Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB
Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.Ş. — Q3 2011 Earnings Presentation
24 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, 2011
Slide 1: Q3 2011 Earnings Presentation
Q3 2011 Earnings Presentation BRSA Bank Only
Slide 2: Macro Outlook
Q3 2011 Earnings Presentation Macro Outlook > The Turkish economy grew by 8.8%, beating 6.9% Q2 > In the light of CBRT action plan, benchmark bond, loan, market consensus and rendering an impressive H1 growth and deposit rates all moved up. of 10.2%. 7.5% GDP growth is expected for 2011. > Turkey’s
Slide 3: Banking Sector Outlook
Q3 2011 Earnings Presentation Banking Sector Outlook > Sector loan growth up by 25.6% YtD; excluding currency > Solid asset quality is being preserved: gross NPLs effects however, loan growth was ~19%YtD. decreased by 7.3% YtD and 1.5% QoQ. As a result, the > LC loans up by 21.7% whereas FX loans in
Slide 4: Q3 2011 Highlights: As profitable as usual
Q3 2011 Earnings Presentation Q3 2011 Highlights As profitable as usual > Net interest income increased by 7.0% QoQ. > Retail loans increased by 28.4% YtD and by 4.7% > Superior 26.2% RoE among peers. QoQ. > Unlike the sector, NIM retained at 4.5%. > Total deposits expanded by 13.7% YtD and amounted
Slide 5: Assets continued to increase on the back of loan growth
Q3 2011 Earnings Presentation Assets continued to increase on the back of loan growth Asset Mix (%) Asset Growth IEA Loans YoY 30.4% YtD 24.4% 85.8% Securities Other Assets Total Asset Growth (TRY billion) Composition of IEAs(a) 30.4% 94.1% 88.3%(b) 87.3%(b) 85.2%(b) 85.8%(b) 24.4% 6.0% FX 25.1% 25.
Slide 6: Well managed and diversified funding base
Q3 2011 Earnings Presentation Well managed and diversified funding base Loan to Deposit (%) Composition of IBLs(a) Liabilities Mix (%) Total L/D Deposits Other Liabilities Funds Borrowed Shareholder’s Equity Interbank Money Market 88.5 84.6% 84.7% 85.3% 86.0% 85.8% 84.4 88.3 78.6 80.9 FX 32.4% 31.4%
Slide 7: Modest growth in securities portfolio
Q3 2011 Earnings Presentation Modest growth in securities portfolio Total Securities Portfolio(a) (TRY billion) Total Securities Composition HTM AFS Trading 22.5 0.4% 0.4% 0.7% 0.5% 0.7% 20.7 20.9 21.4 20.2 3.7 3.1 31.4% 36.6% 38.3% 40.8% 41.4% 3.2 3.0 16% FX 3.5 14% 15% 15% 17% 17.6 16.7 17.8 18.3
Slide 8: Evenly distributed interest profile of the securities
Q3 2011 Earnings Presentation Evenly distributed interest profile of the securities Total Securities Portfolio(a) (%) FX Securities Portfolio(a) (%) FIXED 43 46 47 47 50 FIXED 99 99 99 99 99 FRN 57 54 53 53 50 FRN Sep-10 2010 Mar-11 Jun-11 Sep-11 Sep-10 2010 Mar-11 Jun-11 Sep-11 TRY Securities Portf
Slide 9: Loan growth in line with the industry trend
Q3 2011 Earnings Presentation Loan growth in line with the industry trend (TRY billion)(a) Total Loans 35.8% HALKBANK B. Sector (b) 24.4% YtD YtD 24.4% 25.6% 6.8% Fund Loans QoQ QoQ 54.2 up 6.1% YtD 6.8% 6.5% 50.8 1.3 up 2.1% QoQ 46.8 1.2 5.2 Cooperative Loans TRY Loans 43.6 1.2 4.6 up 40.6% YtD HAL
Slide 10: Concentration on widespread business segments; SME and retail
Q3 2011 Earnings Presentation Concentration on widespread business segments; SME and retail Loans by Currency (TRY billion )(a) Loans by Types Funds 2% FX 10.2 12.0 14.2 15.2 17.3 Cooperatives 10% 25.6% 27.6% 30.3% 30.0% 31.9% Commercial 61% TRY 29.7 31.5 32.6 35.6 36.9 74.4% 72.4% 69.7% 70.0% 68.1%
Slide 11: Moderate growth in retail
Q3 2011 Earnings Presentation Moderate growth in retail (TRY billion)(a) 42.6% HALKBANK 28.4% YtD 4.7% 28.4% 14.6 QoQ 13.9 Consumer Loans 4.7% 12.5 8.1 8.4 up 27.3% YtD 11.4 7.3 up 3.2% QoQ 10.2 6.6 Share in total 57.3% B. SECTOR(b) 5.9 YtD 24.2% QoQ Housing Loans 4.5% up 30.1% YtD up 7.3% QoQ 3.6 4
Slide 12: Further market share gaining in non-cash lending
Q3 2011 Earnings Presentation Further market share gaining in non-cash lending Breakdown of Non-cash Loans (%)(a) Non-cash Loans (TRY billion )(a) (Sep-11 ) Bank Loans and Other 39.0% 4.9% 30.3% 10.4% Letters of Credit Letters of 16.6 Guarantee 15.0 24.5% 70.6% 12.7 13.3 11.9 Bank Loans and Other (S
Slide 13: Declining trend continued in gross NPLs
Q3 2011 Earnings Presentation Declining trend continued in gross NPLs NPL Portfolio (TRY million) NPL Coverage (%) 1,718 1,758 1,713 1,655 1,637 82.8 83.3 84.4 84.0 84.0 Since 2002 577 570 568 537 528 Legacy NPLs 2001 and before Sep-10 2010 Mar-11 Jun-11 Sep-11 Sep-10 2010 Mar-11 Jun-11 Sep-11 NPL /
Slide 14: Improved asset quality
Q3 2011 Earnings Presentation Improved asset quality Halkbank Sector (a,b) NPL / Total Loans (% )(a) Consumer Loans (%)(b) 4.3 3.8 4.3 3.7 4.1 3.5 3.1 2.8 2.6 3.7 3.1 2.9 3.2 1.9 1.7 2.9 2.7 1.5 1.3 1.3 Sep-10 2010 Mar-11 Jun-11 Sep-11 Sep-10 2010 Mar-11 Jun-11 Sep-11 SME Loans (%) Credit Cards (%)(
Slide 15: Raised the bar for demand deposit; 15.6% of total
Q3 2011 Earnings Presentation Raised the bar for demand deposit; 15.6% of total TRY Deposits by Types Total Deposits by Currency Demand Deposit (TRY billion)(a) (TRY billion)(a) (TRY billion)(a) Demand Deposits/Total Deposits 13.7 15.6 Other Inst. Deposits Public Sector 20.6% 12.3 Interbank Savings
Slide 16: Superior performance in fee income generation
Q3 2011 Earnings Presentation Superior performance in fee income generation Net Fees & Commissions Income (TRY million) 59.2% 36.1% 7.6% 535 182 195 393 158 123 133 Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Sep-10 Sep-11 Breakdown of Fees & Commissions Income Net Fees & Commissions Income/Total Operating Revenu
Slide 17: Quarterly flattish OPEX; Cost/Income at 36.3%
Q3 2011 Earnings Presentation Quarterly flattish OPEX; Cost/Income at 36.3% Operating Expenses (TRY million) Operating Expenses/Average Assets (%) 1.7% 2.2 2.2 2.2 2.1 2.1 428 414 425 433 374 Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Sep-10 2010 Mar-11 Jun-11 Sep-11 Cost/Income (%) Breakdown of Operating Expens
Slide 18: NII surged by 7.0% QoQ
Q3 2011 Earnings Presentation NII surged by 7.0% QoQ Net Interest Income (TRY million) Breakdown of Interest Income 7.0% 73% on Loans 822 791 846 706 734 27% on Securities Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Interest Income (TRY million) NIM (%) On Securities On Loans YtD Quarterly 1,394 1,127 1,210 1,080
Slide 19: Cost-Yield-Spread - Quarterly
Q3 2011 Earnings Presentation Cost-Yield-Spread(a) - Quarterly Cost of Deposits (%) Spreads (%) On Securities On Loans 5.6 5.5 5.2 5.4 5.1 5.7 5.6 5.2 5.0 5.3 4.5 3.1 4.0 2.4 3.0 Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Yield on Loans (%)(b) Yield on Securities (%) 11.3 9.9 9.2 11
Slide 20: Net Income - Profitability Ratios
Q3 2011 Earnings Presentation Net Income - Profitability Ratios Net Income (TRY million) ROE (%) 5.9% 31.7 YtD Quarterly -1.7% 30.5 476 500 525 512 504 27.9 27.4 28.1 27.9 26.2 27.5 26.3 24.8 Q3-10 Q4-10 Q1-11 Q2-11 Q3-11 Sep-10 2010 Mar-11 Jun-11 Sep-11 Capital Ratios (%) ROA (%) CAR Tier 1 Ratio Y
Slide 21: Branch Network – Human Resources
Q3 2011 Earnings Presentation Branch Network – Human Resources > 13 new branches commenced their operations in Q3 11. Branch network has been strengthened with 60 branch openings since the beginning of the year. Total figure climbed up to 765. Total Branches(a) Human Resources 13,686 13,450 13,382 1
Slide 22: Balance Sheet
Q3 2011 Earnings Presentation Balance Sheet In TRY million Sep-10 2010 Jun-11 Sep-11 QoQ YtD YoY Change % Change % Change % Cash and Balances Held with the Central Bank (a) 4,026 4,650 8,511 8,494 (0) 83 111 Banks & Money Market (b) 1,515 1,109 1,215 1,618 33 46 7 Securities (b) 20,744 20,207 21,390
Slide 23: Income Statement
Q3 2011 Earnings Presentation Income Statement In TRY million Sep-10 Sep-11 YoY% Q4-10 Q1-11 Q2-11 Q3-11 QoQ % Interest Income 4,704 5,112 9 1,647 1,550 1,697 1,866 10 On Loans 3,117 3,732 20 1,139 1,127 1,210 1,394 15 On Securities 1,512 1,370 (9) 502 421 484 464 (4) Interest Expense 2,335 2,741 17
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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