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Russian Bank Saint Petersburg to pay over 50% of profit in dividends

Russian Bank Saint Petersburg (BSPB) announced paying RUB29.72 dividend per share for 2H24, implying full-year payout of RUB56.98 per share, according to Renaissance Capital citing supervisory board recommendations.

As followed by bne IntelliNews, the bank posted a record net IFRS profit of RUB50.8bn ($570mn) in 2024, with a return on equity (RoE) of 27%.

BSBP was also hailed by the analysts as the top dividend yielding name in the Russian banking sector.

The analysts at RenCap estimated that the 2H24 dividend represents a 7% yield at current market prices and brings the total 2024 payout to slightly over 50% of IFRS net profit.

BSPB itself maintains a cautious outlook for 2025, keeping its loan portfolio growth forecast at 7%-9%, compared to the Central Bank of Russia’s (CBR) expectation of 8-13% corporate credit growth.

The bank highlights its strong capital buffer, with capital adequacy ratios at 14.9% (N1.2) and 22.2% (N1.0) as of end-January, which could support lending expansion when monetary conditions ease.

The bank targets an RoE above 20% for 2025, but Renaissance Capital anticipates a decline in net profit to RUB47.2bn ($530mn) with RoE falling to 22%, as NIM and NII are seen by the analysts to have peaked in 4Q24.

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