Nova KBM
 

Nova KBM delivered a pre-tax profit of €7 million in the first half of the year | NKBM

Nova KBM d.d. published today the preliminary results of operations for the period from January through June 2011. The Bank continues to perform well: a pre-tax profit from continuing operations totalled €7.0 million, while the net profit was €5.6 million, which accounts for 50.1% of the annual projection.

Nova KBM delivered a pre-tax profit of €7 million in the first half of the year

26 July 2011
OBVESTILA
Nova KBM d.d. published today the preliminary results of operations for the period from January through June 2011. The Bank continues to perform well: a pre-tax profit from continuing operations totalled €7.0 million, while the net profit was €5.6 million, which accounts for 50.1% of the annual projection.
 

In the first six months of the year, Nova KBM performed well and in line with the projections. For the period from 1 January to 30 June 2011, the Bank reported a pre-tax profit of €7.0 million from continuing operations, which is 50.1% of the annual projection. Net profit amounted to €5.6 million.


The Bank's total assets at the end of June were €4,766.2 million, down €40.3 million, or 0.8%, from the 2010 year-end. As of 30 June 2011, the Bank's market share in terms of total assets was 9.6%, the same as at the beginning of the year.


Net interest income amounted to €51.6 million, which is 48.0% of the annual projection. Interest margin, calculated on the average total assets, stood at 2.17%, which is 0.03 percentage points below the projection. Net fee and commission income totalled €22.2 million, or 54.5% of the annual projection. The Bank covered 53.5% of its administration costs, including depreciation and amortisation, with net fees and commissions.


The Bank's profit before provisions and impairment losses was €38.3 million, which accounts for 55.9% of the annual projection. Due to slower than expected economic recovery, resulting in further deterioration in its loan portfolio, the Bank had to recognize higher than projected net provisions and impairment losses, which totalled €31.6 million, or 57.5% of the annual projection.


As of the end of June, net loans and advances to customers were €3,427.9 million, a decrease of €77.9 million, or 2.2%, from the end of 2010. Nova KBM's market share in loans to the non-banking sector decreased by 0.2 percentage points to 10.0% at the end of June.


The Bank's total equity at the end of June 2011 was €478.4 million, an increase of €103.1 million, or 27.5%, from the end of 2010. The total capital adequacy ratio of the Bank as of 30 June 2011 was 12.45%.


Matjaž Kovačič, President of the Nova KBM's Management Board, expressed his satisfaction with the results achieved so far, adding his belief that »Nova KBM will continue to perform well in the second half of 2011 and will certainly remain a strong partner of the Slovene economy«.