Nova KBM
 

Nova KBM is entering the last quarter of 2011 well capitalised | NKBM

Nova KBM has today published the unaudited report of operations of the Nova KBM Group for the period from January through September 2011. The Group's profit before provisions and impairment charges totalled €63.7 million.

Nova KBM is entering the last quarter of 2011 well capitalised

29 November 2011
OBVESTILA
Nova KBM has today published the unaudited report of operations of the Nova KBM Group for the period from January through September 2011. The Group's profit before provisions and impairment charges totalled €63.7 million.
 

For the period from January through September 2011, the Nova KBM Group reported a profit before provisions and impairment charges of €63.7 million. The Group's net loss in the first three quarters of the year amounted to €4.4 million. The negative result must primarily be attributed to the following factors: higher than projected provisions and impairment losses; a decrease in other operating net income; a decrease in net interest income; losses on financial assets and liabilities not measured at fair value through profit or loss; lower than projected profits from investment in the equity of associates.


The Group's total assets reached €5,857 million by the end of September, which was slightly below the figure reported for the end of 2010. The Group's total capital adequacy ratio as of 30 September 2011 was 12.8%, well above the level reported for the same period last year. The total equity of the Group increased from €455.8 million to €525 million year-on-year. As a result of loss reported for the first nine months of the year, the Group’s pre-tax return on average equity (ROAE) was negative and stood at minus 1.66%.


Nova KBM delivered a positive performance and ended the first three quarters of the year with a pre-tax profit of €7.3 million from continuing operations, while the net profit totalled €6.2 million. The Bank's total assets at the end of September amounted to €4,780.0 million.


»The Nova KBM Group generated a loss in the first nine months of the year. However, due to the strategic decisions we have taken in the past, it remains a stable financial institution. The Group will continue to pursue its strategic directions and objectives. At the implementation level, this means that we will carry out our plans as efficiently as circumstances in the global economic market and in the Slovene economy will allow. We will do our utmost to ensure the Bank will remain a strong partner to Slovene companies in the


implementation of their good ideas and proper investments« said Matjaž Kovačič, President of Nova KBM's Management Board, about the business plans till the end of this year.