MOSCOW, November 26. /TASS/. Russian banks' net profit in October 2024 increased by 4% compared to September and amounted to 348 bln rubles ($3.28 bln), according to the Bank of Russia.

"The sector's net profit amounted to 348 bln rubles, which is only 4% higher than the September result (336 bln rubles). Return on equity increased slightly to 25.2% from 24.7%. A significant share of net profit still comes from non-core (volatile) income (around 114 bln rubles, at the same level as last month)," the regulator said.

At the same time, in the specified period, banks’ allocations to reserves decreased significantly by 45 bln rubles ($417.62 mln) (-26%), mainly in retail (-23 bln rubles (%213.47 mln), -23%) due to positive IFRS adjustments at individual banks.

At the same time, operating expenses increased by 16 bln rubles ($148.5 mln) (+6%) due to marketing costs and the outpacing growth of the cost of funding (+0.8 p.p.) over the yield (+0.4 p.p.).