Russia's Sberbank posts record 1.562 trln rubles in profit to RAS for 2024, up 4.6% from 2023

MOSCOW. Jan 17 (Interfax) - Sberbank increased its net profit to Russian Accounting Standards (RAS) in 2024 (excluding post-reporting date events) by 4.6% to a record 1.562 trillion rubles, compared to 1.493 trillion rubles in 2023, the bank said in a statement.

Sberbank's net profit in December grew 1.7% to 117.6 billion rubles, compared to 115.6 billion rubles a year earlier.

Return on equity in 2024 fell to 23.4% from 24.7% in 2023. This figure stood at 20.1% in December, compared to 21.0% a year earlier.

Provisions and revaluation of loans measured at fair value increased 12.3% in 2024, reaching 714.7 billion rubles. This figure fell to 1.4 billion rubles in December. The strengthening of the ruble had a significant impact on this dynamic.

The cost of credit risk, excluding the impact of exchange rate fluctuations, was 1.5% in 2024, compared to 1.4% in 2023. The cost of risk was 1.6% in December.

Net interest income grew 12.4% in 2024 to 2.623 trillion rubles. It increased 9.4% to 244.5 billion rubles in December.

Net fee and commission income rose 4.2% to 746.4 billion rubles in 2024 but declined 10.1% to 72.3 billion rubles in December due to a high base from the previous year.

Operating expenses rose 16.3% in 2024 to 979.7 billion rubles and grew 12.1% to 111.7 billion rubles in December. The cost-to-income ratio for 2024 stood at 27.3%.

The bank's Core Tier 1 and Tier 1 capital fell 0.5% over the month to 5.928 trillion rubles and 6.078 trillion rubles, respectively. Total capital grew 4.0% to 6.943 trillion rubles in December.

The Core Tier 1 and Tier 1 and core capital adequacy ratios increased by 0.4 percentage points over the month to 11.0% and 11.3%, respectively. These calculations do not include profits from October-December 2024, pending the completion of an audit. The estimated impact of this factor on Core Tier 1 and Tier 1 capital ratios is around 1.0 p.p.

The total capital adequacy ratio reached 12.9%, increasing 1.0 p.p. in December.