In the first seven months of this year, the bank in Slovenia generated a net profit of EUR 615.1 million, which is 10.9 percent less than in the same period last year.
The profit before tax decreased by 12.6 percent to 691.3 million euros.
According to the data from the Bank of Slovenia, profit before tax, although decreased, it remained on high, above-average level.
Why happened to the fall?
The income reduction before taxing the banking system is mainly the result of lower net interest revenues due to the lower key interest rates of the European Central Bank (ECB), the Slovenian Central Bank was written in its latest monthly banking information.
In recent months, the profit has recorded a year-on-year growth due to a one-time increase in non-interest income, but that effect, as expected, faded with data for July, added.
Net interest income decreased by 11.8 percent compared to the previous year in the first seven months of this year to 817.6 million euros, while non-municipal revenues increased by 6.4 percent to 516.6 million euros. Gross revenue decreased 5.6 percent to 1.33 billion euros.
In the first seven months of this year, banks have created a total of 36.1 million euros net impairment and reservations, which is 0.9 percent less than at the same time last year. Operating costs increased 3.7 percent to 606.8 million euros, investor me.
In July, household loans reached 7.2 percent compared to the previous year, with housing loans rose 6.9 percent, and consumer loans 10.8 percent. The company’s loans increased by 1.2 percent. Deposits of households and companies increased 5.3 and 5.2 percent, respectively compared to the previous year.
The total assets of banks amounted to EUR 56.1 billion at the end of July, which is an increase of 4.5 percent compared to the previous year. The capital yield was 18.3 percent.
