Coop Pank AS results for January 2023

Coop Pank AS results for January 2023

Coop Pank’s financial results in January 2023:

• In January, number of the bank's clients increased by 2,800 and number of active clients decreased by 700. By the end of the month number of clients reached 149,800 and number of active clients reached 66,100. Over the year, customer base has grown by 27%.
• Volume of the bank's customer deposits increased by 12 million euros, reaching 1.52 billion euros by the end of month. Deposits of corporate customers decreased by 15 million and deposits of private customers increased by 5 million euros. The volume of deposits attracted from international platforms increased by 22 million euros. Over the year, volume of bank deposits has grown by 35%.
• The bank's loan portfolio increased by 11 million euros over the month and reached 1.31 billion euros by the end of January. Home loans increased by 7 million euros, business loans by 2 million euros, leasing by 1 million euros, consumer financing 0.6 million euros. Over the year, loan portfolio has grown by 35%.
• In January, the loan impairment cost was 0.7 million euros.
• Compared to the first month of last year, the bank's net income has increased by 64% and expenses by 18% during the same period this year.
• The bank earned net profit of 2.9 million euros in January, that is 96% more than in the same period last year.
• In January, Coop Pank's return on equity was 22.6% and the cost-income ratio was 38%.
    

Comment by Margus Rink, Chairman of the Management Board of Coop Pank:

"In the context of customer activity, January was rather a calm month typical of the beginning of the year. As the main trends, we see that there is high competition for deposits on the market and new loan applications are in a downward trend. Accordingly, the growth of our business volumes in January was also modest.

By the beginning of the year, in the economy, there has clearly developed the interest rate environment, which once again favours long-term depositors instead of borrowers. Coop Pank's loan portfolio continues to be of high quality. In our profit numbers, the income earned from Euribor plays an increasingly important role, but at the same time, the interest costs paid on deposits are also growing rapidly.

In 2023, we want to continue making the best offers on the market for demand and term deposits and be a flexible and reliable partner for borrowers.”

More detailed quarterly reports of Coop Pank are available at: https://www.cooppank.ee/en/financial-reports

Coop Pank, based on Estonian capital, is one of the five universal banks operating in Estonia. The number of clients using Coop Pank for their daily banking reached 149,800. Coop Pank aims to put the synergy generated by the interaction of retail business and banking to good use and to bring everyday banking services closer to people’s homes. The strategic shareholder of the bank is the domestic retail chain Coop Eesti, comprising of 320 stores.

Additional information:
Paavo Truu
CFO
Phone: +372 5160 231
E-mail: paavo.truu@cooppank.ee

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• Coop Pank 2023-01_EN