Aktia Bank Plc
Stock Exchange Release
6 November 2025 at 8.00 a.m.
Aktia Bank Plc's Interim report January-September 2025: Another stable quarter
in terms of results
The quarter in short
· Comparable operating profit: EUR 27.4 million, 13% lower than last year
(31.5) mainly due to changes in the interest rate environment.
· Comparable return on equity (ROE): 12.8%
(15.0%).
· Net commission income: 1% higher than last year, mainly thanks to higher
income from structured products.
· Net interest income: Decreased as expected and was 6% lower than last year
due to lower market rates.
· Net income from life insurance: 8% lower than last year due to, among other
things, lower real estate values. The insurance business developed well.
· Comparable operating expenses: Decreased by 1% compared to last year,
continued focus on cost control.
· Credit losses: EUR 3.8 (1.8) million, mainly due to individual impairments
on a small number of credits.
· Assets under management: Increased by 2.3% to EUR 16.3 billion during the
quarter thanks to positive net subscriptions in all key customer segments and a
positive market development.
Outlook 2025
Aktia's comparable operating profit for 2025 is expected to be lower than the
comparable operating profit for 2024, which amounted to EUR 124.5 million.
(Published 12 February 2025)
The outlook is based on the following assumptions (updated 6 November 2025):
· Due to the lower interest rate level, the net interest income is expected to
be lower than in 2024.
· The net commission income is expected to be approximately on the same level
as in 2024. However, market uncertainty may have a negative impact on the net
commission income.
· Life insurance operations are expected to develop steadily, but uncertainty
regarding changes in market values and their impact on earnings has increased.
· Operating expenses are expected to increase slightly, given the continued
investments in IT and the development of the general cost level.
· Credit losses are expected to remain at a moderate level. However, the
uncertainty in the Finnish real estate sector in general, and one individual
case in particular, is affecting the development of impairments and expected
credit losses, resulting in higher ECL.
Anssi Huhta, CEO:
Aktia's third quarter of 2025 remained stable in terms of results and in line
with previous quarters. The comparable operating profit for the quarter amounted
to EUR 27.4 million, which I am pleased with, especially in this operating
environment. In the current market conditions, with continued uncertainty in the
real estate sector and weak labour market figures, Aktia's business model shows
its strength and resilience.
The fact that the comparable operating profit was 13 per cent lower than in the
third quarter last year is mainly due to the net interest income decreasing by
EUR 2.1 million to EUR 34.0 million as a result of the lower interest rate
environment. In addition, the uncertainty on the real estate market is reflected
in higher credit losses from specific individual exposures.
On the other hand, the net commission income of EUR 31.2 million remained stable
and at a slightly higher level than last year, while the net income from life
insurance decreased by EUR 0.7 million to EUR 8.2 million. Cost control
continued, and comparable operating expenses decreased by 1 per cent to EUR 42.3
million. The quarter's comparable return on equity was 12.8 per cent.
Good development in the business areas
In the third quarter, we once again achieved positive net subscriptions, driven
by strong demand in our strategic Premium and Private Banking segments. Assets
under management increased slightly and are now higher than at year-end.
Our top-level capabilities in asset management were once again recognised when
the portfolio managers of the Aktia Emerging Market Local Currency Bond+ fund
were awarded an AAA rating by Citywire. The rating is based on the performance
of the funds managed by the portfolio managers.
The loan book remained stable, with continued growth in leasing, factoring, and
hire purchase loans. For this profitable product group, the loan book has
increased by 18 per cent since year-end. However, as I have previously stated,
Aktia is not immune to the interest rate and market situation. This is to some
extent reflected in the loan book, even though its quality has remained good in
general. On another note, I am very happy that we are continuously attracting
new customers and that the customer satisfaction among bank customers is
particularly high: the NPS score in the third quarter was 59 for our customer
service by phone and 75 for customer meetings.
The positive development of the life insurance business continued with good
results in risk insurance and growth in investment-linked insurance. At the same
time, the life insurance business is also affected by the market situation and,
for example, real estate portfolio impairments are reflected in the results from
investment activities. Overall, however, the result remained stable.
Humble in a difficult situation
As the newly appointed CEO, I would like to mention the swift changes in Aktia's
management and the considerable attention that the topic has received. The
situation has been difficult and the confidence in Aktia has suffered a blow.
This is also reflected in the fact that rating agencies have changed their view
on our outlook to negative, even though our ratings have remained unchanged.
First and foremost, I turn to our employees, customers and shareholders to
express my regret for the situation. At the same time, I would like to emphasise
that Aktia's focus is always on the business operations and our customers. We
follow a clear strategy and remain committed to it every day as we work toward
achieving our defined goals. I am extremely proud of the professional attitude
of Aktia employees and their work for the benefit of the customers in all
situations. I am also happy that the interest in Aktia as an investment object
has remained strong during the quarter and that we have gained several new
shareholders every month. Among our long-term shareholders, we have also seen
some significant increases in shareholdings.
Long-term, strategic work
At our Extraordinary General Meeting in early October, we warmly welcomed
banking veteran Juha Hammarén back to Aktia, now as the new Chair of the Board.
Juha Hammarén stated after the meeting that the Board of Directors is now
focusing on stability and peaceful working conditions for Aktia's management and
the entire organisation in order to achieve the strategic goals for 2029. After
assuming the role of CEO, I also had the pleasure of announcing three internal
appointments to the Executive Committee: EVP, Asset Management Pasi Vuorinen,
CRO Eva-Maria Broman-Rimpi, and CEO of Aktia Life Insurance Ltd Ville Niiranen.
Aktia's overall objective is to create prosperity. In order to continue to
provide our customers with the best service, we will continue to develop our
operations, services and products, and to invest in functionality and the
digital customer experience. We have our sights set on the future, on growth,
and on value creation. Together with our skilled employees, we will continue our
determined and structured work to implement our strategy and Momentum
acceleration programme.
Key Figures
[][][][][][][][][]
(EUR Q3/20 Q3/20 ∆ 1-9/20 1-9/20 ∆ Q2/20 ∆ 1-12/2
million) 25 24 25 24 25 024
Net interest 34.0 36.1 -6% 103.9 114.0 -9% 34.7 -2% 152.0
income
Net 31.2 30.9 1% 92.3 91.8 1% 30.3 3% 124.3
commission
income
Net income 8.2 8.9 -8% 22.7 23.9 -5% 8.0 2% 30.2
from life
insurance
Total 73.5 76.1 -3% 220.3 230.1 -4% 73.3 0% 308.8
operating
income
Operating -44.4 -43.1 3% -135.3 -129.3 5% -46.9 -5% -178.6
expenses
Impairment — — — — — — — — -25.0
of tangible
and
intangible
assets
Impairment -3.8 -1.8 116% -9.9 -6.3 57% -3.2 18% -10.6
of credits
and other
commitments
Operating 25.3 31.2 -19% 75.2 94.6 -20% 23.3 9% 94.6
profit
Comparable 73.5 76.1 -3% 220.0 230.1 -4% 73.1 1% 308.8
operating
income[1]
Comparable -42.3 -42.8 -1% -127.9 -127.7 0% -43.7 -3% -173.8
operating
expenses1
Comparable 27.4 31.5 -13% 82.3 96.2 -14% 26.2 4% 124.5
operating
profit[1]
Cost-to 0.60 0.57 7% 0.61 0.56 9% 0.64 -5% 0.58
-income
ratio[1]
Comparable 0.58 0.56 2% 0.58 0.55 5% 0.60 -4% 0.56
cost-to
-income
ratio[1]
Earnings per 0.27 0.34 -19% 0.83 1.05 -21% 0.25 8% 1.04
share
(EPS), EUR
Comparable 0.30 0.34 -13% 0.90 1.06 -15% 0.29 4% 1.37
earnings per
share (EPS),
EUR[1]
Return on 11.8 14.9 -3.1* 11.7 15.3 -3.6* 10.8 1.0* 11.4
equity
(ROE),
%[1]
Comparable 12.8 15.0 -2.2* 12.8 15.6 -2.7* 12.1 0.7* 15.0
return on
equity
(ROE), %[1]
Common 13.0 11.9 1.1* 13.0 11.9 1.1* 12.8 0.1* 12.0
Equity Tier
1
capital
ratio
(CET1),
%[2]
Dividend per 0.82
share, EUR
Payout 79
ratio, %[1]
1) Alternative performance measures
2) At the end of the period
* The change is calculated in percentage points
Briefing for analysts, investors and media
Aktia's results briefing for analysts, investors and media will be held in
English on Thursday 6 November 2025 at 10:30 a.m. Aktia's CEO Anssi Huhta and
CFO Sakari Järvelä will present the results.
The briefing can be viewed live as a webcast or as a recording after the event
at
https://aktia.events.inderes.com/q3-2025. Questions can be submitted in writing
during the live webcast.
Aktia Bank Plc
For more information:
Oscar Taimitarha, Director, Investor Relations, Tel. +358 40 562 2315, Email ir
(at) aktia.fi
Distribution:
Nasdaq Helsinki Ltd
Mass media
www.aktia.com
Aktia is a Finnish asset manager, bank and life insurer that has been creating
wealth and wellbeing from one generation to the next for 200 years. We serve our
customers in digital channels everywhere and face-to-face in our offices in the
Helsinki, Turku, Tampere, Vaasa and Oulu regions. Our award-winning asset
management business sells investment funds internationally. We employ
approximately 850 people around Finland. Aktia's gross assets under management
(AuM) on 30 September 2025 amounted to EUR 16.3 billion, and the balance sheet
total was EUR 12.3 billion. Aktia's shares are listed on Nasdaq Helsinki Ltd
(AKTIA). aktia.com.