This is the largest half-year profit ever registered by the bank, and is 23 percent higher than in H1 2007.
However, the profit was below market expectations. BRD’s quotation declined as much as 1.5 percent on the Bucharest Stock Exchange (BVB), where the lender is listed.
Analysts interviewed by Business Standard had estimated net earnings worth €141-161 million for BRD. “The market reacted slightly to the bank’s results. Otherwise, results are explained by an increase by only 21 percent of revenues from fees and higher expenses,” CA IB Securities Analysis Department head, Adriana Marin, told Business Standard.
“The first half of 2008 was marked by difficult market conditions and increasing competition. BRD adapted to this context with proper commercial operations and maintaining, and simultaneously with the implementation of strategic project related to optimizing information technology tools and developing distribution channels,” the lender’s President and General Manager, Patrick Gelin, explained.
