In January-September, the bank posted a profit of RON380 million, from RON38 million in the same period in 2014, as the lender reduced risk costs.
The bank’s assets stood at RON47.6 billion end-September, from a level of RON45.18 billion last year.
The bank, a unit of France’s Societe Generale, said its net banking income increased by approximately 2% each quarter in the past two quarters, but fell 5.4% compared with the first nine months of last year, to RON1.86 billion, due to the low interest environment.
Operating costs dropped 0.6%, to RON954 million, and the cost to income ratio stood at 51.3%.
The bank’s non-performing loans (NPLs) ratio dropped to 18.5% in January-September, from 21.1% in the same period last year, as a result of write-offs.
The lender’s results in the first nine months were influenced by a comeback in retail and corporate lending, considerably lower risk costs and effective management of expenses, bank CEO Philippe Lhotte said in a press release.
The bank’s loan portfolio increased 1.3% compared with end-2014, driven by a 3.5% growth in retail loans (fueled by mortgage lending) and a 3.3% growth in corporate loans.
Deposits increased 7.1% compared with end-2014 and 13.1% compared with end-September 2014.
The bank’s net lending to deposit ratio reached 70.1%, 4.4 percentage points higher than at the end of 2014 but 11.4 points lower compared with end-September 2014.