Bluestep Bank AB (publ) Year-end report 2022

23 Feb 2023 08:30 CET

The year in brief

Performance and financial position

· Lending to the public increased by 11% to MSEK 20,346 (MSEK 18,333).
Adjusted for currency effects the increase was 9%.
· New lending amounted to MSEK 6,903 (MSEK 7,169). Adjusted for currency
effects the decrease was 6%, as both NOK and EUR strengthened against SEK
compared to the previous year.
· Net interest income amounted to MSEK 921 (MSEK 833), an increase of 11%.
· Operating profit amounted to MSEK 310 (MSEK 325). Operating income increased
during the year, but non-recurring items associated with the strategic review
initiated by the owners of the Group (amounting to MSEK 36) and increased credit
loss provisions led to a decrease in operating profit by 5%.
· Net credit losses amounted to MSEK 28 (MSEK 7), equivalent to a credit loss
level of 0.14% (0.04%).
· The return on equity for the year was 13.9% (14.6%).
· The Common Equity Tier 1 ratio ("CET1") was 17.2% (16.4%), which is with a
good margin to the targeted level at 16%

Financing

· The Group redeemed its final outstanding RMBS transaction (Step 4) in May.
The Group has thereby taken another step towards its long-term funding
structure, comprising of covered bonds, senior unsecured bonds and deposits from
the public.
· Two tap issues of covered bonds, amounting to MSEK 300 each, were completed
during the first half of 2022. At the end of the period, the Group had an
outstanding volume of covered bonds amounting to MSEK 5,900 under Bluestep
Bank's MTCN-programme.
· At the end of the period, the Group had an outstanding volume of MSEK 1,550
and MNOK 550 in senior unsecured bonds under Bluestep Bank's MTN-programme.
· Deposits from the public amounted to MSEK 13,239 (MSEK 10,426)

Strategic development and significant events

· The year 2022 has been characterised by a swift change in macro coupled with
geopolitical uncertainty due to the conflict in Ukraine. This is resulted in
sharply rising interest rates, high energy prices and elevated inflation. The
outlook is still filled with uncertainty and Bluestep Bank is closely monitoring
the situation and implements measures as needed.
· The strategic review initiated by EQT VII, the indirect majority shareholder
in Bluestep Bank, concluded with EQT VII deciding to remain committed to
Bluestep Bank.
· Both Bluestep Bank's growth initiatives, focusing on the equity release
product in Sweden and mortgages in Finland doubled in volume during the year and
reached MSEK 1,011 (MSEK 542), and MSEK 511 (MSEK 219) respectively.
· Bluestep Bank notified the Swedish Financial Services Authority of the
intention to provide cross-border services by offering deposit products to
customers residing in Germany. The notification was acknowledged by the Swedish
Financial Services Authority and thereafter also by the German Federal Financial
Supervisory Authority ("BaFin"). This will enable Bluestep Bank to further
diversify the Group's funding.
· A common Nordic function for loan and deposit administration was established
at the end of 2021. During 2022, the next step was finalised with the migration
to one common IT system for loan and deposit administration within Bluestep
Bank.
· Jayne Almond was appointed new chairman of the Board of Directors as Per
-Arne Blomquist decided to step down. His departure and the decision from Lars
Wollung and Sofia Arhall Bergendorff not to stand for re-election, decreased the
number of Board members from eight to six during the year.

Comment from Björn Lander, CEO, Bluestep Bank:

"2022 was a year of continued solid performance. Despite the difficult
geopolitical situation and severe implications for the macroeconomic climate,
Bluestep Bank exhibited both strong growth in lending to the public and
continued solid profitability. In 2022 we took further steps to build market
share in Finland, as well as with the equity release product through
60plusbanken in Sweden. Furthermore, we streamlined operations with the
transformation to one core banking platform and one centralised back office. In
times of hardship Bluestep Bank remains a resilient company and is more relevant
than ever before. Exclusion from both the housing market and from traditional
banks has left room for a modern mortgage bank aiming at improving financial
inclusion through home ownership."
For further information, please contact:

Björn Lander, CEO, Bluestep Bank
+ 46 (0)73 673 1899
bjorn.lander@bluestep.se


Juan Navas, Head of Corporate Communication, Bluestep Bank
+46 (0)70 306 2245
juan.navas@bluestep.se

Or visit: www.bluestepbank.com

Bluestep Bank AB (publ) is publishing this information which is obliged to be
made publicly available pursuant to the EU Market Abuse Regulation and the
Norwegian Securities Trading Act § 5 - 12. The information was submitted for
publication, through the agency of the contact person set out above at 08.30 CET
on 23[rd] of February 2023.

Om BlueStep Bank

BlueStep Bank är specialiserade på att hjälpa människor som av någon anledning
inte kan få lån av en traditionell bank. Vi fokuserar alltid på varje persons
ekonomiska möjligheter, snarare än deras tidigare utmaningar. På BlueStep
erbjuder vi bolån, privatlån och sparkonton. Vi har varit verksamma sedan 2005,
är cirka 200 anställda med kontor i Stockholm och Helsingborg samt en filial i
Oslo. BlueStep står under Finansinspektionens tillsyn och samtliga sparkonton
omfattas av den statliga insättningsgarantin.

www.bluestepbank.com

More information:
Access the news on Oslo Bors NewsWeb site

583299_Year_end_report_2022.pdf