Shares in Raiffeisen Bank International (RBI:VIE), the leading CEE lender, rose by as much 5 per cent on Thursday after it reported better-than-expected profits for 2011 and a bigger-than-forecast increase in its capital base.

Despite losses in Hungary and a write-down in troubled Ukraine, Raiffeisen posted net profits of €968m, way ahead of analysts’ forecasts of €828m, and an increase in its Tier 1 capital ratio to 9.3 per cent at the end of December - up from 7.9 per cent three months earlier.

Investors appreciate the difference – the shares have climbed more than 80 per cent in that time. Continue reading »