“Trust” slightly opened the reporting – Newspaper Kommersant No. 42 (7487) dated 03/14/2023

Bank “Trust” disclosed the reporting under Russian standards (RAS) for 2022. The bank sharply reduced, but still retained profits, as it was able to partially sell non-core assets that it manages, as well as earn on the rest. However, the experts specify, the publication of data in abbreviated form does not allow a full and reliable assessment of the state of the bank.

Bank of non-core assets (BNA) “Trust” disclosed its RAS financials for 2022 in a new abbreviated form. BNA’s assets decreased over the year by 62.1 billion rubles. For open lines in the asset structure, the reduction amounted to 29.3 billion rubles, while 32.8 billion rubles. belongs to the classified. Among the latter are derivative financial instruments, investments in subsidiaries and affiliates, and “other assets”.

In 2022, “Trust” withdrew from a number of assets, in general, having received income from transactions of 74 billion rubles.

In particular, Inteko (38 billion rubles), Geotech were sold (the amount of the transaction is unknown, see below). “Kommersant” dated December 16, 2022), ZernoDon, Atakaycement plant and others.

At the same time, the bank received new assets. So, in 2022, FC Otkritie sold Kama to Trust (according to unofficial data, Trust has already resold it for 36 billion rubles, see below). “Kommersant” dated February 3), “Point” (see “Kommersant” dated December 14, 2022a) and Baltic Leasing (was sold to Trust at a loss for Otkritie). In general, over the year, Otkritie sold assets to Trust for 52.5 billion rubles.

The bank also showed a sharp increase in risk-weighted assets by RUB 387 billion. for the year, to 1.4 trillion rubles, despite the fact that there was no comparable increase in the line of assets, and reserves for losses on loans generally decreased by an order of magnitude: at the end of 2022, the bank accrued 12.5 billion rubles. against 290.9 billion rubles. a year earlier. “The change … is connected with the peculiarity of their accounting and reflection in the reporting of income and expenses. These changes do not affect the final financial result,” the bank explained. Yury Belikov, Managing Director of Expert RA, is inclined to interpret the situation more as a transfer of part of the losses to future periods due to the Central Bank’s relaxations in terms of the formation of reserves.

Net profit of “Trust” exceeded 1 billion rubles. against 50.5 billion rubles. a year earlier. However, the main indicator for the BNA is fees from non-core assets, which amounted to 113 billion rubles in 2022, 52 billion rubles were returned to the Central Bank.

At the same time, Trust has significantly increased off-balance sheet irrevocable liabilities – from 29.6 billion to 44.9 billion rubles. Banking expert Alexei Nechaev believes that this growth could be partly caused by reverse repurchase transactions. The Trust did not comment on the situation. This off-balance sheet position also includes unused limits on credit lines, overdrafts and bank guarantees. “However, a large lending activity of the bank of bad debts seems unlikely,” Mr. Nechaev said.

In addition, “Trust” showed a sharp increase in sources of additional capital. Over the year, they increased from 547 million to 9.3 billion rubles. BNA explained that this happened at the expense of the current year’s profit. According to Alexey Nechaev, sources of additional capital that showed a multiple increase may include current year’s profit, unconfirmed by auditors, or subordinated loans and revaluation of fixed assets. “However, based on the reporting, there was no comparable revaluation, and it is quite difficult to imagine that Trust received a subordinated loan, which means it is profit,” the expert explains.

The increase in the sources of additional capital of the “Trust” did not coincide with its net profit, but “there is nothing surprising here,” says Mr. Nechaev. According to him, the methodology for calculating the current financial result, reflected in the bank’s capital, differs from the procedure for calculating net profit, used when compiling a report on financial results. In particular, the impact on profit and loss of valuation reserves, “cleaned out” from the calculation of regulatory capital, is different, explains Mr. Nechaev. Trust’s reserve expenses in 2022 according to RAS amounted to 12.5 billion rubles, however, from the published reporting form it is impossible to understand how much is accounted for by estimated reserves, the expert clarifies: “It’s good when the bank’s own funds grow. However, with such a huge “hole” in capital (minus 1.4 trillion rubles), these figures are intangible.”

Olga Sherunkova