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Q4 2019 trading update

increased loan loss provision levels

Oslo, 6 February 2020: Following a review of Komplett Bank’s (“the Bank”) model parameters for expected credit losses (ECL), the Bank’s management and Board of Directors have decided to make additional provisions for loan losses of NOK 105 million. Total reported losses on loans for Q4 2019 is NOK 222 million.

Following this review combined with an assessment of secondary market conditions for the sale of non-performing loans, Komplett Bank’s management and Board of Directors have decided to revise the parameters across the Bank’s entire product portfolio in Norway, Sweden and Finland. The additional provisions made are primarily driven by changes in loss given default (LGD) parameters. 

Adjusted for the additional provisions, losses on loans for Q4 2019 amounted to NOK 117 million, which is an increase from NOK 82 million in Q3 2019. This increase is primarily due to the expiration of the Bank’s forward flow contract in Norway and an increase in non-performing loans mainly for consumer loans and credit cards in Norway. 

As of 31 December 2019, the Bank remains capitalised within regulatory requirements with a CET1 ratio is 21.3% and a total capital ratio of 22.5%. Profit after Tax for Q4 2019 is expected to come in at NOK -15 million, NOK 63 million excluding additional loan loss provisions. Profit after tax for the full year 2019 is expected to come in at NOK 203 million.

The Q4 2019 financial figures are still preliminary and have yet to be reviewed by the Bank’s auditor. Komplett Bank will release its fourth quarter results on 12 February 2020. 

For further information, please contact:
Jan Haglund, CEO
tel: +46 70 600 2061
email: ir@komplettbank.no


This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act