Funding

The HUS loan portfolio grew during 2019. The equity ratio was 28%.

During the financial year, HUS took out EUR 160 million in long-term loans in accordance with the budget. Nearly EUR 15 million in loan principal was paid off.

As at the end of 2019, the loan portfolio stood at EUR 527 million, of which EUR 75 million in short term debt.

Loan receivables from subsidiaries totaled EUR 32 million. Cash and cash equivalents amounted to nearly EUR 89 million.

Cash flow sufficiency was 12.3 days, the target being 15 days.

HUS had an equity ratio of just under 28%, the target being 30%.

Net financial costs decreased

Net financial costs were nearly EUR 13 million, EUR 0.1 million lower than in the original budget.

The actual average interest rate on the HUS loan portfolio in 2019 was 0.20%, and the average interest rate earned on assets was 0.05%. As at the balance sheet date, 57% of the interest rate risk in long term debt of the Joint Authority was hedged. In the net loan portfolio, calculated by combining long term debt with the Joint Authority’s cash reserves, loans given out and short term debt, about 63% of the interest rate risk was hedged.