Vilniaus Bankas
It seems that its rivals in Lithuania are having a hard time keeping up with Vilniaus Bankas, which once again remained the most profitable bank in the country in 2002.
During the year, the bank, which is part of Sweden’s SEB group, boosted net profit by an impressive 32.9% to 126.5m litas ($41m). It also lifted its ROE to 16.9% from 15.1% in 2001. The bank’s cost-to-income ratio dipped to 63.5% but there were gains in assets and Tier 1 capital.
The strong results, reported according to International Accounting Standards, are largely attributable to the bank’s leadership in many areas of Lithuanian banking. In the retail sector alone, Vilniaus Bankas boasts 338,000 customers and a 35% share of retail deposits. It has 58,000 corporate customers and a 43% share of corporate deposits.
To serve these customers better, the bank has continued to upgrade its technology, launching an improved internet banking service and online brokerage in April 2003. Its success in this endeavour is reflected in the fact that it already commands an 83% share of the country’s growing internet banking market.
In 2002, the bank created two real estate lending units, which are already profitable and have helped the bank to consolidate its strong position in the local market.
Julius Niedvaras, president and CEO of Vilniaus Bankas said: “The bank from the very first days of its establishment has been developing modern banking traditions in Lithuania. Everyday challenges in today’s market stimulate our further development and new solutions. Our team of professional bankers and the good relationship with our customers enable us to maintain the leading position in the domestic banking market.”
