Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Nordea — Q3 2002 Earnings Presentation
9 slides from Nordea Bank Abp's earnings presentation, Oct 22, 2002
Slide 1: Results third quarter 2002 Press conference
Results third quarter 2002 Press conference 22 October 2002 Lars G Nordström
Slide 2: Stable overall development
Stable overall development l Operating profit EUR 399m, up 18%compared to second quarter l Total income EUR 1,406m, down 1% on second quarter, showing growth in net interest income and reduced commissions l Total expenses unchanged compared to second quarter l Loan losses EUR 66m (EUR 56m) correspon
Slide 3: Focus, speed and performance
Focus, speed and performance l Focus - Concentrating on our strengths – Selected core businesses and each unit will focus on its line of business – Change, close down or divest businesses and activities which are not profitable or are underperforming l Speed - Quick and flexible, always adjusting to
Slide 4: Areas of attention
Areas of attention l Credit portfolio l Earnings volatility and capital market exposure l Capital efficiency l Cost efficiency 4 Third quarter results - press conference - 22 October 2002
Slide 5: Credit portfolio - stable quality
Credit portfolio - stable quality l Stable composition l Concentration on Nordic customers help maintaining satisfactory credit quality l Very few visible signs of deterioration of credit quality l Continuous close monitoring and proactive steps are taken when necessary Q3 status: l Loan losses in t
Slide 6: Earnings volatility and capital markets exposure
Earnings volatility and capital markets exposure l Disposal of general insurance activities reduces equity exposure and earnings volatility Q3 actions: l Equities reduced to 15%of assets in the Life insurance business – Actual exposure lower due to the use of hedging instruments l Equity exposure in
Slide 7: Capital efficiency - strengthening the balance sheet
Capital efficiency - strengthening the balance sheet l Strong attention on risk management l Prioritisation of performance and profitability before growth l Further repurchases of own shares will be carefully considered l Focus on risk weighted assets and the use of Economic Capital will be strength
Slide 8: Cost efficiency - improvement needed
Cost efficiency - improvement needed l Special attention to the overall cost development - strict cost control will be exercised l Further integration of business activities and processes and implementation of best practice l Reprioritisation of integration and development projects to adapt to the c
Slide 9: In summary
In summary l Stable overall development in the third quarter l A change in focus and speed is needed l Continuous improvement of performance will be given top priority going forward 9 Third quarter results - press conference - 22 October 2002