Excellent financial results of Crédit Agricole Bank

Crédit Agricole Bank achieved an excellent financial result UAH 1,185 million for the nine months of 2018 through the increase of net banking income and low cost of risk.

"Financial result of Crédit Agricole Bank for the nine months of 2018 has reached UAH 1 185 million that is +UAH 332 million or +39% above than for the same period of 2017. Moreover, net result for the nine months is above by +UAH 76 million or +7% than 2017 full year result. This confirms adequacy of the chosen strategy for Bank’s development. One of main targets is further maintenance of high profitability with a controlled level of general expenses and cost of risk, which today makes CAU one of the most efficient and top-rated banks in Ukraine.", - Jean-Paul Piotrowski, CEO and Chairman of the Management Board of Crédit Agricole Bank commented.

Performing loan portfolio (net of provisions) showed a steady growth of +30% or +UAH 5.4 billion in comparison with the similar period of last year. At the same time, quality of the loan portfolio is maintained on high level, while loans provisions increased by 12% or UAH 0.2 billion in comparison with the same period of last year. Bank’s NPL ratio is one of the lowest among banks in Ukraine. At the end of September 2018, NPL coverage ratio grew by +4% and reached of 96.7% in comparison with the end of September 2017.

Crédit Agricole Bank's deposits portfolio amounted to UAH 29.9 billion at the end of September 2018, having increased by +17%, or by +UAH 4.4 billion in comparison with end of September 2017. The increase of deposits is on all business lines, but mainly on Corporate side. Customer deposits provide a comfortable level of liquidity to the bank, both in hryvnia and in foreign currency. Crédit Agricole Bank liquidity excess in FCY represents the equivalent of 52% of its customer deposits at the end of September 2018. Available liquidity buffer in hryvnia is placed in liquid instruments of the NBU and Ministry of Finance of Ukraine (CDs and T‑bills).

The Bank continues to demonstrate strong capital position with a capital adequacy ratio (N2) of 17.0% as of the end of September 2018 (regulatory minimal level is 10%).

According to the results of the nine months of 2018, net banking income amounted to UAH 2,466 million, which is +23% or +UAH 454 million more than in the same period of last year. The bank has demonstrated growth in all components of net banking income, which confirms efficiency of the bank’s business model and consistency of strategy implementation.

Operating expenses of the bank increased by +20% or +UAH 165 million in comparison with the nine months of 2017. Staff charges increased by +18%. Growth of other expenses by +UAH 75 million or +22% was mainly due to an increase in depreciation, evidencing visible investments into bank's transformation (including processes and digital development).

Cost of risk improved significantly in comparison with the similar period of last year (CoR UAH -36 million 9M-18 vs UAH -148 million 9M-17). Positive changes are due to active work on non-performing loans, prudent risk policy and efficient collection of debts.

Cost to income ratio of Crédit Agricole Bank remains one of the lowest among Ukrainian universal banks, and did not deteriorate in a context of pressure on general expenses and investments.

Quarterly Net banking income is growing during 5 quarters in a row with relatively stable general expenses that allowed posting one of the highest quarterly net result.

Annex 1

Summary Income Statement

(UAH million)

Credit Agricole Bank’s Interim Financial Statements are elaborated according to IFRS. Additionally, the detailed quarterly financial statements will be published on the bank's website.  

Annex 2 

Short Balance Sheet

(UAH million)

Credit Agricole Bank’s Interim Financial Statements are elaborated according to IFRS. Additionally, the detailed quarterly financial statements will be published on the bank's website.  

About Credit Agricole: 

PJSC «Credit Agricole Bank» is a modern universal bank owned by the leading financial group in Europe – Credit Agricole Group (France). The Group is a major partner of the French economy and one of the largest banking groups in Europe. It is a leading retail bank in Europe, having the largest portfolio of assets under management, being first in the field of ban insurance and third - in project financing in Europe. Credit Agricole has been operating in the financial market of Ukraine since 1993 and renders the entire range of banking services to private individuals, including premium-clients, and business. The Bank pays special attention to cooperation with agricultural enterprises. Reliability and business reputation of Credit Agricole in Ukraine is confirmed by the highest possible FITCH ratings, leading positions in bank sustainability, bank deposit reliability and bank profitability rankings, as well as by 300 000 active private and 18 000 corporate customers, including international corporations, large Ukrainian companies and representatives of small and medium business. Credit Agricole Bank is a socially responsible bank that confirms its status by the large number of projects implemented under the Corporate Social Responsibility program «We Care!». 

Contacts:

Viktoriia Torianyk, Head of PR and corporate communications Credit Agricole Bank.

Phone: +38 044 581 07 45, e-mail: Viktoriia.Torianyk@credit-agricole.ua