Net profit of OTP Bank for January-June 2023 amounted to UAH 2 billion 854.46 million compared to net loss of UAH 783.06 million in January-June 2022, according to the unconsolidated semi-annual report of the bank.
According to it, in particular, net profit in the second quarter of this year reached UAH 1 billion 395.28 million, which is 27.1 times higher than the net profit for the same period last year.
It is indicated that net interest income for the first half of the year increased by 46.3% to UAH 4 billion 306.59 million, including in the second quarter the growth amounted to 42.5% to UAH 2 billion 154.61 million.
Meanwhile, net commission income in January-June this year increased by 35.4% to UAH 612.064 million, including in the second quarter – by 55.7% to UAH 290.32 million.
A significant contribution to the improvement of the financial result was made by the reduction of the loss from the reduction of utility in the first half of this year to UAH 314.08 million, while for the same period last year this figure amounted to UAH 3 billion 573.13 million.
Specifically, for the second quarter of 2023, the loss from utility curtailment narrowed to UAH 170.81m compared to UAH 1 billion 364.51m in the second quarter of 2022.
The bank points out that its total profit for the first half of this year reached UAH 3 billion 247.74 million against a loss of UAH 872.35 million for the first half of last year, including a total profit of UAH 1 billion 772.90 million in the second quarter-2023 against a loss of UAH 162.81 million in the second quarter-2022.
According to the report, in January-June this year, the bank’s assets grew by UAH 1.92 billion, reaching UAH 92.93 billion as of June 30.
Such growth is explained by the increase in cash and funds with the NBU from UAH 4.75 billion to UAH 9.67 billion and investments in securities – from UAH 32.85 billion to UAH 37.37 billion, while loans and advances to clients decreased from UAH 29.92 billion to UAH 23.91 billion, and debts of other banks – by UAH 1.2 billion to UAH 20.51 billion.
Customer funds of OTP Bank decreased for the first half of 2023 from UAH 77.73 billion to UAH 76.19 billion, meanwhile the bank’s capital increased from UAH 11.63 billion to UAH 14.87 billion, including retained earnings – from UAH 3.77 billion to UAH 6.62 billion.
OTP Bank, a 100% subsidiary of the Hungarian OTR Bank Plc, was the eighth among 65 Ukrainian banks in terms of total assets (UAH 103.327 billion) at the beginning of June this year. The bank has a network of 72 branches in Ukraine.
Another $1.25 billion grant from the United States arrived in Ukraine on Monday through the multi-donor World Bank Trust Fund, the Finance Ministry said.
“Irrevocable financial assistance from the United States is an extremely important element in supporting Ukraine’s state budget while it resists Russia’s full-scale aggression. The next grant will help the Ukrainian government to reimburse priority expenditures in the social and humanitarian sphere,” Finance Minister Serhiy Marchenko was quoted as saying in the release.
The Finance Ministry specified that in 2023 Ukraine has already received $8.45 billion in grants of direct budgetary support from the United States, and in total, $20.4 billion in grants from the United States have been received in the state budget since the beginning of the full-scale war.
As previously stated by the Ministry of Finance, as of July 21 this year, the state budget of Ukraine received funding from international partners in the amount of $23.6 billion, compared to $32.1 billion last year, while the need for this year is about $42 billion.
Since then, the budget has also received EUR1.5bn of the sixth tranche of EU macrofinancial assistance and $1.5bn through the World Bank’s Trust Fund mechanism under the guarantees of the Japanese government.
Credit institution NovaPay Credit LLC, a member of the non-banking financial group NovaPay, has fully placed the second issue of interest-bearing bonds – series “B” – for UAH 100 mln, according to the data on the website of the PFTS stock exchange.
According to them, the placement began on July 27, and on July 28, the exchange recorded a deal on the sale of all 100 thousand bonds at a price of UAH 999.45, which corresponds to a yield of 20.02% per annum.
As it was reported, the company made a decision to issue series “B” bonds on June 15, and on July 18 the issue and the bond prospectus were registered by the National Commission for Securities and Stock Market of Ukraine,
As in the debut issue of series “A”, the second issue is public, circulation term – three years, nominal interest rate – 20% per annum with payment at the end of the circulation term.
More detailed information about the results of the placement is not available yet, but the company called the placement of the debut issue through the stock exchange technical, stating that it plans to organize a subsequent active secondary public offering without attracting an underwriter.
The prospectus states that 20% of the raised funds are planned to be used for lending to legal entities, and 80% – to individuals.
As reported, NovaPay Credit in the second quarter placed the debut issue of three-year bonds for UAH 100 mln. The bonds were issued with one coupon, which is paid simultaneously with maturity – from April 14 to April 20, 2026, nominal yield – 20% per annum.
According to forecasts in the prospectus, the company plans to receive UAH 27.06 mln of net profit in 2023, UAH 242.23 mln in 2024, and UAH 411.66 mln in 2025.
In addition, at the end of June, the company decided to issue a third bond – series “C” – also for UAH 100 mln.
As indicated in the prospectus, last year the company’s revenue decreased by 40.6% to UAH 29.89 mln, largely due to the credit vacations introduced at the beginning of the war, and the net loss amounted to UAH 2.15 mln against net profit of UAH 24.40 mln a year earlier.
In Q12023 “NovaPay Credit” increased its authorized capital by UAH 120 mln – up to UAH 175 mln. The owner of the company with a 100% stake remains NovaPay LLC, and the beneficiaries are owners of Nova Posta group of companies Vyacheslav Klimov and Volodymyr Popereshnyuk.
In January-March 2023, the company increased its net profit by 56.9% to UAH 7.28 mln compared to the same period last year, while its revenue grew by 68.7% to UAH 12.7 mln.
Structure of approved ukrainian state budget expenditures in 2023
Source: Open4Business.com.ua and experts.news
The liquidation commission has sold the property of Ilyichevsk Oil and Fats Plant LLC (Chernomorsk, Odessa Region) for UAH 696.66 million to Poltava-Zerno LLC, 95% of which belongs to the Kernel agricultural holding.
According to information in Prozorro.Sale, the auction was held on July 26 with a starting price of UAH 689.6 million, and Poltava-Zerno was the only participant.
It is specified that the buyer has already paid UAH 55.04 million of the guarantee fee, part of which in the amount of UAH 13.93 million went to the remuneration of the operator of the electronic platform – LLC “Onylan-Market”.
The new owner received, in particular, a land plot of 8.58 hectares with communications, where the plant is located, a complex of buildings and structures, as well as transport, tanks, reservoirs, production lines, minibus and other property.
Ilyichevsk Oil and Fats Plant LLC is bankrupt. According to open data opendatabot.ua, as of 2020 its assets were estimated at UAH 205.324 million, profit – UAH 481.721 million, income – UAH 22.836 million. At the same time, debt obligations reached UAH 2.587 billion.
Agroholding “Kernel” before the war ranked first in the world in the production of sunflower oil (about 7% of world production) and its export (about 12%). The company is one of the largest producers and sellers of bottled oil in Ukraine. In addition, the agroholding is engaged in the cultivation of agricultural products and their realization.
The largest co-owner of Kernel through Namsen Ltd. – is Ukrainian businessman Andriy Verevsky, who this year, as part of the buyout and delisting of the company from the Warsaw Stock Exchange, increased his stake from 41.3% to 74.05%.
Kernel’s net profit for the first nine months of 2023FY (January-March 2023) rose 36% to $437 mln, while revenue fell 45% to $2.715 bln.
As reported, Kernel recently reported that 40% of its grain storage and transshipment capacity at the Chernomorsk port was damaged as a result of a missile attack by Russia on the night of July 19, and it will take at least 12 months to restore these assets. In addition to the damage to infrastructure during this attack, a fire at the Chernomorsk port partially destroyed and damaged 60,000 tons of grain prepared for loading onto the large-capacity vessel Alexis and which was to be shipped to China.
Prices for oil benchmark grades are falling on Monday after they finished “in the plus” for the fifth week in a row and reached the highest levels since mid-April.
The price of WTI crude oil futures for September at the electronic trading of the New York Mercantile Exchange (NYMEX) as of 8:16 a.m. Q2 is down $0.36 (0.45%) to $80.22 per barrel. At the end of the previous session they rose by $0.49 – to $80.58 per barrel.
Quotes of September futures for Brent crude oil on the London exchange ICE Futures is $84.4 per barrel, which is $0.59 (0.7%) below the closing price of the last session. On Friday, these contracts rose by $0.75 (by 0.9%) – to $84.99 per barrel.
Over the past week, quotes of Brent increased by 4.8%, WTI – by 4.6%, according to MarketWatch.
Since the beginning of July, the price of Brent has jumped by 12%, WTI – by 14%, which is the best monthly increase since January 2022, amid production cuts by Saudi Arabia and Russia, notes Trading Economics.
Analysts at ANZ Bank believe that strong macroeconomic data, including US GDP growth, will support oil prices in the near term.
