0.2 C
January 23, 2022

OTP Bank Romania expects to end the year on the losing side; profit expected in 2014

OTP Bank Romania will end this year on the losing side with a negative result of HUF 2.27 billion (EUR 7.67 million) in the first quarter, nine times higher than the results of the same period in 2012; next year, the bank will register profit, the first time after 2011. “The loan portfolio is rather stable and most bad loans date back to before 2009; after that we have not had problems. Moreover, we have also reported increases for newly granted loans and the situation will become balanced”, chairman of OTP Bank Laszlo Diosi stated yesterday at a press meeting, according to Mediafax. The first quarter loss of EUR 7.67 million was reported as a result of worsening operational results and increasing risk costs. Last year, the bank registered a loss of HUF 5.53 billion (EUR 19.1 million) as compared to HUF 763 million (EUR 2.73 million) net profit in 2011. The value of bad loans (with late payments exceeding 90 days) has increased in the first quarter by 28% from HUF 55.49 billion (EUR 187.47 million) last year to HUF 71.27 billion (EUR 240.8 million) this year, according to the report released by the Hungarian Group OTP.

Related posts

Mazars, international audit and consulting company, becomes ARIR member


Bucharest Stock Exchange report: Romanian capital market recorded in 2021 multiple all-time highs on different levels


Gopet Romania: 16% increase in revenues in the first 5 months of 2021