In Q3 2014 mBank Group earned a profit before tax of PLN 419.8 million marking a 1.7 per cent increase against Q2. Net profit attributable to mBank's shareholders reached PLN 315.5 million. The record high core income was coupled with a stable organic growth, proved by both the number of clients and the volume of loans and deposits.
– mBank's core income hit a record high of PLN 866.1 million with our total income once again exceeding PLN 1 billion – all this despite interchange fee cuts – said Mr Stypułkowski.At the same time, notwithstanding intensive marketing activities, mBank reported a substantial decrease in costs. As a consequence, the bank's cost-to-income ratio hit an all-time low of 44.2 per cent at the end of Q3 (compared to 44.7 per cent reported for the first half of 2014).
In addition, Q3 2014 marked the finalization of preparations towards launching a ground-breaking project by mBank and Orange Polska. Orange Finanse offers financial products and services available for operator's customers via mobile channel. Moreover, on September 11, 2014, mBank signed a strategic bancassurance partnership agreement with AXA, which also involved the sale of the Bank’s insurance operations – BRE Ubezpieczenia TUiR.
– We prove that mBank is still able to develop organically every quarter. Alone in Q3 we acquired 74 thousand retail clients. As a result, we now provide services to more than 4.5 million people in three markets – in Poland, the Czech Republic and Slovakia – Mr Stypułkowski said. Stable growth is also reported in corporate banking with already 17,390 large companies doing their banking with mBank – an increase by 384 entities against last quarter.
The net value of loans reached almost PLN 72 billion at the end of Q3, growing by PLN 1.8 billion compared with the first half of the year. Customer deposits rose by as much as PLN 6.3 billion QoQ and were worth almost PLN 70 billion. Deposits made by individuals grew by 2.6% with those of companies soaring by 18.7 per cent in total. The loan-to-deposit ratio could thus improve again and went up to 103.4 per cent.mBank Group's capital ratios remained at a safe level. At the end of September, the total capital ratio and common equity Tier 1 ratio stood at 15.57 per cent and 13.05 per cent, respectively.