The Bank’s assets increased by 4,4% as against the end of 2013.
The share of total credit portfolio within the assets increased to 67.1% from 64.5%.
The Bank’s credit portfolio was increasing faster comparing to average Russian banking indicators — by 8.8% vs. 7.8% respectively.
The increase was achieved, to a large extent, by corporate lending: corporate loans portfolio (before provisions) increased by 7.2% from the beginning of the year (by 8.2% in banking sector). The retail loan portfolio also increased faster than the sector average — by 11.4% vs. 6.9%.
The share of investments in OFZ (Federal Loan Bonds) increased within the investments in securities at fair value through profit or loss — up to 46% from 41%. OFZ amount at fair value increased by 7.1% to RUB 15.7 bln. since the beginning of the year. The Bank has reduced investments in corporate bonds by 24%, to RUB 12.3 bln.
Total capital ratio equaled to 13.19% and tier 1 capital ratio was 8.79%. The first half of 2014 ended with RUB 74 mln. profit.
The Bank has increased provision creation costs 2.3 times for the first half of 2014, comparing to same YoY period which is the evidence of the conservative risk management in current unstable operation environment.
Overall operating income (before provisions) decreased by 11% YoY, to RUB 6.3 billion.
Income from banking business continues to increase at a steady pace: net interest income (before provisions) increased by 17% YoY, to RUB 4.1 bln., net fee and commission income increased by 7.7% to RUB 718.5 mln. Net interest margin increased to 2.6% in the 1st half of 2014.