Enity (ENITY) Q3 2025 earnings summary

Executive summary

• Achieved strong Q3 2025 results with double-digit loan book growth and robust profitability, driven by organic expansion, stable net interest margins, and cost efficiency.

• Net interest income rose 11.3% to 308 MSEK, and adjusted operating profit increased 18.9% to 163 MSEK compared to Q3 2024.

• Operates across Sweden, Norway, and Finland under multiple brands, with recent acquisitions and integration of Bank2 and Eiendomsfinans AS.

• Focused on underserved mortgage segments, supporting customers typically rejected by traditional banks.

• Listed on Nasdaq Stockholm in June 2025, further strengthening capital structure and market presence.

Financial highlights

• Lending to the public reached 30,514 MSEK, up from 28,008 MSEK a year earlier, representing over 10% year-over-year growth.

• Adjusted operating profit increased 19% to 163 MSEK compared to Q3 2024.

• Net interest margin stable at 4.1%, with net interest income up 11% year-on-year.

• Adjusted return on tangible equity reached 21.4%.

• Cost-to-income ratio improved to 43% (adjusted for Einoms Finans), down nearly 7 percentage points year-over-year.

Outlook and guidance

• Medium-term targets: 8–10% annual organic lending growth, ROTE of ~20%, CET1 ratio 200–300 bps above regulatory minimum, and dividend payout of 20–40% of profit.

• Focus on core business growth in Sweden and Norway, accelerating Finnish expansion, and exploring entry into new Northern European markets.

• Gradual decrease in net interest margin expected in 2026 as lower-risk segments are targeted.

• Loan loss levels anticipated to remain around 15 basis points on an ongoing basis.

• CET1 ratio at 15.1%, exceeding requirements by 280 bps.