BRD makes 154m-euro net profit

BRD-SocGen, the second largest bank on the market, made a net profit of almost 154 million euros in 2005, a rise of some 70% against the previous year, given that its assets rose by 78% to 5.2 billion euros. The group as a whole, including leasing, brokerage and consumer credit divisions, posted a 160 million-euro profit. BCR, the leader of the market, posted a 202 million-euro profit in 2005, with assets worth 8.9 billion euros. Like all the other companies, BRD benefited from last year”s reduction of the profit tax, which shrank from 25% to 16%. As a result, the net income stood at 553 million RON, a 41% increase against 2004. Whereas last year, chairman Patrick Gelin declared 2004 to be “BRD”s best financial year”, on Wednesday he said the net profit obtained “proves that we have a well-managed risk cost.” Gelin also stated that the 20% increase in the group”s gross operating income to 751 million RON (208 million euros), demonstrates “good management of general expenses.” ZF