The return on equity after tax was 3.7%, compared with 18.8% for the same period in 2019.
Impairments on loans and guarantees totalled
"With the significant impairments we have recognized in the first half of the year, I expect that we will see lower impairments in the future. Nevertheless, there is still uncertainty about the market conditions for offshore related companies," says Arne Austreid, CEO of
The Group's operating costs amounted to
Net income from financial investments amounted to
"The Group's operating profit before impairments is good, both for the first half of the year and for the quarter seen in isolation. We are experiencing a good influx of new customers and increased demand for our products and services from existing customers. Efficiency is high, which is due to the fact that a number of our labour-intensive processes have been robotised. I would also like to commend the Group's employees who have helped to serve our customers well under difficult Covid-19 conditions," says Arne Austreid, CEO of
The pre-tax profit for the quarter in isolation was
First half-year 2020
· Pre-tax profit:
· Net profit for the quarter:
· Return on equity after tax: 3.7% (18.8%)
· Earnings per share:
· Net interest income:
· Net commissions and other operating income:
· Net income from financial investments:
· Operating costs:
· Impairments on loans and financial liabilities:
· Total lending growth over last 12 months: 5.4% (7.3%)
· Growth in deposits over last 12 months: 8.3% (-3.0%)
· Common Equity Tier 1 capital ratio: 18.3% (14.4%)
· Tier 1 capital ratio: 19.9% (15.8%)
(H1 2019 figures in brackets)
The bank's financial strength is very good. At the end of the second quarter, Common Equity Tier 1 capital ratio was 18.3% compared with the target of 16.7% and the regulatory authorities' requirement, which is 15.2% at the end of the year. The increased Common Equity Tier 1 capital ratio is due to retained earnings from a good result in 2019, combined with new capital requirements that were implemented on
The full half-yearly report is available for download from www.sr-bank.no.
Stavanger,
Contact persons:
Arne Austreid, CEO, Tel. +47 900 77 334
Stian Helgøy, Vice President Investor Relations, Tel. +47 906 52 173
This information is disclosed in compliance with section 5-12 of the Securities Trading Act.
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