Raiffeisen Bank Aval reports UAH 0.5 bln profit in 1H13

Обзоры по компаниям и отраслям 24.07.2013 Raiffeisen Bank Aval (BAVL UK) reported 33x yoy growth in its bottom line to UAH 522 mln in 1H13, the company reported on July 23. Aval increased its loan portfolio 2.1% YTD to UAH 26.6 bln, yet it was down 3.1% yoy, while interest income decreased 8.4% yoy to UAH 2.89 bln. As interest costs declined just 0.8% yoy, the bank reported a 12.5% drop in net interest income to UAH 1.80 bln. Yet Aval was able to post smaller operating costs (down 4.1% yoy to UAH 1.58 bln) and cut loan loss charges 45% yoy to UAH 0.56 bln, which became the biggest factor in the spectacular growth in net income. The bank’s total assets declined 6% YTD to UAH 44.93 bln, mostly due to a 45% YTD decrease in its cash balance. On the liabilities side, the decline was due to a 43% YTD drop in bank accounts. Client accounts increased 3.4% YTD (and 4.5% yoy) to UAH 28.76 bln. The bank remained well capitalized with its end-1H13 CAR reaching 19.3% (vs. 18.1% a year before).