Unprofitable Year: which banks have lost the most

Svyaznoy and Renaissance Credit showed the worst results among retail banks in 2014; their losses exceeded the capital. Russian Standard and Vostochnyy have lost more than half of their own funds.
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RBC has compared the 30 largest banks in terms of assets, which have already published the IFRS financial statements for 2014, the magnitude of loss or profit in relation to equity (ROE, or return on equity).


Among the universal worst performance among the analyzed RBC at SMP Bank, which in 2014 was not only a loss of 49.4 billion rubles., And finished the year with a negative capital of -35.7 billion rubles. The reason for such a big loss, as explained by press secretary of the SMP Bank Igor Ilyukhin, steel losses rehabilitated banks MOSOBLBANK groups that have arisen due to the recognition of negative goodwill and the impairment of assets, after analysis of the situation and amounted to 51 billion rubles.

"The decision on the recognition of a loss due to the fact that the deficit of the net assets of the rehabilitated banks as a result of later calculations appeared essentially above figures, which was laid during the decision-making on remediation," - he said, adding that he SMP Bank as the parent organization of the group made a profit about 2 billion rubles. at the end of 2014.

"Hole" in MOSOBLBANK as wintersFirst reported SMP leadership is about 100 billion rubles. In early May, "Kommersant" newspaper reported that the Investigative Department of the Russian Interior Ministry initiated a criminal case on the theft of MOSOBLBANK its former owners of more than 70 billion rubles.

SMP Bank has received from the state 117 billion rubles. at 0.51% for ten years to reorganize. The Bank of Russia intends to provide additional support SMP Bank. In his statements, the Bank said that in March 2015 the Central Bank Board of Directors decided to allocate additional funding to 55 billion rubles. "Under certain conditions". Within this MOSOBLBANK amount already granted a loan in the amount of 12.2 billion rubles. for 12 years at 0.51% per annum.

Excluding the SMP Bank the worst performance among the 30 banks analyzed in the RBC "Russian Standard" and "Orient Express", who have lost more than half of the capital. However, among the retail banks, the results of which were analyzed separately, their losses are not the biggest. Champions in retail - "Renaissance Credit" and "Messenger", the losses which exceeded the capital.

Lost "Russiana standard "amounted to 16 billion rubles," Renaissance Credit "-. 15.6 billion rubles," Orient Express "-. 10.7 billion," The Messenger "- 7.6 billion," Home Loan "- 4.5 billion OTP Bank - 1.8 billion rubles. Profitability were only Tinkoff Bank (3.5 billion rubles.) And Sovcombank (1 bln.).

Prevent damages retail banks have not helped either a reduction of loan portfolios or tightening requirements for borrowers, or cost optimization. "Retail banks need to seek capital. There is no alternative, "- describes the end of last year, the situation on the Fitch analyst Dmitry Vasilyev, the consumer credit market.

Among the main causes of losses - an increase of provisioning expenses. "Zakreditovannost population, combined with a complex macroeconomic situation has caused a sharp increase in risk in the retail and led to the need to create additional reserves," - said an analyst with the agency "Rus-Rating" Evgeniy Slavnov.

Vasilyev from Fitch notes that the bank bailouts - in the hands of their shareholders. However, it is necessary assistance does not come.

So, Messenger bnc have in their financial statements under IFRS, which expects to attract an investor who will be able to capitalize the bank at 8.3 billion rubles. Then the bank will be able to maintain a capital adequacy ratio (N1) at 10.5%. Otherwise, according to the "Coherent" materials, "there is doubt" that the bank will be able to "continue as a going concern and to fulfill the obligations."

In March of this year, The Messenger Bank appealed to shareholders to provide 5 billion rubles. However, so far to no avail. Control of "The Messenger" this year has changed - moved from Maxim Nogotkova to Oleg Malis. Companies Roulson Holding Oleg Malis owns 100% of the shares NFOC, which owns 51% Trellas Enterprises Limited. Last owns 81.3% stake in the bank's Messenger.

"Renaissance Credit", according to his press service did not comment on the financial results of the last year, as reflected in the bank's investor presentation, until the publication of the full version of IFRS. The representative of the "Russian Standard" assured that, if necessary, at the expense of shareholder funds will be increased and fixed assets Bank. As for the "Orient Express", according to the decision of the shareholders meeting of the Bank adopted by the end of March this year, it plans to float shares on the 3.5 billion rubles., Thereby increasing the authorized capital of up to five times. According to the newspaper "Vedomosti", the bulk of the additional issue of "Eastern" may buy Baring Vostok Capital Partners, which belongs to the structure of the bank is now the largest package - 33.9%.

Reservation by KPMG

An unusual thing happened with the statements of the bank "Uralsib", which in 2014 increased its loss under IFRS six times - up to 9.5 billion rubles. Bank auditor - the company of KPMG - has provided an opinion with reservation. This opinion expresses the auditor, if he can not give a fully positive conclusion, but differences were not significant to the company's management to issue a negative opinion.

Disclaimer KPMG concerns two assets - shares of the insurance group "UralSib", and goodwill. On the bank's balance sheet including shares IG "UralSib" worth 19.47 billion rubles., Which the bank takes into account at cost. As stated in the audit report"Uralsib" conducted test value of these shares, and did not reveal any impairment. The auditor disagrees and believes that action is necessary to reduce the price. Of KPMG, noted in the audit report, and does not agree with the carrying amount of goodwill of 4.5 billion rubles., Resulting from the business combination in 2005.

One-time success

The best results for return on equity showed a private bank - BIN (18.9%). In second place - a bank with the state-owned Sberbank (14.9%). Then follow the "daughter" of foreign banks "UniCredit" (13.7%) and "Nordea" (11.5%), and closes the top five private Moscow Credit Bank (10.1%).

S & P analyst Irina Veliyev explained that the general reasons for the high profitability of these banks do not have. "This is the most profitable banks in their groups," - she specified. "Most of the banks that have received good financial results in the won currency revaluation and foreign currency transactions", - said Eugene Slavnov.

So, Binbank received one-time income from the securitization of loans to legal entities portfolio, secured by real estate (profit 3.3 billion rubles.), As welle on bank resolution (5,5 bln.). ICD also won at the expense of the overall efficiency of banking operations. "The bank, for example, a low ratio of administrative expenses to operating income and stable high commission income", - said Veliyev.