Banca Transilvania SA · BVB:TLV
Banca Transilvania SA — H1 2015 Earnings Presentation
22 slides from Banca Transilvania SA's earnings presentation, Aug 5, 2015
Slide 1: Banca Transilvania 1H 2015 financial results
BANCA TRANSILVANIA 1H 2015 financial results August 5th 2015
Slide 2: Disclaimer
DISCLAIMER The information contained in the present document has not been independently verified and no representation or warranty expressed or implied is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of this information or opinions contained her
Slide 3: Agenda
AGENDA 1H 2015 highlights 1 banking sector dynamics 2 performance in 1H 2015 3 overview of business lines 4 BT Financial Group 5 3
Slide 4: 1H 2015 Highlights
1H 2015 HIGHLIGHTS 1H 2015 1H 2014 ∆ PROFITABILITY (unaudited) (unaudited) Operating income RONmn 965.5 870.0 11.0% Operating expenses RONmn (484.3) (404.2) 19.8% Gross profit before provisions RONmn 481.1 465.8 3.3% Net income RONmn 190.2 181.0 5.1% EPS RON 0.06 0.07 -14.3% Cost of risk % 2.3% 2.6%
Slide 5: Romanian Banking Sector – 2015 briefing
ROMANIAN BANKING SECTOR – 2015 briefing ● The Romanian banking system stays solid: ● average CAR at 18% (a record level) ● NPL ratio markedly improved to 13.3% from cca. 22% in 2013 ● Top 7 banks hold ~66% of total assets / Top 3 banks ~40% ● The non-government loans rose by 2% ytd, as the increase
Slide 6: Non-performing loans drop in the aftermath of 2014 balance sheet clean-up
NON-PERFORMING LOANS DROP in the aftermath of 2014 balance sheet clean-up Net assets of banks switching Significant drop in NPL after to positive dynamics 2014 balance sheet clean-up* total bank assets source: NBR NPL ratio – local industry, % source: 8% NBR 364 21.6% 21.9% 36 5 6% 362 20.3% 20.4% 3
Slide 7: Credit in RON continues to gather momentum
CREDIT IN RON continues to gather momentum RON denominated lending growth Loans in domestic currency, the offsets FCY lending contraction credit activity driver 1% loans non-government , %YoY source: NBR 13 00 0% loans non-government , RONbn source: NBR 123 119 0% 12 00 0% 117 114 -0.1% 111 11 00 0%
Slide 8: Business performance in 1H 2015 at a glance
BUSINESS PERFORMANCE IN 1H 2015 at a glance ● Strong growth of the loan portfolio across all business line Total assets at RON 38.6 bn ● Partial switch from AFS portfolio to other assets categories (due to banks 8.4%YTD &loans) ● Healthy growth of deposit base by 6% Capital adequacy ratio at 16.4%
Slide 9: Profit & Loss Account Structure
PROFIT&LOSS ACCOUNT STRUCTURE Sound growth of net fee income confirm the focus on cross-sell and turnover growth detailed income and expense structure, RONmn 569 60000% 522 50000% 484 404 40000% 256 255 30000% 211 193 181 190 163 20000% 1H 2014 1H 2015 10000% 56 70 52 36 29 0% net interest net fee n
Slide 10: Loan Structure
LOAN STRUCTURE Loans to households up 39% Loans to companies balancing YoY on regained confidence toward investment loans loans to households, RONbn loans to companies, RONbn 1000% 9.4 14 00 % 12.6 12.8 12.8 900% 7.5 14.3 12 00 % 6.8 800% 3.5 other 10 00 % 700% corporates consumption housing 2.7 2.1
Slide 11: Deposit Structure
DEPOSIT STRUCTURE Deposits from households Deposits from companies continue the previous path remain stable 2500% deposits from households, RONbn deposits from companies, RONbn 14 00 % 20.2 11.7 11.4 18.6 12 00 % 2000% 17.2 9.7 current accounts deposits 10 00 % corporates 1500% 8.2 80 0% 7.8 16.5 15
Slide 12: NPL ratio at 9.8%, one of the lowest in the local banking industry
NPL RATIO AT 9.8% one of the lowest in the local banking industry NPL ratio and NPL coverage 127% ● Banca Transilvania continued the conservative 122% 119% provisioning policy, providing a sound coverage 12 0% ratio for its PAR 90 portfolio 16 .00 % 108% 14 .00 % 10 0% 12.6% 11.3% 12 .00 % ● The for
Slide 13: Business Lines: Retail banking
BUSINESS LINES retail banking Retail loan portfolio reached RON 9.4bn in 1H 2015 1000% retail loan portfolio, RONbn source: BT 950% 9.44 ● Sound organic growth of its retail loan portfolio 1.40 900% loans ● Good execution of Volksbank Romania CHF loan transferred portfolio conversion; in 4 weeks of
Slide 14: Business Lines: SME banking
BUSINESS LINES SME banking SME loan portfolio up to RON 2.7bn and 179,000 active clients ● Banca Transilvania continued its specific focus on 280% SME loan portfolio, RONbn source: BT the SME business sector, processing over RON 650 2.71 million new loans in 6 months of 2015 260% 2.58 ● An attractiv
Slide 15: Business Lines: Corporate banking
BUSINESS LINES corporate banking Corporate loan portfolio above RON 10bn for the first time corporate loan portfolio, RONbn 1050% source: BT 10.11 9.97 1000% 9.88 ● Corporate loans inflexioned at country level during this spring, evolution determined by the 950% acceleration of the real economy and
Slide 16: Banca Transilvania Financial Group
BANCA TRANSILVANIA FINANCIAL GROUP full array of financial services As of 30.06.2015: Total assets: 38.6 RON bn Total assets: 9.8 RON bn Total assets: 97 RON mn Total assets: 89 RON mn Total assets: 57 RON mn Total assets: 26 RON mn Total assets: 293 RON mn 16 1H 2015 HIGHLIGHTS BANKING SECTOR DYNAM
Slide 17: 1H 2015 Highlights – Consolidated Figures
1H 2015 HIGHLIGHTS – Consolidated Figures 1H 2015 1H 2014 CAPITAL CREDIT PROFITABILITY ∆ (unaudited)* (unaudited)** Operating income RONmn 1,097.9 899.4 22.1% Operating expenses RONmn (582.5) (425.9) 36.8% Gross profit before provisions RONmn 515.4 473.5 8.9% Net income RONmn 2,279.0 186.7 1120.6% C
Slide 18: Annex I Income Statement
ANNEX I INCOME STATEMENT IFRS, individual, RONmn 1H 2015 1H 2014 ∆ Net interest income 522.0 569.0 -8.2% Net fee and commission income 210.9 193.3 9.1% Net trading income 69.8 56.2 24.3% Other net income 162.7 51.5 215.6% Operating income 965.5 870.0 11.0% Personnel expenses (244.5) (216.3) 13.0% D&
Slide 19: Annex II Balance Sheet
ANNEX II BALANCE SHEET IFRS, individual, RONmn Jun-15 Dec-14 ∆ Cash & cash equivalents 3,500.6 4,226.0 -17.2% Placements with banks 4,212.0 2,216.1 90.1% Loans to customers, net 19,861.3 17,517.2 13.4% T-bills & securities 9,823.4 10,852.9 -9.5% Fixed assets 348.0 360.1 -3.4% Participations 432.8 74
Slide 20: Annex III Income Statement
ANNEX III INCOME STATEMENT IFRS, consolidated, RONmn 1H 2015 1H 2014 ∆ Net interest income 641.8 587.2 9.3% Net fee and commission income 229.7 199.7 15.0% Net trading income 60.3 49.0 23.2% Other net income 166.1 63.5 161.7% Operating income 1,097.9 899.4 22.1% Personnel expenses (292.7) (226.4) 29
Slide 21: Annex IV Balance Sheet
ANNEX IV BALANCE SHEET IFRS, consolidated, RON mn Jun-15 Dec-14 ∆ Cash & cash equivalents 4,118.6 4,234.2 -2.7% Placements with banks 3,838.8 2,224.3 72.6% Loans to customers, net 24,486.8 17,663.0 38.6% T-bills & securities 11,054.1 10,771.8 2.6% Fixed assets 491.7 412.3 19.2% Participations 0.0 0.
Slide 22: Banca Transilvania HQ
Banca Transilvania HQ 8, G. Baritiu Street, Cluj-Napoca 400027, Romania + 40 264 407 150 + 40 264 407 179 /FAX investor.relations@btrl.ro www.bancatransilvania.ro/en/investor-relations www.bancatransilvania.ro www.bt24.ro facebook.com/BancaTransilvania twitter.com/b_Transilvania # linkedin.com/compa