Bank of Åland Plc: Interim Report for the period January - March 2021

27 huhtikuuta 2021
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Bank of Åland Plc
Interim Report
April 27, 2021 9.00 am

Interim Report for the period January - March 2021

“We are starting 2021 with continued good growth, where the inflow of new customers and volume in our asset management operations has been especially strong. The quarterly net operating profit of EUR 10.8 M (6.9) was the best-ever start of a year for us. This was also true of our return on equity after taxes, which ended up at 12.5 (8.4) per cent.

“We are continuing to invest in additional employees and IT, which raises our total expenses, but this will also make us prepared for further growth. Our credit quality remains good, and we are not yet seeing any rising volumes of non-performing loans due to the pandemic.”  


Peter Wiklöf, Managing Director and Chief Executive

  • Net operating profit increased by 56 per cent to EUR 10.8 M (6.9).

  • Net interest income increased by 5 per cent to EUR 15.2 M (14.5).

  • Net commission income increased by 16 per cent to EUR 19.6 M (16.9).

  • Total expenses increased by 12 per cent to EUR 30.5 M (27.2).

  • Net impairment losses on financial assets (including recoveries) totalled EUR 0.1 M (3.8), equivalent to a loan loss level of 0.02 (0.37) per cent.

  • Return on equity after taxes (ROE) increased to 12.5 (8.4) per cent.

  • Earnings per share increased by 58 per cent to EUR 0.55 (0.35).

  • The common equity Tier 1 ratio capital decreased to 14.2 per cent (14.3 per cent on December 31, 2020).

  • Unchanged future outlook: The Bank of Åland expects its net operating profit in 2021 to be at about the same level as in 2020.

Financial summary

GroupQ1
2021
Q4
2020
 %Q1
2020
 %
EUR M     
Income      
Net interest income15.214.9214.55
Net commission income19.618.5616.916
Net income from financial items at fair value0.40.4-130.7-51
Other income6.26.3-25.87
Total income41.440.1337.99
      
Staff costs-17.4-16.93-15.215
Other expences-10.2-7.929-9.013
Depreciation/amortisation-2.9-3.1-5-3.1-5
Total expenses-30.5-27.810-27.212
      
Profit before impairment losses10.912.3-1210.71
      
Impairment losses on financial assets, net-0.10.0 -3.8-98
Net operating profit10.812.3-126.956
      
Income taxes-2.2-2.5-14-1.545
Profit for the report period8.69.8-125.458
      
Attributable to:     
Shareholders in Bank of Åland Plc8.69.8-125.458
      
Volume     
Lending to the public4,4194,37814,0768
Deposits from the public3,5293,605-23,4094
Actively managed assets 17,8087,43655,43144
Equity capital298292225815
Balance sheet total6,0896,03515,5999
Risk exposure amount1,6881,67011,5896
      
Financial ratios     
Return on equity after taxes, % (ROE) 212.513.6 8.4 
Return on equity after taxes, % (ROE),
moving 12-month average to end of report period
12.611.6 10.9 
Expense/income ratio 30.740.69 0.72 
Loan loss level, % 40.02-0.04 0.37 
Gross share of loans in Stage 3, % 50.920.89 0.85 
Liquidity coverage ratio (LCR), % 6165159 146 
Net stable funding ratio (NSFR), % 7106106 119 
Loan/deposit ratio, % 8125121 120 
Common equtiy Tier 1 capital ratio, % 914.214.3 14.4 
Tier 1 capital ratio, % 1015.914.3 14.4 
Total capital ratio, % 1118.116.5 16.6 
Leverage ratio, % 124.74.2 4.0 
Earnings per share, EUR 130.550.63-120.3558
Earnings per share, EUR,
moving 12-month average to end of report period
2.222.02101.7527
Equity capital per share, EUR 1417.1918.76-816.544
Working hours re-calculated to full-time equivalent positions790770372010

1 Actively managed assets encompassed managed assets in the Group’s own mutual funds, as well as discretionary and advisory securities volume.
2 Profit for the report period attributable to shareholders / Average shareholders´portion of equity capital
3 Expenses / Income
4 Impairment losses on loan portfolio and other commitments / Lending to the public at the beginning of the period
5 Share of loans in Stage 3 / Gross lending to the public
6 LCR, assets at levels 1 and 2 / 30-day net cash outflow
7 Available stable funding / Stable funding requirement
8 Lending to the public / Deposits from the public
9 Common equity Tier 1 capital / Risk exposure amount
10 Tier 1 capital / Risk exposure amount
11 Own funds / Risk exposure amount
12 Tier 1 capital / Total exposure metric
13 Shareholders’ portion of profit for the period / Average number of share
14 Shareholders’ portion of equity capital / Number of shares on closing day

The Bank of Åland (Ålandsbanken) follows the disclosure procedure stipulated in "Disclosure obligation of the issuer (7/2013)", published by the Finnish Financial Supervisory Authority and hereby publishes its Interim Report for the period January – March 2021, which is enclosed with this stock exchange release. The Bank`s Interim Report for the period January – March 2021 is attached to this release in PDF format and is also available on the company’s web site at  https://www.alandsbanken.com/uploads/pdf/result/en_resultat_jan-mar_21.pdf

For more information please contact:

Peter Wiklöf, Managing Director and Chief Executive, Bank of Åland, tel. + 358 (0)40 512 7505

 


 


 

 

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