Bien Sparebank (BIEN) Q3 2024 earnings summary

Executive summary

• Achieved strong loan and customer growth in Q3 2024, with a 10.1% year-over-year increase in the loan portfolio, mainly driven by personal customers.

• Net profit after tax for the first three quarters was NOK 48.1 million, up from NOK 45.2 million in the same period last year.

• Maintained a robust capital base and solid liquidity, positioning for continued growth.

• Strategy centers on profitable growth, leveraging a strong capital base and increased advisory capacity.

• Maintained a solid market position with a focus on customer experience and tailored products.

Financial highlights

• Net interest income for the first three quarters reached NOK 96.6 million, up NOK 8.8 million year-over-year.

• Cost-to-income ratio improved to 46.6% from 50.1% a year ago.

• Net profit after tax year-to-date reached NOK 48.1 million.

• Loan portfolio grew by over 10% compared to Q3 2023.

• Maintained very low loan losses, with a net gain of NOK 1.2 million in Q3 2024.

Outlook and guidance

• Ambitious targets for profitable growth, aiming for a 10% return on equity and business capital growth to NOK 10 billion by 2026.

• The bank aims for a long-term return on equity of at least 10%, to be achieved through profitable customer growth and efficient operations in the Oslo area.

• Anticipates further capital relief from new risk-sensitive capital requirements effective January 2025.

• Expects continued strong demand in the used housing market, while new housing sales remain weak.

• Solid capital base and flexibility expected to support continued expansion.