Mizrahi Tefahot Bank Ltd · TASE:MZTF
Mizrahi Tefahot Bank — Q3 2016 Earnings Presentation
28 slides from Mizrahi Tefahot Bank's earnings presentation, September 2016
Slide 1: Financial Statements September 2016
Financial Statements September 2016 Financial Statements 31 December 2008 1
Slide 2: Disclaimer
Disclaimer •This document has been prepared by Mizrahi-Tefahot Bank Ltd (UMTB) solely for use at the company's presentation. The information contained in this document constitutes information from the bank's 2016 quarterly reports and/ or immediate reports, as well as the periodic, quarterly and ann
Slide 3: Achieving regulatory financial ratios thresholds earlier than required
Achieving regulatory financial ratios thresholds earlier than required Core tier 1 Leverage ratio LCR 9.85% 9.84% 5.31% 8.7% 100% 5.00% 31.12.13 30.9.16 31.12.16E 1.1.2017 1.1.2017 Q3 2016 average Regulatory requirement 3
Slide 4: Continuous loan growth
Continuous loan growth Credit to the public NIS m 168,620 159,204 147,569 138,565 128,651 2012 2013 2014 2015 Q3/2016 3Q2016 Average annual growth rate 7.5% 4
Slide 5: Continuous loan growth
Continuous loan growth Credit to the public NIS m 168,620 165,515 162,073 159,204 157,996 152,317 150,694 1Q2015 2Q2015 3Q2015 4Q2015 1Q2016 2Q2016 3Q2016 5
Slide 6: Credit growth in most segments
Credit growth in most segments Loans to the public 30.09.2015 30.09.2016 % of change Housing loans 103,408 112,272 8.6% Households 16,521 18,510 12% Private banking 85 97 14.1% Small and micro 13,809 14,583 5.6% businesses Medium businesses 4,748 5,236 10.3% Large businesses 14,596 12,309 )15.7%( In
Slide 7: Continuous deposit growth
Continuous deposit growth Deposits from the public NIS m 173,748 162,380 152,379 141,244 128,081 2012 2013 2014 2015 3Q2016 Q3/2016 Average annual growth rate 8.5% 7
Slide 8: Continuous deposit growth
Continuous deposit growth Deposits from the public NIS m 173,748 169,621 165,001 162,380 158,107 153,736 153,002 1Q2015 2Q2015 3Q2015 4Q2015 1Q2016 2Q2016 3Q2016 8
Slide 9: Financing revenues from current operations continue to grow (NIS m)
Financing revenues from current operations continue to grow (NIS m) 993 959 916 919 922 849 848 1Q2015 2Q2015 3Q2015 4Q2015 1Q2016 2Q2016 3Q2016 9
Slide 10: Growth in financing revenues in most of operating segments
Growth in financing revenues in most of operating segments Financing revenues (NIS m) Q3/2015 Q3/2016 % of change Housing loans 240 284 18.3% Households 246 284 15.4% Private banking 10 13 30% Small and micro 182 195 7.1% businesses Medium businesses 43 54 25.6% Large businesses 109 104 )4.6%( Insti
Slide 11: Tight control of expenses
Tight control of expenses Operating and other expenses Maintenance and depreciation (NIS m) (NIS m) 821 )0.7%( 815 175 1.1% 177 3Q2015 3Q2016 3Q2015 3Q2016 11
Slide 12: Increase in net profit and financing revenues from current operations compared to previous year
Increase in net profit and financing revenues from current operations compared to previous year Net profit (NIS m) Financing revenues from current operations (NIS m) 1,001 2,874 10% 12% 2,613 894 2015 Janראשונים חודשים9 2016 – Sep 2015 Janראשונים – Sep חודשים 2016 9 2015Jan ראשונים חודשי
Slide 13: Best efficiency level ever
Best efficiency level ever Cost/income ratio 56.9% 59.4% 55.2% 57.8% 2015 3 רבעון Q3/2015 2016 3 רבעון Q3/2016 ראשונים חודשים Jan – Sep 2015 9 ראשונים חודשים Jan – Sep 2016 9 2015 2016 13
Slide 14: Increasing equity base
Increasing equity base NIS m 12,726 11,847 10,797 9,681 8,730 7,601 2011 2012 2013 2014 2015 3Q2016 Q3/2016 Average annual growth rate 11.5% 14
Slide 15: Double digit ROE despite dramatic increase in equity and extremely low interest rate
Double digit ROE despite dramatic increase in equity and extremely low interest rate ROE(%) Equity (NIS mil) 2011 2011 2012 201220132013 2014 2014 2015 2015 1Q2016 1Q2016 2Q2016 2Q2016 3Q2016 3Q2016 In black – Bank of Israel interest rate at the end of the period 15
Slide 16: Dividend distribution
Dividend distribution Divided distribution (NIS m) 150 56 51 120 122 75 43 2011 2012 2013 2014 2015 Janחודשים 9 – Sep 2016 2016 ראשונים 16
Slide 17: Progress in line with the strategic plan
Progress in line with the strategic plan Market Shares 30.6.2016 Loans to the Public 18% Balance Sheet Debt 19.2% in Israel Deposits from the 15.4% Public Mortgages (New 38.7% * Initiations) * As off 30.9.2016 17
Slide 18: Financial results
oo MIZRAHI TEFAHOT Financial results 18
Slide 19: Net profit (NIS mil)
Net profit (NIS mil) 373 330 340 316 288 248 240 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2015 2016 19
Slide 20: Net profit (NIS mil)
Net profit (NIS mil) 1,001 894 1-9/2015 1-9/2016 20
Slide 21: Equity (NIS bil)
Equity (NIS bil) 12.7 11.8 30.9.2015 30.9.2016 21
Slide 22: Net profit - ROE (NIS mil)
Net profit - ROE (NIS mil) 12.4% 12.4% 11.5% 11.6% 9.4% 10.0% 8.4% Q1 Q2 Q3 Q4 Q1 Q2 Q3 2015 2016 22
Slide 23: Financing Revenues (NIS mil)
Financing Revenues (NIS mil) Rate of 1-9/2016 1-9/2015 change Interest revenues, net 2,830 2,714 Non-interest financing revenues 176 231 Total financing revenues 3,006 2,945 2.1 Less: Linkage differentials with respect to CPI position (19) (35) Revenues from collection of interest on troubled debt 3
Slide 24: Operating commissions (NIS mil)
Operating commissions (NIS mil) 1,071 1,077 1-9/2015 1-9/2016 24
Slide 25: Cost / income ratio
Cost / income ratio 63.4 61.3 60.8 58.4 56.9 57.8 55.2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2015 2016 25
Slide 26: Provisions / loans to the public
Provisions / loans to the public 0.15% 0.19% 0.14% 0.11% 0.14% 0.09% 0.01% Q1 Q2 Q3 Q4 Q1 Q2 Q3 2015 2016 26
Slide 27: Capital adequacy
Capital adequacy 13.52% 13.29% 12.76% 9.85% 9.50% 9.30% Tier I 30.9.2015 31.12.2015 30.9.2016 27
Slide 28: Dividend (NIS mil)
Dividend (NIS mil) Year Amount 2015 122.1 2016 (Q1-Q2) 94.2 2016 (Q3) 56.0 Total 272.3 28