Investing in Erste Group Bank AG

Andreas Treichl, CEO of Erste Group Bank AG on the H1 2019 results:
"We are very satisfied with our net profit of EUR 732 million for the first half of this year – it is a strong result. In particular, it is a strong result because it is based on a foundation of solid key indicators ranging from operating income and operating expenses to risk costs, capital and liquidity. Of course there is always room to further improve our performance, but we are moving in the right direction.”
“The healthy macroeconomic growth in our region, which remains the growth powerhouse of the European Union, is also reflected in the 7 percent increase year-on-year in our customer loans volume to EUR 155.3 billion, However, the increase in our customer deposits by 8 percent to EUR 169.7 billion is a cause for concern during what continues to be a low interest rate environment – deposits are not anymore the basis on which our customers can build their financial well-being. One of our main tasks in the coming years will be to develop attractive investment products with adequate risk levels.”
"The current conditions make us confident about reaching the goals that we have set for our 200 anniversary year: growing our income at a rate higher than expenses, keeping risk costs low, and achieving a solid return on equity of above 11 percent.”

Founded in 1819 as the first Austrian savings bank, Erste Group went public in 1997 with a strategy to expand its retail business into Central and Eastern Europe. Since then Erste Group has grown through numerous acquisitions and organically to become one of the largest financial services providers in the Eastern part of the EU in terms of clients and total assets.