NLB Group: We believe in this regions' potential

The NLB Supervisory Board namely met today at its 3rd meeting of the year, and examined the NLB Group Annual Report 2021, which includes auditor’s report prepared by Ernst & Young. The NLB Group Annual Report 2021, along with the NLB Group Sustainability Report 2021 were adopted and subsequentially published, as of now being available to all interested stakeholders. 

Facing new challenges, but stronger than ever 

As shown in the preliminary unaudited financial results, NLB Group emerged from 2021 very healthy – in fact, it emerged stronger than ever. This is even more significant in a year marked once again by the grip of COVID-19 and its consequent impact on the global economy and quality of life. 

Encouraged by the economic recovery, driven by revived private consumption and loan demand, the Group returned to robust growth, and achieved excellent results, exceeding the set guidance. This growth was based on the strong underlying performance of all business segments, meaningful contribution from Komercijalna Banka, Beograd, while robust risk management supporting the Group’s business operations also resulted in sound asset quality. The Group generated EUR 236.4 million in profit after tax and increased market shares in all segments, with all banking members operating in our home region reporting solidly positive net earnings and contributing 39% to the after tax result.

To be able to accelerate this agenda, NLB Group has been setting up a Group Competence Center in Belgrade, called NLB DigIT, to act as a development hub for common IT solutions for the group. This, however, is not the only major milestone we are looking forward to in Serbia – for the next couple of weeks in particular, our thoughts will be predominantly focused on the pending merger of our two local banks into NLB Komercijalna Banka at the end of the month and the upcoming Investor Day NLB Group will host in Belgrade on 12 May, 2022. 

Taking care of the region of opportunities 

It should be noted that the Group is interested in not only increasing the value of our shareholders through business growth and providing our clients with the enhanced user experience, but above all in the prosperity and the quality of life in the entire region. Consequently, the sustainability of our business operations and practices has increasingly become our high priority. 

We hold the E(nvironmental) dimension of the ESG especially close to our hearts by, amongst other, upgrading our climate-related and environmental risk management, supporting ideas and solutions that aim toward energy transition, and reducing our own carbon footprint. More specifically, we are deeply aware of the banks’ vital role in fighting climate change by supporting the global transition of the real economy towards net-zero, which is why we not only strive to reinforce, accelerate, and support the implementation of decarbonisation, but also want to lead by example. Besides environmental issues, we are equally passionate about addressing social and governance topics, we advocate equal opportunities, as well as independent and professional corporate governance. We want to become one of the key drivers of change and sustainability agenda in our part of the world. 

General Meeting of NLB d.d. scheduled for June 20

At today’s meeting, the Supervisory Board also confirmed the Management Board’s proposal to convene the 38th General Meeting of Shareholders of NLB d.d., which is planned to take place on June 20. More information will be available in the convocation. 

The Supervisory Board of NLB d.d. also took note of the reports submitted by the Bank’s experts and granted consent to the transactions requiring approval of the Supervisory Board of NLB d.d.