Audited financial results of “General Financing Bank” for 2023 – profit grew by 14 percent.

“General Financing bankas” announces the audited financial results of 2023. The bank’s deposit portfolio increased by 31 percent in 2023. up to 133 million EUR, the loan portfolio increased by 11 percent. up to 121 million Eur. The bank’s profit before taxes grew by 14 percent in 2023. and amounted to 3.7 million Eur.

Capital and liquidity ratios remained high. At the end of 2023, the capital adequacy ratio of “General Financing banka” reached 16%, and the coverage ratio with liquid assets (eng. liquidity coverage ratioLCR) – 248 percent.

“In the third year of banking activity, General Financing bankas maintained growth and development trends, more and more clients chose us as their financial partner. The growth was determined by several main factors, first of all, attractive interest rates on deposits and loans. Consumer loan customers borrowed larger amounts for a longer period of time. In addition, last year we introduced a new product – a savings account in which customers can store funds, receive interest on them and use these funds at any time without any restrictions,” says Justinas Muleika, CEO of General Financing Bank.

In 2023, the bank’s consumer loan portfolio continued to grow and reached 121 million at the end of the year. EUR – 11 percent. more than at the end of 2022. The bank maintained a competitive price for consumer credits, thus remaining one of the leaders in the consumer loan market among financial institutions specializing in consumer credits. Most of the new loans issued by the bank consisted of loans issued at bank branches and remotely.

The bank’s deposit portfolio increased by 31 percent in 2023. Such an increase was encouraged by the savings account service that was launched last year and the competitive interest rates offered on time deposits.

In 2023, General Financing Bank’s interest income grew by 18.2 percent. – from 15.7 million EUR up to 18.6 million. Eur. This was due to the growing loan portfolio, changing its composition according to sales channels, attention to pricing strategies, interest on financial instruments and loans granted to other companies of the group.

Profit before taxes in 2023 amounted to 3.7 million. EUR and it was 14 percent. higher than in 2022.

According to J. Muleika, in order to maintain its position in the consumer loan market, the bank will continue to pay a lot of attention to internal productivity, improve internal processes, increase their level of automation and create solutions that improve customer experience. The bank’s aspiration is to remain one of the most attractive in the retail deposit market.

“The European Central Bank predicts that interest rates should decrease in 2024, but due to competition in the deposit market, deposit interest rates will decrease only after some time. Although the overall economic outlook for 2024 is moderately positive, high interest rates on household deposits will put pressure on interest margins. Credit prices will remain very competitive in the conditions of potentially falling interest rates, and profitability growth will continue to depend on the ability to provide customers with the highest level of service and meet their expectations in various sales channels,” says Mr. Muleika.

About “General Financing Bank”

“General Financing bankas” has been operating in the financial sector since 2005, as a specialized bank since 2020. The bank provides consumer loans and deposit services, which customers can use by phone, internet or 13 customer service departments of the bank. The bank’s loan portfolio currently amounts to more than 125 million. Eur, with his services in 2023. used almost 17 thousand customers. In order to contribute to the solution of socially sensitive issues in society, the bank supports the charity and support funds “Rimantos Kaukėnos paramos grupė”, “SOS children’s villages in Lithuania society”, “Help street children” and VšĮ “WoW University”. 100 percent Marginalen AB, the parent company of the Swedish financial group, owns the shares of General Financing Bank.