Banca Transilvania SA · BVB:TLV
Banca Transilvania SA — FY2017 Earnings Presentation
25 slides from Banca Transilvania SA's earnings presentation, Feb 15, 2018
Slide 1: 2017 preliminary financial results
BANCA TRANSILVANIA 2017 preliminary financial results February 15th 2017
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 1 Banking Sector Dynamics 2 2017 Highlights 3 Performance in 2017 4 Overview of Business Lines 5 BT Financial Group a Financial Statements 2
Slide 4: Bank assets above RON 400bn threshold for the first time
Bank assets above RON 400bn threshold for the first time Bank assets expanded by over 3% YTD Loan quality has been continuously in Sep as loans to companies revived improving since Sep 2014 total bank net assets source: NBR NPL ratio, % source: NBR 406 41 0 399 10% 21.5% 40 0 20.7% 394 394 20.2% 39
Slide 5: Credit activity gathered pace in 2017 as corporate loans switched to a positive dynamic
Credit activity gathered pace in 2017 as corporate loans switched to a positive dynamic Private loans advanced during 2017 at the Lending largely supported by housing fastest pace since 2011 and coporate loans private loans, %YoY source: NBR YoY change private loans, RONbn 9% source: NBR 7.3% 20 non
Slide 6: LCY loans remain the driver of lending in Romania
LCY loans remain the driver of lending in Romania At RON 146bn, LCY loans account for 63% Loans in RON now make up the of total private loans in 2017 greatest portion of each loan segment private loans, RONbn source: NBR private loans in 2017 source: NBR 146 143 137 10 0% 14000% 130 15% 126 FCY loan
Slide 7: The real economy
The real economy GDP up by 7% YoY in 2017, the highest pace since 2008 Romania – regional leader in terms of Consolidation of the foreign direct growth pace investment GDP dynamics (%, YoY) source: Eurostat FDI (12M cumulative) (EUR mn) source: NBR 12 12,000 10 10,000 8 6 8,000 4 6,000 2 0 4,000 201
Slide 8: The financial economy
The financial economy The intensification of the inflationary pressures (CPI at the highest level since 2013) determined NBR to launch the post-crisis cycle by narrowing the corridor in 4Q2017 and signaling the increase of the rate in 2018 ROBOR doubled in 4Q 2017 EUR/RON at record levels ROBOR vs.
Slide 9: Banca Transilvania's business development and financial performance
Banca Transilvania’s business development and financial performance 2017 – preliminary figures 8 Banking sector dynamics 2017 highlights Performance in 2017 Overview of business lines BT Financial Group
Slide 10: 2017 highlights
2017 highlights 2017 2016 ∆ Net interest income RONmn 1,808.4 1,710.7 5.7% profitability Net fee and commission income RONmn 581.0 509.5 14.0% Operating expenses RONmn (1,298.3) (1,151.4) 12.8% Gross profit before provisions RONmn 1,377.1 1,653.3 -16.7% Net income RONmn 1,186.0 1,228.4 -3.5% Cost of
Slide 11: Business performance 2017 at a glance
Business performance 2017 at a glance Accelerated balance sheet growth, driven by both Total assets at RON 59.3 bn loans and deposits Capital adequacy ratio at Strong capital base, supporting organic and non 21.16% organic growth Net fees and commissions at Increased number of operations and additio
Slide 12: Trends in income structure
Trends in income structure 2016 2017 +5.7% 1,808 1,711 161 222 +12.8% 1,298 1,151 +14.0% 581 509 21.9% 224 183 Net interest income Net fee and Net trading income Operating expenses commission income VBRO loans adjustments 11 Banking sector dynamics 2017 highlights Performance in 2017 Overview of bus
Slide 13: Loan structure
Loan structure Loans to households, RONbn Loans to companies, RONbn 16.7 15.0 14.3 15.1 0.0 0.1 3.2 4.3 8.4 6.9 11.1 10.7 8.1 8.2 Dec’16 Dec’17 Dec’16 Dec’17 Other Housing Consumption SMEs Large corporates 76% 24% 81% 19% *SMEs identified according to internal classification rules RON FX RON FX 12 B
Slide 14: Deposit structure
Deposit structure Deposits from households, RONbn Deposits from companies, RONbn 30.4 18.7 26.4 15.5 11.3 7.7 7.9 5.4 18.4 19.1 10.1 11.0 Dec’16 Dec’17 Dec’16 Dec’17 Current accounts Deposits SMEs Large corporates 56% 44% 74% 26% RON FX RON FX *SMEs identified according to internal classification ru
Slide 15: NPL ratio at 3.05%
NPL ratio at 3.05% Banca Transilvania continued to provide a sound coverage ratio for its PAR 90 portfolio 127% 127% 122% 119% 117% 108% 46% 49% 45% 40% 54% 46% 43% 33% 45% 40% 33% 75% 77% 81% 79% 78% 74% 2012 2013 2014 2015 2016 2017 NPL coverage with mortgage collaterals NPL coverage with provisio
Slide 16: Retail banking
Retail banking retail loan portfolio reached RON 16.7 bn as of Dec’17 16.7 73,000 non-card retail loans disbursed in 15.1 2017 13.6 3.3 Market share for retail loans at December 2016 -14.25% 7.5 6.8 Mobile banking users: over 350,000 6.3 10.3 3 mn active cards; BT is the market leader, both
Slide 17: SME banking
SME banking SME loan portfolio at RON 4.3 bn and 236,000 active clients 4.3 Banca Transilvania continued its specific focus on the SME business sector, offering over 16,000 new loans in 2017 3.2 3.1 0.3 Next to the bank, the microfinance 2.5 2.5 2.6 subsidiary BT Mic granted 3,500 loans 2.8 2012
Slide 18: Corporate banking
Corporate banking corporate loan portfolio at almost RON 11 bn 11.0 11.1 The reorganizational process was 10.7 10.0 0.9 concluded, including client new 9.9 segmentation & deeper sectorial 8.7 specialization BT was present with lending facilities especially in the industrial manufacturing and agr
Slide 19: Banca Transilvania Financial Group
Banca Transilvania Financial Group as of 31.12.2017* Total assets: RON 59.3 bn Total assets: RON 63 mn Total assets: RON 139 mn Total assets: RON 187 mn Total assets: RON 782 mn Total assets: RON 171 mn AuM: RON 4,062 mn *Total assets for subsidiaries are presented under RAS rules 18 Banking sector
Slide 20: 2017 highlights – consolidated figures
2017 highlights – consolidated figures 2017 2016 ∆ Net interest income RONmn 1,890.4 1,764.0 7.2% Net fee and commission income RONmn 626.8 546.3 14.7% Operating expenses RONmn (1,445.4) (1,271.0) 13.7% profitability Gross profit before provisions RONmn 1,471.0 1,716.9 -14.3% Net income RONmn 1,242.
Slide 21: Annex I: income statement, individual
annex I income statement 2017– preliminary individual figures IFRS individual, RONmn 2017 2016 ∆ Net interest income 1,808.4 1,710.7 5.7% Net fee and commission income 581.0 509.5 14.0% Net trading income 223.7 183.5 21.9% Other net income 62.4 401.0 -84.4% Operating income 2,675.5 2,804.7 -4.6% Per
Slide 22: Annex II: balance sheet, individual
annex II balance sheet 2017 – preliminary individual figures IFRS individual, RONmn Dec 2017 Dec 2016 ∆ Cash & cash equivalents 6,637.8 5,293.6 25.4% Placements with banks 5,079.4 2,524.9 101.2% Loans to customers, net 29,914.0 27,210.0 9.9% T-bills & securities 16,338.5 15,402.1 6.1% Fixed assets 5
Slide 23: Annex III: income statement, consolidated
annex III income statement 2017 – preliminary consolidated figures IFRS consolidated, RONmn 2017 2016 ∆ Net interest income 1,890.4 1,764.0 7.2% Net fee and commission income 626.8 546.3 14.7% Net trading income 278.3 197.4 41.0% Other net income 120.9 480.3 -74.8% Operating income 2,916.4 2,988.0 -
Slide 24: Annex IV: balance sheet, consolidated
annex IV balance sheet 2017 – preliminary consolidated figures IFRS consolidated, RONmn Dec 2017 Dec 2016 ∆ Cash & cash equivalents 6,637.8 5,293.7 25.4% Placements with banks 5,090.2 2,563.8 98.5% Loans to customers, net 30,248.4 27,234.0 11.1% T-bills & securities 16,318.9 15,399.7 6.0% Fixed asse
Slide 25: 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