Nykredit Bank Group - Annual Report 2021

Nykredit today announces the Annual Reports for 2021 of: 
Nykredit A/S, CVR no 12 71 92 48 
Nykredit Realkredit A/S, CVR no 12 71 92 80 
Nykredit Bank A/S, CVR no 10 51 96 08 
Totalkredit A/S, CVR no 21 83 22 78 

Michael Rasmussen, Group Chief Executive, comments on the Annual Report 2021:  
– Nykredit's full-year financial results presented today are highly satisfactory and the best we have ever recorded, following yet another year with high business and customer growth in Nykredit Bank and Totalkredit. Particularly, Nykredit Wealth Management, which includes Nykredit Invest and Sparinvest, recorded strong growth. In Sparinvest alone, assets under management grew by DKK 43 billion in 2021, corresponding to 39%.  

– The increase in customer numbers across the Group gives us the opportunity to show even more homeowners, private investors and businesses what a mutual financial provider can do for them. This past year we have given back about DKK 1.7 billion to customers. This is only possible thanks to our owner, Forenet Kredit. We are proud that we can share our success with our customers in this way. Because of the backing of Forenet Kredit, we can make it easier and more affordable for our customers to make green choices. In 2021 we launched several green initiatives, which have been well received by our customers and illustrate the strength of combining corporate responsibility and mutual ownership.

– Our highly satisfactory financial performance in 2021 is not only the result of business and customer growth. It was also driven by factors beyond our control. We successfully managed our own portfolios, while benefitting from market tailwinds. Furthermore, the reversal of loan impairments was driven by our long-standing, strong credit quality but also by a Danish economy in good shape. However, we cannot depend on similar market and macroeconomic tailwinds in the years to come, which is why our earnings guidance for 2022 is lower than in 2021.

Highlights from the Annual Report 2021:

• Business profit and profit before tax were DKK 10.7 billion and DKK 10.3 billion, respectively, in 2021.
• We raised our guidance for business profit and profit before tax on 13 January to about DKK 10.7 billion and DKK 10.3 billion, respectively, which corresponds to the financial results announced today. In our Annual Report 2020 we guided for a business profit and profit before tax of some DKK 6.0-6.5 billion.
• Totalkredit's lending at nominal value has increased by 8.5% since end-2020 to currently DKK 866 billion.
• Nykredit Bank's lending* has grown by 4.8% since end-2020 to currently DKK 81.0 billion. At end-2020 lending included bridge financing of DKK 3.2 billion, which was redeemed in Q1/2021. Excluding this, lending increased by 10%.
• Assets under management in Nykredit Wealth Management have increased by DKK 66.4 billion since end-2020, of which Sparinvest accounts for DKK 43.0 billion. Assets under management totalled DKK 438.1 billion at end-2021, up 18% since end-2020.
• Nykredit maintains a very strong capital position with a Common Equity Tier 1 (CET1) capital ratio of 20.6%.
  

* Including secured homeowner loans transferred to Totalkredit.

Contact
For further comments, please contact Nykredit Press Relations at tel +45 27 58 95 88.

Attachment

• NYRB-2021-12-31