REG - Bank of Africa - Annual Financial Report

Bank of Africa SAAnnouncement

25/03/2025 10:00

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RNS Number : 0627C  Bank of Africa  25 March 2025

ir-bankofafrica.ma

 

BANK OF AFRICA

BMCE GROUP

 

ANNUAL RESULTS

31 DECEMBER 2024

 

 

A CONFIRMED GROWTH DYNAMIC IN 2024

 

BANK OF AFRICA - BMCE Group's Board of Directors met on Friday 21 March 2025.
It reviewed the activity of the Bank and of the Group for the financial year
ended 31 December 2024 and drew up the financial statements for the period in
question.

 

The brochure containing the 2024 annual financial statements, prepared under
IAS/IFRS, and the notes to the financial statements are published on the
www.ir-bankofafrica.ma (http://www.ir-bankofafrica.ma) website.

 

CONSOLIDATED ACTIVITY (MAD MILLIONS)

 

NET INCOME ATTRIBUTABLE TO SHAREHOLDERS OF THE PARENT
COMPANY

 

+29%

December 2023

December 2024

 

Very significant growth in BANK OF AFRICA's Net Income Attributable to
Shareholders of the Parent Company, +29% to MAD 3.4 billion.

 

NET BANKING INCOME

 

+10%

December 2023

December 2024

 

Net Banking Income up by +10% to MAD 18.7 billion at 31 December 2024.

 

CUSTOMER LOANS

(excluding resales)

 

+2%

December 2023

December 2024

 

Customer loans - excluding Resales - up by +2% to MAD 223 billion at 31
December 2024.

 

CUSTOMER DEPOSITS

(excluding repos)

 

+8%

December 2023

December 2024

 

Growth in deposits - excluding Repos - of +8% to MAD 256 billion at the end of
2024.

 

PARENT ACTIVITY (MAD MILLIONS)

 

NET INCOME

 

+21%

December 2023

December 2024

 

Exceptional increase in the Bank's Net Income of +21% to MAD 1.9 billion for
the 2024 financial year.

 

NET BANKING INCOME

 

+16%

December 2023

December 2024

 

Solid growth in the Bank's Net Banking Income in Morocco, up by +16% to MAD
8.3 billion.

 

CUSTOMER LOANS

(excluding resales)

 

+6%

December 2023

December 2024

 

Growth in customer loans - excluding Resales - of +6% to MAD 142 billion at 31
December 2024.

 

CUSTOMER DEPOSITS

(excluding repos)

 

+8%

December 2023

December 2024

 

Deposits - excluding Repos- up by +8% to MAD 159 billion at the end of 2024.

 

BANK OF AFRICA's Board of Directors paid tribute to its Management and Human
Capital for their ongoing determination, under Chairman Benjelloun's
leadership, to ensure that the pan-African Group remains on a solid growth
trajectory in every country in which it has operations. The Board would also
like to thank its shareholders, customers and stakeholders for their ongoing
confidence.

 

 

FINANCIAL PERFORMANCE DEMONSTRATING SUBSTANTIAL GROWTH

 

THE GROUP

 

Consolidated Net Banking Income up by +10%, driven by growth in Core Business
(net interest income up by +6%, fee income up by +4%) and a significant
increase in market operations in Morocco.

 

Significant improvement in the consolidated cost-to-income ratio in 2024, down
to 46% from 52% in late December 2023, thanks to a 1% decrease in the Group's
expenses combined with Net Banking Income growth.

 

Strong growth in gross operating income of +23% to MAD 10 billion at 31
December 2024.

 

Consolidated cost of risk up by +15% to MAD 3.2 billion compared with MAD 2.7
billion in the previous year.

 

NET INCOME ATTRIBUTABLE TO SHAREHOLDERS OF THE PARENT COMPANY

AT 31 DECEMBER 2024 BY GEOGRAPHICAL REGION

 

EUROPE • 6%

MOROCCO • 49%

SUB-SAHARAN AFRICA • 45%

 

Sustained growth in Net Income Attributable to Shareholders of the Parent
Company, up by +29% to MAD 3.4 billion from MAD 2.7 billion in 2023,
surpassing the 3 billion mark for the first time, driven by positive growth
across all business lines.

 

Consolidated total assets up by +9%, driven by Banking in Morocco and abroad.

 

Shareholders' equity - group share increased by +9% to MAD 29.1 billion at 31
December 2024.

 

Reinforced financial base in 2024 through the issuance of MAD 1 billion
subordinated bond with a loss absorption mechanism and coupon payment
cancellation.

 

IN MOROCCO

 

A strong, +16% Net Banking Income growth to MAD 8.3 billion, driven by all
business lines, an with fee income up +9%  and net interest income up +6%, in
addition to significant growth in income from market operations.

 

NET BANKING INCOME

AT 31 DECEMBER 2024 BY BUSINESS LINE

 

MISCELLANEOUS • 5%

NET INTEREST INCOME • 58%

FEE INCOME • 16%

INCOME FROM MARKET OPERATIONS • 21%

 

Increased operational efficiency measures, with a contained increase of +2% in
general operating expenses, against a backdrop of inflation and IT investment,
thereby reducing the cost-to-income ratio to 45% at the end of 2024 from 51%
in 2023.

 

Significant Gross Operating Income increase of +32% to MAD 4.7 billion.

 

Substantial +21% increase in the Bank's Net Income to MAD 1.9 billion.

 

Positive commercial dynamic, illustrated by +6% increase in customer loans to
MAD 142 billion, particularly equipment loans, which saw a +33% increase,
sustained by the increase in financing granted to businesses.

 

Customer deposits up by +8%, demonstrating effective resource mobilisation,
with a notable +10% rise in non-interest-bearing accounts, such as current
accounts, supported by extra deposits resulting from the tax amnesty.

 

Increase in market share of customer loans by 24 basis points to 12.72% at 31
December 2024 from 12.48% in late 2023.

 

Reaffirmed efforts to improve the loan portfolio, increasing the Bank's
coverage ratio to 64.1% in late 2024 from 62.2% in late 2023 and 60% in 2022,
due to a two-fold increase in provisions from MAD 1.2 billion in 2022 to MAD
2.2 billion in late December 2024.

 

IN AFRICA

 

Net Banking Income up by +3% to 781 million euros, driven by a +3% rise in the
Net Interest Income and preserved fees in a context marked by a +3% increase
in outstanding loans.

 

Controlled increase in general operating expenses of +3%, leading to an
improvement in the cost-to-income ratio to 48% in 2024 from 49% in 2023.

 

Gross operating income up by +4% to EUR 403 million for the 2024 financial
year.

 

Cost of risk down 37% to EUR 43 million at 31 December 2024, compared with EUR
68 million in 2023.

 

+12% growth in BOA Holding's Net Income Attributable to Shareholders of the
Parent company in 2024 to a record EUR 201 million, compared with EUR 180
million at the end of December 2023.

 

Significant growth of +13% in BOA Holding's customer deposits at 31 December
2024, and +3% growth in customer loans against a backdrop of economic
uncertainty in some countries.

 

DIGITAL ACCELERATION AND RENEWED EFFORTS TO SERVE CUSTOMERS

 

Strengthening of Retail Customer Acquisition through Digital Channels, driven
by a dedicated digital acquisition strategy launched in 2024.

 

Expanded features and improved digital experience on BANK OF AFRICA's mobile
banking App, BMCE Direct.

 

Leading bank nation-wide in terms of transactions issued, with a 23.6% market
share of transactions issued to GSIMT. These achievements are supported by a
scalable offer tailored to the different needs of businesses across the entire
transaction spectrum, with the launch of new products such as EBICS and the
ongoing enhancement of digital solutions such as Business Online.

 

Launch of "SCF by BOA", Morocco's first 100% digital and collaborative Supply
Chain Finance platform in 2024. This platform integrates advanced features
such as outsourcing the management of invoice payment schedules, providing
immediate access to competitive financing for buyers and suppliers, optimising
payment terms, and improving the visibility of financial transactions.

 

Significant growth in SME activity, with a +23% increase in the number of new
business relations finalised in 2024 and a +46% increase in the number of
financing packages granted compared with 2023.

 

Diversified offer to support SME growth, notably through the Cap Access by BOA
programme aimed at strengthening SME financial structure by leveraging
subordinated debt, thus facilitating their access to funding.

 

Implementation of dedicated programmes for the tourism sector, including Cap
Hospitality by BOA to actively contribute to the modernisation of the hotel
offering, as well as the "GO Siyaha" and "GO Siyaha Green Growth" initiatives
to support SMEs in the sector.

 

Strengthened relationships with regional operators through the organisation of
several tours with partners across the Kingdom to promote the Bank's new
initiatives.

 

SUSTAINABLE GROWTH AND FINANCIAL INCLUSION AT THE HEART OF THE GROUP'S
DEVELOPMENT MODEL

 

BANK OF AFRICA submitted the first Climate Report by a Moroccan bank to Bank
Al-Maghrib, anticipating the requirements of the ISSB and IFRS S2 standards by
adopting a standardised methodology - GHG Protocol, PCAF - to measure its
emissions and align its reporting with regulator and investor expectations.

 

A target goal of a 30% decrease in BANK OF AFRICA's financed CO2 emissions by
2030 and towards carbon neutrality by 2050 through sector-specific plans. An
annual decrease of 5% in CO₂ emissions from operational activities - Scope 1
& 2 - is also targeted, through improved energy efficiency and increased
use of green energy.

 

Completion of the first structured climate risk assessment, revealing that
approximately 30% of the portfolio presents a moderate risk, while nearly 48%
of the outstanding loans show low vulnerability, reflecting a diversified
portfolio and controlled exposure.

 

Support by BANK OF AFRICA for the Al Wahda thermal power plant in February
2025, as part of a financial structuring combining bank debt and access to the
capital markets, marking a turning point in the financing of major
infrastructure projects in Morocco. This future power plant aims to support
the large-scale integration of renewable energy and contribute to the
reduction of Morocco's carbon footprint.

 

Assistance provided by BANK OF AFRICA, at the initiative of the European
Investment Bank (EIB), in partnership with the Souss-Massa Regional Council,
to 25 local cooperatives through the "Grow & Pitch" programme, funded by
the European Union, aimed at improving their access to international markets.

 

New strategic partnerships between BANK OF AFRICA, Attadamoune Micro-Finance
and BNP Paribas-BMCI, mobilising overall financing of MAD 20 million to
support income-generating activities and empower micro-entrepreneurs.

 

Partnership between BANK OF AFRICA and CHARI Money, a B2B mobile app and
payment institution authorised by Bank Al Maghrib, to accelerate the
digitalisation of local businesses and support Moroccan grocers through
integrated payment and management solutions.

 

STRATEGIC PARTNERSHIPS TO DEVELOP AFRICA'S ECONOMY

 

Strengthening of the partnership between BANK OF AFRICA and the EBRD with a
new EUR 70 million credit line under the GEFF - Green Economy Financing
Facility programme, designed to finance sustainable investment by Moroccan
businesses. This programme aims to support energy efficiency, renewable energy
and circular economy projects, thereby playing a part in the transition to a
green economy.

 

Support and certification of more than 1,200 entrepreneurs through a
structured training, mentoring and networking programme, led by sessions of
the Club de l'Entrepreneuriat (Entrepreneurship Club). These clubs offer
tailor-made support, addressing key issues for the success of very small
businesses and strengthening their capacity for sustainable growth.

 

Support for the OFPPT's Cités des Métiers et des Compétences (Employment
and Skills Groups) in the Rabat-Salé-Kénitra and Souss Massa regions in
developing their incubation and support programme for young entrepreneurs.

 

Implementation of entrepreneurial awareness-raising initiatives reaching 5,000
beneficiaries within universities, encouraging creativity and innovation,
particularly in banking and financial services.

 

Incubation and support for 40 entrepreneurs, leading to the creation of 3
companies through the 3 Blue Space incubators of the ISCAE Group and the Ain
Chock Faculty of Legal, Economic and Social Sciences. This innovative concept
is designed for young project holders, guiding them from the conceptualisation
to the creation of their startups.

 

Completion of a USD 300 million fundraising round with BANK OF AFRICA UK as
the sole manager, with seven leading Indian banks on behalf of Africa Finance
Corporation - AFC, aimed at attracting new capital to Africa and strengthening
infrastructure financing.

 

PROGRAMMES AND INITIATIVES TO PROMOTE EDUCATION AND ENVIRONMENTAL
AWARENESS

 

Conclusion of a strategic partnership between BMCE Bank Foundation for
Education and the Environment and UNESCO, aimed at promoting Morocco's
architectural and cultural heritage, demonstrated by the co-publication of a
collection of works highlighting the treasures of Morocco's heritage.

 

Two new schools in the Medersat.com network obtained the "Eco école"
accreditation, with a total of 40 accredited schools, in partnership with the
the Mohammed VI Foundation for Environmental Protection.

 

Strengthened partnership between BMCE Bank Foundation and ProFuturo, a
European leader in digital education, through the expansion of robotics and
artificial intelligence education to an additional 30 schools within the
network and the organisation of the first "Robotics Medersat.com" competition.
This programme has facilitated the adoption of digital tools by 3,000 students
and 115 teachers.

 

Deployment of the Caravane Bibliotibiss, a mobile caravan focused on digital
literacy, by BMCE Bank Foundation in partnership with the French Institute of
Morocco, in the southern provinces - Laâyoune, Boujdour, Dakhla, and Tarfaya.
The initiative reached 3,543 beneficiaries, with language training provided to
64 teachers, bringing the total number of programme beneficiaries to 13,843.

 

Successful completion of the 13th cohort of baccalaureate (high school)
graduates from the Medersat.com programme, 67.4% of whom are female, achieving
a baccalaureate pass rate of 88%.

 

FONDATION BMCE BANK - KEY FIGURES

 

69 schools, including 6 in sub-Saharan Africa: 2 in Senegal, 1 in Congo
Brazzaville, 1 in Mali, 1 in Rwanda and 1 in Djibouti

 

40 schools awarded the 'Eco-School' label

 

534 total number of teachers, 52% of whom are women

 

17 school supervisors

 

35,800 benefiting pupils, 50% of whom are girls

 

3 780 students benefiting from robotics

 

3718 Medersat.com graduates

 

2 230 students learning Mandarin

 

AWARDS & CERTIFICATIONS

 

BANK OF AFRICA

 

"Morocco's Bank of the Year 2024" awarded by "The Banker", Financial Times
Group, for the 10(th) time since 2000

 

Among the top three banks in Morocco in the Love Brand Awards 2025; a
recognition that testifies to customers' trust and dedication to the brand.

 

Quadruple distinction in 2024, "Africa's Best Bank for SMEs", "Morocco's Best
Bank for SMEs", "Morocco's Best Bank for ESG", and "Morocco's Best Digital
Bank" for the 2023 financial year as part of the "Euromoney Awards for
Excellence".

 

Double recognition in "Excellence in Strategic Sustainability Leadership -
Africa, 2024" and "Outstanding Sustainability Leader in Financial Services -
Morocco, 2024" at the Global Frontier Brand Awards 2024, highlighting its
pioneering role in integrating ESG criteria and its commitment to responsible
finance.

 

"Most Admired Moroccan Financial Brand" at the 5(th) Moroccan edition of Brand
Africa 100 - Morocco's Best Brands organised by Brand Africa 100 and Integrate
Consulting.

 

Named "Most Active Partner Bank in 2023" by the EBRD as part of its Trade
Facilitation Programme.

 

Best Sustainable Development Report in the financial sector, awarded by the
Casablanca Stock Exchange for the 3(rd) consecutive year, according to the new
international standards for Sustainable Development Reporting.

 

Successful renewal of the Integrated Management System (IMS) certification,
covering ISO 50001 for energy efficiency, ISO 14001 for environmental
management, and ISO 45001 for occupational health and safety, following a
joint audit conducted by Bureau Veritas and the Moroccan Standards Institute
(IMANOR).

 

PCI DSS - Payment Card Industry Data Security Standard certification,
attesting to the high standards of security of the Bank's information systems
and its rigorous approach to data security for bank card transactions.

 

BMCE Capital

 

"RSE Engagé - Niveau Exemplaire" label awarded by AFNOR, confirming BMCE
Capital's commitment to social and environmental responsibility.

 

BMCE Capital Conseil

 

ISO 9001 2015 version certification by Bureau Veritas Maroc, demonstrating
BMCE Capital Conseil's commitment to quality and the continuous improvement of
its services.

 

BMCE Capital Gestion

 

Successful renewal of the international ISAE 3402 Type II certification,
attesting to BMCE Capital Gestion's solid internal control system and the
security of its work environment.

 

BANK OF AFRICA Academy

 

"Award in Continuing Education" received at the RH Awards 2024, held in
conjunction with the "Salon Master Plus" trade fair, in recognition of its
excellence in human resources management and innovation.

 

First Moroccan bank to obtain ISO 21 001 certification, demonstrating its
commitment to educational excellence and skills' development.

 

Eurafric Information

 

"Top Employer 2025" certification for the 6(th) consecutive year,
demonstrating its organisational excellence and commitment to its employees.

 

Double ISO 50001 certification for the Data Center, a first in Africa and
Morocco, awarded by Bureau Veritas and IMANOR, affirming the commitment of
BANK OF AFRICA Group and its subsidiary Eurafric Information to adopting
innovative and sustainable solutions, balancing performance with a reduced
environmental impact.

 

AfricTrust, Eurafric Information's trust services brand, receiving official
approval from the Direction Générale de la Sécurité des Systèmes
d'Information - DGSSI, making it the first trust services provider in Morocco
authorised to issue qualified electronic signature and seal stamp.

 

Operation Global Services

 

PCI DSS certification - Payment Card Industry Data Security Standard, an
international security standard guaranteeing the protection of bank card data.

 

PROFILE

 

~ 15,000          EMPLOYEES

~ 6.6                MILLION CUSTOMERS

~ 2,000            POINTS OF SALE

32                    COUNTRIES

 

RATINGS

 

MOODY'S:

BA1,

STABLE OUTLOOK

 

LSEG:

ESG score

B+

74/100

 

FITCH RATINGS:

BB,

STABLE OUTLOOK

 

 

BANK OF AFRICA is a leading pan-African financial group. With an extensive
portfolio of brands and subsidiaries, BANK OF AFRICA's universal banking
business model encompasses a range of business lines including commercial
banking, investment banking and specialised financial services such as
leasing, factoring, consumer credit and participatory banking.

 

 

FINANCIAL COMMUNICATION website: ir-bankofafrica.ma - Tel: +212 522 462 810

BANK OF AFRICA

Public limited company with a share capital of MAD 2,157,863,330 - Head
office: 140, Avenue Hassan II

Approved credit institution by decree of the Minister of Finance and
Investment No. 2348-94 of 23 August 1994

Casablanca Trade Register No. 27129

 

 

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