CREDIT BANK OF MOSCOW reports its preliminary RAS results for 2015
CREDIT BANK OF MOSCOW has reported its preliminary results for 2015 in accordance with Russian Accounting Standards. All figures stated as of 1 January 2015, but not as of 1 January 2016, reflect subsequent events.
In 2015 the Bank earned RUB 3.9 bln of net income (RUB 6.4 bln in 2014). This drop was mainly due to the increase in loan loss provisions from RUB 10.6 bln in 2014 to RUB 20.5 bln in 2015 as the Bank pursues a conservative provisioning policy in response to negative macroeconomic trends. Additional pressure on the net income was put by operating expenses growing from RUB 11.8 bln to RUB 18.0 bln.
The net interest income (before provisions) earned in 2015 grew by 25% to RUB 30.7 bln. The net fee income for 2015 amounted to RUB 7.7 bln which is 17% more than in 2014.
The Bank's total assets as of 1 January 2016 reached RUB 1,188.9 bln, a 107.9% or RUB 617.0 bln growth during the year. CREDIT BANK OF MOSCOW is ranked 12th by total assets among all Russian banks (Banki.ru) and 4th among the largest Russian privately-owned banks without foreign capital.
The Bank's loan portfolio before impairment provisions soared by 115.2% to RUB 849.5 bln as at the reporting date, of which RUB 731.1 bln or 86.1% are attributable to corporate loans and RUB 118.4 bln or 13.9 % to retail loans.
Customer deposits increased by 142.7% to RUB 987.0 bln as at the reporting date, mainly due to a 3.2 times expansion of corporate deposits that reached RUB 788.9 bln. Retail deposits grew by a more moderate 22.1% up to RUB 198.1 bln.
The Banks' capital adequacy ratios as of 1 January 2016 materially increased: N1.1 — 8.2%, N1.2 — 8.2%, N1.0 — 16.1%, with its equity standing at RUB 154.5 bln. This resulted from a RUB 20.2 bln subordinated loan provided by the Deposit Insurance Agency in the form of Russian federal bonds (OFZ) under the Russian banking system recapitalisation programme, and the closing of the Bank's IPO on the Moscow Exchange in June 2015 which yielded RUB 13.2 bln. Furthermore, the Bank made a RUB 16.5 bln SPO on the Moscow Exchange in December 2015. The capital was also increased by a USD 300 mln (RUB 21.9 bln) subordinated deposit in December 2015.
The Bank's branch network consisted of 61 offices and 21 stand-alone cash desks in and around Moscow as of 1 January 2016. It had around 5,000 payment terminals and over 920 ATMs as at end-2015.
The Bank remains one of the leaders in the cash collection segment in Moscow region. As of the end of 2015 it had around 1,100 customers, of which 43 were credit institutions, and the number of cash collection routes reached 213.