April 8, 2021, Moscow - Blagoveshchensk – Asian-Pacific Bank (JSC) (hereinafter referred to as the Bank) published its annual consolidated financial statements in accordance with International Financial Reporting Standards (IFRS) (hereinafter referred to as reporting) for 12 months of 2020 and as of December 31, 2020, including the auditor's report of KPMG (JSC KPMG) with the results of an independent audit.
The bank showed profit of RUB 2.05 bn in the reporting period. The value of the indicator was influenced by enhancing effectiveness of the Bank’s work and positive revaluation of financial instruments.
«The Bank maintained profitability and significantly improved asset quality in 2020. We have systematically and successfully developed remote service channels, the number of mobile application users has grown by 1.5 times. The Bank also contributed to the recovery of small and medium-sized enterprises from impact of the pandemic by participating in government lending programs », - commented on the work results for previous year, Chairman of the Management Board, Aleksey Korovin.
The Bank's assets grew by 36.9% from RUB 97.1 bn to RUB 132.8 bn. Total Equity increased by 11.6% from RUB 16.0 bn to RUB 17.9 bn.
Key financial and operating indicators for 2020:
| Return of assets (ROA) |
1,8% |
|
Return on equity (ROE) |
12,1% |
|
Net interest margin (NIM) |
6,2% |
|
Cost of risk (CoR) |
2,9% |
|
Operating efficiency (Cost/Income) |
62,9% |
Loans to customers increased by 35.9% and amounted to RUB 73.5 bn.
The main growth driver were loans to individuals, increasing to RUB 57.1 bn (+ 60.6%). Net interest income increased by 25% to RUB 7.1 bn. Customer accounts and deposits increased by 26.2% and amounted to RUB 98.4 bn. The largest growth was shown by corporate customer accounts that went up by RUB 19.8 bn (+ 80.9%), reaching RUB 44.2 bn. Net fee and commission income of the Bank showed an increase of 15%, reaching RUB 3.1 bn in the reporting period.
The Bank's total equity increased by 12% and at the end of the period amounted to RUB 17.9 bn. During the reporting period the Bank complied with all established sufficiency ratios and premiums to them. Capital adequacy ratio accounted 11.6%, the tier 1 capital adequacy ratio accounted 10.8%.
Positive dynamics of the Bank's credit ratings:
On November 16, 2020, Analytical Credit Rating Agency has upgraded the credit rating of PJSC Asian-Pacific Bank by two notches to ВВB (RU) under the national scale, maintaining the outlook “Developing”.
On October 15, 2020 International rating agency Fitch Ratings revised Asian-Pacific Bank's outlook to “Stable” and affirmed the Bank’s Long-Term Issuer default Rating (IDR) at “B” level.
Fitch analysts noted that the outlook was revised due to good results on several economic indicators: asset quality improving, profit growth, as well as significant reduction of problem indebtedness in the bank portfolio. In addition, Asian-Pacific Bank's outlook upgrade is due to good liquidity position and funding position.