Consolidated Statement

Consolidated Statement of Profit or Loss for the Year Ended December 31, 2017 (in millions of Russian rubles)
  Notes Year ended December 31, 2017 Year ended December 31, 2016
Fee and commission income 4 21 207,6 19 797,6
Interest and other finance income 5 16 040,2 22 730,6
Interest expense 6 (829,8) (118,5)
Net gain on financial assets available-for-sale 1 015,8 1 425,3
Foreign exchange gains less losses 7 1 059,1 (342,4)
Other operating income 46,0 74,6
Operating Income 38 538,9 43 567,2
Administrative and other operating expenses 8 (7 278,9) (6 312,3)
Personnel expenses 9 (6 152,9) (5 947,1)
Operating Profit before Tax 25 107,1 31 307,8
Income tax expense 10 (4 851,9) (6 125,2)
Net Profit 20 255,2 25 182,6
Attributable to:
Equity holders of the parent 20 265,7 25 178,1
Non-controlling interest (10,5) 4,5
Earnings per share
Basic earnings per share, rubles 24 9,02 11,22
Diluted earnings per share, rubles 24 8,98 11,16
The notes 1 -31 form an integral part of these consolidated financial statements.

Chairman of the Executive Board
Afanasiev A.K.
March 2, 2018
Moscow

Chief Financial Officer, Executive Board Member
Lapin M.V.
March 2, 2018
Moscow

Consolidated Statement of Comprehensive Income for the Year Ended December 31, 2017 (in millions of Russian rubles)
Notes December 31, 2017 December 31, 2016
Net profit 20 255,2 25 182,6
Other comprehensive income that may be reclassified subsequently to profit or loss:
Exchange differences on translating foreign operations (1,2) (26,6)
Net income resulting from revaluation of investments available-for-sale 1 323,9 1 686,7
Net gain on investments available-for sale reclassified to profit or loss (1 015,8) (1 425,3)
Income tax relating to items that may be reclassified (61,6) (52,3)
Other comprehensive income that may be reclassified subsequently to profit or loss 245,3 182,5
Total comprehensive income 20 500,5 25 365,1
Attributable to:
Equity holders of the parent 20 515,1 25 378,1
Non-controlling interest (14,6) (13,0)
Total comprehensive income 20 500,5 25 365,1
Consolidated Statement of Financial Position as at December 31, 2017 (in millions of Russian rubles)
  Notes Year ended December 31, 2017 Year ended December 31, 2016
Assets
Cash and cash equivalents 11 273 248,6 380 516,6
Financial assets at fair value though profit or loss 12 413,6 0,4
Due from financial institutions 13 63 606,9 63 842,7
Central counterparty financial assets 14 2 430 083,8 1 733 263,8
Investments available-for-sale 15 215 132,2 218 496,2
Property and equipment 16 6 636,2 7 706,4
Intangible assets 17 18 307,9 18 357,9
Goodwill 18 15 971,4 15 971,4
Current tax prepayments 306,8 51,9
Deferred tax asset 10 243,4 1 776,5
Other assets 19 3 818,9 1 954,1
Total assets 3 027 769,7 2 441 937,9
Liabilities
Balances of market participants 20 466 860,2 574 590,1
Central counterparty financial liabilities 14 2 430 083,8 1 733 263,8
Distributions payable to holders of securities 2 507,8 2 952,3
Margin account 384,6
Current tax payables 990,5
Deferred tax liability 10 2 943,3 3 165,6
Other liabilities 21 3 711,2 3 592,0
Total liabilities 2 906 490,9 2 318 554,3
Equity
Share сapital 22 2 495,9 2 498,1
Share premium 22 32 105,5 32 286,2
Treasury shares 22 (1 908,1) (2 271,9)
Foreign currency translation reserve (18,5) (21,4)
Investments revaluation reserve 1 357,0 1 110,5
Share-based payments 524,0 413,1
Retained earnings 86 546,4 89 177,8
Total equity attributable to owners of the parent 121 102,2 123 192,4
Non-controlling interest 176,6 191,2
Total equity 121 278,8 123 383,6
Total liabilities and equity 3 027 769,7 2 441 937,9
Consolidated Statement of Financial Position as at December 31, 2017 (in millions of Russian rubles)
  Notes Year ended December 31, 2017 Year ended December 31, 2016
Cash flows from / (used in) operating activities:
Profit before tax 25 107,1 31 307,8
Adjustments for:
Depreciation and amortisation charge 8 2 952,5 2 294,3
Net change in deferred commission income 150,6 (12,5)
Revaluation of derivatives (407,3)
Share-based payment expense 9 267,9 255,3
Unrealized loss on foreign exchange operations 16,0 151,7
Gain on disposal of investments available-for-sale (1 015,8) (1 425,3)
Net change in interest accruals (1 573,4) 764,4
Net loss on disposal of property and equipment and intangible assets 60,9 9,5
Impairment of investments available-for-sale 11,6
Impairment of intangible assets 8 15,0
Impairment of other assets 19 8,8 2,8
Loss on disposal of assets held for sale 8 52,4
Changes in operating assets and liabilities:
(Increase)/decrease in operating assets:
Due from financial institutions (2 697,4) (30 590,7)
Financial assets at fair value through profit or loss 0,4
Central counterparty financial assets (711 775,2) (1 214 754,5)
Other assets (1 734,4) (152,6)
Increase/(decrease) in operating liabilities:
Balances of market participants (127 231,6) (429 489,5)
Central counterparty financial liabilities 711 775,2 1 214 754,5
Distributions payable to holders of securities (444,5) (3 186,1)
Margin account 384,6 (417,7)
Other liabilities 279,1 (132,3)
Cash flows used in operating activities before taxation (105 849,9) (430 568,5)
Income tax paid (4 848,2) (8 720,9)
Cash flows used in operating activities (110 698,1) (439 289,4)
Cash flows from / (used in) investing activities:
Purchase of investments available-for-sale (162 317,9) (183 585,0)
Proceeds from disposal of investments available-for-sale 165 877,7 116 623,9
Purchase of property and equipment and intangible assets (2 102,1) (3 548,3)
Proceeds from disposal of property and equipment and intangible assets 29,2 5,3
Proceeds from sale of investments in associates 34,2
Disposal of subsidiaries, net of cash disposed 8 46,5
Cash flows from / (used in) investing activities 1 486,9 (70 423,4)
Cash flows from / (used in) financing activities:
Dividends paid (22 897,1) (15 994,8)
Uncalled dividends (paid) / returned (162,1) 162,3
Sale of treasury shares 49,5 355,1
Acquisition of non-controlling interest in subsidiaries (5,5)
Acquisition of treasury shares (236,9)
Сash flows used in financing activities (23 009,7) (15 719,8)
Effect of changes in foreign exchange rates on cash and cash equivalents 24 952,9 (85 847,9)
Net decrease in cash and cash equivalents (107 268,0) (611 280,5)
Cash and cash equivalents, beginning of the year 11 380 516,6 991 797,1
Cash and cash equivalents, end of the year 11 273 248,6 380 516,6

Interest received by the Group during the year ended December 31, 2017, amounted to RUB 14 474,2 million (December 31, 2016: RUB 23 497,0 million).

Interest paid by the Group during the year ended December 31, 2017, amounted to RUB 832,3 million (December 31, 2016: RUB 116,0 million).

Consolidated Statement of Changes in Equity for the Year Ended December 31, 2017 (in millions of Russian rubles)
Share capital Share premium Treasury shares Investments revaluation reserve Share-based payments Foreign currency translation reserve Reserves relating to assets held for sale Retained earnings Total equity attributable to owners of the parent Non-controlling interest Total equity
December 31, 2015 2 498,1 32 471,1 (2 921,8) 901,4 504,6 (16,5) (72,1) 79 991,0 113 355,8 253,8 113 609,6
Net profit 25 178,1 25 178,1 4,5 25 182,6
Other comprehensive income 209,1 (4,9) (4,2) 200,0 (17,5) 182,5
Total comprehensive income for the year 209,1 (4,9) (4,2) 25 178,1 25 378,1 (13,0) 25 365,1
Transactions with owners
Dividends declared (Note 23) (15 994,7) (15 994,7) (0,1) (15 994,8)
Share-based payments (99,9) 801,8 (91,5) 610,4 610,4
Repurchase of treasury shares (85,0) (151,9) (236,9) (236,9)
Sale of business in Ukraine 76,3 76,3 (40,6) 35,7
Acquisition of non-controlling interest 3,4 3,4 (8,9) (5,5)
Total transactions with owners (184,9) 649,9 (91,5) 76,3 (15 991,3) (15 541,5) (49,6) (15 591,1)
December 31, 2016 2 498,1 32 286,2 (2 271,9) 1 110,5 413,1 (21,4) 89 177,8 123 192,4 191,2 123 383,6
Net profit 20 265,7 20 265,7 (10,5) 20 255,2
Other comprehensive income 246,5 2,9  – 249,4 (4,1) 245,3
Total comprehensive income for the year 246,5 2,9 20 265,7 20 515,1 (14,6) 20 500,5
Transactions with owners
Dividends declared (Note 23) (22 897,1) (22 897,1) (22 897,1)
Share-based payments (31,0) 211,9 110,9 291,8 291,8
Cancellation of treasury shares (2,2) (149,7) 151,9
Total transactions with owners (2,2) (180,7) 363,8 110,9 (22 897,1) (22 605,3) (22 605,3)
December 31, 2017 2 495,9 32 105,5 (1 908,1) 1 357,0 524,0 (18,5) 86 546,4 121 102,2 176,6 121 278,8