16 Apr 2015 16:42
Statement on Tinkoff Bank's RAS Financial Highlights for January-March 2015
Moscow, Russia - 16 April 2015. TCS Group Holding PLC (TCS LI) (the "Group"), including Tinkoff Bank, Russia's leading provider of online retail financial services, today announces Tinkoff Bank's unaudited RAS financial highlights for January-March 2015.
For the first three months of 2015, net income stood at RUB 604 mn. Lower net income was attributed to a decrease in revenue and net loan portfolio, higher interest expenses, increased loan provisioning and losses from operations with foreign currencies due to the Russian Ruble devaluation. Tinkoff Bank had low FX exposure hedging its long-term liabilities with swaps. The difference in the revaluation of swaps and liabilities led to FX losses.
It should be noted that the RAS net income figure is not a reliable indicator of IFRS net income for the same period. There is a very low correlation between financial results under the two reporting standards as a result of significant accounting differences and therefore RAS figures should not be used as the basis for conclusions on forthcoming IFRS results.
The gross loan portfolio amounted to RUB 94.3 bn representing an increase of 10% y-o-y. The net loan portfolio amounted to RUB 68.0 bn having decreased by 6% y-o-y. The net loan portfolio constituted 57% of total assets (63% at year-end 2014).
Retail customer accounts increased by 27% y-o-y and by 29% since the beginning of the year to RUB 53.2 bn. Tinkoff Bank retained substantial liquidity: the CBR N2 ratio stood at 235.8% (minimum requirement: 15%), and the CBR N3 ratio was 185.4% (minimum requirement: 50%). Retail customer accounts constituted 53% of total liabilities.
Total assets increased by 12% y-o-y to RUB 118.9 bn.
On 26 March 2014, Tinkoff Bank increased its registered share capital by RUB 5.3 bn following the completion of the registration of IPO proceeds with the CBR. In December 2014, Tinkoff Bank paid dividends to its shareholders in the amount of RUB 3 bn. As of 1 April 2015, total capital including retained profits (based on Form 123) amounted to RUB 22.6 bn. The CBR N1 capital adequacy ratio was 15.2%. Both Core Capital Adequacy Ratio (N1.1) and Main Capital Adequacy Ratio (N1.2) were 9.4%.
Note on RAS results
Please note that the figures in this press release are calculated in accordance with Tinkoff Bank's internal methodology which is available at:
http://static.tinkoff.ru/documents/eng/investor-relations/ras-methodology.pdf
RAS results are not a reliable indicator of IFRS results due to significant accounting differences that make a direct read-across from RAS to IFRS results impossible. The main differences between RAS and IFRS are:
• Consolidated results under IFRS include a number of additional items and results of its subsidiaries
• Accrual of expenses under IFRS
• Timing differences in accounting for restructured loans ('instalments') and loans going through courts
• The effect from the revaluation of currency derivative instruments
• The effect of deferred income tax.
For enquiries: | |
Tinkoff Bank Darya ErmolinaHead of PR + 7 495 648-10-00 (ext. 2009) d.ermolina@tinkoff.ru
| Tinkoff Bank Larisa Chernysheva IR Department + 7 495 648-10-00 (ext. 2312) ir@tinkoff.ru
|
FTI Consulting London Larisa Millings +44 (0) 20 3727 1364
| FTI Consulting Moscow Olga Lundquist +7 495 795-06-23
|
About the Group
TCS Group Holding PLC is an innovative provider of online retail financial services operating in Russia through a high-tech branchless platform. In order to support its branchless platform, the Group has also developed a "smart courier" network covering almost 600 cities and towns in Russia which allows next day delivery to many customers.
Since its launch in 2007 by Mr Oleg Tinkov, a renowned Russian entrepreneur with a long track record of creating successful businesses, the Group has grown into a leader in the Russian credit card market. As of 1 March 2015, the Group has issued 5 mln credit cards.
In addition to a market-leading credit card offering, the Group has developed a successful online retail deposits programme. The Group's other innovative lines of business include Tinkoff Online Insurance, which enables the Group to underwrite and sell its own innovative online insurance products, and Tinkoff Mobile Wallet, mobile payment solutions and financial services for Russian consumers.
As of 31 December 2014, the Group's total assets amounted to RUB 108.8 bn, net loans and advances to customers stood at RUB 74.6 bn and customer accounts (deposits) amounted to RUB 43.4 bn. In 2014, the Group generated a net profit of RUB 3.4 bn and net interest income of RUB 30.8 bn.
The Group is well capitalised with the total capital ratio and Tier 1 capital ratio of 21.8%and 15.9%, respectively, in accordance with Basel III methodology.