Post on 19-Jul-2020
Strictly private and confidential
Hordaland på Børs - 2017
Strictly private and confidential
Q2 2017 – Skandiabanken group
Developments in the quarter
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• The most satisfied and loyal customers in the banking industry in Norway
• Best reputation among Norwegian banks
• Announcing introduction of new products
• Implementing new offerings within insuranceand savings
• First Norwegian bank to enable overview of cryptocurrency balances
• Strong growth in mortgage lending and increased number of customers
After the quarter: New name and profile
Second quarter 2017 highlights
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Q2-17 Q1-17
Earnings before tax (NOK million): 203.6 217.4
Net interest income (NOK million):
Net interest margin in Q2 2017 of 1.57 (1.63) 310.6 299.0
Loans to customers (NOK billion):
18.1 per cent growth in gross customer lending last 12 months 71.1 67.9
Cost / Income ratio (per cent): 40.2 43.1
Return on Equity (per cent): 12.4 13.7
CET1* (per cent): 14.4 14.5
* Including 90 per cent of retained earnings in Q2 2017 and 70 per cent in Q1 2017
Key financial figures
ROE*
Earnings before taxOperating income
EPS**
4* Return to shareholders after tax (annualised) as a percentage of average shareholder equity in the period. Q2 2016 ROE adjusted for income for Visa Transaction in Q2 2016
** EPS of 3.32 is including profit from the Visa Transaction in Q2 2016
337 318 353 346 359
228
565
2Q16 3Q16 4Q16 1Q17 2Q17
175 204 198 217 204
228
404
2Q16 3Q16 4Q16 1Q17 2Q17
12,9% 13,5% 12,7% 13,7% 12,4%
2Q16 3Q16 4Q16 1Q17 2Q17
2,14
1,40 1,36 1,52 1,39
1,18
3.32
2Q16 3Q16 4Q16 1Q17 2Q17
Loans to customers
Net interest income
Other loansHome loans
Net interest margin
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56,5 57,259,5
63,967,1
2Q16 3Q16 4Q16 1Q17 2Q17
18.8%
1,4
0,9
1,51,4
1,0
1,6
1,3
1,0
1,6
1,31,1
1,6
1,3 1,2
1,5
Car loans Consumer credits Other credit products
2Q16 3Q16 4Q16 1Q17 2Q17
296 300309
299311
2Q16 3Q16 4Q16 1Q17 2Q17
5.1%
1,721,67
1,74
1,631,57
2Q16 3Q16 4Q16 1Q17 2Q17
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Taking the next step
Score ranging from 0-100; Source: Norsk Kundebarometer (May 2017)7
Market leading customer satisfaction and loyalty
65,0
70,0
75,0
80,0
85,0
90,0
95,0
2010 2011 2012 2013 2014 2015 2016 2017
Loyalty
Skandiabanken Nordea SpareBank 1
Danske Bank DNB Eika Alliansen
Handelsbanken
65,0
70,0
75,0
80,0
85,0
90,0
2010 2011 2012 2013 2014 2015 2016 2017
Satisfaction
Skandiabanken Nordea SpareBank 1
Danske Bank DNB Eika Alliansen
Handelsbanken
Mortgage exposure by geography
Expanding the concept
Insurance
SME
Savings
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Introduction of new products and services aimed to increase future capital-light revenues:
Insurance roadmap
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Car insurance
Payment insurance
-Consumer
loans
Consider life and health
related products
Consider a broader P&C
insurance
Payment insurance
-Car loans
Payment/debt
insurance-
Mortgages
SME roadmap
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Fair savings -
Seamless banking
Easy invoicing
Add on product & services
New financing services
Liquidity management
Integrated bookkeeping
Savings roadmap
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New savings products
-ASK & IPS
Robo advisor 1.0
Expand product portfolio
Integrated bookkeeping
Holistic advisor
Technological fit
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• Born digital
• Open banking
• Scalable and light-weight architecture
• Cost efficiency through automation and personalisation
* Including 90 per cent retained earnings
Note: Targets are subject to the current capital requirements. Any future regulatory changes could imply a change to the target
Targets 2017-2019
Targets
Return
Growth
Capital
Dividends
Operational efficiency
Return on equity
Pay-out ratio
CET1 ratio
Annual loan growth
Cost-to-income ratio
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Per 30.06.2017
12.4 %
TBD
14.4 %*
18.1 %
40.2 %
14.0 %
Up to 30 %
13.5 %
> 10 %
<35 %
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Questions and answers
As from 5 October 2015, the Norwegian banking business in Skandiabanken AB (Skandiabanken AB NUF) was transferred to Skandiabanken ASA, and its wholly-owned coveredbond subsidiary, Skandiabanken Boligkreditt AS. The two companies constitute the Skandiabanken group.
This presentation contains certain forward-looking statements relating to the business, financial performance and results of the group. No representation is made that any ofthese forward-looking statements or forecasts will come to pass or that any forecast result will be achieved and any reader is cautioned not to place any undue reliance on anyforward-looking statement. The information obtained from third parties has been accurately reproduced and, as far as the company is aware and able to ascertain from theinformation published by that third party, no facts have been omitted that would render the reproduced information to be inaccurate or misleading.
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Important information