Oma Säästöpankki (OMASP) CMD 2026 summary

Strategic direction and growth priorities

• Updated strategy targets disciplined, sustainable growth and improved efficiency through 2029, shifting from non-organic to organic growth and operational excellence, with a customer-centric challenger approach targeting households and SMEs.

• Emphasis on deepening customer relationships, expanding fee income, and leveraging both local presence and digital channels to differentiate from larger competitors.

• Branch network maintained at 45–50 locations, focusing on growth regions and personalized service, while integrating digital solutions for seamless customer experience.

• Strategic partnerships and bolt-on investments, such as with Bo LKV and Kesko, support new customer acquisition and broaden service offerings.

• Plans to expand digital capabilities, increase automation, and unify the operating model to enhance customer experience and operational efficiency.

Financial targets and performance

• Key financial targets for 2026–2029: comparable ROE above 14%, cost/income ratio below 50%, annual fee and commission income growth over 10%, and CET1 ratio at least 2 percentage points above regulatory requirements.

• Commitment to stable and growing dividends of at least 30% of net profit, with readiness for additional payouts.

• Q1 2026 results show profit before tax up nearly 200% year-on-year, fee and commission income up 7.4%, and operating expenses down 15.4%; cost/income ratio at 57.5%, and CET1 ratio at 18.5%.

• Fee income growth driven by payments, cards, fund services, and insurance, with significant upside from increasing product penetration among existing and new customers.

• Cost base declining through process efficiency, automation, and resource allocation to customer-facing activities.

Risk management and operational improvements

• Significant investments in risk management, including new Board Risk Committee, revised risk strategy, enhanced credit risk framework, and increased FTEs.

• Centralized credit decision-making and collateral monitoring implemented to improve loan quality and consistency.

• Non-performing loans remain elevated but are stabilizing; new loan vintages show improved performance, and soft collection processes have been centralized for early intervention.

• Automation and AI are being deployed in anti-financial crime, compliance, and lending processes, with measurable efficiency gains and plans for further expansion.

• Ongoing focus on fixing legacy NPLs, payment arrangements, and potential portfolio sales under review.