Press Releases

Renaissance Credit discloses IFRS results for 1H2019


12 September 2019

- Net profit: ₽1.85 bn
- Net loan portfolio ₽134.4 bn
- Retail deposits and accounts: ₽126,8 bn
- Retail loan origination for 1H2019: ₽70.2 bn

Renaissance Credit disclosed audited financial results for the first six months of 2019 in accordance with the International Financial Reporting Standards (IFRS).

Net profit for the reporting period attained ₽1.85bn.

Net interest income for the first six months of 2019 equaled ₽10.3 bn, operating income - ₽7.9 bn.

Retail loan origination for 1H2019 reached ₽70.2 bn. Net loan portfolio grew up to ₽134.4 bn. Personal loan represent 71.7% of the portfolio, POS loans – 18.7%, credit cards – 9,5%. At the end of 1H2019 the share of non-performing loans more than 90 days past due in the retail portfolio equaled 5.0%.

Retail deposits and accounts remain the key source of funding for the bank. The portfolio of retail deposits and accounts reached ₽126.8 bn at the end of 1H2019.

The bank maintains its focus of operating effectiveness and continues to demonstrate impressive results in this area: its cost-to-income ratio further improved and reached 37.1% (39.8% in 1H2018).

Equity size of the bank attained ₽28.9 bn at the end of 1H2019. First tier capital adequacy ratio (CAR) calculated in accordance with Basel rules equaled 18.8% (17.3% in 1H2018).

Key effectiveness and profitability ratios of the bank for 1H2019: Return On Average Equity (ROAE) – 13.3%, Return On Average Assets (ROAA) – 2.3%.

At the end of the reporting period, distribution network of the bank comprised 133 branch offices and 137 648 points of sale. The number of clients exceeded 12.5 million.

Comment by Alexey Levchenko, Chief Executive Officer of Renaissance Credit: “During 1H2019 we carried out an extensive work to prepare our business to the changing market conditions. The bank demonstrates stable growth rates with focus on asset quality, operating effectiveness and profitability against the background of growing debt load of the population as well as both planned and implemented regulatory changes. We moderately increase our business volume following the policy of responsible lending. We consider maintaining long-term and mutually beneficial relations with our clients as one of the most important priorities.”


Key Performance Indicators

Million ₽

At 01.07.2019

At 01.01.2019

Growth, %

Assets

165 009

159 228

3,6%

Net loan portfolio

134 420

128 470

4,6%

Due to clients

126 789

122 977

3,1%

Equity

28 855

27 004

6,9%

1H2019

1H2018

Loan origination

70 171

71 001  

(1,2)%

Net interest income

10 313

9 064

13,8%

Operating income

7 893

8 509

(7,2)%

Net profit

1 852

2 667

(30,6)%


Key Ratios

%

1H2019

1H2018

Non-performing loans 90+ days past due (NPL90+)

5,0%

3,5%

Cost of Risk (CoR)

9,3%

7,0%

Cost-to-income

37,1%

39,8%

Net interest margin (NIM)

14,0%

15,2%

Capital adequacy (CAR)

18,8%

17,3%

Return on average equity (ROAE)

13,3%

23,0%

Return on average assets (ROAA)

2,3%

4,0%