Raiffeisen Bank International Reports Decrease in Q2 Earnings
Raiffeisen Bank International (RBI) announced a decline in their second-quarter earnings and confirmed that they have scaled back their operations in Russia during this three-month period.
For the quarter, RBI reported a net profit of 578 million euros ($635.7 million), a decrease from the 1.27 billion euros earned in the same period last year. However, their operating result reached 1.15 billion euros, with quarterly net interest income showing a 12% increase to 1.36 billion euros.
The bank disclosed that their quarterly net fee and commission income declined by 17% to 732 million euros.
RBI emphasized that they have reduced their operations in Russia. While the country contributed 45% to the bank's operating result in Q1, it only accounted for 35% in this recent quarter.
The bank's earnings for the first half of the year were impacted by high portfolio-based provisions for litigation in Poland, amounting to 424 million euros. Additionally, the decline was affected by the absence of last year's gain from the sale of their Bulgarian subsidiary bank.
Looking ahead, RBI expects their net interest income for 2023 to range between 3.8 billion euros and 4.0 billion euros. They also project net fee and commission income to be approximately 1.8 billion euros, with customer loan growth expected to be around 2%, excluding Russia and Belarus.
All Rights Reserved © 2024
Post a comment