Mizrahi Tefahot Bank Ltd · TASE:MZTF
Mizrahi Tefahot Bank — Q4 2022 Earnings Presentation
15 slides from Mizrahi Tefahot Bank's earnings presentation, March 2023
Slide 1: Financial statements
COO Financial statements | coumtTs
Slide 2: Disclaimer
Q4/22 Disclaimer • This document has been prepared by Mizrahi-Tefahot Bank Ltd (UMTB) solely for use at the company's presentation. The information contained in this document constitutes information from the bank's 2022 quarterly and annual reports and/ or immediate reports, as well as the periodic,
Slide 3: Macro environment
Q4/22 Macro environment Unemployment rate)1()2( GDP growth)1( Bank of Israel interest rate and inflation Known CPI – monthly change Cumulative 1.2% 1.9% 1.2% 0.9% 0.6% 1 year OTC inflation expectation 3.18% )3( 1) 2023E-2024F according to BoI forecast from January 2023 2) Unemployment Rate in the ge
Slide 4: Overview of Mizrahi-Tefahot
Q4/22 Overview of Mizrahi-Tefahot Leading Israeli Bank NIS 428bn NIS 307bn NIS 345bn Total Assets1 Net Loans to the public1 Deposits from the public1 NIS 10.2bn NIS 13.7bn NIS 4.5bn Net Interest Revenue2 Total Revenue2 Net Profit2 NIS 30.5bn >7,500 204 Market Cap3 Employees1, 4 Branches1 Significant
Slide 5: Financial Highlights
Q4/22 Financial Highlights Total Assets (NISbn) Net Loans to the Public (NISbn) Deposits from the Public (NISbn) 9.2% 428 11.9% 345 Balance Sheet 392 13.3% 308 271 307 Growth Dec-21 Dec-22 Dec-21 Dec-22 Dec-21 Dec-22 Cost/Income Ratio Return on Equity 54.0% 1 Profitability 45.2% 1 15.8% 20.1% FY/21
Slide 6: Merger with Union Bank
Q4/22 Merger with Union Bank • On December 29, 2022, the merger of Union Bank with and into Mizrahi Tefahot was completed. This includes the onboarding of Union Bank customers, closing of all Union Bank branches, and transfer of other operations from Union Bank to Mizrahi Tefahot. • Upon completion
Slide 7: Asset quality
Q4/22 Asset quality Segment 2022 2021 Q4/2022 Q4/2021 Provisions / loans to the public Rate of Rate of Rate of Rate of Provision Provision Provision Provision provision provision provision provision Housing loans 99 0.05% )133( )0.08%( 11 0.02% )41( )0.09%( Business 336 0.40% )89( )0.13%( 136 0.64%
Slide 8: Profitability and efficiency
Q4/22 Profitability and efficiency Net profit (NIS mil) Return on equity Cost/income ratio 4,472 1 20.1% 3,188 54.0% 15.8% 1 45.2% 2021 2022 2021 12/07/1905 2022 13/07/1905 2021 2022 The bank recorded the highest profit ever 7 (1) For 2022, excluding effect of capital gain in the first quarter of 20
Slide 9: Net profit in 2022 is the highest annual profit ever
Q4/22 Net profit in 2022 is the HIGHEST ANNUAL PROFIT ever 4,472 3,188 1,842 1,610 1,266 1,347 1,206 1,134 2015 2016 2017 2018 2019 2020 2021 2022 NIS mil 8
Slide 10: Continuous loan growth
Q4/22 Continuous loan growth Credit to the public (NIS bil) Business segment 31.12.22 31.12.21 % change in 2022 growth ~36 NIS bil 195,820 174,822 12.0 Housing loans 307 Households + private 27,217 26,087 4.3 271 banking 246 205 Total individuals 223,037 200,909 11.0 181 194 221 159 171 Total busine
Slide 11: Continuous deposit growth
Q4/22 Continuous deposit growth Deposits from the public (NIS bil) Core deposits(1) 194 206 221 114 127 137 345 96 106 168 308 284 2015 2016 2017 2018 2019 2020 2021 2022 199 211 247 178 184 162 Deposits by segments Segment 123.5 151.6 House holds and Private banking 36% 44% Small and micro business
Slide 12: Financing revenues from current operations continue to grow
Q4/22 Financing revenues from current operations continue to grow From Q4/2020 including Union Bank. NIS mil 6,586 9,217 2022 2021 Rate of change Interest revenues, net 10,240 7,685 Non-interest financing revenues 754 401 Total financing revenues Excluding Union Bank, less: 10,994 8,086 36.0% Effect
Slide 13: Expenses
Q4/22 Expenses Operating and other expenses Salaries (NIS mil) (NIS mil) In 2022, other The growth rate in expenses include payroll expenses non-recurring was primarily 6,173 expenses with respect affected by variable 5,568 to the Union Bank 4,029 remuneration merger. 3,536 items, due to the financi
Slide 14: Equity, capital adequacy and dividend
Q4/22 Equity, capital adequacy and dividend Equity (NIS mil) Leverage ratio 23,780 5.42% 20,770 5.18% 2021 2022 2021 2022 Capital adequacy Total ratio (1) (2) 13.12% Dividend (NIS mil) Tier 1 13.66% 1,024 995 737 9.94% 10.04% 483 404 120 190 75 122 137 31.12.2021 31.12.2022 BoI minimum 12.50% 12.50%
Slide 15: Thank you
“Thankyou |