Baltikums Bank Posts Stable Results During First Half of 2015
July 23, 2015
Unaudited financial data at the Baltikums Bank show that basic operating revenues during the first half of this year reached a level of EUR 17.99 million, or 8% more than during the first six months of last year.
At the end of the reporting period, the bank's overall managed assets were at a level of EUR 741.94 million, or 13% more than during the same period in 2014. Deposits from clients rose by EUR 91.86 million, or 17%, including deposits in subordinated capital. The bank's financial strength indicators are at an unchangingly high level: 81.48% liquidity ratio at the end of the reporting period, and capital adequacy ratio at a level of 16.68% (provisional data). Return on capital and return on asset indicators were at a level of 20.7% and 1.7% respectively, thus making it clear that Baltikums Bank is one of the most successful banks in Latvia.
During the past half-year, the bank increased lending volumes by 28% in comparison to same period last year. Of all loans 57% went to the Latvian economy, thus facilitating export of Latvian goods and helping to create new jobs.
"Despite the complicated economic situation and low economic growth indicators in Europe and the CIS, the Baltikums Bank demonstrated stable development during the past half-year," says Dmitrijs Latiševs, Chairman of the Board at Baltikums Bank."There has been growth in the bank's major operating indicators, and the increase in deposits and client numbers is also continuing. Liquidity and capital adequacy indicators are important for any financial institution, and in our case they demonstrate our bank's effectiveness and stability. This successful development has largely been facilitated by our ability to take decisions quickly, to adjust our business model and to think about our prospects."
"During the reporting period, we have continued to develop the bank's products and our services for distance clients," the board chairman continues. "We have continued to establish relationships with clients in Central Europe and Eastern Asia, and we have expanded co-operation with partners in those regions. We ensure personalised and individualised services for our clients, also working diligently on those services that we provide on the Internet. During this age of rapid digitalisation, it is important to understand how the financial services environment will change and develop in the near future, and so during this period of time we have implemented several major technological projects to ensure greater comfort for our clients, greater security for our financial transactions, and even more operative and effective functions at the bank itself."
Dmitrijs Latiševs concludes his statement: "The security, trust, long-term partnerships and ongoing development of the bank as a financial institution are the most important prerequisites for successful business for our clients and the bank itself. This was demonstrated by the bank's operations during the first half of 2015, and we will continue to observe these fundamental principles in future, as well."
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