Key Financial Indicators and Balance Sheet Analysis Q1 2023 slide image

Key Financial Indicators and Balance Sheet Analysis Q1 2023

Operating expenses Cost-to-Core income ratio (%) Total operating expenses Growth in total OPEX mainly due to new labor agreements and several projects in the quarter Ongoing focus on OPEX and efficiency Cost-to-core income for the Q1 2023 was 47.0% compared with 47.4% in Q1 2022 Core income per employee 19.7m vs 17.5m in Q1 2022 Salary expense increases between years mainly due to new labor agreements and increased number of FTE's, mostly in IT ISK 120m one-off charge related to back-dated impact of labor agreements Going forward impact of labor agreement is approx. 60m per quarter Other OPEX increases from Q4, partly due to general inflation but also several projects One-off projects accounted for mostly within professional services increase the cost for the quarter by approx. ISK 150m Additionally, a fine of ISK 80m from the Icelandic Competition Authority was expensed in March 47.4 43.1 38.4 Q1 2022 Q2 2022 Q3 2022 Other operating expenses (ISK m) 8.3 7.3 6.6 1.6 6.2 5.8 53.8 3.2 2.8 2.9 2.7 47.0 2.7 3.5 3.8 3.8 4.1 3.1 Q4 2022 Q1 2023 Q1 2022 Q2 2022 Incentive scheme Salaries and related expenses Q3 2022 Q4 2022 Q1 2023 ■Other operating expenses Core income per FTE 3,176 2,878 2,806 2,661 2,710 733 513 500 420 777 781 789 753 746 564 445 419 447 416 440 301 340 304 318 183 363 225 291 284 282 20.6 20.1 20.2 19.7 150 194 175 161 145 17.5 1,100 1,062 1,110 1,157 1,188 16 All amounts in ISK bn Q1 2022 Q2 2022 Q3 2022 IT cost Professional services Q4 2022 Q1 2023 ■ Housing cost ■Marketing cost Q1 2022 Q2 2022 Q3 2022 Q4 2022 Core income per FTE (ISK m) Q1 2023 ■Depreciation/amortization Other expenses
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