In the 9 months, ended 30 September 2023, Citadele issued EUR 621 million in new financing to support Baltic private, SME and corporate customers. EUR 192 million was issued in Q3 2023.
- Citadele’s customer deposit base remained stable at EUR 3,824 million as of 30 September 2023.
- Citadele’s Baltic operations net profit for the first 9 months of 2023 reached EUR 100.2 million, representing a 29.0% return on equity and CIR of 42, 2%; Q3 2023 Baltic operations net profit reached EUR 35, 7 million, representing a return on equity of 29, 6% and CIR of 40, 6%
- Citadele continues to operate with more than adequate capital and liquidity ratios.
- The review of strategic alternatives has been progressing and the bank has appointed advisors to support the work. Citadele is in the process of evaluating the options where a potential IPO (Initial Public Offering) is one strong consideration.
“Compared to the same period last year, there is a decline in new loans.This is against the backdrop of worsening macro-economic conditions as well as increased Euribor, both of which have an impact on our customers’ financial considerations. Overall, the financial standing of our customers is reassuring, and portfolio quality is good,” says Johan Akerblom (Johan Åkerblom), Citadele CEO.
Review of strategic alternatives has been progressing
During the quarter a lot of work has gone into analysing the strategic options, with the support from the appointed advisors. The work is in process and the bank is evaluating different options. One plausible option is a potential IPO and here good progress has been made in preparation of the possible transaction. Public offering of Citadele, as one of the region`s leading banks, would be a remarkable milestone in developing the local capital markets and adding significant weight to the local stock exchange.
Innovations and development
In line with our commitment to support our customers in the transition to a low-carbon economy and seeing that sustainability initiatives are becoming increasingly important for our clients, Citadele has launched the first green savings account in the Baltic market. The green savings account is available to our Baltic retail customers, giving our clients the opportunity to be a part of the low-carbon economy transition at competitive rates. Deposited funds are used to support financing for projects that aim to reduce the Baltics’ carbon footprint, among which are the construction of Latvia's largest solar power plant in Brenguļi and the construction of a solar power plant in Inčukalns. As of 30 September 2023, green savings account deposits reached EUR 25.2 million.
Citadele continues to expand its insurance offering available through its mobile app. As of 30 September 2023, three insurance products are part of our “bank in your pocket” offering and easily available via a few clicks in the mobile app and payable through monthly subscription.
Klix, Citadele’s e-commerce checkout solution, exceeded 1,200 merchants and its registered user base surpassed 245 thousand as of 30 September 2023. In the 9 months ended 30 September 2023, 11.8 million transactions were processed via Klix, with a total value of EUR 400 million. 4.2 million transactions with a total value of EUR 140 million were processed in Q3 2023 alone.
Stable client base
Citadele continues to attract new clients and we are proud of our strong customer base who trust us with their financial service needs. Citadele’s active customers reached 374 thousand clients as of 30 September 2023, staying steady year-over-year. The number of active mobile app users as of 30 September 2023 reached 252.5 thousand, growing by 14 % year-over-year.
Family Friendly Workplace recognition
Citadele’s success would not be possible without its employees, who devote their time and energy to ensuring high quality professional services and support to our customers. We consider employee well-being to be a critical aspect of sustainable operations, and accordingly aim to provide a working environment that motivates employees and makes them feel valued. In Q3 2023 we took part in the Society Integration Fund’s Family-friendly workplace' initiative, which aims to promote the development of an inclusive workplace culture in Latvia. Following evaluation of Citadele’s work environment, Citadele is proud to have received the status of "Family Friendly Workplace”.