Baltic bank Luminor has reported its Q3 20223 financial figures – net profit was €65.1mn, up by 62.75% year on year, which, it said, was driven principally by an improvement in net interest income as reference interest rates increased after years of extraordinary low rates and limited profitability, BNS, a Baltic newswire, reported on November 2.
Latvia has yet to introduce a similar windfall tax on banks, but discussions are ongoing about doing so and the substantial profit level would tend to make such a move more likely.
Compared to the third quarter of 2022 the bank’s cost-to-income ratio improved by 9.5 percentage points to 48.6% and it generated an increased annualised return on equity of 14.9%. At quarter end the bank’s liquidity coverage ratio was 176.2% and its common equity was at 23.9%.
Luminor Bank CEO Peter Bosek said: “In the third quarter, we continued to invest for the future, building our capacity and capabilities. We focused on improving our customer experience while raising our efficiency and strengthened further our capital positions. This will ensure we are well set-up to navigate the prevailing macroeconomic environment. The long-term outlook for the Baltic region is strong, and we look forward to the year ahead with confidence,” BNS reported.
Don’t just follow the news—understand it.
The IntelliNews PRO service includes access to reports, exclusive market data, and more news that decision-makers care about. Stay ahead of the market with IntelliNews PRO.
Sign Up NowRelated Articles
Eurozone manufacturing growth hits four-year high in April but Middle East war drives record price surge
Eurozone manufacturing activity expanded at the fastest pace in nearly four years in April as factories rushed to build safety stocks ahead of expected price rises and supply shortages linked to the ... more
Taiwan honours visiting Lithuanian MP
Taiwan’s Foreign Minister Lin Chia-lung has awarded the “Goodwill Diplomacy Medal” to Dovilė Šakalienė, a member of Lithuania’s parliament and former defence minister, in recognition of ... more
Russian GRU parcel bomb plot traced to Estonia
Estonian authorities are considering whether to extradite two residents accused of helping Russian military intelligence (GRU) operatives send parcel bombs that nearly caused major air disasters ... more