Banca Transilvania continues to finance the economy,

while offering savers good returns      
       

“In the first half we continued to provide funding to the economy and the government, while offering good returns on the savings kept with BT. We reached new records in transactions, both for card payments and for corporate transactions, on the back of increased activity at the bank. We are growing across all market segments, profitably, and we offer customers competitive interest rates, while having the strongest momentum in attracting new customers. Despite the challenging conditions the economy is going through, we look to the period ahead with confidence. We have appetite for lending and for growing BT’s activity,” said Omer Tetik, Chief Executive Officer, Banca Transilvania.

Financial results as at 30 June 2022

The Banca Transilvania Financial Group’s assets grew above the market average, to RON 140.1 billion (+5.76% versus 31 December 2021), and loans increased to RON 64.9 billion (+15.58% versus 31 December 2021). The BT Group’s consolidated net profit was RON 1,046.5 million, of which the bank’s was RON 907 million. Subsidiaries and equity investments contributed over RON 139.5 million to the BT Group’s profitability.

• The first half also brought an additional 1,600 new customers and almost 800 loans per day. In the first half of the year, BT attracted over 285,000 customers, taking the total to 3.75 million.
• Customer deposits reached RON 110.9 billion, of which RON 72.8 billion were held by individuals and RON 38.1 billion by legal entities.
• The BT Group’s operating income rose 17.6% to RON 2.8 billion.
• The cost of the BT Group’s contribution to the Bank Deposit Guarantee Fund increased by 71% to RON 151 million, weighing on the half-year result.
• In January–June this year, Banca Transilvania granted almost 140,000 loans to individuals and companies, totaling RON 14.17 billion.
• In 2022, BT was the largest partner in the IMM Invest and AGRO IMM Invest government programmes, as well as in other SME guarantee schemes launched in 2022 (RURAL INVEST, IMM PROD, GARANT CONSTRUCT), with total financing of over RON 2.8 billion.
• Banca Transilvania reached 2.5 million unique cards in the BT Pay, Apple Pay, Google Pay, Fitbit Pay and Garmin Pay wallets, and the number of phone payments doubled in the first half of this year compared with the same period in 2021, reaching 53 million. Overall, 82% of the bank’s customers are digital on a unique-customer basis, a metric BT monitors closely.

Provision coverage of non-performing exposures under EBA standards is 180%. In the first half of this year, the stock of provisions increased by 7.4% to RON 3.88 billion, compared with RON 3.614 billion at the end of 2021. Cost of risk for the first half of 2022 was 0.3%. The bank’s cost-to-income ratio is 51.9%. The bank’s capital adequacy ratio is 20.61% (excluding profit for the first six months of this year), and 22.39% including it. The non-performing exposures ratio, under the EBA definition, was 2.55% at 30 June 2022.

Banca Transilvania Financial Group: a step towards consolidation and stronger expertise
The first part of the year also saw the BT Group consolidate. Banca Transilvania started building Romania’s first fully digital bank around Idea::Bank, part of the BT Group, acquired this year. At BT Leasing, the total value of new contracts increased by 47% compared with the same period last year. The figures also show a growing preference for hybrid and fully electric cars, which accounted for 37% of the vehicles financed in the first half of the year by the Group’s leasing company. The integration of Tiriac Leasing and Idea::Leasing into BT Leasing has entered the final phase. At BT Mic, in over 70% of financings the microfinance company is the first lender, and 17% of funding went to start-ups.

In July this year, BT Asset Management became the largest mutual fund manager in Romania, with RON 4.5 billion in net assets under management and a market share of almost 23%.