Net profit of Sberbank in the second quarter of 2016, according to IFRS made up of 145, 4 billion rubles, having increased 2.6 times compared to the same period last year. In the second quarter of 2015, the country’s largest Bank earned 54.6 billion RUB.
In just six months of 2016 the profit of Sberbank amounted to 263,1 billion RUB compared to 85.2 billion RUB in the first half of 2015.
The financial results of the Bank, which was higher than analysts expected, influenced by the increase in interest income of the Bank. Net interest income for the second quarter of 2016 amounted to RUB 339,3 billion, up 49.4 per cent compared to the same period last year. As have informed in the savings Bank, the increase in interest income was primarily due to the increase of securities portfolio (its volume exceeded 2 trillion) and residential mortgage lending.
The volume of loans to natural persons in the second quarter made up 4.96 trillion rubles, an increase compared to the first quarter of 0.3%. The portfolio of credits to legal entities on the contrary continued to fall: in the second quarter it decreased by 3.6% to 14.25 trillion.
At the same time Sberbank in the second quarter reduced interest expense by 18.0% compared to the same period last year. As reported the press service of Sberbank, the cost of liabilities declined 30 basis points to 4.7% in the second quarter of 2016 compared to the first quarter of 2016 by reducing the cost of corporate and retail deposits by 20 basis points to 4.3% and by 50 basis points to 6.0%, respectively. In the second quarter, the savings Bank repeatedly lowered the interest rates on deposits of natural persons. The last reduction occurred in July, when the whole line of deposits yield decreased on 0,35-1,15 p. p.
Net fee and Commission income of Sberbank for the second quarter of 2016 was 85.9 billion rubles, an increase of 18.5% compared with the second quarter of 2015.
21% also increased fee and Commission income Bank for the second quarter of 2016, they amounted to 104,7 billion rubles.
According to the consensus forecast of “Interfax”, analysts had expected profit of Sberbank in the second quarter will show growth to the same period in 2015 by 2.3 times and will make 123,6 bln RUB Profit for the half year was projected at RUB 241 billion While analysts were betting on a less rapid growth of interest income of the Bank, which, in their opinion, should grow in the second quarter total to 337 billion. the Experts also believed that the savings Bank at 9% will reduce contributions to reserves — to 76.3 billion rubles for the quarter.
According to published statements of Sberbank net expenditures provision for loan impairment for the second quarter of 2016 amounted to 98,3 billion RUB compared to 117,5 billion RUB over the same period of 2015. The cost of credit risk decreased to 202 basis points versus 260 basis points from a year earlier.
In the first quarter of 2016, the savings Bank also reported record profits, which according to IFRS has increased over the same period of 2015, nearly four times up to 117.7 billion rubles. the profit Forecast of the savings Bank then ranged from 85.5 billion rubles (such a result is expected in the BofA Merrill Lynch) to 119,2 billion rubles (forecast from UBS). On the news about record profits of the shares on the morning of 25 may has updated the historical maximum, reached at the Moscow exchange of RUB marks 127,08 (plus 2.9%).
Thursday, August 25, Sberbank shares on Moscow exchange after the reporting showed an increase of 1.01%. 10:15 GMT they cost 140,9 RUB the Day before they were traded in the range of 138.5-140,5 RUB, closing on Wednesday at around 139,5 RUB per share. The MICEX index on Thursday will be able to go to test a mark in 2000 points, if the results of Sberbank, whose shares are also a step away from their historical highs, will not disappoint investors, wrote in its review, Promsvyazbank analyst Yevgeny Loktionov.