Home Credit Bank (Belarus) expects 2009 net profit of EUR 5 million.

Minsk

01/27/2010 - Home Credit Bank (‘HC Bank’ or ‘Bank’), one of the leaders of Belarusian consumer finance market announces its preliminary unaudited results for 2009 according to IFRS.

‘We are delighted with the results achieved in 2009. HC Bank managed to strengthen its position on Belarusian consumer finance market and became one of its major players. What is even more important is that we have all prerequisites to continue our profitable growth in the coming years. In 2010 we will concentrate on further expansion on the market by offering improved services and convenient products for our clients. Our network is growing faster what helps to increase products availability dramatically.’

Algerdas Tabatadze

Chairman of the Board of Directors

Home Credit Bank (Belarus)

 

HIGHLIGHTS

• Consistent focus on market expansion and strict cost control allowed the Bank posting preliminary net profit of BYR 20.5 billion (c. EUR 5 million) for the year 2009 compared to net loss of BYR 3.8 billion for the year 2008.
• As of 31 December 2009 Net loans reached BYR 139.7 billion (EUR 34 million) having increased by 49% compared to BYR 93.7 billion as of 31 December 2008.
• In just two years the Bank established relationship with more than 300,000 clients. HC Bank had 162,000 active clients as of 31 December 2009. Supported by Group “know-how” in sales and risk management, the Bank has successfully gained market share of Belarusian consumer finance market.
• By now the Bank operates in 115 cities of Belarus through 8 branches and 1,728 points of sales.
• In spite of high growth rates, the Bank maintained strict control over risks. Provisions for doubtful loans constituted less than 2% of the loan portfolio. Bank’s loss to sales ratio was low and did not produce any significant adverse effect on profits.
• In 2009 Bank managed to increase Tier2 capital to approximately EUR 27 million, having met capital adequacy requirements of the National Bank of the Republic of Belarus.
• Bank’s liquidity position is sufficient to serve planned growth of the loan portfolio and meet possible sudden growth in demand in a case of much faster economic recovery in Belarus.

FINANCIAL SUMMARY

(BYR billions)	2008	2009	Y-on-Y change
Total assets	111.4	185.1	66%
Gross loans	94.6	142.3	50%
Net profit	(3.8)	20.5	BYR 24.3 billion

More information at:

www.homecredit.by

Press Inquiries:

Oksana Kharkova

PR Manager

Tel.: (+375 17) 229 89 84

E-mail: press@homecredit.by

 

 

Notes to Editors:

Home Credit Bank, Public Limited Company, is one of the leaders in the Belorussian fast consumer finance market. The Bank started its business in December 2007 and is a member of the Home Credit Group.

Home Credit Group companies operate in consumer finance markets of the Central and Eastern Europe as well as Central Asia and the Far East. The Home Credit Group maintains one of the leading positions in the consumer finance markets of the Czech Republic (Home Credit, since 1997), the Slovak Republic (Home Credit Slovakia, since 1999), the Russian Federation (Home Credit & Finance Bank, since 2002), Ukraine (OJSC Home Credit Bank since 2006), Belarus (OJSC Home Credit Bank since 2007), China (Home Credit Asia, December 2007) and Vietnam (April 2009).

Home Credit Group is a member of PPF Group, established in 1991, which is a leading international investment group. PPF Group focuses on financial services (banking, insurance and consumer finance), private equity investments, and investments in real property. PPF Group also actively seeks investment opportunities and undertakes strategic investments in emerging markets of the Central and Eastern Europe and Asia. During its 18 years in business, PPF Group has become an important international financial investor, managing assets of EUR 10.1 billion as of 30 June 2009.