Q3 2022 Financial Performance Review slide image

Q3 2022 Financial Performance Review

Financial Performance MKB BANK Highlights of Q3 2022 Executive Summary - KPIs Financial performance indicators Q3(Y) MKB Group had a successful 3Q(Y) in financial terms due to the increasing interest environment and increasing interest margin. The adjusted profit after tax reached HUF 149.8 bn in 3Q(Y) 2022, achieving a 39.4% increase (+HUF 42.4 bn y/y) in comparison to 3Q(Y) 2021. The adjusted profit after tax decreased by 29,0% q/q in 3Q due to negative change in OCI (HUF -42.8 bn q/q) and risk cost was charged (HUF -26.0 bn q/q). The adjusted GOI of HUF 342.6 bn, was mainly driven by the net interest income (HUF +137.1 bn y/y) and the slight increase of the net fee income (HUF +1.8bn y/y). Increasing net interest margin was in line with the rising interest rate environment. In an environment of rising inflation, GAE increased in 3Q(Y) by 13.0% y/y. Attributable to wage inflation, PEREX increased by 14.6% in 3Q(Y) y/y, while OPEX increased by 10.8% mainly due to price inflation. However, due to strict cost control, the operation of MKB Group became more cost-efficient in 3Q(Y) 2022, achieving a CIR of 42.1%, which is 8.1%-pt lower compared to 3Q(Y) 2021. Risk cost of HUF 26.0 bn was charged in 3Q(Y) 2022 due to reflecting the moratorium 4, the impairment charge recognised for the agricultural moratorium and the Sberbank portfolio acquired. MKB Group remained highly profitable in 3Q(Y) 2022, achieving an adjusted ROAE of 27.7% (+6.4%-pt y/y, -10.5%-pt q/q). 58.3% (⇓ y/y 9/9 ↑) (⇓ y/y 9/9 ↑) PAT HUF 149.8 bn GOI HUF 342.6 bn 39.4% -29.0% 34.7% ; 7.2% TOCI HUF 132.4 bn GAE HUF -144.2 bn -62.0% 13.0% -1.6% ROAE 27.7% Risk cost HUF -26.0 bn 6.4%-pt ; -10.5%-pt CAR CIR 16.3% 42.1% 0.1%-pt -0.6%-pt -8.1%-pt -3.5%-pt 8
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