The consolidated profit of Inbank in Q3 2016 was 599 thousand euros, a 467 thousand euro increase compared to the same period last year. Nine month consolidated profit for the bank was 1.71 million euros, which is 1.29 million euros more than in the previous year.
In comparison to the results of the first nine months of the previous year, sale volumes of the bank’s main products grew significantly. The deposit portfolio increased by 28.1% in Q3 and reached 63.7 million euros. Over a year, the deposit portfolio of Inbank has increased by 227% or 44.2 million euros, showing that the bank is still able to finance the growth of its lending activities with Estonian retail deposits. Deposit sales increased by 6.4% in comparison to the second quarter and by 133% in comparison to the same period last year.
The loan portfolio of Inbank increased by 12.6% in Q3 and reached 60.8 million euros. Over the year, the loan portfolio has increased by 137% or 35.1 million euros.
While sales grew strongly in Estonia, the bank changed the sales strategy of the Latvian subsidiary in Q3. To ensure high credit quality, it was decided to focus on sales via Inbank’s internet bank and selected partners. This resulted in an expected initial decrease in sales in comparison to the previous quarter.
Inbank’s subordinated bond issue also took place in Q3. The issue was oversubscribed by 2.2 times, which is why Inbank used the option to increase the volume of the issue from the initial 5 million euros to 6.5 million euros. According to the CEO of Inbank Jan Andresoo, the bank is preparing for an international expansion and the new broad investor base will also support the bank’s future growth.
Inbank’s interim report for Q3 2016 includes restated financials for the previous period financial statements that are shown in the notes of the report. The report is currently available only in Estonian but will be translated to English in a matter of time and published on Inbank's web page. In case of any questions contact Inbank's Marketing and Communication Specialist Kristin Pihu on e-mail kristin.pihu@inbank.ee .
Important financial indicators as at 30 September 2016
- Balance sheet total 82.6 million euros
- Loan portfolio 60.8 million euros
- Deposits 63.7 million euros
- Net profit 1.71 million euros
- Equity capital 10.9 million euros
- Net return on equity 24.1%
Consolidated statement of comprehensive income
| EURt | QIII 2016 | 9 months 2016 | QIII 2015 | 9 months 2015 |
| (unaudited, unreviewed) | (unaudited) | (unaudited, unreviewed) | (unaudited) | |
| Continuing operations | ||||
| Interest income | 2 741 | 6 902 | 1 090 | 2 693 |
| Interest expenses | -372 | -931 | -169 | -461 |
| Net interest income | 2 369 | 5 971 | 921 | 2 232 |
| Fee and commission income | 158 | 419 | 126 | 275 |
| Fee and commission expense | -96 | -249 | -59 | -169 |
| Net fee and commission income | 62 | 170 | 67 | 106 |
| Other income related to operations | 131 | 444 | 193 | 485 |
| Total income | 2 562 | 6 585 | 1 181 | 2 823 |
| Personnel costs | -699 | -1 779 | -447 | -1 030 |
| Marketing expenses | -161 | -392 | -93 | -204 |
| Administrative expenses | -214 | -631 | -184 | -532 |
| Depreciation, amortisation and impairment | -44 | -135 | -37 | -104 |
| Total operating expenses | -1 118 | -2 937 | -761 | -1 870 |
| Operating profit | 1 444 | 3 648 | 420 | 953 |
| Profit from affiliates | 239 | 512 | -77 | 14 |
| Profit before loan losses | 1 683 | 4 160 | 343 | 967 |
| Loan losses | -1 101 | -2 503 | -212 | -557 |
| Profit before income tax | 582 | 1 657 | 131 | 410 |
| Deferred income tax | 6 | 23 | 0 | 0 |
| Total comprehensive income for the period | 588 | 1 680 | 131 | 410 |
| Profit attributable to the parent company | 599 | 1 712 | 132 | 426 |
| Profit attributable to non-controlling interest | -11 | -32 | -1 | -16 |
| Total comprehensive income for the period | 588 | 1 680 | 131 | 410 |
Consolidated financial position
| EURt | 30.09.2016 | 31.12.2015 |
| (unaudited) | (corrected) | |
| Assets | ||
| Cash in hand | 4 | 3 |
| Due from central banks, legal reserve | 354 | 154 |
| Due from central banks | 14 540 | 345 |
| Due from credit institutions | 4 172 | 4 882 |
| Loans and receivables | 60 805 | 34 931 |
| Investments in affiliates | 1 411 | 868 |
| Tangible assets | 139 | 95 |
| Intangible assets | 836 | 760 |
| Other assets | 308 | 286 |
| Total assets | 82 569 | 42 324 |
| Liabilities | ||
| Loans raised | 0 | 110 |
| Deposits | 63 684 | 29 711 |
| Debt securities issued | 0 | 3 114 |
| Other liabilities | 1 527 | 1 381 |
| Subordinated debt securities | 6 473 | 0 |
| Total liabilities | 71 684 | 34 316 |
| Equity | ||
| Share capital | 689 | 569 |
| Share premium | 6 386 | 5 393 |
| Retained profit/loss | 681 | -279 |
| Reserves | 1 387 | 1 360 |
| Other reserves | 25 | 0 |
| Consolidated profit for reporting period | 1 712 | 987 |
| Total equity capital held by shareholders of parent company | 10 880 | 8 030 |
| Non-controlling interest | 5 | -22 |
| Total equity | 10 885 | 8 008 |
| Total liabilities and equity | 82 569 | 42 324 |
The reports of Inbank are accessible online at https://www.inbank.ee/en/inside/investor/reports/ .
Inbank, which started operating as a bank in April 2015, offers services via its internet bank and its large partner network. The enterprise started its activities in 2010 when the financial technology and hire purchase company Cofi was established. Inbank and its subsidiaries have about 160 thousand active customer contracts in Estonia.
Further information:
Kristin Pihu
Marketing and Communication Specialist
+372 5348 2436
