The following information provide Profit and Loss data for the Group’s three business segments: Retail, Corporate and Treasury, ALM and Other. Retail segment includes services to mass market individual Clients, affluent Clients, individual entrepreneurs and small businesses (of annual turnover below PLN 5 million). Corporate segment includes services to medium and large companies as well as public sector entities. The segment of Treasury, ALM (assets and liabilities management) and Othercovers the Group’s activity as regards investments on Bank’s own account, brokerage, inter-bank market transactions, taking positions in debt securities and other operations, which are not assigned to other segments.
The total operating income of the Retail segment in 2018 amounted to PLN 1,812.6 million and increased strongly by 9.0% yearly mainly thanks to high dynamics of Net interest income (+9.8% year-on-year), whereas Net commission income decreased slightly (-0.7% year-on-year). Operating costs of retail segment increased less than Total operating income i.e. by 7.3% year-on-year. As a result of the above factors, Pre-provision income grew in 2018 by 10.9%. Net impairment provisions presented small increase by 2.6% yearly, thus Operating Profit of Retail segment grew even stronger than Pre-provision income, i.e. by 13.3% year-on-year to the level of PLN 678.0 million.