May 2, 2006
Danske Bank reports a net profit of DKr3,131m for the first quarter of 2006
Danske Bank has today announced its financial results for the first quarter of 2006. You can read the
full report in the Investor Relations section. Highlights are shown below:
- Danske Bank Group achieved a better than expected net profit of DKr3,131m, against DKr2,984m for the first quarter of 2005.
- Net profit for the period per share increased 4% despite the defrayed costs of integrating the two banks in Northern Ireland and Ireland.
- Income rose 13% to DKr9,123m.
- The cost/income ratio increased from 49.2% to 53.4%.
- Net positive entry of DKr129m for credit loss expenses is largely unchanged from the level of the first quarter of 2005.
- Bank lending grew by 19%.
- Northern Bank and National Irish Bank are now operating fully on the IT platform of the Danske Bank Group, and the commercial re-launch of the two banks has begun.
- On the basis of the first quarter results, the Danske Bank Group is raising its expectations for income in 2006. Excluding the considerable one-off income in 2005, the profit before credit loss expenses is now expected to increase by 5-8%.
Commenting on the results, Danske Bank’s chief executive, Peter Straarup, said: “The result is better than expected, and therefore we raise our guidance a little. In the first quarter, all our banking units recorded double-digit lending growth. The integration of our two new banks during Easter went well. The re-launch of the banks has begun and we are pleased to see that the markets have welcomed the new and improved products.”
Danske Bank Sweden named "Business Bank of the Year"Danske Bank in Sweden has been named “Business Bank of the Year” by Sweden’s Finance Barometer, a major independent survey in the banking, finance and insurance industry. According to the Finance Barometer, Danske Bank in Sweden scored particularly high in Service, Quality of Advisory Service and Price. Danske Bank’s business model featuring local presence and highly skilled employees were also keys to its success.