July 5 (Bloomberg) -- VTB Group, Russia’s second-biggest lender, declined the most in a week after first-quarter profit dropped 13 percent.
VTB shares retreated as much as 4.1 percent before falling 3.1 percent to 5.84 kopeks by the close in Moscow, the biggest drop since June 28. The Micex Index declined 0.6 percent to 1,435.76.
Net income attributable to shareholders fell to 22.7 billion rubles ($700 million) from 26 billion rubles a year earlier, the Moscow-based bank said in a statement today. Gross loans slid 0.8 percent in the first quarter to 4.55 trillion rubles, according to the statement. The bank’s net interest margin will probably rise in the second quarter of this year after falling in the preceding three months, Chief Financial Officer Herbert Moos told reporters in Moscow today.
“We view the results as disappointing on the core income lines,” Nadezhda Krupennikova, an analyst at TKB Capital in Moscow, said in an e-mailed research note.
The lender also plans to increase the amount of a Turkish lira bond to 1 billion liras ($552 million) from 300 million liras in the next one or two years, Moos said.
To contact the editor responsible for this story: Gavin Serkin at email@example.com