The preliminary financial results for the second quarter 2021 indicate a net profit of ISK 5.4bn with annualised return on equity of 11.6%, which is above the Bank’s financial targets. The Bank’s profit for the first quarter 2021 was ISK 3.6bn with annualised return on equity of 7.7%.

The deviation from the first quarter results and the Bank’s financial targets is mainly explained by an ISK 1.1bn positive net impairment of financial assets compared to a net impairment charge of approximately ISK 0.5bn in the first quarter. Furthermore, net profit was positively impacted by a strong domestic equity market performance.

The second quarter 2021 financial accounts are still being finalised and are therefore subject to change. The financial accounts will be published on 28 July.