Türk Ekonomi Bankası A.Ş · Türk Ekonomi Bankası A.Ş. Earnings Presentation September 30,...

Türk Ekonomi Bankası A.Ş.

Earnings Presentation

September 30, 2010

2

BNP PARIBAS JOINT VENTURETEB Consolidated Balance Sheet

Consolidated Balance Sheet

TRY Million Share Change Share Change

Assets Liabilities

Cash & banks 12% 2.269 2.940 -22,8% Deposits 58% 10.842 10.363 4,6%

M.sec + repos 17% 3.209 2.718 18,1% Repos 3% 512 1.072 -52,2%

Loans + Trade rec. 66% 12.331 10.647 15,8% Funds Borrowed 20% 3.716 2.461 51,0%

Other Assets 4% 658 553 19,0% Other Liab. 6% 1.137 826 37,7%

Non- IE Assets 1% 165 180 -8,3% Total Liabilities 87% 16.207 14.722 10,1%

Total Assets 100% 18.632 17.038 9,4%Subordinated Loans 2% 454 483 -6,0%

Sh. Equity

Capital & Res. 10% 1.829 1.565 16,8%

Income 1% 142 268 n.m.

Total Sh. Equity 11% 1.971 1.833 7,5%

Total Liab + Equity 100% 18.632 17.038 9,4%

Reviewed Audited30.09.2010 31.12.2009 30.09.2010 31.12.2009Reviewed Audited

3

BNP PARIBAS JOINT VENTURETEB Consolidated Income Statement

TL Million Change

Net Interest Income 621,7 654,0 -5%Marketable Securities Revaluation Differences -20,5 -12,0Adjusted Net Interest Income 601,1 641,9 -6%

FX Gains / (Losses) 140,7 127,9 10%Derivatives Trading -167,5 -146,8 14%Securities Trading Income 28,3 63,4 -55%Net Fees & Commissions Income 217,5 209,5 4%Other Operating Income 36,2 22,7 60%Net Banking Income 856,3 918,7 -7%

Loan Loss Provisions -106,7 -123,7 -14%Net Operating Income 749,6 795,0 -6%

Income from discontinued operations 18,2TEB Leasing profit/loss 9,2 3,7Operating Expenses -599,2 -546,6 10%Provision for Taxes on Income -35,5 -49,6 -28%

Net Income / (Loss) 142,4 202,5 -30%

Reviewed Reviewed30.09.200930.09.2010

4

BNP PARIBAS JOINT VENTUREEvolution of NIM and Cost/Income Ratio

6,60%6,38%

5,20%

6,35%

4,98%

6,03%6,32% 6,23% 6,23%

4,80%5,27%

5,82%

6,79%

6,39%

6,54%

6,31%5,90%

4,79% 4,47%

2008

/1Q20

08/2Q

2008

/3Q20

08/4Q

2009

/1Q20

09/2Q

2009

/3Q20

09/4Q

2010

/1Q20

10/2Q

2010

/3Q

Net Interest Margin (cumulative) Net Interest Margin (quarterly)

Net Interest Margin: (Net interest income+Net FX gains/losses+Derivative Gains)/ (Avg. Liquid Assets+Marketable Securities+Credits) (Bank-only)

Source: TEB BRSA Bank-only and Consolidated Financials

Net Interest Margin Cost/Income Ratio

Cost/Income : Operating Expenses / Net Banking Income (Cumulative & consolidated)

68,30%

57,90%61,70%

67,10%70,00%

2008 2009/1H 2009 2010/1H 20103Q

5

BNP PARIBAS JOINT VENTUREBreakdown of Fees and Commissions Income

(*) Cash Loans are classified under Net Interest Income

Source: TEB BRSA Bank-Only Financials

Q2 09 Q2 10

Cash Loans (*)12%

Non Cash Loans13%

Asset Under Management

11%

Insurance4%

Other20%

Import Letters of Credits2%

Inquiry and Company Searches

6%

EFT, Sw ift and Agency2%

Credit Card30%

Cash Loans (*)15%

Non Cash Loans14%

Asset Under Management

10%

Insurance5%

Other22%

Credit Card23%

EFT, Sw ift and Agency2%

Inquiry and Company Searches

8%

Import Letters of Credits1%

6

BNP PARIBAS JOINT VENTUREStructure of Loans

Loans - Currency Mix

69% 76% 74% 78% 76% 77% 79%

31% 24% 26% 22% 24% 23% 21%

2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

TL FC


Retail Loans

6% 7% 7%

20% 18% 17% 17%

39%33% 42% 41%43%33%

16% 10%7%

37%35%34%30%28%26%

29%24%

2007 2008 2009 2010/1Q 2010/1H 2010/3Q

Housing Auto Consumer Credit Card

Loans (TRY Million)

2.939

4.886

6.864

8.505

10.473

8.991

10.794

9.675

2,37% 2,31% 2,38%2,23%

2,22%2,39%

1.92%

2,27%

2005 2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

Volume Market share

7

BNP PARIBAS JOINT VENTUREBreakdown of Loans by LoB

Source: BRSA, TEB BRSA Bank-Only Financials

Million TRY ∆ Volume

Corporate 2.278,61 21,7% 2.187,70 25,3% 4,2%

Commercial 4.228,66 40,2% 3.464,19 40,0% 22,1%

Big Commercial 2.021,77 19,2% 1.777,61 20,5% 13,7%Medium Comm. 2.206,89 21,0% 1.686,58 19,5% 30,9%

Small Business 1.614,72 15,3% 1.184,90 13,7% 36,3%

Retail 2.377,87 22,6% 1.806,16 20,8% 31,7%

Private 22,57 0,2% 21,02 0,2% 7,4%

2009 YE2010/3Q

8

BNP PARIBAS JOINT VENTURE

Other15%

Metal7%Consumer

19%

Tourism6%

Mining2%Misc. Services

5%

Wholesale/Retail5%

Food, Beverage & Tobacco

9%

Construction9%

Textile8%

Elect. & optical appliance2%

Machinery3%

Agriculture3%

Transportation Veh.2%

Chemicals5%

Bank-Only Loan Portfolio

Loan Portfolio by Industry 30.09.2010

Source: TEB, BRSA Bank-Only Financials

9

BNP PARIBAS JOINT VENTURENon Performing Loans

Non-Performing Loans as a % of Total Loans

Source: BRSA statistics and BRSA Bank-Only Financials

2,3%3,7%

4,6% 4,9% 4,7% 4,1%3,1% 3,2%

4,4% 4,2%

0,0% 0,2% 0,5% 0,6%

3,8%2,5% 2,1%

1,3%0,9% 1,1% 0,9%1,8%

4,8%5,2%

5,2%4,7%

3,5%4,3%

2,2% 2,4%

7,2%

10,7%11,5%

6,0%

11,5%

16,5%

27,2%

4,9%3,7% 3,6%

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

Q120

092Q

2009

3Q20

094Q

2010

1Q20

102Q

2010

3Q

TEB Sector Average

Coverage ratio: %60.4

10

BNP PARIBAS JOINT VENTUREImprovement in the Asset Quality

Cost of Risk : loan loss provisions/ average loans for the period (bank-only)

1,43%

2,18%

1,80%

1,40%

1,35%

1,95% 1,91%

2,42%

1,98%

2,41%

1,80%1,55%

1,30%

2,10%1,91%

1,24%

2,16%

0,90%

2008/3Q 2008/4Q 2009/1Q 2009/2Q 2009/3Q 2009/4Q 2010/1Q 2010/2Q 2010/3Q

Cost of Risk (cumulative) Cost of Risk (quarterly)

Net NPLs (Quarterly)TL Million

11987 98 94

53 50 46

-27 -30 -42 -42 -39 -42 -32

-31 -40

-75

NPL inflows

Collections

Sales

Q1 0992

Q2 0957

Q3 0956

Q4 0921

Q1 10-26 -67

Q2 10 Q3 1014

NPL Categorisation

Retail Banking Credit Cards Corporate & Commercial (including SME)

0,9%

3,1%

1,0%1,2%1,9%

2,7%2,7%3,4%

4,1%3,9% 4,0% 3,8%

1H09 3Q09 2.009 1Q10 2Q10 3Q10

8,8%

14,5% 17,2%

14,2%

9,8% 8,9% 8,9%

9,2%10,3%10,2%8,9%

10,3%

1H09 3Q09 2.009 1Q10 2Q10 3Q10

TEB Sector

3,4%3,9%

3,3%4,4%4,6%4,3%4,1%

4,8%4,4% 4,9% 4,6% 4,2%

1H09 3Q09 2.009 1Q10 2Q10 3Q10

Source: BRSA statistics and TEB, BRSA Bank-Only Financials

11

BNP PARIBAS JOINT VENTUREBreakdown of Deposits by LoB


Million TRY ∆ Volume

Corporate 2.139,42 22,0% 1.925,16 20,5% 11,1%

Commercial 1.665,17 17,1% 1.575,75 16,8% 5,7%

Big Commercial 970,18 10,0% 876,99 9,3% 10,6%Medium Comm. 694,99 7,2% 698,76 7,4% -0,5%

Small Business 955,76 9,8% 821,16 8,7% 16,4%

Retail 3.485,01 35,9% 3.504,79 37,3% -0,6%

Private 1.464,33 15,1% 1.567,87 16,7% -6,6%

2009 YE2010/3Q

12

BNP PARIBAS JOINT VENTUREStructure of Deposits

Deposits - Currency Mix

44% 51% 60% 62% 60% 60%

56% 49% 40% 38% 40% 40% 40%

60%

2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

TL FC

Deposits - Time/Demand Mix

19% 20% 15% 22% 21% 23% 22%

81% 80% 85% 78% 79% 77% 78%

2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

Demand Time


Deposits (TRY million)

3.242

5.400

7.083

9.7429.755

9.422

9.3599.272

1,29%

1,66%

1,92%2,04%

1,77% 1,63%1,77%1,69%

2005 2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

Volume Market share

13

BNP PARIBAS JOINT VENTUREMarketable Securities

Source: BRSA, TEB BRSA Bank-Only Financials

Total

Fixed 75%

Floating25%

Total

TL93%

FC7%

TL

Fixed 73%

Floating27%

AFS85%

HTM7%

Trading8%

14

BNP PARIBAS JOINT VENTURECapital Increases and CAR

Source: TEB BRSA Bank-only and Consolidated Financials

Year 2005 2006 06/2007 11/2007 2008 2009

Bonus Issue - - 23,500 445,000 - -% - - 30.71% 445% - -

Rights Issue - 18,700 - 210,000 345,000 -% - 32.35% - 210% 45.69% -

Previous Paid-in Capital 57,800 57,800 76,500 100,000 755,000 1,100,00.00

Current Paid-in Capital 57,800 76,500 100,000 755,000 1,100,00.00 1,100,00.00

Capital Increases(Thousand TL)

CAR

12,58%

13,99%

17,17% 17,53%16,95%

15,45%14,75%14,83%

18,80%17,70%

16,31%15,42%15,70%18,07%

16,47%

13,17%

19,48%18,50%

17,65%

15,38%14,07%

14,87%

2008

/1Q

2008

/2Q

2008

/3Q

2008

/4Q

2009

/1Q

2009

/2Q

2009

/3Q

2009

/4Q

2010

/1Q

2010

/2Q

2010

/3Q

Consolidated Bank-Only

15


Business Lines- Corporate Banking

• Contribution to results (as of 2010 3Q):• 21.7 % of loans • 22.0 % of deposits • 12.6 % of customer contribution

Cross-sell ratio : 5.62xNPL ratio : 1.08 %


Spreads of Corporate Loans

1,77 1,77 1,832,27

5,154,34

3,482,75

1,42 1,37 1,37 1,65

2,66 2,3 2,33 2,4

1,39 1,30 1,28

2,02 1,82 1,67

2008

/1Q20

08/1H

2008

/3Q20

08/4Q

2009

/1Q20

09/1H

2009

/9M20

09/YE

2010

/1Q20

10/1H

2010

/3Q

TL FC

Corporate Loans (TRY Million)

989

15361642

2135 20922279

2005 2006 2007 2008 2009 2010/3Q

16

BNP PARIBAS JOINT VENTUREBusiness Lines- Commercial Banking

• Contribution to results (as of 2010 3Q) : • 40.2 % of loans • 17.1 % of deposits • 37.0 % of customer contribution(14.2% + 22.8%)

Cross-sell ratio : 6.28x and 6.30xNPL ratio : 4.13 % and 4.09%


Spreads of Commercial Loans

7,55 7,16 6,77 6,92

10,619,67

8,577,60

2,66 2,56 2,48 2,73

4,72 4,19 3,80 3,652,31 2,04 1,93

3,393,534,03

2008

/1Q20

08/1H

2008

/3Q20

08/4Q

2009

/1Q20

09/1H

2009

/9M20

09/YE

2010

/1Q20

10/1H

2010

/3Q

TL FC

Commercial Loans (TRY Million)

975

501

1410

925

1621 16181681 17621778 1687

20222207

Big Commercial (10-100 mio$) ME (2-10 mio $)

2005 2006 2007 2008 2009 2010/3Q

17

BNP PARIBAS JOINT VENTUREBusiness Lines- Small Business

• Contribution to results (as of 2010 3Q):• 15.3 % of loans • 9.8 % of deposits • 27.3% of customer contribution

Cross-sell ratio : 3.84xNPL ratio : 4.44 %


Spreads of Small Business Loans

10,23 9,97 9,32 9,2

12,64 12,29 11,93 11,53

0,82 0,77 0,64 0,63

4,88 4,63 4,53 4,59

7,578,75 8,27

5,085,074,83

2008

/1Q20

08/1H

2008

/3Q20

08/4Q

2009

/1Q20

09/1H

2009

/9M20

09/YE

2010

/1Q20

10/1H

2010

/3Q

TL FC

Small Business Loans (TL Million)

35

313

8671057

1185

1615

2005 2006 2007 2008 2009 2010/3Q

18

BNP PARIBAS JOINT VENTUREBusiness Lines- Retail Banking

• Contribution to results (as of 2010 3Q):• 22.6 % of loans • 35.9 % of deposits • 21.1 % of customer contribution

Cross-sell ratio : 3.84xNPL ratio : 1.15 % (excl. CC)

CC: 8,98%

CC: Credit card loans

FC loans are negligable in amount


Retail Loans (TRY Million)

386679

1143

1474

1806

2378

2005 2006 2007 2008 2009 2010/3Q

Spreads of Retail Loans

4,77 4,64 4,41 4,57

6,525,75 5,99 5,83

4,46 4,25 4,02

2,55 2,40 2,25 2,26

4,083,59 3,89 3,93 3,90 3,58 3,32

2008

/1Q20

08/1H

2008

/3Q20

08/4Q

2009

/1Q20

09/1H

2009

/9M20

09/YE

2010

/1Q20

10/1H

2010

/3Q

Retail incl. CC Retail

19

BNP PARIBAS JOINT VENTUREPrivate Banking

• Contribution to results (as of 20103Q):• 0.2 % of loans • 15.1 % of deposits • 2.0 % of customer contribution

Cross-sell ratio : 4.24xNPL ratio : -


Private Banking Assets (Billion US$)

0,7

1,3

1,81,6

1,41,2

1,1

1,4

2007 2006 2007 2008 2009 2010/1Q 2010/2Q 2010/3Q

20

BNP PARIBAS JOINT VENTUREContact Details

Investor Relations+90 212 2512121http://www.teb.com.tr

Çiğdem Başaran (ext. 1532)[email protected]

21


Disclaimer

The information and opinions obtained in this document have been compiled or arrived at by TEB from sources believed to be reliable, but no representation or warranty is made as to their accuracy, completeness or correctness. All opinions and estimates contained in this document constitute TEB’s judgement as of the date of this document and are subject to change without notice. This document is published for the assistance of the recipients, but is not to be relied upon as authoritative or taken in subtitution for the exercise of judgement by any recipient. TEB does not accept any liability for any direct or consequential loss arising from any use of this document or its contents. This document is strictly confidential and may not be reproduced, distributed or published for any purpose.

Türk Ekonomi Bankası A.Ş · Türk Ekonomi Bankası A.Ş. Earnings Presentation September 30,...

Documents

Transcript of Türk Ekonomi Bankası A.Ş · Türk Ekonomi Bankası A.Ş. Earnings Presentation September 30,...