CEC Bank posts net profit of 269.5 million RON in the first half of 2024

CEC Group reported a net profit of 279.8 million RON in the first half of 2024, of which the Bank’s registered net profit was 269.5 million RON. The Bank continued to strengthen its market position with net assets reaching 93.23 billion RON – up 35 percent year on year.

The Bank’s net interest YOY income increased by about 27 percent in 1H 2024 (respectively by approximately RON 211 million), due to the increase in interest income, generated by the monthly increase in the balance of loans and investments (securities, interbank placements, etc.). Thus, interest income increased by about 673 million RON, while interest expenses also registered an upward trend, up by about 462 million RON.

At the end of first semester of 2024, the total equity ratio was at a relatively similar level (22.4 percent) to that recorded in June 2023 (22.8 percent), remaining at a comfortable level in relation to the minimum regulated requirements. Also, the bank still maintains a solid position in terms of liquidity, even if the value of the LCR indicator in June 2024 (254.17 percent) suffered a slight decrease compared to the value recorded in June 2023 (262.8 percent).

The Bank’s rate of return on equity (ROE) was 10.87 percent, compared to 11.83 percent at the end of 2023. Excluding the effect of the additional tax on turnover, ROE is 13.08 percent.

In order to comply with the regulatory requirements regarding the MREL indicator, the Bank will continue issuing eligible bonds under the EMTN Multiannual Program, approved at the end of 2022. The balance of bonds issued by the Bank, of about EUR 414 million in H1 2024, insured fulfillment of the regulatory requirements.