OTP Bank Romania improved its performance in Q3, reducing the cumulated loss by a quarterly RON 9 million net profit (14/11/2013)
- OTP Bank Romania announces the Q3 2013 results, according to the consolidated financial statements of OTP Group
- The total assets reached RON 6,775 million in 3Q 2013
- Outstanding performance in new cash loan disbursement, reflected in a 50% growth compared to the previous quarter
- Deposits grew by 7% q-o-q, thus the net loan to deposit ratio registered a value of 183%, the lowest level since 2006
- The operating result remained stable y-o-y and grew by 14% q-o-q
- The total gross loan volumes expanded by 1% q-o-q
- The net fee and commissions income grew y-o-y by 23% due to the strengthened business activity
- OTP Bank Romania registered a loss worth of RON 25 million in 9 M, 19% lower than a year ago
Budapest, November 14, 2013 – OTP Bank Romania improved its performance by reducing the cumulated loss as of September 30, by a quarterly RON 9 million net profit.
According to the original report submitted to the Budapest Stock Exchange, the Romanian subsidiary of OTP Group ended the third quarter of 2013 with total assets of RON 6,775 million.
OTP Bank Romania registered an outstanding performance in new cash loan disbursement, capturing a growth of 50% compared to the previous quarter, while it grew by 2.5-fold compared to 3Q 2012. Consequently, the volume of consumer loans leaped by a quarter, q-o-q and doubled y-o-y on an FX-adjusted basis.
Deposits volume grew by 7% q-o-q, thus the net loan to deposit ratio registered a value of 183%, the lowest level since 2006. Retail deposits reached RON 2,123 million, a growth of 23% y-o-y, while corporate deposits registered a value of RON 740 million, showing an increase of 35% y-o-y.
The operating result remained stable y-o-y and grew by 14% q-o-q reaching a value of RON 76 million and reflecting the improvement of business activity.
The total gross loan volumes expanded by 1% q-o-q. Retail loans registered a value of RON 4,704 million, an increase of 2% q-o-q and 4% y-o-y, while corporate loans reached RON 1,311 million, maintaining the same rate q-o-q and decreasing by 12% y-o-y.
After the gradual and trend-like decline in net interest margin in the last two years, in the third quarter showed a significant improvement. The 23% growth of 9M net fee and commission income was mainly due to the strengthening business activity. The other net non-interest income grew by 19%. FX result improved further in the third quarter.
Mortgage loan volumes kept on eroding gradually, despite the pick-up in new origination in 3Q, although from a relatively low basis.
OTP Bank Romania registered a loss worth of RON 25 million in 9M, 19% lower than a year ago. The bank turned profitable in Q3 after making loss in the previous four quarters.
OTP Group posted a net profit of HUF 62.7 billion in the first nine months of 2013, underpinning an 18% y-o-y increase. The total assets volume reached HUF 10,060,381 million, remaining stable q-o-q. Within the overseas operation the biggest nominal net earnings were posted in Bulgaria, but the strongest q-o-q improvement was registered in Ukraine and Romania with Russian profit eroding.
The complete results of OTP Bank Romania can be seen in the table below:
The complete results can be found in the report published by OTP Bank Plc.: http://www.otpbank.ro/en/about-us/otp-bank-romania/annual-reports/
OTP Bank Romania, subsidiary of OTP Bank, is a member of the largest independent Central-Eastern-European banking group, as an integrated and self-funding financial services provider. Driven by a responsible, committed and highly professional approach, OTP Bank Romania understands its customers’ needs and the market current realities and acts as a reliable financial services provider.
OTP Bank provides universal banking services in Hungary, Romania, Montenegro, Croatia, Bulgaria, Russia, Ukraine, Slovakia and Serbia, for more than 13 million customers, through a territorial network of over 1500 units, the ATM network and electronic channels.