Consolidated financial statements

All figures in NOK million unless otherwise stated

Year ended 31 December	Notes	2020	2019
Interest income from purchased loan portfolios	4	2 765	2 713
Net credit gain/(loss) purchased loan portfolios	4	-230	-400
Profit from shares in associated parties/joint ventures and participation loans/notes	17	45	64
Interest income from loan receivables	7	217	294
Net credit gain/(loss) from loan receivables	7	-79	-178
Income from sale of collateral assets	20	72
Other revenues	7	385	381
Total revenues	6	3 174	2 874
External expenses of services provided	8	-454	-447
Personnel expenses	9	-893	-888
Other operating expenses	10	-411	-446
Cost of collateral assets sold, including impairment	20	-78
Depreciation and amortisation	15	-108	-107
Impairment losses	14,15	-6	-27
Operating profit/(loss)		1 224	959
Financial income		56	13
Financial expenses		-805	-794
Net exchange gain/(loss)		-64	-12
Net financial items	11	-814	-794
Profit/(loss) before tax		411	165
Income tax expense	12	-102	-58
Profit/(loss) after tax		309	107
Profit/(loss) attributable to: Parent company shareholders		309	107
Non-controlling interests		0	0
Earnings per share (in NOK): Basic	13	0.75	0.26
Diluted	13	0.75	0.26

All figures in NOK million unless otherwise stated

Year ended 31 December	Notes	2020	2019
Profit/(loss) after tax		309	107
Other comprehensive income
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of foreign operations		129	-23
Hedging of currency risk in foreign operations	4	52	-37
Tax attributable to items that may be reclassified to profit or loss		-11	9
Other comprehensive income		170	-51
Total comprehensive income		479	56
Total comprehensive income attributable to:
Parent company shareholders		479	56
Non-controlling interests		0	0

All figures in NOK million unless otherwise stated

As at 31 December	Notes	2020	2019
Deferred tax asset	12	323	189
Goodwill	14	824	778
Tangible and intangible assets	15,16	330	363
Investments in associated companies and joint ventures	17	349	387
Purchased loan portfolios	4	13 033	13 420
Loan receivables	18	235	345
Participation loans/notes	17	522	542
Other non-current financial assets	18	3	5
Total non-current assets		15 620	16 027
Other short-term assets	19	253	240
Collateral assets	20	873	319
Cash and short-term deposits	21	423	356
Total current assets		1 549	914
Total assets		17 169	16 942
Share capital	22	41	41
Other paid in capital	22	2 843	2 843
Other capital reserves	23	39	24
Foreign currency translation reserve		433	263
Other equity, including net profit for the year		1 362	1 065
Equity attributable to parent company's shareholders		4 718	4 236
Equity attributable to non-controlling interests		1	1
Total equity		4 179	4 237
Deferred tax liabilities	12	295	171
Long-term interest bearing loans and borrowings	24	10 116	10 141
Other non-current liabilities	16,25	131	160
Total non-current liabilities		10 542	10 472
Short-term interest bearing loans and borrowings	24	1 153	1 498
Bank overdraft	24	222	97
Accounts and other payables	26	154	265
Income taxes payable	12	39	29
Other current liabilities	16,27	339	345
Total current liabilities		1 908	2 233
Total equity & liabilities		17 169	16 942

Oslo, 21 April 2021

/sign/ Harald L. Thorstein Chair of the Board	/sign/ Adele Bugge Norman Pran Board Member	/sign/ Niklas Wiberg Board Member	/sign/ Trygve Lauvdal Board Member
/sign/ Kari Skeidsvoll Moe Board Member	/sign/ Grethe Wittenberg Meier Board Member	/sign/ Trond Kristian Andreassen Board Member	/sign/ Erik J. Johnsen Chief Executive Officer

All figures in NOK million unless otherwise stated

		Attributable to parent company's shareholders
	Notes	Share capital	Other paid-in capital	Other capital reserves	Foreign currency translation reserve	Other equity	Total	Non-controlling interests	Total equity
At 1 January 2019		41	2 836	20	314	1 143	4 355	1	4 355
Profit for the year after tax						107	107	0	107
Other comprehensive income					-51		-51	0	-51
Total comprehensive income					-51	107	56	0	56
Issue of share capital	22	0	7				8		8
Share based payments	23			3			3		3
Dividend paid to parent company's shareholders	22					-184	-184		-184
Dividends to non-controlling interests							0	0	0
Acquisition of non-controlling interests	5				0	-1	-1	0	-1
Capital contribution from non-controlling interests							0	0	0
At 31 December 2019		41	2 843	24	263	1 065	4 236	1	4 237
Profit for the year after tax						309	309	0	309
Other comprehensive income					170		170		170
Total comprehensive income					170	309	479	0	479
Issue of share capital	22						0		0
Share based payments	23			4			4		4
Other restricted capital				11		-11	0		0
Dividend paid to parent company's shareholders	22						0		0
Dividends to non-controlling interests							0	0	0
Sale of non-controlling interests					0		0		0
At 31 December 2020		41	2 843	39	433	1 362	4 718	1	4 719

All figures in NOK million unless otherwise stated

Year ended 31 December	Notes	2020	2019
Cash flow from operating activities
Profit before tax		411	165
Adjustment for non-cash items:
Interest income from purchased loan portfolios		-2 765	-2 713
Net credit (gain)/loss purchased loan portfolios	4	230	400
Depreciation, amortisation and impairment losses	15	117	134
Interest expenses	11	796	802
Unrealised foreign exchange differences		-209	-15
Share based payment expense	23	4	3
(Profit)/loss on sale of tangible and intangible assets		0	0
Operating cashflows:
Gross collection from purchased loan portfolios	4	5 278	5 202
Income tax paid during the year		-112	-194
Operating capital adjustments:
Decrease/(increase) in current assets		-568	-239
Decrease/(increase) in other non-current financial assets		173	85
Increase/(decrease) in current liabilities		-79	-101
Increase/(decrease) in non-current liabilities		2	94
Other items		-30	-13
Net cash flow from operating activities		3 248	3 609
Cash flow from investing activities
Net payment for purchased loan portfolios	4	-1 756	-3 117
Investment in subsidiary companies and joint ventures	5	64	-371
Payment of contingent consideration	5	-22	-88
Purchase of tangible and intangible assets	15	-45	-52
Proceeds from the sale of tangible and intangible assets			4
Net cash flow from investing activities		-1 760	-3 624
Cash flow from financing activities
Proceeds from the issue of new shares	22		8
Proceeds from new external loans during the year	24	15 577	16 858
Repayment of external loans during the year	24	-16 346	-15 972
Repayment of principal amount on lease liabilities	16	-39	-34
Interest paid		-736	-737
Dividend paid to parent company's shareholders	22		-184
Dividends paid to non-controlling interest		0	0
Net cash flow from financing activities		-1 544	-63
Net cash flow during the year		-56	-77
Cash and cash equivalents at 1 January		259	339
Exchange rate difference on cash and cash equivalents		-2	-2
Cash and cash equivalents at 31 December		201	259
Cash and cash equivalents comprised of:
Cash and short-term deposits	21	423	356
Bank overdraft	24	-222	-97
		201	259

Please download Notes to the consolidated financial statements (PDF).