Bank Millennium reports losses of €181.2 million in 9M 2021
The bank posted losses of €181.2 million in the first nine months, a result "substantially influenced" by provisions for legal risks related to the portfolio of foreign currency mortgage loans.
Bank Millennium reported losses of €181.2 million (PLN -823 million) through the first nine months of the year, according to a statement sent to CMVM on Tuesday.
“The result was substantially influenced by provisions for legal risks related to the portfolio of foreign currency (FX) mortgage loans, which amounted to PLN 1,573 million (€346.3 million) of which PLN 1,424 million (€313.5 million) attributable to FX-mortgages originated by the bank and PLN 149 million (€32.8 million) related to the portfolio of the former Euro Bank,” the document said. The Polish bank added that the level of accumulated provisions represents 20.3% of the FX mortgage portfolio.
Excluding FX-mortgage provisions, Bank Millennium’s net profit amounted to PLN 803 million (€176.7 million), representing a growth of 51.5%.
Between January and September, total operating income decreased 1.2% YoY, while net interest income decreased 0.6% YoY, “reflecting the impact of reduction in official interest rates by 140 bps”. In turn, net fees increased 11.3% YoY and operating costs retreated 9.5% YoY, “supported by lower BFG fees and cost saving initiatives.”
