Writeup on the latest one-fourth
Consumer business amounts during the list-large accounts. Mortgage financing amounts increased of the 6%, year towards the 12 months, throughout the fourth one-fourth, supported by business development over the Nordics. SME lending grew from the six% and you will property lower than government (AuM) increased by the 17%. Mortgages, SME financing and you will AuM achieved the greatest accounts in Nordea’s record.
Good money progress, motivated of the 10% increase in income and you can tight pricing control. Fourth-one-fourth performing earnings increased by 32%, season on seasons, in order to EUR step 1,281m. Complete money are up 10%, determined of the a great eight% rise in internet focus income and you can a great 16% upsurge in web fee and you will fee income. Net fair worth influence enhanced of the 14%. Costs was basically in accordance with the early in the day one-fourth but reduced by the 10%, 12 months towards season, because next one-fourth out of 2020 try impacted by exceptional cost facts.
Went on strong credit top quality. Net financing loss and you will comparable net effect amounted to help you EUR 56m or 7bp about quarter, weighed against 3bp regarding the next quarter of 2020. Realized internet mortgage losses stayed low, in line with earlier episodes Texas payday loans, together with charges with the quarter incorporated reinforced specifications for a good few specific affairs. Brand new government judgement buffer is intact within EUR 610m.
Cost-to-earnings ratio down to 47% and get back on guarantee at the eleven.3%. Nordea’s costs-to-income ratio improved in order to 47% away from 57% this past year on next quarter, supported by money gains and you will continued prices performance. Come back towards the collateral (RoE) try 11.3%. Earnings for every single express increased by forty-two% in order to EUR 0.twenty-six of EUR 0.18.
Bonus out-of approx. EUR 0.69* for each and every express proposed to possess 2021 – CET1 proportion at the 17.0%. Nordea’s Panel enjoys recommended a bonus of around EUR 0.69* per express having 2021 – up 77% of EUR 0.39 to own 2020. This usually means an effective 70% commission proportion, according to Nordea’s dividend plan. The fresh CET1 ratio risen to 17.0% away from sixteen.9% in the last one-fourth which is now 6.8 fee facts over the regulatory criteria. Nordea is actually dedicated to applying an effective capital construction and you can began a EUR 2bn show buy-back program towards the , 109m offers had been repurchased at a cost of EUR 1,160m. Nordea have recorded a proper app with the ECB in for possible follow-into show pick-backs.
The new monetary target to own 2025. Which have an excellent 2021 RoE regarding 11.2% and you may a cost-to-income ratio out of 48%, Nordea possess exceeded its full-year 2022 monetary objectives one year in advance of plan. Nordea’s new, full-12 months 2025 financial address are an excellent RoE above 13%, backed by a fees-to-earnings ratio of 45–47%. To own 2022, Nordea wants an effective RoE over 11%, supported by a payment-to-earnings proportion away from forty-two–50%, even after financing for gains and better regulating will cost you, for instance the Swedish lender income tax. Nordea tend to keep a funds Locations Day towards 17 March so you’re able to speak about their financial address and you will preparations towards the brand new means months in more detail.
(For additional opinions, see the President discuss web page dos. To possess definitions, select page 53 from the Q4 2021 declaration)
* Approximate count in line with the estimated level of shares that will get in question within projected bonus choice big date.
President review
We wished we could possibly be able to place COVID about all of us during the 2021, but unfortunately the pandemic additionally the related suspicion proceeded. All in all, although, 2021 is actually encouraging, with many different confident cues throughout the market and society. Moving forward, we may still face certain setbacks from the trojan variants, but we have been more knowledgeable and you will durable from inside the managing the switching things.
To possess Nordea, 2021 try a profitable year. I’m happy with exactly how we has developed once the a lender – and additionally all of our users. All of our providers quantities became and in addition we gained market offers along the Nordics. Our mortgage financing increased because of the 6%, SME lending of the six% and you may assets below administration (AuM) from the 17%, getting every-time-large profile. Meanwhile, we proceeded to create better consumer knowledge. We increased our very own customer satisfaction scores and you will quicker customer issues by the 9%. We are today getting 41% less complaints than simply three years before.