Sparebanken Pluss Quarterly Report Q1 2012

Transcription

1 Sparebanken Pluss Quarterly Report Q1 2012

2 KEY FIGURES* As at Total income (NOK mill.) Total operating expenses (NOK mill.) Profit before losses (NOK mill.) Net loan losses etc. (NOK mill.) Profit before taxes (NOK mill.) Total assets (NOK mill) Average total assets (NOK mill.) Growth in total assets (% p.a.) 5,3 9,8 7,7 4,3 8,5 Growth in gross loans (% p.a.) 8,1 8,6 11,9 11,7 11,1 - Retail banking 10,2 11,7 13,1 12,4 13,5 - Corporate banking 9,7 8,5 9,8 11,4 8,0 - Organisations banking -13,0-12,8 10,7 7,7 6,3 Growth in deposits (% p.a.) 11,1 2,2 5,7-0,3 0,9 Overall deposits coverage (Parent bank) (%) 69,1 64,8 64,8 65,4 67,0 Total operating expenses in relation to net income (%) 35,5 43,9 41,4 40,8 42,7 After-tax return on equity capital (%) 12,7 7,8 9,2 9,6 9,5 Earnings per EC (NOK) (Parent bank) 4,4 11,5 9,4 6,6 3,1 Earnings per EC (NOK) per quarter (Parent bank) 4,4 2,1 2,8 3,5 3,1 Earnings per EC (NOK) () 5,1 12,7 11,1 7,6 3,7 Equity Certificates (ECs) price (NOK) Capital adequacy ratio (%)** 13,3 14,3 14,0 14,1 14,5 Core capital ratio (%)** 13,3 12,5 12,3 12,3 12,7 Core capital ratio (Parent bank) (%)** 15,1 14,3 13,7 13,7 14,5 Number of branches Number of man years * figures, unless otherwise stated ** Incl. 50 % of the operating profit (before taxes)

3 QUARTERLY REPORT Main features The main features of the Bank s operations for the first quarter, similar to the previous quarters, are as follows: - High, stable income - Low cost ratio - Modest credit losses - Solid result - Low level of commitments in default - Solid balance - Good growth Framework conditions Norges Bank has in the first quarter of 2012 changed its key interest rate once. In March, the interest rate was down by 0.25 percentage points to 1.50 per cent. The annual growth in gross domestic debt to the public, C2, was 7 per cent at the end of February. The growth in credit to households and corporate market were respectively 7.3 and 6.4 per cent. As of 31.3 there has been a price increase on Oslo Stock Exchange by 10.8 per cent. For the whole of 2011 there was a price decline of 12.5 per cent. The figures from NAV show that unemployment at the end of March was 2.6 per cent. There were 88,000 people currently jobless or attending job-boosting schemes arranged by the authorities. Operating profit After the first quarter, the Bank () had an operating profit, after losses, of NOK 117 million, - against NOK 80 million at the same time last year. The profit was equivalent to 1.16 per cent of average total assets, against 0.87 a year before. The s net interest income totalled NOK 135 million, against NOK 115 million at the same time last year. As a percentage of average total assets, the net interest amounts to 1.33 per cent, against 1.25 a year before. Other (non-interest) operating income totalled NOK 51 million. In relation to the first quarter of 2011, this is an increase of NOK 23 million. This is mainly due to revaluation of bonds and stocks to market value. Total operating expenses amounted to NOK 66 million, an increase of NOK 5 million in relation to the first quarter of Expenses as a percentage of average total assets were at the end of the first quarter 0.65 per cent, against 0.66 a year ago. Expenses as a percentage of income at the end of the first quarter of 2012 were 35.5 per cent, against 42.7 per cent a year ago. Total assets At the end of the first quarter of 2012, total assets were NOK 40,709 million, up by NOK 2,053 million or 5.3 per cent from the same time last year. Deposits At the end of the first quarter of 2012, deposits from customers were NOK 16,186 million. The growth from the same period last year has been NOK million or 11.1 per cent. At the end of the first quarter, 69.1 per cent of the Parent Bank s loans were financed by customer deposits. On basis, this amounted to 48.2 per cent. The growth in total assets is funded mainly through deposits and long-term borrowing in the Norwegian and international money- and capital markets. Loans Gross loans to customers for the as a whole have increased by NOK 2,515 million or 8.1 per cent the last 12 months, totalling NOK 33,716 million at the end of the first quarter. Of the total lending portfolio 62.0 per cent are to retail market, 31.1 per cent are to corporate market and 6.9 per cent are to the organisation-market. Gross commitments in default (over 90 days) on loans amounted to 0.39 per cent for the as a whole. The credit risk for the lending portfolio is still regarded as low. Losses on loans and guarantees Write-downs on groups of loans amount to NOK 92 million, and no changes were made in the first quarter. Individual write-downs on loans are increased by NOK 3 million in relation to the beginning of the year. Individual write-downs amounting to NOK 40 million, including amortised amounts on loans. At the end of the first quarter there was a net recovery of incorporated losses of NOK 1 million, so that the net loss cost amounted to NOK 3 million. In the Board of Directors opinion, the write-downs are sufficient in order to cover the credit risk at the end of the first quarter. Capital adequacy The Bank made use of the standard method for credit risk and the basis method for operational risk to calculate capital adequacy in accordance with valid capital adequacy rules and regulations Basel II. At the end of the first quarter of 2012, the had responsible capital of NOK 3,098 million. The core capital adequacy ratio was 13.3 per cent. For the Parent bank the core capital coverage totalled 15.1 per cent. Pluss Boligkreditt AS In 2009, Sparebanken Pluss established the wholly-owned subsidiary, Pluss Boligkreditt AS. The company has the required licence to conduct business as a mortgage company, with the right to issue covered bonds (OMF). At the end of the first quarter of 2012, a house mortgage loan portfolio of NOK 10,172 million had been transferred from the Bank to Pluss Boligkreditt AS. The mortgage company has issued covered bonds amounting to NOK 9,150 million. Large parts of this portfolio have been swapped into treasury bills. Equity Certificates A summary of the 20 largest equity certificates owners as of is included in Notes to the Accounts. So far this year, the result per equity certificate (Parent bank) amounts to NOK The return on equity capital at the end of the first quarter of 2012 was 12.7 per cent, against 9.5 per cent at the same time last year. Rating Sparebanken Pluss has international rating from Moody s, with a long-term rating of A2 and Stable Outlook. Covered bonds issued by Pluss Boligkreditt AS is also rated by Moody s, and the bonds have a rating of Aaa. Future prospects The Board of Directors expects that the Bank s operating result also for the rest of the year will be satisfactory, but the strong unrest in several countries economies and financial markets may still have a negative impact on the Norwegian financial industry. The competitive situation makes it challenging to optimize lending rates, deposits rates and funding costs. The development of the Bank s commitments in default and credit losses may also be affected by further economic development, but it is assumed that losses still will be modest. Kristiansand, 11. May 2012 Trond Bjørnenak Norunn Tveiten Benestad Peder Syrdalen Magne Haug Bjørg Sveinall Øgaard Bente Pedersen Chairman Deputy Chairman Stein A Hannevik Chief Executive Officer

4 Profit and loss account Parent bank NO K MILLION Note: Interest income Interest expenses NET INTEREST INCOME Dividend income Commissions and income from banking services Commission expenses and exp. relating to banking services Net gains/losses from securities and foreign exchange Other operating income TO TAL OTHER OPERATING INCO ME Wages, salaries and general administration expenses Depreciation etc. of fixed - and intangible assets Other operating expenses TO TAL OPERATING EXPENSES PROFIT BEFO RE LOSSES ON LO ANS Losses on loans, guarantees etc O PERATING PRO FIT Taxes PROFIT AFTER TAXES O ther comprehensive income PROFIT AFTER TAXES Estimate deviations for pensions TO TAL PROFIT Profit and loss account in % of average assets Parent bank ,88 3,67 4,03 Interest income 4,19 3,78 4,03 2,72 2,52 2,79 Interest expenses 2,86 2,54 2,80 1,16 1,15 1,24 NET INTEREST INCO ME 1,33 1,25 1,24 0,08 0,01 0,05 Dividend income 0,04 0,01 0,01 0,26 0,25 0,24 Commissions and income from banking services 0,20 0,22 0,23 0,04 0,04 0,03 Commission expenses and exp. relating to banking services 0,03 0,04 0,04-0,09 0,06 0,29 Net gains/losses from securities and foreign exchange 0,25 0,09-0,08 0,04 0,04 0,04 Other operating income 0,03 0,03 0,03 0,25 0,31 0,59 TO TAL O THER O PERATING INCO ME 0,50 0,31 0,15 0,54 0,54 0,58 Wages, salaries and general administration expenses 0,53 0,51 0,50 0,03 0,03 0,04 Depreciation etc. of fixed - and intangible assets 0,03 0,03 0,03 0,07 0,09 0,09 Other operating expenses 0,09 0,11 0,07 0,64 0,67 0,70 TO TAL O PERATING EXPENSES 0,65 0,66 0,61 0,77 0,80 1,13 PRO FIT BEFO RE LO SSES O N LO ANS 1,19 0,89 0,78 0,06 0,02 0,04 Losses on loans, guarantees etc. 0,03 0,02 0,05 0,72 0,77 1,10 O PERATING PRO FIT 1,16 0,87 0,72 0,22 0,23 0,33 Taxes 0,35 0,25 0,22 0,49 0,55 0,77 PRO FIT AFTER TAXES 0,82 0,62 0,50 O ther comprehensive income 0,49 0,55 0,77 PRO FIT AFTER TAXES 0,82 0,62 0,50 0,01 0,00 0,00 Estimate deviations for pensions 0,00 0,00 0,01 0,48 0,55 0,77 TO TAL PRO FIT 0,82 0,62 0,49

5 Quarterly profit and loss figures 1. quarter 4. quarter 3. quarter 2. quarter 1. quarter N OK M ILLION Interest income Interest expenses NET INTEREST INCO ME Dividend income Commissions and income from banking services Commission expenses and exp. relating to banking services Net gains/losses from securities and foreign exchange Other operating income TO TAL O THER O PERATING INCO ME Wages, salaries and general administration expenses Depreciation etc. of fixed - and intangible assets Other operating expenses TO TAL O PERATING EXPENSES PROFIT BEFO RE LO SSES O N LO ANS Losses on loans, guarantees etc O PERATING PRO FIT T axes PRO FIT AFTER TAXES O ther comprehensive income PRO FIT AFTER TAXES Estimate deviations for pensions TO TAL PRO FIT QUARTERLY PROFIT AND LOSS FIGURES IN % OF AVERAGE ASSETS 1. quarter 4. quarter 3. quarter 2. quarter 1. quarter Net interest income 1,33 1,25 1,28 1,11 1,25 Total other operating income 0,50-0,12 0,04 0,39 0,31 Total operating expenses 0,65 0,60 0,57 0,59 0,66 Profit before losses on loans 1,19 0,53 0,76 0,91 0,89 Losses on loans, guarantees etc. 0,03 0,13 0,01 0,03 0,02 Operating profit 1,16 0,40 0,75 0,88 0,87

6 Balance sheet Parent bank NO K MILLIO N ASSETS Note: Cash and claims on central banks Net loans to and claims on credit institutions Gross loans to customers Individual write-downs on loans Write-downs of groups of loans Net loans to and claims on customers Repossessed assets Certificates, bonds and other interest-bearing securities Shares and other securities with variable yield Equities stakes in group companies Deferred tax benefit Fixed assets Other assets Prepaid expenses and accrued income, not yet received TO TAL ASSETS LIABILITIES AND EQ UITY CAPITAL Liabilities to credit institutions Deposits from and liabilities to customers Liabilities incurred through issuance of securities Other liabilities Payable taxes Incurred expenses and prepaid income Provisions against liabilities and expenses Deferred taxes Subordinated loans TO TAL LIABILITIES Paid-in equity capital Accrued equity capital TO TAL EQ UITY CAPITAL TO TAL LIABILITY AND EQ UITY CAPITAL

7 CHANGES IN EQUITY CAPITAL NOK MILLION EC - capital Premium Fund Savings Bank's Fund Estimated diviation pension Donations Fund Dividend Equalisation Fund Balance Paid dividends for Profit 1. quarter Other comprehensive income Balance Paid dividends for Profit Other comprehensive income Paid from Donation Fund Balance Paid dividends for Profit 1. quarter Other comprehensive income Paid from Donation Fund Balance Total NOK MILLION EC - capital Premium Fund Savings Bank's Fund Estimated diviation pension Donations Fund Dividend Equalisation Fund Parent bank Balance Paid dividends for Profit 1. quarter Other comprehensive income Balance Paid dividends for Profit Other comprehensive income Paid from Donation Fund Balance Paid dividends for Profit 1. quarter Other comprehensive income Paid from Donation Fund Balance Total

8 Cash flow statement Parent bank NOK MILLIO N Cash flows from operating activities Interest received Interest paid Dividends received Payment received from companies Other payments received Other payments made Recoveries relating to confirmed losses Payment of tax Payment - donations Net change in deposits from customers Changes in net loans to and claims on customers Net cash flow from operating activities Cash flow from investment activities Payment received relating to securities Payment relating to securities Payment received in fixed assets Payment in fixed assets Change in other claims Net cash flow from investment activities Cash flows from financing activities Net change in deposits from financial institutions Net change in deposits from Norges Bank and other fi Payment received of bond debt Payment of bond debt Change in short-term liabilities Subordinated loan capital Payment of dividend Net cash flow from financing activities Net change in liquid assets during the year Liquid assets as at Liquid assets as at end of period

9 Segment reporting as at NOK MILLION Profit and loss account Retail Corporate Bolig- Undistri- Retail Corporate Bolig- Undistri- Sector Sector kreditt buted Total Sector Sector kreditt buted Total NET INTEREST INCOME Other operating income Total operating expenses PROFIT BEFORE LOSSES Losses on loans OPERATING PROFIT Balance sheet Net loans to customers Other assets Total assets Deposits from customers Other liabilities and equity capital Total liabilities and equity capital NOTES TO THE ACCOUNTS The consolidated financial statement is prepared in accordance with IFRS (including IAS 34). The interim financial statements are prepared using the same accounting principles used in the annual financial statements. Please refer to the 2011 Annual Report for more information on the accounting principles. The interim report is not audited. Notes are entered in NOK million. The accounts are presented in Norwegian Kroner, which is the s functional currency.

10 1. LOSSES ON LOANS Parent bank Write-downs on loans and losses on guarantees Losses on loans in the period Write-dow ns of loans Losses on guarantees = Write-dow ns on loans and losses on guarantees Write-dow ns on loans: Changes in individual w rite-dow ns of loans in the period Changes in w rite-dow n on groups of loans in the period Amortised loans Confirmed losses in the period for w hich individual w ritedow ns have previously been made Confirmed losses in the period for w hich no individual w ritedow ns have previously been made Recoveries from previous confirmed losses = Write-dow n on loans in the period Changes in specific write-dow ns: Specific w rite-dow ns of loans as at excl. amort. loans Confirmed losses on loans in the period for w hich w ritedow ns have previously been made Increased individual w rite-dow ns in the period New individual w rite-dow ns in the period Recoveries from w rite-dow ns in the period Amortised loans = Specific w rite-downs and amortised loan Changes in write-downs on groups of loans: Write-dow ns of groups of loans as at Changes in w rite-dow ns of groups of loans in the period Write-dow ns of groups of loans Defaulted loans and bad and doubtful commitments Defaulted loans/credits ,53 % 0,65 % 0,56 % Gross defaulted loans >90 days as a % of gross loans 0,39 % 0,46 % 0,38 % Defaulted loans/credits Gross defaulted loans days Gross defaulted loans days Gross defaulted loans > 90 days Gross defaulted loans/credits Individual w rite-dow ns Net defaulted loans/credits Other bad and doubtful loans/credits Other bad and doubtful loans/credits w ith w rite-dow ns Individual w rite-dow ns Net other bad and doubtful loans/credits Gross defaulted loans and bad and doubtful commitments Gross defaulted loans and bad/doubtful commitments Individual w rite-dow ns Net defaulted loans and bad/doubtful commitments

11 2. MATURITY STRUCTURE AND NOMINAL VALUE OF ISSUED BONDS AND SUBORDINATED LOAN CAPITAL AS AT NOK million ISIN Num ber. Ticker Nom inal Ow ned Reference rate Repaymentstructure Final maturity NO PLUG 27 PRO 800 NIBOR 3 months No instalment NO PLUG 30 PRO 800 NIBOR 3 months No instalment NO PLUG 31 PRO NIBOR 3 months No instalment NO PLUG 34 PRO NIBOR 3 months No instalment NO PLUG 22 PRO 800 Fixed No instalment NO PLUG 29 PRO 685 NIBOR 3 months No instalment NO PLUG 36 PRO NIBOR 3 months No instalment NO PLUG 39 PRO 600 NIBOR 3 months No instalment NO PLUG 40 PRO NIBOR 3 months No instalment NO PLUG 33 PRO 800 Fixed No instalment NO PLUG 37 PRO 800 Fixed No instalment NO PLUG 38 PRO 500 NIBOR 3 months No instalment NO PLUG 35 PRO 700 Fixed No instalment NO Not listed 200 NIBOR 3 months Subord. loan NO Not listed 300 NIBOR 3 months Subord. loan Issued by Parent bank NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO PLBK NIBOR 3 months No instalment NO Not listed 750 NIBOR 3 months No instalment Issued by Pluss Boligkreditt AS Total bonds and subord. loans The difference between nominal and book value is due to the issued bond prices, and the effects of hedge accounting. It is in the bonds owned by the parent bank included NOK million, which is part of the swap arrangement scheme with the government.

12 3. CAPITAL ADEQUACY Parent bank ,3 % 16,7 % 15,1 % Capital adequacy ratio* 13,3 % 14,5 % 14,3 % 14,3 % 14,5 % 15,1 % Core capital adequacy ratio* 13,3 % 12,7 % 12,5 % Minimum requirements for equity and related capital Total calculation basis Net equity and related capital* Core capital* Supplementery capital Minimum requirements for equity capital Capital requirements for credit risk according to the standard Capital requirements for operasjonel risk Deduction in the capital requirements *Incl. 50 % of the operating result (before taxes), however the interim report is not audited 4. EQUITY CERTIFICATES (EC) The 20 largest EC holders as at NAME Number of % part of total NAME Number of % part of total ECs held EC capital ECs held EC capital 1. Glastad Invest AS , Birkenes Sparebank ,60 2. Sparebankstiftelsen DnB NOR , Flekkefjord Sparebank ,26 3. Brøvig Holding AS , Strømme Leif ,07 4. Varodd AS , Bratland Bjørn ,02 5. Sparebanken Sør , Utbyttekapital AS Warren Cap ,01 6. MP Pensjon , Sparebank 1 SR-bank ,99 7. Spareskillingsbanken , Sparebank 1 Ringerike ,92 8. Gumpens Auto AS , Rynning Jens Emil ,88 9. Terra Utbytte VPF , Apriori Holding AS , Allumgården , Akselsen Carsten ,82 Total- 10 largest owners ,55 Total- 20 largest owners ,99 As at , Sparebanken Pluss owned none of the Bank s Equity Certificates. The Bank s EC capital totalled NOK 125 million, made up EC, each of a nominal value of NOK 100,-.