Tinde Sparebank (TINDE) Q4 2024 earnings summary

Executive summary

• Net profit after tax for 2024 reached 79.8 MNOK, up from 68.1 MNOK in 2023, with a return on equity of 7.6% excluding hybrid capital.

• Total comprehensive income was 70.8 MNOK, including a -9.0 MNOK value change on equity investments, mainly in Eika Gruppen AS and Eika Boligkreditt AS.

• The bank experienced strong growth, with forretningskapital up 17.8% year-over-year to 10,580.7 MNOK and forvaltningskapital up 11.3% to 7,904.1 MNOK.

• A merger with Sunndal Sparebank was approved in December 2024, aiming for completion in H1 2025, creating a larger regional bank.

Financial highlights

• Result before losses and tax was 121.6 MNOK (1.61% of avg. assets), up from 110.7 MNOK in 2023.

• Net interest and credit commission income rose to 188.1 MNOK, a 15.5 MNOK increase year-over-year.

• Net commission and fee income increased by 9.0 MNOK to 43.8 MNOK, mainly due to higher commissions from Eika Boligkreditt AS and Eika Forsikring.

• Operating expenses rose by 6.7 MNOK to 118.9 MNOK, mainly from higher personnel costs due to expansion and compliance hires.

• Net loan losses were 21.7 MNOK, down from 27.1 MNOK in 2023.

Outlook and guidance

• The board considers the 2024 results satisfactory and expects continued growth, supported by local market potential and new branch openings.

• The merger with Sunndal Sparebank is expected to enhance competitiveness and regional presence, with no layoffs planned.