We are presenting to your attention the summary of the results of the Armenian banking sector for 2023, prepared and published exclusively on Banks.am by a specialized consulting company RUMELS Management Solutions.

Ruben Melikyan has more than 23 years’ experience, as a successful c-level executive (CEO/CFO), with a successful track record leading diverse management teams in different areas, like audit, micro-finance, retail, FMCG and banking. Ruben Melikyan is an ACCA member; he graduated from Oxford University (EMBA) and received a Certificate on “Advanced Corporate Valuation” from NYU.

The purpose of this study is to analyze the main financial indicators of the Armenian banking system in 1Q 2024.

Net Profit

The total net profit of all Armenian banks for 1Q 2024 is equal to 83 bln AMD, which is by 13 bln AMD or by 19% more than it was recorded during 1Q 2023.

All 18 banks registered a profit during the mentioned period.

The largest profit was recorded by Ardshinbank, amounting to 25,4 bln AMD. The bank also has the largest total assets.

Total loan portfolio

The total loan portfolio of the banking sector during 1Q 2024 increased by 88 bln AMD or by 1.8%.

As of 31.03.2024, the total loan portfolio amounted to 5.119 bln AMD and its share in total assets is 54%.

The mentioned total loan portfolio includes retail and corporate loan portfolios.

The market share of 5 largest banks (Ameriabank, Ardshinbank, Acba bank, Amio bank and Inecobank) by total loan portfolio is 60%.

Ameriabank has the largest market share - 19.5%.

Bonds

During 1Q 2024, the total balance of bonds issued by Armenian banks slightly decreased by 4 bln AMD or 1%.

As of 31.03.2024, the total balance of issued bonds amounts to 416,4 bln AMD.

13 out of 18 banks issued bonds.

Total Equity

During 1Q 2024, the total equity of the Armenian banking sector increased by 103 bln AMD or 6,9% and amounted to 1.581 bln AMD.

The mentioned growth is mainly explained by the generated profit which was equal to 83 bln AMD.

In 1Q 2024, the share capital of Ardshinbank increased by 50,23 bln AMD from retained earnings.

Full version of the analysis of the Armenian banking sector results for 1Q 2024 is available on this link.

Full version of the analysis of the Armenian banking sector results for 2023 is available on this link.

Full version of the analysis of the Armenian banking sector results for 9 months 2023 is available on this link.

Full version of the analysis of the Armenian banking sector results for 1HY-2023 is available on this link.

Full version of the analysis of the Armenian banking sector results for 1Q-2023 is available on this link.

Full version of the analysis of the Armenian banking sector results for 2022 is available on this link.