Net profit of Russian Agricultural Bank by the end of the Q1 2024 amounted to RUB 13.4 billion

22 May 2024


Russian Agricultural Bank has published interim summary consolidated financial results for Q1 2024 in accordance with International Financial Reporting Standards (IFRS).


According to the financial results of Russian Agricultural Bank Group (hereafter – RusAg Group, the Group, RusAg or the Bank) for the first three months of 2024, the Group’s net profit amounted to RUB 13.4 billion, which is the highest figure for one quarter in the Bank’s history. The Group’s assets as of 31 March 2024 amounted to RUB 4.739 trillion.


“In the first quarter of 2024, RusAg Group ensured targeted growth of the loan portfolio with an increase in its quality, maintained the required volume and diversification of the funding base, and increased net interest and commission income. The financial result of the first three months allows us to expect the positive dynamics of profit to remain at the end of the year,” said Kirill Levin, First Deputy Chairman of the Board at RusAg.


The Group’s loan portfolio (before provisions) increased by RUB 24.2 billion (+0.7%) within the Q1 2024 and amounted to RUB 3.743 trillion. In particular, the corporate loan portfolio (including loans at fair value through profit or loss) grew during the first three months of 2024 by RUB 27.3 billion (+0.9%) up to RUB 3.179 trillion. Retail loan portfolio slightly declined (-0.5%) and amounted to RUB 564.2 billion, which was due to the conservative risk policy of the Group and the priority of financial support for the agricultural sector.


The core business direction of the Bank and the Group is providing financial support to agribusiness clients, within the framework of which in Q1 2024 RusAg continued to ensure uninterrupted lending to agricultural producers. The Bank’s agribusiness loan portfolio increased by RUB 50.4 billion (+2.4%) compared to the end of 2023, and amounted to RUB 2.19 trillion. In Q1 2024, the volume of agribusiness loans issued by the Bank increased by RUB 42.5 billion (+11.2%) compared to the same period last year and amounted to RUB 424.6 billion. In particular, the volume of loans provided for seasonal work add up 2.0% to RUB 197 billion. RusAg is the core bank of the agricultural industry, providing 32% of the volume of loans to agribusiness and 73% of the financing of seasonal work in the country.


Deposits and customer accounts grew by RUB 106.1 billion (+2.9%) during Q1 2024, and amounted to RUB 3.76 trillion. Corporate customer accounts (including state authorities) increased by RUB 48.7 billion (+2.8%) and reached RUB 1.772 trillion. Corporate funds excluding funds of state authorities grew by RUB 142.4 billion (+10.6%) compared to the end of 2023, and amounted to RUB 1.488 trillion. Retail deposits and customer accounts increased by RUB 57.4 billion (+3.0%) to RUB 1.988 trillion.


Loan-to-deposit ratio (LTD) stood at 99.6% as at 31 March 2024.


Net interest income as for Q1 2024 amounted to RUB 31.0 billion, which is 13.5% over the level of the same period last year – RUB 27.3 billion. The volume of net fee and commission income amounted to RUB 4.8 billion against RUB 4.6 billion as for Q1 2023 (+4.5%).


The Group’s net interest margin for the first quarter of 2024 amounted to 2.8%. Cost-to-Income ratio (operating expenses divided by net operating income (before allowance for credit losses)) stood at 50.5%.


The Group’s equity (according to IFRS) as of 31 March 2024 amounted to RUB 311.1 billion, having increased by 4.4% in three months. Capital adequacy ratio (N1.0) (under the Bank of Russia requirements) stood at 15.7% as at 1 April 2024.