BUDAPEST: Austriaʼs Raiffeisen Bank International (RBI) booked a €16 million profit at its Hungarian subsidiary in the second quarter, compared to a €67 million loss in the same period last year, an earnings report published today reveals, according to Hungarian news agency MTI.
Net interest income fell to €28 million from €39 million , while net income from commissions and fees grew to €32 million from €28 million in the base period. General administrative expenses were practically unchanged at €48 mln. Net provisioning for impairment losses grew from €20 million to €23 million . The business made €40 mln profit on the “other results” line. In 2014 Q2 there was a €65 million loss in this section due to the bank levy. RBI noted that 2014 results were distorted by provisions for the Settlement Act.
The businessʼs cost-to-income ratio jumped 30.8 percentage points to 102.6%. The business had total assets of €6.34 billion at the end of June, down from €6.06 billion twelve months earlier. Stock of client loans fell 17% to €4.10 bln. The share of corporate loans in the portfolio was 58.5%, the share of retail loans 27.3%. Client deposits were flat at €3.90 billion.
