Report on the financial performance of the bank during the first quarter of 2021
Over the first quarter, net profit of Medicinos Bankas grew by 64 per cent and reached EUR 1.2 million
Over the first quarter of this year, Medicinos Bankas earned net profit of EUR 1.2 million, i.e., 64 per cent more than over the previous January–March, when net profit of the bank was EUR 0.7 million.
“In the first quarter of this year, the bank operated under strict quarantine restrictions, but operational efficiency allowed us to achieve a significantly better financial result compared to the first quarter last year. In 2020, the quarantine was introduced in the middle of March. Prior to that, we operated as usual. So this year’s profit makes us very happy,” said Dalia Klišauskienė, Head of Administration of Medicinos Bankas.
Net interest income in January-March this year was EUR 2.3 million, which is 4.2 per cent less than in the first quarter of last year.
Year on year, net income of Medicinos Bankas from service fees and commission decreased by 19.6 per cent to EUR 1.1 million, while realised gains on foreign currency transactions decreased by 24 per cent to EUR 859 thousand.
At the end of this March, the loan portfolio of Medicinos Bankas (including loans to financial institutions) amounted to EUR 208 million and was almost 3 per cent higher compared to the end of the first quarter in 2020.
According to the Head of Administration of the bank, despite the fact that part of the income decreased, the final financial result for the first quarter was significantly affected by the disbursement of dividends in the amount of EUR 200 thousand by its subsidiary loan company Saugus Kreditas UAB and lower costs due to the optimization of the bank's operations.
Although the bank took part in a loan moratorium initiative last year to show solidarity with its business customers struggling due to the pandemic, demand for funding remains.
“In the midst of the pandemic, we provided funding to interesting agricultural, renewable energy and other business projects. Private customers were also active. These trends clearly show that the need for funding of business and private needs remains high, and we have certainly adapted to the realities of the pandemic,” claims Mrs. Klišauskienė.
Meanwhile, customer deposits in Medicinos Bankas on 31 March amounted to EUR 316 million, i.e., were 3 per cent less than at the beginning of the year.
At the end of the first quarter, assets of Medicinos Bankas amounted to EUR 380 million and were 10 per cent higher than in the same period last year.
At the end of the reporting period, the customer service network of Medicinos Bankas, which has a total of 311 employees, consisted of 46 territorial divisions.
The main shareholder of the bank Konstantinas Karosas manages the controlling shareholding of 90.13 per cent, while Western Petroleum Ltd holds 9.87 per cent of all shares of the bank. Medicinos Bankas Group includes Saugus Kreditas UAB and TG Invest-1 UAB.
More information: Aleksejus Tonkich, Member of the Board, Director of the Financial Service, Deputy Head of Administration Phone: + 370 698 34055, email: firstname.lastname@example.org