Business
Sberbank Europe incurs loss, Hungarian operation posts profit in 2017
Data published on the website of the bank show EUR 367.6 million operating profit for 2017, practically the same as posted a year earlier (EUR 367.5 mn).
Net interest income slipped 0.8% yr/yr to EUR 293.5 million from EUR 295.9 mn. Fee and commission income rose 3% to EUR 80.3 mn. General and administrative costs increased to EUR 294.8 million from EUR 271.3 million.
The ratio of non-performing loans (NPL) edged up to 11% last year from 10% in 2016, while NPL coverage rose to 68% from 57%.
Sberbank Europe’s CET 1 ratio rose to 17.1% from 15.4%.
Sberbank Europe headcount was reduced to 4,048 from 4,301 and the number of its branches was cut to 190 from 228 last year. The largest profit in the banking group was posted in the Czech Republic (EUR 16.1 mn) and Serbia (EUR 6.6 mn) in 2017.
Sberbank Hungary’s after-tax profit was EUR 1.3 million, which is the first time the operation has posted profit since 2012.
Sberbank acquired Volksbank’s Central and Eastern European subsidiaries, including its Hungarian operation, for EUR 505 million six years ago. The Vienna-headquartered Sberbank Europe Group is present on eight European markets: in Austria, Bosnia-Herzegovina (Sarajevo and Banja Luka), Croatia, the Czech Republic, Hungary, Slovenia, Serbia and Germany.
Net interest income slipped 0.8% yr/yr to EUR 293.5 million from EUR 295.9 mn. Fee and commission income rose 3% to EUR 80.3 mn. General and administrative costs increased to EUR 294.8 million from EUR 271.3 million.
The ratio of non-performing loans (NPL) edged up to 11% last year from 10% in 2016, while NPL coverage rose to 68% from 57%.
Sberbank Europe’s CET 1 ratio rose to 17.1% from 15.4%.
Sberbank Europe headcount was reduced to 4,048 from 4,301 and the number of its branches was cut to 190 from 228 last year. The largest profit in the banking group was posted in the Czech Republic (EUR 16.1 mn) and Serbia (EUR 6.6 mn) in 2017.
Sberbank Hungary’s after-tax profit was EUR 1.3 million, which is the first time the operation has posted profit since 2012.
Sberbank acquired Volksbank’s Central and Eastern European subsidiaries, including its Hungarian operation, for EUR 505 million six years ago. The Vienna-headquartered Sberbank Europe Group is present on eight European markets: in Austria, Bosnia-Herzegovina (Sarajevo and Banja Luka), Croatia, the Czech Republic, Hungary, Slovenia, Serbia and Germany.
