BT's financial results as of March 31, 2021: a good sign of the recovery of the economy
Press release 2021-04-29
Ömer Tetik, General Manager, Banca Transilvania:
"BT operated with the revved engines in the first quarter.
which can be seen in the record number of grants granted".
- Almost 48,000 loans were granted in the first 3 months of the year, amounting to 3,947 million lei. Of these, 45,700 were for individuals - for housing and personal needs.
- BT employs 3.1 million individual clients, 352,000 SME & Micro clients and over 10,600 corporate clients.
- 1.9 million customers are digitized, of which over 1.2 million use BT Pay, +79% compared to the first quarter of 2020.
- The number of phone payments doubled in the first quarter of 2021 compared to the same period last year, reaching 12.3 million.
- 64% is the increase in the number of card transactions on the Internet in the first quarter of 2021 compared to the first quarter of 2020.
- The bank has 70.64% Romanian shareholders and over 33,000 Romanian shareholders, individuals.
- BT continued its plan to modernize the network of units in the first part of the year, the pace being a headquarters/ week.
The results of Banca Transilvania for the first three months of the year are encouraging and a sign of the relaunch of the Romanian economy after the challenges of 2020.
The assets of Banca Transilvania Financial Group reached 110.9 billion lei at the end of the first quarter, and the loans increased to 43.09 billion lei. Customer deposits reached 93.19 billion lei: of these, 64.22 billion lei are the savings of individuals, and 28.96 billion lei, the deposits of companies.
The consolidated net profit of banca transilvania financial group is of 656.33 million lei, of which the bank's share is 581.26 million lei. Subsidiaries and equity participations contributed with approximately 75 million lei to the profitability of BT Group. The operational efficiency of the bank reached the level of 45.61% calculated with an annualized impact of the contribution to the Bank Deposit Guarantee Fund and the Resolution Fund.
"We see encouraging signs, it's romania'sconomia and has recovered well in the first three months of the year, but the challenges have not passed. Now we depend on the pace of vaccination, but also on the travel and consumption restrictions in the other European countries and in the world, and the pace of recovery will be directly correlated with that of the major economies in the European Union. We are optimistic, but we remain on guard and keep close to customers with loans and those who need financing to support their business, consumption and economy. Banca Transilvania operated with the engines revved in the first three months of the year, which can be seen in the record number of financing granted", says Ömer Tetik, General Manager, Banca Transilvania.
The NPL ratio, according to EBA indicator, is 3.73% as of March 31, 2021. The coverage of non-performing exposures under EBA standards with total provisions is 131%. The bank's solvency is of 23.82% and includes the profit for the quarter ended. Fitch Ratings maintained Banca Transilvania's long-term financing (IDR) rating at "BB+", with a negative outlook, as well as the viability rating (VR) at the "bb+" level.
The balance of real estate/mortgage loans is of 13.8 billion lei, and of SME loans, about 17.8 billion lei. The bank has reached 4.4 million cards in its portfolio, of which over 530,000 are credit cards.
BT's plans for 2021, approved by shareholders. Year of relaunch
At the General Meeting of Shareholders of BT on April 28.c., the shareholders approved the proposal of the Board of Directors regarding the closing of 2020, the distribution of the profit, as well as the increase of the equity by 573.8 million lei.
The bank's 2020 results support BT's role as the main pillar of the economic recovery in 2021. For this year, Banca Transilvania has proposed the following:
- +11.3% assets, up to 115 billion lei;
- 49.3% cost/income for operational efficiency;
- +7.9% gross loans;
- 47.9% loans/deposits;
- +11.6% total resources from clients.
The BT investment budget for 2021 is 400.88 million lei and will be allocated in IT projects, for cards, digital initiatives and network. At Banca Transilvania, this year's headline is Relaunch. BT wants to play a major role in supporting businesses, people and the economy.