29.01.2014

Fourth Quarter and Full Year Results 2013

CEO Christian Clausen’s comments on the results:
“2013 was another year of low growth and interest rates declined to record-low levels. In this environment, we delivered a stable income level (in local currencies) and saw a continued inflow of relationship customers. For the 13th consecutive quarter, we have kept costs flat. Loan losses decreased by 17% and the operating profit increased by 3% (both in local currencies). The core tier 1 ratio has improved by 180 basis points to 14.9%, due to modest loan demand, strong capital generation and continued efficiencies. The Board of Directors proposes a dividend of EUR 0.43 per share (EUR 0.34).
 
We expect that the economic growth and the interest rates levels will stay low for a prolonged period of time. Thus, we expect that the loan demand and customer activity will be at a lower level than we foresaw last year when we announced our plans for the future relationship bank. As a consequence we will accelerate and expand our cost efficiency programme. This will enable us to adjust our capacity to the lower activity level and to maintain our position as a strong bank.”

Full year 2013 vs. full year 2012 (Fourth quarter 2013 vs. Third quarter 2013)¹:

Total operating income -1%, in local currencies 0% (+2%)

  • Operating profit +2%, in local currencies 3% (-1%)
  • Core tier 1 capital ratio up to 14.9% from 13.1% (up from 14.4%)
  • Cost/income ratio unchanged at 51% (up to 52% from 51%)
  • Loan loss ratio of 21 basis points, down from 26 basis points (up to 21 bps from 20 bps)
  • Return on equity 11.0%, down from 11.6% (down to 10.5% from 10.8%)
  • Proposed dividend EUR 0.43 per share (last year EUR 0.34 per share)

 

Summry key figures, EU
Q3 2013 Q2 2013 Ch., % Q2 2012 Ch., % Jan-Sep 2013 Jan-Sep 2012 Ch., %
Net interest income 1.390 1.386 0 1.382 1 5.525 5.563 -1
Total operating income 2.469 2.426 2 2.570 -4 9.891 9.998 -1
Profit before loan losses 1.186 1.192 -1 1.275 -7 4.851 4.934 -2
New loan losses -180 -171 5 -241 -25 -735 -895 -18
Loean loss ratio (ann.), bps 21 20 28 21 26
Operating profit 1.006 1.021 -1 1.034 -3 4.116 4.039 2
Risk-adjusted profit 821 823 0 867 -5 3.351 3.313 1
Diliuted EPS, EUR 0.19 0.19 0.21 0.77 0.77
Diluted EPS (total oper.), EUR 0.19 0.19 0.21 0.77 0.78
Return on equity, % 10.5 10.8 11.9 11.0 11.6