The Mortgage Society of Finland: Hypo Group’s January–September 2022

_{The Mortgage Society of Finland: Hypo Group’s January–September 2022}

_{The Mortgage Society of Finland}  

_{Interim Report Q3} 

_{Helsinki 1 November 2022 3:30 p.m.} 

Hypo Group’s January–September 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 continued to grow, and CET 1 Capital adequacy and liquidity remained strong. Impairment losses remained at low level.”

• Operating profit was EUR 6.7 million (EUR 7.1 million 1–9/2021)
• Net interest income increased to EUR 13.7 million (EUR 12.8 million 1–9/2021)
• Non-performing loans remained low at 0.18% 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 2.7 million (EUR 3.1 million 1-9/2021)
• Other income grew to EUR 4.7 million (EUR 3.4 million 1–9/2021)
• Total costs were EUR 14.4 million (EUR 12.2 million 1–9/2021) including EUR 2.1 million contribution to the Resolution Fund for the year 2022 (EUR 1.9 million 1–9/2021) and EUR 2.8 million in IT costs related to the renewal project of the core banking system (EUR 1.4 million 1–9/2021)
• 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 150.4 % (179.9 % on 31 December 2021)

GROUP'S KEY FIGURES
(1000 €)	1-9/2022	1-9/2021	7-9/2022	7-9/2021	2021
Net interest income	13 712	12 835	4 957	4 215	17 276
Net fee and commission income	2 712	3 116	846	913	4 077
Total other income	4 699	3 429	887	1 064	4 734
Total expenses	-14 445	-12 236	-4 059	-3 500	-18 023
Operating profit	6 677	7 144	2 631	2 692	8 064
Receivables from the public and public sector entities	2 721 402	2 644 173	2 721 402	2 644 173	2 636 986
Deposits	1 447 077	1 610 351	1 447 077	1 610 351	1 660 288
Balance sheet total	3 319 607	3 287 531	3 319 607	3 287 531	3 324 839
Return on equity % (ROE)	5,0	5,5	5,8	6,3	4,7
Common Equity Tier 1 (CET1) ratio	14,0	13,4	14,0	13,4	13,6
Cost-to-income ratio, %	68,3	63,0	59,8	56,0	69,0
Non-performing assets, % of the loan portfolio	0,18	0,20	0,18	0,20	0,14
LTV-ratio, % / Loan to Value, average, %	31,1	33,4	31,1	33,4	33,1
Loans  / deposits, %	188,1	164,2	188,1	164,2	158,8
Liquidity Coverage Ratio (LCR), %	150,4	151,1	150,4	151,1	179,9
Net Stable Funding Ratio (NSFR), %	105,5	115,8	105,5	115,8	114,1
Leverage Ratio (LR), %	4,0	3,7	4,0	3,7	3,8

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

Distribution:
Nasdaq Helsi nki Ltd
Main Media
www.hypo.fi