The Mortgage Society of Finland: Hypo Group's January-June 2022

The Mortgage Society of Finland: Hypo Group's January-June 2022 

The Mortgage Society of Finland 

Half Year Financial Report 

Helsinki 31 August 2022 3:30 p.m. 

Hypo Group’s January–June 2022

The home finance specialist Hypo Group’s net interest income and capital adequacy strengthened  

CEO Ari Pauna:

“Focusing on low-risk housing collateralized lending in urbanising Finland still provides stability despite the growing uncertainty in operating environment. Hypo Group’s net interest income and total income continued to grow, and CET 1 Capital adequacy and liquidity remained strong. Impairment losses remained at low level.”

• Operating profit was EUR 4.0 million (EUR 4.5 million 1–6/2021)
• Net interest income increased to EUR 8.8 million (EUR 8,6 million 1–6/2021)
• Non-performing loans remained low at 0.22% of loan book (0.14% 31 December 2021)
• Expected credit losses were 0.01% of the loan book
• Net fee and commission income was EUR 1.9 million (EUR 2.2 million 1-6/2021)
• Other income grew to EUR 3.8 million (EUR 2.4 million 1–6/2021) including valuation originated net income from securities trading EUR 1.8 million (EUR 0.7 million 1–6/2021)
• Total costs were EUR 10.4 million (EUR 8.7 million 1–6/2021) including EUR 2.1 million contribution to the Resolution Fund for the year 2022 (EUR 1.9 million 1–6/2021) and EUR 1.9 million in IT costs related to the renewal project of the core banking system (EUR 1.0 million 1–6/2021)
• Common Equity Tier 1 (CET1) ratio, calculated with standard and basic methods, was 14.0% (13.6% on 31 December 2021)
• Liquidity Coverage Ratio (LCR) was 163.0 % (179.9 % on 31 December 2021)

GROUP'S KEY FIGURES
(1000 €)	1-6/2022	1-6/2021	4-6/2022	4-6/2021	2021
Net interest income	8 755	8 621	4 485	4 595	17 276
Net fee and commission income	1 866	2 204	1 146	1 335	4 077
Total other income	3 812	2 364	1 968	1 092	4 734
Total expenses	-10 386	-8 736	-4 571	-3 657	-18 023
Operating profit	4 047	4 453	3 029	3 364	8 064
Receivables from the public and public sector entities	2 689 470	2 615 585	2 689 470	2 615 585	2 636 986
Deposits	1 448 047	1 645 786	1 448 047	1 645 786	1 660 288
Balance sheet total	3 316 229	3 288 994	3 316 229	3 288 994	3 324 839
Return on equity % (ROE)	4,6	5,1	6,8	7,9	4,7
Common Equity Tier 1 (CET1) ratio	14,0	13,3	14,0	13,3	13,6
Cost-to-income ratio, %	72,2	66,3	60,3	52,1	69,0
Non-performing assets, % of the loan portfolio	0,22	0,13	0,22	0,13	0,14
LTV-ratio, % / Loan to Value, average, %	31,4	33,8	31,4	33,8	33,1
Loans  / deposits, %	185,7	158,9	185,7	158,9	158,8
Liquidity Coverage Ratio (LCR), %	163,0	170,9	163,0	170,9	179,9
Net Stable Funding Ratio (NSFR), %	106,8	114,6	106,8	114,6	114,1
Leverage Ratio (LR), %	4,0	3,7	4,0	3,7	3,8

Hypo Group's Interim Report can be accessed at https://www.hypo.fi/en/financial-information/

Distribution: 

Nasdaq Helsinki Ltd 

Main media 

www.hypo.fi