Stand-alone net profit for the same period is RON 173.1mn, up 11.5% year-on-year. ROE (return on average equity) is 6.8% and ROA (return on average assets) 0.7%. Solvency ratio is comfortable at 13.5% under IFRS (excluding current-year profit). The bank has a strong liquidity position.
The bank’s operating income registers a 2.1% growth, driven by non-interest income. Interest income was negatively impacted by the drop in base rates and lending margins while bearing higher funding costs, somewhat compensated by the 9% growth in loans. Operational expenses grew 3.6%, incorporating the impact of relocation in the new headquarter, variable business driven costs. Efficiency was largely preserved with a cost-to-Income ratio at 50.8%. Net impairment losses on financial assets (mainly customer loans) dropped 4.2% compared to previous year.
The balance sheet total reached RON 25.1bn (EUR 5.7bn), up 9.8% compared to a year ago. Outstanding on-balance sheet loan portfolio is RON 17.3bn (RON 19.9bn including externalised loans), up 9.2% compared to 2011. Corporate loans grew 12% and small business ones 54%, mortgages stayed near flat, while consumer loans (including UCFIN) dropped 10% year-on-year. Customer deposits reached RON 13.8bn, up 20% year-on-year, higher from private individuals (28%). Loan-to-Deposit ratio at the end of the year is 125%. Although tempered somewhat the asset quality deterioration trend continued, instigated by the prolonged economic crisis. Over 90-day default rate reached 12.2% compared to 11.7% a year ago. Annualised Cost of risk dropped to 188bp. Provision coverage of on-balance sheet loan portfolio went up to 7.8%. The bank’s asset quality remains better than the system and peer group.
The consolidated total assets of UniCredit Tiriac Bank, UniCredit Leasing Corporation and UniCredit Consumer Financing grew 8.2% to RON 28.2bn (EUR 6.4bn) and shareholders’ equity by 8.5% to RON 2.75bn. The net profit of the group is RON 175mn, up 9% year-on-year.
"In a year of a symbolic growth of economy, real drop in lending and significant loss of the banking system, we succeeded to mark a double digit real growth of business, rebalanced customer liabilities to assets, carefully managed all potential risks, improved market positioning and earned a good profit keeping stable profitability levels. Next year will still be marked by the prolonged crisis with limited demand and default risks on the updside. Yet we see growh opportuntities in selected areas and optimisation to support bottom line.", said Rasvan Radu, CEO.
