Sberbank releases Financial Highlights for January 2012 (under RAS; non-consolidated)
Please note that the numbers are calculated in accordance with Sberbank’s internal methodology. Also note that the effect of subsequent events is not included in the numbers as of January 1, 2012.
Income Statement Highlights for January 2012 (as compared to January 2011)
- Net interest income grew 27.8% y-o-y
- Net fee and commission income rose by 16.0% y-o-y
- Operating income before total provisions increased by 13.9% y-o-y
- Total provision charge was RUB5.5 bn vs. the charge of RUB5.6 bn for January 2011
- Operating income after total provisions increased 15.9% y-o-y
- Operating expenses rose by 22.3% y-o-y
- Profit before tax amounted to RUB33.3 bn vs. RUB29.4 bn for January 2011
- Net profit totaled RUB29.2 bn vs. RUB26.7 bn for January 2011
Net interest income grew 27.8% y-o-y, which was due to rising interest income:
- Interest income was up 24.7% y-o-y on the back of growth in the working assets and a shift in the asset mix toward higher-margin products;
- Interest expenses increased by 19.4% y-o-y led by costs on corporate customers and other banks which reflect higher market interest rates as compared to January 2011.
Net fee and commission income increased by 16.0% y-o-y owing to expansion of fee-generating operations, primarily operations with bank cards, the number of which keeps on increasing.
Losses from trading on financial markets amounted to RUB5.7 bn vs. losses of RUB0.2 bn in January 2011.
The Bank kept on creating provisions on new loans. The total provision charge was RUB5.5 bn vs. RUB5.6 bn in January 2011.
Operating expenses increased by 22.3% y-o-y led by headcount costs and expenses related to business development.
Profit before tax totaled RUB33.3 bn and net profit amounted to RUB29.2 bn in January 2012. Both figures exceeded those for January 2011.
The Bank’s assets increased in January by more than RUB100 bn to RUB10.6 trln. Loan portfolio growth remains the main driver.
- The amount lent to Russian corporate clients both in rubles and US dollars equaled RUB400 bn. In the meantime, the portfolio was affected by negative revaluation as a result of ruble strengthening relative to the dollar. As a result, the balance of corporate loan portfolio increased by 0.6% in January to RUB6.4 trln.
- The Bank issued over RUB80 bn of retail loans in January. The retail loan portfolio increased by 1.8% to over RUB1.8 trln.
The quality of loan portfolio held stable. Overdue loans accounted for 3.35% of the portfolio as of February 1, 2012, vs. 3.36% at the beginning of the year. Coverage ratio remained strong with loan-loss provisions at RUB642 bn or 2.3 times the overdue loans.
Investment portfolio fell by 1.7% in January to RUB1,461 bn as of February 1, 2012. This was mainly due to redemptions of OFZ bonds. The share of government bonds stood at 51% and corporate bonds – 31%.
Customer accounts and deposits remain the core source of funding. After a solid funds inflow in December, the balance of retail deposits fell by 2.3% in January to RUB5,548 bn. This is a typical seasonal pattern for the beginning of the year.
Corporate deposits and accounts remained virtually unchanged at RUB2,171 bn as of February 1, 2012.
Regulatory capital (under CBR regulation No. 215-P) added RUB22.7 bn in January to RUB1,550 bn. Net profit remained the main source of capital increase.
Sberbank’s Financial Highlights for January 2012
(in accordance with RAS; non-consolidated)