K&H Banking Group reports underlying profit of HUF 26.3 billion in 2019H1, a 9% increase yoy. K&H Insurance reached HUF 2.7 billion net profit in 2019H1, an increase of 19% yoy

“K&H Banking Group had a strong financial performance in 2019H1 and recorded HUF 26.3 billion net profit, a 9% increase yoy in underlying profit. Profit before tax was HUF 31.1 billion. Fulfilling its role to finance the economy K&H granted HUF 250 billion new loans in 2019H1. Mortgage new production reached 20% yoy increase, cash loans 44% yoy increase, both beating the market. The baby boom loan application volume reached HUF 29 billion by 31 August, Total retail savings grew by 6%, vs 4% for the market. Production of MÁP+ was HUF 100 bln by 31 August.” said Attila Gombás, CFO of K&H Group.

In 2019H1 K&H continued to focus on customer service and invest in its digital transformation to offer even simpler and smoother financial services. As a result of this:

• In July K&H launched the E2E cash loan service in its mobile bank app and e-bank platform, which provides cash loan only with 3 data input, in 4 steps and in 5 minutes
• K&H has 430 000 digitally active clients, 20 % more than a year ago
• 500 000 clients now have biometric profiles, enabling them to sign and store documents electronically. This was almost tripled in half a year.

 “We are also proud of the 2019 ‘Best Bank in Hungary’ award by Euromoney, of the Randstad Most Attractive Employer in the financial sector and the Green Bank award by the National Bank.  These awards reflect the efforts made by our colleagues every day to continuously improve the service to our clients and society,” - announced David Moucheron, CEO of K&H Group.

Nik Vincke, CEO of K&H Insurance said: “In 2019H1 net profit increased by 19% yoy and reached HUF 2.7 billion. In Non-Life, premium income reached HUF 26.9 billion, growing by 32% yoy. Life brought strong business performance with a 44% yoy growth in regular unit-linked (including pension) and 23% yoy growth in individual risk products. In the first half of this year we also introduced a robotised process for executing repetitive administrative tasks.  This process executes a thousand transactions on a daily basis and further  increases quality and speed of the service for our more than 1 million clients.”

K&H Bank’s unaudited, consolidated results according to International Financial Reporting Standards (IFRS) were as follows: