Aprila Bank (APRILA) Q4 2025 earnings summary

Executive summary

• Achieved record pre-tax profit of NOK 18.6 million in Q4 2025, up from NOK 8.9 million YoY, driven by disciplined credit management and income growth.

• Return on equity reached 20.9% for Q4 and 20.6% for the full year, reflecting strong capital productivity.

• Gross lending increased 34% year-on-year and 6% quarter-on-quarter to NOK 1,438 million, with momentum carrying into Q1.

• Customer base grew to 5,712, with steady increases in both credit line and down payment loan accounts.

• Redomiciliation process is progressing, with Liechtenstein and Sweden shortlisted as new domiciles.

Financial highlights

• Total income in Q4 was NOK 63.7 million, up 21% year-on-year and 4% sequentially; net interest income made up 88% of total income.

• Loan losses dropped to NOK 7.8 million in Q4, with an annualized loss rate of 2.2%, the lowest since Q3 2019.

• Cost/income ratio at 52% for the last twelve months, down year-over-year.

• Earnings per share for Q4 2025 was NOK 0.26, up from NOK 0.12 in Q4 2024.

• Total assets at year-end were NOK 1,787 million, equity at NOK 365 million.

Outlook and guidance

• Double-digit income growth and continued improvement in ROE expected, though at a more moderate pace.

• 2026 guidance: Q4 total income run rate of NOK 285–295 million and cost/income ratio of 52%, with one-off costs from re-domiciliation anticipated.

• Focus remains on accelerating profitable growth, strengthening competitive advantage, and improving capital efficiency.

• Macroeconomic environment remains mixed; policy rates stable in Norway, with potential for future reductions.

• Further rate cuts could benefit profitability due to lower funding costs.