Net operating interest income decreased 2.9% to 169.5 million euros, while commission income rose 11.7% to 66.8 million euros. Operating expenses increased by 0.8 per cent to €171.1 million due to one-time costs and bonus provision formation. The expense ratio (the cost-to-income ratio) remained unchanged at 72.4 percent.
New law in Slovenia
A new law in Slovenia regarding the handling of Swiss franc loans may affect the results of banks this year. The law obliges lenders to impose a maximum exchange rate retroactively on all Swiss franc loan agreements entered into between June 2004 and the end of 2010. Addiko Bank has already filed a complaint with the Constitutional Court against the law.
In the worst case scenario, this could cost the bank between 100 and 110 million euros. Against this background, no dividends will be paid for this year. The distribution for 2022 is also not static, but will “depend on other developments,” according to the bank. In the previous year, the bank distributed a total of 2.39 euros per share in two tranches.
Ukraine, Russia and Belarus are offered less than €10,000
The direct bank exposure of Ukraine, Russia and Belarus is less than 10,000 euros. The indirect exposure amounts to up to 13 million euros, and the potential implications for the bank are currently being examined.
For 2022, the bank is targeting a total customer receivable size of €3.3 billion and growth in focus areas of more than 10 percent. In addition, operating expenses are expected to fall below 165 million euros. Addiko Bank from Hypo-Alpe-Adria-Südosteuropabanken appeared in 2015 and has been listed on the Vienna Stock Exchange since 2019.
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