• Loans to individuals and micro customers went up by 16% relative to the end of 2019 and amounted to 97.05 billion dinars; deposits of individuals and micro customers rose by 28.2% to 101.32 billion dinars.

• Corporate loans rose by 18.8% relative to the end of 2019 to 94.15 billion dinars; corporate deposits rose by 57.4% to 74.27 billion dinars.

• Net interest income went up by 11.5% relative to the same period of the previous year to 8.16 billion dinars, while net fee and commission income went up by 7.9% to 1.91 billion dinars.

• Net result amounted to 1.33 billion dinars at the end of Q4 2020, down by 50.2% relative to the same period of 2019, and in line with projections.

• Total assets increased by 24.1%, from 231.45 billion dinars at the end of 2019 to 287 billion dinars at the end of 2020.

• NPL ratio at the end of 2020 was 1.4%.

"A challenging year is behind us. A year in which we demonstrated the importance of stability and preparedness, as well as flexibility, mutual understanding and support. The situations we weathered together with our clients presented a test, but also a proof that our clients can rely on us at all times.  

This resulted in a total growth of deposits by over 38 percent and of loans by over 17 percent. I am extremely grateful to my colleagues for their efforts because we finished this demanding year ranking first by retail customer experience," stated Slavko Carić, CEO of Erste Bank a.d. Novi Sad. 

"As a responsible institution and systemically important bank in Serbia, we pay attention to all aspects of our business operation. Recognising uncertainty across Europe and following, above all, a responsible approach to managing our customers’ money, we allocated part of our profit to potential risk costs amidst the pandemic. 

At the same time, we continue with intensive, significant investments in the transition to the new core banking system of the Bank, which will provide us with even more flexibility and enable us to pay even more attention to our customers’ needs, because good customer experience is a key priority in modern banking," concluded Carić. 

At the end of 2020, total loans to individuals and micro customers went up by 16% relative to the end of previous year to 97.05 billion dinars. In comparison with the end of 2019, total deposits of individuals and micro customers also increased by 28.2% to 101.32 billion dinars. 

At the end of 2020, total corporate loans amounted to 94.15 billion dinars, up by 18.8% relative to the end of 2019. Corporate deposits are up, posting a significant growth of 57.4% relative to the end of 2019 to 74.27 billion dinars.

Regarding operating results, at the end of 2020 the Bank posted 8.1% more operating income relative to the same period of the previous year, while operating expenses went up by 9.2%. Relative to the same period of 2019, the Bank's operating profit posted a 5.4% increase and amounted to 2.96 billion dinars, while at the end of 2019 the Bank recorded an operating result of 2.81 billion dinars.

At the end of 2020, net interest income amounted to 8.16 billion dinars, which is 11.5% more than in the same period of the previous year, when it was 7.32 billion dinars. Net fee and commission income was 7.9% higher and amounted to 1.91 billion dinars, while at the end of the same period of the previous year, it amounted to 1.77 billion dinars.

At the end of 2020, total net result amounted to 1.33 billion dinars, down by 50.2% relative to the same period of 2019, when net result amounted to 2.68 billion dinars, in line with the estimates made while allocating risk provisions amidst the pandemic, as well as funds for the transition to the new core banking system of the Bank. NPLs remained unchanged relative to the end of 2019, at 1.4%.

At the end of 2020, the number of digital distribution channel users was 27.3% higher than at the end of 2019, so now almost 380 thousand Erste Bank clients use internet and mobile banking. Erste Bank network comprised 88 units at the end of Q4 2020.

OUTLOOK

Erste Bank a.d. Novi Sad continues to provide comprehensive support to Serbian citizens and businesses in realising their financial needs and goals. Business principles involving a focus on continuous improvement of its customer service, as well as constant enhancement of its internal organisation and efficiency will continue to be the basis of the Bank’s operation in the future.