This article first appeared on GuruFocus .
Release Date: February 03, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Moneta Money Bank AS ( XPRA:MONET ) reported an 8% increase in operating income, driven by strong growth in net interest income and net fee and commission income.
-
The bank achieved a net profit of 6.5 billion, outperforming initial guidance by half a billion crowns, marking a 12% increase.
-
The cost-to-income ratio improved by 2.4 percentage points, dropping below 42%, indicating effective cost management.
-
Total shareholder return exceeded 70% in 2025, compared to 48% in 2024, showcasing strong performance.
-
The bank's digital platform saw an 8.3% increase in users, nearing 100% penetration of the client base.
Negative Points
-
Operating expenses grew by 2%, with higher costs in personal and IT areas, indicating ongoing cost pressures.
-
The bank's loan portfolio yield decreased by 5 basis points year over year, reflecting competitive pressures.
-
Retail deposit growth was relatively modest at 2.2%, suggesting challenges in attracting retail deposits.
-
The bank's net interest margin was pressured by intense competition in the deposit market.
-
The insurance product distribution saw a 2.2% decline in commission income, impacted by a lower number of sold insurance products.
Q & A Highlights
-
Warning! GuruFocus has detected 8 Warning Signs with XPRA:MONET.
-
Is XPRA:MONET fairly valued? Test your thesis with our free DCF calculator.
Q: What caused the changes in the mid-term guidance for total operating income? Was it due to higher projections for net interest income or other factors? A: The growth in total operating income is driven by a combination of factors, including loan growth with a CAGR of 6.1%, particularly in the commercial segment, and customer deposit repricing. Additionally, fee income from wealth management and insurance will contribute to this growth. The changes are not solely due to a single factor but a mix of these elements. (Respondent: Unidentified_3)
Q: Where do you see the net interest margin developing in the coming quarters? Was Q3 the bottom for funding costs? A: We project the net interest margin to improve to between 215 to 220 basis points over the next three years. This will be driven by repricing of mortgages and strong growth in the small business loan portfolio. The funding costs slightly increased in Q4, but we are confident in managing this going forward. (Respondent: Unidentified_5)
Q: Can you explain the strong results from financial operations in Q4? A: The increase in Q4 was driven by a bond sale gain of 50 million crowns and a one-off gain on FX operations of around 27 to 30 million crowns. These were rather one-off events and should not be projected as a new normal. (Respondent: Unidentified_5)
Q: Why do you expect conservative growth in 2026 in terms of net income? A: The conservative growth outlook for 2026 is due to uncertainties such as mortgage refixation and assumptions about the repo rate remaining flat. While we aim to retain as many mortgages as possible, the market dynamics introduce a degree of uncertainty. (Respondent: Unidentified_3)
Q: Are there any estimations for extra dividend payments in 2026 like in 2025? A: While we follow a capital management strategy to distribute excess capital, it's too early to speculate on interim dividends for 2026. We are considering securitization of part of our loan portfolio to potentially release capital, but this is still in early stages. (Respondent: Unidentified_5)
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
