Bien Sparebank (BIEN) Q4 2024 earnings summary

Executive summary

• Achieved record net profit after tax of NOK 60.8 million in 2024, up from NOK 55.8 million in 2023.

• Forretningskapital grew 15.7% to NOK 7,501 million in 2024, targeting NOK 10 billion by 2026.

• Strategy focuses on sustainable, profitable growth, local presence, and enhanced customer experience in Oslo and surrounding areas.

• Dividend proposal of NOK 30.4 million for 2024, maintaining a 50% payout ratio.

• Increased advisory capacity with two new hires in 2024 to support customer growth.

Financial highlights

• Total loan portfolio grew from NOK 5,414 million in Q4 2023 to NOK 6,231 million in Q4 2024.

• Net interest income for 2024 was NOK 127.9 million, up NOK 9.9 million from 2023.

• Cost-to-income ratio improved to 49.2% in 2024 from 51.9% in 2023.

• Net interest margin stable at 2.43% in 2024, up from 2.36% last year.

• Share price increased by 40.5% in 2024, closing at NOK 122.

Outlook and guidance

• Ambitious growth strategy aims for forretningskapital of NOK 10 billion by 2026 and NOK 13 billion by 2030.

• Targeting return on equity of 10% through profitable expansion and increased advisory capacity.

• New standard bank model in 2025 expected to boost lending capacity.

• Market expects Norges Bank to lower rates in March 2025, with continued economic uncertainty.

• Oslo housing prices forecasted to rise 12% in 2025, supporting lending demand.