BNG Interim Report 2012: Net Profit EUR 159 Million
THE HAGUE, The Netherlands, August 29, 2012 /PRNewswire/ --
With a net profit of EUR 159 million (+ EUR 5 million), BNG looks back on a good first half of 2012. The interest result - the structural part of the result - increased by EUR 14 million (6%) due to the growth of the loan portfolio.
The bank's goal is to be able at all times to provide credit to its main client groups, local authorities and housing and healthcare institutions, even in the current economic uncertain times. This goal was once again achieved in the first half of 2012. At EUR 5.7 billion, new long-term lending nearly equaled the figure for first half of 2011, while the bank held on to its large market shares. This emphasizes the bank's importance to its core client sectors.
The bank expects the 2012 interest result to be slightly higher than that for 2011, owing to the growth of the various portfolios and the persistently steep interest-rate curve. The 2012 result financial transactions is expected to remain negative if no structural solution is found for the European debt crisis. BNG expects new regulations to affect its profitability, such as a bank levy that will be implemented in 2012. The bank expects its contribution to be around EUR 30 million on an annual basis.
In view of all the uncertainties and, for the moment, the absence of economic recovery, the bank does not consider it wise to make a statement regarding its expected 2012 net profit.
Today, BNG will publish on bng.com its interim report on the first half of 2012. We refer to this publication for a detailed explanation.
This is an unofficial translation of the press release 'BNG Bank Halfjaarbericht 2012' which is provided for convenience only. In the event of any ambiguity, the Dutch text will prevail.
BNG is the bank of and for local authorities and public sector institutions. The bank makes a sustainable contribution to minimizing the costs of social provisions for the public.
Consolidated balance sheet as at 30 June 2012
Amounts in millions of euros
30 June 31 December
2012 2011
Assets
Cash and balances with the central bank 6,795 5,149
Amounts due from banks 8,323 8,448
Financial assets at fair value through the income statement 3,037 3,322
Other financial assets 25,986 21,519
Financial assets available-for-sale 8,178 6,919
Loans and advances 90,723 90,775
Investments in associates and joint ventures 110 108
Property and equipment 19 19
Other assets 135 201
Total assets 143,306 136,460
Liabilities
Amounts due to banks 7,812 7,469
Financial liabilities at fair value through the income statement 770 628
Other financial liabilities 16,699 14,367
Debt securities 102,509 100,907
Funds entrusted 13,003 10,944
Subordinated loans 94 93
Other liabilities 223 155
Total liabilities 141,110 134,563
Share capital 139 139
Share premium reserve 6 6
Revaluation reserve (192) (271)
Cash flow hedge reserve (157) (282)
Other reserves 2,241 2,049
Unappropriated profit 159 256
Total equity 2,196 1,897
Total liabilities and equity 143,306 136,460
Consolidated income statement
Amounts in millions of euros
First half of 2012 First half of 2011
- Interest income 1,172 1,076
- Interest expenses 931 849
Interest result 241 227
Income from associates and joint ventures 0 0
- Commission income 16 18
- Commission expenses 3 3
Commission result 13 15
Result financial transactions (9) (11)
Other results 3 4
Total income 248 235
- Staff costs 18 17
- Other administrative expenses 11 11
Staff costs and other administrative expenses 29 28
Depreciation 1 1
Total operating expenses 30 29
Addition to the incurred loss provision 6 -
Profit before tax 212 206
Taxes (53) (52)
Net profit 159 154
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