AVANZA BANK HOLDING AB Online broker Avanza Bank reports higher than expected revenues in the fourth quarter. Operating profit was higher than expected. The Board proposes an increased ordinary dividend.
Total revenue amounted to SEK 1,062 million (882), which was better than Modular Finance's analyst consensus of SEK 1,017 million.
The 20% increase in income is mainly a result of higher net brokerage and foreign exchange fees and higher fund commissions. Net interest income and other income decreased.
Net interest income amounted to SEK 385 million (431), expected to be SEK 365 million.
Operating expenses amounted to SEK 335 million (306), analyst consensus was SEK 338 million.
Operating profit amounted to 728 million SEK (580), expected to be 679 million SEK.
Net profit amounted to SEK 625 million (499), expected to be SEK 583 million.
The company increases the dividend to SEK 11.75 (11.5), expected was 10.61.
The cost increase for the full year 2024 was 11 percent. Excluding non-recurring costs of SEK 26 million, the increase for the full year was 9.2 percent, slightly lower than the guidance of 9.5 percent.
The cost increase for 2025 is estimated at 11 percent, mainly due to accelerated cloud migration
cloud migration and investments in Private Banking and occupational pensions.
"A fantastic quarter and year has ended and we are fully planning for everything we want to do and achieve in 2025 to continue to achieve the highest customer satisfaction in the industry and deliver on our strategic priorities in 2030. From a purely macro perspective, I am optimistic about the future, both for the Swedish savings market and for Avanza," says CEO Gustaf Unger in the report.
| Avanza, SEK million | Q4-2024 | Consensus | Change from consensus | Q4-2023 | Change from consensus |
| Revenues | 1 062 | 1 017 | 4,4% | 882 | 20,4% |
| Net interest income | 385 | 365 | 5,5% | 431 | -10,7% |
| Operating expenses | -335 | -338 | -306 | ||
| Operating result | 728 | 679 | 7,2% | 580 | 25,5% |
| Net result | 625 | 583 | 7,2% | 499 | 25,3% |
| Ordinary annual dividend per share, SEK | 11,75 | 10,61 | 10,7% | 11,5 | 2,2% |
