30% GROWTH in LOANS and DEPOSITS 3.5% RISE in EARNINGS before tax and OPERATING INCOME30% GROWTH in LOANS and DEPOSITS 3.5% RISE in EARNINGS before tax and OPERATING INCOME
EFG Eurobank Ergasias announced consolidated financial results for the first half of 2001 under International Accounting Standards (IAS) and Greek Accounting Standards (GAS). There are marginal differences in first half 2001 figures under IAS and GAS. In the first half of the previous year (2000) such differences were more material and were, among others, due to differences in the consolidation of the former Bank of Crete and in the evaluation of the trading portfolio, including derivatives. All figures and growth rates mentioned below are under IAS.In the first half of year 2001, consolidated profit before tax of EFG Eurobank Ergasias Group reached Grd 64 billion or € 187 million. Profit before tax attributable to the shareholders of EFG Eurobank Ergasias Group rose 3.5% y.o.y. reaching Grd 61.5 billion or € 181 million, from Grd 59.4 billion or € 174 million in the first half of 2000. Consolidated net profit after tax and minorities reached Grd 42 billion or €123 million, increased by 28% compared to the first half of the previous year.Total Assets increased 24.4% to Grd 7 trillion or € 20.5 billion, reflecting strong growth in business volumes. This was driven by continued robust growth of 30% in Loans and advances to clients, which reached Grd 3.2 trillion or € 9.4 billion and an increase of 30% in Customer Deposits, which stood at Grd 5.3 trillion or € 15.6 billion. Core banking revenue, comprising net interest income and net fee and commission income, increased 8.2% compared to the first half of 2000, to Grd 136 billion or € 400million, contributing 85% of Total Operating Income. The strong rise of 24% in net interest income to Grd 99.5 billion or € 292 million more than offset the 20% contraction of net fee and commission income to Grd 37 billion or € 108 million. Total operating income rose 3.5% to Grd 160 billion or € 469 million. Return on average Equity (ROE) pre tax exceeded 18%, while Return on average Assets (ROA) before tax was 2.0%. After tax ROE was 13.8% and after tax ROA was 1.3%. The net interest margin remained at high levels of over 3%, mainly due top the composition of the group’s loan portfolio. Key Figures and trends in the first half of 2001
The all share merger of EFG Eurobank Ergasias and Telesis Investment Bank, with the exchange of 1.0 EFG Eurobank Ergasias share for every 2.2 shares of Telesis Investment Bank, will be tabled for approval at General Meetings of both banks in September. The completion of the merger is subject to the approval of the Bank of Greece and the Competition Commission. The operational merger should be concluded before the end of the year.