Aktia Bank Plc: Half-year Report January–June 2018
Aktia Bank Plc
Half-year Report January–June 2018
7 August at 8 am
Aktia Bank Plc: Half-year Report January–June 2018
Implementation of the strategy gives results, the comparable operating profit increased
Juha Hammarén, acting CEO
” During the second quarter of the year, the comparable operating profit increased by 10 % from the same period during last year to EUR 18.5 million. Lower expenses and good growth for net commission income in Personal & Corporate Banking as well as in Wealth Management contributed to the positive development. We introduced new products, customer concepts and several new initiatives for digitalisation which will lead to a smoother customer experiences and better customer service. The transformation of Aktia proceeded well with several positive changes which will benefit our customers even more.”
April - June 2018:
- Total operating income increased to EUR 55.8 (54.2) million.
The net commission income increased to EUR 26.2 (24.6) million. The net interest income increased to EUR 23.5 (22.9) million, of which the net interest income from borrowing and lending was EUR 17.4 (17.8) million and the interest income from Aktia’s TLTRO refinancing program was EUR 2.6 million. The interest income from the liquidity portfolio and unwound interest rate hedges decreased by EUR 2.2. million. Net income from life insurance was EUR 5.0 (5.8) million and was affected negatively by unrealised value changes in the investment portfolio. - The total operating expenses decreased by 4 % to EUR 38.3 (39.7) million. Operating expenses excluding items affecting comparability were EUR 38.0 (37.3) million.
- The operating profit increased to EUR 18.2 (14.4) million. The comparable operating profit increased to EUR 18.5 (16.9) million.
- Outlook 2018 (unchanged): The comparable operating profit for 2018 is expected to be somewhat higher than the comparable operating profit for 2017 (see page 18).
Key figures
| (EUR million) | 2Q2018 | 2Q2017 | ∆ % | Jan-Jun 2018 | Jan-Jun 2017 | ∆ % | 1Q2018 | 2Q/1Q | 2017 | |||
| Net interest income | 23.5 | 22.9 | 3 | % | 44.2 | 46.2 | -4 | % | 20.7 | 13 | % | 89.6 |
| Net commission income | 26.2 | 24.6 | 7 | % | 50.1 | 45.7 | 9 | % | 23.8 | 10 | % | 91.4 |
| Total operating income | 55.8 | 54.2 | 3 | % | 107.0 | 107.3 | 0 | % | 51.2 | 9 | % | 210.3 |
| Total operating expenses | -38.3 | -39.7 | -4 | % | -71.8 | -77.0 | -7 | % | -33.5 | 15 | % | -160.7 |
| Impairment of credits and other commitments |
0.7 | -0.1 | - | 0.1 | -0.1 | - | -0.6 | - | -0.6 | |||
| Operating profit | 18.2 | 14.4 | 26 | % | 35.9 | 30.8 | 16 | % | 17.7 | 3 | % | 49.1 |
| Comparable operating profit1 | 18.5 | 16.9 | 10 | % | 36.6 | 32.8 | 11 | % | 18.0 | 3 | % | 59.9 |
| Cost-to-income ratio | 0.69 | 0.73 | -5 | % | 0.67 | 0.72 | -7 | % | 0.65 | 6 | % | 0.76 |
| Earnings per share (EPS)3, EUR | 0.21 | 0.16 | 32 | % | 0.43 | 0.36 | 21 | % | 0.22 | -3 | % | 0.57 |
| Equity per share (NAV)2,3, EUR | 8.26 | 8.53 | -3 | % | 8.26 | 8.53 | -3 | % | 8.61 | -4 | % | 8.70 |
| Return on equity (ROE), % | 10.1 | 7.4 | 37 | % | 10.2 | 8.2 | 25 | % | 10.2 | 0 | % | 6.5 |
| Common Equity Tier 1 capital ratio2, % | 16.3 | 18.0 | -10 | % | 16.3 | 18.0 | -10 | % | 16.4 | -1 | % | 18.0 |
| Capital adequacy ratio2, % | 20.1 | 24.3 | -17 | % | 20.1 | 24.3 | -17 | % | 20.8 | -3 | % | 23.4 |
1) Alternative performance measures excluding items affecting comparability, see page 19
2) At the end of the period
3) Recalculated according to the number of shares after combining series A and R
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.
