Oschadbank's results for 2023: UAH 12 billion of operating profit, UAH 9.5 billion of profit before tax and UAH 4.7 billion of income tax

According to the preliminary results of 2023, Oschad received UAH 9.5 billion of profit before tax. This is the bank's historically highest result. Net profit after tax amounted to UAH 4.75 billion.

The final amount of net profit in 2023 was significantly affected by an increase in the corporate income tax rate (from 18% to 50%); in connection with this innovation, the bank will pay UAH 4.7 billion to the state, as well as a negative revaluation of derivatives - government bonds with indexed value in the capital of Oschadbank in the amount of UAH 2.9 billion. Their fair value is influenced by external factors beyond the bank's control (exchange rates and interest rates).

Oschadbank's operating profit (before provisions for credit risks, revaluation of derivatives and income tax) amounted to UAH 12 billion, which is 52% higher than in the previous year.

Long-standing and unconditional customer confidence in the bank contributed to a significant increase in the volume of customer funds attracted, which grew by 28% to UAH 300 billion. At the same time, the growth of stable term customer accounts amounted to 26%, and their volume reached UAH 100 billion.

Dynamic growth of a strong resource base enables Oschadbank to form an optimal "wartime" balance sheet structure with maximum allocation of all resources to financial support of the state and citizens, and to increase its loan and investment portfolio by 16% (to UAH 263 billion). In particular, retail loans increased by 30% to UAH 15 billion. At the same time, Oschad maintained a consistently high level of liquidity to ensure uninterrupted processing of all customer payments.

Other financial results improved significantly in 2023. Thus, compared to the previous year, Oschadbank's net interest income increased by 26% to almost UAH 19 billion, and net fee and commission income increased by 14% to UAH 7 billion. In the face of the devaluation of the national currency, the bank managed to keep its operating expenses at the same level as last year due to strict control of operating expenses.

A prudent lending policy taking into account wartime risks and the gradual liberation of our land from the occupiers contributed to the improvement of the quality of Oschad's loan portfolio and the release of UAH 1.4 billion of provisions for expected credit risks on interest-bearing assets.

Currently, Oschadbank has sufficient liquidity and capital. Thus, the regulatory capital adequacy ratio of Oschadbank as of January 1, 2024, is 16.57%, while the NBU standard is 10%.