According to audited data, Medicinos Bankas UAB and its subsidiary companies (group*) earned a net profit of LTL 4.5m in 2013. Of this sum, Medicinos Bankas alone earned LTL 2.38m.
According to Gintaras Treinys, chairman of the board and head of the bank's administration, 2013 was a year of great financial income, purposeful investment and innovation for the bank. “The bank focused a lot of attention on bringing modern technology and innovation to the service system. Looking at the client's needs, the bank invested in modern interactive technologies, launching mobile banking products that could be considered innovative both within the context of Lithuania and the wider international community,” – explained Mr. Treinys, emphasising that clients now have the opportunity to directly manage their finances in Medicinos Bankas at any time.
In 2013, Medicinos Bankas offered its clients a mobile banking application that gave them the opportunity to pay invoices for services by photographing a special bar code sent with the service provider's invoice with their phones – only one of its convenient functions. There are plans to present clients with another novelty in the first half of 2014 – the bank's mobile wallet (an app), which allows you to pay for products and services at restaurants and gas stations from your bank account with the help of a mobile phone. Last year, Medicinos Bankas continued to develop its partnership with e-commerce stores and it also created a new and informative website with modern navigation and conveniently presented information.
From cash services, commission fees, and foreign currency exchange services, Medicinos Bankas earned 32.07m litas more, i.e., 24.83 percent more, than in 2012 (2012 saw an income of 25.69m litas).
Over the course of 2013, the bank's net interest income increased by 17.49 percent and reached 26.45m litas by the end of the year (22.51m litas in 2012).
Deposits and loans
By the end of December of 2013, the Medicinos Bankas net loan portfolio amounted to 467.81m litas (489.01m litas by the end of 2012).
In 2013, the ratio of loan provisions and loan portfolio fell from 16.00 percent at the beginning of the year to 15.93 by the end of the year.
At the end of 2013, client deposits amounted to 719.08m litas (726.09m litas at the end of 2012), and fixed-term deposits amounted 553.56m litas (547.43m litas at the end of 2012).
Private deposits (deposits made by private individuals) increased by 20.03m litas or by 3.66 percent (from 547.53 to 567.57m litas).
Assets and regulation
On December 31 2013, the assets of Medicinos Bankas amounted to 879.8m litas (889.24m litas at the end of 2012).
Medicinos Bankas complied with all prudential requirements set out by the Bank of Lithuania. Its capital adequacy indicator reached 15.40 percent on December 31 2013 (the norm indicated by the Bank of Lithuania is no less than 10 percent) and its liquidity ratio reached 49.65 percent (the norm indicated by the Bank of Lithuania is no less than 30 percent).
With the expansion of the bank's network (by the end of 2013, the bank had 104 divisions), the number of bank employees also grew – from 562 employees at the end of 2012 to 610 employees by the end of 2013.
Due to this expansion, there was also a 29.89m litas increase in expenses (in 2012 this number only reached 25.21m litas). Personnel related expenses made up the largest part of this increase, growing by 3.38 percent or 20.74m litas.
By the end of December of 2013, the bank provided financial services to over 55 thousand individual and business clients (48 thousand clients in 2012). The number of the bank's clients increased by 17.4 percent. Of this number, 15.86 percent were individual clients, resulting in an increase from 43,075 to 49,905 clients.
In 2013, Medicinos Bankas operations were closely linked to small and medium-sized businesses, providing clients with state supported credit. In partnership with the Agricultural Credit Guarantee Fund (ACGF) and INVEGA Investments and Business Guarantees, the bank actively financed small and medium-sized businesses, farmers, processors of agricultural products and businesses developing in rural areas. Medicinos Bankas issued 17 percent of all the credits issued by lending institutions with the ACGF guarantee for farmers, rural businessmen and processors of agricultural products.
* Medicinos Bankas UAB is a group composed of the following subsidiary companies: Medicinos Bankas UAB, MB Turtas UAB, MB Valda UAB, Valturta UAB, MB Investicijs UAB, TG invest – 1 UAB.