March 15 (SeeNews) - The Albanian unit of Raiffeisen Bank International (RBI) switched to an after-tax loss of 32.5 million euro ($34.6 million) in 2016 from an after-tax profit of 12.4 million euro in 2015, RBI said on Wednesday.
The poorer performance was driven mainly by much higher net provisioning for impairment losses, figures from RBI's 2016 annual financial report showed.
RBI's Albanian unit allocated 65.1 million euro to covering impairment losses in 2016, compared to 31.2 million euro a year earlier.
The non-performing loan (NPL) ratio increased to 22.9% from 19.5% in 2015.
Decrease in the net interest income also contributed to the 2016 loss. Net interest income declined 20.4% to 55.6 million euro.
RBI's total assets in Albania narrowed 5.6% to 2 billion euro at end-2016.
Following are details on RBI's performance in Albania (in millions of euro unless otherwise stated):
|
2016 |
2015 |
2016/2015 pct change |
Net interest income |
55.6 |
69.9 |
-20.4% |
Net fee and commission income |
12.8 |
11.1 |
15.5% |
Net trading income |
11.9 |
15.3 |
-21.5% |
Operating income |
77.9 |
90.4 |
-13.9% |
General administrative expenses |
46.8 |
45.2 |
3.7% |
Operating result |
31 |
45.3 |
-31.4% |
Net provisioning for impairment losses |
-65.1 |
-31.2 |
108.6% |
Profit/loss after tax |
-32.5 |
12.4 |
- |
Loans |
815.2 |
834.9 |
-2.4% |
Deposits |
1,694.1 |
1,799.3 |
-5.8% |
NPL ratio |
22.9% |
19.5% |
17.9% |
Total assets |
2,001.6 |
2,119.7 |
-5.6% |
RBI's Albanian unit had 751,313 customers at end-December, up 2.1% year-on-year.
The bank ran 81 business outlets, down from 91 a year earlier. It had 1,291 employees as of end-2016, down from 1,349 a year earlier.
The Albanian unit of RBI was the second largest bank in the country in terms of assets as of end-September, according to data from the Albanian Association of Banks.
($ = 0.9413 euro)
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