September 7 (SeeNews) - Slovenia's largest lender, state-owned Nova Ljubljanska Banka (NLB), said it booked a consolidated net profit of 104.8 million euro ($121.3 million) in the first half of 2018, down 11% on the year primarily as a result of lower credit impairments and provisions.
All group subsidiary banks in the Southeast European (SEE) market generated a profit and contributed 41% to the NLB Group profit before tax, NLB said in a Ljubljana bourse filing.
The group's net interest income rose 2% on the year to 151.7 million euro in the six months through June, while its net non-interest income dropped 1% to 91.4 million euro.
NLB's gross non-performing gross loans decreased to 752 million euro at the end of the first half of 2018 from 844 million euro in December 2017. Gross non-performing loans as a percentage of total loans fell to 8.3% at the end of June from 9.2% in December.
At the end of the first half of 2018, NLB Group had total assets of 12.516 billion euro, up from 12.238 billion euro in December 2017.
NLB was one of two Slovenian banks - alongside NKBM, to show a minor capital shortfall under the adverse scenario of the stress test conducted by the European Central Bank in October 2014.
In December 2013, the Slovenian government had to step in and recapitalize the country's three biggest lenders - NLB, NKBM and Abanka, narrowly avoiding an international bailout.
In July, Slovenia's government said it aims to sell 50% plus one share in the capital of NLB through an IPO by the end of 2018 and to dispose of a further 25% plus one share in 2019.
($=0.8639 euro)
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