Net profit of Bulgarian banks up 4% in Jan-Apr 2013

By bne IntelliNews June 3, 2013

Bulgaria's banking sector aggregate net profit rose 4% y/y to BGN 210mn (EUR 107mn) in Jan-Apr 2013 after declining by 4.8% y/y at end-March, central bank data showed. The improvement in banks' profit came on the back of net fee and commissions income, which went up by 10.7% y/y, in combination with declining impairment charges (down 7.2% y/y) and provisions (down 78% y/y).

Net interest income continued to fall, although at a slightly slower pace - 7.7% y/y in Jan-Apr, compared to 8.1% y/y the month before. This was largely expected as over the same period the gross credit stock in Bulgaria (loans comprise 78% of the sector's total assets) contracted 1.4% y/y, following months of weak growth.

In April alone, the banking sector's net profit increased 61% y/y, mainly reflecting growth in net fee and commissions income.
 

  2008 2009 2010 2011 2012 Jan-Apr 2013
Net profit             
BGN mn 1,387 780 617 586 567 211
y/y, % 21.3 56.6 -21.0 -4.9 -3.3 4.0
Net interest income          
BGN mn 2,788 2,847 2,917 2,869 2,625 814
y/y, % 28.4 102.7 2.5 -1.7 -8.5 -7.7
Net fee&commission          
BGN mn 783 735 760 786 779 266
y/y, % 16.3 106.3 3.4 3.5 -0.9 10.7
Impairment            
BGN mn 330 1,040 1,317 1,290 1,209 326
y/y, % -4.1 158.5 26.6 -2.0 -6.3 -7.2
Source: BNB            
Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

Bulgaria's BACB to acquire 99.94% of Tokuda Bank

The Bulgarian-American Credit Bank said on April 16 it has agreed to acquire 99.94% of local Tokuda Bank from Japan-based Tokushukai Incorporated. The two banks are among the smallest in Bulgaria ... more

bne IntelliNews Southeast Europe Outlook 2024

This Southeast Europe Outlook 2024 has been prepared by bne IntelliNews as part of a series of annual reviews providing updates on the geopolitical, macroeconomic and commercial state of ... more

EBRD 2023: EBRD, EU and ILX to co-operate to boost private-sector finance in Emerging Europe

The European Bank for Reconstruction and Development (EBRD), the European Union, and ILX Management, an emerging market asset manager, have joined forces to enhance private-sector finance in Emerging ... more

Follow Us On

Most Read

  1. Ukraine's birth rate plummets to 300-year low as country’s population collapses
    8 days ago
  2. EU finally boosts defence investment into arms production as Ukraine runs out of ammo
    1 month ago
  3. Don't mention the "D" word - Ukraine
    6 days ago
  4. The 'wet-bulb' set to kill hundreds of thousands of people if temperatures and humidity levels continue to rise
    3 days ago
  5. Europe unlikely to tackle Russian LNG imports anytime soon
    3 days ago
  1. Russia could pay off its entire external debt tomorrow, in cash
    26 days ago
  2. Speculation swirls of “Men in Blue” in Crocus City Hall terrorist attack linked to FSB
    1 month ago
  3. Albanians campaign on social media to keep bus bridge created in freak accident
    1 year ago
  4. BRICS announce a blockchain-based payment system to create a common currency
    29 days ago
  5. Saudi Arabia to scale back plans for Neom city
    16 days ago

Reports

Dismiss