MDM Bank has announced its performance for January-June 2010, drafted to the International Financial Reporting Standards (IFRS), the lending institution’s press service reported. The lender’s net profit and aggregate profit totaled Rub 1.06 bln and Rub 520 mln, respectively, while capital grew 0.8% to Rub 62 bln.
Assets dropped 9% to Rub 366 bln. A Rub 36 bln slide in assets was mainly caused by the reduction in cash and cash equivalents (down Rub 20 bln) and credits granted to other banks (off Rub 22 bln). Liquid assets (cash, cash equivalent and inter-bank loans due within a month) came to Rub 62.2 bln or 17% of all assets.
Obligations fell 8.9% to Rub 304 bln. Obligations slid by Rub 37 bln as the bank cut borrowings from other banks (by Rub 21 bln) and issued securities (by Rub 31 bln), while balances held on customer accounts increased (by Rub 15 bln).
Operating profit before the formation of loan reserves amounted to Rub 13.61 bln, while its key items are net interest income (Rub 10.34 bln) and net commission income (Rub 1.45 bln). Operating expenses totaled Rub 7.18 bln. Reserves under customer loans came to Rub 4.3 bln or 3.1% of the average loan portfolio for the period. The bank’s capitalization calculated in accordance with the standards set by the Basel Committee on Banking Supervision (Basel II) is equal to 18.7%. Net profit/equity ratio came in at 3.4%, while gross profit/equity equaled 1.7%.
