGM, 3 new directors were appointed to the Bank s Board of s. Ms. Fareeha Shareef and Ms. Aishath Arsha were appointed as Government s, while Ms. Ibthishama Ahmed Saeed (representing Champa Brothers Maldives Pvt. Ltd) was elected by the General Shareholders. Mr. Ismail Mukhthaba did not seek re-election and therefore stepped down from the Board. The Board now consists of its full strength of 11 members. Ms. Fareeha Shareef has been appointed as the Bank s Chairperson. The financial inclusion programme to deliver basic cash services (through bank-appointed agents) to all inhabited islands reached the 100 island milestone during the quarter. A ceremony took place at Maafushi Island to mark the occasion at which MMA Governor, Dr. Azeema Adam, attended as Chief Guest. It is expected to roll out these cash services to all inhabited island communities by the end of the year. In an effort to make our loan products more accessible, some changes were made to our Lui Express and Home Loan products, while a dedicated loan product was introduced for teachers. On 16th June, we opened the doors to our 7th Self Service Banking Unit at MOFT, Ameenee Magu. The 4 ATMs in this strategic location in Male will be available 24 hours per day and will provide the full range of self-service facilities including cash and cheque deposits, cash withdrawals, account transfers and payments.

8 07 3. KEY FINANCIAL INFORMATION Income Statement ( Unaudited ) - Quarter ended 30 June 2015 (All amounts in MVR'000 unless otherwise stated) Q Q Gross Income Interest income and similar income 366, , , ,183 Interest expense and similar charges (28,482) (38,364) Net Interest Income 191, ,819 Fee and commission income Fee and commission expense 113, ,289 (42,962) (55,654) Net Fee and commission income 70,800 62,635 Other Operating Income 32,155 33,453 Total Operating income 294, ,907 Operating Expenses (85,425) (89,838) Operating Profit (Profit before Provisions) Provision for bad and doubtful debts Profit before tax Income tax expense Net Profit / (Loss) for the quarter 209,210 (55,216) 153,994 (38,499) 115, ,069 (48,124) 147,945 (36,986) 110,959 Basic Earning per share (annualised) 86 82

08 Statement of Financial Position ( Unaudited ) - Quarter ended 30 June 2015 (All amounts in MVR'000 unless otherwise stated) 30 Jun 2015 31 Mar 2015 Cash, Short Term Funds & Balances with MMA Loans

Borrowings Other liabilities Total Liabilities Share Capital Share Premium Reserves Total Shareholders' Equity Total Equity And Liabilities 8,244,902 5,599,556 104,888 2,962,710 20 336,937 244,399

9 08 Statement of Financial Position ( Unaudited ) - Quarter ended 30 June 2015 (All amounts in MVR'000 unless otherwise stated) 30 Jun Mar 2015 Cash, Short Term Funds & Balances with MMA Loans and Advances Financial Investments - Available for Sale Financial Investments - Held to Maturity Investments in Subsidiaries Property, Plant and Equipment Other Assets Total Assets Deposits Borrowings Other liabilities Total Liabilities Share Capital Share Premium Reserves Total Shareholders' Equity Total Equity And Liabilities 8,244,902 5,599, ,888 2,962, , ,399 17,493,412 13,596, , ,875 14,981, ,096 93,000 2,149,734 2,511,830 2,511,830 17,493,412 8,087,430 5,937, ,888 2,322, , ,957 17,081,118 13,458, , ,001 14,642, ,096 93,000 2,076,053 2,438,149 2,438,149 17,081,118 Nandana Senevirathne Chief Financial Officer Andrew Healy CEO & Managing Ibrahim Mohamed Chairperson, Audit & Risk Management

10 09 Statement of Cash Flows ( Unaudited ) - Quarter ended 30 June 2015 (All amounts in MVR'000 unless otherwise stated) Q Q Cash Flows from Operating Activities 266,081 Changes in Operating Assets and Liabilities 392, , ,177 Cash Flows from Investing Activities (929,316) (127,497) Cash Flows from Financing Activities (39,687) Net increase in Cash and Cash Equivalents (310,475) Cash and Cash Equivalents at beginning of quarter 3,116,570 (70,703) 785,380 2,331,190 Cash and Cash Equivalents at end of the quarter 2,806,094 3,116,570

11 10 4. INVESTOR INFORMATION Highest Traded Price Lowest Traded Price Weighted Average Traded Price Market Capitalization Price Earnings - Ratio Dividend Yield MVR 135 MVR 123 MVR MVR 661,976, % 5. GOVERNANCE 5.1 Frequency of Board Meetings The number of meetings held by the Board of s and its sub-committees during the 02nd quarter of 2015 were as follows: No. of Meetings Board of s Board Credit Audit & Risk Management Appointment, Nomination & Remuneration 06 (Six) 01 (One) 08 (Eight) 10 (Ten) 5.2 Activities carried out by the Board & Board s Reviewed and approved the Bank s Financial Statements for 2014 and Quarter In line with regulatory requirements, held the Bank s 32nd Annual General Meeting on 27th May 2015 Appointed Ms. Fareeha Shareef as Chairperson of the Board of s as per Article 79 of the Articles of Association, while CEO, Mr. Andrew Healy, was re-appointed as Managing. Reviewed the Management Letter for 2014 presented by External Auditors, Ernst & Young Recommended to shareholders the re-appointment of Ernst & Young as External Auditors for 2015 Reviewed Board Remuneration and recommended revised terms to shareholders Approved the sale of Bank s subsidiary company asset, Reethi Beach Resort Reviewed and approved a new Pay and Reward Framework Carried out Board Evaluation for the year 2014

12 Changes in the Board of s Members of Board of s 01st January 2015 to 27th May 2015 As per the Articles of Association of the Bank, the Board shall consist of 11 members, which includes 08 s and 03 Public Elected s. The quarter began with a total strength of 09 s in the Board s composition with 02 s position being vacant. The following were the 09 s on the Board from the start of the year until the AGM on 27th May. 01 Name of Category Designation Mr. Andrew Healy & Executive CEO & MD Respective BCC Mr. Mohamed Shareef 02 & Executive BCC 03 Mr. Ibrahim Mohamed Elected & Non-Executive Chairperson of ARM BCC, ANR & ARM 04 Mr. Mohamed Abdul Sattar Elected & Non-Executive Chairperson of ANR BCC, ANR & ARM 05 Mr. Murthala Mohamed Didi & Non-Executive BCC & ANR 06 Mr. Abdul Haris & Non-Executive BCC & ANR 07 Mr. Mohamed Luveiz & Non-Executive BCC, ANR & ARM 08 Mr. Ismail Mukhthaba Elected & Non-Executive ARM 09 Mr. Mohamed Umar & Non-Executive A RM BCC = Board Credit ; ANR = Appointment, Nomination & Remuneration ; ARM = Audit & Risk Management The post of the Chairman of the Board was vacant. The Articles of Association provide that any who is to chair the Board meetings needs to be a. Further the Chairman has to be an as per the Corporate Governance Code issued by CMDA. Board meetings have been carried out by the Bank in accordance with these requirements.

13 12 Members of Board of s 27th May 2015 to 30th June 2015 Following the 32nd Annual General Meeting of the Bank held on 27th May 2015, Ms. Fareeha Shareef and Ms. Aishath Arsha were appointed as Government s and Ms. Ibthishama Ahmed Saeed (representing Champa Brothers Maldives Pvt. Ltd) was elected by the General Shareholders to the Bank s Board. Mr. Ismail Mukhthaba did not seek re-election and therefore ended his tenure on 27th May The Board now consists of its full strength of 11 members with the current directors as follows: 01 Name of Category Designation Ms. Fareeha Shareef Chairperson of Board Respective BCC Mr. Andrew Healy Executive & 02 CEO & MD BCC 03 Mr. Mohamed Shareef Executive & BCC 04 Mr. Ibrahim Mohamed Elected Chairman of ARM BCC, ANR & ARM 05 Mr. Mohamed Abdul Sattar Elected Chairman of ANR BCC,ANR & ARM 06 Mr. Murthala Mohamed Didi BCC & ANR 07 Mr. Abdul Haris BCC, ANR 08 Mr. Mohamed Luveiz ANR & ARM 09 Mr. Mohamed Umar A RM 10 Ms. Ibthishama Ahmed Saeed Elected BCC 11 Ms. Aishath Arsha A RM BCC = Board Credit ; ANR = Appointment, Nomination & Remuneration ; ARM = Audit & Risk Management

14 13 6. CORPORATE GOVERNANCE COMPLIANCE The Bank is committed to achieving high standards of corporate conduct, and in this regard, recognizes the importance of having in place a set of well-defined corporate governance practices and processes to enhance corporate performance and accountability in the Bank. During the quarter, the Bank worked as always to achieve compliance with the provisions of its Corporate Governance Code which articulates best corporate governance practices. The Bank has also complied with the provisions of its internal policies and procedures that govern its day to day operations. 7. REPORTING COMPLIANCE This report has been prepared taking into account the CMDA Circular on Minimum Quarterly Reporting Requirements for Listed Companies.

THIRD QUARTER REPORT July to September 2018

THIRD QUARTER REPORT July to September 2018 01 BankofMaldives(BML)istheleadingfinancialinstitutioninMaldives.Weareafullservicebankengagingacrossthecompletespectrumofpersonal,businessand corporatefinancialservices.