Patria Bank posts net profit of 7.2 million RON, up by 20 percent in the first nine months

The financial results of Patria Bank as of September 30, 2021, related to the first three quarters of the year, show a net profit of 7.2 million RON, increasing by 20 percent compared to the same period of 2020, mainly due to the favorable evolution of revenues operational, but also from a contraction of operational costs that led to an Operating Result by 66 percent higher (+12.2 million RON) in September 2021 compared to September 2020.

The consolidation of the level of profitability, with positive results in the first nine months of 2021, represents the cumulation of the strategic decisions that the Bank has implemented, materializing in the following financial benchmarks reached on September 30, 2021:

• New loans granted in the amount of over 762 million RON during 2021, which led to an increase in the portfolio of performing loans by 16 percent, respectively 265 million RON compared to December 2020.

• Improving the bank’s balance sheet structure by increasing the share of net assets in total assets to 56 percent from 52 percent in December 2020, as well as increasing the customer loans / deposits indicator from 66 percent at the end of 2020 to 72 percent in September 2021.

• The increase of operating income by 9 percent in September 2021 compared to September 2020 on all components of the structure, this evolution including a negative impact on interest income of approximately 7 million RON  from the decrease of ROBOR interest index, reversed evolution starting with the fourth quarter 2021.

• Optimization and reduction of operational expenses by 1.7 million RON, by 2 percent in the first nine months of 2021, compared to the similar period of 2020.

• The favorable evolution of the operating result in September 2021 (increase of + 66 percent vs. September 2020), in the context of good customer payment behavior, allowed the bank to accelerate the reduction of the NPE rate by recording additional expenses with depreciation adjustments and include additional deferred tax expenses caused by the expiration of historical tax losses, thus reporting to September 2021 an increase in net profit of + 20 percent vs. September 2020

• Maintaining a solid capital base highlighted by the level of the Equity Rate around 20 percent, both individually and consolidated at the level of the Patria Bank Group.

“The results confirm the positive trend of the last two years and demonstrate our ability to adapt quickly to the market context, by providing services to our customers in any conditions and in a rapidly changing environment, as well as a solid vision of our direction and of the growth pursued. We will continue the strategy of reaching as many Romanians as possible by digitizing products and services, using at the same time the network of branches to serve customers in direct, personal interaction, the most suitable for consulting and close relationship with them.

Our vision is to become more and more sustainable and to have all stakeholders – customers, colleagues, shareholders and the communities in which we operate – involved and satisfied with our services. We continue to promote financial inclusion as a key element for individual and community development, and we focus on providing services in an increasingly simple and easy to use way. I mention here the new customer enrollment platform, 100 percent online, Patria de Oriunde, which is evolving rapidly, enjoys positive feedback from customers and through which we will launch credit products next year,” said Burak Yildiran, CEO Patria Bank.