January 31 (SeeNews) - Italy's UniCredit Group increased its adjusted net profit in Bulgaria to some 226.5 million euro ($245.8 million) last year from 200.9 million euro in 2021, the group said on Tuesday as it posted its highest overall net profit in more than a decade, of 5.2 billion euro.
UniCredit's pre-tax profit in Bulgaria rose to 261.3 million euro in 2022 from 209.7 million euro in 2021, the banking group said in its full-year results statement.
Net operating profit was more than 23% higher at 268.7 million euro, with the group narrowing its loan loss provisions in Bulgaria to 55.75 million euro in 2022 compared to 63.8 million euro the year prior.
Net interest income at UniCredit Bulbank, the Bulgarian unit of the group, climbed by 12.6% to 298.6 million euro in the review year, while net fee income went up to 143.9 million euro from 131.1 million euro, the financial statement showed. Net trading income also rose, by some 6.4 million euro to 56.4 million euro.
Total revenue from UniCredit's Bulgarian operations amounted to 504 million euro in 2022, representing an annual increase of 12%. At the same time, the group's operating costs in Bulgaria widened to 179.5 million euro from 168.1 million euro, as payroll expenses and amortisation and depreciation costs increased.
Customer loans grew by about a fifth to 7.9 billion euro, while customer deposits added 16.8% to 11.8 billion euro.
In the fourth quarter of 2022 alone, UniCredit grew its revenue in Bulgaria by 30% to 148.5 million euro as net interest, fees and trading income all rose.
UniCredit Bulbank slipped one place to become Bulgaria's second-largest lender as at end-December, with total assets of 28.9 billion levs ($16 billion/14.8 billion euro), according to the latest central bank data published on Tuesday.
The Italian banking group' total revenue in its Eastern Europe division, which includes Bosnia, Bulgaria, Croatia, Romania and Serbia, grew 11% on the year to roughly 2 billion euro, while net profit was up over 24% to 718 million euro, UniCredit said.
($ = 0.9213 euro)
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