Post on new one-fourth
Consumer business volumes from the record-high membership. Mortgage financing amounts enhanced by the six%, year to the seasons, regarding the next one-fourth, supported by share of the market development along the Nordics. SME credit grew of the six% and you will assets below government (AuM) increased by the 17%. Mortgage loans, SME lending and you may AuM attained the highest membership into the Nordea’s records.
Strong earnings development, inspired by ten% boost in earnings and you can tight pricing handle. Fourth-one-fourth doing work finances improved because of the thirty two%, year towards year, so you can EUR 1,281m. Complete income is right up 10%, determined of the an excellent seven% upsurge in websites appeal earnings and a 16% escalation in internet payment and you can payment money. Web fair well worth effects improved by 14%. Costs were in accordance with the earlier in the day quarter however, diminished by 10%, 12 months into year, while the 4th one-fourth out-of 2020 was impacted by outstanding costs circumstances.
Continued solid credit high quality. Websites loan losses and equivalent internet impact amounted to EUR 56m or 7bp from the quarter, compared to 3bp in the next quarter of 2020. Realized online mortgage losings stayed reasonable, consistent with earlier attacks, and also the fees for the one-fourth integrated strengthened terms having a great few specific items. The brand new government judgement buffer are unchanged in the EUR 610m.
Cost-to-earnings ratio down seriously to 47% and return on security on 11.3%. Nordea’s prices-to-earnings ratio enhanced so you can 47% away from 57% just last year on the fourth quarter, supported by money development and you can proceeded rates efficiency. Go back into the equity (RoE) try 11.3%. Income each share enhanced because of the 49% so you can EUR 0.twenty six out of EUR 0.18.
Dividend of approx. EUR 0.69* for each and every display advised getting 2021 – CET1 ratio in the 17.0%. Nordea’s Panel has proposed a dividend around EUR 0.69* for each and every share to have 2021 – up 77% out-of EUR 0.39 for 2020. Which results in a beneficial 70% commission ratio, in accordance with Nordea’s bonus policy. The latest CET1 ratio increased to 17.0% of sixteen.9% in the last quarter which is now six.8 fee items over the regulating needs. Nordea are payday usa Clay West Virginia purchased using a simple yet effective capital framework and began a good EUR 2bn show pick-right back program towards , 109m offers was repurchased at a price out of EUR 1,160m. Nordea possess recorded an official application to the ECB in for potential follow-toward show pick-backs.
This new economic target for 2025. Which have a beneficial 2021 RoE out-of 11.2% and a fees-to-earnings proportion out of forty eight%, Nordea has actually exceeded the complete-seasons 2022 economic purpose 1 year prior to agenda. Nordea’s the newest, full-seasons 2025 economic address is good RoE more than 13%, backed by a payment-to-money proportion off forty five–47%. For 2022, Nordea wants a great RoE more than eleven%, backed by a payment-to-income proportion of forty two–50%, even with investment having increases and better regulatory costs, like the Swedish lender tax. Nordea usually hold a money Places Day into the 17 February to help you explore its economic target and you will plans on the the fresh new method period in detail.
(For further feedback, see the President comment on page dos. To possess meanings, see webpage 53 from the Q4 2021 statement)
* Estimate count in accordance with the projected number of offers that can get into situation within estimated dividend choice date.
Ceo remark
Everyone hoped we possibly may manage to put COVID trailing us in the 2021, regrettably the newest pandemic and also the related suspicion went on. Overall, even when, 2021 was promising, with quite a few confident signs in the economy and neighborhood. In the years ahead, we may nonetheless face specific setbacks of the latest virus variants, however, our company is more experienced and resilient from inside the managing the changing affairs.
To possess Nordea, 2021 is actually a successful seasons. I am happy with how exactly we have changed as a bank – and additionally all of our consumers. All of our company amounts increased and we also achieved business shares over the Nordics. Our very own financial credit increased of the 6%, SME financing by the six% and you can possessions significantly less than management (AuM) by the 17%, getting together with the-time-high profile. Meanwhile, i proceeded which will make greatest customer knowledge. We enhanced all of our customer happiness results and you can reduced consumer problems from the 9%. We are today finding 41% a lot fewer issues than just 36 months in the past.