The increase in profits at the beginning of the year was mainly driven by active lending to businesses and private customers. According to Marius Arlauskas, Head of Administration of Medicinos Bankas, although at the macroeconomic level there are enough signs of concern about both high inflation and interest rate hikes by the central banks, the fall of the prices of energy resources from their record highs is encouraging.
“The bank’s customer base is really broad – from private customers to large business groups. Although we traditionally focus on small and medium-sized businesses, as well as farmers, we are actively expanding our customer base in all segments,” says Mr. Arlauskas.
The bank’s loan portfolio grew by 4.7% to EUR 266.5 million in the first three months of the year. According to the Head of Administration of the bank, private customers are more cautious about their borrowing options, while businesses are bolder.
“Our business lending volumes have remained stable, and we are experiencing growing demand,” says Mr. Arlauskas.
In the first quarter of this year, compared to January–March last year, net fee and commission income of Medicinos Bankas increased by 5.9% to EUR 1.3 million, while the net result from foreign currency transactions decreased by 14.5% to EUR 0.81 million.
Net interest income reached EUR 4.6 million, almost double the level of January–March last year.
At the end of March this year, liabilities of Medicinos Bankas to customers amounted to EUR 347.6 million and were 4% higher than a year ago
The bank’s assets at the end of the first quarter amounted to EUR 423.8 million and were 4.9% higher than at the end of March 2022.
The equity of Medicinos Bankas shareholders increased by 16.5% and reached EUR 50.1 million on 31 March this year, compared to EUR 43.7 million at the end of March last year.
At the end of March this year, customer service network of Medicinos Bankas consisted of 37 territorial divisions with 297 employees.