Erste Group - Investor information 2019

Net interest income increased – mainly in the Czech Republic, but also in Romania and Hungary – to EUR 3,517.4 million (+4.3%; EUR 3,372.0 million). Net fee and commission income rose to EUR 1,484.3 million (+3.7%; EUR 1,430.7 million) on the back of payment services, from lending and asset management. While net trading result improved significantly to EUR 419.3 million (EUR -50.4 million), the line item gains/losses from financial instruments measured at fair value through profit or loss declined to EUR -189.4 million (EUR 165.8 million), the development of both line items was driven by valuation effects. Operating income increased to EUR 5,394.1 million (+5.8%; EUR 5,096.2 million). The increase in general administrative expenses to EUR 3,160.8 million (+1.9%; EUR 3,102.3 million) was mainly attributable to a rise in personnel expenses to EUR 1,887.2 million (+3.1%; EUR 1,830.5 million). Other administrative expenses included almost all payments to deposit insurance systems expected in 2019 in the amount of EUR 97.7 million (EUR 84.2 million). The increase in amortisation and depreciation to EUR 394.4 million (EUR 350.3 million) is attributable to the first-time application of the new financial reporting standard for leases (IFRS 16) as of 1 January 2019, while a corresponding positive effect was recorded in other administrative expenses. Overall, the operating result rose to EUR 2,233.3 million (+12.0%; EUR 1,993.9 million) and the cost/income ratio improved to 58.6% (60.9%).

Full press release.

Erste Group investor presentationQ3 19 results