TBC Bank's interim profits jump on loan book expansion

TBC Bank on Monday reported strong interim profit growth after its loan book expanded, with the Georgian retail lender having also kicked off a share buyback programme.

The FTSE 250-listed company's underlying net profit came in at GEL 253.5m (£70.2m) for the six month period ended 30 June, an increase of 19% compared to the same period last year, as its loan book expanded by 25% year-on-year, or 15% at constant currency.

Meanwhile pretax profit rose by 11% to GEL 265.9m following a 7% rise in net interest income to GEL 387.4m.

The Tbilisi-headquartered bank also reported a 25% jump in total customer deposits to GEL 9.9bn, while total assets increased by 27% to GEL 17.3bn .

The company also kicked off a share buyback of up to £20m.

TBC also confirmed that it has appointed independent director Nikoloz Enukidze as the its new chairman with immediate effect, with the new hire coming less than a week after the company's former chief Mamuka Khazaradze and his deputy Badri Japaridze stepped down after prosecutors charged the duo with money laundering.

Both deny the charges, with Khazaradze referring to the legal action as "absurd".

TBC Bank's shares were up 4.67% at 1,300.00p at 0951 BST.