Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB
Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.S. — Q1 2022 Earnings Presentation
24 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, 2022
Slide 1: 1Q 2022 Earnings Presentation
1Q 2022 Earnings Presentation DISTINGUIS H ED PROFIT A BLE RESI L IENT RIS K CONSCIOUS RELIA B LE SUST A INABLE NATIO N WIDE MAR K ETMAKER BRSA Bank Only
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Slide 3: Asset Growth
1Q 2022 Earnings Presentation Gradual asset growth with a highly liquid balance sheet structure > FX LCR is at 232%, well above the regulatory limit of 80%. Asset Mix (%) Asset Growth Loans Securities Bank Placements CBRT Receivables Cash YoY 39.3% QoQ 7.1% Liq. Assets Other Assets Total Asset Growt
Slide 4: Impressive gain on CPI-linkers continued, share within portfolio increased to 37%
1Q 2022 Earnings Presentation Impressive gain on CPI-linkers continued, their share within the portfolio increased to 37% Total Securities Portfolio (TRY billion) Securities Classification (TRY billion)(*) Total Securities / Total Assets (%) 26.8 Fixed Rate (FX) Other Floating Rate CPI Linkers Fixed
Slide 5: Balanced QoQ loan growth backed by the SME segment
1Q 2022 Earnings Presentation Balanced QoQ loan growth backed by the SME segment CGF Utilisation (TRY bn) Dec-21 Mar-22 Current loan amount 41.7 39.9 (TRY billion)(a) 29.8% Total Loans 8.5% HALKBANK B. Sector(b) YoY YoY 558.3 29.8% 45.7% QoQ QoQ 514.6 8.5% 12.3% 440.9 438.9 430.2 Business Loans TRY
Slide 6: Well-collateralised and TRY dominant loan book
1Q 2022 Earnings Presentation Well-collateralised and TRY dominant loan book Loans by Currency (%)(a) Loans by Customer Segmentation (%)(a) Commercial 3% FX SME 7% Commercial 3% 27.6% SME 42% Corporate 91% Corporate 39% CGF 12% TRY 72.4% Cooperative 35%(b) Retail 16% Sectoral Breakdown of Loans (%)
Slide 7: NPL ratio remained strong at 2.9% with an improving coverage
1Q 2022 Earnings Presentation NPL ratio remained strong at 2.9% with an improving coverage NPL Portfolio (TRY million) NPL Coverage (%) 17,073 72.9 74.5 16,297 15,822 15,849 15,751 64.0 59.1 60.1 Mar-21 Jun-21 Sep-21 2021 Mar-22 Mar-21 Jun-21 Sep-21 2021 Mar-22 Loans under Close Watch (TRY million)
Slide 8: NPL ratio by segments
1Q 2022 Earnings Presentation NPL ratio by segments Halkbank NPL Sector NPL (*) Corporate - Commercial (%) Consumer Loans (%) 4.5 4.6 3.6 3.6 3.9 3.5 3.3 3.3 2.9 2.9 2.6 2.6 2.2 2.9 2.7 2.5 2.6 2.0 1.9 1.8 Mar-21 Jun-21 Sep-21 2021 Mar-22 Mar-21 Jun-21 Sep-21 2021 Mar-22 SME Loans (%) Credit Cards (
Slide 9: Precautionary provisioning maintained, S2 and S3 coverage increased
1Q 2022 Earnings Presentation Precautionary provisioning maintained, S2 and S3 coverage increased to a higher level than 21YE Provisions and Reversals (TRY million) Net Cost of Risk (bps) (Cumulative) Total Specific Quarterly (TRY million) Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 168 S1 Provisions 350 12
Slide 10: Improving TRY LDR which maintains a comfortable level
1Q 2022 Earnings Presentation Improving TRY LDR which maintains a comfortable level of 127.8% Loan to Deposit (%) Composition of IBLs(a) Liabilities Mix (%) (b) Halkbank L/D Sector L/D 89.0% 89.1% 88.9% 89.8% 87.0% Deposits Marketable Funds Borrowed Securities Issued Interbank Money Market Sharehold
Slide 11: Strong TRY deposit growth supported by public sector deposits
8 -6.36 3 1Q 2022 Earnings Presentation Strong TRY deposit growth is supported by an increasing share of HALKBANK B. Sector(b) public sector deposits YoY 64.8% 72.3% HALKBANK B. Sector(b) HALKBANK B. Sector(b) QoQ -6.7% 1.9% YoY 42.6% 63.2% YoY 25.0% 51.9% in USD YoY -8.2% -4.0% QoQ 7.3% 12.5% QoQ 2
Slide 12: TRY deposit book started to pick up, 49% of total deposits
1Q 2022 Earnings Presentation TRY deposit book started to pick up, corresponding 49% of total deposits Demand Deposits (TRY billion)(a) Time Deposits (TRY billion)(a) Deposits by Currency (%)(b) Demand Deposits/Total Deposits (%) Time Deposits/Total Deposits (%) 25.0% 24.6% 18.1% 18.6% 19.4% 81.9% 8
Slide 13: Cost – Yield – Spread
1Q 2022 Earnings Presentation Cost – Yield – Spread Blended Cost - Yield - Spread (%) Spreads (%) Yield on Loans Cost of Deposits(*) Spread TRY Core FX Core Blended Core 8.0 5.6 5.1 13.2 12.5 4.8 4.4 12.5 6.6 5.0 10.5 11.1 4.1 6.6 5.0 2.1 2.1 4.1 1.7 1.7 1.1 -1.0 -0.4 (6.6) (7.6) (8.7) (9.0) (8.4) -
Slide 14: Swap adj. NIM improved by 130 bps QoQ on a cumulative basis
1Q 2022 Earnings Presentation Swap adj. NIM improved by 130 bps QoQ on a cumulative basis Net Interest Income (TRY million) NIM (%) Interest Income Interest Expenses YtD Quarterly 11.9 Swap adj. (QoQ) 54.5% 4.8 Swap adj. (YtD) 4.1 4.8 19,907 10.7 9,067 2.8 1,084 4,269 0.7 4.3 4.3 -99 -0.1 1.2 2.9 15
Slide 15: Strong operating revenue and reduced trading loss generates RoE at 15.4%
1Q 2022 Earnings Presentation Strong operating revenue and a reduced trading loss generates a RoE at 15.4% QoQ Total Operating Revenues (TRY million)(a) Q1-22 Revenue Walk (TRY million) 201% 1,434 9,067 14,602 (1,225) 10,050 (1,016) 3,344 (3,186) 2,025 3,201 1,649 (3,050) NII Net F&C Income Net Trad
Slide 16: Normalised OPEX, Cost/Income Ratio improved to 31.7%
1Q 2022 Earnings Presentation Normalised OPEX, Cost/Income Ratio improved to 31.7% Operating Expenses (TRY million) Operating Expenses / Average Assets (%) 44.8% 6.3% 1.46 1.38 3,186 1.30 1.31 2,998 1.19 2,199 2,387 2,086 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Cost/Income (%) Br
Slide 17: Solvency Ratios
1Q 2022 Earnings Presentation Solvency Ratios CAR (%) Details on Capital Ratio Tier-I CAR Details on Capital Ratio Cons. Basel III Uncons. Basel III 17.6 (TRY mn) Mar-21 Mar-22 14.6 13.7 14.5 Credit Risk Base Amount (CRBA) 491,692 476,256 13.4 15.3 Market Risk Base Amount (MRBA) 16,218 10,511 12.0 1
Slide 18: Total active digital customers reached up to 4.7 million
1Q 2022 Earnings Presentation Total active digital customers reached up to 4.7 million Active Digital Customers by Types (Million) # of Total Active Digital Customers(a) # of Active Mobile-only Customers # of Active Internet-only Customers 29% 4.5 4.7 4.0 3.7 3.9 # of active digital banking customer
Slide 19: Branch Network – Human Resources
1Q 2022 Earnings Presentation Branch Network – Human Resources Loans and Deposits per Branch (TRY million) Breakdown of Banking Transactions (%) Loans/Branches Deposits/Branches Internet Automatic 659.4 Banking 6% Payment 4% 614.8 ATM 19% 528.9 549.3 508.1 502.7 Call Center 6% 468.3 Mobile Branch 4%
Slide 20: Annex
1Q 2022 Earnings Presentation Annex TRY Market Banking Halkbank Million Share (%) Sector Metrics(b) 1Q21 1Q22 Total Assets 965,287 9.5 Loan Growth (YtD, %) 5.6 12.3 Loans (a) 558,338 10.1 Deposit Growth (YtD, %)(c) 5.3 12.5 TRY Loans 404,029 12.5 LDR (%) 103.1 91.1 FC Loans 154,308 6.8 NPL (%) 3.8 2
Slide 21: Balance Sheet
1Q 2022 Earnings Presentation Balance Sheet QoQ YoY In TRY million Mar-21 2021 Mar-22 Change% Change% Cash and Balances Held with the Central Bank(a) 62,042 123,424 103,861 (15.9) 67.4 Banks & Money Market(b) 3,507 3,534 5,000 41.5 42.6 Securities(b) 165,483 223,301 259,145 16.1 56.6 Net Loans(b) 43
Slide 22: Income Statement
1Q 2022 Earnings Presentation Income Statement QoQ YoY In TRY million Q1-21 Q4-21 Q1-22 Change% Change% Interest Income 15,173 35,417 26,422 (25.4) 74.1 On Loans 11,285 16,217 16,876 4.1 49.5 On Securities 3,656 18,718 9,186 (50.9) 151.2 Interest Expense 15,272 15,510 17,355 11.9 13.6 On Deposits 10
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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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