Banca Transilvania SA · BVB:TLV
Banca Transilvania SA — Q3 2013 Earnings Presentation
33 slides from Banca Transilvania SA's earnings presentation, 2013
Slide 1: Q3 2013 Financial Results
Q3 2013 FINANCIAL RESULTS IFRS non-consolidated
Slide 2: Disclaimer
Disclaimer THE INFORMATION CONTAINED IN THIS DOCUMENT HAS NOT BEEN INDEPENDENTLY VERIFIED AND NO REPRESENTATION OR WARRANTY EXPRESSED OR IMPLIED IS MADE AS TO, AND NO RELIANCE SHOULD BE PLACED ON, THE FAIRNESS, ACCURACY, COMPLETENESS OR CORRECTNESS OF THIS INFORMATION OR OPINIONS CONTAINED HEREIN.
Slide 3: Presentation Topics
PRESENTATION TOPICS Macroeconomic environment BANCA TRANSILVANIA on its home market Overview of business lines Q3 2013 financial highlights Conclusions 3
Slide 4: Macroeconomic environment
Macroeconomic environment GDP Second quarter GDP increased by 10% 8.5% 0.5% QoQ (seasonal adjustment) 7.9% 6.3% 7.3% and by 1.4% (sa) compared to the 5.1% 5.2% 6% 4.2% same quarter last year 2.2% 2.1% 2.3% 2% 0.7% Total consumption increased by -2% 0.5% QoQ (sa) while imports -1.1% contracted by
Slide 5: Macroeconomic environment
Macroeconomic environment Current Account deficit - % of GDP 0% In August the current account -2% -0.9% recorded a deficit of RON 160 bln. -1.9% -4% -3.8% due to higher deficits on the -4.2% -6% -4.5% -4.5% income and trading balance -8% -8.5% -8.5% Year end estimates stand at a -10% -10.4% 0.9%
Slide 6: Romanian Banking Sector, within the European context
Romanian Banking Sector, within the European context 500 Weight in GDP (%) Assets Loans Deposits 421 400 336 300 200 114 104 116.5 105 94 100 84 69 68 52 50 47 39 32 0 Austria France Romania Czech Republic Poland 6
Slide 7: Romanian Banking System
Romanian Banking System Total banking assets growth rates 90% *BT achieved 14.5% growth end of 2012 and 2% for the 48.33% 60% first half of 2013. 30.58% 30% 5.09% 3.64% 3.54% 3.39% 0% 2007 2008 2009 2010 2011 2012 H1 2013 -2.89% -30% BT benchmarks well at 22% D&L end of 2012 and 22.55% H1 2013. So
Slide 8: Romanian Banking System: end of 2012
Romanian Banking System: end of 2012 Conservative and strong Central Bank Rather concentrated: Top 10 banks own ~ 78% of total assets, Top 3 banks own around 42% • End of 2012 indicates a cumulative loss of RON 2.1 bn., almost three times bigger than the loss registered for 2011 (RON 777 mil.).
Slide 9: Presentation Topics
PRESENTATION TOPICS Macroeconomic environment BANCA TRANSILVANIA on its home market Overview of business lines H1 2013 financial highlights Conclusions 9
Slide 10: Banca Transilvania on its home market
Banca Transilvania on its home market 19.63% 19.27% 20.00% H1 2013 Q3 2013 18.00% 16.00% 25% Market share by total assets 14.00% 12.66% 12.76% 12.00% 10.00% 20% 19.27% 8.48% 8.57% 19% 8.00% 6.00% 4.00% 15% 2.00% 13.1%12.7% 0.00% BCR BRD Banca Transilvania 10% 8.5% 8.08% Dec-12 7.35% 7.1% 6.7% 6.85%6
Slide 11: Our Business Model
Our Business Model Traditional banking Diverse revenue streams Broad spread of risk Successful track record Wide branch coverage Deposit funded Romania HQ 11
Slide 12: Banca Transilvania's strengths
Banca Transilvania’s strengths Strong roots in Romania, one of the least banked CEE countries The leading SME bank… The Bank for Entrepreneurial People Nationwide distribution network with 548 branches and agencies Solid capitalization (CAR 12.4% - 30.09.2013) and good funding structure Lo
Slide 13: Our rating
Our rating Fitch Ratings – BT rating reaffirmed, July 2013 Long term IDR BB- Short-Term B Outlook Stable Individual D Support 3 13
Slide 14: Shareholder structure, Sept. 2013
Shareholder structure, Sept. 2013 No. of shareholders No. of shares % Romanian capital 27,636 993,554,737 45.03 individuals 27,008 445,621,741 20.20 companies 628 547,932,996 24.83 Foreign capital 764 1,212,881,587 54.97 individuals 625 52,518,284 2.38 companies 139 1,160,363,303 52.59 TOTAL 28,400
Slide 15: Group structure
Group structure Banca Transilvania Leasing Consumer Banking services Brokerage Asset Finance management Business lines SME Corporate Retail 15
Slide 16: Geographical coverage
Geographical coverage Key statistics, Sept. 2013 No. of units: 548 No. of customers: over 2.2 million Market shares Market share by assets: 8.5% Deposits (lei): 11.3% Loans (lei): 12.5% 16
Slide 17: Presentation Topics
PRESENTATION TOPICS Macroeconomic environment BANCA TRANSILVANIA on its home market Overview of business lines Q3 2013 financial highlights Conclusions 17
Slide 18: Business Lines & Sectorial Approaches
Business Lines & Sectorial Approaches SME CORPORATE RETAIL Agriculture Healthcare EU Funds 18
Slide 19: Overview of business lines
Overview of business lines Client base Sept. 2013 Corporate 11,500 SME 200,000 Retail 2,000,000 Healthcare Division 29,000 Total, NBR definition over 2,200,000 19
Slide 20: Corporate Clients
Overview of business lines Corporate Clients well diversified portfolio in Loans: Corporate Portfolio Breakdown, RON mil. terms of type and industry exposure. Trade is slowly 10,000 9,369 declining, while manufacturing 8,000 8,736 and agriculture are advancing; 6,000 7,612 domestic currency lend
Slide 21: SME Banking
Overview of business lines SME Banking SME Services SME Loan Evolution and Breakdown, RON mill. 20 SME-dedicated products launched as of now; 3,000 Loan portfolio reaching 547 mil. EUR end of Sept. 2,500 2,590 2,440 2,000 2013 1,500 1,805 200,000 active clients end of Sept. 2013. 1,000 500 SME
Slide 22: SME Banking: commitment to the SME sector
Overview of business lines SME Banking Commitment to the SME sector • Starting with 2002, together with the reorganization of the sales activity by business lines, Banca Transilvania has positioned itself as the SME Bank in Romania • This strategic goal was supported by a SME specialized products an
Slide 23: SME Banking
Overview of business lines SME Banking • Besides specialized banking services, we have tried to provide to our SME clients training and networking opportunities, free of charge, via Clubul Intreprinzatorului Roman, club established in 2006 which counts now 17,000 members • All these initiatives brou
Slide 24: Retail Banking
Overview of business lines Retail Banking Strategy Retail Loan Growth and Breakdown, RON mill. 6,700 The strategy for this year - 3 main 6,600 pillars: 6,500 6,605 To consolidate our Top 3 position in 6,400 6,300 cards in Romania 6,278 6,321 6,200 Client segmentation 6,100 6,000 More revenue
Slide 25: Retail Banking: Bank Cards & ATMs
Overview of business lines Retail Banking Bank Cards & ATMs Cards ATM POS 3rd largest issuer of credit/debit cards in 2,000,000 20,000 Romania 1,800,000 18,000 over 1.9 million Visa and MasterCard issued 1,600,000 16,000 15% market share - cards issued 1,400,000 14,000 17.5% market share - t
Slide 26: Overview by sector: Healthcare
Overview by sector Healthcare Strategy Approach Dedicated team (doctors and bankers) Transparency – costs Stability – terms and conditions Special Credit Scoring System Design Flexibility – product packages First credit card only for doctors Friendly and assertive people – common langu
Slide 27: Presentation Topics
PRESENTATION TOPICS Macroeconomic environment BANCA TRANSILVANIA on its home market Overview of business lines Q3 2013 financial highlights Conclusions 27
Slide 28: Key Indicators September 2013
Key Indicators September 2013 Net Profit & Assets Evolution (Lei million) 1.0 30,287 30,500 Loans portfolio up by 5% vs. Dec’12 30,122 30,178 Net Profit (YTD) 0.8 29,578 Total Assets 0.6 29,010 Net Profit: LEI 240.2 RON million 28,968 29,000 0.4 26,926 240 321 265 ROE (annualized): 11.24% 0.2
Slide 29: Q3 2013 financial highlights (IFRS non-consolidated)
Q3 2013 financial highlights (IFRS non-consolidated) m RON 30.09.2013 31.12.2012 y/y Cash and cash equivalents 4,528 5,576 0.81 Placements with banks 1,068 1,305 0.82 T bills and securities 7,992 6,648 1.20 Loans to customers, net 16,062 15,457 1.04 Fixed assets and participations 441 444 0.99 Other
Slide 30: Q3 2013 financial highlights: Income statement
Q3 2013 financial highlights (IFRS non-consolidated) Income statement m RON 30.09.2013 30.09.2012 Y/Y Net interest income 811.07 708.51 1.14 Net commissions income 259.14 314.25 0.87 Other operating income 77.51 94.44 0.82 Operating income 1,147.72 1,117.2 1.03 Operating expenses 582.68 561.45 1.04
Slide 31: Presentation Topics
PRESENTATION TOPICS Macroeconomic environment BANCA TRANSILVANIA on its home market Overview of business lines Q3 2013 financial highlights Conclusions 31
Slide 32: Conclusions
Conclusions We defend our position as 3rd bank in the system and we keep our entrepreneurial profile We aim a market share of 10 – 11% in 2 – 3 years, but we keep a strong eye on efficiency We continue to support the Romanian economy, targeting both organic growth and portfolio acquisitions (e
Slide 33: Contact details
Contact details Mihaela Nadasan, Executive Manager FI & IR Banca Transilvania S.A. 8 G. Baritiu Street Cluj-Napoca, 400027 Romania mihaela.nadasan@bancatransilvania.ro Telephone + 40 264 407 150 Fax + 40 264 407 179 33