1 Dec 2010 12:49

HCF Bank boosts IFRS net profit by 120% in Jan-Sept, NPLs down to 7.8% of portfolio

MOSCOW. Dec 1 (Interfax)- Home and Credit Finance Bank (HCF) Bank) increased its IFRS net profit by 120% year-on-year to 6.0702 billion rubles (from 3.097 billion rubles a year previous) the bank said in a press release.

HCF Bank's operational revenues for the first nine months went mostly unchanged in comparison with the first nine months of 2009 (17.834 billion rubles) at 17.325 billion rubles.

The bank's loan portfolio prior to the subtraction of loan loss reserves increased by almost 13% from 67.8 billion rubles at the start of 2010 to 76.429 billion rubles.

Total loans allocated at the bank's points of sale (POS-loans) went up by 44% while cash loans increased by 93% year-on-year. The share of POS loans in the bank's gross portfolio came to 48% at the end of the nine months (36.756 billion rubles), cash loans - over 19% (14.584 billion rubles) and credit card debt - down to 17% (12.754 billion rubles). The share of home loans, car loans and lending to corporate clients came to 9.5% (7.176 billion rubles), 2% (1.49 billion rubles and 4.8% (3.668 billion rubles), respectively.

The bank was able to reduce the share of non-performing loans (NPLs) in its portfolio to 7.8% from 12.9% at the end of 2009. Reserve coverage on NPLs comes to 99%.

Retail deposits in checking accounts come to 18.8 billion rubles, which is a 58% increase from the end of 2009. The share of these resources in the bank's total fund tops 30%, up from 17.1% at the end of last year.

HCF Bank's cash funds and their equivalent came to 6.4 billion rubles at the end of January-September while total high-liquidity bonds stood at 7 billion rubles. The bank's total net liquidity position for 12 months came to 29 billion rubles.

The bank's level one capital sufficiency ratio came to 36.2% for the first nine months of 2010.

HCF Bank was 41st largest bank by assets in Russia at the end of the third quarter of 2010 according to the Interfax-100, compiled by the Interfax Center for Economic Analysis (CEA).