May 15 (SeeNews) - Raiffeisen Bank International (RBI) said on Tuesday its after-tax profit from operations in Romania rose to 46 million euro ($55 million) in the first quarter of 2018 from 21 million euro in the same period of last year.
Raiffeisen Bank's operating income from operations in Romania grew 15% on the year in the first three months of 2018 to 123 million euro. Net interest income increased by 19% to 75 million euro in the review period, the bank said in its first-quarter unaudited financial report.
"We have very good results in the first quarter of 2018, which are based both on credit growth, especially for corporations and SMEs, and on the increase in deposits attracted from our customers, " Raiffeisen Bank Romania chairman and CEO, Steven van Groningen, said.
The lender's non-performing loan (NPL) ratio in Romania dropped to 5.3% at the end of March, from 8.1% a year earlier. The coverage of NPLs with provisions rose to 81.6% in the first quarter, from 78.3% at the end of 2017 and 74.9% at the end of March 2017.
The bank's loan portfolio in Romania increased 12% on the year to 4.95 billion euro, driven by sustained performance in the retail segment. Customer deposits increased 17% on the year to 6.63 billion euro at end-March, mostly driven by household savings. The ratio of net loans to deposits reached 74.4% as at the end of March 2018.
Raiffeisen Bank had 448 branches in Romania at the end of March and employed 5,332 people.
The bank said it forecasts 4.8% GDP growth in Romania in 2018.
Following are details on RBI’s performance in Romania (in millions of euro):
|
Q1 2018 |
Q1 2017 |
Profit after tax |
46 |
21 |
Pre-tax profit |
54 |
24 |
Operating income |
123 |
107 |
Net interest income |
75 |
63 |
Net fee and commission income |
44 |
41 |
Loans |
4,956 |
4,455 |
Deposits |
4,637 |
5,838 |
Total assets |
8,391 |
7,670 |
($ = 0.8383 euro)
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