According to the financial results of the first three quarters of 2023, European Merchant Bank (EMBank) managed to sustain its strong growth and succeeded to improve in all its major financial metrics.
As of September 2023, EMBank had EUR 550 thousand in net profit which is 2.4 times more than the same period of the previous year. The asset size of the bank reached EUR 123 million while the business loan portfolio grew by a remarkable 53% reaching up to EUR 33.5 million. The Bank’s deposit base grew to EUR 110 million with a 17% increase compared to the third quarter of 2022 supported by the growth in its client base.
EMBank‘s gross income reached to EUR 6,694 million with a 39% growth which was fundamentally realized by the 2.4 times growth in Net Interest Income (NII) amounting to EUR 2,319 thousand. Net Fees and Commissions Income of the Bank kept growing by 14% and reached EUR 4,375 million. All prudential ratios of the Bank were far above regulatory requirements, and the Bank completed the 3rd quarter of 2023 with prudential ratios of 18.1% Capital Adequacy Ratio, 212.8% Liquidity Coverage Ratio and 222.6% Net Stable Funding Ratio respectively.
“Our steady growth indicates that we are creating solid value to our clients. We strengthened our presence in the market while consistently growing our client portfolio in the major target segments of both small and medium-sized businesses and FinTechs. This year, we made significant accomplishments to enhance our services, including but not limited to new products such as leasing or CASA accounts, relaunch of online and mobile platforms, enhancement of API services and services, enhancement of our payments rails in line with our business plan. We also delivered very attractive promotional actions such as deposits with EURIBOR-based interest rates, welcome pack with free banking services, and the most recent working capital loans with 0% margin for a period of 3 months, etc.
We have made significant investment into expanding our team and utilizing the industry-leading solutions to establish best-practice risk management practices. We plan to be even more active in the market, aiming to increase our asset value to over EUR 225 million and our loan portfolio to EUR 85 million by the end of 2025,” says Sarp Demiray, CEO of EMBank.
Ekmel Cilingir, the Chairman of EMBank’s Supervisory Board, emphasised the Bank’s goal to be a strong partner for small and medium-sized businesses – contributing to the growth of SMEs in Lithuania by providing financing and consultancy and sharing valuable insights and trends.
EMBank is licensed by the European Central Bank (ECB) and is a member of SEPA, SWIFT and TARGET2. The bank provides working capital and investment loans, especially to SMEs. The Bank also offers Banking as a Service (BaaS) solutions.