View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
  2. Company news
March 17, 2017

Raiffeisen Bank International annual net profit surges 22%

Austrian lender Raiffeisen Bank International (RBI) has reported a net profit of €463m for the year ended 31 December 2016, a jump of 22% from €379m a year ago.

By Verdict Staff

Austrian lender Raiffeisen Bank International (RBI) has reported a net profit of €463m for the year ended 31 December 2016, a jump of 22% from €379m a year ago.

The bank's pre-tax profit for the year was €886m, a 25% surge compared to €711m in the year ago period.

Net interest income dropped 12% to €2.93bn from €3.32bn last year. Net fee and commission income decreased 1% year-on-year to €1.49bn.

The bank's CET 1 ratio (fully loaded) at the end of 31 December 2016 stood at 13.6%, an increase from 11.5% in 2015. Its non-performing loan (NPL) ratio was 9.2% in 2016, compared to 11.9% in the previous year.

“As a result of the merger with RZB, to be entered in the commercial register on 18 of March 2017, the following outlook applies to the combined bank. RBI reached the 12 per cent CET1 ratio target one year ahead of schedule with a fully loaded CET1 ratio of 13.6 per cent at 31 December 2016 (12.4 percent for the pro forma combined bank). In the medium term we strive to achieve a CET1 ratio (fully loaded) of around 13 per cent,” RBI said in its earnings statement.

“We look to reach an NPL ratio of around 8 per cent by the end of 2017, and over the medium term we expect this to reduce further,” the bank added.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International