Banco di Sardegna closed the first nine months with a net profit of 9.3 million

Banco di Sardegna closed the first nine months of 2021 with a gross profit of 10 million, in the presence of negative non-recurring items for 51 million; excluding these items, the gross result would have amounted to 61 million euros, an increase of 10.3% compared to the result of the previous year (55.3 million). Net profit reached 9.3 million, after having deducted taxes for 0.7 million. These are some of the main accounting results achieved by the credit institution and approved today by the board of directors chaired by Antonio Angelo Arru and referring to 30 September 2021. Banco di Sardegna’s capital solidity ratios “are confirmed as among the best in the system and are far superior to regulatory requirements “with Cet 1 Ratio and Tier 1 Ratio Phased-in at 31.7%. Total deposits from ordinary customers reached € 17.3 billion (up 5.9% on December 2020), almost entirely attributable to the increase in direct deposits, which increased by € 932 million to € 11.6 billion (+8, 7%). Indirect deposits stood at 5.7 billion (+27.5 million, + 0.5% on December 2020), Net loans to customers rose to 7.2 billion, with the performing component growing by 104 million while the impaired one fell by 90 million (-24.1%); new home mortgage loans from the beginning of the year were significant for 439 million (+ 25% on an annual basis). The loans guaranteed by the state for the Covid-19 emergency amounted to 569 million at the end of September 2021. Credit quality improved further, registering a reduction in the incidence of gross impaired loans on total loans, from 9.8% to 8.8%. The coverage ratio of impaired loans rises to 57.7% from 49.8% in December 2020, of which the coverage of non-performing loans rises to 63.2% and that of UTPs to 49%; the degree of coverage of performing loans also increased significantly, reaching 0.71%, compared to 0.35% at the end of 2020. The trend in the default ratio, which reaches an annualized 0.8%, is more than positive and gradually decreasing. On the income statement front, the first margin amounted to € 252 million (+ 0.6% yoy). The trend in net commissions was particularly positive, reaching 44.1 million in the third quarter, the highest figure compared to the previous six quarters. , 8 million on September 2020. Net adjustments for credit risk rose to 76.9 million compared to 32.1 million in September 2020 due to higher non-recurring adjustments of approximately 46.5 million, mainly attributable to ” updating of the valuation models to the most recent regulatory indications and in line with a careful and prudent risk management policy. Operating costs fell to 176.6 million (-7.6 million y / y, -4.1%), with personnel expenses at 97.7 million, down by 4.7 million (mainly due to the of the redundancy maneuver of the 2019-2021 business plan) and other administrative expenses to 69.6 million (-3.4%). The cost / income ratio drops to 61.9%, a clear improvement compared to 65.7% in September 2020 The Texas Ratio reaches 49.9%, gradually decreasing compared to a year earlier (62.9%), in December 2020 (56.6%) and June 2021 (52.3%). Commenting on the results, the general manager of Banco, Giuseppe Cuccurese observes how “the trend of these nine months of 2021 is in the sign of positive continuity, highlighting sustainable growth in terms of revenues and a virtuous containment of operating costs, which fell year on year by 4.1%. The drop in cost / income was significant, down y / y from 65.7% to 61.9%. In particular evidence the growth of commissions (+ 13.9%), which rose to 47.8% of their incidence on the first margin, thus confirming the now multi-year trend of progressive enrichment of the bank’s characteristic activity with consultancy and intermediation towards new financial products “. “We are very satisfied with the achievement of an operating result of over 108 million, – he adds – an increase of 12.8% compared to September 2020, which allowed us to absorb the greater impact, for 46.5 million, of the adjustments on non-recurring loans attributable to the updating of the valuation models to the most recent regulatory indications “.” On the other hand, – Cuccurese argues – the aforementioned higher provisions made it possible to further strengthen the solidity of the financial statements, raising to 57.7% (from 49.8 % at the end of 2020) the coverage of impaired loans, and to 0.71% (from 0.35%) the coverage of performing loans. In this context, these evidences are confirmed in the Texas ratio – down to an excellent 49.9 % (56.6% at the end of 2020) – and in the Cet 1 ratio, which is confirmed at 31.7%. Having said this, we are therefore satisfied with both the alignment of coverage rates to best practice and the realization of a profit gross of 10 million ( net 9.3 million) “.