Fibank’s audit did not bring any notable changes to 2020 financial statements
Source: Fibank; FFBH
The audit of Fibank’s unconsolidated financials did not result in any significant changes. On the income statement, administrative expenses were increased by BGN 31k compared to preliminary figure and net income was reduced by 0.1%. On the balance sheet, cash and balances with BNB were increased by BGN 48.8m and with the same amount were increased the deposits.
2020 net interest income added 0.8% YoY due to growth of loan book while non-interest income declined by 37.8% on lower other operating income (BGN 54.6m income from ceded receivables in 2019 vs BGN 0.2m in 2020) and 7.2% YoY decline (-BGN 7.4m) of net F&C income. TOI came 16.6% lower (-BGN 70m) to BGN 350.8m. Administrative cost had positive effect on profitability by declining with 13.1% YoY (-BGN 27.3m) while the BGN 72.9m one-off revaluation gain in the comparable period was one of the main reasons for the 47.5% drop of 2020 pre-provisioning profit to BGN 137.2m. The 20.3% lower credit provisions partly limited the net income decline to 69.9% (2020 EPS of BGN 0.26).
Gross loan book added 4.4% YoY to BGN 6.5bn. The annual growth was sourced mainly from corporate lending (+3.7%, +BGN 162.6m), consumer lending (+8%, +BGN 70.7m) and mortgages (+6.4%, +BGN 55.1m). The 90-days overdue loans ratio was down to 11.9% compared to 12% at end-2019, while NPE ratio decreased to 22.8% from 24.2% at end-2019.
The deferred gross exposures under the moratorium during the year were BGN 1.3bn and the amount of the deferred gross exposures, which were still benefiting from the moratorium at the end of 2020 amounted to BGN 337.2m or 5.1% of the gross loan portfolio. Recall that the scope of the application of the moratorium was limited only to performing obligors, who did not have 90-days overdue payments as of the application date. The deadline for approval of applications was extended until March 31, 2021.
After the successful BGN 195.4m capital increase during the year and the inclusion of 2019 net income in the capital base, total capital ratio came to 21.78% at end-2020 (+2.98 p.p. YoY), while CET 1 came to 18.18% (+3.18 p.p. YoY).