Societe Generale’s RO subsidiary posts 7.4% higher profit in first nine months

BRD Groupe Societe Generale group, the local subsidiary of French group Societe Generale, recorded a net profit of RON 1.23 billion (EUR 260 mln) in the first nine months of this year, 7.4% higher than in the same period of 2018.

The gross operating result increased by 9.2% to RON 1.26 bln (EUR 265 mln), excluding the contributions to the Deposit Guarantee and Resolution Funds.

The first nine months of 2019 were commercially lucrative with a particular note on the mutual fund management segment that has started to grow as an alternative to bank deposits, said Francois Bloch, CEO of BRD Groupe Societe Generale.

In the first nine months of 2019, the net banking income of the BRD Group was RON 2.45 bln (EUR 516 mln), 6.9% higher compared to the same period last year.

Net interest income increased by 9.7%, driven up by the volumes across all segments, favorable changes in structure and higher market interest rates also contributing to growth.

The net income from commissions marked an increase of 2.1% year-on-year, as a result of more intense activity and clients' transactions that thus compensated the downward pressure toward lower cost of transactions.

The group’s net loans portfolio increased by 3.8% year-on-year, reaching RON 31.2 billion (EUR 6.57 bln) at the end of September 2019.

(Photo: Shutterstock)