OP Financial Group's Key Indicators

OP Financial Group’s Half-year Financial Report for 1 January–30 June 2023: Operating profit EUR 986 million – income increased markedly.

OP Financial Group’s key indicators

 

H1/2023

H1/2022

Change, %

Q1–4/2022

Operating profit, € million

986

402

145.2

1,120

 Retail Banking

524

136

286.1

502

 Corporate Banking

219

91

140.1

416

 Insurance

217

148

46.6

293

 Group Functions

-1

-24

-

-91

New OP bonuses accrued to owner-customers, € million

-134

-107

24.8

-215

Total income

2,286

1,587

44.1

3,394

Total expenses

-1,079

-988

9.2

-1,961

Return on equity (ROE), %

10.7

4.7

6.0*

6.3

Return on equity, excluding OP bonuses, %

12.0

5.9

6.2*

7.5

Return on assets (ROA), %

0.96

0.39

0.57*

0.51

Return on assets, excluding OP bonuses, %

1.08

0.48

0.60*

0.61

 

30 Jun 2023

30 Jun 2022

Change, %

31 Dec 2022

CET1 ratio, %

18.8

17.6

1.2*

17.4

Loan portfolio, € billion**

98.5

99.2

-0.7

100.2

Deposits, € billion**

73.3

76.0

-3.6

78.0

Ratio of non-performing exposures to exposures, % **

2.53

2.44

0.9*

2.31

Ratio of impairment loss on receivables to loan and guarantee portfolio, %

0.19

0.20

-0.01*

0.11

Owner-customers (1,000)

2,075

2,057

0.9

2,066

 

OP Financial Group has applied IFRS 17 Insurance Contracts as of 1 January 2023. The figures in the income statement and balance sheet for 2022 have been adjusted retrospectively. The preceding years’ figures (2019, 2020 and 2021) have not been adjusted. Note 1 Accounting policies of this report provides more details on the adoption of IFRS 17 and the changes in the format of the income statement and balance sheet.

Comparatives for the income statement are based on the corresponding figures a year ago. Unless otherwise specified, figures from 31 December 2022 are used as comparatives for balance-sheet and other cross-sectional items.

*Change in ratio

**The loan portfolio and deposits exclude changes in the fair value of loans and deposits in hedge accounting as of 1 January 2023. Comparatives have been adjusted to correspond to the current definition.

Strategic targets

 

30 Jun 2023

31 Dec 2022

Target 2025

Return on equity (ROE excluding OP bonuses), %

12.0

7.5

8.0

CET1 ratio, %

18.8

17.4

at least CET1 requirement
+ 4 pps*

Brand recommendations, NPS (Net Promoter Score, personal and corporate customers)**

Banking: 25

Banking: 27

Banking: 30

Insurance: 17

Insurance: 17

Insurance: 20

Credit rating

AA-/Aa3

AA-/Aa3

At least at the level of AA-/Aa3

 

* OP Financial Group’s target CET1 ratio is at least the CET1 capital adequacy requirement plus four percentage points. The CET1 target calculated by applying the June-end capital adequacy requirement was 16.3%.

**Average of quarters (per financial year).