Inbank's annual report for 2018 in English is attached to the following
announcement.
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In 2018, Inbank earned its largest profit, 9.3 million euros, and increased its
loan and deposit portfolios by almost 1.5 times. Sales volumes increased in all
four home markets and the efficiency of the company and credit quality of the
bank improved as well.
In 2018, Inbank's consolidated profit increased to 9.3 million euros which was
25.3% more than a year before. The profit of the Estonian unit was 8.2 million,
in Latvia 1.4 million, and the profit earned in seven months in Lithuania was
1.3 million euros. In 2018, the loss in Poland was 1.9 million euros. Inbank's
balance sheet size increased from 126 million euros to 318 million euros in a
year.
Inbank's deposit portfolio increased by 153% in a year and reached 240.2 million
euros by the end of the year. The loan portfolio increased by 143%, reaching
225.6 million euros. In Estonia, Latvia, Lithuania and Poland, Inbank sold
credit products for 204 million euros, which was 60% more than in 2017.
According to Jan Andresoo, Chairman of the Management Board of Inbank, the last
year was best described by increasing business volumes and organizational
development. In addition, Inbank was able to fulfil all set objectives in all
markets.
"Our balance sheet, loan and deposit portfolios, and number of people increased
by several times, and at the same time, the credit cost decreased and the cost-
income ratio improved," said Andresoo. "In Estonia, we grew our credit
portfolio's market share by three percent to 16 percent among banks and rose to
the second place by total consumer loans portfolio," said Andresoo.
A significant part of Inbank's growth was due to an acquisition of UAB
Mokilizingas, a Lithuanian consumer financing company. "In Lithuania, compared
to last year, the sales of credit products increased by 1.9 times to 103.5
million euros, and the credit portfolio increased by over 1.8 times to 89.3
million euros. This means that we were able to keep growing after the
transaction," Andresoo said.
In Latvia, the volume of Inbank's loan portfolios increased by 1.4 times to
almost 20 million euros, and new sales grew by almost two times to 16.4 million
euros.
In Poland, Inbank grew its sales volumes by over two times to 12.2 million
euros, compared to last year. "In the second half of the year, our Polish branch
exceeded our Latvian company in terms of sales volume, and in December, the
monthly sales in Poland rose already to more than 2.3 million euros," said
Andresoo.
This year, Inbank expects further growth in Lithuanian and Polish markets.
Inbank plans to open a bank branch in Lithuania and launch banking products in
the market. In Poland, the priority is given to increasing business volumes and
achieving break-even. "In all markets, we are focusing on developing new
attractive financing solutions and supporting our partners via various sales
channels," said Andresoo.
In 2018, Inbank sold 10% of shares of Coop Pank AS and 25.9% of shares of Veriff
OÜ. By these transactions, Inbank gained extraordinary profit in the amount of
3.2 million euros.
Key financial figures as of 31 December 2018
* Balance sheet total 318 million euros
* Total loan portfolio 225.6 million euros
* Total deposits 240.2 million euros
* Profit 9.3 million euros
* Equity 36.4 million euros
Consolidated statement of profit and loss and other comprehensive income
EURt
2018 2017
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Interest income 23 633 13 023
Interest expense -3 760 -2 009
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Net interest income 19 873 11 014
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Fee income 703 551
Fee expense -1 091 -607
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Net fee and commission income -388 -56
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Net gains from financial assets measured at fair value 1 204 0
Other operating income 666 705
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Total net interest, fee and other income 21 355 11 663
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Personnel expenses -5 795 -3 997
Marketing expenses -1 592 -929
Administrative expenses -2 814 -1 602
Depreciations, amortisation -445 -215
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Total operating expenses -10 646 -6 743
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Profit before profit from associates and impairment losses on
loans 10 709 4 920
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Share of profit from associates 1 986 6 203
Impairment losses on loans and advances -2 686 -3 532
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Profit before income tax 10 009 7 591
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Income tax -733 -92
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Profit for the period 9 276 7 499
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Other comprehensive income/loss
Items that may be reclassified subsequently to profit or loss
Currency translation differences 73 -38
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Total comprehensive income for the period 9 349 7 461
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Net profit attributable to
Shareholders of parent company 9 262 7 496
Non-controlling interest 14 3
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Profit for the reporting period 9 276 7 499
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Total comprehensive income/loss is attributable to
Shareholders of parent company 9 335 7 458
Non-controlling interest 14 3
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Total comprehensive income for the reporting period 9 349 7 461
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Consolidated statement of financial position
EURt
31.12.2018 31.12.2017
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Assets
Cash in hand 4 4
Due from central banks 64 620 14 767
Due from credit institutions 13 700 8 530
Financial assets at fair value through profit and loss 4 600 0
Loans and advances 225 639 92 895
Investments in associates 97 7 806
Tangible assets 545 279
Intangible assets 7 697 816
Other financial assets 64 61
Other assets 514 459
Deferred tax asset 564 364
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Total assets 318 044 125 981
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Liabilities
Loan from credit institution 10 429 0
Customer deposits 240 175 95 056
Other financial liabilities 8 776 1 263
Other liabilities 2 654 1 136
Debt securities issued 10 017 0
Subordinated debt securities 9 528 6 480
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Total liabilities 281 579 103 935
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Equity
Share capital 874 782
Share premium 15 053 9 068
Statutory reserve capital 79 79
Other reserves 1 401 1 352
Retained earnings 19 018 10 739
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Total equity attributable to the shareholders of parent
company 36 425 22 020
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Non-controlling interest 40 26
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Total equity 36 465 22 046
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Total liabilities and equity 318 044 125 981
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Inbank started its banking activities in 2015 and provides its services through
its internet bank and partner network. Inbank is active in Estonian, Latvian,
Lithuanian and Polish consumer financing markets. In addition, international
deposits are gathered from German and Austrian markets.
Additional information
Jan Andresoo
Inbank AS
Chairman of the Management Board
+372 508 4184
jan.andresoo@inbank.ee
Attachment
* Inbank AS Annual Report 2018 (https://ml-
eu.globenewswire.com/Resource/Download/d9216bbd-7237-493b-a3a2-08981d7e09d2)
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