December 30, 2019, 14:06 / Finance / News

The NKR Agency assigned its first credit rating

The rating agency National Credit Rating (NCR) announced that it assigned Sovcombank a credit rating of AA- (ru) with a stable outlook. This is the agency's first rating.

This rating is due to the high assessment of the bank’s business profile, explains NKR. Sovcombank is in the top 15 in terms of assets and capital, as well as in terms of the volume of deposits of individuals. The bank's net assets are 1 trillion rubles. (data for nine months of 2019). The company's capital for the same period amounted to 133 billion rubles, net profit - 21.9 billion rubles. For the same period last year it amounted to 17.5 billion rubles. The bank's current cost of risk (the cost of provisioning the average portfolio) and the bank's net interest margin are 1.9% and 6.3%, respectively. “Management of key types of risks is assessed as adequate given the high quality of assets throughout the economic cycle and consistently strong operating performance,” the agency said in a statement.

Sovcombank is the third largest private bank in Russia. A year ago , Sovcombank completed its merger with Rosevrobank, in which it had gradually increased its stake over several years. Last fall, Modern Commercial Innovation Bank (SKIB) was added to the bank. In 2017, Sovcombank annexed Metcombank, which was purchased in 2016 from Alexey Mordashov’s Severgroup. In recent years, the organization has been actively purchasing financial assets. The bank recently announced the purchase of the Russian Liberty Insurance from the American insurance group Liberty Mutual. Previously, Sovcombank became the sole owner of the leasing company Sollers Finance.

In September, the Central Bank issued accreditation to the NKR and the National Rating Agency. This allows them to assign ratings on a national scale. Previously, there were two rating agencies in the Central Bank register - the Analytical Credit Rating Agency (ACRA) and Expert RA.