The 2012 results were computed under international accounting standards, while the figures for 2011 under local accounting standards.
“Paradoxically, the net profit is higher than the pretax profit,” said Radu Gratian Ghetea, president of CEC Bank.
CEC Bank, Romania’s fourth largest lender by assets, reported a pretax profit of RON33.5 million in 2012, down 57% from RON78.1 million in the previous year.
The lender said loan loss provisioning rose to 12.7% of total lending at the end of December, from 11.5% of total in the same month of 2011. The non-performing loans ratio was 19.5%, up from 9.6% in December 2011.
Overall lending rose 15.5% to RON11.93 billion in 2012, while total deposits increased 10.2% to RON19.4 billion, the bank said.
End-December 2012, CEC Bank had total assets of RON26.9 billion, up 8.5% from RON24.8 billion in the previous year.
The bank’s solvency ratio was 15.9% at the end of December, well above the central bank’s minimum requirement ratio of 10%. Romanian banking system’s average solvency ratio was 14.64% in 2012, according to CEC data.
CEC Bank operates 1,128 branches nationwide and employs 6,548 staff. The bank has a share capital of RON1.09 billion. (EUR1=RON4.3514)