Morrow Bank delivered another solid quarter with profit before tax ofNOK 58 million , its highest profit since Q2 2021. Commenting on the results,Morrow Bank's CEO Øyvind Oanes said: "At the beginning of this year, we set new and more ambitious medium-term targets and the performance this quarter demonstrates that we are on track. In Q1 2024, we delivered higher revenues while keeping costs stable, and a declining loan loss ratio, resulting in improved returns." Highlights of the quarter: Solid income growth o Continued strong Nordic consumer financing demand, gross loans aboveNOK 12 billion o Net interest margin stable around 9%, in line with the four previous quarters o Total income ofNOK 296 million in Q1, up 3.4% vs Q4 2023 Improved cost efficiency o Operating expenses remaining stable atNOK 80 million o Cost/income ratio at industry-leading 27% (28%) driven by continued cost focus Credit risk control o Loan loss ratio at 5.2% (5.4%) as growth is stabilising and tightened credit policies since Q2 2023 are starting to weigh in Higher returns o Profit before tax ofNOK 58 million (NOK 51 million ) and profit after tax ofNOK 44 million (NOK 35 million ) o ROE (return on equity) of 7.4% (6.1%) On track for 2025 targets o Year-end 2025 targets of ~10% annualised loan growth, cost/income ratio of ~26% and ROTE (return on target equity) of 10-12% Øyvind Oanes commented further: "Over the past two years,Morrow Bank has optimised its product portfolio, improved customer processes, increased automation and right sized the organisation. With a scalable and robust banking platform established, and a positive medium to long-term macro-outlook in the Nordics, we will focus on continuous organic improvements while pursuing opportunities that can drive further value creation." The Q1 2024 report and presentation are attached to this release and available at ir.morrowbank.com. CEO Øyvind Oanes and CFOEirik Holtedahl will present the Bank's results today at08:30 CEST . The presentation and following Q&A will be conducted via Microsoft Teams. Registration form for the presentation: https://tinyurl.com/Q12024Morrow For further information, please contact: Eirik Holtedahl, CFO tel: +47 96912291 email: ir@morrowbank.com AboutMorrow Bank ASA Morrow Bank (former nameKomplett Bank ) is a focused Nordic digital niche bank offering personal loans, credit cards and deposit accounts to consumers. The target group is creditworthy individuals with stable personal finances and no payment remarks. Credit risk is managed largely by automated processes for credit assessment and underwriting. The Bank has a diversified and balanced distribution model utilizing both public and proprietary channels. Operational efficiency and low cost are a foundation forMorrow Bank and are enabled by centralized operations, modern systems and digital set-up. To learn more, visit ir.morrowbank.com This information is considered to be inside information pursuant to the EU Market Abuse Regulation article 7 and is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act. Thisstock exchange announcement was published byHenning Fagerbakke , Head of Finance, Morrow Bank ASA, on7 May 2024 at07:00 CEST .
Click here for more information
© Oslo Bors ASA, source