Fitch Ratings Awards Evocabank “B” Rating with Positive Outlook

Strong Financial Performance and Improving Asset Quality

Yerevan, Armenia - Fitch Ratings has awarded Evocabank an International Issuer Default Rating (IDR) of ‘B’ with a positive outlook and a Viability Rating (VR) of ‘b’. This rating reflects the bank’s strong financial performance, stable funding, and improving asset quality.

Financial Highlights

• As of June 30, 2023, Evocabank reported:
  • Total assets of AMD 365.9 billion, an increase of 4.3% compared to the same period last year.
  • Loan portfolio growth of 10.4% to AMD 178.4 billion.
  • Deposits increased by 42.3% to AMD 231 billion.
• Net profit after taxes reached AMD 13.4 billion in the first half of 2023, a significant improvement from AMD 79 million in the same period last year.
• Cost-to-income ratio improved to 6.0%, while capital adequacy ratio stood at 26.9%.
• Strong liquidity with a liquid asset ratio of 36.5%.

Other Positive Ratings

In related news, Fitch Ratings also awarded:

Fast Bank

• IDR of ‘B’ with a stable outlook and a VR of ‘b’.
• Total assets of AMD 89.6 billion as of June 30, 2023.
  • Loan portfolio growth of 24.6% to AMD 70.3 billion.

HSBC Bank Armenia

• IDR of ‘BB-’ with a stable outlook and a VR of ‘bbb-’.
• Total assets of AMD 348.0 billion as of June 30, 2023.
  • Loan portfolio growth of 13.4% to AMD 243.3 billion.

These ratings reflect the banks’ strong financial performance, stable funding, and improving asset quality.

Branch Expansion

Evocabank also expanded its presence in the Armenian market by opening a new branch on Tumanyan street earlier this year.