OP Corporate Bank plc's Financial Statements Bulletin 1 January–31 December 2024

OP Corporate Bank plc
Financial Statements Bulletin
Stock Exchange Release 6 February 2025 at 9.00 am EET

OP Corporate Bank plc’s Financial Statements Bulletin 1 January–31 December 2024

• OP Corporate Bank plc's operating profit rose to EUR 473 million (329).
• Total expenses grew by 5% to EUR 773 million (738). Net interest income grew by 8% to EUR 631 million (582). Investment income fell by 35% to EUR 34 million (52). Net commissions and fees grew by 3% to EUR 75 million (73).
• Impairment loss on receivables decreased to EUR 1 million (96).
• Total operating expenses decreased by 5% to EUR 298 million (313). The cost/income ratio improved to 39% (42).
• The loan portfolio grew by 0.8% to EUR 28.3 billion (28.1) year on year. The deposit portfolio increased by 17.3% year on year, to EUR 17.2 billion (14.6).
• The Corporate Banking and Capital Markets segment's operating profit increased to EUR 307 million (198). Net interest income grew by 21% to EUR 381 million (316). Net commissions and fees increased to EUR 6 million (3). Investment income fell by 41% to EUR 29 million (49). Operating expenses decreased by 8% to EUR 120 million (131). Impairment loss on receivables reversed came to EUR 6 million. A year ago, impairment loss on receivables totalled EUR 44 million. The cost/income ratio improved to 28% (35).
• The Asset and Sales Finance Services and Payment Transfers segment's operating profit increased to EUR 167 million (126). Net interest income grew by 4% to EUR 216 million (207). Net commissions and fees totalled EUR 61 million (64). Operating expenses totalled EUR 119 million (122). Impairment loss on receivables decreased to EUR 9 million (37). The cost/income ratio improved to 40% (43).
• The Baltics segment's operating profit rose to EUR 39 million (27). Net interest income decreased to EUR 59 million (67). Net commissions and fees totalled EUR 11 million (10). Operating expenses remained at the previous year's level at EUR 35 million (35). Impairment loss on receivables reversed came to EUR 3 million. A year ago, impairment loss on receivables totalled EUR 15 million. The cost/income ratio weakened to 49% (45).
• The Group Functions segment's operating loss was EUR 40 million. A year ago, the operating loss amounted to EUR 22 million. Funding position and liquidity remained strong.
• OP Corporate Bank plc's CET1 ratio rose to 14.1% (13.0), which exceeds the minimum regulatory requirement by 5.4 percentage points.

OP Corporate Bank plc’s key indicators

€ million	Q1–4/2024	Q1–4/2023	Change, %
Operating profit (loss), € million	473	329	43.8
Corporate Banking and Capital Markets	307	198	55.2
Asset and Sales Finance Services and Payment Transfers	167	126	33.1
Baltics	39	27	43.5
Group Functions	-40	-22	—
Total income	773	738	4.7
Total expenses	-298	-313	-4.6
Cost/income ratio, %	38.6	42.4	-3.8*
Return on equity (ROE), %	7.9	5.9	2.0*
Return on assets (ROA), %	0.48	0.30	0.19*
	31 Dec 2024	31 Dec 2023	Change, %
CET1 ratio, %	14.1	13.0	1.1*
Loan portfolio, € million	28,295	28,076	0.8
Guarantee portfolio, € million	2,660	3,184	-16.5
Other exposures, € million	5,238	5,745	-8.8
Deposits, € million	17,155	14,629	17.3
Ratio of non-performing exposures to exposures, %	1.8	2.2	-0.5*
Ratio of impairment loss on receivables to loan and guarantee portfolio, %	0.00	0.31	-0.30*

Comparatives for the income statement items are based on the corresponding figures in 2023. Unless otherwise specified, figures from 31 December 2023 are used as comparatives for balance-sheet and other cross-sectional items.
* Change in ratio, percentage point(s).

Outlook

Finland's economy contracted in 2024. However, the economy began to recover as the year progressed and preliminary figures suggest that GDP grew in the second half compared to the same period in 2023. Slower inflation and lower interest rates provide a basis for the recovery to continue. Risks associated with the economic outlook are still higher than usual. The escalation of geopolitical crises or a rise in trade barriers may affect capital markets and the economic environment. 

 A full-year earnings estimate for 2025 will only be provided at Group level, in OP Financial Group's financial statements bulletin and in its interim and half-year financial reports.

 The most significant uncertainties affecting OP Corporate Bank's earnings performance relate to developments in the business environment, changes in the interest rate and investment environment, and developments in impairment loss on receivables. In addition, future earnings performance will be affected by the market growth rate and the change in the competitive situation.

 Forward-looking statements in these financial statements bulletin expressing the management’s expectations, beliefs, estimates, forecasts, projections and assumptions are based on the current view of developments in the business environment and the financial performance of OP Corporate Bank plc and its various functions, and actual results may differ materially from those expressed in the forward-looking statements.

Time of publication of 2024 reports:

OP Corporate Bank's Report by the Board of Directors and Financial Statements for 2024	Week 11
OP Corporate Bank's Corporate Governance Statement 2024	Week 11

Schedule for Interim Reports and Half-year Financial Report in 2025:

Interim Report Q1/2025	7 May 2025
Half-year Financial Report H1/2025	30 July 2025
Interim Report Q1−3/2025	28 October 2025

Helsinki, 6 February 2025

OP Corporate Bank plc
Board of Directors

For additional information, please contact
Katja Keitaanniemi, Chief Executive Officer, tel. +358 (0)10 252 1387
Piia Kumpulainen, Chief Communications Officer, tel. +358 10 252 7317

DISTRIBUTION
Nasdaq Helsinki Oy
Euronext Dublin (Irish Stock Exchange)
LSE London Stock Exchange
Major media
op.fi

OP Corporate Bank plc is part of OP Financial Group. OP Corporate Bank and OP Mortgage Bank are responsible for OP's funding in money and capital markets. As laid down in the applicable law, OP Corporate Bank, OP Mortgage Bank and their parent company OP Cooperative and other OP Financial Group member credit institutions are ultimately jointly and severally liable for each other's debts and commitments. OP Corporate Bank acts as OP Financial Group's central bank.

Attachment

• OP Corporate Bank plc Financial Statements Bulletin 2024