23rd Nov 2015 07:58
LONDON (Alliance News) - BGEO Group PLC, previously Bank of Georgia Holdings PLC, Monday said it remains "well positioned" to deliver a strong performance for its full year, as it saw a rise in profit for its third quarter.
The company, which is the London-listed holding company of Georgia?s leading bank JSC Bank of Georgia and its subsidiaries, said its profit in the third quarter to end-September was GEL91.2 million, up 24.3% from GEL73.4 million a year before, on revenue of GEL216.6 million, up from GEL159.2 million.
BGEO attributed its performance to a boost from the acquisition and integration of Privatbank Georgia and a positive operating leverage of 19.1 percentage points in its Banking Business. Within the Banking Business revenue growth was 39.4% compared to the previous year, boosted by strong growth in net interst income as a result of an increase in customer lending over the last year.
BGEO said that its performance was "particularly pleasing" against a backdrop of volatile currency and economic conditions of many of its trading partners, which contributed to the devaluation of the Georgian lari of 26% against the US dollar and 17% against the euro over the last year.
Much of the currency volatility it saw earlier in the year has been "significant reduced", the company noted, and the lari has seen greater stability over the last two quarters.
The company completed a corporate legal restructuring in August, including renaming its UK registered holding company, which became effective Monday.
"Against the challenging regional macroeconomic backdrop, the group has continued to perform very well. We believe we remain well positioned to deliver a strong performance for the full year and beyond," said Chief Executive of BGEO Group Irakli Gilauri in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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