9 Mar 2016 10:04
Sberbank / MiscellaneousSberbank: Sberbank releases Financial Highlights for 2M 2016 (under RAS;non-consolidated) 09-March-2016 / 11:04 CET/CESTDissemination of a Regulatory Announcement, transmitted by EquityStory.RS,LLC - a company of EQS Group AG.The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- Sberbank releases Financial Highlights for 2M 2016 (under RAS;non-consolidated) 09.03.16, Moscow Please note that the numbers are calculated in accordance with Sberbank'sinternal methodology. Key highlights for February, 2016:Core revenue demonstrates decent growth: net interest income increased by73%, net fee and commission income - by 28% compared to the last year.Inflow of clients' funds in February fully offset the seasonal outflow inJanuary. The total inflow of clients' funds exceeded RUB100 bn YTD.Net profit before income tax totaled to RUB35.6 bn vs. RUB14.5 bn inFebruary 2015.Net profit in February 2016 came at RUB31.5 bn vs. RUB7.5 bn in February2015.Total comprehensive income amounted to RUB52.6 bn in February. Deputy Chairman of Sberbank Alexander Morozov stated: Sustainable recovery of net interest income provides for organic capitalcreation. Furthermore, an additional significant contribution to coreequity capital ratio would be 2H 2015 net profit after audit completion. Comments for 2M 2016: Net interest income came at RUB169.2 bn, +70% compared to the last year.Interest income increased by 7.9%, mostly driven by the increase in volumesof working assets.Interest expenses decreased by 21.1%, due to the decrease in market ratesand the substitution of state funding with clients' funds. Fee and commission income was up by 35.9% to RUB40.8 bn, mainly driven bytransactional business with bank cards and acquiring, cash settlements aswell as bank insurance (commissions from which were strong, compared toweak results a year ago given the reduced demand for lending last year). Net income from FX revaluation and trading operations on capital marketsamounted to -RUB5.1 bn compared to RUB17.7 bn for 2M 2015 due to thefollowing factors:specifics in accounting for on-balance and off-balance sides of the SWAPtransactions under RAS,specifics in accounting for the transaction of the transfer of Ukrainianborrowers' loans into Ukrainian Eurobonds; overall effect of thistransaction on the Bank's financial results was immaterial. Operating expenses growth came at +0.5%, that was significantly slower thanpre-provision operating income growth (+38.7%). The Bank continues tostrictly control its operating expenses. Total provision charges amounted to RUB85.3 bn vs. RUB70.1 bn for 2M 2015.The Bank continues to form loan-loss provisions in-line with therequirements of the Central Bank of Russia. Loan-loss provisions are 1.7times the overdue loans. Net profit before income tax came at RUB67.0 bn vs. RUB24.5 bn for 2M 2015.Net profit totaled RUB59.8 bn vs. RUB11.3 bn. Total comprehensive income amounted to RUB78.7 bn. In addition to the Netprofit, this item includes the net income from revaluation of financialassets available-for-sale and held-to-maturity. Assets in February 2016 decreased by 0.3% mainly due to the contraction ofthe corporate loan portfolio. The Bank lent about RUB440 bn to corporate clients in February. The loanportfolio ending balance decreased by RUB202 bn, or by 1.6% in February,due to repayments of clients' loans. Total corporate loan portfolioreached RUB12.7 trln as of March 1, 2016. The Bank lent about RUB115 bn to retail clients in February. Total retailloan portfolio increased by RUB14 bn, or 0.3%, in February to exceed RUB4.1trln as of March 1, 2016. The share of mortgages in the retail portfoliocontinues to increase reaching 54.4% as of March 1, 2016 (was 53.8% as ofJanuary 1, 2016). Overdue loans of total loans increased by 0.4p.p. to 3.7% in Februarymainly due to corporate clients. The level of overdue loans at Sberbankremains substantially lower than the level of the banking sector's average(7.0% as of February 1, 2016). Securities portfolio was up by RUB15 bn in February, or by 0.6%. Theportfolio ending balance was RUB2.35 trln as of March 1, 2016. Retail deposits and accounts increased by RUB149 bn in February, or by 1.4%to reach RUB10.7 trln. The inflow came to ruble accounts. Corporate funding increased by RUB98 bn in February, or by 1.4%, to exceedRUB7.0 trln. Core Tier 1 and Tier 1 capital (equal since Sberbank does not haveinstruments of additional capital) reached RUB1,748 bn as of March 1, 2016under preliminary calculations. Total capital amounted to RUB2,726 bn onthe same date, up by RUB44 bn primarily due to net profit and revaluationof securities. Risk-weighted assets decreased by RUB94 bn due to the decrease of thecorporate loan portfolio. Capital adequacy ratios under preliminary calculations as of March 1, 2016were:N1.1 - 7.2% (minimum adequacy level, required by the Central Bank of Russiaat 4.5%)N1.2 - 7.2% (minimum adequacy level, required by the Central Bank of Russiaat 6.0%)N1.0 - 11.1% (minimum adequacy level, required by the Central Bank ofRussia at 8.0%, considering Deposit Insurance Regulation). Sberbank 2M 2016 Financial Highlights (under RAS, non-consolidated) --------------------------------------------------------------------------- 09-March-2016 The EquityStory.RS, LLC Distribution Services includeRegulatory Announcements, Financial/Corporate News and Press Releases.Media archive at www.dgap.de/ukreg --------------------------------------------------------------------------- Language: English Company: Sberbank 19 Vavilova St. 117997 Moscow Russia Phone: +7-495-957-57-21 E-mail: media@sberbank.ru Internet: www.sberbank.ru ISIN: US80585Y3080, RU0009029540, RU0009029557, US80585Y4070 Listed: Open Market (Entry Standard) in Frankfurt ; London, MICEX, RTS Category Code: MSC TIDM: SBER Sequence Number: 3040 Time of Receipt: 09-March-2016 / 10:33 CET/CEST End of Announcement EquityStory.RS, LLC News Service --------------------------------------------------------------------------- 443695 09-March-2016UK-Regulatory-announcement transmitted by DGAP - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.