Source: Kathimerini Cyprus
Hellenic Bank reported a profit of EUR 55.4 million for the first half of 2022, compared to a profit of EUR 21 million in the corresponding half of 2021.
Total new loans made in Q2 2022 amounted to €287 million, compared to €269 million in 1Q2022 and a total of €556 million in 1H 2022, an increase of 43% compared to new lending for 1H 2021 of €388 million. The Bank continued to provide lending to solvent businesses and households while focusing on managing early delinquencies and avoiding new MEX.
The net loan-to-deposit ratio was 41% at 30 June 2022 (31 December 2021: 40%). The increase in the ratio is mainly due to an increase in loans to customers as a result of RCB Bank's acquisition of part of the performing loan portfolio (Part A/Tranche A and Part B/Tranche B) in H1 2022. Adjusted for portfolios held for sale, the net loans to deposits ratio decreased to 40% (31 December 2021: 38%).
NPLs
NPLs including loans held for sale amounted to €1,366 million on 30 June 2022, down 3% compared to €1,414 million on 31 December 2021, (NPLs excluding NPLs covered by the PPA amounted to €0.9 billion on 30 June 2022 (31 December 2021: €1.0 billion)). Adjusted for portfolios held for sale, MEX amounted to €646 million on 30 June 2022 compared to €650 million on 31 December 2021.
Funds
The Capital Adequacy Ratio and the Common Equity Tier 1 Common Equity Tier 1 (CET 1) ratio stood at 20.95% and 18.68%, respectively. Adjusted Capital Adequacy Ratio5.6 and Common Equity Tier 1 Capital Ratio (CET 1) of approximately 21.9% and approximately 19.6%, respectively.
Deposits
As of 30 June 2022, customer deposits amounted to €15.5 billion (31 December 2021: €14.9 billion) and increased by 3% year-on-year. They consisted of deposits in Euro of €14.2 billion (31 December 2021: €13.7 billion) and deposits in foreign currencies, mainly in US Dollars, of €1.3 billion (31 December 2021: €1.2 billion).
The expense to revenue ratio for 1H 2022 was 76%, compared to 70% for 1H 2021, reflecting the increase in total expenses, while for 2Q 2022 the expense to revenue ratio was 69% (1Q 2022: 84%).
"Despite the challenges, Hellenic Bank's performance was positive and beyond expectations, achieving steady progress on its strategic objectives. By posting a profit of €55.4 million after tax, we have demonstrated the resilience and robustness of our business model," Oliver Gatzke, Group Chief Executive Officer, said in a written statement on the results.
