EVALUATION OF FINANCIAL STATUS, PROFITABILITY AND SOLVENCY

A review of TEB’s financial statements that are drawn up in accordance with the regulations of the Banking Regulation and Supervision Agency (BRSA) reveals as follows:

TEB’s after-tax profit for 2019 reached to TL 1,07 billion and the Bank posted a RoE of 11.50% in line with its strategies focused on profitability and productivity. Sustaining a consistent growth with its strong capital structure, TEB’s equity was TL 9,7 billion and its capital adequacy ratio was realized as 16.95%, considerably higher than target ratio of 12%. 

The Bank increased its asset size by 11% to reach TL 107,350 million in 2019 while credits which are the most important indicator of TEB’s contribution to the economy and its customers became TL 69,2 billion constituting 65% of total assets. 

While time deposits volume which meets a great portion of the Bank’s funding requirement, total deposits as a percentage of liabilities became 67%.  On the other hand, current deposits also increased to reach TL 16,8 billion and had a great contribution to the Bank in terms of funding costs.

As of October 2019,TEB signed a syndicated loan facility agreement with the participation of 22 international banks for the purpose of supplying a loan in the amount of EUR 306 million and USD 61,5 million with 367-days maturity. The syndicated loan was expected to be used particularly in financing of exports and provide a great contribution to Turkish economy and companies’ growth. All-in-cost of the syndicated loan is Euribor+2.10% and Libor+2.25%, for Euro and USD portions, respectively.