Start Garancia Plc.: Outstanding Financial Year in 2022

Start Garancia Plc. closed an outstanding financial year in 2022: its profit after tax increased to HUF 2.33 billion from HUF 452 million in 2021, while commission and fee income rose from nearly HUF 300 million to about HUF 3 billion, the company told MTI on Thursday.

According to the statement, in order to ensure the planned growth of the guarantee portfolio and to comply with prudential requirements, Start Garancia Plc. will not pay dividends, will place the profit after tax in the profit and loss reserve and will use it to increase equity.

The balance sheet total of the company, which operates under the ownership of the Ministry of Economic Development, increased by more than 7% to HUF 111 billion in one year.

The stock of guarantees nearly doubled from HUF 115 billion to HUF 210 billion, while equity capital increased from HUF 100.5 billion to HUF 103 billion. No guarantees were called last year, they said.

In October, the company launched a HUF 800 billion program to guarantee loans to energy traders and is also involved in the Baross Gábor Loan Program.

“Our aim is to further build our guarantee portfolio, keep our risks under control, and contribute to economic development and increase domestic lending and bond issuance activity," the statement quoted CEO Attila Limbach.

Start Garancia Plc. provides guarantees for large-scale financing transactions of national economic importance under a state counter-guarantee.