Mariehamn, 2015-07-10 11:00 CEST (GLOBE NEWSWIRE) --
Bank of Åland Plc
Stock exchange release
July 10, 2015, 12.00
The Bank of Åland’s new operating segments in interim reports
Starting with the January-June 2015 Interim Report, which will be published on July 24, 2015, the Bank of Åland Plc (Ålandsbanken Abp) is changing its reporting of operating segments. This change is occurring against the backdrop of changes in the organisation.
The new segments being reported are:
- Private Banking, encompassing Private Banking operations in Åland, on the Finnish mainland and in Sweden.
- Premium Banking, encompassing operations in all customer segments excluding Private Banking in Åland, on the Finnish mainland and in Sweden.
- Asset Management, encompassing the Bank of Åland Group’s new asset management organisation in Finland and Sweden including Ålandsbanken Fondbolag Ab. Asset Management is responsible for management and sales support of the Bank of Åland’s own mutual funds, discretionary asset management mandates and advisory asset management mandates. Asset Management is a support organisation for Private Banking and Premium Banking, which have direct customer responsibility, but Asset Management itself has customer responsibility for certain large institutional customers, mutual fund platforms and insurance agents.
- IT, encompassing the subsidiary Crosskey Banking Solution Ab Ltd including S-Crosskey Ab, which develop and offer information technology (IT) solutions for banking services, card services, securities-related services and digital customer contacts.
- Corporate and Other, encompassing all central corporate units in the Group, including Treasury and the subsidiary Ab Compass Card Oy Ltd, which develops and offers debit and credit card services.
The table below presents figures related to the full year 2014 for the new segment allocation. This segment reporting reflects the information that the Group’s Executive Team receives.
| Bank of Åland Group |
Jan 1–Dec 31, 2014 |
||||||||
| EUR M |
Private Banking |
Premium Banking |
Asset Management | IT | Corporate and Other | Eliminations | Total | ||
| Net interest income | 23.5 | 23.6 | 0.1 | -0.1 | 1.9 | 0.3 | 49.3 | ||
| Net commission income | 23.7 | 10.2 | 10.9 | -0.1 | 1.4 | 0.0 | 46.2 | ||
| Net income from financial items | 0.4 | 0.7 | 0.1 | 0.0 | 5.7 | -0.1 | 6.8 | ||
| IT income | 0.0 | 0.0 | 0.0 | 30.7 | 0.0 | -13.3 | 17.3 | ||
| Other income | 0.2 | 0.1 | 0.1 | 0.1 | 0.5 | 0.0 | 1.0 | ||
| Total income | 47.8 | 34.7 | 11.2 | 30.5 | 9.5 | -13.1 | 120.6 | ||
| Staff costs | -11.0 | -7.2 | -4.7 | -14.0 | -15.6 | 0.0 | -52.5 | ||
| Other expenses | -6.3 | -6.4 | -2.3 | -10.1 | -22.4 | 12.8 | -34.7 | ||
| Depreciation/ amortisation | -0.2 | -0.8 | 0.0 | -3.8 | -5.5 | 2.1 | -8.2 | ||
| Internal allocation of expenses | -15.9 | -18.5 | -1.9 | 0.0 | 36.3 | 0.0 | 0.0 | ||
| Nonrecurring items | 0.0 | -0.5 | -0.2 | 0.0 | -0.2 | -0.1 | -1.0 | ||
| Total expenses | -33.4 | -33.5 | -9.1 | -27.8 | -7.5 | 14.8 | -96.4 | ||
| Profit before impairment losses | 14.5 | 1.2 | 2.1 | 2.7 | 1.9 | 1.7 | 24.2 | ||
| Impairment losses on loans and other commitments | -0.4 | -1.2 | 0.0 | 0.0 | -0.3 | 0.0 | -1.8 | ||
| Net operating profit | 14.1 | 0.1 | 2.1 | 2.7 | 1.7 | 1.7 | 22.4 | ||
| Income taxes | -2.9 | 0.0 | -0.4 | -0.5 | -0.9 | 0.0 | -4.8 | ||
| Non-controlling interests | 0.0 | 0.0 | -1.3 | 0.0 | -0.2 | 0.0 | -1.5 | ||
| Profit for the period attributable to shareholders | 11.2 | 0.1 | 0.4 | 2.2 | 0.6 | 1.7 | 16.1 | ||
| Business volume, Dec 31 | |||||||||
| Lending to the public | 1,475 | 1,840 | 0 | 0 | 44 | -16 | 3,343 | ||
| Deposits from the public | 1,220 | 1,081 | 7 | 0 | 89 | -6 | 2,391 | ||
| Investment volume1 | 4,733 | 738 | 3,262 | 0 | 6 | -2,427 | 6,312 | ||
| Risk exposure amount | 661 | 603 | 12 | 36 | 243 | 0 | 1,554 | ||
| Allocated equity capital | 82 | 83 | 1 | 9 | 19 | 0 | 194 | ||
| Financial ratios etc. | |||||||||
| Return on equity after taxes, % (ROE) | 15.0 | 0.1 | 23.8 | 15.7 | 8.7 | ||||
| Expense/income ratio | 0.70 | 0.96 | 0.81 | 0.91 | 0.80 | 0.80 | |||
| Gross non-performing loans > 90 days, % | 0.12 | 1.45 | 2.28 | 0.88 | |||||
| Loan loss level, % | 0.03 | 0.06 | 0.52 | 0.06 | |||||
| Lending/deposits, % | 121 | 170 | 49 | 140 | |||||
| Average full-time equivalent positions2 | 109 | 118 | 20 | 197 | 195 | 639 | |||
| 1 Investment volume encompasses actively managed assets (consisting of the Group’s own mutual funds, discretionary managed assets and advisory managed assets) plus other securities volume without asset management agreements including intermediated insurance assets. | |||||||||
| 2 Number of full-time equivalent positions defined as employment level excluding employees on parental and long-term sick leave. | |||||||||
For further information:
Peter Wiklöf, Managing Director and Chief Executive, Bank of Åland Plc, tel +358 40 512 7505