NKR Defense Army Commander: Baku blackmailing OSCE Minsk Group

Investigation Committee: Karen Petrosyan might be abducted from Armenia's territory

Manvel Grigoryan: In case of war in Artsakh, the boys of oligarchs and statesmen will also be fighting

No single Iraqi Yazidi has so far applied to Armenia for refuge

VTB Bank (Armenia) prolongs working time at some of its branches

Beeline grants its customers 1,000 intra-network minutes or 1,000MW Internet traffic on their birthdays

Paruyr Hayrikian to embark on hunger strike on 8 September

Aziz Tamoyan: Yazidis are killed on the same scenario as Armenians in 1915

Hovik Abrahamyan: I cannot wave a magic wand to bring everyone out of the shadow

Nikol Pashinyan urges Parliament to provide privileges to residents of near border Armenian communities

Roman Pope to serve liturgy timed to Armenian Genocide centennial

Washington refuses to sell Cougar military vehicles to Baku

Vagharshak Haroutiunyan: Azerbaijani Armed Forces have no means to reflect Armenian missiles

USA calls on Government of Azerbaijan to conduct full and transparent investigation into death of Armenian man in Azeri captivity

Ardshininvestbank plans to buy shares of Artsakh Investment Fund

Armenian authorities share the indignation of Yazidis living in Armenia concerning the ongoing tragic events in Iraq

Gary D. Robbins: "As a co-chair of the OSCE Minsk Group, the United States remains committed to helping all sides reach a lasting settlement to the Nagorno-Karabakh conflict"

Head of Armenia's Diplomatic Mission to OSCE slams Azerbaijan for provocations

Tom de Waal: Russia is fueling conflict in order to manage the situation

Ali Husseinly: Russia's activity at current stage of Karabakh conflict is for a reason

Court does not change measure of restraint against Levon Hayrapetyan

Alexander Sotnichenko: United States will not launch large-scale intervention to stop extermination of national minorities in Iraq

Stepan Safaryan on aid to Iraqi Yezidis: Inactivity of Armenian diplomacy no longer surprises public


Zardusht Alizadeh: Arriving in Sochi, Aliyev and Sargsyan once again demonstrated the world that Russia is still the demiurge in the Caucasus

Masis Mailyan: Unlike Azerbaijan, global centers of force are not interested in growing tensions in Nagorno-Karabakh conflict zone

Sergey Grinyayev:The West’s sanctions are extremely positive for the Eurasian Union project

Alexey Kolomiyets: West's sanction will hardly sober Putin and the Kremlin

Hrant Bagratyan: Sanctions will have tangible impact on Armenia

Georgi Kolarov: The second Nagorno-Karabakh war is inevitable

Artashes Shaboyan: Reduction in consumer demand has a negative effect on supermarkets

Tigran Davtyan: If you have a telephone with you, it means that you have a wallet with you too

Shmuel Meirom: Israel is willing to contribute of its experience in the field of economy, but it cannot force Israeli business to invest in Armenia

Marine Karapetyan: Ameriabank on large business: problems and solutions

Eduard Sharmazanov: The opposition camp has no leader to steer the people

Alexander Zinker: Readiness of the Kremlin to protect its “Big Russian world” is dangerous for Russia itself

Vahe Davtyan: lternative power engineering should be developed regardless of fluctuations in electric power tariffs

Alexander Krylov: Taking into consideration the experience of the EU, Russia has to refuse maximal extension of the Eurasian Economic Union

Rasim Musabekov: Not only global but also the regional geo-political balance is changing

Zardusht Alizade: Apart, Armenia and Azerbaijan will always remain non-democratic fascist states

HSBC Bank Armenia, Ardshininvestbank and Ameriabank still Top 3 banks of Armenia by net profits

  • by Erik Abrahamyan

  • Tuesday, February 25, 17:32

HSBC Bank Armenia, Ardshininvestbank and Ameriabank are still Top 3 banks of Armenia by net profits for 2013: 8 bln drams ($19.7 mln), 6.5 bln drams ($16 mln), and 6.2 bln drams ($15.2 mln), respectively. ACBA-Credit Aghricole Bank is on the 4th position with 5,1 bln drams net profits and INECOBANK ranks the 5th with 4.893 bln drams. VTB Bank (Armenia) is on the 6th position with an insignificant different - 4.891 bln drams.  

According to the Analysis and Financial Ranking of Armenian Banks prepared by ArmInfo News Agency, Top 2 banks by the return on assets (ROA) are INECOBANK - 4.18%, HSBC Bank Armenia - 3.53% and ArmSwissbank - 3.52%. Then goes Ardshininvestbank with 2.86% forcing ARARARTBANK  to the 6th position with 2.63%. The first two places in the Top 5 banks by return on equity (ROE) still belong to INECOBANK (25.16%) and HSBC Bank Armenia (20.15%).

Ardshininvestbank ranks the third (17.36%) forcing ARARATBANK to the fourth place with 17.29%. In fact, Ameriabank were down to the 56h position (16.10%). 
Retained profits of Armenian banks for 2013 totaled 48 bln drams ($118.4 mln), growing 21.9% versus 2012 and falling 13.4% for Q4 2013 versus 18.4% growth for Q3.  By the balance sheets of 21 operating banks, 19 out of total number of banks ensured 49.8 bln drams total profits for 2013, amid 1.8 bln drams loss of the remaining 2 banks.  Retained profits of 8 banks suffered decline for 2013. This indicator of Byblos Bank Armenia fell nearly 4-fold to a negative level. Meanwhile Anelik Bank's negative retained profits are even higher in absolute terms. The bank plans to zero its losses and end up with profits in 2014.

 Armbusinessbank took the leadership position by the annual growth of retained profits (4-fold) ending up with profits, due to increased investments in government bonds (21.7%) amid 2.3% growth of the loan book. Converse Bank, Armeconomibank and ProCredit Bank go the next by the annual growth of retained profits (over twofold). The latter went up with profits due to a 29.1% growth of the loan book. Converse Bank increased lending by 25.8% and investments in government bonds by 47%. Ameriabank increased investments in government bonds over threefold, funds on nostro-accounts by 88.8% and the loan book by 11.5%. 
Total capital of the country's banking system for 2013 grew 16.7% and 5.9% for Q4 2013 (4.2% in Q3) to 471.2 bln drams ($1.2 bln) as of Dec 31 2013. The annual growth of total capital resulted from a 4,7% growth of the statutory capital (following capitalization of four bank, including 2 in Q3 and the other 2 in Q4), and a 42.7% growth of the revaluation reserve. Particularly, the following banks replenished their statutory capitals for 2013: ProCredit Bank (Q3, 33.4% - issue of shares), Arexibank-GPB Group (Q3, 14.9%, investments by the sols shareholder -GPB), Unibank (Q4, 14.9%, a growth in the share of the majority shareholder Ripatonso Holdings Ltd from 75.44% to 100%), and ArmSwissbank (Q4, 44.3%, acquisition of a 20% shares in the bank by Belegingsmachepij Jongo LLC, though Vardan Simarkes is the indirect shareholder of the bank - 100%). 

ACBA-Credit Agricole Bank took the leadership position by the statutory capital in July 2011 and retained its position till 1 Jan 2013 - 30 bln drams. The bank capitalized most of its profits and share capital in Q2 2011 forcing Ameribank to the second place. Ameribank had been on the first place by this indicator in the period from Q4 2008 up to June 2011 with 25.5 bln drams (without annual changes, and including the merger with Cascade Bank in June 2010). The third position belongs to HSBC Bank Armenia - 18.4 bln drams (due to capitalization in Q3 2012 at the expense of profit). The bank forced Armbusinessbank to the 4th position with 17.5 bln drams (capitalization in Q4 2011 through additional issue of shares).  Areximbank-GPB Group tanks the 5th with 16.5 bln drams statutory capital (capitalization in Q3 2013).  Top 5 banks by total capital as of Jan 2014 are ABCA-Credit Agricole Bank - 54.3 bln drams (up 11.1% versus Jan 1 2013), Ardshininvestbank - 44.2 bln drams (up 23.4%), HSBC Bank Armenia - 41.3 bln drams (up 16,3%), Ameriabank - 38.8 bln drams (up 5.5%), and VTb Bank (Armenia) - 37.5 bln drams (23.8%). 

Assets of the banking system grew 22.8% for 2013 and 8.1% for Q4 2013 versus 2.9% in Q3 2013, totaling 2.9 trillion drams ($7.3 bln) as of Dec 31 2013. Assets grew ion 2013 as the funds on bank correspondent accounts (nostro) grew 36.5% (exclusive of Ameribank's big amount, the growth was insignificant), portfolio of government bonds grew 15.4%, lending grew 14,4% and disposable funds - 13.9%. Top five banks by assets are Ameriabank - 315.1 bln drams (28.6% growth for 2013), VTB Bank (Armenia) - 299.7 bln drams (41.8% growth), Ardshininvestbank - 270.9 bln drams (36.4% growth), ACBA-Credit Agricole Bank  - 267.8 bln drams (8.3% growth), and HSBC Bank Armenia - 249.4 bln drams (17.9% growth).

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