OREANDA-NEWS. March 18, 2011. Joint Stock Company ‘Halyk Savings Bank of Kazakhstan’ and its subsidiaries (together “the Bank”) (LSE: HSBK) releases its consolidated financial statements for the year ended 31 December 2010 prepared in accordance with International Financial Reporting Standards and audited by Deloitte, LLP, reported the press-centre of Halyk Savings Bank.

“The year 2010 has been a turning point for Kazakhstan as its economy and financial system revealed positive growth. As the situation in the financial sector has been clearing out, the international rating agencies upgraded their sovereign ratings on Kazakhstan and their outlook on ratings of certain Kazakhstan banks. Halyk Bank’s results for the year 2010 were in line with the positive shifts in Kazakhstan economy. Among our main achievements I would point out the significant increase of net income, improvements in the loan portfolio quality, partial repayment of the government funds and change of outlook on the Bank’s ratings by the international rating agencies to “stable”. We believe that the results of the year 2010 have created a good platform for the Bank’s further development and operations in the future.”  
 
Umut Shayakhmetova, Chairperson of the Management Board

2010 financial highlights 

Net income increased by 128.1 percent to KZT 36.2 billion from KZT 15.9 billion for 2009

Total assets increased by 3.7 percent

Amounts due to customers increased by 11.1 percent

Current accounts increased by 24.2 percent, including current accounts of legal entities by 23.9 percent and current accounts of individuals by 25.2 percent 

Gross loans to customers increased by 0.2 percent

Total equity increased by 13.1 percent

Net interest income increased by 504.4 percent to KZT 43.6 billion from KZT 7.2 billion for 2009

Impairment charge decreased by 42.0 percent to KZT 48.4 billion from KZT 83.5 billion for 2009

Fee and commission income (excluding pension fund and asset management) increased by 6.4 percent to KZT 25.1 billion from KZT 23.6 billion for 2009

Pension fund and asset management fees decreased by 37.5 percent to KZT 10.1 billion for  2010 from KZT 16.1 billion for 2009 and increased by 80.7 percent to KZT 4.3 billion for 4Q 2010 from KZT 2.4 billion for 3Q 2010

Operating expenses increased by 8.5 percent to KZT 45.3 billion from KZT 41.7 billion for 2009
Net interest margin before allowance for impairment losses decreased to 4.8 percent for 2010 from 5.3 percent for 2009 and increased to 5.4 percent for 4Q 2010 from 4.7 percent for 3Q 2010
Cost-to-income ratio at 32.4 percent

Basel Tier 1 capital adequacy ratio at 17.3 percent

Basel Total capital adequacy ratio at 20.5 percent

Loan-to-deposit ratio decreased to 0.77х from 0.89x as at YE 2009

Provisioning rate increased to 18.9 percent of gross loans to customers from 15.5 percent as at YE 2009

Return on average common shareholders’ equity increased to 11.8 percent p.a. from 6.3 percent p.a. for 2009

Return on average total assets increased to 1.7 percent p.a. from 0.8 percent p.a. for 2009.

Full report see here: http://www.halykbank.kz/eng/news/view/1553