Sberbank’s net profit in January soared 7.5 times

Net profit of Sberbank for January 2016 has increased 7.5 times compared with January of last year and amounted to 28.3 billion against RUB 3.7 bln. rubles, according to the website of the credit institution.

The Bank focuses on the fact that it grew net interest income by 1.7 times up to 84 billion rubles that became a major factor in achieving this result. Overall interest income of the Bank increased by 3% due to growth in operating assets. The interest expenses decreased by 24.7% due to the reduction of state funding and reductions in interest rates in the market, stated in a press release from the Bank.

Fee and Commission income of the Bank increased by 32.4% to 22.9 billion rubles “the Main drivers of growth were transactions with Bank cards and acquiring services, cash management services, banking and insurance, a fee which in January of last year were low due to lower demand for loans,” – said in a press release.

The currency revaluation of assets decreased compared to the same period in 2015. Net income from FX revaluation and trading operations on financial markets amounted to 11.5 billion rubles compared to 23.1 billion rubles for January 2015. The income is largely due to the currency revaluation of balance sheet.

The funds of natural persons in January decreased by 317 billion rubles, or 2.9% and amounted to 10.5 trillion rubles. “the Entire outflow of funds held in the accounts of Bank cards in the new year holiday, which is traditional for the beginning of the year,” as explained in the savings Bank.

Such the Bank’s financial result in high instability in the markets “indicates the ability to organically increase capital and helps to mitigate the impact of negative factors on its sufficiency”, said the Deputy Chairman of the Board of Sberbank Alexander Morozov.

The assets of the savings Bank in January of 2016 has not changed and amounts to more than 23 trillion rubles.