New retail loans granted to individuals (mortgage loans and personal loans) and micro-enterprises stood at RON7.8 billion (EUR1.7 billion). New loans to micro-enterprises grew 31.5% on the year in 2019, due to higher financing via the Start-Up Nation program.
On the corporate segment, BCR alone granted new loans totaling RON7.4 billion (EUR1.6 billion) in 2019. Financing stock to SMEs, including the group’s BCR Leasing subsidiary, grew 12.3% in 2019, to RON6.1 billion (EUR1.3 billion).
The real estate lending segment grew considerably, by 34.3%, due to office and retail space development projects funded.
Customer deposits grew 4.9%, to RON57.79 billion.
BCR had 3.3 million customers at the end of 2019, compared with 3.1 million at the end of 2018. Its intelligent banking platform George reached 720,000 users.
The bank’s net profit declined 50.7% on the year, to RON593.2 million, from RON1.2 billion in 2018, due to an exceptional provision for its home loan savings subsidiary BCR Banca pentru Locuinte.
Operating profit grew 9.3% in 2019, to RON1.78 billion, driven by higher operating revenues and stricter cost management.
Net interest income grew 10.2% in 2019, to RON2.256 billion, due to higher interest rates and increased loan and deposit activity.
Net fee and commission income grew 10.4%, to RON780.6 million, while net trading income declined 21.1%, to RON352.4 million.
BCR’s operating revenue grew 6.2%, to RON3.49 billion, fueled by higher interest and commission income.
General administrative expenses grew 3.2% on the year, to RON1.7 billion, mainly due to a higher annual contribution to the deposit guarantee fund.
The bank’s non-performing loans ratio reached 4.1% in December 2019, the lowest in a decade, down from 5.8% in December 2018. Its NPL coverage ratio reached 116.3% in December 2019.