Home / Business and Politics / Zaba reports a profit of 135 million euros in the first quarter, a jump of 25 percent

Zaba reports a profit of 135 million euros in the first quarter, a jump of 25 percent

Zaba, Zagrebačka banka
Zaba, Zagrebačka banka / Image by: foto

Zagreb Bank (Zaba) achieved a profit after tax of 135 million euros, which is an increase of 27 million euros or 25 percent compared to the same period last year, according to the bank’s financial report published on Friday.

– We achieved excellent results and confirmed healthy growth in all key business segments and a leading position in the market. Business revenues have increased, and cost management is disciplined. The capital and liquidity position is strong, and assets are sufficiently covered by loan reserves – it is stated in the unaudited, unconsolidated financial report published on the Zagreb Stock Exchange.

Zaba’s business revenues in the first three months of this year amounted to 207 million euros, which is an increase of 33 million euros or 19 percent compared to the first quarter of 2023.

At the same time, net interest income amounted to 146 million euros, an increase of 27 million euros or 22.7 percent, while net income from fees and commissions reached 42 million euros, an increase of two million euros or five percent compared to the same period last year.

Net trading income and other revenues and expenses amounted to 19 million euros, which was an increase of four million euros or 26.7 percent, mainly due to higher trading profits, Zaba explains.

Operating expenses from January to the end of March 2024 amounted to 58 million euros, which was an annual increase of one million euros or 1.8 percent, with a cost-to-income ratio of 28.02 percent.

Profit from operations before value adjustments and provisions for losses amounted to 149 million euros, an increase of 36 million euros or 31.9 percent.

Value adjustment costs and provisions for losses recorded a release of 13 million euros, with a decrease of three million euros year-on-year.

Furthermore, as stated in the report, the bank’s assets amount to 20.03 billion euros, which is a decrease of 345 million euros or 1.7 percent.

Net loans and advances to clients amount to 10.4 billion euros, an increase of 133 million euros or 1.3 percent, which was mainly achieved from loans to households.

Client deposits are the primary source of financing, amounting to 16.4 billion euros. At the same time, a decrease of 590 million euros or 3.5 percent was recorded in deposits from legal entities and households.

Finally, deposits from credit institutions amount to 141 million euros, having decreased by 64 million euros or 31.2 percent, reported Zaba.

Zagreb Bank Group with a net profit growth of 29.4 percent

According to data from the consolidated, unaudited financial report, the Zagreb Bank Group achieved a profit after tax of 154 million euros in the first quarter of this year, which is an increase of 35 million euros or 29.4 percent compared to the first quarter of last year.

The result of the Group, as stated, was mainly contributed by Zagrebačka banka d.d., UniCredit Bank d.d. Mostar, and UniCredit Leasing Croatia d.o.o.

The business revenues of the Zagreb Bank Group amounted to 253 million euros, which is an increase of 41 million euros or 19.3 percent compared to the first quarter of 2023, while operating expenses amounted to 82 million euros, which is an increase of two million euros or 2.5 percent.

Net interest income amounted to 181 million euros, an increase of 35 million euros or 24 percent, net income from fees and commissions reached 57 million euros, which is an annual increase of four million euros or 7.5 percent, while net trading income and other revenues and expenses amounted to 15 million euros, which is an increase of two million euros or 15.4 percent. data is from the report.

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