Garanti Group Romania, comprising Garanti Bank, Garanti Leasing and Garanti Consumer Finance, has recorded a consolidated net profit of RON 78.8 million in the first half of 2018, reads a press release.
Furthermore, Garanti Group registered in the first semester of 2018 net revenues of RON 274.9 million, as well as an increase of 10.2% in its asset volume, reaching RON 11.58 billion.
Garanti Bank, on a solo basis, registered a RON 64.6 million net profit at the end of June, its commercial activity having played a significant role in this regard. The bank’s efficient business strategy of growing a healthy portfolio lead to a 9.8% year-on-year increase in its loan volume (from RON 8.24 billion in H1 2017, to RON 9.06 billion in H1 2018), and a 13.9% year-on-year increase in its deposit volume (from RON 6.84 billion in H1 2017, to RON 7.79 billion in H1 2018).
Moreover, Garanti Bank’s risk indicators are currently at a comfortable level. NPL ratio has continued to decrease and it is considerably below the market average, while the NPL coverage rate by provisions is above 55%.
“The results obtained in the first six months are in line with the objectives we had set for 2018, taking into account the macroeconomic context and our forecasts on the evolution of the economy. We have a long-term strategy of being a trustworthy financial partner to our clients, across all business lines. Our aim is to focus on growing organically in the local market, on maximizing client satisfaction and, at the same time, maintaining our profitability and the quality of our portfolio”, stated Ufuk Tandoğan, CEO Garanti Group Romania.
In the first half of the year, Garanti Bank’s card portfolio continued to grow, exceeding 300,000 units. At the same time, the national Garanti POS network has expanded and increased by 5%, reaching around 13,000 units.
The Group’s non-banking institutions also showed solid results in the first half of 2018: Garanti Consumer Finance reached a RON 5.3 million net profit and Garanti Leasing registered a net profit of RON 8.9 million.
Garanti Group Romania is held by Turkiye Garanti Bankasi AS (TGB), the second largest private bank in Turkey. In the first half of the year, TGB posted a consolidated net income of TL 3.9 billion (EUR 732.1 million) and an asset size of TL 384.9 billion (EUR 72.25 billion), while its contribution to the economy through cash and non-cash lending totaled TL 319.2 billion (EUR 59.92 billion). TGB serves to its 15.8 million customers in corporate, commercial, SME, and consumer segments offering fully integrated financial services.
Spanish financial group Banco Bilbao Vizcaya Argentaria (BBVA) is the majority shareholder of TGB. In H1 2018, BBVA registered a consolidated asset size of EUR 689.6 billion and a net attributable profit of EUR 2.6 billion.