16 February 2023
Landsbankinn’s Annual & Sustainability Report for 2022 reviews highlights in the Bank’s operation last year, new solutions and changes to service, continued work on sustainable development, funding, risk management and more.
The report is published to the Bank’s website, making it easy to access and peruse. These are some of the highlights we discuss in the Report:
- Active retail customers of the Bank grew by 5.2% in 2022 and numbered 121,600 at the end of the year. The Bank's share in the retail market measured 40.1% and has never been higher.
- Corporate customers of the Bank grew by almost 2,000.
- We continued to improve our digital solutions and use of our app increased by over 23% on the retail side; 168% on the corporate side.
- Our share in the financing of new residential housing is over 50% of the market and we financed the construction of over 4,300 apartments in 2022.
- The updates we made to the securities functions of the app and online banking in 2022 were very well received and Asset Management & Capital Markets continued to attract new customers.
- In 2022, we hosted Landsbankinn’s first Sustainability Forum, measured GHG emissions from our credit portfolio for the second time and committed to setting science-based climate targets.
- We participate in various initiatives that encourage development and progress in society through such channels as our Sustainability Fund and Community Fund. Landsbankinn is one of the largest sponsors in Iceland.
- We published our 2022 results on 2 February. At the same time, we published our Pillar III risk report and detailed information on sustainable development, including a GRI report audited with reasonable assurance by Deloitte. This is the first time that sustainability disclosure is audited to this extent in Iceland.
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5 Sept. 2023
Today, Landsbankinn concluded the sale of a new green bond series in the amount of EUR 300 million, the Bank’s third green bond issuance in euros. The bonds bear a 6.375% fixed rate and were sold at terms equivalent to a 313 basis point spread above mid-swap market rates. The bonds have a 3,5-year tenor and mature in March 2027.
20 July 2023
Landsbankinn’s profit in the first half of the year amounted to ISK 14.5 billion, ISK 6.7 billion thereof in the second quarter. Return on equity (ROE) was 10.3% in H1.
4 May 2023
Return on equity (ROE) at Landsbankinn was 11.1% in the first three months of 2023. Net profit was ISK 7.8 billion.
23 March 2023
The annual general meeting of Landsbankinn, held on 23 March 2023, agreed to pay a dividend amounting to ISK 8,504 million to shareholders. The AGM approved a proposal to change the Bank’s address from Austurstræti 11 to Reykjastræti 6.
9 March 2023
Today, Landsbankinn concluded a sale of European Covered Bonds (Premium) in euros. The bonds are in the amount of EUR 300 million, with a 5-year tenor and have a fixed coupon of 4.25%. The bonds were sold at terms equivalent to 90 basis point spread over mid-swap market rate.
2 Feb. 2023
The net profit of Landsbankinn in 2022 was ISK 17.0 billion (2021: ISK 28.9 billion). After-tax return on equity for 2022 was 6.3% (2021: 10.8%).
27 Oct. 2022
Landsbankinn’s profit in the first nine months of 2022 amounted to ISK 11.3 billion, ISK 5.8 billion thereof in the third quarter. Return on equity (ROE) in the first nine months of the year was 5.6% and 8.5% in the third quarter. A decrease in the fair value of the Bank’s equity portfolio negatively impacts its profitability this year.
21 July 2022
The Bank’s profit in the first half of 2022 amounted to ISK 5.6 billion, ISK 2.3 billion thereof in the second quarter. Return on equity (ROE) was 4.1%, falling short of the Bank’s 10% target mainly because of fluctuations in equities held by the Bank.
27 May 2022
S&P Global Ratings has today announced that Landsbankinn’s covered bond rating has been raised. The rating uplift is one notch and the rating is therefore A with stable outlook.
5 May 2022
Landsbankinn’s net profit in the first three months of 2022 was ISK 3.2 billion. Return on equity (ROE) was 4.7%. Net fee and commission income increased by 28.5% YoY, mainly from growing activity in asset management and capital markets. Net interest income grew by 19%, mainly driven by a larger balance sheet and better returns on liquid assets. Market share in the retail market measured 39% at the end of the quarter, slightly higher than in the same quarter last year. The cost/income ratio was 54.9% and costs remain stable. Operating expenses as a ratio of average total assets were 1.4%. Growth in mortgage lending has declined while lending to corporates increased by ISK 20.7 billion, not having regard for exchange rate impact. Around 90% of new housing mortgages in the first quarter were non-indexed and 58% of the mortgages carry fixed rates, in most cases for a 3-year period. Landsbankinn became a Visa principal member, increasing operational efficiency and making it easier for the Bank to offer new services linked to payment cards, among other things. Mortgage papers were registered electronically for the first time in February, with Landsbankinn becoming the first Icelandic bank to offer this service. The transaction volume in Landsbréf’s mutual funds has grown by 30% between years.