Turkiye Halk Bankasi Anonim Sirketi · BIST:HALKB
Turkiye Halk Bankasi Anonim Sirketi — Türkiye Halk Bankası A.Ş. — Q1 2011 Earnings Presentation
24 slides from Turkiye Halk Bankasi Anonim Sirketi's earnings presentation, 2011
Slide 1: Q1 2011 Earnings Presentation
Q1 2011 Earnings Presentation BRSA Bank Only
Slide 2: Macro Outlook
Q1 2011 Earnings Presentation Macro Outlook > Thanks to strong growth momentum, 4Q GDP expanded > Improvement in CUR and real sector confidence index 9.2% QoQ and 8.9% YoY overtaking the market consensus indicates continuous rising trend in economic activity. of 7.4% YoY and rendered the Turkish eco
Slide 3: Banking Sector Outlook
Q1 2011 Earnings Presentation Banking Sector Outlook > Sector loan book grew 7.3%, slightly higher than authorities’ > Going forward system’s asset quality indicators are expectations. expected to remain healthy. > Banks are expected to be focusing more on high-yielding > L/D ratio mounted up to 86.
Slide 4: Q1 2011 Highlights: Profitability - the Top Priority
Q1 2011 Earnings Presentation Q1 2011 Highlights Profitability - the Top Priority > Implying 5.0% QoQ increase, net income reached > Noteworthy growth in net fees and commissions TRY 525 mn, quarterly the highest net income ever. income of TRY 158 mn, up 19% QoQ > Profitability remains intact; RoE a
Slide 5: Asset Growth
Q1 2011 Earnings Presentation Without compromising on asset quality, total assets increased by 22.9% YoY Asset Mix (%) Asset Growth IEA Loans YoY 22.9% QoQ 6.9% 87.3% Securities Other Assets Total Asset Growth (TRY billion) Composition of IEAs(a) 22.9% 94.2% 88.3%(b) 87.3% (b) 6.9% 78.0 72.9 FX 27.3
Slide 6: Funding position at a comfortable level
Q1 2011 Earnings Presentation Funding position at a comfortable level Loan to Deposit (%) Composition of IBLs(a) Liabilities Mix (%) Total L/D Deposits Other Liabilities Funds Borrowed Shareholder’s Equity Interbank Money Market 84.4 85.3% 84.7% 85.3% 80.9 74.5 FX 32.6% 31.4% 32.8% Mar-10 2010 Mar-1
Slide 7: Securities constitute 27% of total assets
Q1 2011 Earnings Presentation Securities constitute 27% of total assets Total Securities Portfolio(a) (TRY billion) Total Securities Composition HTM AFS Trading 21.6 20.2 20.9 0.3% 0.4% 0.7% FX 3.4 3.0 23.7% 36.6% 38.3% For the rest of the 3.5 16% 15% year, TRY 1.9 bn 17% redemptions expected; 18.2
Slide 8: Well diversified securities portfolio
Q1 2011 Earnings Presentation Well diversified securities portfolio Total Securities Portfolio(a) (%) FX Securities Portfolio(a) (%) FIXED 35 46 47 FIXED 98 99 99 FRN 65 54 53 FRN 2 1 1 Mar-10 2010 Mar-11 Mar-10 2010 Mar-11 TRY Securities Portfolio(a) (%) CPI-linkers FIXED 23 35 38 constitute 13% of
Slide 9: Commendable growth in loans; 7.5% QoQ
Q1 2011 Earnings Presentation Commendable growth in loans; 7.5% QoQ (TRY billion)(a) Total Loans HALKBANK B. Sector (b) 37.0% YoY YoY 37.0% 35.6% 7.5% Fund Loans 3,3 QoQ QoQ 46.8 up 6.9% YoY 7.5% 7.3% 43.6 1.2 up 2.1% QoQ 39.9 1.2 4.1 Cooperative Loans TRY Loans 37.5 1.2 3.7 12.5 up 22.7% YoY HALKBA
Slide 10: FX lending market share regained; share of retail up to 27%
Q1 2011 Earnings Presentation FX lending market share regained; share of retail up to 27% Loans by Currency (TRY billion )(a) Loans by Types Funds 2% FX 10.1 12.0 14.2 29.5% 27.6% 30.3% Cooperatives 9% Commercial 62% TRY 24.1 31.5 32.6 70.5% 72.4% 69.7% Retail 27% Mar-10 2010 Mar-11 Market Share in
Slide 11: Strong growth in retail lending
Q1 2011 Earnings Presentation Strong growth in retail lending (TRY billion)(a) 52.6% HALKBANK 10.3% YoY 12.5 52.6% QoQ 11.4 7.3 Consumer Loans 10.3% 10.2 6.6 up 59.7% YoY 9.3 up 11.1% QoQ 5.9 Share in total 58.2% 8.2 B. SECTOR(b) 4.6 5.2 YoY 35.4% QoQ Housing Loans 7.3% up 43.0% YoY up 9.2% QoQ 3.1
Slide 12: Primarily backed by trade finance, non-cash loans up by 4.3% YtD
Q1 2011 Earnings Presentation Primarily backed by trade finance, non-cash loans up by 4.3% YtD Breakdown of Non-cash Loans (%)(a) Non-cash Loans (TRY billion )(a) (Mar-11 ) Bank Loans and Other 31.2% 4.3% 4.3% Letters of Letters of 13.3 Credit 12.7 Guarantee 25.3% 70.4% 10.1 Bank Loans and Other (Ma
Slide 13: Downward trend in nominal NPLs, CoR at all time low level
Q1 2011 Earnings Presentation Downward trend in nominal NPLs, CoR at all time low level NPL Portfolio (TRY million) NPL Coverage (%) 1,702 1,704 1,718 1,758 1,713 90.2 90.5 89.4 89.2 89.5 (a) 82.7 83.0 82.8 83.3 84.4 Since 2002 603 593 577 570 568 Legacy NPLs 2001 and before Mar-10 Jun-10 Sep-10 201
Slide 14: Focusing on asset quality pays off; 30bps improvement
Q1 2011 Earnings Presentation Focusing on asset quality pays off; 30bps improvement Halkbank Sector (a,b) NPL / Total Loans (% )(a) Consumer Loans (%)(b) 4.9 5.1 4.4 4.6 4.3 4.3 4.7 3.7 3.8 3.1 4.3 3.5 4.1 3.7 2.4 2.1 1.9 1.7 1.5 3.2 Mar-10 Jun-10 Sep-10 2010 Mar-11 Mar-10 Jun-10 Sep-10 2010 Mar-11
Slide 15: Steady rise in demand deposit share
Q1 2011 Earnings Presentation Steady rise in demand deposit share TRY Deposits by Types Total Deposits by Currency Demand Deposit (TRY billion)(a) (TRY billion)(a) (TRY billion)(a) Demand Deposits/Total Deposits 13.7 13.9 Other Inst. Deposits Public Sector 20.4% 11.2 Interbank Savings Commercial 2.9
Slide 16: Quarterly the highest fee income figure ever
Q1 2011 Earnings Presentation Quarterly the highest fee income figure ever Net Fees & Commissions Income (TRY million) 17.7% 19.0% 158 Expanding share of net fees 134 136 123 133 and commissions income in operating revenues. Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 Breakdown of Fees & Commissions Income Net Fe
Slide 17: C/I increased as OPEX/Assets preserved successfully
Q1 2011 Earnings Presentation In line with organic growth C/I increased as OPEX/Assets preserved successfully Operating Expenses (TRY million) Operating Expenses/Average Assets (%) -3.4% 2.2 2.2 2.2 2.2 2.2 428 414 359 374 334 Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 Mar-10 Jun-10 Sep-10 2010 Mar-11 Cost/Incom
Slide 18: Volatility on quarterly NII due to CPI linker impact
Q1 2011 Earnings Presentation Volatility on quarterly NII due to CPI linker impact Net Interest Income (TRY million) Breakdown of Interest Income -10.7% 73% on Loans 840 824 822 706 734 Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 27% on Securities Interest Income (TRY million) NIM (%) On Securities On Loans YtD Q
Slide 19: Cost-Yield-Spread - Quarterly
Q1 2011 Earnings Presentation Cost-Yield-Spread(a) - Quarterly Cost of Deposits (%) Spreads (%) On Securities On Loans 5.5 7.2 5.4 5.5 5.6 5.1 6.4 5.7 5.6 5.2 4.8 4.4 4.5 2.4 3.1 Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 Yield on Loans (%)(b) Yield on Securities (%) 12.6 11.9 10.2
Slide 20: Net Income - Profitability Ratios
Q1 2011 Earnings Presentation Net Income - Profitability Ratios Net Income (TRY million) ROE (%) 1.8% YtD Quarterly 5.0% 34.7 34.2 515 520 476 500 525 34.7 31.7 30.5 32.8 27.9 28.1 27.5 27.9 Q1-10 Q2-10 Q3-10 Q4-10 Q1-11 Mar-10 Jun-10 Sep-10 2010 Mar-11 Capital Ratios (%) ROA (%) CAR Tier 1 Ratio Yt
Slide 21: Branch Network – Human Resources
Q1 2011 Earnings Presentation Branch Network – Human Resources Branch network has been strengthened with 25 new branches opened in the 1Q 2011. The total figure climbs up to 730. Total Branches(a) Human Resources 12,998 13,450 13,258 12,505 705 730 668 679 2009 Mar-10 2010 Mar-11 2009 Mar-10 2010 Ma
Slide 22: Balance Sheet
Q1 2011 Earnings Presentation Balance Sheet In TRY million Q1-10 2010 Q1-11 QoQ YoY Change % Change % Cash and Balances Held with the Central Bank (a) 3,049 4,650 5,953 28 95 Banks & Money Market (b) 1,586 1,109 888 (20) (44) Securities (b) 21,573 20,207 20,873 3 (3) Net Loans (b) 34,912 44,296 47,5
Slide 23: Income Statement
Q1 2011 Earnings Presentation Income Statement In TRY million Q1-10 Q4-10 Q1-11 QoQ YoY Change % Change % Interest Income 1,565 1,647 1,550 (6) (1) On Loans 1,002 1,139 1,127 (1) 13 On Securities 540 502 421 (16) (22) Interest Expense 725 825 816 (1) 12 On Deposits 616 739 708 (4) 15 Net Interest In
Slide 24: For further information please contact
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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