Q1 operating profit of banks drops €649m
Published : 16 Aug 2020, 01:06
The net income from financial operations of credit institutions engaged in banking in Finland in the first quarter amounted to EUR 1.1 billion and their operating profit to EUR 640 million, according to the Statistics Finland.
In the January-June period, credit institutions engaged in banking in Finland accumulated EUR 1,830 million in interest income. Their interest expenses, in turn, amounted to EUR 683 million.
The operating profit, or profit from continuing operations before taxes, was EUR 640 million in the first quarter of 2020. The decrease was EUR 649 million from EUR 1,289 million in the first quarter of 2019.
Relative to the same quarter one year ago, the operating profit decreased for all bank groups.
The net income from financial operations calculated as the difference between these was EUR 1,147 million, which is EUR 78 million more than one year earlier.
The net income from financial operations of all bank groups increased compared to the respective quarter of the previous year.
Meanwhile, in the first quarter, banks had EUR 1,512 million in administrative expenses, which was EUR 151 million less than in the corresponding quarter of the year before.
Relative to the quarter one year ago, administrative expenses decreased among bank groups, especially for Finnish commercial banks. Wages and salaries made up EUR 813 million or 53.8 per cent of the administrative expenses.