OREANDA-NEWS.  July 21, 2014. According to preliminary data, unaudited net profit earned over the first half-year of the year 2014 by AB SEB bankas is LTL 148.4 million (EUR 43.0 million) and by AB SEB bankas Group is LTL 148.5 million (EUR 43.0 million).

The result has been calculated in accordance with the requirements set by the acts of the Bank of Lithuania and legal acts of the Republic of Lithuania.

Over the first half-year of the year 2013, unaudited net profit earned by AB SEB bankas was LTL 101.8 million (EUR 29.5 million) and by AB SEB bankas Group – LTL 97.5 million (EUR 28.2 million). In November 2013 AB “SEB lizingas” was merged with AB SEB bankas, therefore AB SEB bankas results of the first half-year of the year 2013 are presented including the result of AB “SEB lizingas”.

Comment by CEO of AB SEB bankas in Lithuania Raimondas Kvedaras:

During the first half-year of 2014, there was some slowdown in Lithuania’s economic development – mainly as a result of decreasing exports. The banking system should nevertheless be favoured by the domestic market gaining strength and a surge of activity in investment process, which induces a higher demand for loans and other financial services. Future expectations of private individuals and corporate customers remain good also influenced by gradual recovery of the Eurozone as well as the envisaged euro launch in Lithuania in 2015. On the other hand, the country’s economy growth perspective will also depend on the development of the situation in the Eastern markets, where companies are exposed to higher risks in connection with the Russian-Ukrainian conflict.

Over the first half-year of 2014, performance of the SEB Bank Group was successful, financial result improved - its assets, deposit portfolio, income as well as net profit increased. There was improvement in the cost/income ratio, customer satisfaction with the services offered, and employee satisfaction with their work improved, too.

Investments of companies into their business development and activeness of private individuals in the real estate market that is partly influenced by the planned euro launch served as the main factor for an increase in the demand for new loans over the first half of the year – we issued LTL 2.66 billion in new loans, which is a 3 per cent increase year-on-year.
 
Within the second quarter of the current year, our key focus will be on the bank's major on-going current-year project: the planned euro launch in Lithuania in 2015. The bank has been preparing for euro introduction since the summer of 2013, and currently as many as 130 employees of the bank are working intensively to ensure a smooth changeover to the euro for our customers.

Key financial ratios of AB SEB bankas Group:

As of 30 June 2014, AB SEB bankas Group’s equity was LTL 2.6 billion (LTL 2.5 billion as of 30 June 2013), i.e. increased by 6 per cent.

As of 30 June 2014, AB SEB bankas Group’s assets were LTL 23.7 billion (LTL 22.8 billion  as of 30 June 2013), i.e. increased by 4 per cent.

Since 30 June 2014, AB SEB bankas’ deposit portfolio went up by 8 per cent, i.e. from LTL 12.2 billion to LTL 13.3 billion as of 30 June 2014.

As of 30 June 2014, net value of AB SEB bankas Group’s loans and leasing portfolio was LTL 16.6 billion (LTL 16,9 billion as of 30 June 2013), i.e. decreased by 2 per cent.

Over 1H 2014, the amount of new loans issued by AB SEB bankas increased up to LTL 2.7 billion as compared to the amount of new loans issued over 1H of the year 2013, i.e. increased by 3 per cent.

1H 2014 income of AB SEB bankas Group was LTL 294 million (LTL 278 million as of 30 June 2013), i.e. increased by 6 per cent.

At the close of June 2014, AB SEB bankas Group liquidity ratio was 38.9 per cent (requirement being 30 per cent).

The number of registered SEB Internet Bank users increased by 43 thousand and at the close of 1H 2014 was 1.135 million, which is a 4 per cent increase yoy.

As compared to the data of 30 June 2013, the number of cash transactions at cash-in ATMs increased by 20 per cent, and a drop in of cash transactions at the bank's branches over the same period was 42 per cent.

Over a relevant period, an increase in the turnover of payment cards was 5 per cent, and that in the number of POS terminals was 7 per cent.

At the close of 1H 2014, AB SEB bankas had 46 customer service  branches all over Lithuania. The ATM network offered to SEB customers is the largest one in Lithuania and includes ATMs of both SEB and DNB banks, i.e. 550 ATMs.