SMP Bank turned a net profit of Rub 25.37 bln under IFRS in January-June 2016, while a year ago the bank earned Rub 16.03 bln.
In the first half of 2016 the group's operating profit amounted to Rub 15.4 bln, or 161% higher than in the prior-year period (Rub 5.9 bln). Operating profit rose on the back of higher income derived from securities operations, and an increase in net interest income earned by SMP Bank Group.
The total credit portfolio (before provisions) expanded 4.9% in January-June 2016 as big corporate customers were lent, totaling Rub 251.6 bln against Rub 239.9 bln as of the same balance sheet date a year ago.
The proportion of NPLs in the bank's credit portfolio decreased from 5.51% to 4.41%.
Accounts and deposit accounts held by SMP Bank Group customers remained virtually unchanged. Term deposits rose, with term retail deposits totaling Rub 180.9 bln, or 11.4% higher than in 2015 (Rub 162.4 bln), while term corporate deposits jumped 28.1% to Rub 17.7 bln compared to Rub 13.8 bln in the year-ago period.
The group's assets decreased marginally (2.7%) to Rub 502.1 bln. This was driven by lower lending of budget-financed institutions and a drop in funding provided by the Bank of Russia. The revaluation of currency assets also weighed on the group's assets. At issue, above all, are the group's securities and credit portfolio.