National Bank of Greece financial group, the majority shareholder in Banca Românească, reported 12m-euro profit for Romanian operations in 2010, down 37% from the 2009 profit.
The decline came mainly on the rising provision charges, which climbed by 14%, to 49m euros.
Provision pressure was most heavily felt in the second half of the year, after profit already reached 12m euros in first half, up 20% from the same period of 2009. The third quarter had a contribution of just 1m euros to profit. In the fourth quarter, the bank set up 16m-euro provisions, topping operating income, meaning the net figure was a loss. Thus, net income reported for the entire year was 1m euros smaller than the one reported after the first nine months, of 13m euros.
As a matter of fact, operating income was 7% lower last year, 59m euros. The main cause was the 14% lower net interest income, to 102m euros. Fee income leapt to 27m euros, but it was not enough to offset the falling interest revenues.
National Bank of Greece financial group, the majority shareholder in Banca Românească, reported 12m-euro profit for Romanian operations in 2010, down 37% from the 2009 profit.
The decline came mainly on the rising provision charges, which climbed by 14%, to 49m euros.
Provision pressure was most heavily felt in the second half of the year, after profit already reached 12m euros in first half, up 20% from the same period of 2009. The third quarter had a contribution of just 1m euros to profit. In the fourth quarter, the bank set up 16m-euro provisions, topping operating income, meaning the net figure was a loss. Thus, net income reported for the entire year was 1m euros smaller than the one reported after the first nine months, of 13m euros.
As a matter of fact, operating income was 7% lower last year, 59m euros. The main cause was the 14% lower net inter