Operating profit increased by 25% on a comparable basis* to EUR 3,048m.
Total income increased by 7% to EUR 6,573m (EUR 6,127m in 2004) – Net interest income up 5%.
Total expenses unchanged at EUR 3,668m (EUR 3,655m).
Cost/income ratio continued down to 56% (60%).
Positive net loan losses of EUR 137m.
Net profit at EUR 2,269m (EUR 2,078m), up 28%*.
Earnings per share EUR 0.86 (EUR 0.74), up 34%*.
Return on equity 18.0% compared to 14.5%*.
Dividend of EUR 0.35 per share proposed (EUR 0.28).
* excluding real-estate gain of EUR 300m in 2004
...supported by strong development also in the fourth quarter
Operating profit EUR 748m (EUR 677m in the fourth quarter 2004).
Total income EUR 1,696m (EUR 1,646m).
Total expenses EUR 956m (EUR 979m).
Positive loan losses for the seventh consecutive quarter.
Net profit EUR 506m (EUR 476m).
"2005 was the best year so far in Nordea's history reflecting record results in all business areas. 2005
brought very strong evidence of Nordea's increased sales performance and substantial potential to grow business with existing customers.
Operating profit was up 25% on a comparable basis and return on equity was up to 18%. Fuelled by strong organic growth,
total income was up 7% despite continued margin pressure. Costs were unchanged in an environment of significantly higher activity level and business volumes.
Reversal of loan losses exceeded new provisions reflecting the healthy business climate and our prudent risk management.
With continuous improvements and strong customer
focus as the main drivers we have raised productivity and been able to capture
growth opportunities reaching a return on equity level ahead of the financial
targets set in 2004.
Going forward we will continue to capture profitable revenue growth while maintaining strict cost and risk management. I feel confident that this approach will prove successful in reaping the full benefits of the size, scale and scope of Nordea and in realising our increased ambitions." says Lars G Nordström, President and Group CEO of Nordea.
The full report including tables can be downloaded from the attached link
