ING Romania reports 4% higher gross earnings in Jan-Mar

ING Bank Romania reported RON 222 million (EUR 46.7 mln) gross profit in the first quarter of the year, 4% more than in the same period of 2018. Its net profit reached RON 197 million (EUR 41.5 mln), the bank said, according to Ziarul Financiar.

Revenues increased by 16%, to RON 491 million (EUR 103 mln), due to increased volumes of activity. Operational costs also increased by 7%, to RON 221 million (EUR 46 mln), mainly influenced by the dynamics of wage costs and regulatory costs. The cost of depreciation of assets increased to RON 48 million (EUR 10 mln) as a result of additional provisions for the consumer credit portfolio, unlike last year when the bank benefited from a provision for corporate exposures.

The rate of non-performing loans reached 3.5% at the end of the first quarter, slightly higher than at the end of last year, but significantly below the market average. The stock of loans in bank’s portfolio increased by 22% or RON 4.6 billion (nearly EUR 1 billion) over the last 12 months to RON26.1 billion (EUR 5.5 bln), with significant increases in both retail and corporate segment.

The bank’s market share increased by 1.1 percentage points versus March 2018 to 10.1%. The loan portfolio remains balanced between lending to individuals (58%) and companies (42%).

After a 7-year term in Romania, CEO Michal Szczurek will take a new position in the ING group, managing the retail division of ING Asia, the bank announced.

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