Turkish Economy. Turkish Economy Overview Turkish Banking Sector Overview

Transcription

1 31 December,

2 Table of Contents Turkish Economy Tekstilbank Overview Standing Strategy Financial Highlights Summary Balance Sheet and Income Statement Financial Performance Credit Ratings 2

3 Turkish Economy Turkish Economy Overview Turkish Banking Sector Overview 3

4 P 2015P P 2015P Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q P P 2015P P 2015P Turkish Economy Overview Growth performance Fiscal policy & debt outlook External deficit GDP Growth (%) Budget Deficit/ GDP (%) C/A deficit/ GDP (%) Non-Energy deficit/ GDP (%) Maastricht Crirterion: 60% Per Capita Income (000 $) Government Debt Stock/ GDP (%, according to EU standards) L/T Inflows S/T Inflows C/A Deficit (12-month cumulative, US$bn, right) 4

5 E 09/05/08 06/08/08 03/11/08 31/01/09 30/04/09 28/07/09 25/10/09 22/01/10 21/04/10 19/07/10 16/10/10 13/01/11 12/04/11 10/07/11 07/10/11 04/01/12 02/04/12 30/06/12 27/09/12 25/12/12 24/03/13 21/06/13 18/09/13 16/12/13 15/03/14 12/06/14 09/09/14 07/12/14 06/03/15 Turkish Banking Sector Overview Inflation CDS

6 Tekstilbank Overview History and Ownership GSD Holding Shareholder Support Branch Network 6

7 History and Ownership Founded by Akın Tekstil, a major textile manufacturer GSD Foreign Trade Co. acquired 30% stake GSD Holding became the major shareholder by increasing its stake to 75% ICBC has applied to BRSA & Turkish Competition Authority for the acquisition of 75.5% stake from GSD Holding on 6 th of August China Banking Regulatory Commission had approved the acquisition Shareholder Structure Free Float 24.5% GSD Holding 75.5% IPO took place. Shares have been traded on ISE since 1990 GSD Foreign Trade Co. was restructured and renamed as GSD Holding SPA has been signed between GSD Holding and the Industrial and Commercial Bank of China (ICBC) on 29 th of April * The Bank has sold its headquarters building in September 2013 Turkish Competition Authority approved the acquisition on 20 th of August Tekstilbank is a mid-size boutique bank offering customized solutions with high service quality... Ranking (asset size): #18* # of branches: 44 # of employees: 852 ** * Among private deposit banks as at 30 September 2014 ** As at 31 December

8 GSD Holding: Major Shareholder GSD Holding Strategic guidance for GSD Group Free Float: 71.8% Tekstilbank 75.5% GSD Holding, 24.5% Free Float Tekstil Securities Brokerage and investment banking arm 100% Tekstilbank GSD Bank Non-depository bank. Niche business in corporate lending, trade finance & fund mgmt 100% GSD Holding GSD Faktoring A member of the International Factors Group and the Factors Chain International 88.0% GSD Holding GSD Marin Operating in ship construction and management 54.45% GSD Holding, 45.54% Free Float 8

9 Shareholder Support: The Long Term Commitment Tekstilbank s paid-in capital base ; TL mio '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 9

10 Branch Network Branches are predominantly located in the western regions, which account for the majority of Türkiye's GDP generation. Financial Services branch in Berlin, Germany, established in 1995, that handles mainly remittances business. Istanbul branches : 21 Anatolian branches : 22 Free-Zone branch : 1 Domestic Network : Istanbul 1 Samsun 1 1 Balıkesir 1 Bursa 1 Eskişehir 3 Ankara Trabzon 3 İzmir 1 Aydın 1 Muğla 1 Uşak 1 Denizli 1 Antalya 1 Konya 1 Mersin 1 Kayseri 1 Adana 2 Hatay Number of branches 10

11 Standing Strategy Standing Strategy 11

12 Standing Strategy... Attending to high growth environment, also bearing in mind that uncertainty persists in global environment Focal points : Conservative growth approach Extensive focus on collections Maintaining high level of CAR 12

13 Financial Highlights 13

14 Financial Highlights of 2014 YoY Growth in Balance Sheet (%) Assets -4.9% Cash Loans (TL) 9.7% Deposits (TL) 8.4% SHE 2.6% Selected Ratios (%) Loans / Assets 75.5% Deposits / Assets 63.9 % Funds Borrowed / Assets 9.5% SHE / Assets 16.9% Corporate&Commercial Loans 85.8% Consumer Loans 13.2% Total CAR 18.9% Free Equity 85.9% IEA 86.1% NPL 4.2% Reserve Coverage 90.6% NIM 4.2% 14

15 Summary Balance Sheet and Income Statement Balance Sheet Income Statement 15

16 Balance Sheet TL mio FY 2012 FY 2013 FY 2014 YoY% Cash and Banks % Total Securities % Total Cash Loans 2,627 2,786 2, % Fixed Assets & Subsidiaries % Others % Total Assets 3,684 3,854 3, % Deposits* 2,657 2,522 2, % Interbank & Money Market* % Borrowings % Others % SHE % Total Liabilities & SHE 3,684 3,854 3, % * Bank deposits are included in Interbank & Money Market rather than Deposits 16

17 Income Statement TL mio FY 2012 FY 2013 FY 2014 YoY % Interest Income % Loans % Securities % Others % Interest Expense (-) % Deposits % Other Borrowings % Net Interest Income % Net FX Gain (Loss)* % Adj. Net Interest Income % Net Trading Income (Loss)* % Net Fees & Commissions % Other Operating Income** % Total Operating Income % Provisions (-) % Opex (-) % Profit Before Tax % Tax (-) % Net Income(***) % * Foreign exchange gain/loss resulted from derivatives are included in Net FX Gain (Loss), not in Net Trading Income (Loss) ** Including TL 2.1 mio reversal of general loan provision *** In 2013 Q3, sales of Headquarters building resulted with TL 41.2 mio net gain 17

18 Financial Performance Balance Sheet Loan Portfolio Retail Loans Deposits Related Party Exposure Capital Base Asset Quality 18

19 Balance Sheet Composition of Assets YoY: -4.9% 3,684 3,854 3,664 IEA: 84% IEA: 85% IEA: 86% 3% 17% 9% 71% 2% 11% 15% 72% 5% 6% 14% 75% Loans Securities Other IEA Non-IEA Total Assets (TL mio) Composition of Liabilities & SHE YoY: 2.6% % 3% 3% 16% 72% 16% 65% 17% 64% 9% 16% 16% Deposits Funds Borrowed & Interbank Others Shareholders' Equity (TL mio) 19

20 Loan Portfolio Cash Loans YoY: -0.8 % 2,627 2,786 2,765 31% 30% 22% 69% 70% 78% Turkish Lira FX Total (TL mio) 2014 Non-Cash Loans YoY: -30% 1,248 1, % 52% 51% 56% 48% 49% Turkish Lira FX Total (TL mio) 20

21 Loan Portfolio Breakdown By Borrower 86% 86% 86% % 13% % 13% % 13% Breakdown by Industrial Top 10 Sectors Corporate / Commercial Loans Consumer Loans Credit Cards 11.0% 10.9% 7.9% 10.5% Cash Loans Non-Cash Loans 6.1% 2.4% 0.0% 4.6% 4.0% 3.6% 3.7% 3.1% 2.8% 1.5% 1.4% 1.7% 0.8% 1.1% 1.0% 0.5% * Commerce represents wholesale and retail commerce activities including motor vehicles Tekstilbank has a well-diversified client base across different industries and regions enabling better risk control and higher profitability. Credit policies do not favour any business line or company type. Financial structure & cash generation ability of the companies, along with morality of the owners and value of collateral compose an integral part of the evaluation criteria. 21

22 Retail Loans YoY: -0.2% % 9% 7% 9% 4% 7% 41% 34% 29% 42% 50% 60% Credit Cards Housing Loans General Pruposes & Consumer Loans Auto Loans* Total (TL mio) * Specialized loans granted to farmers for vehicle purchases are classified in retail loans As required by BDDK Resolution, the mortgage loans has a loan to value ratio of 75%. The average maturity of mortgage loans is approximately 6 7 years. 22

23 Deposits TL FX Composition YoY: -7.1% 2,657 2,522 2,342 57% 43% 50% 50% 58% 42% Turkish Lira, TL mio FX, USD mio Total (TL mio) Savings Commercial & Others Composition 58% 42% 41% 38% 59% 62% Saving Deposits Commercial & Others 23

24 Insignificant Related Party Exposure Group Total Risk / Total Risk Group Net Exposure / Total Exposure 1.9% 2.5% 2.3% 2.2% 1.9% 0.0% 0.5% Tekstilbank Market Average(*) 0.5% 0.0% % -1.4% 0.7% Total Exposure Net Exposure Group Cash Loans / Cash Loans Group Non-Cash Loans / Non-Cash Loans 4.0% 5.1% 4.6% 1.7% 1.7% 2.5% 0.0% 0.7% 1.6% % 0.0% 0.1% Tekstilbank Market Average(*) Tekstilbank Market Average(*) (*) Market Average is based on 30 September 2014 data 24

25 Strong Capital Base Capital Adequacy Ratio Free Equity, TL mio Total CAR Ratio Free Equity / Equity 88.1% 85.9% 16.47% 17.37% 18.91% 73.9% % 0.61% 0.61% % 16.76% 18.30% * 2014** Tier 1 Tier 2 *Calculated according to new BRSA regulations, in line with Basel II ** Equity calculation amended by BRSA for preparation to Basel III by adapting common equity (going concern capital) 25

26 Asset Quality NPL / Total Cash & Non-Cash Loans (%) 3.4% 4.3% 4.2% 2.2% 2.0% 2.1% Tekstilbank Market Average Reserve Coverage (Including portfolio reserves) 92% 96% 91%

27 Credit Ratings Fitch Ratings 27

28 Credit Ratings Fitch Ratings (March 2015) LOCAL CURRENCY FOREIGN CURRENCY NATIONAL LONG TERM IDR B+ B+ A (tur) OUTLOOK Positive* Reaffirmed Tekstilbank due to the facts that ; Adequate capital ratios Short term & diversified loan book Low leverage Deposit-based funding Limited market risk * As of 24 March 2015, Fitch stated that If the acquisition is succcesful, Tekstilbank will likely see a multi-notch upgrade of its IDRs, National Rating and Support Rating. The Long-term foreign currency IDR will most likely be upgraded to 'BBB', Turkey's Country Ceiling. 28

29 Credit Ratings 29

30 Your Contacts Mr. D. Halit DOVER Assistant General Manager Global Head of International Relations Group Ms. Damlanur METIN Platform Assistant Ms. Irem YURTSEVER VP, Europe & Turkey Ms. Sanem CELEPCI AVP, Americas Ms. Arzu SOLEYMANI AVP, Asia & Oceania Ms. Buket HAVUCOGLU Regional Specialist, Middle East & Africa ir@tekstilbank.com.tr Address : Maslak Mah. Dereboyu 2 Cad. No: , Sarıyer - Istanbul - TURKIYE Fax : SWIFT : TEKB TR IS Reuters : TEXT 30

31 We will be proud of being your partner in trade finance avenues in Turkey... Disclaimer Statement The information, opinions and estimates contained in this document have been compiled or arrived at by Tekstilbank from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, completeness or correctness. All opinions and estimates contained in this document constitute the Company s judgement as of the date of this document and are subject to change without notice. The information contained in this document is published for the assistance of recipients, but is not to be relied upon as authoritative or taken in substitution for the exercise of judgement by any recipient. The Company does not accept any liability whatsoever 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. 31