CFO Insights into Q2 2026

Olli Sinnemaa Chief Financial Officer (CFO) olli.sinnemaa@finnfund.fi

The first half of 2026 was characterised by strong portfolio growth. The portfolio reached a record level. During the period, Finnfund approved nine investment decisions totalling EUR 139 million. As a result, the portfolio’s book value increased by EUR 129 million from year-end 2025, reaching EUR 845 million at the end of June.

Disbursements to new investments amounted to EUR 154 million during the first half of the year, reflecting continued investment activity and portfolio expansion.

Interest income decreased by 4% year-on-year to EUR 13.3 million (EUR 13.8 million), while net interest income declined by 5% to EUR 5.2 million (EUR 5.4 million). Despite the lower income contribution during the period, the lending portfolio expanded by more than EUR 102 million in H1, providing a solid foundation for growth in interest income and net interest income in the coming quarters.

Net financial income increased by 5% to EUR 8.6 million (EUR 8.2 million), supported by the continued expansion of the portfolio.

Operating expenses increased by 9% compared with the corresponding period last year, primarily reflecting growing business volumes and organisational capacity requirements. Despite the increase, expenses remained below the approved budget.

Profit before investment fair value changes and realised gains and losses were EUR -1.2 million (EUR -1.1 million), broadly in line with the prior year.

The net result for the first half of 2026 was a loss of EUR 9.4 million, compared with a loss of EUR 23.5 million in the corresponding period of 2025.

During H1, realised losses on exits amounted to EUR 0.6 million relating to one project, while investment write-downs totalled EUR 8.6 million. No realised gains were recorded during the period; however, management expects some potential profitable exits before year-end.