Interest income calculated using the effective interest method

 

2020

2019

 

 

 

Loans

202,201

196,632

Banks

2,442

1,864

Interest-bearing securities

12,043

13,182

Other investments

91

85

Negative interest expense other

3,964

1,612

 

 

 

Total interest income calculated using the effective interest method

220,741

213,375

The interest income includes revenues derived from loans and related transactions, as well as related commissions, which by their nature are similar to interest payments. The interest-bearing securities item does not include transaction results (2019: nil).

Interest expense

 

2020

2019

 

 

 

Deposits from customers

-10,506

-16,743

Subordinated liabilities

-9

-

Deposits from banks

-782

-587

Negative interest income banks

-7,599

-7,770

Other

-2,719

-2,787

Negative interest income other

-973

-485

 

 

 

Total interest expense

-22,588

-28,372

 

 

 

Net interest income

198,153

185,003

Investment income

 

2020

2019

 

 

 

Dividend from investment securities

449

679

 

 

 

Investment income

449

679

Net fee and commission income

Disaggregation of fee and commission income

In the following table, fee and commission income from contracts with customers in the scope of IFRS 15 is disaggregated by major type of services. The table also includes a reconciliation of the disaggregated fee and commission income with the Group’s reportable segments.

The fees and commission presented in this note include income of 13.6 million (2019: 14.7 million) relating to financial assets and financial liabilities not measured at FVTPL. These figures exclude amounts incorporated in determining the effective interest rate on such financial assets and financial liabilities.

Asset management fees include fees earned by Triodos Bank on trust and fiduciary activities in which the Triodos Bank holds or invests assets on behalf of its customers.

Triodos Bank doesn't have any contract assets or liabilities outstanding on balance sheet date.

For the year ended 31 December

Reportable segments

 

 

 

Bank Netherlands

Bank Belgium

Bank United Kingdom

Bank Spain

Bank Germany

Total banking activities

Investment Management

Other

Total

 

2020

2019

2020

2019

2020

2019

2020

2019

2020

2019

2020

2019

2020

2019

2020

2019

2020

2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Transaction fee securities

2,159

1,936

-

-

-

-

51

75

-

-

2,210

2,011

-

-

-

-

2,210

2,011

Payment transactions

26,789

20,833

90

77

153

194

3,201

4,145

1,681

1,123

31,914

26,372

-

-

-

-

31,914

26,372

Lending

4,132

4,021

3,750

4,013

1,552

1,915

2,676

4,030

917

66

13,027

14,045

-

-

-

-

13,027

14,045

Asset Management

4,663

4,736

2,061

2,158

-

-

-

-

-

-

6,724

6,894

-

-

-

-

6,724

6,894

Management fees

-

-

2,347

1,406

525

478

215

178

-

-

3,087

2,062

49,464

54,046

1,387

1,583

53,938

57,691

Other commission income

-

-

-

-

1,345

1,066

3,723

3,380

710

515

5,778

4,961

-

-

2

19

5,780

4,980

Total fee and commission income from contracts with customers

37,743

31,526

8,248

7,654

3,575

3,653

9,866

11,808

3,308

1,704

62,740

56,345

49,464

54,046

1,389

1,602

113,593

111,993

Financial guarantee contracts and loan commitments

77

171

-

-

-

-

358

365

163

174

598

710

-

-

-

-

598

710

Total fee and commission income

37,820

31,697

8,248

7,654

3,575

3,653

10,224

12,173

3,471

1,878

63,338

57,055

49,464

54,046

1,389

1,602

114,191

112,703

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commission to agents

-

-

-121

-144

-

-

-2

-2

-

-

-123

-146

-

-

-

-

-123

-146

Asset Management

-614

-721

-

-

-

-

-

-

-

-

-614

-721

-3,907

-2,865

-

-

-4,521

-3,586

Other commission expense

-

-

-428

-328

-56

-382

-1,691

-1,872

-1,192

-1,099

-3,367

-3,681

-55

50

-

-

-3,422

-3,631

Total Fee and commission expense

-614

-721

-549

-472

-56

-382

-1,693

-1,874

-1,192

-1,099

-4,104

-4,548

-3,962

-2,815

-

-

-8,066

-7,363

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net fee and commission income

37,206

30,976

7,699

7,182

3,519

3,271

8,531

10,299

2,279

779

59,234

52,507

45,502

51,231

1,389

1,602

106,125

105,340

Performance obligations and revenue recognition policies

Fee and commission income from contracts with customers is measured based on the consideration specified in a contract with a customer. Triodos Bank recognises revenue when it transfers control over a service to a customer. The following table provides information about the nature and timing of the satisfaction of performance obligations in contracts with customers, including significant payment terms, and the related revenue recognition policies.

Type of service

Nature and timing of satisfaction of performance obligations, including significant payment terms

Revenue recognition

Transaction fee securities

Fee charged to customers for processing security transactions. Fee is charged when the transaction is settled.

Revenue related to transactions is recognised at the point in time when the transaction takes place.

Payment transactions

Fee charged for processing payment transactions of customers. Fee is charged when the transaction is processed.

Revenue related to transactions is recognised at the point in time when the transaction takes place.

Lending

Fee charged as part of the lending process, not an integral part of the effective interest rate. These fees are charged either at the start of the loan of during the lifetime.

Revenue related to transactions is recognised at the point in time when the transaction takes place.

Asset Management

Asset management fees include fees earned by Triodos Bank on trust and fiduciary activities in which the Triodos Bank holds or invests assets on behalf of its customers. Payment is due on at least quarterly basis.

Revenue from account service and servicing fees is recognised over time as the services are provided, at the latest on the moment of payment.

Management fees

Asset management fees include fees earned by Triodos Investment Management on asset management activities for clients or Triodos Investment Funds. Payment is due on at least quarterly basis.

Revenue from account service and servicing fees is recognised over time as the services are provided, at the latest on the moment of payment.

Other

These are other fees charged to clients. Payment is mostly due when transactions are settled.

Revenue related to transactions is recognised at the point in time when the transaction takes place.

Net result from other financial instruments at FVTPL

 

2020

2019

 

 

 

Net result on investment debt mandatorily at fair value through profit and loss:

-361

430

 

 

 

Net result from other financial instruments at FVTPL

-361

430

Other income

 

2020

2019

 

 

 

Exchange results for foreign currency transactions

35

-138

Transaction results on currency forward contracts

56

108

Realized results assets not in use *

-

239

Income assets not in use *

181

246

Hedge accounting ineffectiveness

111

-15

Other income

350

300

 

 

 

Other income

733

740

* Assets not in use relates to acquired collateral on written off loans.

The other income relates to fees for other services performed and results from asset disposals.