Icbc Turkey Bank Anonim Sirketi · BIST:ICBCT
Icbc Turkey Bank Anonim Sirketi — Tekstilbank — Q1 2010 Earnings Presentation
19 slides from Icbc Turkey Bank Anonim Sirketi's earnings presentation, Mar 31, 2010
Slide 1: Earnings Presentation March 31, 2010 / BRSA Bank-Only
Earnings Presentation March 31, 2010 / BRSA Bank-Only 1
Slide 2: Focal points in 2009 and highlights of Q1 2010
Focal points in 2009 were: Preserving capital Maintaining optimum liquidity Close cost monitoring Highlights of Q1 2010: Margin focus rather than volume growth • Redemption of lower yielding loans • Avoiding the price competition on deposit side Increasing share of securities Strong capi
Slide 3: Looking into 2010...
Looking into 2010... Macro Macro Banking BankingSector Sector Tekstilbank Tekstilbank More encouraging macroeconomic environment: Volume growth gaining pace: Pressure on NIM in line with the sector GDP Growth of 4.0%, following 10-15% loan growth a shrinkage of 4.7% in 2009 10-13% deposit
Slide 4: Increasing share of securities...
Increasing share of securities... Composition of Assets Total Assets (TRY mn) CAGR 04-07: YoY: -23% 35% 2,549 9.6% 10.7% 10.0% 8.8% 9.1% 2,033 1,981 2,133 1,952 8.6% 6.8% -8% 15.6% 13.9% 13.4% 28.2% 10.7% 10.7% 10.9% 70.7% 8.4% 71.9% Q109 Q209 Q309 2009 Q110 65.4% 62.8% Currency Composition of Asset
Slide 5: Margin focus intensifies: redemption of lower yielding loans...
Margin focus intensifies: redemption of lower yielding loans... Total Cash Loans (TRY mn) TL Cash Loans (TRY mn) YoY: -1% YoY: 17% 1,371 1,534 1,276 1,295 1,381 -10% 1,062 Loans / Customer Deposits 769 811 866 902 -15% 116% 111% 106% 101% 100% Q109 Q209 Q309 2009 Q110 Q109 Q209 Q309 2009 Q110 Curren
Slide 6: Accordingly, release of high cost deposits...
Accordingly, release of high cost deposits... Composition of Liabilities Total Deposits* (TRY mn) TL Deposits* (TRY mn) & SHE YoY: -13% YoY: -14% 3% 3% 3% 3% 3% 1,358 1,447 787 1,150 726 24% 1,290 1,186 631 673 22% 625 18% -18% 23% 24% -7% 26% 7% 8% 12% 17% Q109 Q209 Q309 2009 Q110 Q109 Q209 Q309 20
Slide 7: Strong capital: Capital adequacy at 22%
Strong capital: Capital adequacy at 22% Capital Adequacy Ratio (CAR) Free Equity (TRY mn) Free Equity / Equity 69.3% 70.5% 22.2% 66.8% 21.7% 22.0% 64.8% 64.8% 20.8% 19.5% 334 313 324 298 301 Q109 Q209 Q309 2009 Q110 Q109 Q209 Q309 2009 Q110 Free Equity: SHE-subsidiaries-property & equipment-intangib
Slide 8: Significant improvement in asset quality, translating into decline in cost of risk...
Significant improvement in asset quality, translating into a considerable decline in cost of risk... NPL Ratio NPL Ratio (including non-cash loans) Tekstilbank Market Average Tekstilbank Market Average 6.8% 6.8% 6.0% 6.7% 5.3% 5.3% 4.4% 5.0% 4.9% 4.4% 4.1% 4.4% 4.9% 3.3% 3.6% 4.3% 3.0% 4.0% 4.0% 3.7
Slide 9: Retail banking...
Retail banking... Breakdown of Loan Portfolio Breakdown of Retail Loans (TRY mn) YoY: -3% 2.8% 3.1% 2.8% 2.3% 2.3% 13.1% 12.6% 11.1% 13.1% 213 13.0% 219 206 205 199 3% 39 39 36 35 32 84.1% 86.6% 67 81 83.9% 84.6% 84.6% 65 74 65 19 15 13 11 10 94 86 85 90 86 Q109 Q209 Q309 2009 Q110 Q109 Q209 Q309 20
Slide 10: Group Loans...
Group Loans... Related party exposure has been historically below market average... Group Total Risk / Total Risk Tekstilbank Market Average* 2.3% 2.3% 2.5% 2.4% 1.2% 3.1% 2.8% 1.4% 1.0% Q109 Q209 Q309 2009 Q110 Cash + Non-cash risk Group Cash Loans / Cash Loans Group Non-Cash Loans / Non-Cash Loans
Slide 11: Non-cash loans...
Non-cash loans... Total Non-Cash Loans (TRY mn) TL Non-Cash Loans (TRY mn) Non-Cash / Cash Loans YoY: -18% YoY: -14% 914 797 748 753 748 432 387 369 373 373 -0.6% Q109 Q209 Q309 2009 Q110 Q109 Q209 Q309 2009 Q110 66.6% 62.5% 57.8% 54.2% Currency Breakdown of 49.1% FX Non-Cash Loans (US$ mn) Non-Cash
Slide 12: Interest Income & Expense...
Interest Income & Expense... Interest Income (TRY mn) Composition of Interest Income 81 -43% 7% 2% Other 11% 6 46 12% 10 Securities 1 86% 5 Loans 65 80% 40 Q109 Q110 Q109 Q110 Interest Expense (TRY mn) Composition of Interest Expense 47 -53% Interbank & Other 0.5 1% 3% 22% 12% 22 10.6 Funds Borrowed
Slide 13: Margin pressure continues...
Margin pressure continues... Banking Income (TRY mn) Adjusted Net Interest Margin* 51.7 34.5 4.6 5.0 6.8% 6.4% 6.2% 5.9% 5.4% 5.3% 5.3% 4.9 4.3% 4.6% 3.8 42.1 Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110 25.8 Q109 Q110 Adj.NII (by FX and trading gain / loss) Net Fees Other * Adjusted by FX gain / lo
Slide 14: Strict cost measures paid off...
Strict cost measures paid off... Operating Expenses (TRY mn) Composition of Operating Expenses 28.4 -21% 22.5 25% 23% 6.5 9% 0.4% 9% 0.1% 2.5 5% 0.1 5.7 6% 1.4 2.1 0.02 63% 1.3 60% 17.9 13.5 Q109 Q110 Q109 Q110 Personnel Depr.& Amort. Advertising Personnel Depr.& Amort. Advertising Operational Leasi
Slide 15: Summary Balance Sheet...
Summary Balance Sheet... TRY mn Q109 2009 Q110 Cash & Banks 739 201 148 Total Securities 215 229 262 Total Cash Loans 1,371 1,534 1,381 Fixed Assets & Subsidiaries 126 102 98 Other 98 68 63 Total Assets 2,549 2,133 1,952 Deposits* 1,358 1,447 1,186 Interbank Money Market* 4 9 85 Borrowings 663 146 1
Slide 16: Summary Income Statement...
Summary Income Statement... TRY mn Q109 Q110 Interest Income 81.4 46.2 Loans 65.3 40.0 Securities 10.1 5.3 Other 6.1 1.0 Interest Expense 47.4 22.1 Deposits 36.2 18.8 Funds Borrowed 10.6 2.6 Interbank & Other 0.5 0.7 Net Interest Income 34.1 24.1 Net FX Gain (Loss)* 2.7 1.0 Adj. Net Interest Income
Slide 17: Summary Income Statement (Consolidated)...
Summary Income Statement (Consolidated)... TRY mn Q109 Q110 Interest Income 82.8 46.6 Loans 66.5 40.2 Securities 10.2 5.4 Other 6.1 1.0 Interest Expense 48.8 22.2 Deposits 38.4 18.9 Funds Borrowed 9.9 2.6 Interbank & Other 0.5 0.7 Net Interest Income 34.0 24.4 Net FX Gain (Loss)* 2.0 1.0 Adj. Net In
Slide 18: Disclaimer
Disclaimer Statement The information, opinions and estimates contained in this document have been compiled or arrived at by Tekstilbank from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, completeness or corre
Slide 19: For further information please contact
For further information please contact: Investor Relations Phone: +90-212-335-5159 investorrelations@tekstilbank.com.tr www.tekstilbank.com.tr 19