OAO Sberbank, Russia’s largest lender, said net income advanced 5.9 percent in the first nine months of 2012 compared with a year earlier as the company made more loans to households and companies.
Profit under Russian accounting standards rose to 269 billion rubles ($8.7 billion) from 254 billion rubles, according to a statement today on the Moscow-based lender’s website. Net interest income, the difference between what a bank earns from lending and what it pays on deposits, gained 26 percent to 467.1 billion rubles due to growth of corporate and retail lending, the company said.
Sberbank’s capital adequacy slid to 12.1 percent on Oct. 1 from 12.9 percent a month ago and from 15 percent on Jan. 1, which the lender attributed to the acquisition of Turkey’s Denizbank AS. Sberbank’s deals this year include Istanbul-based Denizbank, bought in June for $3.5 billion, and most of Vienna-based Oesterreichische Volksbanken AG’s eastern European business for 505 million euros ($646 million) in February. It also agreed last month to buy 70 percent of BNP Paribas SA’s consumer finance unit in Russia.
“Pressure on capital has increased due to loan growth and acquisitions,” Alfa Bank analysts led by Jason Hurwitz wrote in an e-mailed report today. “While the results offered no major surprises, the market may take them as slightly negative due to sharp declines in domestic capital adequacy.”
Non-performing loans remained little changed at 3 percent of the bank’s loan portfolio. Retail loans expanded 35 percent to 2.4 trillion rubles on Oct. 1 from a year earlier, while corporate loans gained 10.7 percent to 7.07 trillion rubles.
Sberbank, Europe’s third-largest lender by market value, said on Aug. 29 that net income under international financial reporting standards for the first half was little changed due to higher costs, taxes and provisions for bad loans.
The shares advanced 1.4 percent to 92.70 rubles at 12:33 p.m. in Moscow, on track for their biggest gain since Sept. 14.