Is Finansal Kiralama A.s. · BIST:ISFIN

Is Finansal Kiralama A.s — Q2 2017 Earnings Presentation

27 slides from Is Finansal Kiralama A.s's earnings presentation, Jun 30, 2017

  1. Slide 1: Investor Presentation 30 June 2017

    Investor Presentation 30 June 2017

  2. Slide 2: Leasing Sector in Turkey

    iS LEASING Leasing Sector in Turkey

  3. Slide 3: Leasing

    LEASING  VAT is %1 for various types of machinery  Sale&lease back has been added to product range in 2013  Expertise on SMEs, consultancy and know-how support in addition to funding  FX borrowing option (Bank FX loans have some restrictions)  Fast credit approvals (leased-asset ownership), fle

  4. Slide 4: Sector New Leasing Volume

    SECTOR NEW LEASING VOLUME Leasing penetration is still at low levels New Leasing Volume compared to EU average of 15% and (million USD) North America average of 18%. 7637 6990 12% 6365 6130 5360 10% 4891 8% 6% 2865 4% 2% 0% 2006 2008 2010 2012 2014 2016 2011 2012 2013 2014 2015 2016 2017 H1 Penetrat

  5. Slide 5: Leasing Receivables

    LEASING RECEIVABLES TL FX 120% 14000 9530 11694 12698 12632 12509 13527 12000 100% 23% 26% 28% 25% 26% 28% 10000 80% 8000 60% 6000 40% 4000 20% 2000 0% 0 2012 2013 2014 2015 2016 2017 H1 5

  6. Slide 6: Customer Base

    Müşteri Adedi CUSTOMER BASE 70.000 12% 10,8% 10,0% 60.000 9,0% 10% 8,2% 50.000 8,0% 8,2% 8% 40.000 6% 30.000 4% 20.000 2% 10.000 - 0% 2012 2013 2014 2015 2016 2017/H1 Sector total İş Leasing share 2016 vs. 2015 Fastest customer growth in Customers Δ Contracts Δ the sector İŞ LEASING 15% 15% 6

  7. Slide 7: Company Overview

    is LEASING Company Overview

  8. Slide 8: Milestones & Shareholders

    MILESTONES & SHAREHOLDERS 1995 2009 1985 İş Bank Joined BIST Leasing law group took corporate enacted over governance index 1988 2000 2011 Established by Listed in First corporate İş Bank, Soc İstanbul Stock bond issuer in Gen and IFC Exchange leasing sector (ISFIN) OTHERS 40,1% TSKB İŞ BANK 29,5% 3

  9. Slide 9: Participations

    PARTICIPATIONS Subsidiaries and Carrying Amount Ownership % Participations (000 TL) İş Faktoring A.Ş. 53.932 78,23 Other 31.372 0,06- 10,00 9

  10. Slide 10: Organization Chart

    ORGANIZATION CHART BOD Internal Audit & Risk Management CEO AGM AGM AGM Treasury & Financial Sales Credit 1 & 2 Institutions Financial Marketing Risk Monitoring Management Investor Operations Legal Affairs Relations HR & Purchasing Administration IT 10

  11. Slide 11: Branch Network

    BRANCH NETWORK Avcılar Şişli Gebze Kozyatağı Trabzon Ostim Bursa Ankara Kayseri Diyarbakır İzmir Konya Denizli Gaziantep Antalya Adana 15 Branches 52 Sales staff 150 Total staff 11

  12. Slide 12: Lease Portfolio

    iS LEASING Lease Portfolio

  13. Slide 13: Sales Channels

    SALES CHANNELS 2016 2017/H1 İŞ BANK VENDORS DIRECT MARKETING İŞ BANK VENDORS DIRECT MARKETING 15% 16% 57% İşbank: 1351 local and 23 45% foreign branches, largest network among private banks. 27% 40% 13

  14. Slide 14: Asset Distribution, %

    ASSET DISTRIBUTION , % 36,5 2016 2017/H1 35,8 23,5 19,3 19,1 18,5 16,3 12,5 4,8 5,1 4,6 4,3 REAL ESTATE MACHINERY CONSTRUCTION TRANSPORT. TEXTILE OTHERS MACH. 14

  15. Slide 15: Sectoral Distribution, %

    SECTORAL DISTRIBUTION , % 28,2 2016 2017/H1 25,9 24,3 22,9 14,5 11,3 10,7 7,0 7,8 6,5 6,7 6,5 5,5 4,9 4,6 4,5 4,5 3,8 CONSTRUCT TEXTILE METAL IND. TRANSPORT ENERGY RETAIL CHEMICALS FINANCE OTHERS 15

  16. Slide 16: Geographical Distribution

    GEOGRAPHICAL DISTRIBUTION ANKARA BURSA OTHER 14% 4% 20% İZMİR 4% KONYA 3% ANTALYA 2% ANTEP HATAY 4% 2% KOCAELİ İSTANBUL 2% 45% 16

  17. Slide 17: Maturity Distribution

    MATURITY DISTRIBUTION 2016 2017 H1 LEASES LEASES BORROWINGS BORROWINGS 26 27 25 20 19 19 20 19 12 8* 10 8* USD EUR TRY USD EUR TRY average, months *Portion funded by equity is included. 17

  18. Slide 18: Currency Distribution

    CURRENCY DISTRIBUTION TL TL TL 36% 37% 37% USD USD USD 24% 26% 32% EUR EUR EUR 39% 37% 33% 2015 2016 2017 H1 18

  19. Slide 19: Leverage

    LEVERAGE Leverage (solo) TRY Receivables Equity TL Debt TL Portfolio 5,0 1.641 4,7 1.414 1.166 844 4,0 932 3,9 659 474 306 3,1 692 755 797 626 2013 2014 2015 2016 2017/H1 2014 2015 2016 2017/H1 Increased leverage by gaining market share TL receivables increased %50 in the last 2 years 19

  20. Slide 20: Funding Policy

    FUNDING POLICY • First corporate bond issuer in leasing sector, outstanding nominal balance 1.4 billion TL, maturities range between 3 months to 18 months. • IFI and ECA Funding o IFC renewable energy and energy efficiency facility, World Bank EFIL- SME loans, CEB SME loans, BSTDB SME loan, ECO-Trad

  21. Slide 21: Financial Performance

    Financial Performance

  22. Slide 22: Financial Highlights

    FINANCIAL HIGHLIGHTS TL Million, consolidated 2015 2016 2016 Q2 2017 Q2 Δ Leasing Receivables, Net 3.287 4.001 3.393 4.317 27,2% Factoring Receivables, Net 1.951 2.984 2.064 3.834 85,8% Non Performing Receivables 183 231 192 248 29,2% Provisions 140 150 150 158 5,3% Total Assets 5.581 7.480 5.896 8.

  23. Slide 23: Solo Key Figures

    SOLO KEY FIGURES (Million TL) 2015 2016 2016/Q2 2017/Q2 Δ 2015 2016 2016/Q2 2017/Q2 Δ Financial Highlights İş Sector Leasing Receivables 3.249 3.921 3.354 4.229 26% 36.728 44.022 38.214 47.431 24% Total Assets 3.656 4.508 3.865 4.784 24% 40.655 48.500 42.410 52.438 24% Equity 692 755 714 798 12% 6.9

  24. Slide 24: NPL

    NPL 8,55% 7,99% 7,6% 7,0% 6,95% 6,70% 6,30% 6,03% 5,47% 4,8% 4,6% 4,65% 4,67% 4,3% 2011 2012 2013 2014 2015 2016 2017 H1 Sector İş Leasing (solo) 2017 Opening (150.231) Consolidated 31.12.2015 31.12.2016 30.06.2017 Reversals 2.049 New provisions (9.617) Gross NPL /Total Receivables 3,40% 3,23% 2,98%

  25. Slide 25: Collaterals

    COLLATERALS* Leased assets are legally possessed by the lessor so they are the collateral of the leasing loan. Depending on the lessee’s credit ratings and second hand value of the leased asset, additional collaterals might be demanded. Cash + LG + Pledge + Buyback Mortgage 2,61% 4,55% *Group leasin

  26. Slide 26: Rating

    RATING Foreign Currency Long-Term IDR BB+ Short-Term IDR B Outlook Stable Local Currency Long-Term IDR BB+ Short-Term IDR B Outlook Stable National Long-Term Rating AA + (tur) Outlook Stable Support Rating 3 Corporate Governance Rating (Saha) : 9.17 26

  27. Slide 27: Disclaimer

    DISCLAIMER The information in this document has been obtained by İş Finansal Kiralama A.Ş. (“İş Leasing”) from sources believed to be reliable, however, İş Leasing can not guarantee the accuracy, completeness, or correctness of such information. This document has been issued for information purposes

İş Finansal Kiralama A.Ş. (İş Leasing) — Q2 2017 Earnings Presentation on 6ix