21.5.2026 10:00:02 EEST | Finnvera Oyj | Interim Management statement
Finnvera Group, Stock Exchange Release 21 May 2026
Interim Management Statement 1 January-31 March 2026
Domestic financing lower than in the comparison period, export financing remained at a high level - Group result EUR 78 million
Finnvera Group, summary 1-3/2026 (vs. 1-3/2025 or 31 Dec 2025)
- The result for the period under review was 78 MEUR (50), 55% higher than in the comparison period. This was driven in particular by 30 MEUR higher net fee and commission income and by reversals of loss provisions totalling 16 MEUR more than in the comparison period. Net fee and commission income increased mainly due to the recognition of guarantee fees received in advance from early repayments of individual export credit guarantee exposures and breakage fees from undrawn export credit facilities. Realised credit losses were 25 MEUR higher than in the comparison period. The Group's net interest income remained at the level of the comparison period.
- Results by business operations: The result of parent company Finnvera plc's SME and midcap business was 0 MEUR (3), that of Large Corporates business 53 MEUR (39), and that of the subsidiary Finnish Export Credit Ltd 25 MEUR (9).
- The cumulative self-sustainability target was achieved.
- Balance sheet total EUR 16.1 bn (15.5), increased by 4%.
- Contingent liabilities EUR 21.3 bn (16.8), increased by 27%.
- Non-restricted equity and the assets of the State Guarantee Fund, i.e. the Group's reserves for covering potential losses, totalled EUR 2.6 bn (2.5), increased by 3%.
- Expected credit losses on the balance sheet EUR 1.0 bn (1.0), change -2%.
- The NPS index measuring customer satisfaction remained at a high level of 81 (78), change +3 points.
- Outlook for 2026 unchanged: The business outlook for cruise shipping companies has continued to improve. However, in accordance with the outlook presented in the Report of the Board of Directors and Financial Statements 2025 published in February, the credit loss risk of export financing exposure remains high, which creates uncertainty regarding the Finnvera Group's financial performance in 2026.
Finnvera Group, Jan-Mar/2026 (vs. Jan-Mar/2025 or 31 Dec 2025) | |
Result 78 MEUR (50), change 55% | Balance sheet total 16.1 EUR bn (15.5), change 4% |
Contingent liabilities 21.3 EUR bn (16.8), change 27% | Non-restricted equity and the assets of The State Guarantee Fund 2.6 EUR bn |
Cost/income ratio 16.7% (22.3), change -5.6 pp. | NPS index 81 (78), change 3 points |
Comments from CEO Juuso Heinilä:
"Global economic growth forecasts have been downgraded, and concerns about rising inflation and interest rates have increased following the outbreak of the war in Iran at the end of February. The duration of the conflict will largely determine the extent of its impact on the Finnish economy and Finnish companies.
In January-March, Finnvera granted domestic loans and guarantees amounting to EUR 0.2 billion (0.3). Of this financing, 87% consisted of guarantees for loans granted by banks and other financing providers, and 13% of direct loans. At the beginning of February, Finnvera relaunched a pilot for granting loans for growth projects of micro-enterprises and now also start-ups. By the end of March, EUR 4 million in loans had been granted to micro-enterprises. During the period under review, climate and digital loans backed by the InvestEU guarantee programme totalled EUR 15 million (23). In line with Finnvera's strategy, 93% of domestic financing was allocated to start-ups, companies seeking growth and internationalisation, and to investments, transfers of ownership, export and delivery projects, and SME guarantee projects.
During the period under review, Finnvera granted export credit guarantees, export guarantees and special guarantees totalling EUR 5.7 billion (2.7). Export financing typically focuses on capital goods exports, and the volume of financing is influenced by the timing of individual large export transactions. The outlook for the cruise shipping sector, which is significant in terms of Finnvera's exposure, has continued to improve, and the share of the cruise shipping industry in the export credit guarantee exposure, taking reinsurance into account, increased to 60%. The amount of export credits granted by Finnish Export Credit Ltd increased to EUR 5.0 billion (2.3).
Finnvera continued to grant export credit guarantees to Ukraine. Finnish exports to Ukraine were also supported through guarantees from the European Investment Fund, and we negotiated new ways to utilise EU financing for exports to Ukraine.
The Finnvera Group's result for January-March was EUR 78 million (50). The results of the Large Corporates business and the subsidiary Finnish Export Credit Ltd were clearly higher than in the comparison period, and the SME and midcap business also reported a slightly positive result. Our financial foundation is strong, and our self-sustainability has been achieved. This provides a strong basis for supporting companies' growth and success in export markets and for strengthening the Finnish economy. Our strategy remains relevant, and as global uncertainty increases, Finnvera's role becomes more important. We continued our active efforts to increase Finnish exports and the number of exporters, as well as to accelerate the growth and commercialisation of domestic investments. The new legislation governing Finnvera, which entered into force at the beginning of 2026, provides a solid foundation and enables more flexible export financing solutions in response to changes in the operating environment. As before, we organised financing workshops to strengthen export financing expertise among SMEs and midcap companies. We strengthened Finnvera's large domestic investments function, and our aim is to finance significantly more large-scale regional and national industrial investments. We increased the maximum amount of financing targeted at companies investing in research and development in the international growth launch and acceleration phases from EUR 150 million to EUR 300 million.
We will continue our close cooperation with Team Finland partners, including Business Finland, the Ministry for Foreign Affairs, Finnish Industry Investment Ltd (Tesi) and the Economic Development Centres, to promote both exports and domestic growth projects. From the beginning of May 2026, we launched financing for large investments and transfers of ownership in the agricultural sector, with the aim of driving growth, improving competitiveness and increasing food exports.
Customer satisfaction is a key indicator of the success of our operations. During the period under review, the NPS index measuring our customers' willingness to recommend our services was at an excellent level of 81.
Geopolitical turbulence and uncertainty in the economic outlook have become recurring features of this decade. Our message to companies is that Finnish businesses can succeed even in a changing operating environment. Finnvera is a stabilising force amid change. We complement the financing market and aim to ensure that viable projects do not stall due to uncertainty."
Finnvera Group, Financing granted and Exposure
Financing granted, | 1-3/2026 | 1-3/2025 | Change, % |
Domestic loans and guarantees | 0.2 | 0.3 | -22% |
Export credit guarantees, export guarantees and special guarantees | 5.7 | 2.7 | 110% |
Export credits | 5.0 | 2.3 | 115% |
The fluctuation in the amount of granted financing is influenced by the timing of individual major financing cases. | |||
Exposure, EUR bn | 31 Mar 2026 | 31 Dec 2025 | Change, % |
Domestic loans and guarantees | 2.1 | 2.1 | -3% |
Export credit guarantees, export guarantees and special guarantees | 26.5 | 23.1 | 15% |
- Drawn exposure | 13.8 | 14.5 | -5% |
- Undrawn exposure | 4.4 | 5.5 | -21% |
- Binding offers | 8.3 | 3.0 | 177% |
Parent company's total exposure | 28.5 | 25.2 | 13% |
Of which the share of cruise shipping sector | 17.0 | 13.2 | 29% |
- Drawn exposure | 7.1 | 7.7 | -7% |
- Undrawn exposure | 2.7 | 3.1 | -12% |
- Binding offers | 7.1 | 2.4 | 198% |
Export credits, contract portfolio and offers in total | 14.8 | 11.2 | 32% |
- Drawn exposure | 5.5 | 6.3 | -12% |
- Undrawn exposure | 1.8 | 2.5 | -25% |
- Binding offers | 7.4 | 2.5 | 202% |
The exposure includes binding credit commitments as well as recovery and guarantee receivables. The credit risk for the subsidiary Finnish Export Credit Ltd's export credits is covered by the parent company Finnvera plc's export credit guarantee. | |||
Financial performance
The Finnvera Group's result for January-March 2026 was strong at EUR 78 million (50). The result for the period under review was 55% higher than in the comparison period, driven in particular by higher net fee and commission income and reversals of loss provisions. Of the business operations, the results of the Large Corporates business and the subsidiary Finnish Export Credit Ltd were clearly higher than in the comparison period, and the SME and midcap business also reported a slightly positive result.
The Group's net interest income remained at the level of the comparison period, totalling EUR 30 million (30). Interest income from loans passed on to customers decreased in both domestic and export financing due to decrease in loan portfolios, while interest income from debt securities increased. Interest expenses on derivatives were lower than in the comparison period, while interest expenses on debt securities in issue increased. Net fee and commission income was 80% higher, totalling EUR 68 million (38). The increase was driven in particular by the recognition of guarantee fees received in advance from early repayments of individual export credit guarantee exposures and breakage fees from undrawn export credit facilities. The Group's gains and losses from financial instruments carried at fair value through profit or loss and foreign exchange gains and losses totalled EUR 1 million (5) during the period under review.
The Group's realised credit losses and change in expected credit losses totalled EUR 5 million (4) during the period under review. Realised credit losses were EUR 41 million (16). Realised credit losses in domestic financing increased from the comparison period to EUR 36 million (19), mainly due to the realisation of individual larger losses and a change in accounting practices. In export credit guarantee and special guarantee operations, realised credit losses amounted to EUR 5 million, mainly due to an individual compensation payment. The State's credit loss compensation covering losses in domestic financing totalled EUR 18 million (10). Expected losses, or loss provisions, decreased by EUR 19 million (2) during the period under review. Loss provisions for domestic financing decreased by a total of EUR 10 million, mainly due to a reduction in loss provisions for guarantee receivables. Loss provisions for export credit guarantee and special guarantee operations decreased by a total of EUR 8 million.
The Group's operational expenses, other operating expenses and depreciation and amortisation totalled EUR 17 million (16) during the period under review. Personnel expenses accounted for EUR 9 million (9) of operational expenses.
After the result for the period under review, the parent company's reserves for domestic operations and for export credit guarantee and special guarantee operations, used to cover potential future losses, totalled EUR 2,266 million (2,211) at the end of March. These reserves also cover the credit risk of export credits granted by the subsidiary and consisted of the following: the reserve for domestic operations, EUR 482 million (481), and the reserve for export credit guarantee and special guarantee operations together with the assets of the State Guarantee Fund covering potential losses, totalling EUR 1,784 million (1,730). The State Guarantee Fund is an off-budget fund whose assets include funds accumulated from the export credit guarantee and special guarantee operations of Finnvera's predecessor organisations. The Fund covers losses from export credit guarantee and special guarantee operations and export credit financing if the companies' non-restricted equity is not sufficient. The non-restricted equity of the subsidiary Finnish Export Credit Ltd amounted to EUR 289 million (264) at the end of March.
The Finnvera Group's non-restricted equity and the assets of the State Guarantee Fund totalled EUR 2,557 million (2,477) at the end of March.
Non-performing exposure in domestic financing stood at EUR 157 million (185) at the end of March, and EUR 72 million (68) in export financing. During the period under review, non-performing exposure in domestic financing decreased by 15%, while in export financing it increased by 6%. Non-performing exposure in domestic financing accounted for 7.1% (8.2) of total exposure at the end of March, and 0.3% (0.3) in export financing.
The Tier 1 capital adequacy ratio was 36.2% (35.3) for domestic financing and 6.7% (7.7) for export financing at the end of March, taking into account the company's reserve for export credit guarantee and special guarantee operations and the assets of the State Guarantee Fund. The capital adequacy calculation method used in banking is not a suitable option for export financing, considering Finnvera's special industrial policy role as a promoter of exports and the fact that the State is liable for any losses from export financing if the reserve on the company's balance sheet and the assets of the State Guarantee Fund are not sufficient to cover such losses.
Finnvera Group | 1-3/2026 | 1-3/2025 | Change | Change | 2025 |
Net interest income | 30 | 30 | 0 | 0% | 121 |
Net fee and commission income | 68 | 38 | 30 | 80% | 167 |
Gains and losses from financial instruments carried at fair value through P&L and foreign exchange gains and losses | 1 | 5 | -4 | -83% | 1 |
Net income from investments and other operating income | 0 | 0 | 0 | -60% | 1 |
Operational expenses | -15 | -15 | 0 | 2% | -56 |
Depreciation and amortisation | -1 | -1 | 0 | -9% | -5 |
Other operating expenses | 0 | 0 | 0 | 66% | -350 |
Realised credit losses and change in expected credit losses, net | -5 | -4 | 0 | 10% | 149 |
Operating result | 78 | 53 | 26 | 49% | 26 |
Income tax | 0 | -2 | 2 | -100% | -10 |
Result | 78 | 50 | 28 | 55% | 16 |
Legislative reform
The new Act on State-Owned Specialised Financing Activities and their Arrangement (1458/2025), or the Finnvera Act, entered into force on 1 January 2026. This new framework act repealed ten previous acts regulating Finnvera's operations and will enable a flexible response to changes in Finnvera's operating environment. As a result, financing operations can be developed rapidly to meet companies' financing needs. Finnvera's products, services and its ability to accelerate the growth of SMEs, midcap enterprises and export companies will be maintained and strengthened further.
Under the new Act, the maximum amount of Finnvera's domestic financing loans, guarantees and other exposure may not exceed EUR 10 billion, and the maximum amount of export financing exposure is EUR 40 billion. Under the legislation in force until the end of 2025, the maximum amount of domestic financing loans and guarantees was EUR 12 billion, and the maximum amount of export financing exposure was EUR 41.2 billion.
The parent company Finnvera plc has already been exempt from income tax, whereas the subsidiary Finnish Export Credit Ltd was subject to income tax until 2025. From the beginning of 2026, Finnish Export Credit Ltd is also exempt from income tax following an amendment to the Income Tax Act (1535/1992).
Risk position
The credit risk position of domestic financing has remained in line with the company's targets, although economic development in Finland was subdued at the beginning of the year. Total exposure decreased slightly in the first quarter of 2026. However, the level of clients' payment delays, non-performing exposure and loan forbearance remained higher than usual.
Total exposure in export financing continued to grow in the first quarter of 2026. The increase was mainly concentrated in the cruise shipping and shipyard sector. Despite the growth in exposure, the credit risk position of export financing is expected to continue its gradual improvement. This is supported by the strengthening of the operating environment following the recovery from the pandemic and by the improved financial position of clients.
Market risks in treasury operations remained within the set limits in the first quarter. Investments managed by treasury increased from the turn of the year, driven in part by short-term funding. The balance sheet fair value risk increased during the quarter, mainly due to the continuation of the equity hedging programme, but remained within the set limits. The effects of market volatility caused by the geopolitical situation on the risk position of treasury operations have so far been limited.
The liquidity position strengthened in the first quarter and remained strong. During the rest of the year, drawdowns of export credits may reduce liquidity from its current strong level. The development of the liquidity position will also be affected by upcoming long-term funding.
Events after the period under review
Finnvera's Annual General Meeting: New members to Finnvera's Board of Directors and Supervisory Board
On 7 May 2026, Finnvera's Annual General Meeting elected Pirkko Östring, M.Sc. (Econ.), as a new member of the Board of Directors. Jan Vapaavuori, LL.M., will continue as the Chair of the Board of Directors. Director Päivi Puonti (Federation of Finnish Enterprises) was elected to Finnvera's Supervisory Board as a new member. Sofia Vikman, Member of Parliament, will continue as Chair of the Supervisory Board. The term of the Board of Directors and the Supervisory Board will continue until the end of the 2027 ordinary Annual General Meeting.
Ernst & Young Oy was elected as Finnvera's regular auditor, with Miikka Hietala, partner, Authorised Public Accountant, as the principal auditor.
Outlook for 2026 unchanged
The business outlook for cruise shipping companies has continued to improve. However, in accordance with the outlook presented in the Report of the Board of Directors and Financial Statements 2025 published in February, the credit loss risk of export financing exposure remains high, which creates uncertainty regarding the Finnvera Group's financial performance in 2026.
Further information:
Juuso Heinilä, CEO, tel. +358 29 460 2576
Ulla Hagman, CFO, tel. +358 29 460 2458
The Interim Management Statement Q1/2026 is available in Finnish and English as a PDF on the company's website at: www.finnvera.fi/financial_reports.
The Interim Management Statement has not been audited.
Distribution:
NASDAQ Helsinki Ltd, London Stock Exchange, the principal media, www.finnvera.fi
About Finnvera Oyj
Finnvera provides financing for the start, growth and internationalisation of enterprises and guarantees against risks arising from exports. Finnvera strengthens the operating potential and competitiveness of Finnish enterprises by offering loans, guarantees and other services associated with the financing of exports. The risks included in financing are shared between Finnvera and other providers of financing. Finnvera is a specialised financing company owned by the State of Finland and it is the official Export Credit Agency (ECA) of Finland. www.finnvera.fi/eng
