TBC Bank Group (LON:TBCG) reported second-quarter net profit of GEL 386 million, up 12% year over year, as higher operating income and cost discipline supported a return on equity of 23.6%.
First-half net profit rose 13% from a year earlier to GEL 751 million, while first-half return on equity was 23.5%
Group CFO Guy Stevens, presenting results for the first time after joining the company, said the quarter marked the 14th consecutive period in which the group’s return on equity exceeded 23%. The board declared a second-quarter dividend of GEL 1.75 per share, bringing total dividends for the first half to GEL 3.50 per share, an 8% year-over-year increase. Revenue growth and lower cost ratio Total operating income increased 10% year over year in the second quarter, primarily driven by a 13% increase in net interest income.
Fee and commission income recovered in both Georgia and Uzbekistan, rising 14% quarter over quarter, according to Stevens. The group’s net interest margin was 7.1%, slightly above the first-quarter level. In Georgia, net interest income increased 19% year over year, supported by growth in unsecured retail lending, a higher-rate environment and deployment of liquidity, management said.