Kvika, IS0000020469

Kvika stock posts mixed Q3 as RoTE reaches 18.9%

Published on 11/09/2026 at 02:22 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Kvika stock reported lower quarterly profit on November 4. Lending and deposits expanded, while fee income weakened.

Q3 results reshape the outlook

Net interest income rose in the third quarter, but lower fee income weighed on earnings.
Customer deposits and loans expanded strongly through September 2026.
A new chief executive is scheduled to take over in early December.

Kvika, IS0000020469, Illustration mit AI erstellt.

Kvika banki reported its third-quarter and nine-month results on Wednesday, November 4, 2026. The company said post-tax profit from continuing operations fell 8.8 percent year over year to ISK 1,342 million, while pre-tax return on tangible equity reached 18.9 percent. The figures were published in the bank's Financial Results for Q3 2026.

Profit pressure meets stronger lending

Net interest income increased 3.4 percent to ISK 3,052 million in the quarter, while the net interest margin held at 4.0 percent. Net fee and commission income declined 12.2 percent to ISK 1,380 million, reflecting the weaker stock-market turnover cited by management.

Administrative expenses rose 2.4 percent to ISK 2,807 million. For the first nine months, however, post-tax profit from continuing operations increased 16.9 percent to ISK 3,619 million, and earnings per share rose to ISK 0.84 from ISK 0.68 a year earlier.

Balance sheet expands through September

Customer deposits reached ISK 200 billion at September 30, up 16.0 percent from year-end 2025. Customer loans rose 13.2 percent to ISK 235 billion. Total assets stood at ISK 370 billion, while assets under management declined to ISK 442 billion from ISK 469 billion at the end of 2025.

Management said improved funding terms and continued loan-book growth in Iceland and the United Kingdom should support further net interest income growth. The bank also said it expects costs not to rise at the same pace, which could support profitability in coming quarters.

Leadership change remains ahead

Jón Birgir Jónsson is due to become chief executive in early December, following the announced transition from Ármann Þorvaldsson. Kvika also highlighted its first covered-bond issuance and said the transaction enables its Auður brand to offer non-indexed fixed-rate mortgages.

Kvika's specialist banking position

Kvika provides banking, corporate finance, capital-markets, asset-management and lending services through operations in Iceland and the United Kingdom. Its website describes tailored financial services for companies and institutions, alongside savings and mortgage products for individuals through specialist brands. In Iceland, Kvika operates alongside broader banking groups such as Arion Bank, Íslandsbanki and Landsbankinn, giving it a more specialized position than the country's large full-service retail banks.