PZU Group’s income

In 2020, net revenues from commissions and fees amounted to PLN 3,166 million, i.e. PLN 113 million or 3.4% less than in the previous year. This was due mainly to higher commission costs in the banking segment.

The revenues included primarily:

• net revenues from commissions and fees in the banking business of PLN 2,522 million, i.e. PLN 81 million (3.1%) less than in the previous year, consisting mainly of brokers’ commissions, revenues and expenses related to the service of bank accounts, payment and credit cards, as well as fees charged for intermediation in insurance sales;
• income on OFE asset management – in the amount of PLN 130 million were PLN 13 million (9.1%) lower than in the previous year; the decline was caused by the absence of income on the reserve account and lower income on the management fees;
• revenues and fees received from funds and mutual fund management companies in the amount of PLN 509 million, or PLN 19 million (i.e. 3.6%) less than in 2019.

In 2020, the balance of other operating income and expenses was negative and stood at PLN 3,990 million. In 2019, this balance was also negative and amounted to PLN 2,790 million. This was caused by the following:

• non-recurring impairment loss on goodwill arising from the acquisition of Alior Bank in the amount of PLN 746 million and Bank Pekao in the amount of PLN 555 million;
• non-recurring impairment loss on assets arising from the acquisition of Alior Bank (i.e. trademark and relations with clients) in the amount of PLN 161 million;
• lower amount of BFG fees – decline from PLN 611 million in 2019 to PLN 541 million in 2020 due to the lower premium on bank restructuring fund;
• higher levy on financial institutions, which in the case of PZU Group (insurance and banking activity) increased from PLN 1,134 million in 2019 to PLN 1,203 million in 2020 owing to the higher burden to banking activity resulting from the increase in value of assets forming the taxable base (the rate of the levy did not change);
• reversal of the 2019 provision of PLN 89 million in connection with the reduction of tax risk of PZU Finance AB;
• decrease by PLN 60 million of the costs of amortization of intangible assets acquired in company acquisition transactions;
• reversal of the PLN 57 million provision for the fine imposed on PZU by the President of the Office of Competition and Consumer Protection (UOKiK) on 30 December 2011.