Aktia plc: Interim report January-September 2012

Aktia plc Stock Exchange Release
Interim report January-September 2012
8 November 2012 at 8.00 a.m.

 

CEO Jussi Laitinen

 ”Nine months into the year, Aktia is demonstrating good results. Sales and management commissions have developed very well, and this has contributed to a considerable increase in operating income, despite the negative effects of current low interest rates. Aktia Asset Management has grown and again received excellent marks from its customers this year, something that is expected to increase sales even more. Group investments have also developed favourably during the year, which has contributed to a higher capital adequacy ratio. Cost developments continued to be relatively modest. 

Aktia is undergoing a comprehensive restructuring process over the next 2–3 years to improve its competitiveness. Aktia is well equipped to carry out this transformation, and we will continue our efforts to boost customer satisfaction.”

July-September 2012: Operating profit EUR 13.4 (6.8) million

  • Group operating profit from continuing operations doubled to EUR 13.4 (6.8) million.
  • Profit for the period amounted to EUR 9.9 (5.5) million.
  • Income increased by 22% to EUR 50.5 (41.4) million, of which net interest income amounted to EUR 28.7 (31.1) million.
  • Expenses amounted to EUR 34.0 (33.6) million.
  • Write-downs on credits and other commitments amounted to EUR 1.8 (1.1) million due to higher group write-downs.
  • Earnings per share stood at EUR 0.15 (0.09).

January-September 2012: Operating profit EUR 45.6 (38.2) million

  • Group operating profit from continuing operations improved to EUR 45.6 (38.2) million.
  • Profit for the period amounted to EUR 43.7 (28.6) million.
  • Earnings per share stood at EUR 0.65 (0.42), of which earnings per share from continuing operations was EUR 0.50 (0.39).
  • The capital adequacy ratio increased to 19.9 (16.2)% and the Tier 1 capital ratio to 11.8 (10.6)%. NAV was EUR 8.70 (31.12.2011: EUR 7.01).
  • Total net interest income fell to EUR 88.0 (98.3) million due to low interest rates and maturing interest rate derivatives.
  • Write-downs on credits and other commitments decreased by 27% to EUR 4.6 (6.3) million.

OUTLOOK: Operating profit from continuing operations for 2012 will exceed the level in 2011 (changed 15.10.2012,
the complete outlook on page 12).

KEY FIGURES
(EUR million)
7-9/ 2012 7-9/ 2011 ∆ %      1-9/ 2012 1-9/ 2011 ∆ %      4-6/ 2012 1-3/ 2012 2011
Net interest income 28.7 31.1 -8% 88.0 98.3 -10% 29.7 29.6 128.6
Total operating income 50.5 41.4 22% 159.5 152.3 5% 55.8 53.2 201.9
Total operating expenses -34.0 -33.6 1% -108.2 -107.7 0% -37.5 -36.7 -146.7
Operating profit before write downs on credits, continuing operations 15.2 7.9 93% 50.3 44.5 13% 18.8 16.2 55.1
Write-downs on credits and other commitments -1.8 -1.1 66% -4.6 -6.3 -27% -1.0 -1.9 -10.5
Operating profit from continuing operations 13.4 6.8 98% 45.6 38.2 20% 17.9 14.3 44.6
Cost-to-income ratio 0.69 0.79 -13% 0.69 0.72 -4% 0.69 0.68 0.73
Earnings per share (EPS), EUR 0.15 0.09 70% 0.65 0.42 56% 0.21 0.29 0.53
Equity per share (NAV)1, EUR 8.70 6.90 26% 8.70 6.90 26% 7.88 7.89 7.01
Return on equity (ROE), % 6.4 4.4 46% 10.0 7.5 33% 9.7 14.1 7.1
Capital adequacy ratio1, % 19.9 16.6 20% 19.9 16.6 20% 18.9 18.1 16.2
Tier 1 capital ratio1, % 11.8 10.8 9% 11.8 10.8 9% 11.7 11.3 10.6
Write-downs on credits / total credit stock, % 0.02 0.02 0% 0.06 0.09 -33% 0.01 0.03 0.15

1) At the end of the period

The Interim report January-September 2012 is a translation of the original Swedish version ”Delårsrapport 1.1-30.9.2012”. In case of discrepancies, the Swedish version shall prevail.          

         CEO Jussi Laitinen, tel. +358 10 247 6250
         Deputy CEO, CFO Stefan Björkman, tel.+358 50 63219
         IR manager Anna Gabrán, tel. +358 10 247 6501, +358 40 708 1807