• Core income grew 15% compared with H1 2011: Net interest income rose 10%, driven by a wider interest margin; net income from fees, charges and commissions grew 19% in the wake of intensive mortgage credit activity; and market-value adjustments rose 44% as a result of favourable growth on the bond side.
• Costs and expenses ended 2% up on H1 2011 but were in line with budgets - zero growth in costs and expenses is still expected for the full 2012 year.
• Core earnings before impairment of DKK 483 million - 42% up on H1 2011.
• Loan impairment, etc. ended at DKK 327 million after extraordinary impairment of DKK 96 million in Q2, triggered by the more detailed guidelines issued by the Danish Financial Supervisory Authority.
• The Common Equity (Tier 1) ratio stood at 13.2% (Q1: 13.1%). The overall solvency ratio was 15.7% (Q1: 15.5%), while the solvency need ratio was 8.8% (Q1: 8.8%), corresponding to an excess coverage of DKK 2.8 billion.
• Heaviest customer inflow on record - 6,200 new customers (net) in H1.
• Lending (bank activities) down 7% since end-2011 on account of declining demand - heavy growth in mortgage credit arrangement and 1% growth in overall credit arranged. Bank deposits increased 2%.
• Core earnings before impairment are now expected to hover around the DKK 900 million mark for the full year. After the extraordinarily high level in Q2, loan impairment is expected to fall back to the Q1 level.
For further information, please contact: Ole Madsen, Senior Vice President, tel. +45 9634 4010
