Landsbankinn hf.

Correction: Financial results of Landsbankinn for the first three months of 2024 - Published 2024-05-02 14:25:23 CEST - Seite 2

The Bank’s funding was exceptionally successful in the quarter. We issued subordinated bonds in the amount of ISK 15 billion and EUR 300 million green bonds at favourable terms. In April, we received the enjoyable news that international rating firm S&P Global Ratings had raised the Bank’s credit rating a notch.

Profitability has dwindled slightly but remains close to our long-term target. The main reason for lower profitability is the increased allowance the Bank made in the quarter against seismic and volcanic activity in the Grindavík area. It is important that the Bank has the financial strength to respond to the effect of this natural disaster and that it continues to be able to support its Grindavík customers. We expect profitability to grow again as the year progresses and to hover above the Bank’s target. It is worth noting that the recently raised reserve requirement of the Central Bank of Iceland (CBI) means that Landsbankinn will sit with ISK 35 billion on a non-interest-bearing account with the CBI, a 50% increase from the previous requirement. The cost increase for the Bank comes to ISK 1 billion per year.

The Bank’s results reflect solid and robust operations. We continue to develop exciting and efficient new solutions for customers. Among new solutions in the first quarter is the option to refinance housing mortgages through self-service in Landsbankinn’s app. This has never been possible before in Iceland and the solution is innovative even by international standards. It will certainly simplify life for customers. We introduced our chatbot Ellí in the quarter with immediate success - she currently finalises around half of all customer queries in the web chat on landsbankinn.is. Customers have been very happy with the chatbot service. It has also been gratifying to see that customers regularly use the chat function to leave reviews of the Bank’s service and their interaction with employees. By continuing to develop new solutions, we provide even better service to Landsbankinn’s customers, who are the most satisfied in the banking market.”

 

Landsbankinn's financial calendar

• Q2 2024 results 18 July 2024
• Q3 2024 results 23 October 2024
• Annual results 2024 30 January 2025 

 

For further information contact:

Public Relations, [e-mail]

Investor Relations, [e-mail]

Attachments

• Landsbankinn_condensed_consolidaded_interim_financial_statement_31.3.2024
• Landsbankinn_news_release_31,03,2024
• Landsbankinn_results_presentation_31.03.2024