Erste Group Bank AG reported earnings results for the third quarter and nine months ended September 30, 2018. For the quarter, the company reported net interest income of EUR 1,086.3 million against EUR 1,158.2 million a year ago. Operating income was EUR 1,644.2 million against EUR 1,722.1 million a year ago. Operating result was EUR 634.1 million against EUR 696.3 million a year ago. Net result attributable to owners of the parent was EUR 363 million against EUR 454 million a year ago. Return on equity was 11.7% against 14.4% a year ago.

For the nine months, the company reported net interest income of EUR 3,229.3 million against EUR 3,372 million a year ago. Operating income was EUR 4,936.9 million against EUR 5,096.2 million a year ago. Operating result was EUR 1,923.4 million against EUR 1,993.9 million a year ago. Net result attributable to owners of the parent was EUR 987.6 million against EUR 1,228.3 million a year ago. Return on equity was 10.5% against 12.5% a year ago.

For the year 2018, the company aims to achieve a return on tangible equity (ROTE) of more than 10% in 2018 (based on average tangible equity in 2018). The underlying assumptions are growing revenues (assuming 5%+ net loan growth and interest rate hikes in the Czech Republic and Romania) and flat expenses with risk costs remaining at historically low levels.