Turkiye Vakiflar Bankasi Turk Anonim Ortakligi · BIST:VAKBN
Turkiye Vakiflar Bankasi Turk Anonim Ortakligi — Türkiye Vakıflar Bankası T.A.O. (VakıfBank) — Q3 2014 Earnings Presentation
25 slides from Turkiye Vakiflar Bankasi Turk Anonim Ortakligi's earnings presentation, Nov 6, 2014
Slide 1: BRSA Bank-Only 3Q 2014 Earnings Presentation
Earnings Presentation INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 BRSA Bank-Only 3Q 2014 November 6, 2014 www.vakifbank.com.tr 1
Slide 2: 3Q 2014 Macro Highlights
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 3Q 2014 Macro Highlights Differentiation in policy directions of the leading Turkish GDP growth came in at 2.1% in 2Q14. Positive central banks was the main theme in 3Q14. contribution of net exports to GDP growth continued. YoY contraction in
Slide 3: 3Q 2014 VakifBank Highlights
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 3Q 2014 VakifBank Highlights Quarterly bank-only net income is 347.7 mio TL, Net Interest Income is up by 14.7% QoQ thanks to which is up by 35.6% YoY and flattish QoQ. 9M14 volume growth and core spread improvement bank-only net income realize
Slide 4: 3Q 2014 Earnings and Ratios
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 3Q 2014 Earnings and Ratios Quarterly Net Income (Mio TL) Annual Net Income (Mio TL) 35.6% ROAE (%) ROAA (%) www.vakifbank.com.tr 4
Slide 5: Asset breakdown
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Asset breakdown Total Assets (TL bio) Breakdown of Assets (%) 16.0% Other * Interbank 6.3% Securities The share of (1.5 ppt) loans in total Interest Earning Assets (TL bio) Loans assets 82.9% 82.1% 16.6% 83.1% 83.3% of total 1.6 ppt 66% 6.5% ww
Slide 6: Flattish TL and FX LtD Ratios
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Flattish TL and FX LtD Ratios Total Loans (TL bio) FC Loans (USD bio) 8.6% 18.9% 97.4 91.5 86.5 6.4% 81.9 14.7% 22.1% Loan/Deposit (%) 106.2 106.1 108.7 109.2 3.8% 17.8% www.vakifbank.com.tr 6
Slide 7: Well diversified loan breakdown
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Well diversified loan breakdown Breakdown of Loans (TL bio) Portfolio Shift (%) 3 18.9% 81.9 86.5 91.5 97.4 Other 1 6.4% SME 1.5 pps SME 2 Mortgage Retail (3.2 pps) GPC Com.&Corp. Com.&Corp. 1.7 pps 1 Other includes credit cards, overdraft and
Slide 8: Retail loan growth slightly above sector average
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Retail loan growth slightly above sector average General Purpose Consumer (TL bio) Residential Mortgages*(TL bio) # Ranking in peer group 8.5% #4 11.4% #2 3.2% 2.9% Strong presence in key retail segments Retail Overdraft (TL mio) Total Retail (
Slide 9: Sustainable growth on issuing volume
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Sustainable growth on issuing volume Credit Card Loans (TL mio) Outstanding Credit Cards (mio #) 2.8% Market share* (%) Average Quarterly Issuing Volume (TL mio) www.vakifbank.com.tr *Calculations based on monthly BRSA report. 9
Slide 10: Well balanced lending growth among profitable products
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Well balanced lending growth among profitable products Commercial&Corporate (TL bio) Project Finance Loans (USD bio) Project 24.4% 16.8% Finance 8.8% Loan 8.8% growth 8.8% QoQ SME*(TL bio) Total Com.&Corporate Loans**(TL bio) and 24.7% 16.8% 25
Slide 11: Solid deposit growth
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Solid deposit growth Total Deposits (TL bio) FC Deposits (USD bio) 15.6% Outperforming 6.7% 89.2 sector average; 81.5 84.2 77.2 5.9% 21.6 24.9 10.3 10.3 10.2 11.0 22.1 20.8 15.4% Demand Deposit 7.5% FC Deposits growth 56.4 59.4 62.6 2.7% 64.2 L
Slide 12: Customer deposits remain the main funding tool
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Customer deposits remain the main funding tool Breakdown of Liabilities (%) 1 #1 in private Other Breakdown of Liabilities (TL bio) placement flow worth of Sub-Debt Bonds Repo* 127.0 147.3 USD 2.5 bio through Funds Bor. Other Sub-Debt 101 trans
Slide 13: Stable composition of Securities
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Stable composition of Securities Total Securities (TL mio) Portfolio Structure 5.9% 22,963 22,128 22,350 21,691 2.7% Total CPI Linkers’ 19.3 bio TL share in TL 28.2% Securities 1.4% 1.8% increased to 38.3% 76.1% 70.0% in 3Q14 from 3.7 bio TL eq
Slide 14: Asset quality improvement remained intact
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Asset quality improvement remained intact Overall NPL Ratio* (%) Mortgages NPL (%) Total Retail NPL (%) Sector Sector Sector General Purpose Consumer NPL (%) SME NPL (%) Credit Cards NPL (%) Sector Sector Sector www.vakifbank.com.tr * Accumulat
Slide 15: Promising asset quality with well above sector average coverage ratio
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Promising asset quality with well above sector average coverage ratio NPL (mio TL)* Breakdown of New NPL Inflow (%) Other Credit Cards SME Mortgage GPC Com.&Corp. Specific Cost of Risk (%) Group II Loans (mio TL) Coverage Ratio (%) 18.3 21.2 Se
Slide 16: Solvency ratios
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Solvency ratios Capital Adequacy Ratio (%) 11.0% 10.6% 11.6% 11.2% Core Tier I -18 bps BRSA Recom. 12% Min. Ratio 8% www.vakifbank.com.tr 16
Slide 17: NIM, Spreads and Costs
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 NIM, Spreads and Costs Yields (%) Cost of Deposits (%) TL Loans TL Securities TL Deposits FC Deposits (22 bps) (242 bps) (105 bps) (29 bps) Net Interest Margin (NIM %) FC Loans FC Securities* 19 bps 42 bps 40 bps www.vakifbank.com.tr * MIS data
Slide 18: Earnings breakdown
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Earnings breakdown Net Interest Income (TL mio) Breakdown of Total Revenues (%) Other Dividend Trading Net F&C NII Core Banking Revenues* (TL mio) 9M14 Dividend Other 16.8% Trading 15.1% Net F&C NII 9M13 www.vakifbank.com.tr *NII + NFC 18
Slide 19: Revenue Items
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Revenue Items Net Fee and Commission Income (TL mio) F&C Income/Total Revenues (%) 37.8% 17.7% Breakdown of Net Fee & Com. Income (%) Insurance Other Cash Loans Insurance Inquiry Cash Loans &Expertise Inquiry & Expertise Credit Cards Non-Cash L
Slide 20: Opex
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Opex Operating Expenses (TL mio) Breakdown of Operating Expenses (%) 12.1% Other 2,289.4 Rental 2,218.1 Advertisement Personnel Exp. (3.7%) 8.6% Exp. Administrative Exp. 9M14 Cost/Income *(%) Other Advertisement Exp. Rental Personnel Exp. Admin
Slide 21: VakifBank with numbers
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 VakifBank with numbers Distribution Channels & 3Q14 Efficiency (‘000 TRY) 3Q14 Customer Base (#) Branches 882* Assets per Employee 9,989 ATMs 3,127 Assets per Branch 166,968 Personnel 14,743 Loans per Employee 6,606 POS Terminals 146,646 Loans
Slide 22: Balance Sheet
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Balance Sheet YoY QoQ (TL-mio, %) 3Q2013 2Q2014 3Q2014 Growth Growth Cash & Balances with Central Bank 17,104 18,638 19,431 13.6% 4.3% Interbank 1,582 1,286 2,354 48.9% 83.1% Assets Securities 21,691 22,350 22,963 5.9% 2.7% Loans 81,927 91,541
Slide 23: Income Statement
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Income Statement YoY QoQ (TRY-Thousand, %) 9M2013 2Q2014 3Q2014 9M2014 Growth Growth Net Interest Income 3,654,317 1,046,293 1,199,883 3,305,324 (9.6%) 14.7% Net Fee & Com. Income 527,589 171,362 201,767 518,234 (1.8%) 17.7% Dividend Income 53,
Slide 24: Diversified funding source via Non-Deposit Funding
INVESTOR RELATIONS Earnings Presentation_Bank Only 3Q14 Diversified funding source via Non-Deposit Funding Syndicated Loan September, 2014 •Secured US$ 168.5 million and € 528,75 million 1 year syndicated loan, all-in cost as Libor +0.90% and Euribor + 0.90%, respectively •110% roll-over ratio 26 ba
Slide 25: Investor Relations
A member of BIST Sustainability Index Investor Relations Çamlık Cad. Çayır Çimen Sok. No:2 Kat:6 34330 1. Levent-İstanbul / Turkey E-mail: investor.relations@vakifbank.com.tr Tel (90-212) 316 7390 Fax (90-212) 316 7126 www.vakifbank.com.tr Disclaimer Notice: This report has been prepared by VakıfBan
Türkiye Vakıflar Bankası T.A.O. (VakıfBank) — Q3 2014 Earnings Presentation on 6ix