Insider Business Alpha Bank Cyprus reduces size and losses

Alpha Bank Cyprus reduces size and losses

Alpha Bank Cyprus continued its strategic size reduction and improvement of indicators in 2018, with losses for the year limited to €18.9 million compared to €86.7 million the year before.

However, total revenue fell by 17.5% to €63.6 million and interest income fell by 21.6% to €50.2 million.

At the same time, total expenses rose by 2.2% to € 55.7 million while the ratio of expenses to income stood at 87.5%.

On the positive side, there is the reduction of the liability allowance from €107.3 million in 2017 to €23.2 million in 2018. This is partly due to the sale of loans with a nominal value of €381 million to a group company.

These moves resulted in non-performing loans falling to 57% of the total from 65.6% a year earlier and the coverage ratio to 55% compared to 51.8%. And through property for loan swaps, the Bank managed to get €5 million worth of assets in 2018. Property acquired through similar transactions in 2017 had a value of €2.3 million.

In terms of deposits, these recorded a small increase of 0.4% and amounted to €2.2 billion. The share capital ratio amounted to 16.6% from 13.8% a year earlier due to the Bank’s capital increase of €44.5 million by the parent company.

Its annual report noted that the Group has expressed interest in participating in the fledgling ‘Estia’ Home Scheme launched by the Republic of Cyprus. And that it is in the process of evaluating third party partnerships for the management of its non-performing loans portfolio. Insiders believe this portfolio will be taken over by Altamira.

At the end of the year, the bank maintained a network of 22 branches which is the same number as in 2017, while a slight increase was recorded in the number of staff – from 662 at the end of 2017 to 681 at the end of 2018.

 

Read more:

 

https://in-cyprus.com/alpha-bank-cyprus-is-close-to-getting-npls-management/

 

 

Top Stories

France says Iran building nuclear weapons capacity, urgent to revive 2015 deal

  Iran is in the process of building up its nuclear weapons capacity and it is urgent that Tehran and Washington return to a 2015...

Insurance agent caught with 6 forged vehicle policies

  A car insurance agent was remanded in custody for six days by the district court in Limassol, after he was arrested yesterday in connection...

Locals fume as central Limassol floods again

  Yesterday's torrential rains caused yet another night of chaos in the Limassol historic city centre, with many shops flooding and drivers trapped in their...

Famagusta hospital covid patients down to 61, trend continues

  There does seem to be a steady downward trend in the covid patients being treated in the Famagusta General, the referral hospital for coronavirus. They...

Covid checks intensify, 84 fined

  Eighty four individuals and two citizens were charged with violating relevant covid protocols over the past 24 hours as more than 6 thousand checks...

Taste

Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...

Mezedes

No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...