Bank Leumi Romania 2013 net profit plummets 84.5 percent to EUR 475,220 on lower banking income

Newsroom 28/04/2014 | 17:55

Bank Leumi Romania, the subsidiary of Bank Leumi Le-Israel, said on Monday its net profit amounted to RON 2.1 million (EUR 475, 220) in 2013, falling 84.5 percent against the previous year, citing lower income from interest and exchange rates, and higher provisioning costs.

This is was the second consecutive year in which the bank posted a profit.

The bank’s net interest income amounted to RON 44.4 million (EUR 10.4 million), losing RON 4 million (EUR 905,182) due to lower interest on loans. The commission income, meanwhile, added RON 2 million (EUR 452,591) to RON 12.3 million (EUR 2.9 million).

Laurentiu Mitrache, the bank’s executive president, said that some branches were relocated, while one branch in Brasov was closed and the main branch in this city was modernized, in an effort to streamline operations. The bank currently has 21 branches across Romania.

“At present, the bank is focusing on stabilizing the portfolio of healthy customers and on organic growth, especially among SMEs. Given the customers we are targeting and the overall economic situation, both us and the Leumi Group, we are satisfied with the results of the previous year,” said Mitrache.

The bank’s gross loan book rose over 4 percent to RON 1 billion (EUR 226 million), out of which RON 741.5 million (EUR 168 million) was funelled to the corporate sector. Deposits amounted to RON 665 million (EUR 150 million).

The lender’s own capital slightly grew to RON 665 million (EUR 150 million) and its solvency rate stood at 19.08 percent.

At a group level, the net profit rose 109 percent to USD 561 million.

Ovidiu Posirca

BR Magazine | Latest Issue

Download PDF: Business Review Magazine March (II) 2024 Issue

The March (II) 2024 issue of Business Review Magazine is now available in digital format, featuring the main cover story titled “BAT DBS Romania Hub: A Vibrant New Office For An Employee-Centric
Newsroom | 27/03/2024 | 17:32
Advertisement Advertisement
Close ×

We use cookies for keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website is used.

Accept & continue