Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB
Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.Ş. — 9M 2022 Earnings Presentation
24 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, November 2022
Slide 1: 9M 2022 Earnings Presentation
9M 2022 Earnings Presentation DISTINGUIS H ED PROFIT A BLE RESI L IENT RIS K CONSCIOUS RELIA B LE SUST A INABLE NATIO N WIDE MAR K ETMAKER BRSA Bank Only
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Slide 3: Asset Growth
9M 2022 Earnings Presentation The total FX wholesale debt due within 12 months stands at > FX LCR is at 304%, well above a limited $461 mn. the regulatory limit of 80%. Asset Mix (%) Asset Growth Loans Securities Bank Placements CBRT Receivables Cash YoY 68.7% QoQ 12.1% Liq. Assets Other Assets Tota
Slide 4: Boosted CPI linker gain driven by valuation adjustment and share in securities portfolio
9M 2022 Earnings Presentation Boosted CPI linker gain driven by its valuation adjustment and its share within the securities portfolio continued to increase Total Securities Portfolio (TRY billion) Securities Classification (TRY billion)(*) Total Securities / Total Assets (%) Fixed Rate (FX) Other F
Slide 5: Strong loan growth backed by SME loans
9M 2022 Earnings Presentation Strong loan growth backed by SME loans which are not subject to the securities CGF Utilisation (TRY bn) Jun-22 Sep-22 maintenance practice Current loan amount 38.5 34.5 (TRY billion)(a) 62.2% Total Loans 12.6% HALKBANK B. Sector(b) YoY YoY 62.2% 69.3% QoQ QoQ 711.9 12.6
Slide 6: Increased dominance of TRY and SME loan portfolio
9M 2022 Earnings Presentation Increased dominance of TRY and SME loan portfolio Loans by Currency (%)(a) Loans by Customer Segmentation (%)(a) Commercial 4% SME 7% FX SME 43% Commercial 2% 23.8% Corporate 38% Corporate 91% CGF 8% TRY 76.2% Cooperative 30%(b) Retail 15% Sectoral Breakdown of Loans (%
Slide 7: NPL coverage further strengthen albeit limited NPL inflow
9M 2022 Earnings Presentation NPL coverage further strengthen albeit limited NPL inflow NPL Portfolio (TRY million) NPL Coverage (%) 19,014 79.5 17,073 18,332 74.5 73.6 15,751 16,297 72.9 60.1 Sep-21 2021 Mar-22 Jun-22 Sep-22 Sep-21 2021 Mar-22 Jun-22 Sep-22 Loans under Close Watch (TRY million) NPL
Slide 8: NPL ratio by segments
9M 2022 Earnings Presentation NPL ratio by segments Halkbank NPL Sector NPL (*) Corporate - Commercial (%) Consumer Loans (%) 4.5 4.6 4.2 4.1 3.6 3.6 3.3 3.9 2.9 3.5 3.5 2.6 2.2 2.6 2.0 1.8 2.0 1.9 1.8 1.8 Sep-21 2021 Mar-22 Jun-22 Sep-22 Sep-21 2021 Mar-22 Jun-22 Sep-22 SME Loans (%) Credit Cards (
Slide 9: The accelerated momentum of provisioning expanded to S1 and S2 stages
9M 2022 Earnings Presentation The accelerated momentum of provisioning expanded to S1 and S2 stages Provisions and Reversals (TRY million) Net Cost of Risk (bps) (Cumulative) Total Specific Quarterly (TRY million) Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 487 315 S1 Provisions 164 2,136 79 2,154 6,404 168 127 S
Slide 10: Improving TRY LDR with a growing share of deposits
9M 2022 Earnings Presentation Improving TRY LDR with a growing share of deposits Loan to Deposit (%) Composition of IBLs(a) Liabilities Mix (%) (b) Halkbank L/D Sector L/D 88.9% 89.8% 87.0% 88.3% 87.8% Deposits Marketable Funds Borrowed Securities Issued Interbank Money Market Shareholders’ Equity F
Slide 11: Strong TRY deposit growth benefitted from low-cost public sector deposits
8 -6.36 3 9M 2022 Earnings Presentation Strong TRY deposit growth benefitted from the increased share of HALKBANK B. Sector(b) low-cost public sector deposits YoY 63.2% 93.5% HALKBANK B. Sector(b) HALKBANK B. Sector(b) QoQ 10.9% 11.8% YoY 69.1% 96.4% YoY 74.9% 99.8% in USD YoY -21.8% -7.3% QoQ 21.5%
Slide 12: TRY deposits regained its dominance on the deposit base
9M 2022 Earnings Presentation TRY deposits regained its dominance on the deposit base, corresponding to 53% of total deposits Demand Deposits (TRY billion)(a) Time Deposits (TRY billion)(a) Deposits by Currency (%)(b) Demand Deposits/Total Deposits (%) Time Deposits/Total Deposits (%) 25.0% 24.6% 24
Slide 13: Cost – Yield – Spread
9M 2022 Earnings Presentation Cost – Yield – Spread Blended Cost - Yield - Spread (%) Spreads (%) Yield on Loans Cost of Deposits(*) Spread TRY Core FX Core Blended Core 8.0 5.1 5.4 4.8 13.2 12.5 12.8 13.3 4.4 6.6 12.5 5.2 4.2 5.0 4.1 6.6 5.0 5.2 4.8 4.1 0.6 0.9 1.1 -1.0 -0.4 (6.6) (7.6) (7.5) (8.5)
Slide 14: Headline NIM improved by 380 bps QoQ, F&C income soared by 32% QoQ
9M 2022 Earnings Presentation Headline NIM improved by 380 bps QoQ, F&C income soared by 32% QoQ Net Interest Income (TRY million) NIM (%) Interest Income Interest Expenses YtD Quarterly 11.9 9.6 447% 89% Swap adj. (QoQ) 4.8 5.8 Swap adj. (YtD) 4.1 7.0 5.3 12,388 23,363 19,907 4.8 4,269 9,067 10.7 9
Slide 15: Solid operating revenue compensates for significant provision expenses
9M 2022 Earnings Presentation Solid operating revenue compensates for significant provision expenses, yielding quarterly RoE at 24% Total Operating Revenues (TRY million)(a) Q3-22 Revenue Walk (TRY million) 681% 83% 2,432 23,363 25,009 (599) (1,636) (5,016) 14,602 13,703 4,304 10,050 (14,239) 3,201
Slide 16: Cost/Income Ratio further improved and stands at 24.6%
9M 2022 Earnings Presentation Cost/Income Ratio further improved and stands at 24.6% Operating Expenses (TRY million) Operating Expenses / Average Assets (%) 110.2% 32.7% 1.72 5,016 1.48 1.46 1.38 3,781 1.31 3,186 2,998 2,387 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Cost/Income (%
Slide 17: Solvency Ratios
9M 2022 Earnings Presentation Solvency Ratios CAR (%) Details on Capital Ratio Tier-I CAR Details on Capital Ratio Cons. Basel III Uncons. Basel III (TRY mn) Sep-22 Sep-22 17.6 Credit Risk Base Amount (CRBA) 711,876 687,369 14.5 14.7 14.3 Market Risk Base Amount (MRBA) 25,312 19,233 13.4 15.3 Operat
Slide 18: Total active digital customers reached up to 5.2 million
9M 2022 Earnings Presentation Total active digital customers reached up to 5.2 million Active Digital Customers by Types (Million) # of Total Active Digital Customers(a) 21% 5.2 4.9 4.3 # of active digital banking customers increased 21% YoY and reached 5.2 million Sep-21 Jun-22 Sep-22 Total Digital
Slide 19: Branch Network – Human Resources
9M 2022 Earnings Presentation Branch Network – Human Resources Loans and Deposits per Branch (TRY million) Breakdown of Banking Transactions (%) Loans/Branches Deposits/Branches 879.3 ATM 20% Call Center 5% Automatic 726.7 Internet Payment 3% 659.4 Banking 6% Branch 3% 614.8 680.0 613.6 528.9 Mobile
Slide 20: Annex
9M 2022 Earnings Presentation Annex TRY Market Banking Halkbank Million Share (%) Sector Metrics(b) 9M-21 9M-22 Total Assets 1.221,622 9.3 Loan Growth (YtD, %) 12.9 39.5 Loans (a) 711,944 10.4 Deposit Growth (YtD, %)(c) 18.4 52.1 TRY Loans 542,677 12.4 LDR (%) 97.8 83.2 FC Loans 169,267 6.9 NPL (%)
Slide 21: Balance Sheet
9M 2022 Earnings Presentation Balance Sheet In TRY million Sep-21 2021 H1-22 Sep-22 QoQ (%) YtD (%) YoY (%) Cash and Balances Held with the Central Bank(a) 74,259 123,424 122,063 133,092 9.0 7.8 79.2 Banks & Money Market(b) 2,484 3,534 9,147 8,095 (11.5) 129.0 225.9 Securities(b) 173,880 223,301 291
Slide 22: Income Statement
9M 2022 Earnings Presentation Income Statement In TRY million Sep-21 Sep-22 YoY (%) Q3-21 Q2-22 Q3-22 QoQ (%) YoY (%) Interest Income 53,361 105,237 97.2 20,190 31,619 47,196 49.3 133.8 On Loans 37,979 59,418 56.4 14,216 19,410 23,131 19.2 62.7 On Securities 14,371 45,118 214.0 5,562 11,966 23,967 1
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Slide 24: For further information please contact halkbank.IR@halkbank.com.tr
For further information please contact halkbank.IR@halkbank.com.tr DISCLAIMER The information contained in this presentation has been prepared by Türkiye Halk Bankası A.S. (the Bank) for informational purposes only. Although the information in this presentation has been obtained from sources which t
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