Operating profit rose by 16% y-o-y as the bank’s operating costs decreased at a greater rate than operating revenues, which were supported by the one-off positive effect of bond re-pricing. KB's net profit stood at CZK 4.49 bil. and exceeded our estimate and the market consensus by some 34%, as KB realized a higher-than-expected profit from the sale of CAC Leasing (a previously 50%-owned subsidiary) and released more provisions for its loan and investment portfolio. Overall, we consider the results as positive.
Jan Hájek