Danske Bank A/S · OMXCOP:DANSKE

Danske Bank A/S — Q1 2008 Earnings Presentation

44 slides from Danske Bank A/S's earnings presentation, Apr 29, 2008

  1. Slide 1: Fact Book Q1 2008

    Danske Bank Fact Book Q1 2008 Fact Book Q1 2008 Supplementary Information for Investors and Analysts Unaudited Updated: April 29, 2008 1

  2. Slide 2: Table of contents

    Danske Bank Fact Book Q1 2008 Table of contents 1.1. Financial goals 4 3. Business segments and key statistics 1.2. Share Data 4 3.1.1. Banking Activities Denmark 21 1.3. Ratings 5 3.1.1.1 Breakdown of loans in Realkredit Danmark 22 1.4. Changes in accounting principles 3.1.2. Banking Activities Fin

  3. Slide 3: Contact information, financial calendar and disclaimer

    Danske Bank Fact Book Q1 2008 Fact Book Q1 2008 This publication is meant as a supplement to the information published in the quarterly interim reports and the annual report. Additional information can be found on www.danskebank.com. For further information, please contact: Financial calendar Date E

  4. Slide 4: Financial goals; dividends and share buybacks; share data

    Danske Bank Fact Book Q1 2008 1.1. Financial goals The Group bases its capital management on a set of overall capital targets. The table below shows the targets as well as the realised ratios. Financial goals March 31, 2008 January 1, 2008 Target % Core (tier 1) capital ratio 9.5 8.7 Min. 7,5 Solven

  5. Slide 5: Ratings

    Danske Bank Fact Book Q1 2008 1.3. Ratings Danske Bank rating overview The agencies each use their own rating scales, on which the highest possible ratings are AAA and Aaa (see the table below). Ratings in the A categories are considered "investment grade", indicating only a marginal risk that the i

  6. Slide 6: Changes in accounting principles and presentation

    Danske Bank Fact Book Q1 2008 1.4. Changes in accounting principles and presentation Changes in accounting principles The Group has not changed its significant accounting policies from those presented in the Fact Book Q4 2007. Change in financial highlights The Other Areas business area previously c

  7. Slide 7: Financial statistics

    Danske Bank Fact Book Q1 2008 Financial statistics 7

  8. Slide 8: Income statement Danske Bank Group

    Danske Bank Fact Book Q1 2008 2.1. Income statement – Danske Bank Group Year to date Full year Income statement (DKr m) Q108 Q407 Q307 Q207 Q107 2008 2007 Net interest income 6,236 6,320 6,267 6,074 5,730 6,236 24,391 Hereof amortisation of loans and deposits* 17 46 46 46 31 17 169 Financing 376 445

  9. Slide 9: Breakdown of income

    Danske Bank Fact Book Q1 2008 2.1.1. Breakdown of income Country distribution of net interest income Money market rates Net interest income distribution, Q1 2008 Others, 1.7% % 8.00 Baltics, 2.6% Ireland, 4.6% Northern 7.00 Ireland, 6.4% Finland, 12.8% 6.00 Denmark, 56.7% 5.00 Norway, 7.5% Sweden, 7

  10. Slide 10: Interest income margins

    Danske Bank Fact Book Q1 2008 Interest income margins, Banking Activities Denmark, Sweden, Norway, Northern Ireland and Ireland 2.50 2.50 2.00 2.00 1.50 1.50 1.00 1.00 0.50 0.50 0.00 0.00 Q107 Q207 Q307 Q407 Q108 Q107 Q207 Q307 Q407 Q108 Lending spread (1) (from Tom/next interest rate) (%) Denmark D

  11. Slide 11: Breakdown of expenses

    Danske Bank Fact Book Q1 2008 2.1.2. Breakdown of expenses Operating expenses Year to date Full year (DKr m) Q108 Q407 Q307 Q207 Q107 2008 2007 Operating expenses 6,323 6,574 5,966 6,663 5,867 6,323 25,070 Amortisation, intangibles Banking Activities Finland 117 138 179 135 128 117 580 Banking Activ

  12. Slide 12: Full-time employees by business area; exchange rates

    Danske Bank Fact Book Q1 2008 Full-time employees broken down by business area End of period End of year FTE - end of period Q108 Q407 Q307 Q207 Q107 2008 2007 Banking Activities Denmark 6,440 6,538 6,685 6,654 6,761 6,440 6,538 Banking Activities Finland* 2,412 2,308 2,283 2,294 2,299 2,412 2,308 B

  13. Slide 13: Balance sheet

    Danske Bank Fact Book Q1 2008 2.2. Balance sheet End of period End of year Balance sheet (DKr m) Q108 Q407 Q307 Q207 Q107 2008 2007 Cash in hand and demand deposits with central banks 35,807 13,861 13,524 18,934 17,594 35,807 13,861 Due from credit institutions and central banks 350,673 345,959 313,

  14. Slide 14: Breakdown of balance sheet: lending portfolio by segment

    Danske Bank Fact Book Q1 2008 2.2.1. Breakdown of balance sheet Lending portfolio broken down by segment Lending portfolio breakdown, end of period End of period End of year Volume (DKr bn) Segment Q108 Q407 Q307 Q207 Q107 2008 2007 Banking Activities, Denmark Retail 534.0 535.7 521.9 511.3 511.8 53

  15. Slide 15: Deposit portfolio broken down by segment

    Danske Bank Fact Book Q1 2008 Deposit portfolio broken down by segment Deposit portfolio breakdown, end of period End of period End of year Volume (DKr bn) Segment Q108 Q407 Q307 Q207 Q107 2008 2007 Banking Activities, Denmark Retail 163.7 160.8 158.1 159.1 151.7 163.7 160.8 Corporate 153.0 138.4 14

  16. Slide 16: Lending and deposit portfolio by geography

    Danske Bank Fact Book Q1 2008 Lending and deposit portfolio in Banking Activities broken down by geography Bank lending, retail Bank lending, corporate QoQ: 0.6 % 600 YoY: 5.3 % 600 QoQ: 1.5 % 500 500 YoY: 9.1 % QoQ: 3.3 % 400 QoQ: 3.3 % 400 YoY: 23.9 % DKr bn DKr bn YoY: 15.4 % 300 300 200 200 100

  17. Slide 17: Impairment charges and non-performing loans

    Danske Bank Fact Book Q1 2008 Impairment charges and non-performing loans Impairment charges and non-performing bearing loans Year to date Full year (Danske Bank Group) Q108 Q407 Q307 Q207 Q107 2008 2007 Accumulated impairment charges (DKr bn end period)* 5.15 4.90 4.64 4.55 4.53 5.15 4.90 Non-perfo

  18. Slide 18: Key ratios

    Danske Bank Fact Book Q1 2008 2.3. Key ratios Year to date Full year Key ratios Q108 Q407 Q307 Q207 Q107 2008 2007 Net profit for the period per share, DKr 3.7 5.2 5.3 5.5 5.6 3.7 21.7 Diluted net profit for the period per share, DKr 3.7 5.2 5.3 5.5 5.6 3.7 21.6 Net profit for the period as % p.a. o

  19. Slide 19: Cost/income ratio, EPS, return on equity, total assets

    Danske Bank Fact Book Q1 2008 Cost/income ratio, % Earnings per share, DKr 70 25 60 20 50 40 15 30 10 20 5 10 0 0 2003 2004 2005 2006 2007 Q108 2003 2004 2005 2006 2007 Q108 Return on equity (after tax) p.a., % Total assets, DKr bn 20 4000 18 16 3500 14 3000 12 2500 10 2000 8 1500 6 4 1000 2 500 0 0

  20. Slide 20: Business segments and key statistics

    Danske Bank Fact Book Q1 2008 Business segments and key statistics 20

  21. Slide 21: Financial performance, Banking Activities Denmark

    Danske Bank Fact Book Q1 2008 3.1.1. Financial performance, Banking Activities Denmark Banking Activities Denmark encompasses the banking activities of Danske Bank in Denmark and Realkredit Danmark. Danske Bank caters to all types of retail and corporate customers. Danske Bank’s finance centres serv

  22. Slide 22: Breakdown of loans in Realkredit Danmark

    Danske Bank Fact Book Q1 2008 3.1.1.1 Breakdown of loans in Realkredit Danmark at March 31, 2008 Distribution of loan portfolio by outstanding bond debt Distribution of loan portfolio by loan-to-value ratios 100 100 80 80 More than Share of portfolio in % Share of portfolio in % 25 DKr m 10 - 25 > 8

  23. Slide 23: Financial performance, Banking Activities Finland

    Danske Bank Fact Book Q1 2008 3.1.2. Financial performance, Banking Activities Finland Banking Activities Finland encompasses the banking activities of Sampo Bank in Finland and Danske Bank’s Helsinki Branch. Sampo Bank, which is the third-largest bank in Finland, caters to retail customers, small a

  24. Slide 24: Financial performance, Banking Activities Sweden

    Danske Bank Fact Book Q1 2008 3.1.3. Financial performance, Banking Activities Sweden Banking Activities Sweden encompasses the banking activities of Östgöta Enskilda Bank and Provinsbankerne in Sweden, which serve all types of retail and corporate customers. Real-estate agency business is carried o

  25. Slide 25: Financial performance, Banking Activities Norway

    Danske Bank Fact Book Q1 2008 3.1.4. Financial performance, Banking Activities Norway Banking Activities Norway encompasses the banking activities of Fokus Bank in Norway. Fokus Bank serves all types of retail and corporate customers. Banking Activities Norway has five regions with 55 branches, Reta

  26. Slide 26: Financial performance, Banking Activities Northern Ireland

    Danske Bank Fact Book Q1 2008 3.1.5. Financial performance, Banking Activities Northern Ireland Banking Activities Northern Ireland encompasses the banking activities of Northern Bank, which serves both retail and corporate customers. Banking Activities Northern Ireland has four regions with 94 bran

  27. Slide 27: Financial performance, Banking Activities Ireland

    Danske Bank Fact Book Q1 2008 3.1.6. Financial performance, Banking Activities Ireland Banking Activities Ireland encompasses the banking activities of National Irish Bank, which caters primarily to retail and corporate customers. Banking Activities Ireland has four regions with 64 branches and 635

  28. Slide 28: Financial performance, Banking Activities Baltics

    Danske Bank Fact Book Q1 2008 3.1.7. Financial performance, Banking Activities Baltics Banking Activities Baltics encompasses the Group's banking activities in Estonia, Latvia and Lithuania and serves all types of retail and corporate customers. Banking Activities Baltics has 44 branches and 1,286 e

  29. Slide 29: Financial performance, Banking Activities Baltics, continued

    Danske Bank Fact Book Q1 2008 3.1.7. Financial performance, Banking Activities Baltics, continued Year to date Full year Banking Activities, Baltics (DKr m) Q108 Q407 Q307 Q207 Q107 2008 2007 ESTONIA Market share (lending) (%) (end of period)* 12.0 12.0 11.7 11.0 11.1 12.0 12.0 Market share (deposit

  30. Slide 30: Financial performance, Other Banking Activities

    Danske Bank Fact Book Q1 2008 3.1.8. Financial performance, Other Banking Activities Other Banking Activities comprises the activities of Nordania Leasing and the Group’s banking activities in Germany and Poland. Other Banking Activities has 413 employees. Year to date Full year Other Banking Activi

  31. Slide 31: Financial performance, Danske Markets

    Danske Bank Fact Book Q1 2008 3.2. Financial performance, Danske Markets Danske Markets is responsible for the Group’s activities in the financial markets. Trading activities include trading in fixed-income products, foreign exchange, equities and interest-bearing securities; providing the largest c

  32. Slide 32: Financial performance, Danske Capital

    Danske Bank Fact Book Q1 2008 3.3. Financial performance, Danske Capital Danske Capital develops and sells asset management products and services that are offered through the Group’s banking activities and directly to businesses, institutional clients and external distributors. Danske Capital suppor

  33. Slide 33: Financial performance, Danske Capital, continued

    Danske Bank Fact Book Q1 2008 3.3. Financial performance, Danske Capital, continued Year to date Full year Danske Capital (DKr m) Q108 Q407 Q307 Q207 Q107 2008 2007 ASSET MANAGEMENT Net inflow of AuM (DKr bn) 0 5 -1 2 -1 0 5 Total AuM (DKr bn) (end of period) 581 623 639 640 639 581 623 Nordic retai

  34. Slide 34: Financial performance, Danica Pension

    Danske Bank Fact Book Q1 2008 3.4. Financial performance, Danica Pension Danica Pension encompasses the Danske Bank Group’s activities in the life insurance and pensions market. Danica Pension targets both personal and corporate customers. Products are marketed through a range of distribution channe

  35. Slide 35: Financial performance, Other areas

    Danske Bank Fact Book Q1 2008 3.5. Financial performance, Other areas Other areas encompasses expenses for support functions and the Group’s real property activities. Moreover, the area covers the elimination of returns on own shares. Year to date Full year Other areas (DKr m) Q108 Q407 Q307 Q207 Q1

  36. Slide 36: Macroeconomics

    Danske Bank Fact Book Q1 2008 Macroeconomics 36

  37. Slide 37: Tables and charts

    Danske Bank Fact Book Q1 2008 4.1. Tables and charts Denmark (%) 2009E 2008E 2007 2006 2005 2004 2003 2002 2001 GDP Growth 1.3 1.4 1.8 3.9 3.1 2.1 0.4 0.5 0.7 Export 2.8 3.4 3.7 9.0 7.3 2.2 -1.0 4.1 3.1 Private Consumption 1.4 2.4 2.7 3.8 4.2 4.7 1.0 1.5 0.1 Public Consumption 1.6 1.7 1.3 2.0 1.1 1.

  38. Slide 38: Euroland and Ireland macro tables

    Danske Bank Fact Book Q1 2008 Euroland (%) 2009E 2008E 2007 2006 2005 2004 2003 2002 2001 GDP Growth 1.5 1.4 2.6 2.8 1.4 1.8 0.5 0.8 1.6 Export 4.0 3.1 6.0 8.5 3.7 5.6 0.3 1.8 3.3 Private Consumption 1.5 1.2 2.1 2.0 1.3 1.2 1.0 0.6 1.9 Public Consumption 1.5 1.2 2.1 2.0 1.1 1.6 1.7 3.1 2.4 Inflation

  39. Slide 39: Finland and Estonia macro tables

    Danske Bank Fact Book Q1 2008 Finland (%) 2009E 2008E 2007 2006 2005 2004 2003 2002 2001 GDP Growth 2.5 2.6 4.4 5.0 2.9 3.7 1.8 1.6 2.6 Export 3.0 2.5 4.8 10.4 7.2 8.9 -1.7 2.8 2.6 Private Consumption 2.5 2.5 3.7 4.3 4.0 2.9 4.7 2.2 2.7 Public Consumption 1.5 1.5 0.8 1.0 1.5 1.8 1.6 2.6 1.3 Inflatio

  40. Slide 40: Lithuania macro table

    Danske Bank Fact Book Q1 2008 Lithuania (%) 2009E 2008E 2007 2006 2005 2004 2003 2002 2001 GDP Growth 4.5 5.0 8.7 7.6 7.6 7.1 10.5 6.8 6.4 Export 4.5 6.1 7.0 15.4 20.1 8.9 7.3 13.1 18.4 Private Consumption 4.4 7.9 12.0 13.6 7.7 8.8 10.4 5.5 6.3 Public Consumption 6.5 5.2 5.0 7.3 0.2 4.4 4.8 3.6 -0.4

  41. Slide 41: House price index; unemployment rate

    Danske Bank Fact Book Q1 2008 House price index (DK-seasonally adj) (1995=100) 330 300 270 240 210 180 House-price indices, % change 150 120 90 Irland 262 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 UK 230 Real estate homes for sale 70000 Spanien 200 60000 Sverige 163 50000

  42. Slide 42: GDP Growth and Private Consumption

    Danske Bank Fact Book Q1 2008 GDP Growth 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 2000 2001 2002 2003 2004 2005 2006 2007 2008E 2009E Denmark Norway Sweden Ireland UK Euroland Finland Estonia Latvia Lithuania Private Consumption 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 2000 2001 2002 2003 2004 2005 2006

  43. Slide 43: Household debt and interest payments

    Danske Bank Fact Book Q1 2008 Household debt and interest payments, Denmark Household debt , Finland Debt burden Interest burden % of disposable % of disposable % of disposable income income income 280 12.0 99 260 88 10.0 240 77 220 8.0 66 55 200 6.0 44 180 4.0 33 160 22 140 2.0 11 120 0.0 0 Mar-00

  44. Slide 44: Household net worth incl. property value

    Danske Bank Fact Book Q1 2008 Household net worth incl. property value, Dkr bn 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Denmark Source: Danske Research (www.danskebank.com/danskeresearch). Updated April 2008. 44

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