Sekerbank T.a.s. · BIST:SKBNK
Sekerbank T.a.s — H1 2021 Earnings Presentation
24 slides from Sekerbank T.a.s's earnings presentation, August 2021
Slide 1: Consolidated Financial Results as of June 30, 2021
Şekerbank T.A.Ş. Consolidated Financial Results as of June 30, 2021 August 2021
Slide 2: 68 years of Experience in Community Banking
68 years of Experience in Community Banking Şekerbank was founded 68 years ago to support rural development and the agricultural industry and has always preserved its principle of responsible banking. The bank has been enhancing its founding mission of community banking to the perspective of sustain
Slide 3: Milestones of Firsts in Responsible Finance
Milestones of Firsts in Responsible Finance ECOloan: A first of its kind in Turkey to finance energy efficiency Initiated ‘Social and Environmental Impact Analysis’ on Loans Founded as the One of the first First Bank to receive a Turkey’s first 5-year Capital increase by an “Sugar Beet public offeri
Slide 4: Deep-rooted and Widespread Branch Network
Deep-rooted and Widespread Branch Network Strong deposit structure and broadbased SME & Agro customer base Serving at the 238 Branches same location for over half of Deep expertise in SME & Agricultural 54% throughout Turkey SME Loan share a century Banking in total loan portfolio 3 Trak ya R e gion
Slide 5: Standing by SMEs and Farmers for 68 years
Standing by SMEs and Farmers for 68 years Family Farming Banking 6 billion TL+ loans1 to small EKOkredi, Turkey’s first farmers to prevent rural to SME-backed Covered Bond energy efficiency product, urban migration, 2014 The first of its kind in the 2009 world, 2011 Micro Finance for Female SMEs, The f
Slide 6: The positive pace achieved in 2020 continues in the second quarter of 2021
TL dominated and prudent loan growth Significant healthy growth in loans through fully- equipped risk infrastructure within the transformation The positive program pace achieved Considerable recovery in asset quality, due also to the in 2020 high performance in collections continues Solid, b
Slide 7: TL dominated balance sheet structure
TL dominated balance sheet structure TL-dominated and broad-based loan structure Strong and widespread deposit-based funding structure Assets (Consolidated) as of 30 June 2021 Liabilities (Consolidated) as of 30 June 2021 LOANS BREAKDOWN DEPOSITS BREAKDOWN 42.586 42.586 Mn TL Mn TL 39.539 39.539 Mn
Slide 8: Prudent loan growth and diversified loan structure
Prudent loan growth and diversified loan structure Şekerbank adopted a diversified, widespread and TL dominated growth strategy Şekerbank has a diversified loan structure in in 2020 and also in the first half of 2021 terms of sectoral breakdown Performing Loans Breakdown by Sector Net Loans Developm
Slide 9: Continuous steady recovery in asset quality
Continuous steady recovery in asset quality With high concentration placed on increasing asset quality, the NPL has been improving steadily since the beginning of 2020 and this gradual improvement continued in the first half of 2021. NPL Provision Coverage Ratio Non-performing Loan Volume and Ratio
Slide 10: Securities
Protected securities portfolio against interest and FX fluctuations Securities in FC have been classified at fixed rates and all FRN As of June 2021, Securities / Total Assets: 12,1% securities are in the HTM book. Composition by Classification1 (Consolidated) Composition by Type1 (Consolidated) 4.6
Slide 11: Solid and broad-based liability structure maintained
Solid and broad-based liability structure maintained Thanks to Şekerbank’s deep-rooted brand perception and long-term customer relationship, the Bank has experienced a steady growth in deposits, even throughout the pandemic. Liability Structure (Consolidated) Total Deposit Volume Development (Consol
Slide 12: Preserving granular and highly liquid deposit structure
Preserving granular and highly liquid deposit structure Individual TL Deposits under 1 MTL FC deposits are also very The Bank has always had high liquidity as a result of constitute 72% of the total deposits as of widespread and sticky as is the prudent balance sheet management. The roll over June 3
Slide 13: Diversified foreign borrowings structure
Diversified foreign borrowings structure The bank has longstanding relationships with IFIs thanks to its sustainable and community banking know-how, which also reflects on its diversified foreign borrowing structure. Proven Access to Diversified Sources of Funding Foreign Borrowings Breakdown (Bank
Slide 14: Continuous improvement on profitability
Continuous improvement on profitability As a result of the improvement in problematic With the help of the focus on reducing funding Gradual improvement in profitability loans and healthy growth, the CoR decreased costs, thanks to the analytical deposit pricing has been achieved with the high gradua
Slide 15: Capital Adequacy Ratios
Capital Adequacy Ratios Şekerbank increased its capital by 702 Mn TL, which represents 60% of its current capital, and rose its capital to 1,860 Mn TL in November 2020. Due to the successful capital increase, resulting in further strengthening our widespread equity base, our capital ratios have reac
Slide 16: Liquidity Ratios
Liquidity Ratios One of Şekerbank’s main strengths has always been high liquidity as a result of prudent balance sheet management. This strong liquidity structure has remained satisfactory during the fluctuations due to the pandemic, while liquidity coverage ratios have also continued to be well abo
Slide 17: Loan / Deposit Ratios
Loan / Deposit Ratios Total Gross Loans / Customer Deposits Ratio 95,9% 92,2% 93,5% 90,8% 90,4% C onsolidated Bank Only 89,0% 85,4% 85,0% 86,8% 84,1% Jun.20 Sep.20 Dec.20 Mar.21 Jun.21 TL Gross Loans / TL Customer Deposits Ratio FC Gross Loans / FC Customer Deposits Ratio 137,9% 134,4% 135,1% 57,9%
Slide 18: The Bank initiated a comprehensive Digital Transformation Program in July 2018
The Bank initiated a comprehensive Digital Transformation Program in July 2018, to ensure sustainable profitability and growth 1 3 5 Improving asset Sustainable quality and efficiency End to end optimized development and digitalized processes banking 2 4 Sales force effectiveness based on Agile orga
Slide 19: Significant healthy growth in SME & Agro loans through the Transformation Program
Significant healthy growth in SME & Agro loans through the Transformation Program Increasing asset quality has been prioritized within Sekerbank’s Transformation Program, which was initiated in the last quarter of 2018. Healthy growth in the SME & Agro loans has been visibly achieved through the
Slide 20: Inclusive digital banking through Mobile Service Model
Inclusive digital banking through Mobile Service Model Tablet Banking (December 2019) Mobile Banking (September 2020) The 1st Bank that developed mobile banking solutions for farmers without logging into the application Instant credit allocation to small businesses and farmers in the field through t
Slide 21: Enhancing sustainable development banking competencies
Enhancing sustainable development banking competencies As of June 2021 Sustainable %10 %99 Agriculture Share of agricultural of the farmers that we provide loans in total cash loans services are small farming families %63 TL 12.4 Small Businesses billion and Employment Share of the MSME loans in Tot
Slide 22: Contact Details
Contact Details Sekerbank T.A.Ş. Aybala Şimşek Executive Vice President Strategy, Transformation and Financial Institutions Financial Institutions & Investor Relations Oya Sarı Head of Financial Institutions and Investor Relations Tel: +90 212 319 71 58 oya.sari@sekerbank.com.tr Melike Tavşanlı İnci
Slide 23: Legal Notice For Investors
Legal Notice For Investors Legal Notice The information in this document has been obtained by Sekerbank T.A.Ş. (“Sekerbank”) from sources believed to be reliable. However, Sekerbank cannot guarantee the accuracy, completeness or correctness of such information. This document has been issued for info
Slide 24: Thank you
J 3 ; Thank you. kg