VTB Bank says IFRS Jan–July net profit close to profit for 2021

MOSCOW, Aug 31 (PRIME) -- The net profit of Russian’s second biggest lender VTB Bank amounted to 35.6 billion rubles in July and 325.4 billion rubles in January–July, close to a profit of 327 billion rubles in the entire 2021, as calculated under International Financial Reporting Standards (IFRS), Deputy CEO Dmitry Pyanov told reporters on Thursday.

“In July, the net profit amounted to 35.6 billion rubles, which is close to a normal regular profit without any volatile non-recurrent proceeds,” he said.

In July, 13.4 billion rubles was sent to formation of reserves, Pyanov also said.

VTB Group expects a record high profit of 400 billion rubles for the entire 2023 despite a hike of the central bank’s key rate, he added.

Pyanov said that VTB expects the key rate of 12% will persist for a long time, and is unlikely to be adjusted no earlier than in the middle of 2024.

He also said that transferring of United Shipbuilding Corporation (USC) under VTB’s trust management as well as VTB’s exit from the capital of real estate developer PIK Group will not influence the banking group’s financials.

VTB will not pay the windfall income tax as it had a 613 billion ruble loss in 2022, Pyanov said.

(95.9283 rubles – U.S. $1)

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