URSA Bank’s assets reach 202.7 billion RUR

30 July 2009 (10:09)

URSA Bank’s assets (calculated in accordance with the IAS) reached 202.7 billion RUR in the first quarter of 2009, which was 14.3% better than a year earlier. The share of quick assets in the bank’s balance sheet total came to over 20% on April 1, 2009, which means the bank enjoys a stable liquidity status despite the ongoing economic crisis, the bank’s press office reports.

URSA Bank’s own funds amounted to 28.2 billion RUR on April 1, 2009, with the capital adequacy at 15.7% (which is twice the number required by the Basel Committee).

The bank’s loan portfolio had reached 120.8 billion RUR by the end of the first quarter, of which 54.9 billion RUR comes from business customers and 65.9 billion RUR comes from retail customers.

The customer investment amounted to 62.8 billion RUR, which exceeds the figures for a year earlier by 10%. This was largely due to growing business customers’ deposits: these increased by 30% over one year.

‘The bank’s gross margin amounted to 56.1 million RUR on April 1, 2009, while its operating profit came to 4.7 billion RUR prior to setting aside a certain sum to make up for the lending portfolio devaluation. In the first quarter of the year, all of the decreases in profits mainly had to do with having to build up on the lending portfolio devaluation reserves. Now the reserves had to be enlarged because of the country’s economic problems and the resulting weakening of the lending portfolio’s quality. For one, the share of the bad debt (overdue by more than ninety days) reached 9.7% on April 1, 2009. Nevertheless, our bad debt reserves fully make up for this,’ the bank’s press officer says.

All in all, URSA Bank’s business efficiency indicators look better than before: the expenses/operating profit ratio decreased from 47.2% to 34.8% in the first quarter of 2009.

‘In the first quarter of the year, the bank went through with the early Eurobonds redemption. The total sum of the buy-out reached ?208.6m and $36.1m. Therefore URSA Bank offered its contractors an opportunity to retire their bonds early and avoid the current market volatility risks. This was a measure that once again proved that URSA Bank is a reliable partner for its investors and customers,’ URSA Bank reports.

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