ZAGREB (Croatia), May 12 (SeeNews) – Hungarian financial services group OTP said on Friday its Croatian unit, OTP Banka Hrvatska, turned to a net loss of 1.8 billion Hungarian forints ($6.3 million/5.8 million euro) in the first three months of 2017, from a 846 million forints profit a year earlier.
"The negative earnings were due to provisions made on a large corporate exposure", OTP said in its Q1 financial report.
The net interest income of OTP's Croatian unit increased 11% through March to 5.96 billion forints, while its net fees and commissions income added 10% to 1.30 billion forints.
Earlier this month, OTP purchased a 100% stake in Croatia's Splitska banka, a former member of Societe Generale Group, for 425 million euro.
The current interim management report does not incorporate the impact of the transaction, it will be reported in the company’s 2017 second quarter earnings, OTP noted.
The Croatian bank’s total assets increased to 639.4 billion forints in the first quarter, up one percent on the year.
OTP is also present in Slovakia, Bulgaria, Romania, Serbia, Russia, Ukraine, and Montenegro.
(1 euro=310.208 HUF)