No notes
Empty basket
Print version
2018 Financial and Social Report

Record net profit, improvement of main ratios

761 million PLN

Net profit of 2018, which means 12% yearly growth;

the net result of unconsolidated Bank reached 722 million PLN

9.6% ROE

0.3 p.p. higher than in 2017

46.5% cost/income ratio

0.3 p.p. lower vs. 2017


effective tax rate on operating profit (or 45% if adding BFG/KNF costs)

Interest income drives the growth; costs under wage inflation pressure and digital related projects

8.1% y/y

Increase of net interest income,

commissions flat yearly due to adverse capital markets impact

6.1% y/y

Increase of operating income costs grew by 5.4% y/y (of which staff costs by 7% y/y)

High asset quality and low cost of risk maintained

48 b.p. yearly

Cost of Risk  – the lowest level in the last 5 years


Impaired loans (stage 3) ratio improvement (from 5.2% after IFRS9 introduction on 1.1.2018)

Strong capital and liquidity ratios


Group’s Total Capital Ratio (TCR)


CET1 (= T1) (without net profit of 2018)

Further improvement to be achieved after KNF approval of subordinated bond issued in January 2019


Loan to Deposit ratio

Retail business

+202 ths

in number of active customer acquisition – in line with 600 ths target for 3 years


growth of customer deposits to reach 47.7 bn PLN

3.2 bn PLN

new cash loans sold (+39% y/y) and 3.3 bn PLN of mortgages (+31% y/y)

Almost 1 million

active mobile users (+36% y/y)

Companies business

+14% y/y

Strongest pace of loans to companies increase in the last 5 years

+15% y/y

growth in factoring

+18% y/y

growth in leasing

+22% y/y

High growth kept of current account balances

Double-digit yearly growth of transfers (domestic and foreign), trade finance and FX transactions

Quality and innovations

Bank Millennium achieved again very high positon in the ranking „Newsweek Friendly Bank 2018”, including top position in „Mobile banking” competition

ARC Rynek i Opinia recognized the Bank as the best in many quality rankings, including the highest NPS score (61)

900 ths apps downloads by Goodie (smartshopping platform developed within Bank’s Group)

These achievements of 2018 year indicate, that Bank Millennium Group began successfully fulfilling its 3-year organic growth strategy. Moreover, on 5 November 2018 the Bank announced the agreement on the transaction to buy 99.8% of the shares in Euro Bank S.A., which should be finalized in 1st half of 2019. The planned acquisition of Euro Bank, holding as of June 2018 11,9 bn PLN in loans and 7 bn PLN in deposits, will be followed by a full merger into Bank’s structure and systems. This transaction will enable Bank Millennium to become bank no 6 in the attractive segment of retail non-mortgage loans and become no 6 in terms of retail customers in Poland, thanks to adding 1,4 million new customers. The process of finalizing this acquisition is on course: in the end of December the Bank got consent from antimonopoly authority (UOKiK) for the transaction.