VAB Bank Summarizes Results for 3Q 2008
OREANDA-NEWS. October 20, 2008. During the third quarter of 2008, VAB Bank continued expanding all major business lines. Main emphasis was placed on retail business development, reported the press-centre of VAB Bank.
As of 1 October 2008, deposits of private individuals reached UAH 2 billion, while the loan portfolio went up to UAH 5 billion showing a 9.3% growth. In general, the loan and investment portfolio of the bank amounted to UAH 5.8 billion, which is by 6.4% more compared to YE2007.
The end of Q3 2008 demonstrated growth in net assets that as of 1 October 2008 were worth of UAH 6.6 billion. According to VAB Bank CFO Desmond O’Maonaigh, such a modest growth in net assets is attributable to the general slow-down of business in the Ukrainian banking system and international market liquidity squeeze impeding access of Ukrainian banks to the international capital market to facilitate the high growth rates.
Under Ukrainian accounting standards, the bank’s equity showed a 27.9% growth compared to the beginning of the year, reaching UAH 906.6 million. The bank ended the third quarter with the profit of UAH 4 million.
VAB Bank CEO Petr Baron noted that growth rate observed over the past several years should hardly be expected today, particularly against the backdrop of the world crisis. “The market is different, and it needs to be approached differently. Our bank is stable and absolutely prepared to work amid the changing market context. In today’s situation we will focus on improving efficiency and profitability of our business. Our principal goal is to do our best to retain the existing clients and attract new ones by offering them maximum quality and comfort of local service,” Petr Baron said.
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