Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB
Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.S. — H1 2013 Earnings Presentation
26 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, 2013
Slide 1: H1 2013 Earnings Presentation
BRSA Bank Only H1 2013 Earnings Presentation
Slide 2: Macro Outlook
H1 2013 Earnings Presentation Macro Outlook > 3% GDP growth in Q1-13 thanks to consumer > Volatility in global markets affected TRY benchmark bond spending and investment. May IP expanded 1% rate as well as exceeding the ~9.0% levels. calendar adjusted, compared to same month last > May foreign trad
Slide 3: Banking Sector Overview
H1 2013 Earnings Presentation Banking Sector Overview > Loans grew by 15.8% YtD, deposits by 8.6%; L/D > Net income increased 18.7% YoY as of May-13, bringing in ratio reached 103.9%. 14.9% RoE and 1.9% RoA. > Retail loans increased 13.8% YtD; housing, GPCLs > As of May-13, non-performing loans in n
Slide 4: H1 2013 Highlights: Strong position across all metrics
H1 2013 Earnings Presentation H1 2013 Highlights Strong position across all metrics > Net Income at TRY 1,428 mn; up 14% YoY; quarterly > 7.5% YtD asset growth driven mainly by lending net income at TRY 715 mn > Loan growth at 11.9% YtD, propelled by retail and > Brilliant profitability ratios; RoE
Slide 5: Profitability remained intact
H1 2013 Earnings Presentation Profitability remained intact Net Income (TRY million) 14.0% 1,428 1,253 709 742 713 715 YoY Change (%) > 10.6% Nll 600 > 19.8% Total Operating Revenues > 11.1% Net Operating Income > 14.0% Net Profit Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 H1-12 H1-13 RoE (%) RoA (%) YtD Quarter
Slide 6: Asset Growth: Securities down to 18.1%
H1 2013 Earnings Presentation Continued growth of loans in total assets Asset Growth IEA Securities YoY 15.3% QoQ 4.5% 82.1% down to 18.1% Total Assets (TRY billion) Composition of IEAs(a) Asset Mix (%) Loans Cash & CBRT 15.3% 84.5% 83.2% 82.9% 82.1% Securities Other Assets 7.5% 4.5% 27.3% FX 26.5%
Slide 7: Well-balanced composition of securities
H1 2013 Earnings Presentation Well-balanced composition of securities Total Securities Portfolio (TRY billion) Interest Structure (%) Securities / Total Assets (%) FRN Securities / Total Securities CPI Linkers / Total Securities 24.2 21.2 20.7 18.1 24.4 23.1 22.9 FX 3.8 16% 10% 2.4 21.0 60.7 61.3 2.
Slide 8: Continuing loan growth in high-yielding segments
H1 2013 Earnings Presentation Continuing loan growth in high-yielding segments (TRY billion)(a) Total Loans 12.1% HALKBANK B. Sector (b) 7.0% YtD YtD 12.1% 15.8% QoQ QoQ 7.0% 10.6% 72.6 Fund Loans 64.8 67.9 1.4 up 2.6% YtD TRY Loans 59.4 61.9 1.4 1.4 8.3 up 0.9% QoQ (b) HALKBANK B. Sector 1.3 1.3 6.
Slide 9: FX loan growth supported by project finance
H1 2013 Earnings Presentation FX loan growth supported by project finance Loans by Currency (TRY billion)(a) Loans by Types (%) Funds 2% Cooperatives 11% FX 17.0 17.7 17.4 20.7 28.6% 27.3% 25.6% 28.5% 42.4 47.1 50.5 51.9 TRY 71.5% Retail 29% Commercial 58% 71.4% 72.7% 74.4% Jun-12 2012 Mar-13 Jun-13
Slide 10: Increasing publicity supporting retail loan growth
H1 2013 Earnings Presentation Increasing publicity supporting retail loan growth (TRY billion)(a) 19.8% 9.0% HALKBANK YtD 21.1 19.8% 19.4 QoQ 17.6 Consumer Loans 9.0% 16.4 16.9 up 16.1% YtD up 6.2% QoQ Share in total 53.0% B. SECTOR(b) 9.2 9.4 9.6 10.5 11.2 YtD 13.8% QoQ Housing Loans 8.0% up 19.1%
Slide 11: Solid increase in credit card market share
H1 2013 Earnings Presentation Solid increase in credit card market share Since the launch of Paraf in Dec-12; > 39% increase in # of credit cards, > 59% growth in # of POS > 70% rise in issuer volume > 60% increase in acquirer volume Internet Banking Users (Thousand) # of POS (Thousand) 970 # of Mer
Slide 12: NPL ratio down 10 bps to 2.7% with no write-off/sell-off
H1 2013 Earnings Presentation NPL ratio down 10 bps to 2.7% with no write-off/sell-off NPL Portfolio (TRY million) NPL Coverage (%) 99.2 98.8 1,960 2,004 2,068 98.1 95.8 97.8 1,732 1,869 (a) 83.9 82.6 82.5 82.4 81.9 Since 2002 507 503 498 497 Legacy NPLs 508 2001 and before Jun- 12 Sep-12 2012 Mar-1
Slide 13: Brilliant asset quality reflected in each segment
H1 2013 Earnings Presentation Brilliant asset quality reflected in each segment Halkbank NPL Sector NPL (a,b) Corporate - Commercial (%)(a) Consumer Loans (%)(b) 2.5 3.2 3.1 3.3 3.1 2.5 2.3 2.3 2.8 1.9 1.6 1.5 1.6 1.6 1.8 1.7 1.8 1.3 1.4 1.5 Jun-12 Sep-12 2012 Mar-13 Jun-13 Jun-12 Sep-12 2012 Mar-13
Slide 14: Low CoR indicating high asset quality
H1 2013 Earnings Presentation Low CoR indicating high asset quality NPLs by Segments - Net Increase (TRY million) Gross Cost of Risk by Segments (bps)(a) 39 9 2,068 101 52 1,960 6 3 80 73 61 11 2012 Corporate Commercial SME Retail Other Jun-13 SME Retail Commercial Corporate Total Net Cost of Risk G
Slide 15: Healthy funding structure
H1 2013 Earnings Presentation Healthy funding structure IBL 84.3%(a) Loan to Deposit (%) Composition of IBLs (a) Liabilities Mix (%) Halkbank L/D Sector L/D(b) Deposits Marketable 84.9% 82.9% 83.5% 84.3% Funds Borrowed Securities Issued Interbank Money Market Other Liabilities 102.6 103.0 105.6 103.
Slide 16: Moderate but price sensitive deposit growth
H1 2013 Earnings Presentation Moderate but price sensitive deposit growth HALKBANK B. Sector (b) FX Dep. YtD 3.5% 17.7% HALKBANK B. Sector (b) HALKBANK B. Sector (b) QoQ 7.7% 14.5% Total Dep. YtD 2.7% 15.5% TRY Dep. YtD 2.4% 14.4% in USD YtD -4.3% 8.8% QoQ 2.2% 12.5% QoQ -0.2% 11.5% terms QoQ 0.9% 7
Slide 17: Blended cost of TRY deposits further down
H1 2013 Earnings Presentation Blended cost of TRY deposits further down Demand Deposit (TRY billion)(a) Time Deposits (TRY billion)(a) Deposits by Currency (%) Demand Deposits/Total Deposits (%) Time Deposits/Total Deposits (%) 16.3% 75.4% 15.5% 74.1% 74.5% 73.1% FX 15.2% 15.3% 33% 12.7% 3.8% 9.3% 0
Slide 18: Cost-Yield-Spread
H1 2013 Earnings Presentation Cost-Yield-Spread(a) Cost of Deposits (%) Spreads (%) On Securities On Loans 5.5 5.5 5.1 4.6 4.1 6.2 6.0 6.2 6.2 6.0 5.5 4.6 4.6 3.7 1.3 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Yield on Loans (%)(b) Yield on Securities (%) 11.7 11.5 10.6 11.3 10.8 10
Slide 19: NIM still strong at 5.3%
H1 2013 Earnings Presentation NIM still strong at 5.3% Interest Expenses Net Interest Income (TRY million) Interest Income Breakdown of Interest Income (%) 1.9% 10.6% 1,181 1,293 1,245 1,203 2,212 2,448 21% on Securities 970 2,302 2,127 2,393 2,254 2,138 4,472 4,392 79% on Loans (1,121) (1,156) (1,0
Slide 20: Net fees and commissions income in operating revenues starts to increase
H1 2013 Earnings Presentation Net fees and commissions income in operating revenues starts to increase Net Fees & Commissions Income (TRY million) 5.5% 3.9% 269 229 430 447 218 218 211 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 H1-12 H1-13 Breakdown of Fees & Commissions (%) Net Fees & Commissions / Operating Re
Slide 21: Front-loaded strategy in OPEX
H1 2013 Earnings Presentation Front-loaded strategy in OPEX Operating Expenses (TRY million) 4.0% 36.8% 52 1,320 47 673 1,320 89 17 610 647 49 13 Other 88 Advertisement Payroll 500 522 965 965 Rent Credit acquisition cost Account Card Salary change in increase personnel dividend Q2-12 Q3-12 Q4-12 Q1
Slide 22: Solvency Ratios
H1 2013 Earnings Presentation Solvency Ratios Capital Ratios (%) Details on Capital Ratio Basel II Tier 1 Ratio Basel II (TRY mn) Jun-13 16.2 15.9 Credit Risk Base Amount (CRBA) 80,353 14.7 Market Risk Base Amount (MRBA) 2,585 14.3 14.1 Operational Risk Base Amount (ORBA) 8,912 13.3 Total Risk Weigh
Slide 23: Branch Network – Human Resources
H1 2013 Earnings Presentation > 45 branches were opened since the beginning of the year. The Branch Network – Human Resources branch network increased to 861. Opened # of Branches by Province in H1-13 ATMs Kırklareli Bartın 2,627 2,736 2,554 Sinop Edirne Zonguldak Kastamonu 2,350 Tekirdağ İstanbul A
Slide 24: Balance Sheet
H1 2013 Earnings Presentation Balance Sheet QoQ YtD YoY In TRY million H1-12 2012 Q1-13 H1-13 Change% Change% Change% Cash and Balances Held with the Central Bank(a) 10,711 12,488 13,421 15,226 13 22 42 Banks & Money Market (b) 1,707 2,632 1,593 2,114 33 (20) 24 Securities (b) 24,440 22,954 23,090 2
Slide 25: Income Statement
H1 2013 Earnings Presentation Income Statement YoY QoQ In TRY million H1-12 H1-13 Change% Q4-12 Q1-13 Q2-13 Change% Interest Income 4,472 4,392 (2) 2,393 2,254 2,138 (5) On Loans 3,240 3,448 6 1,771 1,728 1,721 (0) On Securities 1,221 934 (24) 613 520 415 (20) Interest Expense 2,259 1,944 (14) 1,099
Slide 26: For further information please contact
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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