Results1 for the first nine months of 2008:
Bank Austria: EUR 1.6 billion profit despite financial market crisis
- Central and Eastern Europe continues to drive growth: profit before tax up by 50 per cent
- Net interest income and net fees and commissions rise by 17 per cent to a combined EUR 5.2 billion
- Net trading result for the first nine months negative and substantially lower than in the previous year
- Strong deposit growth brings primary funds to EUR 137 billion, up by 14 per cent
In the third quarter of 2008 Bank Austria, a member of UniCredit Group, achieved results which were better than in the same period of the previous year, despite the continued repercussions of the credit market crisis which started over a year ago. Profit before tax was 14.7 per cent higher than the figure for the third quarter of the previous year.
Consolidated profit (after minority interests) for the first nine months of 2008 reached EUR 1,642 million, slightly higher than the previous year's level. The largest contribution came from the Central Eastern Europe business division, which improved its profit before tax by 50 per cent compared with the same period of the previous year. This increase was due to acquisitions in Ukraine and Kazakhstan and continued strong organic growth of the CEE banking subsidiaries.
Erich Hampel, Bank Austria's Chief Executive Officer: "The year to date has been marked by the financial market crisis, which has culminated in the past few weeks. In these turbulent times, our business model has proved to be impressively successful, making us relatively resistant to the repercussions of the global crisis. Otherwise we would not have achieved profits matching the performance of the first nine months of the previous year. Concerted action at the global, European and national levels will contribute to easing the financial market situation perceptibly, but it is still too early to give the all-clear signal. The market environment will remain difficult."
|1||Income statement for the first nine months of 2007 adjusted for the one-off effect resulting from "ASVG equivalent". Explanation: As of 1 May 2007, the internal service agreement on the BA-CA pension equivalent ("ASVG equivalent") was adjusted to changes in the legal framework. This led to the release of EUR 150 million from the related pension provision in the second quarter of 2007; the released amount was recognised in income.|
IR Release download (PDF; 66 KB)
Interim Report at 30 September 2008 (977 KB)