In the second quarter, Bank BNP Paribas boasts the increase in sales of new personal accounts. As many as 56.7 thousand came. Compared to 50.7 thousand A year ago.
The total number of bank clients, however, dropped by 2.6 percent. Quarter to the IO quarter 7.6 percent year to year to 3855 thousand, which means a decrease by as much as 315 thousand. within 12 months. Since there is an increase in accounts, why did the number of customers served fall? The bank explains this one the effect of terminating inefficient bills.
Combining this with the result of the sale of new accounts, it can be estimated that the bank has closed 372 thousand. accounts during the year.
Profits up despite the decrease in interest rates
The net profit of the BNP Paribas Bank Polska Group in the second quarter increased to PLN 733.8 million from PLN 623 million a year earlier – the bank informed in the report. This is the result of the bank's internal record achieved in the first quarter (PLN 741.4 million). The profit turned out to be 14 percent. higher than the expectations of analystswho forecasted (forecasts collected from seven brokerage offices by PAP) that it would amount to PLN 644.2 million and 21 percent higher by year on year.
Despite the reduction of interest rates by 0.5 percentage points In May, no consequences of this event can be seen in the bank's results. The reduction should affect the decrease in interest profits, and those in BNP Paribas BP not only did not fall, which increased, and this by as much as 21 percent year on year up to PLN 1473 million.
The explanation is success in credit activities and an increase in sales of new bills. The bank sold mortgage loans in the second quarter by as much as 184 percent. more year to year and 21 percent more than a quarter earlier. Thanks to this, despite the decrease in the WIBOR rate after cutting interest rates, the income from interest on borrowers was almost equal to those from the previous quarter (PLN 1473 million), and 6 percent. higher year to year.
The bank stated that a slight decline in the result from interest in quarterly terms (-1 percent of the KDK) was associated with a decrease in interest revenues on loans resulting, among others It is from interest rate discounts for loans in gold and euros and with an increase in interest costs on customer deposits as a result of increasing the size of the deposit portfolio.
Larger deposits, interest unchanged
The bank did not spoil customers with high interest deposits, which is why the interest margin, i.e. the difference between the interest rate on loans and deposits, amounted to a high 3.54 percent. Compared to 3.08 percent a year earlier. With the proviso that a year ago, credit holidays affected and without them would be 3.59 percent.
A favorable trend for the bank results from the increase in the share of current deposits in the deposit portfolio of up to 63.9 percent. This means that there is more and more money on interest -free bills. The bank recorded a quarterly increase in deposits in the segments of institutional and individual clients. This is partly due to the increase in sales of personal accounts by 12 percent. year on year.
The increase in deposits of institutional clients was possible thanks to the quarterly increase in enterprise deposits +3.5 percent. KDK (-0.8 percent yaw), despite decrease in farmers deposits -6.5 percent KDK (-10.9 percent yaws) and the budget sector -12.5 percent KDK (-4.5 percent of yaws).
Less bad loans
The bank recorded a positive risk cost, which was influenced by, among others Changes in the estimation of expected credit losses. It was an element of surprise for analysts, because they expected an increase in reserves by PLN 16 million, and there was a decrease of PLN 18 million.
The bank stated that “changes in the estimation of expected credit losses” had an impact on positive risk costs “, including in the MSSF9 model, as a result of which The bank has dissolved reserves in the institutional clients segment.
Improving the quality of the loan portfolio for farmers
The good quality of the credit portfolio decided, especially the improvement in the quality of loans for farmers. At the end of June, only 4.4 percent were bad loans. (PLN 322 million) Compared to 4.8 percent Quarter earlier (PLN 367 million) and 5.5 percent a year ago (PLN 437 million).
It happened A decrease in the value of the gross portfolio of individual farmers by 4.3 percent KDK and 8.7 percent rdr. The participation of this portfolio in loans for institutional clients amounted to 13.6 percent. which means a decrease by 0.5 percentage points KDK IO 1.6 percentage points rdr.
Larger commissions
The result from the commission was at the level of PLN 328.1 million, which means that it was similar to a consensus of PLN 326.4 million. The result from the commission increased 13.9 percent. yard and increased 0.3 percent in quarterly terms.
This is primarily an effect growth of card commissions and for managing assets and brokerage operations. This can be considered the first reaction to the reduction of the feet. The bank compensates for the decrease in interest income by an increase in commission.
Costs much lower than expectations
The second serious surprise for the analysts after the reserves were the bank's costs. Amounted to PLN 786.4 million and were by 5.6 percent lower than the consensus at the level of PLN 833.3 million. Total costs dropped 2.1 percent. RDR IO 19.4 percent KDK.
Employee costs (PLN 407 million compared to PLN 401 million in the first and PLN 387 million a year ago), BFG (PLN 10 million compared to PLN 166 million, a quarter and PLN 8 million a year ago) as well as IT and marketing costs, which was partly neutralized by a decrease in the cost of foreign services and consulting, was increased year -PLN 1 year year year -old quarter.
Employment fell to 7357 people from 7419 quarter earlier and 7596 a year ago. The cost indicator has decreased to record 41.8 percent for a record for the bank. and was lower by as much as 5.6 percentage points. than a year ago.
Low influence of US duties
BNP announced that he had conducted an analysis of threats related to the USA imposition of customs tariffs. The potential impact on the quality of the credit portfolio has been assessed as low. Exhibitions of customers sensitive to this factor have been reclassified to phase 2 and PLN 7 million were diagnosed with write -offs in this respect.
There was also a stabilization of the individual clients' credit portfolio related to the increase in consumer loans (unchanged KDK) and a slight decrease in loans of institutional clients (a decrease by 0.7 percent KDK) associated with a decrease in the portfolio of individual farmers.
Franc risk
Result in the title of legal risk related to currency loans amounted to PLN 249.4 millioni.e. it was at a level similar to market expectations (PLN 225 million). The bank used PLN 87 million in connection with the settlements and PLN 157 million in connection with final judgments.
The number of new lawsuits regarding loans in CHF stabilized and in the second quarter amounted to 423, while in the first quarter there were 417. In the second quarter the bank concluded 353 settlements with franchisees and there were already 6348 settlements in total.
The portfolio of housing currency loans fell to just 0.4 percent. the entire BNP Paribas BP loan portfolio, which means PLN 331 million (73 million francs).
The total capital coefficient is 17.44 percent. and Tier 1 is at 14.3 percent
