Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB

Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.Ş. — Q1 2021 Earnings Presentation

24 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, 2021

  1. Slide 1: 1Q 2021 Earnings Presentation

    1Q 2021 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

  2. Slide 2: Slide 2

  3. Slide 3: Asset Growth

    1Q 2021 Earnings Presentation Gradual asset growth with highly liquid balance sheet > FX LCR is at 211%, well above structure the regulatory limit of 80%. Asset Mix (%) Asset Growth Loans Securities Bank Placements CBRT Receivables Cash YoY 41.1% QoQ 1.9% Liq. Assets Other Assets Total Asset Growth

  4. Slide 4: Growing securities portfolio with high yield floating rate instruments

    1Q 2021 Earnings Presentation Growing securities portfolio with high yield floating rate instruments Total Securities Portfolio (TRY billion) Securities Classification (TRY billion)(*) Total Securities / Total Assets (%) Other Floating Rate CPI Linkers 23.8 23.4 23.9 150.0 22.3 23.0 Fixed Rate (FX)

  5. Slide 5: Prudent loan growth with resilient market share

    1Q 2021 Earnings Presentation Prudent loan growth with resilient market share CGF Utilization (TRY bn) Current loan amount Dec-20 61.8 Mar-21 55.9 (TRY billion)(a) 32.5% Total Loans 1.0% HALKBANK B. Sector(b) YoY YoY 32.5% 30.4% 429.3 430.2 QoQ QoQ 425.8 1.0% 5.6% 400.4 Business Loans TRY Loans 324.

  6. Slide 6: TRY dominated and well-collateralised loan portfolio

    1Q 2021 Earnings Presentation TRY dominated and well-collateralised loan portfolio Loans by Currency (%)(a) Loans by Customer Segmentation (%)(a) Commercial 4% FX SME 8% Commercial 4% 22.1% SME 44% Corporate 89% Corporate 34% CGF 20% TRY 77.9% Cooperative 38%(b) Retail 18% Sectoral Breakdown of Loan

  7. Slide 7: NPL outflows with strong collection performance

    1Q 2021 Earnings Presentation NPL outflows with strong collection performance NPL Portfolio (TRY million)(a) NPL Coverage (%)(a) 16,918 65.3 64.0 16,540 16,537 16,189 15,822 64.1 62.2 59.1 Mar-20 Jun-20 Sep-20 2020 Mar-21 Mar-20 Jun-20 Sep-20 2020 Mar-21 Loans under Close Watch (TRY million) NPL/Tot

  8. Slide 8: NPL ratio by segments

    1Q 2021 Earnings Presentation NPL ratio by segments Halkbank NPL Sector NPL (*) Corporate - Commercial (%) Consumer Loans (%) 4.1 3.9 3.9 3.9 3.7 3.2 3.5 3.0 3.6 3.7 2.7 2.6 3.5 2.5 3.1 2.7 1.8 1.7 1.6 1.8 Mar-20 Jun-20 Sep-20 2020 Mar-21 Mar-20 Jun-20 Sep-20 2020 Mar-21 SME Loans (%) Credit Cards (

  9. Slide 9: Prudent approach on provisioning mirrored in Specific CoR, up by 25 bp QoQ

    1Q 2021 Earnings Presentation Prudent approach on provisioning mirrored in Specific CoR, up by 25 bp QoQ Provisions and Reversals (TRY million) • Includes roughly a TRY 1 bn. reversal due to cash Provision Reversals S1 Provisions S2 Provisions S3 Provisions collection and TRY 1 bn. reversal due to r

  10. Slide 10: Growing share of deposits, lesser reliance on FX wholesale funding

    1Q 2021 Earnings Presentation Growing share of deposits, lesser reliance on FX wholesale funding Loan to Deposit (%) Composition of IBLs(a) Liabilities Mix (%) (b) Halkbank L/D Sector L/D 86.7% 86.8% 88.1% 88.3% 89.0% Deposits Marketable Funds Borrowed Securities Issued Interbank Money Market Shareh

  11. Slide 11: Moderate deposit growth in line with lending activities

    8 -6.36 3 1Q 2021 Earnings Presentation Moderate deposit growth in line with lending activities HALKBANK B. Sector(b) YoY 46.8% 38.9% HALKBANK B. Sector(b) HALKBANK B. Sector(b) QoQ 6.2% 5.5% YoY 44.3% 30.7% YoY 42.4% 21.7% in USD YoY 18.0% 11.6% QoQ 3.0% 5.3% QoQ 0.7% 5.2% terms QoQ -3.5% -4.1% Tot

  12. Slide 12: TRY dominance on deposit base maintained corresponding to 56% of total deposits

    1Q 2021 Earnings Presentation TRY dominance on deposit base maintained corresponding to 56% 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 (%) 19.2% 21.0% 19.8% 18.6% 18.1%

  13. Slide 13: Cost – Yield – Spread

    1Q 2021 Earnings Presentation Cost – Yield – Spread Blended Cost - Yield - Spread (%) Spreads (%) Yield on Loans(a) Cost of Deposits(b) Spread TRY Core FX Core Blended Core 6.2 6.2 5.2 4.8 5.8 3.7 11.2 9.4 4.4 4.2 9.3 3.7 9.2 10.5 5.8 2.6 2.2 4.4 4.2 2.2 1.9 1.7 1.7 (5.4) (4.9) (5.1) (7.1) (8.7) -1.

  14. Slide 14: Eye-catching performance in F&C despite challenging environment

    1Q 2021 Earnings Presentation Eye-catching performance in F&C despite challenging environment Net Interest Income (TRY million) NIM (%) Interest Income Interest Expenses YtD Quarterly Swap adj. (YtD) Swap adj. (QoQ) 5.2 4.8 4.5 5,341 5,620 2,505 -99 5.2 3.8 5,288 4.5 4.0 4.9 4.9 -0.1 4.5 1.7 4.1 4.3

  15. Slide 15: Details of profitability metrics

    1Q 2021 Earnings Presentation Details of profitability metrics Total Operating Revenues (TRY million) 1Q21 Revenue Walk (TRY million) 3,382 5,356 4,856 (642) 3,834 3,481 3,344 724 (2,199) 139 59 (99) (1,246) NII Net F&C Income Net Trading Income Total Provisions Dividend Net Income (Q1-21) Other* OP

  16. Slide 16: Normalised cost management in the absence of pandemic related one-offs

    1Q 2021 Earnings Presentation Normalised cost management in the absence of pandemic related one-offs Operating Expenses (TRY million) Operating Expenses / Average Assets (%) 2,149 2,199 1.61 2,032 1.50 1,900 1,880 1.27 1.30 1.19 Q1-20 Q2-20 Q3-20 Q4-20 Mar-21 Q1-20 Q2-20 Q3-20 Q4-20 Mar-21 Cost/Inco

  17. Slide 17: Solvency Ratios

    1Q 2021 Earnings Presentation Solvency Ratios CAR (%) Details on Capital Ratio Tier-I CAR Details on Capital Ratio Cons. Basel III Uncons. Basel III 15.7 15.4 15.2 (TRY mn) Mar-21 Mar-21 13.9 14.6 Credit Risk Base Amount (CRBA) 394,641 383,203 13.0 12.8 12.6 Market Risk Base Amount (MRBA) 13,850 11,

  18. Slide 18: Branch Network – Human Resources

    1Q 2021 Earnings Presentation Branch Network – Human Resources Loans and Deposits per Branch (TRY million) Breakdown of Banking Transactions (%) Loans/Branch Deposits/Branch Internet Automatic Banking 9% Payment 5% 454.1 468.3 438.4 ATM 20% 408.1 435.9 435.7 430.1 334.6 398.7 Call Center 7% Mobile 3

  19. Slide 19: Annex

    1Q 2021 Earnings Presentation Annex TRY Market Banking Halkbank Million Share (%) Sector Metrics(b) 1Q20 1Q21 Total Assets 692,884 10.7 Loan Growth (YtD, %) 9.1 5.6 Loans (a) 430,155 11.4 Deposit Growth (YtD, %)(c) 8.9 5.3 TRY Loans 335,209 13.9 LDR (%) 104.5 103.1 FC Loans 94,946 7.0 NPL (%) 5.0 3.

  20. Slide 20: Balance Sheet

    1Q 2021 Earnings Presentation Balance Sheet QoQ YoY In TRY million Mar-20 2020 Mar-21 Change% Change% Cash and Balances Held with the Central Bank(a) 23,336 63,476 62,042 (2.3) 165.9 Banks & Money Market(b) 3,235 2,146 3,507 63.4 8.4 Securities(b) 109,588 159,200 165,483 3.9 51.0 Net Loans(b) 334,60

  21. Slide 21: Income Statement

    1Q 2021 Earnings Presentation Income Statement QoQ YoY In TRY million Q1-20 Q4-20 Q1-21 Change% Change % Interest Income 11.723 15.514 15.173 (2,2) 29,4 On Loans 8.788 10.297 11.285 9,6 28,4 On Securities 2.868 5.064 3.656 (27,8) 27,5 Interest Expense 6.435 13.009 15.272 17,4 137,3 On Deposits 4.265

  22. Slide 22: Notes

    1Q 2021 Earnings Presentation Notes Investor Relations 20 www.halkbank.com.tr

  23. Slide 23: Slide 23

  24. 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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