28.01.2015 .

Nordea attracted a record number of deposits in 2014

The general situation of the Bank’s financial year can be described as stable; Nordea attracted a record number of deposits in comparison with 2013; Customer satisfaction with bank’s remote channels is growing.

Head of Nordea Bank in Latvia Jānis Buks: “The previous year was a turning point for the Bank’s business, and we took ambitious steps by implementing the Nordea business strategy in the Baltics that was launched in 2014. Systematic strategic initiatives have produced the expected result – we have attracted a record number of deposits amounting to EUR 1.48 billion, which is 12% more that in the previous year improving the loan/deposit ratio significantly. The private customer deposit portfolio grew 26%, whereas the corporate customer deposit portfolio picked up 6%. Net interest income and commission fee income have increased by 4%, and amounted to EUR 68 million annually. 

Consolidated key financial results for 2014:

  • The total annual revenue amounted to 57.1 mill. EUR - a 11% decrease in comparison to year 2013;
  • Total annual expenditure amounted to 29.7 mill. EUR - a 6% decrease;
  • Profit before bad debt reserves amounted to 27.4 mill. EUR - a 16% decrease;
  • Bad debt reserves amounted to 54.7 mill. EUR - a 96% increase;
  • Operational profit amounted to 27.4. EUR;
  • The volume of the credit portfolio increased up to 2.57 bill. EUR (1.8 bill. LVL) -a 5% decrease in comparison to 2012 Q4
  • The volume of the deposit portfolio reached 1.48 bill. EUR - a 12% increase in comparison to 2013 Q4
  • New loans disbursed in 2014 amounted to 265.8 mill. EUR;


*Nordea Bank AB Latvia Branch does not have separate equity, as a result of which profit after tax is not directly comparable to the respective results of other commercial banks in Latvia.

We are continuously introducing our customers to new products and services, for example accumulating life insurance in cooperation with the Latvia Branch of ERGO Life Insurance, the Nordea Gold Credit Card; we launched a new and more flexible everyday banking package to our household customers and a package for corporate customers to meet the needs of companies. We are pleased with the most recent “GFK” research data, which show that our customer satisfaction with bank’s remote channels is growing rapidly. In 2015 we will continue to develop the Bank's remote payment channels and simplify processes making it simpler for our customers to bank with us.”

** The profit and loss account uses the Management’s accounting data in compliance with Nordea Group’s financial result publishing guidelines. In Q2 of 2014, the principles concerning the reflection of Nordea Finance data in the consolidated results were modified, therefore the indicators of the previous periods were also changed. See information concerning the terms used in the Management’s accounting on Nordea’s website www.nordea.com.