Turkiye Is Bankasi revenue growth accelerated from 18.1% in 2017 to 34.0% in 2018
08 Feb 2019 • About Turkiye Is Bankasi (
$TIBD) • By InTwits
Turkiye Is Bankasi reported 2018 financial results today. Here are the key drivers of the company's long term financial model:
- Turkiye Is Bankasi is a fast growth stock: 2018 revenue growth was 34.0%, 5 year revenue CAGR was 19.9% at 2018 ROIC 3.8%
- Turkiye Is Bankasi has low CAPEX intensity: 5 year average CAPEX/Revenue was 1.9%. At the same time it's in pair with industry average of 2.7%
- CAPEX is quite volatile: 431 TRYm in 2018, 750 TRYm in 2017, 429 TRYm in 2016, 985 TRYm in 2015, 587 TRYm in 2014
- The company has potentially unprofitable business model: ROIC is 3.8%
Below you can find a comprehensive analysis of the key data driving the company's performance and the stock price.
Revenue and profitability
Turkiye Is Bankasi's Revenue jumped on 34.0%. Revenue pursued a growing trend in 2014-2018.
Net Income margin decreased slightly on 1.3 pp from 13.3% to 12.0% in 2018.
Investments (CAPEX, working capital and M&A)
Turkiye Is Bankasi's CAPEX/Revenue was 0.78% in 2018. Turkiye Is Bankasi showed decline in CAPEX/Revenue of 2.5 pp from 3.3% in 2015 to 0.78% in 2018. Average CAPEX/Revenue for the last three years was 1.3%.
Turkiye Is Bankasi has spent 14m TRY on M&A in 2018 which accounts for 0.024% of revenue.
Return on investment
The company operates at good ROE (14.4%) while ROIC is low (3.8%). ROIC decreased slightly on 0.68 pp from 4.4% to 3.8% in 2018. ROE increased slightly on 0.53 pp from 13.9% to 14.4% in 2018.
Leverage (Debt)
Debt surged on 13.3% while cash jumped on 11.1%.
Turkiye Is Bankasi has no short term refinancing risk: cash is higher than short term debt (199.4%).
The company paid 28.4% of Net Income as dividends in 2018.
Management team
Adnan Bali is a the company's CEO. Adnan Bali has spent 11 years with the company.
Financial and operational results
FY ended 31 Dec 2018
Turkiye Is Bankasi ($TIBD) key annual financial indicators| mln. TRY | 2014 | 2015 | 2016 | 2017 | 2018 | 2018/2017 |
|---|
P&L
|
|---|
| Revenue | 25,975 | 30,073 | 35,117 | 41,469 | 55,555 | 34.0% |
| Net Income | 3,352 | 3,331 | 4,999 | 5,530 | 6,672 | 20.6% |
Balance Sheet
|
|---|
| Cash | 25,144 | 32,490 | 33,233 | 36,830 | 40,922 | 11.1% |
| Short Term Debt | 29,816 | 25,768 | 24,921 | 24,246 | 20,522 | -15.4% |
| Long Term Debt | 35,246 | 57,715 | 70,991 | 91,786 | 110,959 | 20.9% |
Cash flow
|
|---|
| Capex | 587 | 985 | 429 | 750 | 431 | -42.6% |
| Dividends | | | | | 1,892 | |
| Acquisitions | | | | | 14 | |
Ratios
|
|---|
| Revenue growth | 15.7% | 15.8% | 16.8% | 18.1% | 34.0% | |
|
|---|
| Net Income Margin | 12.9% | 11.1% | 14.2% | 13.3% | 12.0% | -1.3% |
| CAPEX, % of revenue | 2.3% | 3.3% | 1.2% | 1.8% | 0.8% | -1.0% |
|
|---|
| ROIC | 4.4% | 3.5% | 4.6% | 4.4% | 3.8% | -0.7% |
| ROE | 13.2% | 11.0% | 14.5% | 13.9% | 14.4% | 0.5% |
Peers in Banks
Below you can find Turkiye Is Bankasi benchmarking vs. other companies in Banks industry. It's shown for the period of 5 years for the key financial metrics. Each table has median value for all the companies in the industry together with individual financial data of the top-5 companies in the industry by particular financial metric.
Top companies by Revenue growth, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| European Islamic Investment Bank ($EIIB) | 42.3% | -4.1% | -63.9% | 232.5% | |
| Halyk Savings Bank Of Kazakhstn JSC ($HSBK) | 16.3% | 19.5% | 16.4% | 59.5% | |
| Zenith Bank ($ZENB) | | 6.8% | 17.9% | 46.7% | |
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | | 26.8% | 27.0% | 46.4% | 28.9% |
| TCS Group Holding ($TCS) | 11.5% | 10.6% | 34.0% | 33.7% | |
| |
|---|
| Median (43 companies) | 10.7% | 3.5% | 3.4% | 4.5% | 13.9% |
|---|
| Turkiye Is Bankasi ($TIBD) | | 15.8% | 16.8% | 18.1% | 34.0% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| Lloyds Banking Group ($LLPC) | 13.1% | 13.6% | 14.5% | 14.5% | |
| Banco Santander Sa ($BNC) | 8.9% | 10.2% | 9.1% | 10.0% | 14.7% |
| Bcb Hldgs Ltd ($BCBW) | 5.4% | 2.5% | 3.0% | 7.3% | 5.9% |
| Royal Bank Of Scotland Group ($RBS) | 4.1% | 4.6% | 5.6% | 7.1% | |
| Diamond Bank ($DBPA) | 6.0% | 6.7% | 6.2% | 7.0% | |
| |
|---|
| Median (39 companies) | 2.0% | 2.5% | 2.5% | 1.9% | 1.3% |
|---|
| Turkiye Is Bankasi ($TIBD) | 2.3% | 3.3% | 1.2% | 1.8% | 0.8% |
Top companies by ROIC, %
| Top 5 | FY2014 | FY2015 | FY2016 | FY2017 | FY2018 |
|---|
| TCS Group Holding ($TCS) | 6.7% | 3.4% | 22.5% | 31.8% | |
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | 30.1% | 30.3% | 28.0% | 25.3% | 25.4% |
| Guaranty Trust Bank ($GRTB) | 17.8% | 16.0% | 17.4% | 18.3% | |
| Sberbank Of Russia ($SBER) | 4.8% | 4.0% | 9.4% | 13.0% | |
| Zenith Bank ($ZENB) | 15.0% | 11.2% | 11.1% | 11.4% | |
| |
|---|
| Median (43 companies) | 4.4% | 3.4% | 4.6% | 4.6% | 4.6% |
|---|
| Turkiye Is Bankasi ($TIBD) | 4.4% | 3.5% | 4.6% | 4.4% | 3.8% |
