OTP Bank turns to profit in Romania in the first quarter

Hungary’s OTP Bank reported a net profit of over HUF 1 billion (EUR 3.2 million) in the first quarter in Romania, the highest result since the second quarter of 2011. The positive result was supported by improving operating income and a significant quarter-on-quarter decline in risk costs. In the first quarter of 2013, OTB Bank Romania registered a loss of HUF 731 million (EUR 2.4 million). The bank’s operating profit more than doubled in the first quarter, when compared to the same period last year, to HUF 2.5 billion (EUR 8.1 million). During the same period, the operating expenses dropped slightly to HUF 3.2 billion (EUR 10.4 million). OTP Bank’s assets in Romania remained at a level similar to Q4 2013, amounting to HUF 447.6 billion (EUR 1.4 billion). Deposits dropped by 13 percent quarter-on-quarter and by 6 percent year-on-year, to HUF 180.4 billion (EUR 588 million). The number of branches and ATMs remained unchanged from end-2013, at 84 and 122 respectively. Irina Popescu, irina.popescu@romania-insider.com