mBank continues steady growth

mBank continues steady growth

In Q2 2015 mBank Group earned a net profit of PLN 221.3 million. The Group acquired 121,000 new retail clients and 521 corporate clients. A considerable increase was also reported in the amount of loans granted to clients.

In the period from April until the end of June 2015 mBank earned a net profit of PLN 221.3 million. H1 2015 profit exceeded PLN 672 million. The main driver of mBank’s Q2 results was steady business growth. Net interest income rose by PLN 18.1 million to PLN 605.5 million against Q1 amid a significant reduction in interest expense (by 18.9%). This was accompanied by an 18% increase in net fee and commission income (to PLN 230.3 million) caused by growing revenues from lending activity and agent commission from the sale of insurance products.

Costs rose by 7.2% in Q2 amid rising staff-related expenses and investments in marketing and IT areas. Net impairment losses on loans and advances went up by PLN 7.7 million against Q1. They rose from PLN 30.8 million to PLN 54.4 million in corporate banking and went down by PLN 10 million in retail banking.Organic growth continues to be mBank’s major focus - in Q2 alone the value of loans and advances (net of fx changes and repo transactions) rose by 4.8% in the corporate area and by 1.6% in the retail area. At the same time, mBank Group sold mortgage loans worth PLN 1 billion and non-mortgage loans in the amount of PLN 1.25 billion.

mBank’s capital ratios remain at a stable and safe level with a Total Capital Ratio of 16.4% and a CET 1 ratio of 13.5% at the end of Q2. Loan-to-deposit ratio stood at 105.7%.mBank was appreciated by external experts. It won the main award in the “Innovativeness” category of the “Stars of Banking” competition organised by Dziennik Gazeta Prawna and PwC. It ranked third in the main ranking. In addition, mBank’s CEO, Cezary Stypułkowski, was awarded the title of the Visionary of the Banking Market. He was appreciated for his contribution to the development of modern banking, which is now available to clients anytime and anywhere - on the Internet, on mobile devices and in branches.