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The bank said HUF 9 bln of the provision is linked to a single client group, accounting for 95.7% of the total charge, and market observers suspect the exposure may be connected to the bankruptcy-protected Bayer Construct group.
The provision reduced the bank’s preliminary pre-tax profit for the first nine months of 2026 from HUF 16.6 bln to HUF 7.2 bln.
Despite the earnings impact, Gránit Bank said its capital position remains strong, with equity totaling HUF 167 bln.
The bank stated that the reserve was calculated using a conservative approach based on available information and recovery scenarios. Management does not currently expect any additional individual credit-risk events during the remainder of the year that would require a material increase in provisions.
Gránit Bank is scheduled to publish its full third-quarter earnin gs report on November 26.
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