Financial statements

Income Statement

NOK 1 000 Note 3. quarter 2018 3. quarter 2017 01.01.2018 - 30.09.2018 01.01.2017 - 30.09.2017 2017
 
Total interest income 2 925,159 822,416 2,643,954 2,660,722 3,470,270
Total interest and commission expense 2 -845,254 -718,215 -2,387,732 -2,343,004 -3,044,417
Net interest income   79,905 104,201 256,222 317,718 425,852
 
Net gains/losses from financial instruments 3 -13,427 -20,781 -179,988 -476,950 -630,361
Net other operating income   -13,427 -20,781 -179,988 -476,950 -630,361
 
Total operating income   66,478 83,420 76,235 -159,232 -204,508
 
Salaries and other ordinary personnel expenses 4 -3,100 -3,117 -9,240 -8,935 -12,017
Other operating expenses 5 -4,406 -4,257 -14,344 -15,710 -22,389
Total operating expenses   -7,507 -7,374 -23,584 -24,646 -34,406
 
Operating result before losses   58,971 76,046 52,651 -183,878 -238,914
Write-downs on loans and guarantees 7 272 - -329 - -
Pre-tax operating result   59,243 76,046 52,322 -183,878 -238,914
 
Taxes   -14,811 -19,011 -13,080 45,969 59,720
Profit/loss for the period   44,433 57,034 39,241 -137,908 -179,194
 
Portion attrubutable to shareholders   33,987   8,259   -216,321
Portion attributable to additional Tier 1 capital holders   10,446   30,982   37,127
Profit/loss for the period   44,433   39,241   -179,194

Overview of Comprehensive Income

NOK 1 000   3. quarter 2018 3. quarter 2017 01.01.2018 - 30.09.2018 01.01.2017 - 30.09.2017 2017
 
Profit/loss for the year   44,433 57,034 39,241 -137,908 -179,194
Items which will not impact the income statement in future periods:            
Change due to basis swap spread adjustment   -40,907 - -135,834 - -
Tax effect of basis swap spread adjustment   10,227 - 33,959 - -
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   -30,680 - -101,876 - -260
Total profit/loss   13,752 57,034 -62,635 -137,908 -179,454

Balance Sheet

NOK 1 000     Note 30.09.2018 30.09.2017 2017
 
Assets            
Lending to and deposits with credit institutions     14 11,411,753 4,200,397 3,044,644
Certificates and bonds     14, 15 35,032,317 41,638,986 54,318,384
Residential mortgage loans     7, 14, 19 183,811,362 176,093,142 177,675,130
Financial derivatives     13,14,15 15,982,953 21,637,545 27,144,125
Defered tax asset       10,055 9,299 -
Other assets     6 1,507 992 1,188
Total assets       246,249,947 243,580,361 262,183,472
 
Liabilities and equity            
Liabilities            
Debt incurred by issuing securities     10,14 217,814,578 211,526,141 224,462,981
Collateral received under derivatives contracts     14,15, 20 13,370,235 17,848,036 23,628,253
Financial derivatives     13,14,15 1,479,191 1,231,492 898,292
Deferred tax     14 102,675 208,816 136,634
Tax payable     14 - - -
Subordinated debt     11,14 1,603,108 1,603,253 1,603,356
Other Liabilities     14,16 148,423 126,172 182,231
Total Liabilities       234,518,210 232,543,911 250,911,747
 
Equity            
Paid-in equity     9 10,638,470 9,708,470 9,858,470
Other paid-in equity (not yet registered)       150,000 150,000 300,000
Hybrid capital     9 1,180,000 1,080,000 1,180,000
Accrued equity       -275,974 121,938 -139,022
Net profit       39,241 -137,908 -
Declared dividends       - 113,950 72,276
Total equity       11,731,737 11,036,450 11,271,724
 
Total liabilities and equity       246,249,947 243,580,361 262,183,472
 

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 2016 - - -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 160,000 80,000 - - - - - 240,000
Dividend 2017 - - -72,276 - - - - -72,276
Share increase September 27 (not yet registered) - - - 150,000 - - - 150,000
Net income for the period - - - - 39,241 - - 39,241
Paid interest on hybrid capital - directly against equity - - - - - -30,982 - -30,982
OCI -basisswapspread - - - - -101,876 - - -101,876
Balance as of 30 September 2018 7,090,548 3,547,922 0 150,000 -168,624 -68,109 1,180,000 11,731,737

 

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 30.09.2018 30.09.2017 2017
 
Cash flows from operations      
Interest received 3,380,717 3,157,089 3,552,215
Paid expenses. operations -70,378 -28,338 -34,718
Paid tax - -124,898 -124,898
Net cash flow relating to operations 3,310,339 3,003,853 3,392,598
 
Cash flows from investments      
Net purchase of loan portfolio -6,142,759 -1,617,503 -3,187,555
Net payments on the acquisition of government bills 1,177,693 509,274 552,662
Net payments on the acquisition of bonds 16,829,399 811,903 -11,142,971
Net investments in intangible assets -897 -214 -214
Net cash flows relating to investments 11,863,436 -296,539 -13,778,078
 
Cash flows from funding activities      
Net receipt/payment from the issuance of certificates -120,999 -377,075 -828,967
Net receipt/payment from the issuance of bonds 5,296,092 3,183,173 10,266,970
Net receipt/payment from the issuance of subordinated debt - - 100,000
Net receipt/payment of loans to credit institutions -9,657,823 -6,395,388 -1,413,538
Equity capital subscription 630,000 -150,000 450,000
Paid dividend -72,276 - -113,950
Net interest payments on funding activity -2,907,219 -2,911,283 -3,234,635
Net cash flow relating to funding activities -6,832,224 -6,650,574 5,225,880
 
Net cash flow in the period 8,341,551 -3,943,260 -5,159,599
 
Balance of cash and cash equivalents at beginning of period 3,044,644 8,129,096 8,129,097
Net receipt/payments on cash 8,341,551 -3,943,260 -5,159,599
Exchange rate difference 25,558 14,560 75,147
Balance of cash and cash equivalents at end of period 11,411,753 4,200,397 3,044,644