CNB: The net profit of banks rose year-on-year to CZK 102.6 billion last year

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Prague – In 2022, the aggregate net profit of banks and savings banks in the Czech Republic rose by CZK 32.3 billion to CZK 102.64 billion in a year-on-year comparison. This follows from data published by the Czech National Bank. Bank assets amounted to 8.907 trillion crowns at the end of the year, which is 384 billion more than at the end of the year. The CNB published preliminary results already at the beginning of February, according to which domestic banks generated a net profit of CZK 104.1 billion in 2022.

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The profit from financial and operational activities of banks increased by 49.2 billion year-on-year to 233.6 billion crowns last year. Their interest income increased by 246.3 billion to 430.9 billion crowns. Their income from fees and commissions increased by 4.2 billion to 52.6 billion crowns.

The profit of banks and savings banks in the Czech Republic exceeded 100 billion crowns for the first time in history last year. According to analysts, banks benefited from high interest rates last year. Central banks fight inflation by raising interest rates, and because of inflation and inflationary expectations, market interest rates also rise.

Last year, Česká spořitelna's unaudited consolidated net profit rose by 42.2 percent year-on-year to 20.2 billion crowns. Last year, the net profit of the ČSOB group increased by nine percent to 17.5 billion crowns. Komerční banka's net profit increased by 37.9 percent to 17.6 billion crowns. Czech and Slovak UniCredit Bank posted a net profit of 8.22 billion crowns last year, 21 percent more year-on-year. Raiffeisenbank increased its net profit by 61 percent to 7.54 billion crowns. The profit of Moneta Money Bank increased by 30.2 percent to 5.19 billion crowns.

The largest banking houses will pay tax on extraordinary profits from this year. The so-called windfall tax was approved by the government as a 60 percent tax surcharge on excess profits. This corresponds to the difference between the tax base and the average cost of the tax base for the last four years increased by 20 percent. The income from the tax is to be used by the government to cover the extraordinary costs that the state will have in connection with the capping of energy prices. The tax on extraordinary profits applies up to this year's profits.

Total net profit of banks and savings banks in millions of CZK:

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Source: CNB