OREANDA-NEWS. Today the Bank of Moscow Group publishes consolidated financial statements with the conclusion of Independent Auditors for the year, ended on December 31, 2013.
An increase of net interest income in 2013 was mainly due to the crediting volume growth, as well as the expansion of net interest margin. Net interest income at the end of 2013 amounted to 59.8 milliard roubles, having increased by 51.3 % as compared with the year of 2012. Net interest margin increased from 3.9 % in 2012 to 4.8 % in 2013.

Net commission income amounted to 8.3 milliard roubles, having increased by 31.5 % as compared with the year of 2012. Commission income forms the Corporate and Investment Banking and Retail Banking businesses of the Group. In 2013, net commission income of the Corporate and Investment Banking business amounted to 6 milliard roubles and Retail Banking business — to 2.4 milliard roubles. The growth is related to an increase of commission fees for guarantee operations.

Staff costs and administrative expenses by the end of 2013 amounted to 30.5 milliard roubles, having increased by 27.5 % as compared with the year of 2012. The growth of the Group’s expenses is connected with the introduction of a new system of remuneration and motivation in the Bank and with the Bank’s business growth. The Bank is being actively developed in segments of small, medium, municipal and retail business, which requires additional personnel as well as investments to the development of the branch network and technologies.
The loan portfolio after reserve creating in 2013 amounted to 909.1 milliard roubles, having increased by 39.9 % for a year. Clients funds amounted to 615.6 milliard roubles, having increased by 32.7 % in 2013. The share of clients funds in total liabilities of the Group amounted to 43.6 %.

Corporate Banking Business

In 2013 rendering the services to the clients of a real economy sector, actively involved in municipal programs, urban communal services, performance of government orders, became the main priority for the Bank of Moscow Group. The Bank uses new types of clients financing, tailored to the needs of each market segment.

As of December 31, 2013 corporate loans before reserve creating, less investments to federal bonds amounted to 944.0 milliard roubles, having increased by 26.7 % for a year of 2013.

The volume of corporate clients funds by the end of 2013 increased by 38.9 % up to 388.5 milliard roubles.

Retail Business

In 2013 within limits of retail business development the greater part of attention was paid to the optimization of business processes, the expansion of deposits and products range due to an increase of cross-sales and further improvement of customers servicing quality.

The development of IT- platform, Internet banking and other remote channels of customer service remains being prioritized for the Group of the Bank of Moscow.

Retail loan portfolio before reserve creating amounted to 172 milliard roubles, having increased by 77.1 % for a year of 2013. At the end of the year high-margin consumer loans still dominated in the structure of retail loans. The volume of such loans has increased from December 31, 2012 by 64 % and amounted to 109.2 milliard roubles. As of December 31, 2013 the share of such loans in retail loan portfolio of the Group was 63.5 %, compared with 72 % by December 31, 2012.

The volume of retail clients funds by the end of 2013 increased by 23.2% up to 227.1 milliard roubles.

Information on the Group of the Bank of Moscow

As of 31 December 2013 the Group operates in Russia through a parent bank with a regional network of 11 branches and one subsidiary bank. The Group operates outside Russia through two subsidiary banks, located in the Republic of Belarus and the Republic of Ukraine.

In Moscow region there are 148 additional offices, located in all administrative districts of Moscow and major cities of Moscow region. The Bank is a financial agent of the Government of Moscow on investments, as well as an authorized bank for issuing and servicing the bonds of Moscow city. The Bank is an active participant of a number of municipal financial and industrial programs, it renders services to a great part of municipal and commercial structures, as well as to commercial organizations, involved in the Government of Moscow programs implementation.

Average annual number of employees of the Group on December 31, 2013 amounted to 18,336 people, including of the Bank of Moscow — 11,181 people.