Net profit attributable to the owners of mBank reached PLN 164.0 million in Q1 2019. Income remained stable with costs rising markedly.
The main factors determining the Group’s financial results in Q1 2019 were as follows:
Continued organic growth and business expansion as demonstrated by:
At the end of March 2019, net loans and advances to customers stood at PLN 97.7 billion, which represents a PLN 2.96 billion increase (+3.1%) compared with the end of 2018. Net of reverse repo/buy-sell-back transactions and FX effect, the value of loans and advances grew by 2.4%.
Amounts due to customers rose by PLN 5.6 billion (+5.5%) in Q1 2019 compared with Q4 2018, while amounts due to corporate customers and individuals rose by PLN 2.3 billion and PLN 2.3 billion (+3.5%) respectively. Consequently, the loan to deposit ratio of mBank Group dropped to 90.7% compared with the end of 2018.
mBank Group’s capital ratios remained stable in Q1 2019 thanks to an increase in own funds (as a result of retaining 50% of the profit generated in the first three quarters of 2018 and 100% of the Q4 2018 profit) and a rise in the total risk exposure amount. At the end of March 2019, the Total Capital Ratio and Common Equity Tier 1 ratio stood at 20.7% and 17.6%, respectively.