Russian Agricultural Bank (RusAg, the Bank) announces its interim condensed consolidated financial results for 6M 2021 according to International Financial Reporting Standards (IFRS).
“Steady development of Russian Agricultural Bank Group in the first half of 2021 was ensured by the growth of corporate and retail loan portfolio, primarily in the priority for the Bank agricultural sector. This allowed us to increase interest and fee and commission income compared to the first half of last year, improve financial performance and enhance operational efficiency indicators, including return on equity and assets,” Kirill Levin, First Deputy Chairman of the Board at RusAg, said.
In 6M 2021, the Group’s gross loan portfolio grew by RUB 57.6 billion (+2%) reaching RUB 3.028 trillion. Corporate loans (including loans to customers measured at fair value through profit or loss) rose by RUB 12.8 billion (+1%) from YE2020 and totaled RUB 2.420 trillion. Retail loans add up RUB 44.7 billion (+8%) to RUB 608 billion.
As at 30 June 2021 the Group’s assets totaled RUB 3.877 trillion. In H1 2021, the Group’s assets grew by RUB 57.6 billion (+1.5%).
Deposits and customer accounts in 6M 2021 grew by RUB 153 billion (+5.3%) and totaled RUB 3.015 trillion. Corporate customer accounts came in at RUB 1.593 trillion, expanding by RUB 73 billion (+4.8%). Retail deposits and customer accounts grew by RUB 80 billion (+5.9%) from YE2020 and amounted to RUB 1.422 trillion.
The share of customer funding in the Group’s total liabilities stood at 82.8%. Loan-to-deposit (LTD) ratio stood at 100.4% as at 30 June 2021.
In H1 2021, net interest income amounted to RUB 43.6 billion, which is 12.6% more than a year before (RUB 38.7 billion). Net fee and commission income increased by 79% and totaled RUB 16.2 billion compared to RUB 9.0 billion in H1 2020.
The Group’s net interest margin was 2.4% as at 30 June 2021. Cost-to-Income ratio (operating expenses divided by net operating income (before allowance for credit losses)) stood at 57%.
The Group’s net profit for the H1 2021 amounted to RUB 13.1 billion, compared to RUB 1.4 billion for the same period in 2020.
The Group’s equity amounted to RUB 237.7 billion as at 30 June 2021. Capital adequacy ratio (N1.0) (under the Bank of Russia requirements) stood at 13.8% as at 1 July 2021.