29.04.2014 .

Results of Nordea Latvia for the 1st quarter of 2014

Nordea customer satisfaction indicators improve; “Global Finance” names Nordea the best bank in Latvia

Head of Nordea Latvia, Jānis Buks: “In the 1st quarter, net interest income reached EUR 13,5 million, which is record high. The amount of deposits, as compared to the 1st quarter of 2013, increased by 8% and reached EUR 1,25 billion. We continue to strengthen our relationship customer base – households with average or high income, as well as small, medium-sized and large companies with stable potential for further business development. Thereby we have during Q1 increased our relationship customer base in the household segment by 3% and have entered into 110 new and successful business transactions with corporate customers.

We continued reassessment of the provision of the credit portfolio by making reserves in the amount of EUR 23,7 million and revaluated the investments of our subsidiaries, as a result of which the year was started with a loss of income amounting to EUR 15,8 million.

Consolidated results of Nordea Latvia for the 1st quarter of 2014*

Q1, 2014 Q1, 2013 Q4, 2013
Total income EUR, million 12,8 15,5 16,8
Total expenses EUR, million 6,4 7,6 8,1
Profit before allowances for doubtful loans 6,4 7,9 8,7
Allowances for doubtful loans 23,7 2,9 9,8
Operating profit -15,8 8,9 -3,5
Credit portfolio reached 2 839 2 865 2 855
Deposits reached 1 249 1 154 1 323
New loans issued 72,3 47,3 82,6


At the start of the year, we can be especially proud of the Bank’s performance assessment provided by our customers and finance industry research organizations. For example, according to the latest "GfK" research data, Nordea Bank's target customer rating for service quality remained consistently high, providing leadership position among other market players, meanwhile the international finance magazine “Global Finance” named Nordea the best bank in Latvia in its recent study on the basis of criteria such as the company’s profitability, strategic relationship and customer service, competitive service prices, as well as innovative products and services.”

*Nordea Bank Finland Latvia branch does not have a separate equity, as a result of which profit after tax is not directly comparable to that of other commercial banks in Latvia
**Financial accounting data were used in the profit and loss account.