In November 2023, Bigbank's growth continued. Both the deposit portfolio and the loan portfolio grew, while the profit was at a good level.
In deposits, the savings deposit portfolio showed strong growth, which grew in all markets. In Estonia, Finland, Germany, Austria, and the Netherlands, we offer savings deposit interests at the top of the market, and the rapidly increasing number of customers shows interest in this product and growing trust in Bigbank. The volume of term deposits increased only marginally and remained at the level of EUR 0.9 billion.
In terms of loans, the home loan portfolio grew the most, the consumer loan portfolio to a lesser extent. A slight decrease occurred in the portfolio of business loans. All in all, receivables from customers increased to 1.65 billion euros.
A certain decline in the quality of the loan portfolio can be seen. November's EUR 2.1 million net loss allowance on loans brought the 11-month loan loss allowances to a total of EUR 19.1 million, which indicates that some decline in the quality of the loan portfolio has occurred during the year.
The net profit of EUR 3.3 million in November is a strong indicator. The consolidated profit for the first 11 months of 2023 in the amount of 35.5 million euros already exceeds the consolidated profit for the 12 months of 2022, which was 33.7 million euros.
Bigbank’s financial results for November 2023:
- Customer deposits and loans received grew by 590 million euros to 1.93 billion euros (+44%) in the year.
- Receivables from customers increased by 317 million euros to 1.65 billion euros (+24%).
- Net interest income was 8.7 million euros in November, a total of 91.2 million euros in the first eleven months of the year. In the comparison of the first eleven months with the same period last year, the increase was 15.1 million euros (+20%).
- In the first eleven months of the year, the volume of net loss allowances on loans and financial investments was 19.1 million euros; compared to a year ago, the increase was 5.6 million euros or 42%.
- November's net profit was 3.3 million euros. The total profit of the first eleven months was 35.5 million euros; the increase compared to 2022 same period was 8.6 million euros, or 32%.
- Return on equity was 16.9% in the first eleven months.
| Income statement, in thousands of euros | Nov 2023 | YTD23 | YTD22 | Difference YoY | |
| Total net operating income, incl. | 9,821 | 102,280 | 83,206 | 19,075 | +23% |
| Net interest income | 8,744 | 91,170 | 76,100 | 15,070 | +20% |
| Net fee and commission income | 329 | 7,565 | 6,803 | 762 | +11% |
| Total expenses, incl. | -3,985 | -42,066 | -38,414 | -3,651 | +10% |
| Salaries and associated charges | -1,985 | -21,711 | -19,844 | -1,866 | +9% |
| Administrative expenses | -1,332 | -13,780 | -15,482 | 1,701 | -11% |
| Profit before loss allowances | 5,836 | 60,215 | 44,791 | 15,424 | +34% |
| Net loss allowances on loans and financial investments | -2,087 | -19,071 | -13,448 | -5,623 | +42% |
| Income tax expense | -496 | -5,101 | -4,472 | -629 | +14% |
| Profit for the period from continuing operations | 3,253 | 36,042 | 26,871 | 9,171 | +34% |
| Loss before tax from discounted operations | 0 | -557 | 0 | -557 | |
| Profit for the period | 3,253 | 35,485 | 26,871 | 8,614 | +32% |
| Business volumes, in thousands of euros | Nov 2023 | YTD23 | YTD22 | Difference YoY | |
| Customer deposits and loans received | 1,927,322 | 1,927,322 | 1,337,196 | 590,126 | +44% |
| Loans to customers | 1,645,174 | 1,645,174 | 1,328,189 | 316,985 | +24% |
| Key figures | Nov 2023 | YTD23 | YTD22 | Difference YoY | |
| ROE | 16.1% | 16.9% | 15.1% | +1.9pp | |
| Cost / income ratio (C/I) | 40.6% | 41.1% | 46.2% | -5.0pp | |
| Net promoter score (NPS) | 59 | 58 | 52 | +6 | |
Bigbank AS (www.bigbank.eu) is an Estonian capital-based bank specialising in loans and deposits for private and business customers. In addition to operations in Estonia, the bank has branches in Finland, Sweden, Latvia, Lithuania, and Bulgaria and offers its products on a cross-border basis in Austria, Germany, and the Netherlands. Bigbank’s total assets exceed 2 billion euros.
Argo Kiltsmann
Member of the Management Board
Telephone: +372 5393 0833
Email: argo.kiltsmann@bigbank.ee
www.bigbank.ee
