Nordea delivered according to expectation in the second quarter
Wednesday, 17 July 2013
Big Bank Nordea's revenues and profits were roughly as expected in the
second quarter. Nordic region's biggest bank Nordea made an
operating profit of Skr9.1 billion during the second quarter of 2013.
That was higher than what the analysts who monitor the company had
expected. Expectations was for Skr 8.9 billion.
Half year 2013 vs. Half year 2012 (Second quarter 2013 vs. First quarter 2013)
- Total operating income unchanged (down 1%)
- Operating profit unchanged (up 1%)
- Core tier 1 capital ratio up to 14.0% from 11.8% (up from 13.2%)
- Cost/income ratio up to 51% (down to 50%)
- Loan loss ratio of 23 basis points, down from 24 basis points (down to 22 basis points)
- Return on equity 11.3%, down from 12.1% (up to 11.5% from 11.1%)
Profit after tax, that is, the money that can be distributed to the owners, however, were in line with prior tips.
Net interest income, that is, the difference between the bank's
borrowing costs and what customers will pay for their loans, landed at
Skr12.2 billion, which was approximately as expected.
According to management, the bank currently has a capital buffer of
14 per cent according to Basel 3 proposal. Their aim is to make
European banks more resilient in financial crises.
CEO Christian Clausen in a comment said of the result that “In the
uncertain macroeconomic environment, we continue to deliver on our plan
on income initiatives, cost efficiency and improved capital position.
In the second quarter, 23,000 new relationship customers were welcomed
to Nordea and we have reinforced our position as the leading corporate
bank in the Nordics and Baltics."
Read more about the Nordea's second quarter report from Nordea
By Scancomark.com Team