Sekerbank T.a.s. · BIST:SKBNK
Sekerbank T.a.s — FY2018 Earnings Presentation
28 slides from Sekerbank T.a.s's earnings presentation, 2019
Slide 1: Şekerbank T.A.Ş. Presentation on the Consolidated Financial Results as of 31.12.2018
Şekerbank T.A.Ş. Presentation on the Consolidated Financial Results as of 31.12.2018
Slide 2: Table of content
Table of content 1. Şekerbank At a Glance 2 2. Balance Sheet Structure and Asset Quality 8 3. Funding Structure and Liquidity 14 4. Income Statement and Profitability 20 5. Capital Adequacy 24 1
Slide 3: Şekerbank At a Glance
Sekerbank At a Glance Sekerbank &5
Slide 4: 65 years of Experience in Community Banking
65 years of Experience in Community Banking Foundation and Strategy Our Vision To become the “leading bank in financing small enterprises” among Turkey’s top ten private banks in terms of asset size. Our Vision With the “Community Banking” understanding from village to city, we are a modern bank tha
Slide 5: Milestones
Milestones • First Bank to receive • Signed the Declaration on ‘Corporate Governance Sustainable Finance Founded as the “Sugar Beet Rating’ in Turkey. Turkey’s first 5-year • İssued a 10-year, variable- Cooperative Bank” in • First micro-finance syndicated loan facility rate, lira-denominated Eskişe
Slide 6: Well-Established Network
Well-Established Network İstanbul 49 Sinop Kastomunu Zonguldak Samsun Artvin >10 Branches Çankırı Ordu TrabzonRize Çorum Amasya Giresun Tokat G.Hane Bayburt Çanakkale Bursa Bilecik AnkaraKırıkkale Ankara Erzurum 6-10 Branches Balıkesir Ankara Iğdır Eskişehir 28 Yozgat Sivas Erzincan Ağrı Kütahya Kır
Slide 7: Strategy and Transformation Program Strategic Focus Areas
Strategy and Transformation Program Strategic Focus Areas SME Focus Broad-based Retail Deposit Focus Prioritizing Small Business and Agricultural Banking while Enhancing the widespread and solid deposit structure by increasing productivity in Large SMEs further diversifying the funding structure Sus
Slide 8: Key Financial Highlights
Key Financial Highlights 31 December 2018 (TRY MM) Consolidated Bank-Only Total Assets 32.965 31.321 Net Loans 21.957 20.564 SME Loans/Total Loans 51,66% 52,91% Deposits 22.941 23.089 Loan/Deposit Ratio 95,71% 89,06% Shareholders’ Equity 2.453 2.377 Return on Equity (ROE) 3,64% 3,56% Tier I Ratio 10
Slide 9: Balance Sheet Structure and Asset Quality
Balance Sheet Structure and Asset Quality
Slide 10: Balance Sheet Structure
Balance Sheet Structure Total Assets Liabilities and Equity TL dominated loan structure Solid and borad-based deposit structure Total Assets – (TRY MM) Liabilities and Equity – (TRY MM) Loans Breakdown Deposits Breakdown 32.965 32.965 0,18% 12,38% 6,02% 4,87% 8,03% 7,44% 13,58% 38,49% 18,10% 11,60%
Slide 11: Loan Structure
Loan Structure Loan Growth Net Loans in Local & Foreign Currency and Total Loans 23.278 23.900 22.063 22.615 21.957 22.615 23.278 23.900 16.762 16.882 16.889 22.063 21.957 15.625 14.846 8.276 6.390 7.111 6.324 6.506 5.301 5.733 5.324 6.026 5.919 $1.405 $1.452 $1.401 $1.382 $1.347 2017 YE* 2018 Q1 20
Slide 12: Loans and Provision Coverage Ratios (Bank Only)
Loans and Provision Coverage Ratios (Bank Only) Provisions / Gross Loans Stage I Loans to Gross Loans 0,63% 0,60% 0,58% 0,56% 0,53% 6,76% 85,82% 86,55% 5,65% 5,65% 5,75% 6,09% 84,97% 83,24% 80,88% 50, 00% 0,0 0% 2017 YE* 2018 Q1 2018 Q2 2018 Q3 2018 YE 2017 YE* 2018 Q1 2018 Q2 2018 Q3 2018 YE Stage
Slide 13: Asset Quality (Bank-Only)
Asset Quality (Bank-Only) NPL Exposure Maintained Stable 3,77% 1.6 00 3,42% 3,30% 3,28% NPL 2017 YE* Addition Collections NPL 2018 YE 3,24% 1.5 00 1.4 00 1.3 00 1.2 00 1.1 00 1.0 00 900 800 700 1.017 1.180 1,180 1.076 1.122 1.180 600 966 1.017 1.017 1.039 500 400 966 300 200 100 0,0 0% 0 804 2017 YE
Slide 14: Securities
Securities Securities/Assets Composition by Type 2.827 2.937 3.232 3.793 4.092 (*) The Bank has classified the Fair Value through Comprehensive 2,65% 3,49% 2,97% 2,25% 2,09% Income Marketable Securities 12,05% 3,68% 7,69% 9,42% Portfolio amounting to TRL 14,12% 10,55% 1,277,887 Thousand as of 31 9,1
Slide 15: Funding Structure and Liquidity
Funding Structure and Liquidity
Slide 16: Funding Overview
Funding Overview Diversified Funding Source Base Deposits by Currency (%) Total Liabilities Evolution (TRY MM ) Deposits by Currency (Consolidated - %) 33.130 32.178 34.420 35.954 32.965 37,47% 43,30% 45,21% 44,15% 44,05% 1.671 1.311 873 2.458 1.044 2.405 1.606 2.791 62,53% 2.367 2.453 56,70% 54,79%
Slide 17: Loan/Deposit Ratios
Loan/Deposit Ratios Total Loan / Deposit Ratio Total Loan / Total Deposit (%) 110,96% 110,39% 108,14% 96,72% 95,71% 102,50% 104,22% 102,43% 90,07% 89,06% 2017 YE 2018 Q1 2018 Q2 2018 Q3 2018 YE Bank-Only Consolidated TRY Loans / Deposits Ratio FC Loans / Deposits Ratio TRY Loans / TRY Deposits (%) F
Slide 18: Liquidity Overview
Liquidity Overview Liquidity Coverage Ratio (TL +FC)(1)(2) 191,45% 180,18% 121,27% 108,34% 107,35% 111,30% 108,50% 119,52% 103,67% 101,26% 80% 90% 90% 90% 90% 2017 YE 2018 Q1 2018 Q2 2018 Q3 2018 YE LCR (TL + FC) (Bank Only) LCR (TL + FC) (Consolidated) Regulatory Limit Liquidity Coverage Ratio (FC)
Slide 19: Deposit Structure
Deposit Structure Deposit Structure and Durations TL + FC Time Deposit TL+FC Retail Time Deposit 1,60% (Monthly Average) (Monthly Average) 10,64% 31 December 2018 31 December 2018 23,49% 15,87% Retail Corporate & Commercial 14,38% 62,13% Below 500.000 TL 71,88% SME 500.000-1M TL Above 1M TL Agricult
Slide 20: Borrowings
Borrowings Balanced mix between retail and institutional funding through covered bonds, loans from IFIs, subordinated loans, trade finance and syndicated borrowings Proven Access to Diversified Sources of Funding Recent Issuances Summary June 2017: USD 85MM Tier 2 Private Placement Ratings Overv
Slide 21: Income Statement and Profitability
Income Statement and Profitability
Slide 22: Profit and Loss
Profit and Loss TRY MM 31.12.2017* 31.12.2018 Change (%) Consolidated Interest Income 3.007 4.416 Interest Expense 1.677 2.906 Net Interest Income 1.330 1.510 13,50% Net fees and Commissions Income 344 360 Personnel Expenses (-) 408 468 Dividend Income 2 1 Net Trading Income/Loss (241) (117) Other O
Slide 23: Revenues In Detail
Revenues In Detail Net Interest Income / Margin Net Interest Income (TRY MM) Net Interest Margin (%) 4.416 3.007 5,90% 5,69% 5,80% 1.330 1.510 5,53% 5,37% 5,64% 5,62% 5,44% 5,30% 5,23% 1.677 2.906 2017 YE 2018 Q1 2018 Q2 2018 Q3 2018 YE 2017 YE 2018 YE Interest Income Interest Expense Net Interest I
Slide 24: Ratios
Ratios Cost to Income Ratio Cost / Income (%) – Bank Only 61,87% 62,07% 64,15% 58,42% 57,24% 2017 YE 2018 Q1 2018 Q2 2018 Q3 2018 YE Cost of Risk NPL Coverage Cost of Risk (%) – Bank Only NPL Coverage (%) – Bank Only 2,00% 1,68% 1,76% 72,03% 73,40% 74,46% 76,74% 73,60% 1,44% 1,37% 2017 YE 2018 Q1 20
Slide 25: Capital Adequacy
Capital Adequacy SekerbankS5
Slide 26: Capital Adequacy Overview
Capital Adequacy Overview Bank-Only Consolidated Capital Adequacy Ratios – (%) Capital Adequacy Ratios – (%) 6,63% 6,46% 6,04% 5,77% 6,41% 6,39% 6,17% 5,84% 5,84% 6,27% 20.5 22.7 23.6 23.8 22.9 22.3 24.4 25.3 25.7 24.8 15,40% 14,33% 15,14% 14,29% 13,65% 14,13% 12,75% 14,33% 13,53% 13,41% Min. 12% CA
Slide 27: Contact Details
Contact Details Sekerbank T.A.Ş. Zeki Önder Executive Vice President Tel: +90 212 344 07 36 zeki.onder@sekerbank.com.tr Financial Institutions, Structured Finance & Investor Relations Oya Sarı Head of Financial Institutions, Structured Finance and Investor Relations Tel: +90 212 319 71 58 oya.sari@s
Slide 28: Legal Notice For Investors
Legal Notice For Investors 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 information purpo