Positive profit warning: Oma Savings Bank Plc refines its 2020 outlook and earning guidance – strong growth continues and the Company's performance exceeds the top level prior corona crisis

OMA SAVINGS BANK PLC, STOCK EXCHANGE RELEASE 9 SEPTEMBER 2020 AT 9.47 A.M. EET, INSIDE INFORMATION

Positive profit warning: Oma Savings Bank Plc refines its 2020 outlook and earning guidance – strong growth continues and the Company's performance exceeds the top level prior corona crisis

Own Savings Bank Plc (OmaSp or Company) refines its previous 2020 outlook and earnings guidance. The Company's 2020 profit before taxes exceeds the previous year's level. The improved earnings outlook is driven by strong continued growth in business volumes and earning and improved cost efficiency.

CEO Pasi Sydänlammi:
“Despite the general uncertainty of the operating environment, our Company's financial situation is excellent. Our results-making capability has exceeded the previous top level prior to the corona crisis. Our earning has developed strongly in both main sources of income, both net interest income and fee and commission income, while performing well in managing operational costs.”

New outlook and earnings guidance for FY2020 (refine 9 September 2020):
The Company's business volumes will continue strong growth in FY2020 despite the exceptionally uncertain economic environment. The Company's profitable growth is supported by efforts in recent years to improve the customer experience and the availability of customer service through new digital service channels and opening of new units.

Oma Savings Bank Plc provides earnings guidance on the profit before taxes. A verbal description is used to make a comparison with the comparative period. Earnings guidance is based on the forecast for the entire year, which takes into account the current market and business situation. Forecasts are based on the management’s insight into the Group’s business development.

The company estimates that profitable growth will continue to be strong despite overall economic uncertainty and the Group's 2020 profit before taxes will exceed the previous financial year’s level (EUR 32.7 million).

Previous outlook and earnings guidance (published 10 August 2020 in the Half-Year Financial Report):
The company’s business volumes are predicted to maintain their strong growth during the 2020 accounting period. The company’s profitable growth is supported by efforts in recent years to improve the customer experience and the availability of customer service through new digital service channels and the opening of new units. At the same time, the company has adapted its branch network to correspond even better to a changing operating environment. Due to the uncertainty caused by the coronavirus, the outlook for the economy changed and rapidly weakened towards the end of the first quarter. Due to the difficulty of assessing the financial impact of the situation, the company withdrew its February earnings guidance in March.

Despite the general economic uncertainty, the company's financial position is strong and the flexible operating models allow rapid response to changes in the operating environment. The company's earning is expected to increase during the FY2020 in both key sources of income, net interest income and fee and commission income. At the same time, operating costs are projected to remain approximately at current level, so the profitability of the company's core business is expected to continue to improve in FY2020.

More detailed earnings guidance will be provided by the company as the outlook for the corona pandemic progression becomes clearer and the economic impact can be better assessed.

Oma Savings Bank Plc

Additional information:
Pasi Sydänlammi, CEO, puh +358 45 657 5506, pasi.sydanlammi@omasp.fi
Sarianna Liiri, CFO, puh. +358 40 835 6712, sarianna.liiri@omasp.fi
Minna Sillanpää, CCO, puh. +358 50 66592, minna.sillanpaa@omasp.fi

Distribution:
Nasdaq Helsinki Ltd
Major media
www.omasp.fi

OmaSp is a growing Finnish bank and the largest savings bank in Finland based on total assets. About 300 professionals provide nationwide services through OmaSp’s 32 branch offices and digital service channels to 140,000 private and corporate customers. OmaSp focuses primarily on retail banking operations and provides its clients with a broad range of banking services both through its own balance sheet as well as by acting as an intermediary for its partners’ products. The intermediated products include credit, investment and loan insurance products. OmaSp is also engaged in mortgage banking operations.

OmaSp core idea is to provide personal service and to be local and close to its customers, both in digital and traditional channels. OmaSp strives to offer premium level customer experience through personal service and easy accessibility. In addition, the development of the operations and services is customer-oriented. The personnel is committed and OmaSp seeks to support their career development with versatile tasks and continuous development. A substantial part of the personnel also own shares in OmaSp.