Komercni banka to release selected first-quarter 2001 IAS results today

Komercni banka will release selected first-quarter 2001 IAS results today, probably in the afternoon. Our forecasts are below; a consensus is not available (KB is releasing the figures ahead of the usual schedule). As always, the bottom-line profit will be significantly influenced by provisioning, which is largely at the bank’s discretion on a quarterly basis and therefore less predictable. We predict an after-tax income of CZK 943 mil., but given the influence of provisioning, anything above CZK 500 mil. could be seen as a reasonable result (if due to higher provisioning). We forecast a very modest operating profit growth for Q1 2001, mainly because last year KB’s Q1 figures were rather good (relative to the rest of the year). The operating improvement expected this year should become more visible further into 2001.

(in CZK mil.)	Q1 2001 E	Q1 2000	change
Total operating revenues	5828	5357	+8,8%
Total operating costs	2961	2568	+15,3%
Profit before provisions	2867	2789	+2,8%
Provisions	1500	1800	-16,6%
Pretax income	1367	989	+38,2%
After-tax income	943	-611	n.m.

(Ondřej Daťka)