Group quarterly abilities and you can secret percentages, Q4 2021

Group quarterly abilities and you can secret percentages, Q4 2021

Report about new quarter

Customer company quantities on list-large levels. Financial credit quantities improved from the 6%, seasons toward season, on 4th one-fourth, backed by business increases along side Nordics. SME lending grew because of the six% and you may possessions significantly less than management (AuM) increased because of the 17%. Mortgages, SME lending and you will AuM reached the highest account for the Nordea’s records.

Good money gains, motivated because of the 10% escalation in money and you will rigid pricing control. Fourth-quarter doing work funds improved from the thirty-two%, seasons to the 12 months, so you’re able to EUR 1,281m. Complete money is right up 10%, determined from the a 7% upsurge in online interest earnings and you can a good sixteen% boost in websites payment and you will fee money. Internet fair worthy of effects enhanced by 14%. Will cost you have been in line with the early in the day quarter but decreased by the 10%, seasons on 12 months, once the fourth one-fourth away from 2020 try influenced by exceptional costs points.

Went on good borrowing high quality. Online mortgage losses and comparable websites impact amounted to help you EUR 56m otherwise 7bp in the quarter, in contrast to 3bp in the 4th quarter from 2020. Realized web mortgage losses remained lower, consistent with earlier symptoms, while the charges on one-fourth incorporated reinforced arrangements to possess a beneficial few certain situations. The fresh new administration judgement boundary was intact at the EUR 610m.

Cost-to-earnings ratio right down to 47% and come back to the security at 11.3%. Nordea’s prices-to-income ratio increased so you can 47% from 57% a year ago from the 4th one-fourth, backed by income development and went on cost efficiency. Come back into the security (RoE) is actually eleven.3%. Income for each express increased from the forty two% in order to EUR 0.twenty six off EUR 0.18.

Bonus of approx. EUR 0.69* each show advised to own 2021 – CET1 ratio at 17.0%. Nordea’s Board enjoys proposed a dividend of about EUR 0.69* for every single express for 2021 – up 77% out-of EUR 0.39 to possess 2020. So it results in a beneficial 70% payout proportion, according to Nordea’s bonus policy. The fresh new CET1 proportion risen to 17.0% away from sixteen.9% in the previous quarter and is today 6.8 percentage situations over the regulating requirement. Nordea is purchased using an efficient funding construction and you can commenced an excellent EUR 2bn share buy-back programme towards the , 109m shares got repurchased at a price regarding EUR step one,160m. Nordea has actually recorded a proper app on the ECB in for potential follow-on the share purchase-backs.

The fresh monetary target to own 2025. Having an excellent 2021 RoE out-of 11.2% and a repayment-to-earnings ratio from forty eight%, Nordea features exceeded the full-12 months 2022 monetary goals one year before plan. Nordea’s brand new, full-12 months 2025 monetary address was a beneficial RoE more than thirteen%, backed by a repayment-to-money proportion out-of forty-five–47%. To have 2022, Nordea anticipates a RoE significantly more than 11%, supported by an installment-to-earnings proportion out of forty-two–50%, despite investment getting increases and higher regulatory can cost you, like the Swedish bank income tax. Nordea usually hold a money Markets Big date toward 17 March so you can discuss its payday loans online Arkansas monetary target and you will plans into the the fresh approach period in detail.

(For further views, comprehend the Chief executive officer discuss page 2. For definitions, find web page 53 regarding the Q4 2021 statement)

* Approximate amount in accordance with the projected quantity of shares that can be in procedure during the projected bonus decision date.

Ceo opinion

Most of us expected we might have the ability to place COVID about united states during the 2021, but unfortunately the new pandemic plus the related uncertainty proceeded. Overall, though, 2021 was encouraging, with quite a few positive signs in the economy and you will society. In the years ahead, we possibly may however deal with specific setbacks out-of the fresh virus versions, but we have been more experienced and you will durable during the controlling the switching items.

To possess Nordea, 2021 was a successful season. I’m proud of the way we enjoys progressed since the a lender – plus all of our consumers. All of our business quantities expanded therefore we attained sector shares over the Nordics. Our financial credit increased of the 6%, SME credit because of the six% and property around management (AuM) by the 17%, getting most of the-time-high profile. Meanwhile, we went on to manufacture most readily useful consumer experience. We enhanced all of our customer happiness ratings and reduced consumer complaints by 9%. The audience is now searching 41% less complaints than just three years before.

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