Zagrebačka Banka (ZABA) generated a 818 million kuna (€109 million) profit after tax in the first half of 2021, up by 43 million kuna (€5.7 million) or 5.5 percent compared to the same period in 2020, according to the bank's unaudited consolidated financial statement released on Monday.

Consolidated operating income in H1 amounted to HRK 2.4 billion or 5.5% less year-on-year. At the same time, operating expenses increased by 0.3% to HRK 1.1 billion.

Net interest income amounted to HRK 1.43 billion, down 8.1% on the year. This was mostly due to lower interest margins resulting from market trends, ZABA said.

Net income from commissions and fees totalled HRK 656 million, up 3.5%.

Expenses for value adjustments and provisions for losses amounted to HRK 232 million, down HRK 117 million, mostly due to value adjustment losses in 2020 as a consequence of the Covid-19 pandemic.

The group’s assets amounted to HRK 153.2 billion while net loans and advances to customers amounted to HRK 82.8 million, an increase of HRK 951 million compared to H1 2020, due to the increased exposure to the state, ZABA said in its financial statement.

Customer deposits amounted to HRK 122.89 billion, up 4.8% or HRK 5.7 billion.

(€1 = 7.52 kuna)