| Company announcement no. 02 |
Net profit of DKK 2,222 million and return on equity after tax of 16.6%
Spar Nord achieved a profit after tax of DKK 2,222 million in 2024, which corresponds to a return on equity after tax of 16.6%. The result was the second-best in the Bank's 200-year history and is considered highly satisfactory.
The total business volume amounted to DKK 379 billion at 31 December 2024, which was DKK 21 billion higher than at end-2023. The increase in the business volume was broadly based but supported especially by strong increases in assets under management and bank and leasing loans, which rose by 16% and 7%, respectively, compared with the year earlier.
In terms of financial performance, the persistently high market and policy rates resulted in satisfactory returns on the Bank's substantial excess liquidity, which contributed to net interest income in 2024 on a par with the year before. At the same time, the Bank's net fee income rose by 4%, with the increase primarily driven by growing net fee income related to assets under management and payment services, cards, insurance and pension. Lower market value adjustments and rise in costs had the opposite effect, resulting in a profit for the year before impairment of DKK 2,881 million, which was 7% lower than last year.
Finally, the net profit for the year was favorably impacted by loan impairment charges, which represented an income of DKK 25 million.
In light of the conditions of Nykredit's takeover offer, Spar Nord's Board of Directors has decided not to recommend the distribution of dividends for 2024, says Lasse Nyby, CEO.
Please direct any questions regarding this release to Lasse Nyby, Chief Executive Officer, on tel. +45 9634 4011, or Rune Brandt Børglum, Chief Financial Officer, on tel. + 45 9634 4236.
Rune Brandt Børglum
Chief Financial Officer
