|K&H Banking Group closed the first 3 months of 2011 with an after-tax profit of HUF 4.7 billion. K&H Banking Group is to pay HUF 16 billion as banktax in 2011, HUF 4 billion of that amount was settled in the first quarter. Costs were reduced and credit losses remained well within expectations. The share of non-performing loans increased from 8,6% to 9.3% within a quarter. K&H has become the second largest MTPL insurer, with a market share of 14.5%.|
„K&H Banking Group closed the first quarter of 2011 with a net profit of HUF 4.7 billion. Non-performing loans are still increasing, their share grew from 8.6 to 9.3% within a quarter. We could increase our market share of savings, in the market of capital protected funds the Bank is market leader with a market share of 51%.” – announced Hendrik Scheerlinck, CEO of the K&H Group.
„ The deposit portfolio decreased in retail and in corporate segments too, which are offset by the 15% rise of the sme deposit portfolio and the demand for investment funds. By the end of March, our loan-to-deposit ratio reached 85.8%, still the best in the Hungarian market by the standards of the major banks. Our total assets exceed last year’s figure by 4%, mostly FX rate driven.” – said Attila Gombás, CFO of the K&H Group.
K&H’s unaudited, consolidated results according to International Financial Reporting Standards (IFRS) were as follows:
|HUF billion||31 March, 2010||31 March, 2011||var (y/y)|
|profit after tax||5.6||4.7||-16.0%|
|profit after tax (excl. banktax)||5.6||7.9||+41.7%|
|operating profit before provisions and bank tax||19.0||18.1||-4.7%|
|lending to non-bank clients||1,720||1,612||-6.3%|
|deposits from non-bank clients|
|AuM in mutual funds||577||630||+9.1%|
|quality of loan portfolio|
|capital and liquidity|
|capital adequacy||12.8% (Basel II standard method)||11.2% (Basel II IRB Foundation)|
|loan to deposit ratio||92.3%||85.8%|
|solvency ratio (insurance)||164%||183%|
|return on equity||10.3%||8.2%|
Luc Cools, CEO of K&H Insurance added: “In non-life business line thanks to the successful MTPL and linked cross-selling campaign, the number of policies significantly increased and reached 835,000 till the end of the first quarter, which represents a 62,5% growth year on year. In line with the increase in premium income the market shares are also boosted, in MTPL it reached 14,5%, in Casco 3,24% and overall 5,96%, all values are records in the history of the company. In life business line K&H managed to make a good start in 2011, in particular in single premium products. In terms of our premium income, we outperformed other market actors in both regular and single premium products.”
K&H Group is one of the leading financial service providers in Hungary. It offers both banking and insurance solutions to meet the financial needs of customers, enabling them to opt for smart solutions best suited to their specific needs. The Group’s product range includes conventional retail and corporate banking products (account management, investments, savings, credits, bank guarantees, bank card services, custody management, treasury, project finance, etc.), premium banking services, investment fund management, leasing, life insurance, property and liability insurance, health and pension fund services and securities trading. With 235 retail branches nationwide, as well as through almost 460 local representatives selling insurance products the K&H Group offers hundreds of financial services.
KBC is one of the leading financial groups in Europe. It is a multi-channel bancassurance group with a geographic focus on Europe. The Group occupies significant, even leading positions in its core home markets of Belgium and Central and Eastern Europe (Czech Republic, Slovakia, Poland, Hungary and Bulgaria), catering mainly to retail customers, small and medium-sized enterprises and local midcaps.
KBC is one of the major Belgian companies and is listed on Euronext Brussels. (ticker symbol 'KBC').
As on March 31, 2011:
Shareholder’s equity (IFRS consolidated, non-audited): HUF 231 billion
Total assets (IFRS consolidated, non-audited): HUF 3,043 billion
Pre-tax profit (IFRS consolidated, non-audited): HUF 7.0 billion
After-tax profit (IFRS consolidated, non-audited): HUF 4.7 billion
As on March 31, 2011:
Shareholder’s equity (IFRS consolidated, non-audited): HUF 8.5 billion
Total assets (IFRS consolidated, non-audited): HUF 105.6 billion
Insurance technical profit (IFRS consolidated, non-audited): HUF 1.6 billion
Pre-tax profit (IFRS consolidated, non-audited): HUF 1.5 billion
After-tax profit (IFRS consolidated, non-audited): HUF 1.2 billion
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