Turkey’s 4th largest bank in terms of assets VakifBank announced unconsolidated financial results. While the asset size of the bank exceeded 419 billion TL in 2019, the support provided to the national economy through cash and non-cash loans exceeded 352 billion TL.
VakıfBank earned 2 billion 802 million TL net profit by allocating 810 million TL tax provision from 3 billion 613 million TL gross profit reached in 2019.
Developing innovative solutions to customer needs and expectations, VakıfBank in 2019, he continued to be a force in Turkey. Evaluating the financial performance of the bank, VakıfBank General Manager Abdi Serdar Üstünsalih said, “Our support for the real economy in 2019, which we call the balancing process for our country’s economy, exceeded 352 billion TL. Our total cash loans grew 24 percent annually and reached 275 billion TL. This growth is more than double the average cash loan growth of the banking sector. Compared to the previous year, our market share in cash loans increased from 9.2 percent to 10.3 percent, and our market share in total assets increased from 8.6 percent to 9.3 percent, indicating uninterrupted support for the real sector. We have managed to increase our market share in every field while leaving behind a difficult year with fluctuations in the global economy. We continued to increase our support to the real sector steadily through the loans we provide. ”
“Deposit increase well above the sector average”
Stating that as VakıfBank, they successfully completed the year on the funding side, Üstünsalih said, “Our total deposit growth reached 40.2 percent on an annual basis, well above the sector average, which was 26.1 percent. Compared to last year, our market share in deposits increased by 1 point to 9.8 percent. Thus, our total deposits exceeded 251 billion TL and their share in total resources reached 60 percent. We continued to expand our deposit portfolio to the base by offering alternative products to our customers in the field of deposits. ”
“Foreign borrowing diversified with new and different transactions in 2019”
Referring to VakıfBank’s leading position in international capital markets, he left behind a very successful year in non-deposit funding as well. Thus, the share of non-deposit resources in total liabilities reached 21 percent. The first subordinated bond issuance with TLREF index between Turkish banks amounting to 725 million TL in 2019, US $ 417 million securitization loan, the first cooperation with China Exim Bank, 140 million US $ loan agreement, project loans secured funding. We reinforced our leadership in this field by throwing. In the next period, we will maintain our pioneering position in this field by focusing on new and different alternatives in non-deposit funding. ”
“Digital transformation continues rapidly”
Emphasizing that the digitization process continues without slowing down by touching all banking applications, Üstünsalih ended his words as follows:
“VİBİ, the artificial intelligence application we developed in 2019, continued our digital transformation journey by keeping the expectations of our customers in the foreground with innovative products such as VLimit, VBanko Check and SKY Limit created for tax payments. In the coming period, we will continue our efforts in this field and continue to create value for all our stakeholders. ”
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