TBI Bank continues on the efficiency and profitability track in the H1 2020, with net profit of EUR 8.2 million

Plans often change: There are many reasons for that, but you know the major one in 2020. Because of it, back in April TBI Bank adapted not only its business model but also its financial expectations for the whole year. However, the hard work in the following months paid off – and the performance in the first half of 2020 exceeded what finance gurus call “reforecast”.

Let’s talk numbers: TBI Bank’s net profit amounts to EUR 8.2 million, the unaudited consolidated results for the first half of 2020 show. That is only 16% lower than in the same period of pre-crisis and record profitable fоr the bank 2019. Despite the challenging times TBI Bank also demonstrated above market average growth in most business areas. Assets increased by 8% and reached EUR 504 million at the end of June. In first half of 2020 TBI Bank issued new loans for EUR 150 million, and its gross loan portfolio reached EUR 359 million at the end of the period. Retail deposits grew by 10% and reached EUR 312 million.

Such results might indeed look quite positive in the light of the unprecedented events that hit the world in the first six months of 2020. However, TBI Bank’s resilient business model, financial stability, and fantastic team gave the team the strength to continue its highly efficient operations.

More than 500,000 online and offline applications in Bulgaria and Romania and 160,000 loans issued in first half of 2020 rank TBI Bank again among the lending champions in South Eastern Europe! Furthermore, its innovative Merchant Solutions platform, which offers convenient point-of-purchase financing, has created huge value for both partners and customers. In H1 nearly 110.000 credits for EUR 62 million in total were distributed from this sales channel.

At the end of June 2020, TBI Bank had a strong and well secured position from both capital (CAR – capital adequacy ratio) and liquidity (LCR – liquidity coverage ratio) sides – 21.6% and 381% respectively.

“Our sharp focus on execution, responsible approach towards customers and our team, together with properly adjusted channels and products have helped drive better and more sustainable performance during the turbulence. TBI Bank has managed to achieve solid results in H1 and moreover to be in good shape to benefit from the recovery (hopefully not short-term) that we are observing in our core markets. Actual financial performance in H1 exceeded our reforecast prepared in April, while July and August are on the same ‘overperformance’ track. We all are working extremely hard in order to secure the same trajectory till the year end and going into 2021 ,” says Denis Gorbunov (pictured), CFO of TBI Bank.

H1 financial results are proof that our anti-Covid action plan based on cost optimization, liquidity management, and even more crucially on ensuring our customers’ and teams’ safety, gave good results. We worked every day during the lockdown to support thousands of customers, partners, friends.  Looking back at these challenging times, we are now more sure than ever that our unique “’phygital’ model provides our customers with the financial support needed and our merchant partners – with the opportunities to grow even in such unprecedented times”, says Petr Baron, CEO of TBIF (TBI Bank).