Sekerbank T.a.s. · BIST:SKBNK
Sekerbank T.a.s — FY2020 Earnings Presentation
25 slides from Sekerbank T.a.s's earnings presentation, Dec 31, 2020
Slide 1: Consolidated Financial Results as of December 31, 2020
Şekerbank T.A.Ş. Consolidated Financial Results as of December 31, 2020
Slide 2: 67 years of Experience in Community Banking
67 years of Experience in Community Banking Şekerbank was founded in 1953 by hundreds of thousands of sugar beet cooperative members to finance sustainable agriculture, the sugar industry and rural development. Shareholder Structure Subsidiary Structure as of 31 December 2020 as of 31 December 2020
Slide 3: Deep-rooted and Widespread Branch Network
Deep-rooted and Widespread Branch Network Strong deposit structure and broadbased SME & Agro customer base Serving at the 238 Branches same location for over half of Deep expertise in SME & Agricultural 53% throughout Turkey SME Loan share a century Banking in total loan portfolio Trak ya R e gion K
Slide 4: Milestones of Firsts in Responsible Finance
Milestones of Firsts in Responsible Finance ECOloan: A first of its kind in Turkey to finance energy efficiency Initiated Social and Environmental Impact Analysis on Loans Founded as the One of the first First Bank to receive a Turkey’s first 5-year Capital increase by an “Sugar Beet public offering
Slide 5: A Brief Summary of 2020 for Şekerbank
Prudent growth and fully equipped loan underwriting infrastructure Steady recovery in asset quality, due also to the high performance in collections A Brief Solid, broad-based and highly liquid funding structure Summary of Continuous improvement in sustainable profitability 2020 Strengthen
Slide 6: Balance Sheet Structure
Balance Sheet Structure TL-dominated loan structure Strong and widespread deposit-based liability structure Assets (Consolidated) as of 31 December 2020 Liabilities (Consolidated) as of 31 December 2020 39.539 Mn TL LOANS BREAKDOWN 39.539 Mn TL DEPOSITS BREAKDOWN Money Market 0,1% Placements Other 4
Slide 7: Prudent loan growth and diversified loan structure
Prudent loan growth and diversified loan structure Şekerbank adopted a prudent growth in loans in 2020, while further decreasing its Şekerbank has a diversified loan structure in foreign currency loans in line with its prudent balance sheet policy. terms of sectoral breakdown Performing Loans Br
Slide 8: Steady recovery in asset quality
Steady recovery in asset quality With high concentration placed on increasing asset quality, the NPL improved steadily throughout the year. Non-performing loan volume and ratio development Stage-II loan volume and ratio development (Bank only, accruals included) (Bank Only, accruals included) Yearly
Slide 9: The effects of forbearance measures of the BRSA and solid performance in collections
The effects of forbearance mesaures of the BRSA and solid performance in collections Loans with days past due (Forbearance Measures of BRSA) Monthly Average Collection Amount2 (Bank Only, as of 31 December 2020) (Consolidated, Mn TL) Within the Forbearance Measures Taken by BRSA1: Thanks to its high
Slide 10: Marketable Securities
Marketable Securities As of December 2020, Securities / Total Assets: 12,3% Securities in FC have been classified at fixed rates and all FRN securities are in the HTM book. Composition by Classification1 (Consolidated) Composition by Type1 (Consolidated) 3.588 4.471 4.637 4.985 4.872 (Mn TL) 0,9% 1,
Slide 11: Solid and broad-based liability structure
Solid and broad-based liability structure Thanks to Şekerbank’s deep-rooted brand perception and long-term customer relationship, the Bank has experienced high growth in deposits, even throughout the pandemic. Liability Structure (Consolidated) Total Customer Deposit Volume Development (Consolidated
Slide 12: Preserving granular and highly liquid deposit structure
Preserving granular and highly liquid deposit structure Individual TL Deposits under 1 MTL FC deposits are also very The Bank has always had high liquidity as a result of constitute 75% of the total deposits as of widespread and sticky as is the prudent balance sheet management. The roll over Decemb
Slide 13: Diversified foreign borrowings structure
Diversified foreign borrowings structure The bank has longstanding relationships with IFIs thanks to its sustainable and community banking know-how, which also reflects on its diversified foreign borrowing structure. Proven Access to Diversified Sources of Funding Foreign Borrowings Breakdown (Bank
Slide 14: Profit and Loss
Profit and Loss Consolidated Income Statement Change in (Mn TL) 2019 YE 2020 YE 2020 YE / 2019 YE Interest Income 4.203 3.435 -18% Interest Expense 3.024 1.773 -41% Net Interest Income 1.179 1.663 41% Net fees and Commisions Income 383 256 -33% Personnel Expenses 547 569 4% Dividend Income 1 0 -71%
Slide 15: Steady improvement on profitability
Steady improvement on profitability As a result of the improvement in problematic With the help of the focus on reducing funding The bank’s gross operational profit has loans and healthy growth, the CoR has been costs, thanks to the analytical pricing tool, an been a more obvious indicator since dim
Slide 16: Capital Adequacy Ratios
Capital Adequacy Ratios Şekerbank increased its capital by TL 702 million, which represents 60% of its current capital, and rose its capital to TRY 1,860 mn in November 2020. Capital Adequacy Ratio (Bank Only, %) 14,5% 13,4% 13,4% 13,5% 13,9% CAR-Bank Only 12,0% CAR Regulatory Requirement 9,2% 9,0%
Slide 17: Liquidity Ratios
Liquidity Ratios One of Şekerbank’s main strengths has always been high liquidity as a result of prudent balance sheet management. This strong liquidity structure has remained highly satisfactory during the fluctuation due to the pandemic, while liquidity coverage ratios have also continued to be we
Slide 18: Loan / Deposit Ratios
Loan / Deposit Ratios Total Gross Loans / Customer Deposits Ratio 98,8% 97,6% 95,9% 92,2% 90,8% C onsolidated 91,6% 89,4% 89,0% Bank Only 85,4% 85,0% Dec.19 Mar.20 Jun.20 Sep.20 Dec.20 TL Gross Loans / TL Customer Deposits Ratio FC Gross Loans / FC Customer Deposits Ratio 137,9% 60,2% 135,6% 135,1%
Slide 19: Comprehensive Digital Transformation Program
The Bank initiated a comprehensive Digital Transformation Program in July 2018, to ensure sustainable profitability and growth 1 3 5 Improving asset Sustainable quality and efficiency End to end optimized development and digitalized processes banking 2 4 Sales force effectiveness based on Agile orga
Slide 20: Significant healthy growth in SME & Agro loans through the Transformation Program
Significant healthy growth in SME & Agro loans through the Transformation Program Increasing asset quality has been prioritized within Sekerbank’s Transformation Program, which was initiated in the last quarter of 2018. Healthy growth in the SME & Agro loans has been visibly achieved through the
Slide 21: Inclusive digital banking through Mobile Service Model
Inclusive digital banking through Mobile Service Model Tablet Banking Mobile Banking (December 2019) (September 2020) The 1st Bank that Instant credit allocation to small developed mobile businesses and farmers in the banking solutions for field through the tablet channel farmers without 431 c
Slide 22: Enhancing sustainable development banking competencies
Enhancing sustainable development banking competencies Sustainable %9 %99 Agriculture Share of agricultural of the farmers that we provide loans in total cash loans services are small farming families %62 TL 11.7 Small Businesses billion and Employment Share of the MSME loans in Total SME loans tota
Slide 23: Contact Details
Contact Details Sekerbank T.A.Ş. Aybala Şimşek Executive Vice President Strategy, Transformation and Financial Institutions Financial Institutions & Investor Relations Oya Sarı Head of Financial Institutions and Investor Relations Tel: +90 212 319 71 58 oya.sari@sekerbank.com.tr Melike Tavşanlı İnci
Slide 24: Legal Notice For Investors
Legal Notice For Investors Legal Notice The information in this document has been obtained by Sekerbank T.A.Ş. (“Sekerbank”) from sources believed to be reliable. However, Sekerbank cannot guarantee the accuracy, completeness or correctness of such information. This document has been issued for info
Slide 25: Thank you
J 3 ; Thank you. kg