Ikano Bank AB (publ) Year-End Report 2021

“We are on our way to becoming a fully digitalised, sustainable bank. During 2021 we successfully launched the first two products on our new digital platform. Ingka Group became part-owner of the Bank during the year creating huge possibilities. We accelerated the transformation further in order to have a renewed bank within a few years where we have shut down legacy systems. We have a long-term strategy underpinning everything we do. We offer simple and fair financial solutions based on the latest technology thereby giving better access to finance to more of the many people.”

Henrik Eklund, CEO, Ikano Bank AB (publ)

Results for the full year 2021

• Business volume amounted to SEK 61,238 m (60,968)
• Lending, including leasing, amounted to SEK 34,329 m (34,745)
• Deposits from the public amounted to SEK 26,909 m (26,223)
• Profit before loan losses decreased to SEK 303 m (799)
• Operating result decreased to SEK -211 m (23)
• C/I-ratio before loan losses was 87.8 percent (70.2)
• Loan losses decreased by 36.1 percent to SEK -496 m (-775)
• Net interest income decreased by 7.7 percent to SEK 1,695 m (1,837)
• Return on adjusted equity decreased to -2.1 percent (0.3)
• Total Capital ratio is the same as the Common equity Tier 1 ratio of 29.5 percent (17.6)
• The liquidity reserve totalled SEK 4,465 m (3,073) and the total liquidity portfolio amounted to
  SEK 7,547 m (6,246)

Results for the second half year 2021

• Operating result decreased to SEK -272 m (104) which is mainly explained by increasing costs connected to the transformation
• Net interest income decreased by 6.8 percent to SEK 840 m (901)
• Return on adjusted equity for the second half of the year amounted to -5.3 percent (2.7)

Outlook for 2022

• Ikano Bank continues to focus on becoming a fully digitalised sustainable bank for the many people.
• The extensive and long-term investments being made to streamline and improve the bank's competitiveness, customer offering and sales continues.
• Develop the collaboration together with Ingka Group as a part-owner.
• Several new digital products are launched and in more markets.
• The uncertainty in both the macro environment, with increasing inflation and interest rates, and the geopolitical environment, will have an effect on society that can come to have an effect on our business.

LENDING INCLUDING LEASING IN MILLION SEK	DEPOSITS FROM THE PUBLIC IN MILLION SEK
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This is information that Ikano Bank AB (publ) is required to disclose in accordance with the Securities Market Act. The information was submitted for publication on 25 February 2022 at 11:00 AM.

Ikano Bank’s Year-end Report is available on the Bank’s website: www.ikanobank.se/om-banken/ekonomisk-information

For more information

Henrik Eklund, CEO

tel: 010-330 40 00

email: communication @ikano.se

About Ikano Bank AB (publ)

Ikano Bank creates possibilities for better living by offering simple, fair and affordable services, enabling a healthy economy for the many people. Our offer includes savings and loan products for consumers, sales support services for retailers, and leasing and factoring solutions for businesses. We conduct business in Sweden, Denmark, Finland, Norway, the UK, Poland, Germany and Austria. Ikano Bank is a part of the Ikano Group who owns 51 % of the Bank. Ingka Group, a strategic partner in the IKEA franchise system, operating 392 IKEA stores in 32 countries, owns the remaining 49 % of Ikano Bank. Ikano Bank’s head office is located in Malmö, Sweden and the company is registered in Älmhult, Sweden where the business was once founded.

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