Danske Bank A/s · OMXCOP:DANSKE
Danske Bank A/s — Investor Day (June 2023)
19 slides from Danske Bank A/s's investor day presentation, Jun 7, 2023
Slide 1: Focused Nordic leader with strong profitability
Focused Nordic leader with strong profitability Investor update Copenhagen, June 7, 2023
Slide 2: Who we are – Our recent journey
Who we are – Our recent journey Carsten Egeriis, Chief Executive Officer 2
Slide 3: Nordic leader with a unique position
Who we are Nordic leader with a unique position Corporate market share2 A strong foundation Retail market share2 Top 2 corporate, institutional and Share of group lending3 business bank in the Nordics1 Sweden 8% 3% 15% Leading and scalable retail bank in Denmark and Finland Norway Finland Positioned
Slide 4: Nordics – an attractive, stable and innovative region for banking
Who we are Nordics – an attractive, stable and innovative region for banking 1 Attractive macro environment 2 Digital leaders Digital Economy and GDP growth (index: 2013=100)1 Society Index2 (EU) 125 Nordics 1. Finland 5. Ireland 120 115 Euro area 2. Denmark 6. Malta 110 3. Netherlands 7. Spain 105
Slide 5: Positioned in the most attractive segments with a strong product offering
Who we are Positioned in the most attractive segments with a strong product offering Most attractive customer segments Strong product offering and partnerships Large Corporates & Institutions • Core relationship with 59% of Nordic Tier 1 Institutions and 40% of Nordic Large Corporates1 FX and TxB6 •
Slide 6: Attractive business with a sound financial and risk profile
Who we are Attractive business with a sound financial and risk profile Diverse income mix Diverse segment mix Diverse country mix % of total income % of total income % of total income Other1 Other2 Personal Non-Nordic3 9% Customers Finland 6% 15% Denmark 11% 33% LC&I 32% Norway 13% 55% 53% Net fee 3
Slide 7: We have made fundamental changes to become a stronger more resilient bank
Our recent journey We have made fundamental changes to become a stronger more resilient bank Strengthened control environment Business de-risked & re-focused Strengthened organisation Resolution of Estonia matter with Exit of high-risk countries and More customer-focused business US and Danish autho
Slide 8: Accelerated commercial momentum over the past 18-24 months
Our recent journey Accelerated commercial momentum over the past 18-24 months Nordic large corporate lending (index: 2020 = 100) Strengthening leading position Large 126 • Steady long-term growth in lending, capturing market share Corporates 106 100 • Relative capital consumption decreased & Institu
Slide 9: We are significantly exceeding our original targets for 2023
Our recent journey We are significantly exceeding our original targets for 2023 Cost to Income1 2023 targets from previous strategy • Fundamental changes 72% to become a stronger 68% more resilient bank 54% 47% Guidance for 2023 • Accelerated underlying Q2 ‘22 Q3 ‘22 Q4 ‘22 Q1 ‘23 commercial momentu
Slide 10: Strategic priorities – Our plan towards 2026
Strategic priorities Our plan towards 2026 10
Slide 11: Business plan for growth and profitability
Strategic priorities Business plan for growth and profitability Our targets for 2026 13% Growth in Disciplined capital Strong capital Return on Equity focus segments return & cost generation & low risk Leading wholesale Capital allocation towards Strong capital generation >16% CET1 and business bank
Slide 12: Portfolio optimisation and capital allocation to support most profitable opportunities
Strategic priorities Portfolio optimisation and capital allocation to support most profitable opportunities Clear strategic focus in each business area Focused, profitable growth LC&I Fortify leading position in Nordics PC Denmark Focused, profitable growth PC Finland BC mid corp. BC mid corp. Grow
Slide 13: Investing in strategic focus areas
Strategic priorities Investing in 4 strategic focus areas 1. Advisory Further reinforce our advisory and proactive engagement with differentiated expertise for our customers Advisory 2. Digital Continue to strengthen our digital platforms, self- Simple, service, customer journeys and 3rd party integ
Slide 14: 1. Advisory
Strategic priorities 1. Advisory Our starting point What we will do Unique breadth and depth of Improve service model for each segment local expertise across all − New segmentation model in each business unit customer segments − 360-degree view of customers Leading Capital Markets Become even more p
Slide 15: 2. Digital
Strategic priorities 2. Digital Our starting point What we will do Award-winning customer Further strengthen customer experiences and digital setup channels – #1 Mobile Bank in − Continue to reinforce user experience across our digital platforms Denmark and District platform − Invest significantly i
Slide 16: 3. Sustainability
Strategic priorities 3. Sustainability Our starting point What we will do Industry leading Climate Action Large Corporates & Institutions Personal Customers Plan with biodiversity as next Advisory, transition finance and Housing, investments, pensions, priority theme project finance mobility and dai
Slide 17: 4. Simple, Efficient, Secure
Strategic priorities 4. Simple, Efficient, Secure Our starting point What we will do Our ‘One IT’ platform gives us a Increase yearly digital and tech investments by DKK 1 bn strong starting point – highly − Further strengthen focus on customer experiences, data and AI available, secure and scalable
Slide 18: A focused Nordic leader with strong profitability
Strategic priorities A focused Nordic leader with strong profitability Our targets for 2026 13% Growth in Disciplined capital Strong capital Return on Equity focus segments return & cost generation & low risk Leading wholesale Capital allocation towards Strong capital generation >16% CET1 and busine
Slide 19: Disclaimer
Disclaimer Important Notice This presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire securities of Danske Bank A/S in any jurisdiction, including the United States, or an inducement to enter into