UniCredit Tiriac Bank reports EUR 28 mln profit in Romania after nine months, down 43%

UniCredit Tiriac Bank, part of Italian group UniCredit posted a net profit of EUR 28 million in the first nine months of the year, down 43 percent compared to the same quarter of 2010, according to IFRS standards. The bank's revenues stood at EUR 218 million during this period, down 10.4 percent on the same period in 2010.

UniCredit Tiriac Bank, UniCredit group's subsidiary in Romania grew its operational expenses by 6.2 percent in the first nine months. The bank reached a portfolio of loans of EUR 5 billion at the end of September, up 7 percent year-on-year. Its loans stood at EUR 3.6 billion, on a growth path of 16.5 percent, while deposits reached EUR 2.3 billion. “the modest economic increase and the external uncertainties have affected the Romanian market and the consumer behavior. Plus, we see a lower appetite for risk and tougher regulations globally, as well as locally. All these affect the fundamentals of the banking activity, given the fact that margins are under pressure and costs are growing,” said Rasvan Radu, CEO of UniCredit Tiriac Bank. The group's total assets in Romania reached EUR 5.7 billion after nine months, including those of the bank, UniCredit Leasing Corporation and of UniCredit Consumer Financing. UniCredit Tiriac Bank has 240 units in Romania and is jointly owned by UniCredit group through Bank Austria and Romanian investor Ion Tiriac. Corina Saceanu, corina@romania-insider.com