Alpha Bank Romania financial results for the first quarter of 2022

The first quarter of 2022 was full of challenges, determined by national and international developments, which impacted Romania’s economic growth. Even in this difficult environment, the evolution of Alpha Bank Romania registered a positive dynamic:

  • Alpha Bank Romania’s loan portfolio increased by approximately 6.1% compared to the first quarter of the previous year, with financing granted to legal entities increasing by approximately 3.5%;
  • The operating result reached €5.6 million, compared to €2.3 million in the first quarter of 2021, thanks to positive revenue dynamics and effective management of operating costs.

The first quarter of 2022 brought a high level of uncertainty and was marked by unpredictable events both domestically and internationally. Even under these conditions, Alpha Bank Romania has continued its policy of supporting the business environment by actively participating in the programs led by the Romanian government in 2022: APIA, Agro IMM Invest, IMM Invest and Noua Casa.

The volume of new loans granted in the 1st quarter of 2022 to the large corporate segment recorded an increase of around 30% compared to the same period of the previous year, while in the SME segment the increase was greater than 20%.

During the same period, the Bank has strengthened its position in the field of payment solutions for merchants, with their turnover through Alpha Bank Romania registering an increase of 33% compared to the 1st quarter of 2021. Alpha Bank Romania offers merchants complete payment solutions, from traditional point-of-sale and e-commerce solutions to Alpha PhonePOS, the first banking application launched on the Romanian market that turns an Android mobile device into a point-of-sale terminal.

For individuals, Alpha Bank Romania has diversified its range of investment products offered to Clients by launching on the Romanian market three new ESG (Environment, Social, Governance) mutual funds that are part of Alpha (LUX) Global Funds , managed by Alpha Asset Management AEDAK During the same period, the volume of mortgage loans granted increased by 28% year-on-year.

In the context of the war in Ukraine, the Bank has launched a free current account package for essential banking services for Ukrainian citizens who are refugees in Romania. The “Speranța” (Hope) package, in Ukrainian Надія (Nadiya), includes a current account in RON, a current account in foreign currency (EUR or USD depending on the Customer’s preference) and a debit card in RON.

At the same time, Alpha Bank Romania supported humanitarian actions in favor of Ukrainian refugees through the “Save the Children” organization.

Financial results

At the end of the first quarter of 2022, Alpha Bank Romania’s loan portfolio exceeded around €2.8 billion, while customer deposits reached almost €2.7 billion.

Total revenues increased by 19% compared to the same period last year, while royalty income increased by approximately 20%. Revenue development coupled with effective management of operating costs, generated an operating profit of 5.6 million euros.

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