LOCKO-Bank announced its financial results for the first half of 2020 according to IFRS: Net income amounted to RUB 0,9 bn

LOCKO-Bank published the consolidated interim condensed financial statements for the first half of 2020, confirmed as part of the PWC review, in accordance with International Financial Reporting Standards (IFRS). For the six months ended June 30, 2020, LOCKO-Bank’s Profit before tax amounted to RUB 1.1 bn and net profit - RUB 0.9 bn.

Key financial indicators for the first half of 2020:

Net interest income remains at a consistently high level and reach RUB 2.7 bn .
Net profit increased by 10.2% compared to the same period last year to RUB 0.9 bn.
Net interest margin remains at a consistently high level of 5.9%.
Net income from trading and investment securities for the first half of 2020 increased by 60.1% compared to the same period and amounted to RUB 0.6 bn.
Operating income for the first half of 2020 amounted to RUB 4.4 bn.
The total loan portfolio, net of the assessed reserve for expected credit losses, amounted to RUB 47.9 bn.
Funds in customer accounts for the first half of 2020 amounted to RUB 66.5 bn.
The bank's own funds for the first half of 2020 increased by 8.8% to RUB 20.4 bn.
Capital adequacy ratio under Basel Capital Accord was 26.2%.
Return on equity (ROE) for the first half of 2020 was 9.5%.
Cost to income (CTI) for the first half of 2020 was 44.9%.
Cost of risk (COR) indicator for the first half of 2020 was 4.4%.

As of June 30, 2020, the branch network of LOCKO-Bank consisted of 39 offices in 21 regions of the Russian Federation.

Key events in the first half of 2020 and after the reporting period:

• In January, LOCKO-Bank’s internet banking for Business was in the TOP-10 in the “Usability Rating of Banks for Individual Entrepreneurs 2020”, compiled by USABILITYLAB. The research assessed the convenience of using banking services for business clients - from opening an account to making payments and solving other problems in the Internet bank and mobile application.
• In April, LOCKO-Bank became one of the twenty innovative banks in the segment SME "Most Innovative Banks" based on the results of 2019. The research was conducted by SME Banking Club, an association of small and medium-sized business banking experts. Online accounting has become an innovative product of LOCKO-Bank.
• In May, LOCKO-Bank launched an online account opening service for individual entrepreneurs in 35 cities of Russia, where the bank's platform for remote servicing of small and medium-sized businesses operates. An online account can be opened free of charge in 5 minutes.
• In May, LOCKO-Bank and QIWI launched a new service for the remote banking system based on QIWI, which allows the bank's customers to transfer funds online to cards of any issuing banks.
• In June, LOCKO-Bank’s mobile banking for business was entered the TOP-20 of the best according to the results of the Mobile Business Banking 2020 research, which was conducted by the association of small and medium-sized business banking experts SME Banking Club.
• In July, the Analytical Credit Rating Agency ACRA affirmed BBB+(RU) rating of LOCKO-Bank, outlook Stable. The positive assessment is based on a high level of capital adequacy, satisfactory risk profile, and adequate funding and liquidity position.
• In July, LOCKO-Bank’s internet banking for business entered the TOP-20 of the best according to the Business Online Banking 2020.

Commenting on the results of 6 months of 2020, Viktor Davydik, Chairman of the Board of LOCKO-Bank, noted:

“For 6 months of 2020, LOCKO-Bank showed an increase in key financial indicators, despite the difficult situation in the country due to the spread of coronavirus infection. The bank was operating normally, all products and services were available to private and corporate clients in full. The LOCKO-Bank team mobilized all forces, for the comfort of our clients, we used new formats of regular video conferences, adapted remote banking services to the conditions of a crisis regime, and provided support on any issues in online channels. In the second half of 2020, LOCKO-Bank will continue to develop in accordance with the adopted strategy. The bank is constantly looking for new growth points and connects them with further digitalization. "