Press Release Outside trading hours - Regulated information* Brussels, 11 August 2022 (07.00 a.m. CEST) KBC Group: Second-quarter result of 811...
As regards our financial results, we posted an excellent net profit of 811 million euros in the quarter under review. Private KBC customers in Belgium will soon be able to earn Kate Coins and use them through their Kate Coin wallet in KBC Mobile. Everything takes place in a closed-loop environment, outside of which the Kate Coin has no value. Costs decreased significantly due to the fact that the bulk of the bank taxes for the full year had been recorded in the previous quarter (apart from a new additional tax in Hungary that was booked in the quarter under review). We recorded a small net increase in loan loss impairment, as limited net charges for individual loans (virtually all of which related to the sale transaction in Ireland) and an increase in the reserve for geopolitical and emerging risks were almost entirely offset by the full reversal of the remaining reserve for the coronavirus crisis. While our direct exposure to Ukraine, Belarus and Russia is very limited, we are of course indirectly affected by the macroeconomic impact of this conflict and other geopolitical and emerging risks, including the effect of high gas and oil prices on inflation and economic growth, and the spillover effects for us, our counterparties and our customers. Given this situation, we have further increased our dedicated reserve for geopolitical and emerging risks, bringing it to 268 million euros at the end of the quarter under review. We express our heartfelt solidarity with all victims of this conflict and we hope that a respectful, peaceful and lasting solution can be achieved as soon as possible.
“Quarter-on-quarter total income was more or less stable, with the increases in net interest income, technical insurance income, dividend income and net other ...
Overall, KBC said it recorded a loan loss impairment charge of €9 million in the quarter, compared with a net release of €15 million in the previous quarter. “Quarter-on-quarter total income was more or less stable, with the increases in net interest income, technical insurance income, dividend income and net other income being offset by lower trading, and fair value income and net fee and commission income,” Johan Thijs, KBC’s chief executive said. The bank said there was a €2 million loss at its Irish business, which included a €17 million loss of once-off effects related to the sale of its Irish business, which is now part of KBC’s group centre unit.
The Belgian bank said it recorded a small net increase in loan loss impairment, due to limited net charges for individual loans, most of which related to the ...
It said today that the net result for Ireland in the quarter under review amounted to a loss of €2m. It said this included €17m in various one-off effects related to the ongoing sale transaction. "Given this situation, we have further increased our dedicated reserve for geopolitical and emerging risks, bringing it to €268m at the end of the quarter under review," the bank said. The Belgian bank said it recorded a small net increase in loan loss impairment, due to limited net charges for individual loans, most of which related to the sale of its Irish assets.
By Ed Frankl KBC Group NV said Thursday that second-quarter net profit beat expectations as it took advantage of higher net-interest income, and raised its.
Net interest income of EUR1.25 billion rose by 4% quarter-on-quarter and 14% compared with last year, benefiting from an improving yield environment in euro-denominated countries, higher interest rates in Eastern Europe, and lending and deposit volume growth, it said. Higher net interest income, technical insurance income and dividend income in the quarter was partially offset by lower trading income and net fee and commission income, the Brussels-based company said. The Belgian financial-services company said net profit was 811 million euros ($835.3 million) in the three months to the end of June, up from EUR793 in the same period last year.
KBC Group's latest earnings report does not specify when it hopes to complete its exit from the Irish market.
Bank of Ireland said in its earnings statement this month, that "subject to regulatory clearances", it expected to complete the €9bn transaction by the end of March next year. The group shocked customers and delighted rival lenders when it announced last year it would close KBC Bank Ireland. It was the second significant lender, after Ulster Bank, to announce it was shutting its doors in the local market. In its latest quarterly earnings report, KBC Group didn't specifically say when it hoped to complete its exit, but referred to "a delay of transaction approval" in relation to the closure.