OPTIVA PANK

ANNOUNCEMENT

 

COMMENTARY TO THE UNCONSOLIDATED FINANCIAL RESULTS 11/99

 

The volume of net profit earned by Optiva Pank during 11 months 

amounted to 11.5 million EEK, the bank's November profit was 461 

thousand EEK. The volume of balance sheet has increased by 484.8 

million EEK or 15.3% since the beginning of the year and  

324.9 million EEK or 9.8% during November.

 

The balance sheet volume has increased due to the increase of 

client finances in the bank. In eleven months, demand deposits 

increased by 48.0%, or 264.6 million EEK. At the same time, 

corporate demand deposits increased by 41.3%, or 186.4 million EEK 

and private persons demand deposits by 55.3%, or 37.9 million EEK. 

By the end of November, the amount of demand deposits was 815.4 

million EEK (65.7% of total deposits). In November, deposits 

increased by 9.0%, or 102.9 million EEK and  demand deposits by 

10.6% (77.9 million EEK) and time deposits by 6.2% (25.0 million 

EEK). In the structure of interest-bearing external finances, 

deposits accounted for 41.8%, loans from other banks and issued 

debt securities 48.4% and other interest-bearing liabilities for 

9.8%. As the growth rate of client deposits has been the highest 

among interest-bearing external finances, their importance has 

increased, while the importance of other interest-bearing external 

finances has decreased.

 

The growth of client finances has been accompanied by the increase 

in the amount of money in the client clearing accounts - client 

deposits have increased by 117.8 million EEK or 69.6% compared to 

the end of October.

 

The borrowings from other banks increased by 95.5 million EEK, or 

15.7% in November.

 

As of the end of November, the bank's owners' equity stood at 349.4 

million EEK, or 9.6% of total assets. The capital adequacy was 

11.4%.

 

In November the amount of interest-bearing assets increased by 

10.2%, or 296.5 million EEK. The growth - 78.6%, or 303.5 million 

EEK - came from the increase in demand and time deposits with other 

banks.

 

The net loan portfolio remained at the level of last month, making 

up 50.4% of total assets. During 11 months, it has decreased by 

216.7 million EEK, or 10.5%. The provisions for potential loan 

losses were 9.5% of gross loan portfolio at the end of November.

 

The income structure in November was as follows: net interest 

income of total revenues  32.3%, fees and commissions income 29.0%, 

revenues from currency exchange 22.0%, share investment income 

9.9%, and other income 6.8%.

 

 

Additional information:

Piret Villman

Head of Budget and Planning Department

+372 63 02 103

 

 

Lea Endrikson

Public Relations Officer

+372 63 02 588