OREANDA-NEWS. November 8, 2011. BANK URALSIB (Bank) (RTS: USBN) reports 9M and 3Q 2011 financial results under Russian Accounting Standards (RAS). The Bank’s net income reached 2.7 bln rubles for 9M2011, pre-tax income amounted to 4.4 bln rubles.

Selected Income Statement items (RUB mln)

 

9M 11

IIIQ 11

9M 10

IIIQ 10

 

 

 

 

 

 

Net interest income

 

11,889

4,283

10,326

3,495

Net fee and commission income

 

5,233

1,879

4,298

1,647

Net gains from operations with securities

 

1,078

206

694

230

Net gains from operations with

 

713

44

-522

-495

foreign currencies and precious metals

 

 

 

 

 

Other non-interest income

 

271

179

335

118

Allowances for loan losses

 

894

-233

2,109

-676

Net operating income

 

20,078

6,357

17,240

4,319

Operating expenses

 

15,664

5,820

12,264

3,759

Pre-tax income

 

4,414

537

4,976

560

Net income

 

2,736

79

3,217

323

Net operating income amounted to 6.4 bln rubles in IIIQ2011 and reached 20.1 bln rubles during 9M2011 growing by 16.5% vs 9M2010. Net operating expenses amounted to 5.8 bln rubles in IIIQ2011.

Net interest income amounted to 11.9 bln rubles for 9M2011, increasing by 15.1% vs 9M2010. Net fee and commission income amounted to 5.2 bln rubles for 9M2011, growing by 21.8% vs 9M2010.

Net gains from operations with foreign currencies and precious metals amounted to 713 mln rubles for 9M2011 vs net loss of 522 mln rubles y-o-y 2010. Net gains from operations with foreign currencies and precious metals in 3Q2011 shrank due to reduction of customer activity in selling of foreign currencies.

The growth of allowances for loan losses was caused by creation of additional provisions for loans denominated in foreign currencies due to ruble exchange rate reduction.

The share of core banking income in total operating income (before allowances) amounted to 89.3% for 9M2011. The share of volatile income in total operating income (before allowances) reduced from 11.9% in IIQ2011 to 3,8% in IIIQ2011.

Net operating expenses/ net operating income (before impairment of interest earning assets) ratio amounted to 81.7% for 9M2011 changing insignificantly compared to 9M2010.

Selected Balance Sheet Items (RUB mln)

30.09.2011

31.12.2010

Change
30.09.11/31.12.10

 

 

 

 

 

Assets

420,829

408,648

3.0%

Equity

43,083

45,389

-5.1%

Net loans inc.:

280,013

251,066

11.5%

     Total loans

298,123

273,577

9.0%

     Interbank loans

29,472

52,420

-43.8%

     Loan portfolio (gross), inc.:

268,651

221,157

21.5%

     Loans to corporates

193,783

153,061

26.6%

     Loans to individuals

74,868

68,096

9.9%

     Promissory notes

7,587

3,840

97.6%

     Allowances for loan loss provisions

-25,698

-26,351

 -2.5%

Securities portfolio

81,749

91,235

-10.4%

Customer accounts:

268,503

293,937

-8.7%

     Corporate accounts

145,172

176,129

-17.6%

     Individual accounts

123,331

117,807

4.7%

The Bank’s assets grew by 3.0% to 420.8 bln rubles during the reporting period (31.12.2010 – 30.09.2011).

The Bank continued increasing its loan portfolio while decreasing its interbank lending. The loan portfolio as of 30.09.2011 reached 268.7 bln rubles (growth by 21.5% y-t-d). Loans to corporate clients increased to 193.8 bln rubles (by 26.6%), and loans to individuals reached 74.9 bln rubles (growth by 9.9% y-t-d).

Loan portfolio/ customer accounts ratio amounted to 100.1% as of 30.09.2011.

Customer accounts as of 30.09.2011 amounted to 268.5 bln rubles, decreasing by 8.7% y-t-d. Retail customer accounts increased by 4.7% to 123.3 bln rubles, and corporate accounts shrank by 17.6% to 145.2 bln rubles.

Securities portfolio as of 30.09.2011 amounted to 81.7 bln rubles reducing by 10.4% y-t-d.

Total regulatory capital (under CBR methodology) amounted to 52.3 bln rubles as of 30.09.2011. The regulatory capital adequacy ratio (N1) exceeded the minimum required level and reached 11.6% as of 30.09.2011.

1 Calculations are done in accordance with URALSIB’s internal methodology.