Category: Annual financial and audit reports
Published on: SEOnet
Published at: 12.04.2019 17:30
Published document ID: AR-27/19
NLB, d. d., Ljubljana
54th Supervisory Board Meeting: In addition to good and stable results, the NLB Group also plays an important social role as a systemic player in the SEE markets
Today, on 12 April, the NLB Supervisory Board met at its 54th meeting and confirmed two NLB Group reports for 2018: Annual Report and Annual Report on Corporate Social Responsibility. Both reports together illustrate not only NLB Group’s stable and positive business performance, but also an important social role that the Group has as a systemic player in the SEE markets – a role, which goes beyond the framework of a financial institution and helps create a better quality of life in this region.
The Supervisory Board also approved the proposal made by the Management Board to convene the General Meeting of NLB d.d., which is expected to take place on 10 June. More information will be available in the convocation, which will be published in accordance with the Articles of Association of Nova Ljubljanska banka d.d., Ljubljana, and within the regulatory deadlines. Both reports – NLB Group Annual Report 2018 and NLB Group Annual Report on Corporate Social Responsibility 2018 – were published today and are available to all interested stakeholders.
The Supervisory Board approved the NLB Group Annual Report for 2018. The final audited financial statements of the NLB Group are no different from the unaudited statements published on 8 March this year. As is known, NLB Group has concluded the year 2018 with a net profit of EUR 203.6 million, to which all of its SSE subsidiary banks contributed significantly.
Primož Karpe, Chairman of NLB Supervisory Board, highlighted the following: “The NLB Group, as a regional specialist, remains focused exclusively on SEE markets, and particularly on the customers in this region, providing them with the best user experience – with the advantages of innovative digital solutions delivered by various distribution channels, as well as personal relations and partnerships. I am convinced that the partial privatisation of NLB concluded last year will create new opportunities and give a fresh start to the teams in the NLB Group members operating in all the SEE markets, enabling them to take advantage of their full potential. The objective of the NLB Group is to become the first choice for people and companies in the region, to continue with stable business operations, justifying the shareholders’ expectations.”
NLB Group thrives to contribute to the quality of life in the region
NLB Group is aware of its responsibilities as a systemically relevant financial institution. In addition to good business performance and financial results that contribute to economic development, we also wish to contribute to a higher quality of life in the region.
“Southeastern Europe is our home. The heart and head of the NLB Group are situated here, therefore our wish and ambition is to see this region thrive. As a systemic player, we accept this challenge with pride and great responsibility – a responsibility towards our employees, our clients, and the environment we work in,” said Blaž Brodnjak, President of NLB Management Board, as the NLB Group Annual Report on Corporate Social Responsibility for 2018 was approved.
The key pillars of Corporate Social Responsibility within the NLB Group are knowledge, life-long learning, and caring for employees, encouraging entrepreneurship, humanitarian projects, a healthy lifestyle by endorsing sports – particularly amongst young people – as well as supporting arts, and protecting cultural heritage. You can find out more about NLB Group projects within the previously mentioned fields in the NLB Group Annual Report on Corporate Social Responsibility 2018.
General Meeting of NLB d.d. scheduled for 10 June
As part of the discussion on the risk appetite of the NLB Group, the Supervisory Board approved the proposal to reduce the target capital ratio of the NLB Group from 17% to 16.25% in accordance with the lower capital requirement, which is based on a better assessment of the supervisory review and evaluation process (SREP) applicable since March 2019. The Bank published a new capital requirement on 14 February 2019.
The Supervisory Board approved the proposal of the Management Board to convene the General Meeting of NLB d.d., which is expected to take place on 10 June. The shareholders will decide on the use of the distributable profit for 2018 and payment of dividends. The Management Board and Supervisory Board will propose to the shareholders that part of the distributable profit of NLB d.d. (totaling EUR 194,491,264.58 on 31/12/2018) in the amount of EUR 142,600,000.00 will be paid to the shareholders as dividends, which means EUR 7.13 gross per share. The remaining EUR 51,891,264.58 is to stay undistributed as a retained profit.
The Management Board and Supervisory Board will also propose to the General Meeting of NLB d.d. to authorise the Management Board to purchase NLB shares in the period of 36 months from the adoption of the resolution at the General Meeting. Pursuant to the provisions of the Banking Act and other relevant regulations, the Bank is required to pay out the variable remuneration of certain employees (in part) in NLB d.d.’s shares.
More information about relevant items of the agenda of the 33rd General Meeting of NLB d.d. will be available in the publication of the convocation, which is planned for the end of April.
As usual, the Supervisory Board also took note of the reports submitted by the Supervisory Board Committees and bank's experts and granted consent to transactions requiring Supervisory Board approval.
This announcement will be available on the Bank's website (www.nlb.si) as of April12, 2019.
NLB d.d., Ljubljana