Romanian BCR Group ‘08 Net Pft Up 120% Y-Y To RON2B

Excluding one-off revenues from the sale of BCR’s minority shares in Romanian insurer Asiban and in Italian bank Banca Italo-Romena, as well as its insurance business, totaling RON745.9 million after tax, net profit after taxes was RON1.29 billion (EUR348.4 million), 39% higher than in 2007.

BCR, the largest financial group in Romania, reported a pretax profit of RON1.84 billion (EUR498.3 million) in 2008, which excludes discontinued operations, 66.9% higher than RON1.1 billion the previous year.

BCR, alongside three other Romanian lenders, equally owned Asiban, sold last year to French group Groupama for a total EUR350 million. In the last quarter of 2008, BCR also sold its insurance companies BCR Asigurari and BCR Asigurari de Viata to Vienna Insurance Group, or VIG, in a deal worth some EUR244 million.

BCR had RON69.1 billion in total assets at the end of 2008, up 9% compared with RON63.4 billion at the end of the previous year.

BCR is majority owned by Austria’s Erste, which paid EUR3.75 billion for 61.88% of its shares at the end of 2005.

"2008 was an exceptionally good year for BCR. Underlying performance improved significantly following completion of the integration and development program with Erste Group," BCR CEO Dominic Bruynseels said in a press statement.

"As a result, BCR is in good shape to meet the challenges arising from the very different operating climate which now exists," he added.

BCR said the financial data are unaudited, consolidated as of December 31, 2008, and according to IFRS.

BCR Group includes the largest Romanian bank by assets BCR, BCR Administrare Fond de Pensii, BCR Leasing, BCR Asset Management, BCR Securities, Anglo-Romanian Bank Ltd. and BCR Chisinau.