The Slovenia Times

NLB bank nearly doubles Jan-Sep net profit

Economy

Ljubljana - NLB bank reported net profit almost doubling to EUR 205.5 million in the first nine months of 2021 compared to the year before, as a result of which it is well on track to exceed 2021 profit guidance and is eyeing potential acquisitions.

Net operating income rose by 30% to EUR 500 million on the back of a 32% growth in net interest income to EUR 224.5 million, largely due to the acquisition of Komercialna Banka in Serbia.

Net non-interest income rose by 24% to EUR 197.5 million, the bank said on Thursday.

Total costs grew by 37% to EUR 297 million, but the bank also managed to achieve a positive impact of EUR 34 million from the release of impairments and provisions for credit risk.

Lending activity recorded "healthy and significant growth in all the banks of the group," ranging from 11% in foreign markets (excluding Komercijalna Banka) to 8% in Slovenia.

The deposit inflow in retail segment abated, which the bank says indicates a return to normality.

Return on equity after tax stood at 13.3% compared to 8.1% in the same period last year.

CEO Bla┼ż Brodnjak said the results enabled the bank to "to search for new growth opportunities".

"We will continue to successfully grow and increase our market shares organically, however, we are closely monitoring developments in our home region, South-eastern Europe, and would not shy away from analysing and addressing eventual value accretive opportunities also for the M&A-based growth," he was quoted as saying.

Share:

More from Economy