Šiaulių Bankas Group Results for the Year 2023
- Profit. Šiaulių Bankas Group achieved a record net
profit of EUR 75.4 million last year.
- Dividends. Šiaulių Bankas Group intends to propose a
distribution of nearly 43% of its 2023 net profit, or EUR 0.0485
dividend per share.
- Portfolio. Loan portfolio grew steadily by 11%
year-on-year to over EUR 2.9 billion.
- Deposits. Client deposits grew by 14% year-on-year to
reach almost EUR 3.2 billion by the end of 2023.
- Transaction. Šiaulių Bankas and Invalda INVL
successfully completed the merger of their retail businesses.
- Strategy. Šiaulių Bankas has announced its 2024-2029
strategy, aspiring to become the best bank in Lithuania by
2029.
“In 2023, we achieved successful growth by
strengthening our retail client business through a successful
merger with INVL Retail and by sustaining steady levels of
financing. To significantly reduce our environmental impact, we
have joined the international SBTi initiative and committed to
becoming a climate-neutral bank by 2050.
Last year established a robust groundwork for
executing Šiaulių Bankas' updated 2024–2029 strategy, propelling us
toward our aspiration of becoming the best bank in Lithuania” says
Vytautas Sinius, CEO of Šiaulių Bankas.
Šiaulių Bankas Group generated an unaudited net
profit of EUR 75.4 million in 2023, an increase of 12% compared to
2022. Operating profit before impairment and corporate tax amounted
to EUR 111.0 million, a 30% increase compared to the previous
year.
The net profit for Q4 2023 was EUR 9.7 million
or 45% lower than in Q4 2022. The company's quarterly operating
profit was significantly impacted by one-off costs of EUR 6.6
million associated with the retail business merger, windfall tax
reallocation, and an increase in the minimum acquisition value of
property, plant, and equipment (PPE).
The bank’s revenue from operating activities
grew rapidly throughout the year. Compared to 2022, net interest
income grew by 47% to EUR 156.9 million, while net fee and
commission income grew by 8% to EUR 20.3 million.
The revision of the parameters for the
calculation of provisions in the light of updated macroeconomic
forecasts resulted in provisions of EUR 6.8 million in the last
quarter and EUR 15.2 million for the year (provisions amounted to
EUR 4.9 million in 2022). In 2023, the cost of risk (CoR) for the
loan portfolio was 0.5% (0.2% in 2022).
Šiaulių Bankas maintained high operational
efficiency – the cost-to-income ratio was 41.7%1 (43.4%
in 20221) and return on equity – 15.5% (16.1% in 2022).
Capital and liquidity position remains sound and regulatory
requirements are met with the solid buffers – the liquidity
coverage ratio (LCR) was 217%, and the capital adequacy ratio (CAR)
was 20.7%2.
The Management Board of the Bank, in view of the
successful year, the strong capital position and the foreseeable
operating environment, intends to consider and submit for approval
to the Bank’s Ordinary General Meeting of Shareholders a decision
to pay a dividend of almost 43% of the net profit for 2023, i.e.,
EUR 0.0485 per share.
Income Statement (€'m) |
FY2023 |
FY2022 |
% ∆ |
Q4'2023 |
Q4'2022 |
% ∆ |
|
|
|
|
|
|
|
Net Interest
Income |
156.9 |
106.8 |
47% |
40.8 |
31.7 |
29% |
Net Fees &
Commission Income |
20.3 |
18.7 |
8% |
5.7 |
4.7 |
21% |
Other |
21.1 |
20.8 |
2% |
7.5 |
11.0 |
(32%) |
Total Revenue |
198.2 |
146.3 |
35% |
53.9 |
47.3 |
14% |
|
|
|
|
|
|
|
Salaries and
Related Expenses |
(36.2) |
(30.7) |
18% |
(10.7) |
(8.1) |
33% |
Other
Operating Expenses |
(51.0) |
(30.2) |
69% |
(25.4) |
(16.5) |
54% |
Total Operating Expenses |
(87.2) |
(61.0) |
43% |
(36.1) |
(24.6) |
47% |
|
|
|
|
|
|
|
Operating
profit |
111.0 |
85.3 |
30% |
17.9 |
22.7 |
(21%) |
|
|
|
|
|
|
|
Allowance for
Impairment Losses |
(15.2) |
(4.9) |
208% |
(6.8) |
(2.5) |
169% |
Income Tax
Expense |
(20.4) |
(12.9) |
58% |
(1.4) |
(2.6) |
(49%) |
|
|
|
|
|
|
|
Net Profit |
75.4 |
67.5 |
12% |
9.7 |
17.6 |
(45%) |
|
|
|
|
|
|
|
Balance Sheet Metrics (€'m) |
Dec 2023 |
Dec 2022 |
% ∆ |
|
|
|
|
|
|
|
|
|
|
Total
Loans |
2,932 |
2,634 |
11% |
|
|
|
Total
Assets |
4,809 |
4,183 |
15% |
|
|
|
Total
Deposits |
3,178 |
2,799 |
14% |
|
|
|
Total
Equity |
543 |
443 |
23% |
|
|
|
|
|
|
|
|
|
|
Assets
under Management3 |
1,556.1 |
1,197.7 |
30% |
|
|
|
Assets
under Custody |
1,943.2 |
839.8 |
131% |
|
|
|
|
|
|
|
|
|
|
Key
Ratios |
FY2023 |
FY2022 |
∆ |
|
|
|
|
|
|
|
|
|
|
NIM |
4.0% |
3.1% |
+0.9pp |
|
|
|
C/I
Ratio1 |
41.7% |
43.4% |
-1.7pp |
|
|
|
RoE |
15.5% |
16.1% |
-0.7pp |
|
|
|
CoR |
0.5% |
0.2% |
+0.3pp |
|
|
|
CAR2 |
20.7% |
16.1% |
+4.6pp |
|
|
|
Corporate and Private Client Financing
All financing segments experienced growth in
2023. The loan portfolio increased by 1% in Q4 2023 and by 11%
year-on-year to over EUR 2.9 billion. Last year, EUR 1.35 billion
worth of new credit agreements were signed, i.e., 12% less than in
2022.
Business lending volumes remained stable at the
end of the year, with new business loan agreements signed for EUR
740 million during the year, or 11% less than in 2022. The
corporate lending portfolio remained stable over the last quarter
and grew by 6% year-on-year to EUR 1.47 billion.
Despite the increase in base interest rates and
continued uncertainty, Šiaulių Bankas expanded its mortgage
financing portfolio, which increased by 3% in the quarter and by
17% since the beginning of the year, reaching almost EUR 0.8
billion. Throughout the year, new mortgage agreements were signed
for EUR 175 million, i.e., 32% less than in 2022.
Slower domestic consumption and a more cautious
attitude of the population towards borrowing for consumption and
purchases led to decelerated portfolio growth by the end of the
year. The consumer financing portfolio expanded by 2% in Q4 2023
and by 29% for the whole of 2023, reaching almost EUR 300 million.
In total, EUR 220 million worth of consumer credit agreements were
signed during the year, or 17% more than in 2022.
The bank continues to play an active role in
financing energy efficiency projects, particularly through the
renovation of multi-apartment buildings in Lithuania. In the last
quarter of 2023, a significant milestone was reached – the amount
of multi-apartment building renovation financing agreements signed
on behalf of Šiaulių Bankas exceeded EUR 1 billion. Progress on
establishing of the second modernisation fund SB Modernizavimo
Fondas, worth EUR 200 million, has also gained momentum. The fund
is expected to finance renovation of around 300 multi-apartment
buildings and should commence operations in March 2024.
As a pioneer of securitisation in Lithuania,
Šiaulių Bankas continues to actively use the experience gained not
only in the establishment of the second multi-apartment building
modernisation fund, but also in the use of synthetic securitisation
for other loan products, thus meeting the bank’s objectives of
efficient use of capital.
Daily Banking
In Q4 2023, 7,100 new private and business
clients started using the bank’s services, and since the beginning
of the year, more than 30 thousand have joined the bank. The number
of active clients of Šiaulių Bankas at the end of the year exceeded
180 thousand. Following the merger with INVL Retail, the total
number of clients of Šiaulių Bankas Group, including clients of SB
Asset Management, SB Draudimas and SB Lizingas, now exceeds
500,000.
Throughout 2023, Šiaulių Bankas placed great
emphasis on digitisation and new more convenient smart solutions.
In response to client needs, the bank has enhanced digital channels
as well as services in the Internet Bank and mobile app.
The bank continues to provide the highest
quality of customer service. In a mystery shopper survey conducted
by Dive Lietuva in 2023, the bank received the maximum score for
the quality of customer service, both in person at branches and
over the phone.
Saving and Investing
Seeing the increased demand from clients to
protect their savings against inflation, we have been offering our
clients some of the highest interest rates on term deposits among
the major banks in Lithuania all year round. The term
deposits grew by 68% year-on-year to EUR 634 million. The
total deposits held by clients grew by 5% or EUR 152 million in Q4
2023 and by 14% or EUR 379 million year-on-year, reaching almost
EUR 3.2 billion at the end of the year.
Šiaulių Bankas asset management company, SB
Asset Management, generated over EUR 100 million in net investment
returns for its second-pillar pension fund participants in 2023.
The clients’ assets in the second-pillar pension funds exceeded EUR
1 billion at the beginning of 2024. The clients’ assets in our
third-pillar pension funds amounted to EUR 122 million
at the end of 2023. The company was the largest in Lithuania in
terms of assets under management in the third-pillar pension funds,
with a 42% market share.
In the last quarter alone, clients invested over
EUR 50 million in the 13 corporate bond placements facilitated by
the bank. In total, clients invested over EUR 100 million in bond
issues last year. The assets under custody at the bank doubled in
2023, reaching EUR 2 billion by year-end.
1 After eliminating the impact of
the client portfolio of SB Draudimas
2 Preliminary data
3 SB Asset Management started operations on 1st
December, 2023
Šiaulių Bankas invites shareholders,
investors, analysts, and other stakeholders to join the
presentation of financial results and current events of 2023 at a
webinar scheduled on 29 February 2024 at 4:00 PM (EET). The
presentation will be held in English. For more information,
click here.
Additional information:
Donatas Savickas, CFO
donatas.savickas@sb.lt
Siauliu Bankas Ab (LSE:0KC0)
과거 데이터 주식 차트
부터 4월(4) 2024 으로 5월(5) 2024
Siauliu Bankas Ab (LSE:0KC0)
과거 데이터 주식 차트
부터 5월(5) 2023 으로 5월(5) 2024