An SLA is a financial institution often owned and overseen by its own customers or shareholders and which can often provide mortgages and other loans to customers who might otherwise be unable to obtain them.

SLA profits

SLAs profits for Q2 2023 stood at €202,000, the Bank of Estonia says.

The profit in the previous quarter was reported at €209,000, while in the second quarter for 2022, it was reported at €309,000.

Net profit from interest stood at €1.6 million in Q2 2023, compared with €975,000 in the same quarter a year earlier.

Number of members

SLAs had 13,779 members at the end of the quarter, 189 more than in the first quarter of this year, but 954 (7 percent) fewer than in the second quarter of 2022.

The comparison over the year was affected most by one SLA wrapping up its activities in the third quarter of last year.

Assets and liabilities

The aggregate balance sheet of SLAs stood at €135 million at the end of Q2 2023. This was 0.5 percent, or €0.7 million, more than in the previous quarter, but 12 percent, or €19 million less than a year earlier

The claims on clients totaled €114 million at the end of the second quarter, up €1.4 million over the quarter but down by €15 million over the year

Debts to clients totaled €103 million at the end of the second quarter. This was €1.4 million more than in the previous quarter, but €17 million less than a year earlier

Doubtful receivables totaled €1.3 million at the end of the second quarter, or 1.1 percent of the loan portfolio of SLAs. This was half a million euros more than in the first quarter of this year, while doubtful receivables rose by €377,000 over the year.

The stock of deposits from private individuals and non-financial companies stood at €101 million at the end of the second quarter.

Of this, 90 percent, or €91 million, was made up of deposits of private individuals.

Private deposits in SLAs decreased by €18 million over the year

Term deposits were 98 percent of private deposits, which is the same level as in the previous quarter and a year earlier

Term deposits were a smaller share of corporate deposits than in the previous quarter at 91 percent.

This was also less than a year earlier, as the share of term deposits for companies was 92 percent in Q2 2022.

Loans to private individuals were €22 million, or 22 eprcent of loans to individuals and companies.

The amount lent to private individuals was €0.2 million higher than in the previous quarter.

The volume lent to companies rose by €1.3 million euros over the quarter, to €80 million in Q2 2023.

The original Bank of Estonia report is here, while other more detailed information is here.

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