INTERIM REPORT – NYKREDIT REALKREDIT GROUP
1 JANUARY – 31 MARCH 2015
Michael Rasmussen, Group Chief Executive, comments on Nykredit's Q1 Interim Report 2015
- We have grown income, lowered costs and thus improved core operations by DKK 740m compared with the same period last year. Therefore, I am pleased to report that we are making progress towards becoming a more customer-centric, efficient and profitable company.
- In March, we launched a new customer concept, Nykredit BoligBank, which got off to a good start with advisory and other services especially targeted at homeowners' needs. This is the first step in our efforts to become the best bank for homeowners.
- In the first three months of the year, Totalkredit recorded the highest activity level ever. We are making intense efforts to further develop our alliance with more than 60 partner banks to provide them and Nykredit with competitive advantage.
- Despite the improvement in core operations, profit before tax is on a level with the same period last year. This is due to the negative value adjustment of interest rate swaps made for accounting purposes and prompted by the pan-European decline in interest rates in Q1/2015.
Financial highlights from Q1 Interim Report 2015
- Profit before tax grew by DKK 740m to DKK 1,499m from DKK 759m in Q1/2014, excluding value adjustment of interest rate swaps and investment portfolio income.
- Core income from business operations rose by 20% to DKK 3,290m relative to Q1/2014.
- Operating costs were down by 4% to DKK 1,224m on Q1/2014.
- The cost:income ratio was cut to 37.2% from 46.4% in Q1/2014.
- Impairment losses dropped by 36% to DKK 329m.
- Value adjustment of interest rate swaps was a charge of DKK 1,061m against DKK 230m in Q1/2014.
- The Nykredit Group's profit before tax totalled DKK 883m against DKK 878m in Q1/2014.
Contact
For further comments, please contact Jens Theil, Head of Press Relations, Corporate Communications, tel +45 44 55 14 50
