Sberbank Posts Results for October 2020

Sberbank, a state-owned Russian banking and financial services company headquartered in Moscow, recently announced its financial results for October and the first ten months of 2020.

Key Financial Highlights For October 2020:

• Net profit for the month of RUB81.6 bn.

• ROE  for the month of 20.5%. 

• ROA  for the month of 3.0%.
  

• Retail loan portfolio increased by 2.4%. 

• Retail loan issuance hit a record of RUB478 bn.

• Corporate loan portfolio grew by 1.1%, excluding the effect of FX revaluation. 
  

The Bank paid out dividends for 2019 in the amount of RUB422 bn. 

Key Financial Highlights For the First Ten Months of 2020:

• Net interest income amounted to RUB1,187 bn, representing a year-on-year increase of 14.2%.

• Net fee and commission income was up by 9.1% to RUB411.4 bn. 

• Operating expenses of RUB495.6 bn up by 4.0% yoy. 

• Total credit risk charge amounted to RUB527.8 bn vs RUB99.5 bn a year ago, which owed to the COVID-19 related global distress. Loan coverage ratio remained intact at 2.2 times overdue loans.
  

• Net profit before income tax of RUB792.4 bn, while net profit amounted to RUB641.1 bn. 

• Total assets increased by 0.8% to RUB32.5 trn, driven by loan portfolio expansion and increased balance of securities portfolio. 

• Client funding remained at RUB22.8 trn: retail funding contracted by 0.5%, while corporate funding increased by 0.4%. 

​Alexandra Buriko, CFO, stated: "In October, loan portfolio growth continued across all segments, and mortgage production hit a new record of over RUB280 bn or almost 20% of all issuances year to date. Positive dynamic of consumer activity along with modest cost inflation and resilient quality of the loan portfolio led ROE to above 20% for the month and 16% from the beginning of the year."