August 22, 2002
Press release: Net profit of DKr4,334m for the first half of 2002
Danske Bank today published its Interrim Report. The report can be viewed at www.danskebank.com/reports. Highlights are shown below:
"The result is satisfactory, when considering the difficult market conditions," said Peter Straarup, Danske Bank’s chief executive, commenting on the results. "Especially our banking activities had a good development in core earnings, primarily as a result of the cost reduction in Denmark and the increasing income from activities abroad. Despite the weak economic growth, provisions were slightly lower than expected, and we expect the provisioning ratio to remain relatively low."
Press release: Net profit of DKr4,334m for the first half of 2002
Danske Bank today published its Interrim Report. The report can be viewed at www.danskebank.com/reports. Highlights are shown below:
- Danske Bank Group recorded a net profit of DKr4,334m for the first half of 2002 compared with DKr4,355m for the same period of 2001.
- Core income amounted to DKr13,510m (first half of 2001: DKr14,249m). One reason for the fall of 5% was the lower volume in the capital markets.
- Operating expenses and depreciation fell by 9% to DKr7,504m. The cost/core income ratio now stands at 55.5% against 57.8% in the first half of 2001.
- Provisions for bad and doubtful debts fell by DKr25m to DKr640m.
- Core earnings amounted to DKr5,366m (first half of 2001: DKr5,349m) and earnings from investment portfolios were DKr702m (first half of 2001: DKr532m).
- As a result of the negative trend in equity markets, the profit before tax generated by Life and Pensions amounted to a negative DKr75m.
- For the year as a whole, core earnings are still expected to develop favourably given unchanged market conditions. However, core earnings will show only a slight increase from the level recorded in 2001.
"The result is satisfactory, when considering the difficult market conditions," said Peter Straarup, Danske Bank’s chief executive, commenting on the results. "Especially our banking activities had a good development in core earnings, primarily as a result of the cost reduction in Denmark and the increasing income from activities abroad. Despite the weak economic growth, provisions were slightly lower than expected, and we expect the provisioning ratio to remain relatively low."