NOBA Bank Group (NOBA) Q4 2024 earnings summary

Executive summary

• Loan portfolio grew 13% year-over-year to SEK 124.4bn, with strong commercial momentum and customer satisfaction reaching a record 93%.

• Operating income increased 16% to SEK 9,884m, and net profit rose 86% to SEK 2,202m for the full year.

• Adjusted core return on equity (Core ROTE) improved to 21.5% from 16.6% year-over-year.

• IT transformation completed, enabling scalable, cost-effective growth and future expansion.

• No dividend proposed for 2024.

Financial highlights

• Q4 operating income up 19% year-over-year to SEK 2,689m; net profit for Q4 at SEK 623m, up from SEK 187m.

• Full-year operating profit rose 90% to SEK 2,878m; adjusted core operating profit up 53% to SEK 3,445m.

• Cost-to-income ratio improved to 27.5% (from 34.6%); adjusted C/I ratio at 24.0% (from 29.7%).

• Credit loss level decreased to 3.5% (from 3.9%).

• Earnings per share increased to SEK 4.00 (from SEK 2.13).

Outlook and guidance

• Expectation of continued improvement in net interest margin as central bank rate cuts benefit households.

• Long-term ambition to reach SEK 250bn in lending volume by 2030 through organic and acquired growth.

• Strategic review ongoing, with public listing as the main alternative for future ownership structure.