IBI-Rating has affirmed the credit rating of «SBERBANK» PJSC at uaAA+ grade

IBI-Rating informs on affirming of the credit rating of «SBERBANK» PJSC at uaAA+ grade with a «negative» outlook and keeping the rating on the Credit Watch List. Also, the rating of bank deposit reliability has been affirmed at «5+» grade (excellent reliability).

The affirmation of the ratings of «SBERBANK»PJSC is due to high indicators of operational efficiency, strong market positions, as well as diversification of directions of investment of funds and sources of attraction of resources. Apart from that, when upgrading the ratings, a significant amount of funding from related structures was taken into account, which, in the opinion of the Rating agency, will continue even after changing the owners of the bank. At the same time, concentration of the customer loan portfolio by major borrowers is kept, which along with a significant amount of adversely classified assets, increases the Bank’s vulnerability to credit risk. Also, the Bank’s ratings are affected by preservation of the difficult situation in the economy, the expected change of owners of the banking institution and uncertainty of its development strategy.

Keeping of the credit rating on the Credit Watch List is due to the entry into force of the Decision of the National Security and Defense Council of Ukraine, taken on 15 March 2017, on «Personal Special Economic and Other Restrictive Measures (Sanctions)» with regard to Ukrainian banks with the Russian state capital. During the analyzed period, several potential investors submitted documents to the National Bank of Ukraine on the approval of changes in the owners of «SBERBANK» PJSC. For various reasons, owners' changes did not occur and as of early December 2017 the process of investor search continues.

«SBERBANK» PJSC is a systemic banking institution. The Bank holds strong market positions and serves both the population and enterprises of various sectors of the economy in different regions of the country. The bank's capitalization is maintained at a moderate level, taking into account the available schedule of capitalization improvement, which was agreed with the NBU. In the current year, the impact of expenses on formation of reserves for active operations on the financial result of «SBERBANK» PJSC was moderate - the bulk of reserves was formed in previous years. Unlike previous periods, in 2017 the Banking institution entered a profitable activity - the net profit of «SBERBANK» PJSC for January-September of this year amounted to almost UAH 104 m.

In order to conduct the analytical research the materials provided by «SBERBANK» PJSC have been used, including: financial statements based on the results of 2014-2016 and 9 months of 2017 , target performance indicators, other necessary internal information, as well as the information from the public sources, which the Rating agency considers credible.

Finance department

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