Lower provisioning lifts Raiffeisen profit
After-tax profit of Raiffeisen Bank Internationalʼs business in Hungary came to €28 million in the first half, improving from a €5 mln loss in the base period on lower provisioning, an earnings report released today shows, according to Hungarian news agency MTI.
Net provisioning for impairment losses came to just €2 mln, down from €37 mln in the base period. RBI attributed the decline to improvements in the ratings of corporate clients.
Operating income edged up 2% to €115 mln. Net interest income fell 5% to €60 mln as market interest rates fell, while net revenue from commissions and fees dropped 8% to €58 mln. At the same time, net trading income jumped 74% to €9 mln.
The businessʼs return on equity (ROE) came to 11.4%.
The bankʼs non-performing loan ratio narrowed almost 2 percentage points to 19.7%.
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