William Malcolm

Air Bank Sees Profits Grow In First 9 Months Of 2021

The Air Bank Group, which consists of Air Bank, Benxy and the Czech and Slovak Home Credit, reported a net profit of CZK 1.47 billion in the first nine months of the year. Year-on-year growth is 16.9 percent. Compared to the same period in 2020, operating revenues fell slightly by 1.6 percent to 4.29 billion crowns. Air Bank informed ČTK about its unaudited results today.

The Air Bank Group belongs to the PPF Group, which is negotiating its merger with Moneta Money Bank. The combined results were prepared for information purposes only with a view to negotiating a possible merger of these companies with Moneta. The combined results thus relate to a hypothetical situation if Air Bank, Benxy, Home Credit and Home Credit Slovakia formed one consolidated group.

The total net volume of loans provided by the Group at the end of the third quarter of this year reached CZK 63.3 billion, of which loans to retail clients amounted to CZK 55 billion, which was a year-on-year increase of 17.8 percent. The volume of customer deposits increased by 13.6 percent compared to the same period of the previous year.

“It is becoming very clear that our uncompromising focus on promoting innovation and delivering value to our customers continues to pay off,” said Michal Strcula, CEO of Air Bank and a member of the Supervisory Boards of Benxy, Home Credit and Home Credit Slovakia.

PPF Group announced on Thursday that it had agreed with Moneta Money Bank on a new financing model for the merger of Moneta Money Bank and PPF’s banking division, which includes Air Bank, Czech and Slovak Home Credit and Benxy (Zonky).

The merger agreement was approved by Moneta Money Bank shareholders in June this year, but at the same time they rejected the then proposed financing model. The new financing agreement requires the new approval of the General Meeting of Moneta Money Bank. PPF pointed out that this is also the last opportunity for Moneta’s shareholders to support the intention to merge the Air Bank Group and Moneta Money Bank.

According to the number of clients, the merger could create the third largest bank on the Czech market after Česká spořitelna and ČSOB. Moneta Money Bank has been operating under its current name since 2016. At that time, the bank’s name was changed from the former GE Money Bank in connection with its listing on the stock exchange in May of the same year. Moneta is one of the largest companies.