24/11/2022 Research EN
Nordic utilities: north-south price gap benefits southern generators; TSOs also gain
Nordic utilities will likely face a prolonged period of high electricity prices, but divergence between pricing in the north and south of Norway and Sweden favours southern generators over regulated network operators, says Scope Ratings.
22/11/2022 Research EN
TLTRO repayments – more to come
Banks are repaying just EUR 296bn of TLTRO funding this week, the low end of expectations, raising the question as to whether the ECB may have to consider other forms of quantitative tightening as it normalises its monetary policy stance.
21/11/2022 Research EN
Economic performance is the key issue for UK banks; not tax or bonuses
Following the UK Autumn Statement, the focus with regard to the banks has been on the reduction in the corporation tax surcharge and removal of the bonus cap. But what matters more is how the economy performs and the impacts on households and businesses.
17/11/2022 Research EN
Italian banks: solid Q3 performance; constructive outlook for 2023
Italian banks’ Q3 results were strong. Wider interest margins reflect higher rates, operating expenses and cost of risk are under control, asset-quality trends are intact and banks maintain healthy capital buffers; trends that should continue into 2023.
14/11/2022 Research EN
Hungary’s corporate credit outlook: inflation, currency clouds gather after decade of fair weather
Hungary’s corporate sector faces a further deterioration in credit quality as soaring inflation, rising interest rates, exchange-rate volatility and uncertainty about EU funds take their toll on private and public-sector demand, says Scope Ratings.
11/11/2022 Research EN
Spanish banks: solid 9m results, risks from real estate exposures manageable
Spanish banks’ Q3/9M results saw net interest income trend higher, better revenues absorb higher OpEx, and credit costs contained. Asset quality was broadly flat but several banks increased NPL coverage. CET1 ratios stabilised after some QoQ declines.
8/11/2022 Research EN
The Wide Angle – European bank profitability is no longer a major problem
Contrary to the broadly held market view that European banks continue to be insufficiently profitable, the sector’s bottom line is now reaching an adequate level. Analysts and investors should revisit their views that profits remain a risk for the sector.
4/11/2022 Research EN
Scope Ratings publishes its updated Consumer Products Rating Methodology
The methodology is now final following a call-for-comments period and will apply to all issuer and debt ratings of consumer products corporates. The methodology update has no impact on outstanding ratings.
4/11/2022 Research EN
Norway’s residential housing boom is over: prices starting to fall
Norway’s house prices are falling as the economic backdrop deteriorates and the era of ultra-low interest rates ends. This will expose households to an affordability shock. Banks are entering the challenging environment from a position of strength.
3/11/2022 Research EN
European real estate grapples with inflation, higher yields: assessing challenges for debt holders
Europe’s real-estate sector is creaking under the pressure of inflation, rising yields and slowing economic growth, all with repercussions for real-estate companies and loan markets.