KMBN: Komercijalna Banka reported RSD 8.1bn in its FY 2018 net profit
Komercijalna Banka (KMBN), reported RSD 8.1bn in its FY 2018 net profit, which is flat y/y, due to exceptionally high tax gain in 2017, which impacted net profit line a year ago. The bank’s pre-tax profit was up 14% y/y, on higher net interest income (+3.2% y/y), improved F&C income (+4% y/y), excellent cots control, while gains on securities trading also contributed. The result was expected, given that fact that bank’s balance sheet was cleaned from huge amount of NPL’s in 2015-2016 period.
Source: KMBN, Ilirika
MK Group to invest EUR 500 million by 2025 – Plan includes increase of production and exports in agrarian sector, number of rooms to double in tourism
MK Group to invest EUR 500 million by 2025 – Plan includes increase of production and exports in agrarian sector, number of rooms to double in tourism. By 2025, MK Group will invest EUR 500 million in the agrarian sector, banking and tourism in Southeast Europe, it was announced in Belgrade at the celebration of the company's 35th anniversary. The company has gone from being a small commerce business with three employees to a system of 75 member-companies and 7,000 employees which operates in the markets of Serbia, Slovenia, Croatia and Montenegro. MK pays EUR 109 million to Serbia's budget in taxes and contributions annually. MK Group's total investments amount to EUR 1 billion so far.
Economic growth driving real estate price rise
A rise of apartment prices and the high percentage of occupied office space in Belgrade are a result of economic growth, Roman Klott, CEO of real estate firm Atrium Consulting, told a panel at a Belgrade real estate and infrastructure conference on Thursday. A few years ago, the average price of newly-built apartments was unlikely to reach 2,000 euros per sq m and the present interest in buying apartments is a result of an economic recovery as there is money now that is being invested in real estate, he said.
Belgrade preparing to issue bonds
Belgrade Deputy Mayor Goran Vesic announced Thursday the city was preparing to issue municipal bonds and that a registry of the city's property was already complete. Speaking at a retail and infrastructure conference in Belgrade, Vesic said loans were still a more favourable source of funding at this time. "We have completed the registry of the city's property, which is worth 7 bln euros, and we are now working on a project of issuing city bonds," Vesic said, without elaborating on when or under what terms this would happen.
Dow falls 100 points, Nasdaq snaps 8-day winning streak on weak economic data, European markets close lower amid weak earnings and economic data
Stocks fell on Thursday following the release of lackluster U.S. economic data and amid ongoing trade discussions between the Trump administration and its Chinese counterparts. The Dow Jones Industrial Average fell 102 points as Walgreens Boots Alliance lagged. The S&P 500 dipped 0.35 percent, led lower by the energy and health care sectors. The Nasdaq Composite fell 0.4 percent.
Durable goods orders for December rose 1.2 percent, the Commerce Department said. The department also said core capital goods orders fell 0.7 percent while economists polled by Reuters expected a gain of 0.2 percent.
The Philadelphia Federal Reserve business index fell to negative 4.1 in February — its lowest level since May 2016 — from 17 in January. Economists polled by Dow Jones expected a print of 14.
Nike shares fell 1 percent after star Duke University basketball player Zion Williamson broke his shoe at the start of a highly anticipated game. The break led to Williamson hurting his knee.
European stocks closed lower on Thursday after a flurry of poorly received corporate earnings reports. Europe's banking sector led Thursday's losses, fell almost 1.8 percent amid reports of suspected wrongdoing. Sweden's financial authority said Thursday that allegations made in a media report linking Swedbank to a regional money laundering scandal were "very serious." It added that the scandal, which involves Danske Bank, would be included in its ongoing supervisory activities.
Shares of Swedbank and Dankse Bank tumbled more than 9 percent and 4 percent respectively on the news.
Elsewhere in the sector, Barclays announced an annual profit of 3.5 billion pounds ($4.56 billion) on Thursday, which came in below expectations. The bank also said it would set aside 150 million pounds as a provision against Brexit-induced losses. Shares of the London-listed stock edged slightly lower during the session.
On the data front, factories across the euro zone unexpectedly fell into reverse this month, official surveys showed Thursday, amid heightened trade tensions and ongoing problems in the autos sector. The flash manufacturing PMI slipped to 49.2 this month, its lowest level since mid-2013 and significantly below the 50-mark that separates growth and contraction.