Voss Veksel- og Landmandsbank (VVL) Q1 2025 earnings summary

Executive summary

• Pre-tax profit for Q1 2025 was NOK 26.6 million, down from NOK 27.7 million in Q1 2024, but underlying operations improved when adjusted for a one-time dividend last year.

• Net profit after tax was NOK 19.96 million, compared to NOK 20.75 million in Q1 2024.

• Total comprehensive income reached NOK 22.6 million, up from NOK 20.4 million year-over-year.

• Gross lending including EBK increased by 10.1% year-over-year, reaching NOK 6.57 billion.

• Customer deposits grew 6.3% year-over-year to NOK 4.65 billion.

Financial highlights

• Net interest and credit commission income was NOK 53.8 million, up from NOK 52.5 million year-over-year.

• Cost/income ratio increased to 40.6% from 36.5% year-over-year.

• Return on equity (ROE) was 11.6%, down from 12.3% in Q1 2024.

• Loan loss provisions remained low at -0.04% of gross loans.

• Earnings per share (EPS) was NOK 8.52, compared to NOK 8.96 in Q1 2024.

Outlook and guidance

• Underlying operations are improving, with better results than last year when adjusted for non-recurring items.

• Management expects continued satisfactory results, supported by solid core operations and a stable local market.

• Ongoing focus on quality growth, increased other income, and cost reductions.

• Expansion in insurance and savings product sales to strengthen income base.

• Macroeconomic uncertainty remains due to high inflation, interest rates, and geopolitical events.