Presentation. 2Q2011 BRSA Bank Only Results

Transcription

1 Investor Presentation 2Q2011 BRSA Bank Only Results 1

2 Turkish Economy GDP Growth (%) 8.4% 6.9% 47% 4.7% 0.7% 8.9% 8.7% 2.5% 4.8% E 2012E Eurozone vs Turkey: Public Debt/GDP (%) Eurozone Turkey IMF Forecast Maastricht Criteria: 60% Balance of Payments Fiscal Balance % T 2012T -1.0% 6.0% % 20% -3.0% 4.0% % 2.0% % 0.0% % -2.0% 20% T 2012T -7.0% % -4.0% % -6.0% % Budget Deficit / GDP Primary Balance / GDP C/A (US$ bn) C/A / GDP Source: Turkstat, CBRT, Ministry of Finance IMF,OECD

3 Turkish Economy Interest Rate Benchmark Bond Rate (Compound) CBRT Policy Rate (Compound) Fiyat (bps) Turkey CDS 900 5yr CDS yr CDS O 08 M 08 E 08 O 09 M 09 E 09 O 10 M 10 E 10 O 11 M 11 Exchange Rate & Inflation CDS & Rating Jan 08 Apr 08 Jul 08 Oct 08 Jan 09 Apr 09 Jul 09 Oct 09 $/TL Jan 10 Source: Turkstat, CBRT, IMF,OECD Apr 10 Jul 10 Yıllık Enflasyon Oct 10 Jan 11 Apr % 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% AA Greece Ire eland Countries, whose CDS and rating is higher Hu ungary Italy Be elgium Indo onesia CDS (5y) Turkey Africa S. Brazil Mexico Czech S&P Rating China Swiss Den nmark No orway 20 BB 15 B 10 B C 5 C 0 C

4 a Glance Ownership İsbank; 50.0% Free Float; 41.6% Credit Ratings (May 2011) TSKB Turkey Fitch LTFC BB + BB+ Moody s LTIR Ba1 Ba2 Main Subsidiaries Yatırım Finansman Securities TSKB Real Estate Appraisal 100% Vakifbank; 8.4% İş Leasing 96% 29% TSKB REIT 64% Corporate Governance Rating SAHA 8.92/10 Established in 1950 Largest private investment & development bank, 15 th largest bank in Turkey USD 5.3 billion asset size 351 employees, 3 branches TSKB 4

5 Snapshots Sustainable Profitability; Stable Net Interest Margin Profitability higher than last year; Implying 6.4% yoy increase, net Income reached TRY 130 mn, 20.3%, still strong similar to last quarter 20.9% 4.11%, flat ytd C/I 15.3%, Up by 7.4% ytd, total assets keep growing without compromising on asset Robust Asset Quality; High Efficiency quality, Loan volume totaling USD 3.4 bn; up by 9.7% ytd (in USD terms) Gross NPL decreased by 20.2% ytd and NPL dropped to 0.37% Cost of 0.41% 20.3%;free 11.9% Leverage ratio 6.5X 5

6 Banking Sector vs TSKB Q Banking Sector TSKB CAR 17.1% 20.3% Loans/ assets 54.% 65.1% NPL 2.9% 0.4% Cost to income 43.6% 15.3% NIM 3.9% 4.1% ROAE 15.5% 20.3% Banking Sector TSKB 60% Deposits 64% Long Term Funding 6 60% of liabilities are deposits 64% of liabilities are long term funding (Average maturity is less than 3 months) (Average maturity is 12 years)

7 Business Lines MAIN BUSINESS LINES Corporate Banking Investment Banking Treasury Key Subsidiaries Corporate Loans Corporate Finance ALM Yatırım Finansman Securities Project Finance Brokerage Fixed Income TSKB REIT Apex Banking Asset Management Spot&Derivative Trading TSKB Real Estate Appraisal Trade Finance TMU TSKB Real Estate Advisory TSKB Real Estate Brokerage 7

8 Corporate Loans Corporate Lending and SME Loans Between 2005 Leasing Trade Finance Non cash Loans 2010, TSKB has financed half of USD 7.7 bn investments and contributed to the creation of new jobs. 8

9 Project Finance Renewable energy investments reached USD 6.1 bn of which USD 1.8 bn is underwritten by TSKB. 96 projects with totalt installed capacity of 3, MWin Hydro, Wind, Geothermal and Biomass. 55 of these projects are syndicated with other banks. 17 of 18 Electricity Distribution Privatization were completed and TSKB has financed four of them Prospects Two awards to TSKB Euromoney Project Finance Magazine 2010 Deals of the Year Alternative energy sources European Hydro PowerDeal of the Year European Utilities Deal of the Year Acquisition finance Real Estate Sector Boyabat Dam ve HES Project Finance Uludağ Electricity Distribution and Çamlıbel Electricity Distribution Shares Purchase Project Finance 9

10 Apex Banking 5 Commercial Banks 12 Leasing Companies 10 Commercial Banks 9 Leasing Companies 13% of lending through APEX scheme Placed through 23 intermediary financial instituions USD 1.49 bn APEX funds; USD 1,200 mn to exports, USD 219 mn to SMEs Reached over 1,000 companies. A new agreement signed with the World Bank amounted to USD 300 mn. SMEs Exporters 10

11 Long Term Funding Outstanding Funding Base 3,016 USD mn 2,848 2,513 2,036 1,670 3,382 World Bank (IBRD) European Investment Bank (EIB) Council of Europe Development Bank (CEB) Kreditanstalt für Wiederaufbau (KfW) Q2Q Long term Funds Short term funds Multilateral Funding Agreements (anually) USD mn 1039 Agence Française de Developpement (AFD) International Finance Corporation(IFC)

12 Funding Base Long Term Funding; 93% Funding Total LT outstanding funds: USD mn 3,382 ; Since 2009 totaling USD mn 1,684 agreements were signed. Short Term Funding; 7% Outstanding LT Funds Long term funding average maturity: 12 yrs 93% of long term funds guaranteed by Turkish Treasury EIB 35% Short term funding: 7% (Syndications, Bilateral Borrowings) IBRD 45% CEB 8% AFD 6% KFW 4% 12

13 Corporate Finance Privatization The forefront advisor of the most strategic asset privatizations Recent track record in port, motorways & bridges privatization projects to sell side Continues M&A and Strategic Advisory Buy Side Advisory Leading investment bank in the energy sector M&A buy side mandates of electricity and gas distribution projects Continues Sale of Akenerji and Sedaş Ayedaş and Akdeniz Electricity Distribution Gediz Electricity Distribution Dicle Electricity Distribution Başkent Natural Gas Distribution Motorways & Bridges İskenderun Port Bandırma Port TSKB TSKB TSKB TSKB TSKB milyon ABD$ Buy Side Advisory Buy Side Advisory Buy Side Advisory Buy Side Advisory Buy Side Advisory TSKB TSKB TSKB Advisory to PA Advisory to PA Advisory to PA Other Strategic t Advisory Services Company and asset valuations Feasibility studies Brand appraisals Establishment of new companies and investment trusts Sell Side Advisory ImpressiveI i track record in M&A sell side mandates for various sectors Continues Bizfonik Eston VARYAP Construction Company TSKB TSKB TSKB Sell Side Advisory Sell Side Advisory Sell Side Advisory 13

14 Public Offering & Bond Origination Ongoing Ongoing Türk Hava Yolları Advisory for ÖİB Completed Public Offering Advisor of Turkish Privatization Administration since February 2011 Scope of work includes strategy, valuation, legal infrastructure, marketing, etc. Execution Options: SPO, block sale or both. 3 IPOs were completed in Emlak Konut REIT IPO was the 5th biggest IPO in Turkish history. TSKB REIT IPO is the first REIT IPO in year Aksa Energy is the largest indepedent power producer of Turkey. TSKB has won EMEA Finance s Best Equity House in Turkey 2010 award in Europe Banking Awards. Şekerbank Bank Bill Issuance Consortium Leader 12 and 18 months maturity TRY 350 mln March 2011 TSKB Bank Bill Issuer and Consortium Leader Bond Origination 2011 Completed 2010 Şekerbank Bank Bill Issuance Consortium Leader 12 and 24 months maturity TRY 150 mln March 2011 Ekspo Factoring Bond Issuance Consortium Leader 180 and 360 days maturity 2 years maturity TRY 200 mln TRY 20 mln August 2010 October

15 Asset Management & Brokerage Conventional Investment Funds Private Asset Management TSKB Investment Trust Assets Manegement Other Mutual Funds Capital Guaranteed Funds under the Umbrella fund TSKB Energy Index at ISE Secondary capital market transactions: Investment Advisory and brokerage services to private&institutional customers in equity, fixed income, FX and derivative products TSKB Trading Platform (TTP) Istanbul Ankara İzmir branches Capital Guaranteed Umbrella Funds (TRY mn) 13 TSKB Investment Trust AUM (TRY mn) Outstanding Total Q 15

16 Financial Highlights Foreign Currency Turkish Lira Assets Liabilites Assets Liabilities Long Term Loans 5 years 62% Long Term Funds 12 years 64% Liquid Assets 23% Repo 12% Free Capital 12% TRY FX 16

17 Composition of Assets Loan/ Asset ratio: 65% TRY Bn 38% 39% 35% 31% Liquid Assets 57% 57% 61% 65% 5% 4% 4% 4% Q Q Loans Others Securities/ es/ Assets: 27% 72% of assets are FX denominated 62% of liquid assets are TRY government bonds Other assets: subsidiaries and tangible assets Total Assets (TRY) Q 2Q Q 2Q 7.4% (ytd) 17

18 Loans USD Mn, 2,642 2,612 3,125 10% 3,427 Energy egy Distrubution 5% Logistics 10% Loans by Sector Other 23% Construction 5% Metal 4% Tourism 4% Q Q 97% foreign currency denominated No currency mismatch 47% in EUROs, 50% USD 5 years of average maturity 0.4% NPL Ratio Energy Production 31% Apex 13% Corporate Loans 39% Loans by Type Finance 17% Project Finance 48% 18

19 Securities Portfolio TL FX($) ,943 1,881 1, ,699 Duration is 12 months in Zero Coupon bonds, 2.9 yrs in FRNs. 92% is in AFS portfolio. Floating in TRY portfolio: 78% Q Q 76% of the portfolio: TRY securities Q TRY Fixed 31% Private Private Sector Sector Bonds Bonds 11% 7% TRY TRY Fixed TRY Floating 17% Floating 41% 42% CPI FX Fixed Linked 15% 6% FX Fixed 18% CPI Linked 12% 19

20 Liabilities USD mn 4,612 4,585 5,105 5, % 19.1% 61.8% 58.9% 15.0% 12.4% Repo 59.1% 64.2% Long Term Funds Other Total FX borrowings: USD 3.4 bn Paid in Capital: TRY 800 mn Leverage ratio: 6.5X 4.6% 6.7% 9.9% 8.0% 15.1% 15.4% 16.0% 15.4% Equity Q Q 20

21 Shareholder s Equity TRY mn Capital Adequacy Ratio 1,041 1,117 1,264 1,306 25% 25% 22% 22% 23% 20% 20% 18% Q Q Q Q CAR Tier 1 Equity Movement 130 1,306 Free Capital Ratio 1, % 12% 12% 11% 2010 Equity Cash Dividend MTM Gains Q Net Q Profit Equity Q Q 21

22 Income Breakdown (TRY mn) Q Q Change Adj. Net Interest Income % Net Commisions % Dividend Income % Other Operating Income % Net Banking Income % Banking Income 11% Personnel Expenses % Adm. Expenses % Net Interest Income Other Op. Expenses % Operating Profit % Provisions(+/ ) % Tax Provisions % 8% Net Profit % 22

23 Quarterly Income Breakdown (TRY mn) 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Change QoQ Adj. Net Interest Income % Net Commisions Dividend Income Other Operating Income Net Banking Income % % % % Personnel Expenses % Adm. Expenses % Other Op. Expenses Operating Profit % % Provisions(+/ ) % Tax Provisions % Net Profit % 23

24 Income Breakdown Net Profit 7% Income Breakdown % 80% 84% 79% 3% 6% 5% 4% 12% 4% 4% 7% 5% 3% 12% 6% Net Interest Income Commissions Dividend Other Q Q Q Q Net Interest Income Breakdown 38% 50% 50% 60% 62% 50% 50% 40% Q Q Liquid Assets Loans Commission Income Breakdown 27% 16% 25% 15% 37% 15% 21% 10% 16% 36% 27% 7% Brokerage Fund Mng. Corporate Finance 41% 46% 28% 33% Non cash Q Q Loans 24

25 Key Performance Indicators 19.5% 22.7% ROAE 18.4% 20.3% 2.7% 3.5% ROAA 2.9% 3.2% Cost to Income 17.9% 17.6% 16.0% 15.3% Q Q Q Q Q Q NIM Spread 3.0% 3.2% 4.42% 2.3% 2.6% 4.07% 4.32% 4.39% 4.10% 4.11% Q 10 2Q Q 11 2Q Q

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