Gross profit of HAAB in 2009 amounts to 201 million kuna

The profit before taxation of Hypo Alpe Adria Bank (HAAB) in 2009 amounted to 201 million kuna, total assets were 39 billion kuna, and the market share was 10.01 percent, as announced by HAAB.

During the past year, HAAB achieved very good growth in net interest income while net fees and commission income increased by 9.23 percent, the announcement states, which includes a statement from HAAB’s CEO Markus Ferstl, who expressed satisfaction with the results HAAB achieved in Croatia in 2009.

The most significant event that marked the Bank’s operations last year, Ferstl highlights, was the merger with Slavonska banka. The announcement states that HAAB, as well as the banking sector in Croatia, saw an increase in provisions and difficulties in collecting receivables from clients in 2009. Thus, HAAB’s provisioning costs more than doubled compared to 2008, which, as noted, was compensated by the growth of income in sectors dealing with individuals, small and medium-sized enterprises, and public institutions.

Thanks to the successful merger with Slavonska banka, synergistic effects, cost reductions, and significant growth in operating results, the bank managed to reduce the cost-to-income ratio to 48 percent and achieve a respectable profit before taxation of 201 million kuna, it is added. With total assets of 39 billion kuna, 70 branches, and 1,658 employees, Hypo banka has positioned itself among the five largest banks in Croatia.

The equity capital of HAAB as of December 31, 2009, amounts to 8.3 billion kuna, representing a capital adequacy ratio of 20.21 percent, making it one of the best-capitalized large banks in Croatia and the entire region. The first quarter of this year in HAAB’s operations was marked by a strong increase in citizens’ savings, good results were achieved in all business segments, and for the first time in its history, the bank provides services to more than 350,000 clients in Croatia. (H)