Mandatum Oyj (MANDF) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to Mandatum's Q1 audio cast. My name is Lotta Borström from Mandatum's Investor Relations, and I am pleased to be joined today by our CEO Petri Niemisvirta and our CFO Matti Ahokas. During the audio cast, Petri Niemisvirta and Matti Ahokas will present the highlights and key developments of Mandatum's first quarter of 2025, after which we'll take the Q&A, where you have the possibility to dial in for any questions you might have. Also, please don't hesitate to contact us at Investor Relations, should you have any further questions. With these remarks, I will hand over to Petri. Please go ahead. Thank you, Lotta. And now let's move on to the first quarter. Mandatum's first quarter went well, despite turbulent market conditions. We achieved a 23% year-over-year increase in fee result, reaching 18.8 million euros. The increase was mainly driven by improved cost efficiency and higher client assets under management that also saw a significant rise up 12% year over year to 14 billion euros. The improved cost efficiency was also highlighted by a 10 percentage point reduction in the cost income ratio, now at 55%, which I'm very happy about. These metrics reflect our strategic focus on profitability and operational efficiency, setting a strong foundation for future growth. Net flow increased to 256 million euros during the quarter, as an indication of strong client activity despite the market uncertainty. The net finance result increased by 73%, totaling 51.8 million euros. The return on investment was 0.8% and the rise in the discount rate reduced the finance expenses on insurance contract liabilities. Also, the net finance result includes a positive fair value change of Saxo Bank shares totaling 17 million euros. Profit before taxes increased by 32%...