Head of PR & Internal Communications
Summary balance exceeds CZK 55 billion
2018 was another successful year for Equa bank. The bank showed growth in all business areas and reported net consolidated profit of CZK 372 million at year-end, which represents a threefold increase over last year. Balance sheet growth has continued at double-digit pace, with an 11% year-on-year increase in total assets, reaching nearly CZK 56 billion. The number of clients increased by 20% to 367 thousand clients served at year end. The volume of deposits and loans also increased by 9%. The highest growth rate was recorded in consumer loans where the total volume increased by 25 % year-on-year.
“In 2018 the dynamic progress of Equa bank continued with business growth in all client segments. The threefold increase in net consolidated profit is mainly the result of excellent business performance in all sales points, especially in consumer loans but also in on-line distribution and the development of on-line products, making us a leading player in digital banking. The bank’s strong performance was also positively affected by growth in our mortgage loan portfolio, growing at a double-digit pace over the past year. We have also successfully launched a number of new products, such as on-line investments and loan-on-mobile“, said Petr Řehák, Equa bank CEO and Chairman of the Board.
As of 31 December 2018 the balance sheet of Equa bank increased by 11 % over last year to nearly CZK 56 billion. The bank was successful in both loan originations and client acquisition. Total outstanding loan balance increased 9 %, now exceeding CZK 40 billion. The total volume of consumer loans increased by 25 % year-on-year, and the volume of mortgage loans increased by 11 %. Total deposits increased by 9 % and amounted to nearly CZK 49 billion as of year-end 2018. Consolidated net profit of Equa bank increased year-on-year to CZK 372 million, a nearly threefold increase. At the end of 2018 Equa bank served 367 thousand clients, representing a year-on-year increase of 20 %.
In 2018, like in previous years, Equa bank offered its clients a number of new products and services. In digital banking Equa bank continued to develop its mobile application, winning the prestigious WebTop100 competition at the end of the year. The bank also enriched the application by payment card management, instalment administration, as well as by a mobile loan acquisition feature which was highly prized by our customers. The number of users of Equa bank´s mobile application has doubled year-on-year. Mobile banking is now used by every other new client.
Another significant step forward we have taken in digital banking has been the launch of on-line investment products, transforming the current concept of investment offers on the Czech market. The unique features include the simplicity of investment purchases organised 100% on-line according to the financial objectives and personal circumstances of the client. Within two months of launching this investment platform, more than 1000 clients have invested with Equa bank, far in excess of original expectations. More than half of these clients take advantage of the unique feature of automatically investing in connection with every card payment.
Equa bank has also had considerable success in customer satisfaction, where the bank has long been a market leader. Since its market entry the bank has profiled itself as a friendly, dynamic, flexible, and client-oriented bank. That is why our offer of products and services strives to provide the most fitting choice for each client. Equa bank quickly responds to client requirements, communicates openly, and resolves problems individually. Our clients value this approach, and their appreciation was reflected in our taking first place in the category of ‘Bank for Clients’ in the prestigious competition for the bank of the year, Banka roku™. Additionally, Equa bank won several awards in the Zlatá koruna competition, including a silver medal in the ´Prize of the Public’ for our Current Account, and a bronze medal in the ‘Business Prize’ for our Current Account for Entrepreneurs.
“Our strategy for this year is to, above all, continue developing our digital services. Our mobile banking platform will be extended with more attractive features. In January we launched simple and easy payments with Google Pay, and we plan to offer our clients Apple Pay before the end of this year. We are also in the process of further optimizing our consumer loan origination process so that we can serve our clients even faster. We will further expand our branch network, and add automated teller machines with withdrawal/deposit options to our list of services. For our corporate clients we will extend cooperation with the Českomoravská záruční a rozvojová banka (The Czech-Moravian Guarantee and Development Bank) in the context of the Expansion and Energy Saving programme, and continue in our successful cooperation with the European Investment Fund in the framework of the COSME programme,“ said Petr Řehák, Equa bank CEO and Chairman of the Board.