Earnings Release • Oct 30, 2015
Earnings Release
Open in ViewerOpens in native device viewer
Quarterly report under C.N.V.M. Regulation No. 1/2006 Report Date: 10/30/2015 Name of Issuer: Carpatica Commercial Bank Headquarters: Sibiu, No. 1, Autogării St. Phone / Fax No.: 0372/494.918, 0269/233371 Unique Registration Code with the Trade Register: RO11447021 Order number in the Trade Register: J32/80/1999 Capital subscribed and paid: 110,137,141.10 lei Regulated market on which the issued securities are traded: Bucharest Stock Exchange
The capital decrease operation (approved by the 18 June 2015 EGMS) was finalized on 01 October 2015. Banca Comerciala Carpatica's new share capital is of RON 110,137,141.10, consisting of 1,101,371,411 shares with a nominal value of RON 0,1.
At the same time, in relation to the capital increase process, the Prospectus for new shares issuance has been approved by FSA through Decision 3227/29.10.2015, the preference rights exercising period being scheduled fro the period between 3rd of November – 3 rd of December 2015. Moer details will be available on the Bank website and on the broker website.
In the first nine months of 2015, Banca Comerciala Carpatica's registered a net loss of RON 26.5M, compared to the RON 21.7M loss during the similar period of 2014.
Net interest income decreased by 33% compared to the end of September 2014 (RON 35.6M).
Total operating income declined by 43% (RON 88.4M as at 30 September 2015 vs. RON 155.5M as at 30 September 2014) due to a weaker gain from net interest income nd financial assets available for sale.
Bank's recurring operating expenses decreased by 4%, from RON 106.7M at the end of September 2014 to RON 102.9M as at 30 September 2015 (see details in the table below). Compared to the end of the first nine months of 2014, expenses with salaries and related items dropped by 4%, to RON 50M, while the number of employees declined by 8%.
| 9 months to 30 September 2014 |
9 months to 30 September 2015 |
Q III 2015/ Q III 2014 |
|
|---|---|---|---|
| Expenses with salaries and related items Amortization and depreciation of tangibles and intangibles Other operating expenses |
(51,865) | (49,974) | -4% |
| (7,986) | (7,560) | -5% | |
| (46,811) | (45,387) | -3% | |
| Total recurring expenses | (106,661) | (102,921) | -4% |
| Other expenses (*) |
(13,377) | (4,827) | -64% |
| Total operating expenses | (120,038) | (107,748) | -10% |
- Values expressed in thousand RON -
(*) extraordinary expenses representing loss from the disposal/revaluation of assets or adjustments for assets impairment.
As a conclusion, the RON 26.5M gross loss recorded in the first 9 months of 2015 is mainly due to the decrease of net interest income impacted by lower loans volumes due to the capital shortage. Other elements which negativelly impacted the net result of the bank were generated by provisions for loans adjustments and the volatile yields on Tbonds market, which determined a lower profitability as compared with the same period of last year.
Bank's total assets amounted to RON 3.1 BN as at 09/30/2015, down 5% compared to YE 2014.
The net loan balance at the end of September 2015 was RON 863M, 17% lower compared to YE 2014 (RON 1,040.5M), due to the cumulative effects of loans write-off and of loan repayments which neutralized new loans granted in the first nine months of 2015.
Loans to clients, net, represent 28% of Bank's total net assets.
Due to customers decreased by 4% compared to YE 2014, relatively stable given the successive reductions of interest rates performed by the bank, in line with the market trend.
In the first nine months of 2015, Bank's equity declined by 16% compared to 31 December 2014, under the negative effect of the loss recorded in the first nine months, available for sales reevaluation reserves at lower levels as compared with 9m 2014, under a volatile envoronment of Tbonds market.
Bank's Solvency ratio at the end of September 2015 was 8.6%, compared to 10.8% at the end of December 2014.
Immediate liquidity (quick ratio) computed at the end of September 2015 was 57.8%, compared to 53.9% at the end of December 2014.
The total number of cards issued as at 30 September 2015 was 340,847, up 6.9% compared to 30 September 2014 (318,962 cards). At the end of September 2015, a number of 13,501 customers were using the internet banking service provided by Carpatica.
During the first nine months of 2015, Bank's customers performed 8% more card payments compared to the same period of 2014; internet banking transactions increased by 8%, while POS collections increased by 31% compared to the similar period of 2014.
In addition, the Bank continued its efforts to strengthen the partnership with Euronet, providing for bank's clients access to a network of over 466 Euronet ATMs at the end of September 2015.
At the end of September 2015, the Bank had a network of 115 units and a number of de 898 active employees.
- Values expressed in thousand RON –
| PROFIT AND LOSS ACCOUNT | 9 months to 30 September 2014 |
9 months to 30 September 2015 |
Q III 2015/ Q III 2014 |
|---|---|---|---|
| Interest income | 126,484 | 82,691 | -35% |
| Interest expenses | (73,557) | (47,066) | -36% |
| Net interest income | 52,927 | 35,625 | -33% |
| Commission income | 23,163 | 20,030 | -14% |
| Commission expenses | (4,613) | (3,785) | -18% |
| Net commission income | 18,550 | 16,245 | -12% |
| Net trading income | 12,549 | 11,369 | -9% |
| Net gain from financial assets available for sale |
61,792 | 11,225 | -82% |
| Other operating income | 9,681 | 13,916 | 44% |
| Total operating income | 155,499 | 88,380 | -43% |
| Net expense related to impairment of loans | (52,803) | (7,114) | -87% |
| Expenses with adjustments of long term financial investments |
(1,793) | - | -100% |
| Net operating income | 100,903 | 81,266 | -19% |
| Expenses with salaries and related items | (51,865) | (49,974) | -4% |
| Amortization and depreciation of tangibles and intangibles |
(7,986) | (7,560) | -5% |
| Other operating expenses | (60,188) | (50,214) | -17% |
| Total operating expenses | (120,038) | (107,748) | -10% |
| Profit (loss) before tax | (19,135) | (26,481) | 38% |
| Income tax | (2,614) | - | -100% |
| Net profit (loss) for the period | (21,749) | (26,481) | 22% |
STATEMENT OF FINANCIAL POSITION 31 December 30 September 30.09.2015/ ASSETS 2014 2015 31.12.2014 Cash in hand 110,376 101,476 -8% Accounts with Central Bank 313,996 338,515 8% Due from banks 6,598 22,579 242% Financial assets held for trading 48,782 61,264 26% Financial assets available for sale 1,279,517 1,111,980 -13% Investments held to maturity 0 111,169 - Investments in equity securities 12,029 12,029 0% Loans, net 1,040,457 863,400 -17% Property and equipment 144,770 140,168 -3% Investment properties 121,412 123,816 2% Intangibles 8,364 9,228 10% Deferred tax assets 21,143 36,480 73% Other assets 143,010 149,576 5% Total ASSETS 3,250,454 3,081,680 -5% LIABILITIES Due to banks 42,622 10 -100% Derivative financial instruments 0 456 - Due to customers 2,884,460 2,769,238 -4% Borrowings 71,205 65,795 -8% Liabilities from deferred tax 0 13,343 - Other liabilities 28,550 44,138 55% Total LIABILITIES 3,026,837 2,892,981 -4% Share capital 314,629 110,137 -65% Share premium 1,951 1,951 0% Surplus from share capital revaluation 21,809 5,689 -74% Retained earnings (accumulated loss) (224,984) (28,790) -87% Reserve for financial investments available for sale 11,375 2,613 -77% Revaluation reserve 71,650 69,911 -2% Other reserves 27,187 27,187 0% Total Equity 223,617 188,699 -16%
- Values expressed in thousand RON -
| Total LIABILITIES and EQUITY | 3,250,454 | 3,081,680 | -5% |
|---|---|---|---|
| C.I.F. - RO 11447021• RC - J32/80/1999 • RB - PJR - 32 - 045 / 15.07.1999 • Capital: 110,137,141.10 RON Banca Comerciala Carpatica is | |||
| registered with the National Supervisory Authority for Personal Data Processing -ANSPDCP with the notification no. 753. The company is |
managed in a two-tier system.
The financial statements for the third quarter of 2015 were not audited by an independent financial auditor.
A. Balance sheet, profit and loss account as at 09/30/2015.
__Johan Gabriëls Marin Ban
General Manager Finance and Accounting Manager
| Ratio | U/M | 09/30/2014 | 12/31/2014 | 09/31/2015 |
|---|---|---|---|---|
| 1 ROA |
% | (0.8) | (4.9) | (1.1) |
| 2 ROE |
% | (7.2) | (46.3) | (16.9) |
| Solvency | % | 12.4 | 10.8 | 8.6 |
| Loans/Deposits | % | 52.9 | 51.9 | 40.5 |
| Immediate liquidity (Quick ratio)3 | % | 50.8 | 53.9 | 57.8 |
1 Annualized net profit / Total average assets
2Annualized net profit / Average own capital
3Cash and cash equivalents (net) + pledge-free T-bills/total obligations
The Liquidity Ratio for 09/30/2015 computed under rules applicable to banking and financial institutions is as follows:
| Date | <= 1 month |
1 -3 months |
3-6 months | 6-12 months |
>12 months |
|---|---|---|---|---|---|
| 09/30/2015 | 3.87 | 10.86 | 18.59 | 17.33 | 8.02 |
| NBR Limits | >=1 | >=1 | >=1 | >=1 | - |
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.