AKTIA PLC INTERIM REPORT JANUARY-SEPTEMBER 2011
11/8/2011 1:00 AM EST
Aktia plc
Interim report
AKTIA PLC INTERIM REPORT JANUARY-SEPTEMBER 2011
Helsinki, Finland, 2011-11-08 07:00 CET (GLOBE NEWSWIRE) --
CEO JUSSI LAITINEN:
"Sales to private customers increased, but the disposal of our holdings in Bank
of Åland had a negative effect on the result for this quarter. The interest
rate level is still low in Europe, making improvement of profitability more
challenging. Despite financial uncertainty, Aktia's capital adequacy and Tier 1
capital remain at a good level. They exceed the Tier 1 ratio of 9.0% now
suggested by the Euro Banking Association (EBA). Aktia stands well prepared for
the upcoming Basel III and Solvency II rules, and can therefore continue to
focus on further improvements in customer service. The launch of Aktias new
Internetbank by year-end will bring remarkable enhancement to our competitive
image in the sales of financial and insurance services to private customers."
JAN.-SEP.: OPERATING PROFIT EUR 40.4 (64.4) MILLION
-- Group operating profit fell to EUR 40.4 (64.4) million, and profit for the
period to EUR 28.6 (47.9) million.
-- Earnings per share stood at EUR 0.42 (0.69).
-- Return on equity was 7.5% (12.8%).
-- Operating income was EUR 169.6 (187.4) million and operating expenses EUR
122.2 (115.0) million.
-- The balance sheet total amounted to EUR 10,746 (11,019) million.
-- The capital adequacy ratio increased to 16.6 (15.9)% and Tier 1 capital
ratio to 10.8 (10.1)%.
-- Write-downs on credits and outstanding premiums stood at EUR 6.9 (9.8)
million.
-- Aktia Bank plc's credit rating remained unchanged at A1/C/P-1 (Moody's
Investors Service).
-- OUTLOOK: The full-year result for 2011 will be lower than in 2010
(unchanged, outlook in details on p.14).
JULY-SEP.: OPERATING PROFIT EUR 9.5 (23.4) MILLION
-- Group operating profit fell to EUR 9.5 (23.4) million, and profit for the
period to EUR 5.5 (17.9) million.
-- The disposal of holdings in Bank of Åland reduced profit by EUR 6.3
million.
-- Earnings per share stood at EUR 0.09 (0.26).
-- Return on equity was 4.4 (13.9)%
-- Operating income was EUR 49.3 (60.2) million and operating expenses EUR
38.6 (36.2) million.
-- Write-downs on credits and outstanding premiums decreased to EUR 1.2 (1.4)
million.
Key
figures
for the
Group
(EUR 1-9/11 1-9/10 ? 7-9/11 7-9/10 ? 4-6/11 1-3/11 2010
million)
Net 100.2 113.4 -12 % 31.9 36.6 -13 % 33.6 34.7 149.3
interest
income
Total 169.6 187.4 -10 % 49.3 60.2 -18 % 57.7 62.6 249.4
operating
income
Total -122.2 -115.0 6 % -38.6 -36.2 7 % -43.4 -40.1 -159.0
operating
expenses
Operating 47.4 74.2 -36 % 10.7 24.7 -57 % 14.2 22.4 92.0
profit
before
write
downs on
credits
Write-down -6.9 -9.8 -29 % -1.2 -1.4 -11 % -2.1 -3.6 -14.1
s on
credits,
other
commitmen
ts and
outstandi
ng premium
receivabl
es
Operating 40.4 64.4 -37 % 9.5 23.4 -59 % 12.1 18.8 77.9
profit
--------------------------------------------------------------------------------
Cost-to-in 0.72 0.56 29 % 0.79 0.58 36 % 0.74 0.63 0.59
come ratio
Earnings 0.42 0.69 -40 % 0.09 0.26 -65 % 0.13 0.20 0.83
per share
(EPS),
EUR
Equity per 6.90 7.30 -5 % 6.90 7.30 -5 % 6.43 6.14 6.81
share
(NAV)1,
EUR
Return on 7.5 12.8 -42 % 4.4 13.9 -68 % 7.6 11.9 12.0
equity
(ROE), %
Capital 16.6 17.0 -2 % 16.6 17.0 -2 % 16.6 16.0 15.9
adequacy
ratio1, %
Tier 1 10.8 10.4 4 % 10.8 10.4 4 % 10.8 10.3 10.1
capital
ratio1, %
------------------------------------------ -------
-------- -----------------------
Write-down 0.09 0.14 -36 % 0.02 0.02 0 % 0.03 0.05 0.20
s on
credits /
total
credit
stock, %
1At the end of the period
"Interim report January - Sept 2011" is a translation of the original report in
Swedish ("Delårsrapport 1.1-30.9.2011"). In case of discrepancies, the Swedish
version prevails.
CEO Jussi Laitinen, tel +358 10 247 6250
Deputy CEO, CFO Stefan Björkman, tel. +358 10 247 6595
IR Manager Anna Gabrán, tel. +358 10 247 6501, +358 40 708 1807
ir(at)aktia.fi