Raiffeisen Bank International 2017 consolidated profit €1,116 million
Staff Writer |
In 2017, Raiffeisen Bank International (RBI) generated a consolidated profit of €1,116 million.
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Net interest income remained largely stable, with a slight increase of €11 million to €3,208 million.
A rise in net interest income in Russia (up €84 million), primarily attributable to currency effects and margins, was offset by a decline in interest income in other markets as a result of the continuing low level of interest rates.
Despite effects from currency appreciation, the Group’s general administrative expenses fell 1 per cent year-on-year, or €37 million, to €3,104 million.
In particular, the average exchange rate of the Russian rouble appreciated 12 per cent year-on-year. The cost/income ratio improved 2.1 percentage points to 59.4 per cent also due to higher operating income.
Net provisioning for impairment losses declined 62 per cent overall year-on-year, or €471 million, to €287 million.
The NPL ratio declined 3.0 percentage points year-on-year to 5.7 per cent.
Based on total risk, the common equity tier 1 ratio (transitional) was 12.9 per cent, with a total capital ratio (transitional) of 17.9 per cent. Excluding the transitional provisions as defined in the CRR, the common equity tier 1 ratio (fully loaded) stood at 12.7 per cent and the total capital ratio (fully loaded) was 17.8 per cent.
Compared to the third quarter of 2017, net interest income rose 2 per cent, or €13 million, to €816 million in the fourth quarter.
At €813 million, general administrative expenses in the fourth quarter were up 13 per cent, or €95 million, from €718 million in the previous quarter.
Compared to the third quarter, net provisioning for impairment losses was up €43 million to €127 million. This was mainly attributable to an increase in individual loan loss provisions due to one large individual case in the corporate customer business at RBI AG.
The consolidated profit in the fourth quarter was €206 million, which is a decrease of €116 million compared to the third quarter 2017. ■