Privatbanka Plans to Close This Year with SKK 48 Mln. Profit

12.04.2007, 11:15

Privatbanka, a.s. plans to make a profit of approx. SKK 48 million this year. This would be a drop of almost 25 percent y/y, however, last year's profit was achieved thanks to some one-off items, such as proceeds from sale of buildings. According to information published by Privatbanka, the bank's goals include increasing the share of income from fees and commissions in the total financial result of the bank. Simultaneously, the bank is counting on growth in the volume of the assets under its management, which should result in growth of non-balance items. In line with the bank's plans, the balance-sheet total should exceed the level of SKK 10 billion, compared with SKK 7.399 billion at the end of 2006.
Building private banking and focus on private clientele will be the bank's priority goal this year. Privatbanka wants to continue in the current trend. "Since growth in net income from fees and commissions is gradual, corporate banking will keep on playing a significant role," stated the bank. It expects a gradual increase in the volume of its credit portfolio to about SKK 2.4 billion, while at the end of 2006 the volume of provided loans was below SKK 2 billion.
The bank's tasks this year will also include completion of the changing process of the majority shareholder. In late 2006 the Austrian Meinl Bank made steps leading to sale of the Slovak bank. "Change of the shareholder will probably be followed by modification of the bank's strategy and plans for this year, however, no principal changes are expected," stated the bank representatives. The financial group Penta has already negotiated the sale with the Austrian bank. It completed a due diligence in Privatbanka in late March and necessary contracts have already been signed. "Penta has already signed with Meinl Bank two contracts to acquire about 73 percent in Privatbanka," said Penta spokesperson Martin Danko. Penta has already applied to the central bank for the license and the Antitrust Office for approval. Penta's goal is to acquire 100 percent in Privatbanka by the end of this year, said Mr. Danko.

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08. február 2023 07:55