JSC OTP Bank Reports 2Q 2011 Net Profit of UAH 380 million
JSC OTP Bank reports a solid 2Q 2011 net profit of UAH 379.81 million according to Ukrainian financial standards, having by a third outperformed the result for the same period last year (UAH 236.2 million).
The Bank’s net interest income remained almost flat at UAH 955.92 million against the same period of 2010 (UAH 1.04 billion). Net commissions increased to UAH 139.4 million from UAH 109.4 million recorded for the corresponding reporting period a year ago.
The Bank's total assets as of June 30, 2011, amounted to UAH 23.2 billion. Corporate loan book made up UAH 11.4 billion by the end of the second quarter 2011 compared to UAH 10.8 billion at 2Q 2010. After the decrease of retail loan portfolio in the 2nd half of last year due to the repayment of loans and reduced volumes of retail lending in 2010, in the 1st half of 2011 the trend significantly slowed down. Due to still modest retail lending rates, retail loan portfolio contracted slightly to UAH 8.1 billion, evidencing the extraordinary efforts taken by the Bank to improve the quality of the loans.
As of the end of 2Q 2011, the Bank's liabilities amounted to UAH 20 billion, wherein corporate deposits totalled UAH 3.9 billion by the end of the reporting period, remaining stable as compared to the previous year results. Retail deposits reached UAH 4.1 billion showing a positive trend up from the results of 2Q 2010 (UAH 3.8 billion).
As of June 30, 2011, JSC OTP Bank regulatory capital was UAH 4.4 billion (while the capital normative requirement is UAH 120 million). The regulatory capital adequacy ratio (CAR) established at the level of 19.7%, which is almost twice as much as required by the normative CAR minimum of 10%. Current liquidity ratio equalled 72.06%, while the minimum limit is 40%.
Public Joint Stock Company OTP Bank is a subsidiary of OTP Bank, which is the largest independent Central-Eastern-European banking group. JSC OTP Bank is one of the largest domestic banks, a recognized leader in the financial sector of Ukraine. The Bank provides a full range of financial services to corporate and private customers, as well as to small and medium enterprises. The bank entered the Ukrainian market in 1998, and since then it enjoys a staunch reputation of socially responsible, reliable and stable institution providing its consumers with services of European quality standard.
In Ukraine, OTP Bank JSC is captaining a financial group, which includes OTP Capital Asset Management Company, OTP Leasing LLC, OTP Pension Funds Administrator LLC, OTP Credit LLC, and OTP Factoring Ukraine LLC.