UniCredit Tiriac Bank's revenues up but profit sees 18% drop

UniCredit Tiriac Bank posted a net profit of EUR 36 million in the first half of this year, down 18 percent on the same period of 2009, the bank has announced. The bank's total revenues were of EUR 158.4 million, up 10 percent. “The first six months of this year have reconfirmed the trend in the first quarter, while demand stayed low and the cost of risk continues to increase. Despite all these, our performance and the bank's financial situation stayed solid. Following the budget consolidation measures, we estimate the economic revival will not start earlier than 2011,” said Rasvan Radu, CEO of UniCredit Tiriac Bank. The bank has reached EUR 4.7 billion in assets mid-year, which is a 5 percent increase compared to mid-2009. The group's total assets, which include the bank, the leasing company and the consumer finance company were of EUR 5.4 billion. Its portfolio of loans went up by 11 percent since the beginning of the year, to EUR 3.07 billion. Deposits however dropped by 10 percent compared to the beginning of 2010, to EUR 2.15 billion. The bank has seen delayed above 90 days in loan installment payments for 10.9 percent of the loans.