To  Nasdaq Copenhagen A/S
      and the press
7 May 2019

Nykredit today announces Interim Report for 1 January – 31 March 2019 of:

Nykredit A/S, CVR no 12 71 92 48
Nykredit Realkredit A/S, CVR no 12 71 92 80

Michael Rasmussen, Group Chief Executive, comments on Nykredit's Q1 Interim Report 2019

- This year started really well for Nykredit with a financial performance that exceeded our expectations. We are especially satisfied that business growth has continued into 2019. Both Nykredit Bank and Totalkredit are recording lending growth and welcoming new customers every single day. Also assets under management are still growing significantly.

- Again in 2019, our customers feel the benefits of our customer-ownership structure. In Q1 our customers received a total of DKK 362 million from the KundeKroner, ErhvervsKroner and MineMål programmes. Thanks to KundeKroner, our customers' average administration margin payments to Totalkredit are now at the lowest level for more than five years.

- Our continued business growth is the result of recent years' focus on becoming a more efficient, profitable and customer-centric business. We have a firm grip on fundamentals – costs, earnings, capital position and risks – and we can now further boost our efforts to enhance the customer experience and invest in the Nykredit of tomorrow. We took steps in this direction in Q1 with the organisational adjustment and the acquisition of Sparinvest, which was a significant investment in the future competitiveness of both Nykredit and the Totalkredit alliance.

Highlights from the Interim Report for 1 January – 31 March 2019:

  • At the beginning of the year, our outlook for profit before tax and business profit for 2019 was DKK 6.5-7 billion. Profit for Q1/2019 exceeded our expectations but our full-year outlook is maintained.
  • Compared with the same period last year, business profit for Q1/2019 was higher, while profit before tax, which was adversely affected by legacy derivatives, was slightly lower.
  • Nykredit Bank's lending* and assets under management have grown by 8% and 18%, respectively, since 31 March 2018.
  • Totalkredit's lending at nominal value has increased by 7% since 31 March 2018.
  • The Group's efficiency and profitability remain at a competitive level with a cost:income ratio of 33.9%, a return on equity of 8.3% and a return on business capital (ROAC) of 11.3%.

* Including secured homeowner loans transferred to Totalkredit

   DKK million
Nykredit GroupQ1/Q1/ 
Income 3,6273,222-405
Costs1,2301,196 -33
Impairment charges for loans and advances219(8)  -227
Business profit2,178 2,033 145
Legacy derivatives  (219)  24  -244
Profit before tax for the period1,959 2,057  -99
Tax329382  53
Profit for the period1,629 1,675  -46


For further comments, please contact Nykredit Press Relations at tel +45 44 55 14 96.