In line with sustainable profitability and efficiency, Ziraat Bank continued to grow consistently in 2013. The Bank maintained its positive trend in terms of profitability and efficiency, thanks to its asset-liability management strategies and strengthened its balance sheet in parallel with its shareholders' equity.

The Bank's total assets increased by 27% to reach TL 207.5 billion by the end of 2013. Total equity reached TL 18 billion and accounted for an 8.9% share in total liabilities. The Bank is planning to maintain such a balance sheet structure in line with its equity. Aiming to ensure sustainable profitability - an important element with respect to shareholders' equity management - the Bank increased its net profit by 26% to TL 3.3 billion in 2013. There was a marked rise in profitability ratios, as well, and RoA and RoE, which were 1.7% and 17.6% respectively at year-end 2012, rose to 1.8% and 18.5%. The Bank's capital adequacy ratio realized at 13.2.

Within the frame of the strategy to switch from marketable securities to loans in its balance sheet, the Bank focused on lending activities. As a result of these activities, total loans amounted to TL 111 billion at the end of 2013, and the share in assets is realized as 54%. The share of securities portfolio in assets decreased to 30% which was 40% in 2012. Efforts will be ongoing also in the years coming to match the sector's norms in terms of the share of marketable securities within the balance sheet. The Bank's NPL ratio decreased from 2.9% in 2012 to 2.2% in 2013. The NPL ratio that the Bank keeps below to the sector's average of 2.7% without disposing of any assets for its nonperforming loans indicates that it has good assets quality.

In line with our management concept focused on contributing Turkey's saving balance, and our goal to secure broad-based and low-cost funds, total deposits were worth TL 142 billion. Ziraat Bank remained the sector's leader in total deposits in 2013. While the share of deposits to liabilities was 68%, that of non-deposit resources including funds was 19%. To support funding diversity and depth, in addition to loans obtained from international foundations, post-financing loans, and Bank bonds-bills issues, syndication loans were obtained to ensure diversity in source structure.

At TL 14.4 billion, interest income continued to represent the Bank's most important income item in 2013. As a result of the lending activities during the reporting period, the share of interests charged on loans within total interest income rose from 59% to 66%. Our efforts to improve net interest margin continued, and resulted in rise of 12% in net interest income during 2013. The Bank's activities aimed at growing non-interest income brought about hike of 27% in net fee and commission income in 2013.