FC Otkritie and Russian Agricultural Bank post losses in October

By bne IntelliNews November 29, 2023

In October 2023 Financial Corporation Otkritie (FC Otkritie) topped the list of loss-making banks in Russia with RUB10.55bn in red, while Russian Agricultural Bank (RosSelkhozBank or RSHB) also posted losses of RUB4.6bn, Kommersant daily reports. Both banks are systemically important financial institutions.

For 10M23 overall, however, both banks remained profitable with FC Otkritie earning RUB39.4bn in profit and RSHB earning RUB29.6bn. 

As covered by bne IntelliNews, in October the banking sector made total aggregate net profit of RUB256bn ($2.8bn), making a return on equity of 22%, down 14% from September and 27% from the peak level in August.  

The top 3 most profitable banks were the largest state-controlled lender Sberbank (Sber) with RUB133bn profit in October, followed by “bad asset” band Trust (Trast) with RUB30.4bn earned amid a non-core asset sellout, and, notably, the Austrian Raiffeisenbank with RUB14bn profit.

For 10M23 overall, Sberbank was also by far the top earner with RUB1.3 trillion profit, followed by Gazprombank (RUB177bn), which pushed VTB to third place (RUB173bn), followed by Raiffeisenbank (RUB107bn) and private Alfa Bank (RUB94.2bn). 

In 10M23 overall, the banking sector's profit topped RUB2.9 trillion. The capital adequacy level (N1.0) for the sector totalled 12.0%, remaining at the level of the previous month and comfortably above the CBR requirements.

The Russian banking sector is on course to earn upwards of RUB3 trillion ($32bn) this year, which would be its best result ever in both dollar and ruble terms, despite a 30% devaluation of the national currency this year.

Related Articles

Shadowy Russia firm reportedly switches 60% stake in Uzbek gas storage facility to Hong Kong entity as Tashkent reacts to sanctions jitters

A shadowy Russian company has transferred its controlling stake in Uzbekistan's largest underground gas storage facility to a Hong Kong-registered holding company as Tashkent moves to prevent ... more

Russian nuclear company Rosatom ready to build NPPs for Africa

Russian state-owned nuclear corporation Rosatom has received applications from several African countries for the construction of new nuclear power plants (NPPs), according to the company’s CEO ... more

Uzbek women top ranking for foreign brides who got married in Turkey last year, overtaking Syrians

Uzbek women topped the ranking for foreign brides who got married in Turkey last year, overtaking Syrian women who were in the top spot from 2015, according to data from the Turkish Statistical ... more