olivLaw · European equity research
Kvika banki hf. KVIKA.IC
Iceland · Nasdaq Iceland · ISIN IS0000020469 · Vertical: Listed companies from Iceland
Kvika banki hf. is an Icelandic bank offering universal banking services to retail and corporate clients, with activity also in investments and leasing. In 2024 the bank reported a profit for the year of 8149.97 mn ISK, with net interest income of 9680.8 mn ISK, which shows its earning power in the Icelandic financial market.
At the close of 05 Nov 2026, Kvika banki hf. (KVIKA.IC) stock was 13.40 ISK (−0.74% on the day), with market capitalisation 63.1 bn ISK, P/E 7.7 on diluted EPS of 1.73 ISK over the last 12 months, dividend yield 0.00%, beta 0.33, 52-week range 11.75–19.60 ISK.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 62.9
- strong (55–70)
- Bollinger (20, 2)
- 12.07 – 14.00
- in the upper half of the band · %B 0.69 · band width 14.8%
- SMA 50 / 200
- 12.75 / 15.26
- mixed trend
- MACD (12, 26, 9)
- 0.25 / 0.22
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | +9.4% | +0.4% | +9.0 pp | — |
| 3 months | −1.8% | −3.3% | +1.4 pp | — |
| 6 months | −12.1% | +4.0% | −16.1 pp | — |
| Year to date | −27.2% | +8.1% | −35.3 pp | — |
| 1 year | −18.5% | +10.7% | −29.2 pp | −7.8% |
| 3 years | −2.2% | +50.1% | −52.3 pp | +13.1% |
| 5 years | −50.7% | +43.6% | −94.3 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 0 percentile of its own 3-quarter history (min 11.8, median 18.6, max 20.7; quarters with earnings only).
Fiscal years
| Fiscal year | 2022 | 2023 | 2024 |
|---|---|---|---|
| Revenue | unavailable | unavailable | unavailable |
| Revenue YoY | unavailable | unavailable | unavailable |
| Net income | 4.9 bn | 4.0 bn | 8.1 bn |
| Net income YoY | unavailable | −17.7% | +102.6% |
| Diluted EPS | 1.02 | 0.84 | 1.73 |
| Diluted EPS YoY | unavailable | −17.6% | +106.0% |
| net % | unavailable | unavailable | unavailable |
| Free cash flow | unavailable | -16.2 bn | 18.0 bn |
Balance sheet & financial health
Fiscal year 2024 · 31 Dec 2024
- Cash
- unavailable ISK
- Financial debt
- unavailable ISK
- Net debt
- unavailable ISK
- Equity
- 89.5 bn ISK
- Total assets
- 354.6 bn ISK
- Debt / equity
- unavailable
- Current ratio
- unavailable
- ROE
- 9.5%
- ROA
- 2.4%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (ISK)
Income statement · ISK
| Line | 2022 | 2023 | 2024 | Source (latest year) |
|---|---|---|---|---|
| Pre-tax income | 4.8 bn | 3.0 bn | 5.8 bn | esef· 25 Feb 2025verified |
| Income tax | -45.3 m | 389.7 m | 766.5 m | esef· 25 Feb 2025verified |
| Net income | 4.9 bn | 4.0 bn | 8.1 bn | esef· 25 Feb 2025verified |
| Diluted EPS | 1.02 | 0.84 | 1.73 | esef· 25 Feb 2025verified |
| Dividend per share | 0.00 | 0.40 | 0.00 | esef· 25 Feb 2025derived |
Balance sheet · ISK
| Line | 2022 | 2023 | 2024 | Source (latest year) |
|---|---|---|---|---|
| Property, plant & equipment, net | 480.7 m | 618.4 m | 543.4 m | esef· 25 Feb 2025verified |
| Total assets | 299.7 bn | 335.4 bn | 354.6 bn | esef· 25 Feb 2025verified |
| Total liabilities | 218.6 bn | 253.4 bn | 265.1 bn | esef· 25 Feb 2025verified |
| Equity | 81.1 bn | 82.0 bn | 89.5 bn | esef· 25 Feb 2025verified |
| Shares outstanding at year end | 4.8 bn | 4.8 bn | 4.7 bn | esef· 25 Feb 2025derived |
Cash flow · ISK
| Line | 2022 | 2023 | 2024 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | -1.9 bn | -15.8 bn | 18.0 bn | esef· 25 Feb 2025verified |
| Capex | — | 342.7 m | 91.0 m | esef· 25 Feb 2025verified |
| Free cash flow | — | -16.2 bn ≈ | 18.0 bn ≈ | esef· 25 Feb 2025derived |
| Investing cash flow | -1.8 bn | -1.9 bn | 558.2 m | esef· 25 Feb 2025verified |
| Financing cash flow | 1.8 bn | 5.3 bn | -12.3 bn | esef· 25 Feb 2025verified |
| Dividends paid | 0 | 1.9 bn | 0 | esef· 25 Feb 2025verified |
| Share repurchases | 3.0 bn | 1.0 bn | 1.0 bn | esef· 25 Feb 2025verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 5 of at least 6
- score weight coverage: 35.4% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 63.1 bn ISK
Key indicators
Coverage and freshness
The data is older than the freshness threshold.
Score by group
35% · Insufficient data
Estimated value range
unavailable — no valuation assumptions for the reporting currency
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
Assumptions (illustrative, editorial)
- Risk-free rate
- 6.5%
- Equity risk premium
- 6.0%
- Beta (default)
- 1.00
- Cost of equity
- 12.5%
- Terminal growth
- 3.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 5 of at least 6; score weight coverage: 35.4% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | unavailable | unavailable | — |
| FCF conversion · Quality | 220.4% | 100 (on a fixed band) | 18% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | unavailable | unavailable | — |
| P/E (TTM) · Valuation | 7.7x | 83 (vs peers) | 29% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 28.5% | 100 (on a fixed band) | 24% |
| Shareholder yield (distributions) · Returns | 1.6% | 23 (on a fixed band) | 18% |
| Payout ratio (FCF) · Returns | 0.0% | 100 (on a fixed band) | 12% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partialunavailable · 0/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality· partial100/100 · 1/3 factors with a value
- Returns54/100 · 2/2 factors with a value
- Valuation91/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Kvika banki hf. (KVIKA.IC). Latest full fiscal year: 2024; data up to 2024-12-31.
Figures computed from the financial statements: ROE 9.5%.
The estimated value range is 29.94–35.53 ISK per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 30.08 ISK, the price of 13.40 ISK leaves a potential of 124.4% (value / price − 1) and a margin of safety of 55.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 5 of at least 6; score weight coverage: 35.4% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 220.4%
- P/E (TTM): 7.7x
- FCF yield: 28.5%
- Payout ratio (FCF): 0.0%
- The price is below the estimated value range
What contradicts it
- Shareholder yield (distributions): 1.6%
Not assessed (insufficient data or a ratio without meaning): ROIC, Net margin, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, Current ratio, EV/EBITDA.
Versus the vertical median
Listed companies from Iceland · same country · compared with 11 companies
Multiples and returns vs the median
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| HAGA.ICHagar hf. | 133.6 bn | 20.5 | 18.2% | 3.8% | +9.3% | +8% / +83% |
| FESTI.ICFesti hf. | 90.9 bn | 22.8 | 10.1% | 2.6% | +13.4% | −8% / +67% |
| HEIMAR.ICHeimar hf. | 61.3 bn | 7.5 | 13.5% | 55.5% | +7.7% | −6% / +49% |
| BERA.ICÖlgerðin Egill Skallagríms hf. | 37.1 bn | 17.3 | 13.7% | 5.9% | +7.7% | −24% / +0% |
| NOVA.ICNova Klúbburinn hf | 12.0 bn | 14.8 | 8.5% | 6.1% | +2.8% | −26% / −16% |
| ALVO.ICAlvotech | — | — | — | 9.0% | +43.4% | −14% / −58% |
| ASAR.ICSíminn hf. | — | 17.4 | — | — | +3.0% | −19% / +27% |
| BRIM.ICBrim hf. | — | — | 11.9% | 14.6% | +5.2% | +19% / +13% |
| EIK.ICEik Fasteignafélag Hf. | — | — | 10.2% | 43.6% | +9.5% | +1% / +23% |
| EIM.ICEimskipafélag Íslands hf. | — | — | 3.2% | 1.2% | −4.7% | +6% / −35% |
| HAMP.ICHampiðjan hf | — | — | 1.7% | 1.2% | +15.7% | −26% / −37% |
1- and 3-year price returns: for KVIKA.IC from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Scenarios are not available. input data missing
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Kvika banki hf. is an Icelandic bank offering universal banking services to retail and corporate clients, with activity also in investments and leasing. In 2024 the bank reported a profit for the year of 8149.97 mn ISK, with net interest income of 9680.8 mn ISK, which shows its earning power in the Icelandic financial market 1.
SWOT
Strengths
- The bank has a solid capital base and deposit funding, giving it stability in financing.
- Revenue diversification across interest, fees and other operations reduces reliance on a single source.
- Presence across segments from retail to corporate supports medium-term growth.
Weaknesses
- Administrative costs are high relative to revenue, which can limit efficiency.
- The domestic market is small, which restricts organic growth opportunities.
- Other operating income is volatile and depends on market conditions.
Opportunities
- Digitalisation of services could reduce costs and attract new clients.
- Growth in lending to small and medium enterprises could expand the interest income base.
- Expanding investment and leasing services may bring fee income.
Threats
- A deterioration of the Icelandic economy could raise credit losses.
- Competition from large banks and fintech firms may pressure margins and fees.
- Regulatory changes or special taxes on financial institutions may reduce profitability.
Risks
- Credit riskhigh
If the economy cools, clients could struggle to repay loans, increasing impairment losses.
- Interest rate riskmedium
Sudden changes in rates may affect both lending income and funding costs, with effects on net margin.
- Regulatory riskmedium
Special taxes and stricter capital requirements could reduce the bank's returns.
- Operational and technology riskmedium
Cybersecurity problems or outages of digital platforms could affect client trust.
- Concentration risklow
Dependence on the Icelandic market makes the bank vulnerable to local economic shocks.
Investment thesis
What would need to be true (bull case)
- If interest and fee income keep growing, the bank's profitability could remain solid.
- The deposit base and equity provide a cushion against funding shocks.
- Development of digital services could lower costs and expand the client base.
What would break the thesis
- If the Icelandic economy slows, credit losses could significantly reduce profit.
- High administrative costs may limit margins, especially if revenue does not grow at the same pace.
- Competitive pressure and special taxes could reduce returns over the medium term.
What to watch
- Trend in loan quality and impairment provisions2025
- Level of administrative costs relative to net revenue2025
- Impact of special taxes on profit2025
- Evolution of deposits and cost of fundingnext annual report
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
The consolidated balance sheet at 31 December 2024 shows total assets of 354594.4 mn ISK and total equity of 89517.3 mn ISK 1. Funding relies largely on deposits, complemented by issued bonds and subordinated liabilities, as described in the notes to the report 1.
The external auditor issued an unqualified opinion on ESEF compliance for the 2024 statements, and the annual report also covers shareholder structure and governance policies 1. This context helps assess the reliability of the financial data presented.
Segments
Interest income and lending
Net interest income, at 9680.8 mn ISK in 2024 1, is the main revenue source of the bank. Loans to customers are on an expanding path, which supports this component.
Fees and services
Net fee and commission income, at 6136.5 mn ISK in 2024 1, comes from payments, administration and client services. This component provides steadier income than interest.
Other income and investments
Other operating income, including gains on financial assets and participations, contributed to net operating income 1. This segment is more volatile and depends on market conditions.
Market context
The market depends on interest rate levels, Icelandic economic activity and external funding conditions. A higher-rate environment can support interest income but may also raise credit risk for borrowers.
Trends
- Growth in interest incometailwind
Interest income rose in 2024 compared with 2023 1, suggesting balance sheet expansion. If this trend continues, it could support the bank's profitability.
- High operating costsheadwind
Administrative expenses are high relative to revenue, and cost pressure can limit profit margins if revenue does not grow in parallel 1.
- Rates and the economic cyclemixed
Interest rate levels affect both lending income and deposit costs. The net effect can be favourable in a stable environment but may turn negative if credit quality deteriorates.
- Digitalisation of banking servicesmixed
Growth in digital services could lower distribution costs and widen the customer base, but it requires continued technology investment.
Competitive position
Kvika banki competes with other large Icelandic banks and with non-bank institutions offering credit and payment services. In a market with a limited number of players, market shares can shift with pricing, digital services and funding arrangements.
The bank's competitive edge depends on its ability to keep costs efficient and retain corporate and retail clients. Pressure from fintech firms may grow if new entrants offer lower fees.
- Íslandsbanki hf.
Large Icelandic bank competing directly in lending and deposits in the domestic market.
- Arion banki hf.
Icelandic bank with retail and corporate activities present in the same market segments.
- Landsbankinn hf.
Largest Icelandic bank by balance sheet size, with a significant share of deposits.
- Local non-bank fintech firms
Non-bank companies offering digital payments and credit that may attract retail clients.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202425 Feb 2025
- Annual report 202320 Feb 2024
Sources
- [1] Annual report, fiscal year ended 2024-12-31 (ESEF) · SEC / Kvika banki hf. · 31 Dec 2024
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.