Banca Transilvania Financial Group’s net profit up 47% in H1

Banca Transilvania Financial Group ended the first half of 2021 with a consolidated net profit of RON 1.015 billion, up 47% year-on-year, Ziarul Financiar reported, quoting the financial report released on August 23. Its operating income increased by 15% YoY in the first six months, to RON 2.4 billion.

Of the total amounts, lender Banca Transilvania's operating income was RON 2.1 billion, up 16.8% YoY, while the net profit amounted to RON 901 million, 48% higher than in the same period of 2020.

"It is a period of relaunch for Romania, and Banca Transilvania has contributed to this process once again by increasing lending and operations processing above the market average. We are the bank of the Romanians, we handle a volume of operations vital for the economy, and we have over 7 million Romanians as direct and indirect shareholders. We are optimistic about the development of the economy and the country, so we put our efforts to continue their growth and reduce the gaps from the Western European economies," said Omer Tetik, Chief Executive Officer, Banca Transilvania.

The assets of Banca Transilvania Financial Group reached RON 115.3 billion at the end of the first semester, up 7.3% compared to end-2020, and the loans portfolio increased to RON 44.4 billion. At the same time, the bank's assets registered the same increase of 7.3% compared to the end of the previous year, respectively 18.1% compared to June 2020, reaching approximately RON 110.9 billion.

The deposits of the financial group's customers reached RON 97.2 billion, of which RON 65.9 billion are retail deposits and RON 31.3 billion, company deposits. As for the bank, the balance of deposits reached RON 94.4 billion, increasing by 22.4%.

The non-performing exposures ratio, according to the EBA definition, is 3.47% as of June 30, 2021. The non-performing exposures coverage ratio, according to the EBA standards, is 148%. The bank's CAR without H1 2021 profit is at 21.83%; if profit included, it reaches 23.54%.

The cost of risk during the first half of 2021 was at 0.5%. During the H1 of 2021, the balance of provisions increased by 9.2%, reaching RON 3,485 million, compared to the balance at the end of 2020 (RON 3,190 million).

Banca Transilvania signed, during the first half of the year, the acquisition papers for Idea::Bank and the rest of the subsidiaries forming the Idea Romania Group.

(Photo source: Banca Transilvania)