Financial statements

Income Statement

NOK 1 000 Note 2. quarter 2018 2. quarter 2017 01.01.2018 - 30.06.2018 01.01.2017 - 30.06.2017 2017
 
Total interest income 2 913,860 900,887 1,718,795 1,838,306 3,470,270
Total interest expenses 2 -821,721 -777,648 -1,542,478 -1,624,789 -3,044,417
Net interest income   92,139 123,239 176,317 213,517 425,852
 
Net gains/losses from financial instruments 3 -125,375 -205,252 -166,560 -456,169 -630,361
Net other operating income   -125,375 -205,252 -166,560 -456,169 -630,361
 
Total operating income   -33,236 -82,013 9,757 -242,652 -204,508
 
Salaries and other ordinary personnel expenses 4 -2,860 -2,429 -6,140 -5,818 -12,017
Other operating expenses 5 -4,901 -6,317 -9,938 -11,453 -22,389
Total operating expenses   -7,761 -8,746 -16,077 -17,271 -34,406
 
Operating result before losses   -40,997 -90,759 -6,321 -259,922 -238,914
Write-downs on loans and guarantees 7 -665 - -601 - -
Pre-tax operating result   -41,662 -90,759 -6,922 -259,922 -238,914
 
Taxes   10,416 22,690 1,730 64,981 59,720
Profit/loss for the period   -31,247 -68,069 -5,191 -194,942 -179,194
 
Portion attrubutable to shareholders   -41,908 -77,577 -25,727 -214,498 -216,321
Portion attributable to additional Tier 1 capital holders   10,661 9,508 20,536 19,556 37,127
Profit/loss for the period   -31,247 -68,069 -5,191 -194,942 -179,194

Overview of Comprehensive Income

NOK 1 000   2. quarter 2018 2. quarter 2017 01.01.2018 - 30.06.2018 01.01.2017 - 30.06.2017 2017
 
Profit/loss for the year   -31,247 -68,069 -5,191 -194,942 -179,194
Items which will not impact the income statement in future periods:            
Change due to basis swap spread adjustment   -108,600 - -94,928 - -
Tax effect of basis swap spread adjustment   27,150 - 23,732 - -
Change in pensions for a previous period:            
Estimate deviation for pensions   - - - - -347
Tax effect of the estimate deviation   - - - - 87
Total profit/loss accounted for in equity   -81,450 - -71,196 - -260
Total profit/loss   -112,696 -68,069 -76,387 -194,942 -179,454

Balance Sheet

NOK 1 000     Note 30.06.2018 30.06.2017 2017
 
Assets            
Lending to and deposits with credit institutions     14 9,270,163 10,490,289 3,044,644
Certificates and bonds     14,15 43,651,308 44,774,036 54,318,384
Residential mortgage loans     7,14,19 182,852,976 173,571,981 177,675,130
Financial derivatives     13,14,15 17,220,292 24,684,813 27,144,125
Defered tax asset       6,573 6,174 -
Other assets     6 1,897 1,109 1,188
Total assets       253,003,210 253,528,402 262,183,472
Liabilities and equity            
Liabilities            
Debt incurred by issuing securities     10,14 225,077,253 216,466,932 224,462,981
Collateral received under derivatives contracts     14,15,20 13,203,305 23,245,875 23,628,253
Financial derivatives     13,14,15 1,225,000 1,074,719 898,292
Deferred tax     14 112,902 208,816 136,634
Tax payable     14 - - -
Subordinated debt     11,14 1,603,084 1,603,328 1,603,356
Other Liabilities     14,16 130,959 89,939 182,231
Total Liabilities       241,352,503 242,689,610 250,911,747
 
Equity            
Paid-in equity     9 10,398,470 9,708,470 9,858,470
Other paid-in equity (not yet registered)       240,000 - 300,000
Hybrid capital     9 1,180,000 1,080,000 1,180,000
Accrued equity       -234,848 131,314 -139,022
Net profit       -5,191 -194,942 -
Declared dividends       72,276 113,950 72,276
Total equity       11,650,707 10,838,792 11,271,724
 
Total liabilities and equity       253,003,210 253,528,402 262,183,472

Changes in Equity

NOK 1 000 Share capital Additional paid in equity Dividend Other paid-in equity (not yet registered) Other Equity Interest on hybrid capital Hybrid capital Total Equity
 
Balance as of 31 December 2016 6,330,548 3,167,922 113,950 210,000 149,836 - 1,081,034 11,053,290
Registration of share increase (from 28 December 2016) 140,000 70,000 - -210,000 - - - -
Share increase 28 September 2017 100,000 50,000 - - - - - 150,000
Dividend 2015 - - -113,950 - - - - -113,950
Net income for the period - - - - -179,194 - - -179,194
New hybrid capital - - - - - - 100,000 100,000
Paid interest on hybrid capital - directly against equity - - - - - -37,127 -1,034 -38,161
Share increase December 27 (not yet registered) - - - 300,000 - - - 300,000
Proposed dividend for 2017 - - 72,276 - -72,276 - - -
OCI - pension - annual estimate deviation - - - - -260 - - -260
Balance as of 31 December 2017 6,570,548 3,287,922 72,276 300,000 -101,894 -37,127 1,180,000 11,271,724
Change in losses due to new IFRS 9 measurment - - - - -4,095 - - -4,095
Registration of share increase (from 27 December 2017) 200,000 100,000 - -300,000 - - - -
Share increase 28 February 2018 160,000 80,000 - - - - - 240,000
Share increase 11 May 2018 - - - 240,000 - - - 240,000
Net income for the period - - - - -5,191 - - -5,191
Paid interest on hybrid capital - directly against equity - - - - - -20,536 - -20,536
OCI -basisswapspread - - - - -71,196 - - -71,196
Balance as of 30 June 2018 6,930,548 3,467,922 72,276 240,000 -182,376 -57,663 1,180,000 11,650,707

 

Equity is paid in by the Company's parent banks when a requirement arises.  The requirement arises regularly when the Company acquires larger portfolios of mortgage loans, and otherwise  according to changes in capitalization rules because SpareBank 1 Boligkreditt is subject to the same capital adequacy rules under Pillar 1 as banks in general.  Each parent bank has also signed a Shareholders agreement with the Company, which amongst other things stipulates when additional capital must be contributed.

All hybrid instruments have been reclassified to equity from 31.12.2016. This is according to the definition of a financial liability under IAS 32.

 

Cash Flow Statement

NOK 1 000 30.06.2018 30.06.2017 2017
 
Cash flows from operations      
Interest received 2,219,481 2,178,046 3,552,215
Paid expenses. operations -18,509 -20,473 -34,718
Paid tax - -124,898 -124,898
Net cash flow relating to operations 2,200,972 2,032,675 3,392,598
 
Cash flows from investments      
Net purchase of loan portfolio -5,188,946 889,007 -3,187,555
Net payments on the acquisition of government bills 987,566 -632,639 552,662
Net payments on the acquisition of bonds 8,576,280 -607,889 -11,142,971
Net investments in intangible assets -839 -214 -214
Net cash flows relating to investments 4,374,062 -351,735 -13,778,078
 
Cash flows from funding activities      
Net receipt/payment from the issuance of certificates -120,999 -585,009 -828,967
Net receipt/payment from the issuance of bonds 11,039,537 4,931,699 10,266,970
Net receipt/payment from the issuance of subordinated debt - - 100,000
Net receipt/payment of loans to credit institutions -9,897,394 -1,585,136 -1,413,538
Equity capital subscription 480,000 - 450,000
Paid dividend - - -113,950
Net interest payments on funding activity -1,862,718 -2,062,805 -3,234,635
Net cash flow relating to funding activities -361,573 698,750 5,225,880
 
Net cash flow in the period 6,213,460 2,379,690 -5,159,599
 
Balance of cash and cash equivalents at beginning of period 3,044,644 8,129,097 8,129,097
Net receipt/payments on cash 6,213,460 2,379,690 -5,159,599
Exchange rate difference 12,059 -18,498 75,147
Balance of cash and cash equivalents at end of period 9,270,163 10,490,289 3,044,644