VTB Bank earned a net profit of 165.5 billion rubles between January and April.
VTB Group Maintains Profit Target as April, Q1 Earnings Exceed Expectations
In a statement released by the credit organization, VTB Group's net profit for April alone reached 24.3 billion rubles, while the total for the first four months of 2025 stood at 165.5 billion rubles.
First Deputy Chairman Dmitry Pyanov noted that these results align with the bank's plans and expectations. He attributed this success to strong net commission income dynamics and securities operations results. Capital management, Pyanov emphasized, remains a significant focus for the bank this year, particularly with the Supervisory Board's recommendation for a 2024 dividend of 275.8 billion rubles, equivalent to 50% of IFRS net profit.
According to Pyanov, the moderate growth in the credit portfolio since the start of the year and the decline in the retail credit portfolio align with the bank's strategy of moderating asset growth and prioritizing corporate lending. During January-April, the volume of loans to individuals decreased by 3.1%, while those to legal entities increased by 1.5%.
Although there is no direct mention in the provided sources of VTB Group specifically expecting the Central Bank of Russia’s key rate to remain at 21%, such a high rate would typically be associated with specific macroeconomic conditions, such as high inflation, currency volatility, economic uncertainty, sanctions, or external shocks. With current Russian inflation projected at 7–8.2% for 2025, the Central Bank of Russia has set rates much lower in recent years, usually between 7% and 16%.
In light of the bank's financial success, VTB plans to support its capital through the sale of office buildings of banks that have joined or will join - "Opening" and RNKB, as well as other real estate. The 2025 profit target of 430 billion rubles remains in place.
In conclusion, VTB Group's net profit in April and the first four months of 2025 has surpassed expectations, aligning with the bank's plans and strategies. The bank remains committed to capital management and aims to achieve its profit target for the year despite potential economic challenges.
In the light of VTB Group's surpassed earnings and aligned financial objectives, the bank intends to persist with investments by selling office buildings of associated banks like Opening and RNKB, as well as other real estate properties. Furthermore, VTB Group is determined to tackle capital management and endeavors to meet its 2025 profit target of 430 billion rubles, even amidst potential business challenges.
