ProCredit Holding AG raises medium-term RoE outlook in light of the updated group business strategy
In light of the update of the group’s business strategy, the Management Board of ProCredit Holding AG decided today to raise the medium-term outlook for the group’s return on equity from around 12% to around 13-14%. (more…)
Science Based Targets initiative has validated ProCredit Holding AGs near-term emission reduction targets
• Validation by the Science Based Targets initiative (SBTi) confirms ProCredit Holding’s near-term targets as science-based in accordance with the Paris Climate Agreement
• ProCredit Holding commits to reducing the group’s absolute Scope 1 and Scope 2 GHG emissions by 42% by 2030 with 2022 as the base year
• ProCredit Holding’s validated Scope 3 Portfolio Targets cover 57% of its overall investment and lending by total assets as of 2022
• ProCredit Holding’s Scope 3 target is to engage with the clients responsible for 28% of the group’s portfolio emissions to set their own science-based targets by 2027
• ProCredit Holding commits to continue only financing renewable energy projects through 2030 (more…)
Supervisory Board decides to expand the Management Board of ProCredit Holding AG from 1 April this year
The Supervisory Board of ProCredit Holding AG has appointed Mr Christoph Beeck and Mr George Chatzis as members of the Management Board for three years with effect from 1 April 2024. (more…)
ProCredit: No significant impact anticipated from the increase in the Ukrainian profit tax for banks; forecast for 2023 and medium-term outlook confirmed
A law formally ratified by the Ukrainian President on 06 December 2023 that raises the profit tax rate for banks from 18% to 50% for 2023 and will prohibit banks from applying losses from previous years to the current year’s profit will have no impact on the group outlook for the 2023 financial year as of the current date. Also through this law a permanent increase of the tax rate on bank profits to 25% is to be implemented from 2024 onwards. Despite the financial impact of these changes on ProCredit Bank Ukraine, the Management Board confirms the FY 2023 and medium-term outlook for the ProCredit group. (more…)
ProCredit achieves strong 9M result and a 13.6% return on equity; all group banks in South Eastern and Eastern Europe with enhanced operational and financial performance
- Result of EUR 94.0 million in 9M 2023 corresponds to a return on equity of 13.6%, and is thus in the area of the group’s medium-term guidance
- High diversification of positive development, with all ten group banks in South Eastern Europe and Eastern Europe contributing higher results
- Net interest margin of 3.6%, around 50 basis points higher than in 9M 2022
- Good level of cost efficiency, as cost-income ratio improves to 58.7%
- Cost of risk at 20 basis points, reflecting stable loan portfolio quality and conservative risk profile
- Particularly good deposit growth of 10.3%; loans increased by 1.9%, with positive growth dynamics in Q2 and Q3
- Strong 9M result contributed to the raised guidance for the 2023 financial year, as announced on 26 October 2023
ProCredit Holding AG: Conversion into joint stock company successfully completed
The parent company of the development-oriented ProCredit group has successfully completed the transformation of its legal form into that of a stock corporation (AG). The conversion was completed with today’s entry of ProCredit Holding AG in the commercial register (27 September 2023). Beforehand, the Annual General Meeting held on 5 June 2023 had already resolved to approve the change in legal form with a very large majority. The conversion into a stock corporation is intended to further enhance investor acceptance, especially among international market participants, while at the same time simplifying the corporate structure. The business focus of ProCredit Holding, and in particular its emphasis on South Eastern and Eastern Europe and its commitment to impact orientation, will remain unchanged. (more…)
ProCredit delivers a strong half-year result and a 14.2% return on equity; ProEnergy solar park marks important milestone for the group in achieving climate neutrality
- Result of EUR 64.1 million in H1-23 corresponds to a return on equity of 14.2% and thus underlines the group’s medium-term guidance
- Net interest margin continues to develop positively, and at 3.5% is around 40 basis points higher than at the end of the previous year
- Adjusted for non-recurring effects, cost-income ratio improves to 58.3%
- Cost of risk at a low level of two basis points based on stable loan portfolio quality
- Deposits increase by 2.7%, loans by 0.8% with positive growth dynamics especially in the second quarter
- Group opens 3 MWp ProEnergy solar park in Kosovo, with which it plans to offset its own emissions almost completely
- Conversion of legal form to stock corporation (AG) expected to be completed in the third quarter