The Mortgage Society of Finland: Hypo Group’s January–March 2021

The Mortgage Society of Finland: Hypo Group’s January–March 2021
The Mortgage Society of Finland 
Interim Report Q1
Helsinki 3 May 2021 3:00 p.m.

Hypo Group’s January–March 2021

The home finance specialist Hypo Group’s net interest income grew, capital adequacy and liquidity remained strong.

CEO Ari Pauna:

“Focusing on low risk housing collateralized lending in urbanising Finland is yielding profits even as the corona crisis continues. Hypo Group’s net interest income and net fee and commission income continued to grow, and CET 1 Capital adequacy and liquidity remained strong. Impairment losses remained at low level.”

• Operating profit was EUR 1.1 million (EUR 1.0 million 1–3/2020)
• Net interest income increased to EUR 4.0 million (EUR 3.7 million 1–3/2020)
• Non-performing loans remained low at 0.10% of loan book (0.11% 31 December 2020)
• Expected credit losses were 0.01% of the loan book
• Net fee and commission income was EUR 0.9 million (EUR 0.8 million 1–3/2020)
• Other income totaled EUR 1.3 million (EUR 0.4 million 1–3/2020) including valuation originated net income from securities trading EUR 0.4 million (EUR -0.6 million 1–3/2020)
• Total costs were EUR 5.1 million (EUR 3.9 million 1–3/2020) including an estimated EUR 1.7 million contribution to the Resolution Fund for the year 2021 (EUR 0.9 million 1–3/2020)
• Common Equity Tier 1 (CET1) ratio, calculated with standard and basic methods, was 13.5% (13.9% on 31 December 2020)
• Liquidity Coverage Ratio (LCR) was 213.7 % (194.5% on 31 December 2020).

GROUP'S KEY FIGURES
(1000 €)	1-3/2021	1-3/2020	2020
Net interest income	4 026	3 711	14 562
Net fee and commission income	869	841	3 675
Total other income	1 272	367	4 236
Total expenses	-5 079	-3 915	-14 429
Operating profit	1 089	1 004	8 044
Receivables from the public and public sector entities	2 586 253	2 534 728	2 510 910
Deposits	1 563 683	1 509 387	1 562 234
Balance sheet total	3 503 477	3 118 835	3 213 082
Return on equity % (ROE)	2,3	2,4	4,9
Common Equity Tier 1 (CET1) ratio	13,5	13,6	13,9
Cost-to-income ratio, %	82,4	79,8	63,9
Non-performing assets, % of the loan portfolio	0,10	0,26	0,11
LTV-ratio, % / Loan to Value, average, %	33,9	35,2	33,8
Loans  / deposits, %	165,4	167,9	160,7
Liquidity Coverage Ratio (LCR), %	213,7	142,6	194,5

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

Distribution: 
Nasdaq Helsinki Ltd 
Main Media

www.hypo.fi