Aabenraa, Denmark, 2013-02-20 08:25 CET (GLOBE NEWSWIRE) --
The Sydbank Group has generated a profit before tax for 2012 of DKK 624m, equalling a return of 6.4% on average shareholders’ equity. The result is considered to be satisfactory in light of the new tightened impairment rules and weak growth in the economy. As a consequence of considerable impairment charges pre-tax profit is below expectations at the beginning of 2012.
On 2 November 2012 Sydbank took over all activities from Tønder Bank, including employees, clients, branches and all assets and liabilities apart from hybrid capital and supplementary capital.
2012
• 3.7% rise in core income.
• DKK 156m growth in trading income to DKK 323m.
• Unchanged level of costs (core earnings) for the fifth consecutive year.
• Rise in impairment charges for loans and advances of DKK 553m to DKK 1,748m.
• Investment portfolio earnings of DKK 397m.
• Non-recurring items of minus DKK 82m.
• Contributions to industry solutions of DKK 13m.
• 1% reduction in bank loans and advances to DKK 68.2bn.
• 1.6% decline in deposits to DKK 65.7bn.
• Increase in core capital ratio to 15.6%.
• Good liquidity.
• Substantial influx of clients, including via the takeover of Tønder Bank clients.
• Distribution of dividend to shareholders for 2012 will not be recommended.
Q4 2012
• Profit before tax of DKK 60m.
