28 October 2009
Bank Vozrozhdenie published its Russian Accounting Standards (RAS) results for Q3 2009. According to RAS Bank Vozrozhdenie net profit after tax as at October 1, 2009 amounted to RR 1.03 billion.
“In Q3 2009 Bank Vozrozhdenie additionally charged almost RR 1.4 billion to provisions for possible losses on loans. The charges could not help but impacted the bottom line notwithstanding the fact that interest income as well as fees and commissions stabilized comparing to the previous quarter”, — commented Tatiana Gavrilkina, Deputy Chairwoman of the Bank’s Management Board. “At the same time we’d like to point that NPLs growth trend significantly slowed down. Over-due loans comprised 7.7% of the Bank’s total loan portfolio as at October 1, 2009. However, we are planning to maintain a conservative approach to provisioning till the end of this year”, — Tatiana Gavrilkina added.
The Bank’s total assets went down by RR 2.2 billion versus the comparable period of the previous year and amounted to RR 135.1 billion as at October 1, 2009 (as at October 1, 2008 the total assets were RR 137.3 billion). Such reduction was caused mainly by a decrease in net loans by 17.5% within the last 12 months from RR 110.9 billion as at October 1, 2008 to RR 91.5 billion as at the end of Q3 2009. The Bank’s retail and corporate loan portfolio before provisions amounted to RR 92.8 billion as at the end of 9M 2009. Provisions for possible losses on loans reached RR 8.3 billion as at October 1, 2009 ensuring NPL coverage of 115%.
Corporate and retail clients’ funds grew by RR 3.8 billion from the beginning of the year and exceeded RR 96.7 billion as at October 1, 2009. Retail customers deposits kept growing and rose to RR 57.3 billion as at the end of the reporting period against RR 50.6 billion as at January 1, 2009.
The Bank’s capital calculated according to the Central Bank methodology amounted to RR 19.4 billion as at October 1, 2009. Capital adequacy ratio grew from the beginning of the reporting period by 2.1 bps and by the end of Q3 2009 made 18.8%.