{"url":"https://newsforagent.com/news/2026-10-28/arion-bank-q3-2026-earnings-levy","markdown_url":"https://newsforagent.com/news/2026-10-28/arion-bank-q3-2026-earnings-levy.md","title":"Arion Bank Posts ISK 8.7bn Q3 Profit as Levy Rises","headline":"Arion Bank Reports ISK 8.7bn Q3 2026 Net Earnings and Flags ISK 1.7bn Bank Levy Cost","description":"Arion Bank earned ISK 8.7bn in Q3 2026 with a 16.3% return on equity, and warned a proposed bank levy increase would add about ISK 1.7bn in costs.","section":"Earnings & Results","published_at":"2026-10-28T16:55:40+00:00","modified_at":"2026-10-28T16:55:40+00:00","author":"News Desk","key_takeaways":["Arion Bank reported Q3 2026 net earnings of ISK 8.7bn, up from ISK 8.2bn a year earlier, with return on equity of 16.3%.","Deposits from customers rose by ISK 33bn in the quarter while loans to customers fell by ISK 3bn.","A proposed bank levy increase from 0.145% to 0.254% would add approximately ISK 1.7bn in expenses in Q4 2026 if enacted."],"companies":[{"name":"Arion Bank","is_primary":true,"profile_url":"https://akta.pro/company-profiles/0003xxf/arion-bank","website":"https://www.arionbanki.is"},{"name":"Vörður tryggingar","is_primary":false,"profile_url":"https://akta.pro/company-profiles/0024as5/vor-ur-tryggingar","website":"https://vordur.is"},{"name":"Stefnir","is_primary":false,"profile_url":"https://akta.pro/company-profiles/000l6xf/stefnir","website":"https://www.stefnir.is"}],"source":{"publisher":"TradingView","title":"Arion Bank: Q3 2026 results","url":"https://www.tradingview.com/news/modular_finance:ea6cdd044d480:0-arion-bank-q3-2026-results/"},"other_sources":[],"tags":["Earnings & Results","Arion Bank","Vörður tryggingar","Stefnir"],"body_markdown":"Arion Bank reported net earnings of ISK 8.7bn for the third quarter of 2026, up from ISK 8.2bn a year earlier, with return on equity of 16.3%. The Icelandic lender announced the results on October 28, 2026, according to [TradingView](https://www.tradingview.com/news/modular_finance:ea6cdd044d480:0-arion-bank-q3-2026-results/). [Arion Bank](https://akta.pro/company-profiles/0003xxf/arion-bank) is one of three systemically important universal banks in Iceland, serving retail, SME and corporate customers.\n\n## Arion Bank's Third-Quarter Earnings Detail\n\nEarnings per share were ISK 6.42, compared with ISK 5.95 in the third quarter of 2025. The net interest margin rose to 3.5% from 3.3%, and net commission income was ISK 3.8bn, down from ISK 4.0bn. Core income increased by 10.6% year on year.\n\nOperating expenses rose by 13.0%, equivalent to ISK 809m, including one-off items of approximately ISK 480m. The cost-to-income ratio was 34.3%, compared with 32.6% a year earlier. The bank's capital ratio was 22.4% and its CET1 ratio 18.5% at the end of September.\n\nVördur, the group's insurance arm, contributed a standalone profit of ISK 0.4bn, compared with ISK 0.7bn a year earlier, on a combined ratio of 85.7%, according to akta.pro [company records](https://akta.pro/company-data). For the first nine months of 2026, net earnings were ISK 24.1bn, compared with ISK 24.4bn in the same period of 2025, and return on equity was 15.1%.\n\nCEO Benedikt Gíslason said: \"Arion Bank's financial results in the third quarter were good and in line with our targets.\" He said deposits continue to grow strongly while lending growth has slowed, reflecting persistently high interest rates.\n\n## Arion Bank's Proposed Bank Levy Increase\n\nThe bank said a proposed bank levy increase from 0.145% to 0.254% would, if enacted, add approximately ISK 1.7bn in expenses in the fourth quarter of 2026. Gíslason said the government is planning to increase the bank levy by more than 75%, and that the levy is charged on the liabilities of financial institutions, mostly customer deposits.\n\n\"We estimate that the proposed tax increase will amount to approximately ISK 1.7 billion a year for Arion Bank,\" he said, adding that under the government's plans the increase would be retroactive to the current year.\n\n## Arion Bank's Settlement With the Financial Supervisory Authority\n\nOn October 27, 2026, Arion Bank reached a settlement with Iceland's Financial Supervisory Authority after a review of its compliance with market abuse and financial instruments laws, TradingView reported. The bank's third-quarter report also cited an increased levy and cooling Icelandic demand as key uncertainties.\n\n## Arion Bank's October 29 Investor Webcast\n\nArion Bank will hold an investor meeting at its headquarters in Borgartún 19, Reykjavík, on October 29 at 9:30 CET (8:30 GMT). Gíslason and CFO Ólafur Hrafn Höskuldsson will present the results, and Chief Economist Erna Björg Sverrisdóttir will give an update on the economic environment. The meeting will be streamed live.\n","publisher":{"name":"News for Agent","url":"https://newsforagent.com"}}