tbi bank reported a record profit of EUR 38 million for the first nine months of 2024

tbi bank, the leading challenger bank in Southeast Europe, continues with its strong financial results after posting a record net profit of EUR 38 million for the first nine months of 2024. This is 34% more compared to the same period last year (according to an unaudited consolidated financial report). In addition, tbi bank maintains its solid position in terms of liquidity and capital. It has strong results in all of its business lines.

During the first nine months of 2024, tbi bank concluded a number of new partnerships, including with merchants from new retail sectors, and is already present in 30,000 retail outlets in its main markets - Bulgaria, Romania and Greece. Thanks to this impressive reach, the bank has helped even more customers finance their dreams and needs and maintained its leadership position in all three countries.

By the end of September 2024, tbi bank had processed 1.6 million credit applications in Bulgaria, Romania and Greece, which is 40% more compared to the same period in 2023. Since the beginning of this year, the bank has approved nearly 720 thousand loans (growth of 39%) for a total value of EUR 840 million (25% growth on an annual basis). In addition, 70% of funding applications are submitted through self-service digital channels, contributing significantly to excellent results.

tbi bank reported a 26% growth of assets at the end of September 2024, reaching EUR 1.7 billion. Its loan portfolio grew to EUR 1.23 billion at the end of that same month (26% year-on-year growth), which ranks tbi among the ten largest banks on the Bulgarian market.

Thanks to these positive results, tbi bank's revenue grew by 25% to EUR 186 million, mainly thanks to a 34% increase in net interest income. Its operating profit for the first nine months of 2024 reached EUR 130 million.

The increase in the bank's total expenses by 22% to 87 million euros is mainly due to the continuous investments in new technologies and artificial intelligence, which contribute to the development of products in the three main markets, as well as investments in new business lines.

In addition, tbi bank's deposit portfolio reached EUR 1.26 billion at the end of September 2024 – a growth of 26% compared to September 2023, significantly ahead of the market average. This result is mainly due to term deposits in the ‘end customer’ segment, where the increase is even greater – 32% compared to September 2023.

tbi bank's efforts to continuously improve its digital products and day-to-day banking resulted in a record of over a quarter of a million customers using its apps in Bulgaria, Romania and Greece in each of the months between July and September. App logins since the beginning of 2024 amount to over 20 million in number, which marks a growth of 2.3 times on an annual basis. The app functionalities have greatly supported the business sector. The deposit wallet feature was the most preferred channel for opening a deposit by the bank's customers. New app functionalities available in the third quarter of 2024 include: an online shopping section, instant payments via mobile phone number to customers of other banks, automated savings options through ‘Kasichka’, as well as the ability for customers to see all leva equivalents in euros.

At the end of the reporting period, tbi bank is stable and secure in terms of liquidity and capital – its Liquidity Coverage Ratio (LCR) is at 602% (well above the regulatory minimum of 100% and the banking sector average of 242%). After the decision of the shareholders to capitalize on the profit for the first half of 2024, the capital adequacy ratio (CAR) reached 23.7%. tbi bank's activities for the period have been marked by improved efficiency in cost management (the ratio of operating expenses to operating income reaches 46.5%). At the same time, the return on loans is at 21.4%, which allows the return on assets (ROA) and return on equity (ROE) to reach 3.2% and 20%, respectively.

Our constantly growing customer base in Bulgaria, Romania and Greece is what makes us happy and contributes to our good financial results," says Petr Baron, CEO of tbi fs. "I want to thank our customers for their trust as well as our dedicated team, which continues to be the foundation of success and constant innovation."

He added that with the festive season approaching, the bank's team is working hard to ensure customers are supported in all aspects of their financial lives.

Translated by Tzvetozar Vincent Iolov