Net profit of Alfa-Bank during the year rose by nearly 15 times

Net profit of the banking group “Alfa-Bank” by the end of 2015 amounted to $480 million, which is about 14.5 times more than in the previous year, the message of the Bank about the results of work in accordance with international financial reporting standards (IFRS).

In particular, a significant income ($334 million) was received in 2015 by the Bank from operations with securities, derivatives and foreign exchange. The Bank explained the growth of income is positive dynamics on the stock market and volatility in the foreign exchange market.

At the same time, net fee and Commission income of the Bank compared to 2014 has decreased by 29.1% (to $585 million), due to the depreciation of the ruble (ruble equivalent income increased by 12.5%). The share of net fee income into operating profit of Alfa-Bank before provisions remains high and is more than 25%.

In General, the ruble operating profit of Alfa-Bank before provisions increased in 2015 by more than a third (+38,2%), in dollars, operating income decreased 12.9%, to $2,257 billion.

“Despite the difficult economic situation the banking group “Alfa-Bank” proved the sustainability of its business model in the new economic reality,” according to the statement.

The Bank highlighted the increased efficiency of their own work, in particular, a significant (18.1%) reduction in operating expenses. In the first place, by reducing staff costs declined from $1,186 billion to $971 million.