Bank "Saint Petersburg" Public Joint Stock : Saint Petersburg’s 9M2021 Net Profit increased by 80% up to RUB 11.4 billion

Bank "Saint Petersburg" summed results for 9M 2021 according to International Financial Reporting Standards (IFRS). Financial highlights according to IFRS Consolidated Statements:

• 9M 2021 Net profit amounted to RUB 11.4 billion (+80% compared with 9M 2020);

• 9M 2021 ROAE up to 16.3% (10.2% in 9M 2020)

• 9M 2021 Net F&C income amounted to RUB 6.4 billion (+20.6% compared with 9M 2020);

• Loan portfolio grew by 12.2% YTD (+14.2% in retail and +12.0% in corporate) in 9M2021.

Pavel Filimonenok, First Deputy Chairman of the Management Board, CEO, comments on the Bank's 9M 2021 results:

"The Bank's continues posting strong results - Net profit for 9M 2021 has already leapt beyond FY 2020 result. Core business revenues keep growing, with cost of risk going down on the backdrop of increasing loan portfolio quality.

Thus, we've updated our Strategy, setting more ambitious profit and ROAE targets for 2023. We expect this new level of revenues and profitability of over 16% will be sustainable for the Bank in long-term."

As of October 1, 2021, Bank Saint Petersburg is ranked 16^th in terms of assets and 14^th in terms of retail deposits among Russian banks (Interfax ranking). The Bank provides services to 2 001 000 individuals and 52 000 corporates. The number of cards issued by the Bank reached 1 497 000 with 803 in-network ATMs and 1 612 000 online banking users.

Results summary for 9M 2021

Net interest income (NII) amounted to RUB 20.2 billion for 9M 2021 (+9.9% compared with 9M 2020) including RUB 7.1 bn for 3Q 2021 (+16.8% compared with 3Q 2020). Interest income for 9M 2021 decreased by 1.9% compared with 9M 2020; interest income is comprised mostly of interest income on loans and advances to customers (83.9%). Interest expense decreased by 20.1%: interest expenses on retail term deposits decreased by 19.9% (44.8% of total interest expenses) while interest expenses on corporate term deposits decreased by 1.3% (26.5% of total interest expenses).

Net interest margin (NIM) amounted to 3.8% for 9M 2021 (3.8% for 9M 2020) and 3.9% for 3Q 2021 (3.7% for 3Q 2020).

Net fee and commission income amounted to RUB 6.4 billion for 9M 2021 (+20.6% compared with 9M 2020) including RUB 2.2 bn for 3Q 2021 (+13.4% compared with 3Q 2020). Compared with 9M 2020, income from cash and settlement transactions grew by 24.0% (39.6% of total F&C income), income from plastic cards settlements increased by 8.7% (32.4% of total F&C income).

Net trading income for 9M 2021 amounted to RUB 3.3 billion (+ RUB 2.4 bn compared with 9M 2020) including RUB 1.2 bn for 3Q 2021 and is comprised mostly of income from operations with foreign currencies and derivatives in the amount of RUB 3.7 bn.

Revenues amounted to RUB 30.9 billion for 9M 2021 (+19.9% compared with 9M 2020) including RUB 10.8 bn for 3Q 2021 (+17.6% compared with the 3Q 2020).

Cost-to-Income Ratio stood at 37.4% for 9M 2021 (42.3% for 9M 2020) including 34.7% for 3Q 2021 (36.4% for the 3Q 2020). Operating costs amounted to RUB 11.6 billion for 9M 2021 (+6.1% compared with 9M 2020) including RUB 3.7 bn for 3Q 2021 (+11.9% for the 3Q 2020).

Net income for 9M 2021 amounted to RUB 11.4 billion (+79.7% compared with 9M 2020) including RUB 4.1 bn for 3Q 2021 (+50.4% compared with the 3Q 2020). The Bank's return on equity (ROAE) amounted to 16.3% for 9M 2021 (10.2% for 9M 2020) and 17.1% for 3Q 2021 (12.9% for the 3Q 2020).

As of October 1, 2021, the Bank's assets amounted to RUB 770.9 billion (+5.6% compared with January 1, 2021 and +4.5% compared with July 1, 2021).

Customer deposits totalled RUB 492.5 billion (+2.8% compared with January 1, 2021; on the same level as July 1, 2021). During 9M 2021, the volume of current and settlement accounts increased by 19.3%; the volume of term deposits decreased by 9.2%. As of October 1, 2021, 57.5% of customer deposits belonged to individuals and 42.5% - to corporate customers.

Equity and capital. As of October 1, 2021, Bank's equity calculated in accordance with CBR methodology (Basel III) amounted to RUB 93.6 billion (+9.1% compared with January 1, 2021 and +4.2% compared with July 1, 2021). The Bank's tier 1 capital amounted to RUB 72.5 billion (+6.9% compared with January 1, 2021 and +8.8% compared with July 1, 2021). As of October 1, 2021, the Bank's Tier 1 and total capital adequacy ratios were 10.2% and 13.2% respectively (with normative ratios of 6.0% and 8.0% respectively).

Loan portfolio before provisions totalled RUB 515.3 billion (+12.2% compared with January 1, 2021; +1.6% compared with July 1, 2021). Loans to corporate customers represented 74.8% of the loan portfolio, loans to individuals - 25.2%. During 9M 2021, corporate loan portfolio increased by 12.0% to RUB 385.3 billion. During 9M 2021, retail loan portfolio increased by 14.2% to RUB 126.6 billion. During 9M 2021, mortgage loans grew by 10.7%, consumer loans grew by 27.2%, car loans decreased by 0.9%.

Loan portfolio quality. As of October 1, 2021, the share of problem loans in the Bank's portfolio amounted to 9.5% (10.4% as of January 1, 2021). The rate of provisions for loan impairment amounted to 8.3% (8.7% as of January 1, 2021). Provision charge for 9M 2021 amounted to RUB 5.1 billion (RUB 0.9 bn for 3Q 2021). For 9M 2021, loans in the amount of RUB 3.2 billion (RUB 1.6 bn for 3Q 2021) were written off.

9M 2021 IFRS Financial Statements are available on the Bank's website:

https://www.bspb.ru/en/investors/financial-statements/IFRS/.