Azerbaijani PASHA Bank assets grew for six months by 10 per cent amounting to 630.072 million manat as of late June 2012, board member CFO Shahin Mammadov said at a news conference on Wednesday.
In August auditing company Ernst & Young presented the audit report on the financial indicators of the PASHA Bank following six months.
"In the first half PASHA Bank once again retained its position as one of the leading players in the market. Total capital reached 177.41 million manat compared to 149.18 million manat as of late 2011 and 141.89 million manat in the first half of last year," Mammadov said.
He said the loan portfolio in the structure of assets accounted for 45 per cent of the assets, portfolio of securities was 39 per cent, funds from financial institutions seven per cent, cash and cash equivalents five per cent and other assets four per cent.
In the first six months the bank kept liquidity at the desired level with an insignificant five per cent decline in the securities portfolio (248.71 million manat compared to 260.98 at the end of last year). The loan portfolio for the period increased by 22 per cent and amounted to 300.33 million manat compared to 246.77 million manat as of late 2011. The share of non-business loans in the total loan portfolio was 10.84 per cent compared to 10.75 per cent last year.
"Effective provisioning rate was 6.3 per cent compared to 5.2 per cent in 2011. Following six months, customer accounts in financial terms were 360.24 million manat. Interest income amounted to 23.79 million manat whilst non-interest was 3.15 million manat," Mammadov said.
He said the bank's income before tax in the first half of the year amounted to 7.14 million manat and net profit 5.47 million manat. Return on assets (ROA) for the period was 4.5 per cent with the return on equity (ROE) at 18.13 per cent.
"During the reporting period, the volume of documentary operations of the bank doubled to 88.4 million manat. Currently the strategic goal is to increase the portfolio of trade finance to 105 million manat by the end of the year," Mammadov said.
PASHA Bank was established in June, 2007 and operates under licence of the Central Bank of Azerbaijan dated Jan.28, 2007.
The Bank, along with Pasha Insurance, PASHA Life, Pasha Travel and Pasha Construction, is included in the Pasha Holding Company which is actually an investment company, but not a classic holding company.
Kapital Bank is also included in the structure of the Pasha Group. The Holding owns 99.75 per cent of the shares in Kapital bank.
Pasha Bank shareholders are: PASHA Holding with 60 per cent, ADOR Ltd with 30 per cent and Arif Pashayev with 10 per cent.