Credit Bank of Moscow's net income boosted by increased customer deposits

Net income grew 10% year-on-year to $175.3m, while net interest income increased 15.1% to $379.7m, alongside a "traditionally" low cost-to-income ratio of 31.3%.

Customer accounts grew 2.1% to RUB 961bn ($15.3bn), which covers 54.8% of the bank's total liabilities, and CBOM's cost of risk decreased from the 2.5% as at end-2017 to 1.1% at the midway point of 2018.

CBOM's total assets increased 2.3% to RUB 1,931.1bn ($30.8bn).

The Russian bank's gross loan portfolio year-to-date was reported as 12.9% lower at RUB 712.9bn ($11.4bn) as a result of several big repayments; however, in the second quarter it expanded by 2.7% or RUB 21.4bn, mostly owing to CBOM's corporate loan portfolio expanding by the same proportion to stand at RUB 623.2bn.

Non-performing loans as a proportion of the lender's gross loan portfolio was at 1.6% by period-end, having fallen by 0.8 percentage points versus the prior year, although the provisioning ratio increased from 6.1% at the end of 2017 to 6.5%.

Nevertheless, over that same time frame its capital adequacy ratio as per Basel III standards ticked higher by 0.1 percentage points to 23.4%, alongside a Tier 1 capital ratio of 14.8% .