Sberbank ups RAS net profits 5.5% in 11M
MOSCOW. Dec 6 (Interfax) - Sberbank of Russia increased its net profits to Russian Accounting Standards (RAS) by 5.5% to 350.5 billion rubles from 332.27 billion rubles for the same period of last year, the bank said in a statement.
The setting-aside of reserves cost the bank 113.5 billion rubles versus 41.6 billion rubles in January-November last year. November reserves amounted to 13.9 billion rubles.
The bank's cost to income ratio was 38.9%, down from 40.3%.
Net interest income rose 16.2% to 652.3 billion rubles.
Past-due debt in November contracted 2.5%. The bank's capital amounted to 1.966 trillion rubles on the first of this month, up 30 billion rubles due to net profits over the preceding month, according to the latest figures. But capital growth was restrained by the revaluation of investment in the bank's subsidiary companies, the bank said.
Net commission income was 198.7 billion rubles, up 14.5%. Commission income not associated with crediting increased more than net interest income, the bank said.
Pretax profits for the period were 430.7 billion rubles versus 418.4 billion rubles in January-November last year.
Sberbank's corporate credit portfolio grew 10.7% over the eleven months to 8.256 trillion rubles from 7.459 trillion rubles at the start of this year. Its retail credit portfolio expanded 27.9% to 3.239 trillion rubles from 2.529 trillion rubles.
Private individuals' funds placed with the bank increased 11% to 7.397 trillion rubles from 6.666 trillion rubles at the start of the year. Legal entities' funds rose 10.6% from 2.783 trillion rubles to 3.078 trillion rubles.
Past-due debt decreased to 2.5% over the month of November.
Capital adequacy to Russian Accounting Standards (RAS) was 12.9% on December 1.
Return on assets for the eleven months decreased to 2.7% from 3.1% the year before. Return on capital was down at 21.7% from 24.9%.
In January-October - the data for January-November are not yet available - Sberbank's share of the Russian banking system's assets dipped to 28.7% from 28.9% at the beginning of 2013.
On the market for deposits by private individuals, the bank's share slipped to 44.3% from 45.7%, by legal entities it rose - to 18.5% from 17.2%. On the consumer lending market, its share increased to 32.8% from 32.7%, while on the corporate lending market it decreased to 32.1% from 33.6%.
"If we begin to battle for share, we can grow it pretty quickly, but we will immediately lose net interest margin," Sberbank chief German Gref said in comments on the slump of the deposit market share.
Asked about the percentage of depositors with Master-Bank, which has been stripped of its license, Gref said, "The first day there was around forty percent settleability. Unfortunately, quite a lot of people want to continue to play roulette," by which he meant putting money into banks offering a high rate of return, which goes hand in hand with big risks.