CIB Group: Increasing Profit and Balance Sheet Total

The CIB Group's profit after tax increased by 14.1% to HUF 71.905 billion and its balance sheet total increased by 4.4% to HUF 3,463.21 billion in the financial year 2024, the banking group announced to MTI on Tuesday.

According to the statement, the outstanding results provide a solid basis for CIB Group to significantly exceed its targets for 2025.

With the full support of Intesa Sanpaolo's International Banking Division, CIB Group was able to further increase its market share in strategically important segments, expanding the range of its digital services and the proportion of customers using them. As a result, cost efficiency remained excellent in 2024, they said.

The growing balance sheet total was mainly driven by growth in customer and bank funding, with the group's consolidated gross customer loan book at the end of last year at HUF 1,668.719 billion (+4.4%).

In the corporate segment, demand for new financing was low due to economic uncertainties and the large phasing out of the Growth Loan Program (NHP), while in the retail market, demand for new mortgage loans increased by 17% in line with the booming housing market, while new disbursements of personal loans rose by 60%.

The stock of customer deposits stood at HUF 2,530.108 billion at the end of December (+5.5%), with the increase mainly driven by the retail segments.

Equity rose by 12.4% to HUF 356.138 billion, mainly thanks to profits.

The group's revenues amounted to HUF 174.223 billion, up 3.5% despite the lower interest rate environment, thanks to increased business activity.

The ratio of loans over 90 days past due improved to 0.5%.

The banking group's fee income grew above the market average, while operating cost growth remained below average. Operating expenses excluding bank tax and extra profit tax rose by 12.9% to HUF 73.830 billion, mainly due to inflationary price increases for suppliers and wage increases.

Including bank and extra profit tax, the group paid HUF 14.472 billion to the Hungarian budget in 2024.

The CIB Group, a subsidiary of Intesa Sanpaolo, one of the world's strongest banking groups, CIB Bank Plc. and its subsidiaries employ 2,000 people in Hungary.