Hungarian OTP Bank posted a profit after tax of EUR 5.5 million (HUF 1.47 billion) in the first half of 2011 in Romania, compared to a loss of EUR 7.3 million (HUF 2 billion) reported in the same period in 2010, according to the bank.

The bank’s improvement in profitability was mainly related to heavily declining risk costs,and  the net interest incomes that improved both year-on-year and quarter-on-quarter. In the second quarter of 2011, the bank posted a profit of around EUR 4.9 million (HUF 1.32 billion), according to the bank’s report.

OTP Bank Romania’s operating profit in the first six months of this year was with 14 percent higher than the one reported in the same period last year, reaching EUR 15.2 million (HUR 4.11 billion). The total income reached the level of EUR 39.9 million (HUF 10.62 billion) in this period, with 4 percent higher than the one posted in the first six months of 2010.

The bank’s gross customer loans rose by 1 percent from end-2010, reaching EUR 1.25 billion (HUF 332.5 billion).

See OTP Bank’s full report here.

OTP Bank Romania is a subsidiary of OTP Bank, present in Hungary, Montenegro, Croatia, Bulgaria, Russia, Romania, Ukraine, Slovakia and Serbia.

Irina Popescu, irina.popescu@romania-insider.com