Ålandsbanken (ALBAV) Q3 2026 earnings summary

Executive summary

• Nine-month net operating profit fell 11% to €45.6M and EPS fell 13% to €2.36; ROE was 15.8%, above the 15% long-term target.

• Core income grew 2% to €162.0M, while other income fell 69% and expenses rose 5%, weighing on results.

• Actively managed assets reached a record €12.5B on positive net inflows; Private Banking, Premium Banking and IT together improved results YoY.

Financial highlights

• Jan–Sep total income was €163.4M versus €163.9M; net interest income fell 2% to €70.2M, commission income rose 6% to €66.2M and IT income rose 3% to €25.6M.

• Jan–Sep expenses increased 5% to €117.9M, mainly on higher staff costs; net impairment was a recovery of €0.0M versus losses of €0.6M.

• Q3 net operating profit decreased 4% to €15.8M; core income rose 2% to €52.4M and expenses increased 5% to €37.7M.

• Q3 net interest income declined 3% to €23.0M on a lower interest margin; commission income rose 5% to €21.1M and IT income rose 12% to €8.3M.

• Jan–Sep profit attributable to shareholders declined 13% to €36.3M; Q3 profit fell 4% to €12.6M, with EPS of €2.36 for nine months and €0.82 for Q3.

Outlook and guidance

• 2026 ROE is expected to continue exceeding the long-term financial target of 15%.

• Forecast confidence is tempered by dependence on fixed-income and equity market performance and concerns about economic developments in key markets.

• The Borgo service phase-out is expected to generate a positive one-off operating profit effect of ~€8M in Q4 2026; related platform income will gradually cease during 2026–2027.