Aktia Bank Plc
Interim report January-March 2018
8 May at 8 am
Aktia Bank Plc: Interim report January-March 2018
Lower costs and improved net commission income contributed to higher comparable operating profit
Juha Hammarén, acting CEO
” During the first quarter of the year, Aktia focused fully on implementing the new strategy. The comparable operating profit increased by EUR 2.1 million to
EUR 18 million from last year due to the continued high net commission income and the work on the cost structure that started in the end of 2017. Aktia’s outlook for 2018 has been revised as the comparable operating profit for 2018 is expected to be somewhat higher than the comparable operating profit for 2017.”
January - March 2018:
- Net commission income increased to EUR 23.8 (21.1) million. The net interest income decreased to EUR 20.7 (23.4) million, of which net interest income from borrowing and lending stayed at the same level as last year, EUR 16.9 (17.1) million. Interest income from the liquidity portfolio and unwound interest rate hedges decreased by EUR 2.9 million. Total operating income decreased to EUR 51.2 (53.1) million.
- The total operating expenses decreased by 10 % to EUR 33.5 (37.3) million. Operating expenses excluding items affecting comparability were EUR 33.1 (36.6) million.
- The operating profit increased to EUR 17.7 (16.4) million. The comparable operating profit increased to EUR 18.0 (15.9) million.
- Changed outlook 2018: The comparable operating profit for 2018 is expected to be somewhat higher than (previously: approximately to be on the same level) the comparable operating profit for 2017 (see page 17).
Key figures
| (EUR million) | 1Q2018 | 1Q2017 | ∆ % | 2017 | 4Q2017 | 1Q/4Q | 3Q2017 | 2Q2017 | ||
| Net interest income | 20.7 | 23.4 | -11 | % | 89.6 | 21.8 | -5 | % | 21.5 | 22.9 |
| Net commission income | 23.8 | 21.1 | 13 | % | 91.4 | 23.7 | 0 | % | 22.0 | 24.6 |
| Total operating income | 51.2 | 53.1 | -4 | % | 210.3 | 52.7 | -3 | % | 50.3 | 54.2 |
| Total operating expenses | -33.5 | -37.3 | -10 | % | -160.7 | -42.0 | 20 | % | -41.7 | -39.7 |
| Impairment of credits and other commitments | -0.6 | -0.1 | - | -0.6 | -0.4 | -35 | % | 0.0 | -0.1 | |
| Operating profit | 17.7 | 16.4 | 8 | % | 49.1 | 10.3 | 72 | % | 8.0 | 14.4 |
| Comparable operating profit1 | 18.0 | 15.9 | 13 | % | 59.9 | 11.4 | 58 | % | 15.7 | 16.9 |
| Cost-to-income ratio | 0.65 | 0.70 | -7 | % | 0.76 | 0.80 | -19 | % | 0.83 | 0.73 |
| Earnings per share (EPS)3, EUR | 0.22 | 0.20 | 12 | % | 0.57 | 0.12 | 85 | % | 0.09 | 0.16 |
| Equity per share (NAV)2,3, EUR | 8.61 | 9.01 | -4 | % | 8.70 | 8.70 | -1 | % | 8.61 | 8.53 |
| Return on equity (ROE), % | 10.2 | 8.7 | 16 | % | 6.5 | 5.5 | 84 | % | 4.4 | 7.4 |
| Common Equity Tier 1 capital ratio2, % | 16.4 | 18.2 | -10 | % | 18.0 | 18.0 | -9 | % | 17.3 | 18.0 |
| Capital adequacy ratio2, % | 20.8 | 24.8 | -16 | % | 23.4 | 23.4 | -11 | % | 22.9 | 24.3 |
1) Alternative performance measures excluding items affecting comparability, see page 18
2) At the end of the period
3) Recalculated according to the number of shares after combining series A and R
Aktia Bank Plc:s Non-Financial Report 2017 has also been published on www.aktia.com.
AKTIA BANK PLC
For more information:
Outi Henriksson, CFO, tel. +358 10 247 6236
From:
Anders Wikström, IR-specialist, tel. +358 10 247 6294
Distribution:
Nasdaq Helsinki Ltd
Central media
www.aktia.com
Aktia provides a broad range of solutions within banking, asset management, insurance and real estate agency. Aktia operates mainly in coastal areas and inland growth areas. Aktia has about 380,000 customers who are served at branch offices and via web, mobile interfaces as well as telephone services. Aktia's share is listed on the list of Nasdaq Helsinki Ltd. For more information about Aktia see www.aktia.com.
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