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Sberbank (SBER)
Sberbank releases Financial Highlights for 4M 2018 (under RAS;
non-consolidated)
10-May-2018 / 09:09 CET/CEST
Dissemination of a Regulatory Announcement that contains inside information
according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer / publisher is solely responsible for the content of this
announcement.
Sberbank releases Financial Highlights for 4M 2018 (under RAS;
non-consolidated)
Please note that the numbers are calculated in accordance with Sberbank's
internal methodology. Effective January 1, 2018 the methodology has been
updated. For comparison purposes the numbers for 2017 have been calculated
in accordance with the updated methodology.
May 10, 2018
Key highlights for April 2018:
? The Bank earned RUB66.3 bn in net profit in April;
? Retail loan portfolio increased by 2.2% for the month, sustaining a
solid growth trend;
? The Bank granted RUB1.4 trln in loans to corporate customers in April,
the second largest amount ever issued after December 2017;
? Retail deposits and accounts increased by 1.2% in real terms;
? Net fee and commission income surged 23.2% as compared to 4M 2017;
? Cost-to-income ratio improved to 28.2% for 4M 2018 as compared to the
same period a year ago.
Deputy Chairman of Sberbank Alexander Morozov stated:
"The Bank posted high growth rates in real terms across all business lines
in April. Retail and corporate lending increased in real terms for the month
by 2.2% and 2.5%, respectively. Client deposits and accounts grew in real
terms by 1.1%. Growth in net fee and commission income is gathering pace and
came in at 23% year-to-date. All these make a solid base to improve further
efficiency of our business and achieve strategic targets."
Comments for 4M 2018:
Net interest income increased by 7.2% compared to 4M 2017 and totaled
RUB403.8 bn. The increase was due to expanding working assets and lower cost
of client funds.
Net fee and commission income grew by 23.2% to RUB129.3 bn, with main
drivers to fee and commission income being operations with bank cards and
acquiring (+32.8%), settlement transactions (+19.2%) and fees from insurance
products (+44.0%).
Operating expenses were up by 7.9%, thus lagging behind the increase in
operating income before provisions (+14.3%). The transition to a more even
allocation of accrued expenses throughout the year is under way.
Cost-to-income ratio improved by 1.7 p.p. year on year to 28.2% for 4M 2018.
Provision charges for 4M 2017 amounted to RUB89.7 bn, including RUB51.0 bn
in April which owes to ruble devaluation. The increase in provision
allocations was offset by income from currency revaluation and trade
operations. Overall provision charges for 4M 2018 are 2.6% lower as compared
to the same period a year ago. As of May 1, 2018, loan-loss provisions were
2.6 times the overdue loans.
Net profit before income tax came at RUB330.4 bn for 4M 2018, while net
profit totaled RUB262.2 bn, including RUB66.3 bn in April.
Total assets increased by 3.2% in April to RUB24.1 trln. This was due to
revaluation of FX-denominated assets as a result of weaker ruble as well as
loan portfolio expansion in real terms.
The Bank granted RUB1.4 trln in loans to corporate clients in April, the
largest monthly amount ever granted if the pickup in December 2017 is not
taken into account. For 4M 2017, the Bank issued RUB4.5 trln, which is 1.7
times the amount issued for the same period a year ago. Corporate loan
portfolio increased by 5.0% in April (+2.5% in real terms driven by lending
both in rubles and foreign currencies) and amounted to RUB12.6 trln as of
May 1, 2018.
The Bank lent over RUB250 bn to retail clients in April, thus sustaining
high rates of loan issuance over the past several months. Loans issued for
4M 2018 exceeded RUB900 bn, or 1.8-times the amount issued for 4M 2017.
Retail loan portfolio expanded by 2.2% in April, which is a record growth
rate since July 2014. As of May 1, the portfolio amounted to RUB5.26 trln.
The share of overdue loans in total loan portfolio improved from 2.43% to
2.39% in April. This is substantially below an average for the banking
sector (8.9% excl. Sberbank as of April 1, 2018).
Securities portfolio increased in April by 2.3% to RUB2.6 trln due to
purchases of state and corporate bonds.
Corporate deposits and accounts in April increased by 4.5% to RUB5.9 trln
(+0.8% in real terms due to currency accounts). Retail deposits and accounts
grew by 2.6% to RUB12.3 trln (+1.2% in real terms). Combined client funding
increased by RUB567 bn or 3.2% to RUB18.2 trln (+1.1% in real terms).
Core Tier 1 and Tier 1 capital (equal since Sberbank does not have
instruments of additional capital) totaled RUB3,079 bn as of May 1, 2018,
according to preliminary calculations.
Total capital amounted to RUB3,930 bn. Net profit was the primary source of
capital growth in April.
According to preliminary data, risk-weighted assets increased by RUB1.0 trln
to RUB25.2 trln, mainly due to business expansion and revaluation of
FX-denominated assets. As a result, capital adequacy rations decreased by
0.5 p.p. in April.
Capital adequacy ratios for Sberbank stand-alone as of May 1, 2018,
according to preliminary calculations, were:
? N1.1 - 12.2% (minimum adequacy level, required by the Central Bank of
Russia at 4.5%)
? N1.2 - 12.2% (minimum adequacy level, required by the Central Bank of
Russia at 6.0%)
? N1.0 - 15.6% (minimum adequacy level, required by the Central Bank of
Russia at 8.0%).
Sberbank 4M 2018 Financial Highlights (under RAS, non-consolidated)
Attachment
Document title: Table - 4m 2018 RAS Financial Highlights
Document: http://n.eqs.com/c/fncls.ssp?u=BXLDHUOWQV [1]
ISIN: US80585Y3080, RU0009029540, RU0009029557, US80585Y4070
Category Code: MSCM
TIDM: SBER
LEI Code: 549300WE6TAF5EEWQS81
Sequence No.: 5523
EQS News ID: 684627
End of Announcement EQS News Service
1: http://public-cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=5149db46e27c605ea9c3dbfb45b9d795&application_id=684627&site_id=vwd&application_name=news
(END) Dow Jones Newswires
May 10, 2018 03:09 ET (07:09 GMT)
