Net IFRS profit of Russian T-Technologies (former TCS) banking group reached RUB38.7bn ($518mn) in 4Q24, making RUB122.2bn ($1.63bn) in profit for full-year 2024 and a return on equity (ROE) of 30% in both periods.

As followed by bne IntelliNews, TCS Group and its anchor asset Tinkoff Bank rebranded into T-Technologies and T-Bank in 2024.

The group is controlled by Interros of sanctioned Vladimir Potanin, who bought the bank from the exiled founder Oleg Tinkov, as the as yet unsanctioned Potanin was picking up exiting Western assets and rebuilding his banking empire.

The board of the group recommended a 4Q24 dividend of RUB32 per share, making a dividend yield of 1% of the current share price, Renaissance Capital analysts estimated. The dividend represents 22% of quarterly net profit, and combined with the RUB92.5 payout for 9M24, the total dividend payout ratio stood at 27%. 

The management expects more moderate credit growth in 2025, citing an ongoing portfolio rebalancing that began last year, with a shift from corporate to retail lending and from mortgages to consumer loans.

Renaissance Capital analysts expect net profit to rise 28% year on year to RUB156.6bn ($2.1bn) in 2025, with ROE expected to moderate to 27% amid slower credit growth, tighter monetary policy, and rising operating, provisioning and tax expenses. 

T-Bank (former Tinkoff Bank) and Rosbank (both part of T-Technologies or former TCS Group of Potanin) also previously posted operating results for December 2024 and 2024 overall.

T-Bank's net profit dived in December while Rosbank posted a loss, but both banks still grew their bottom lines by 31% and 57% y/y in 2024 overall to RUB61bn and RUB51bn respectively. 

The results of both banks confirm the trend of declining crediting activity in both the corporate and retail segments at the end of 2024. Rosbank merger boosted T-Technologies profit.