Norway’s largest lender, DNB Bank, has announced its second-quarter financial results, surpassing forecasts and reporting a significant increase in net profit. The bank’s profit attributable to shareholders reached 9.15 billion Norwegian kroner ($884 million), a substantial rise compared to 7.78 billion kroner in the same period last year. Net interest income also saw a significant boost, rising by 32% to reach 15.23 billion kroner.
The positive results can be attributed to profitable growth in lending and deposits, as well as higher interest rates. DNB Bank’s second-quarter performance was driven by a combination of profitable volume expansion and increased interest rates. The bank noted that its capital position remains strong and the portfolio is well-diversified and resilient.
“We are pleased to see growth in both the personal and corporate customer markets,” said Kjerstin Braathen, Chief Executive of DNB Bank. “From small local cornerstone companies to large industrial groups, there is a great demand for financing and our expertise.”
DNB Bank maintains its strategic targets, including a return on equity above 13%, organic loan growth of approximately 3%-4% over time, a 4%-5% annual increase in net commissions and fees, and a cost-to-income ratio below 40%.
Furthermore, DNB Bank’s common equity Tier 1 capital ratio, which indicates its financial strength, increased to 18.9% from 18.0%.
Overall, DNB Bank’s strong second-quarter performance demonstrates its ability to capitalize on market opportunities and deliver sustainable growth.
Norway’s largest lender, DNB Bank, has announced its second-quarter financial results, surpassing forecasts and reporting a significant increase in net profit. The bank’s profit attributable to shareholders reached 9.15 billion Norwegian kroner ($884 million), a substantial rise compared to 7.78 billion kroner in the same period last year. Net interest income also saw a significant boost, rising by 32% to reach 15.23 billion kroner.
Strong Performance Driven by Growth and Higher Interest Rates
The positive results can be attributed to profitable growth in lending and deposits, as well as higher interest rates. DNB Bank’s second-quarter performance was driven by a combination of profitable volume expansion and increased interest rates. The bank noted that its capital position remains strong and the portfolio is well-diversified and resilient.
Growing Demand for Financing and Expertise
“We are pleased to see growth in both the personal and corporate customer markets,” said Kjerstin Braathen, Chief Executive of DNB Bank. “From small local cornerstone companies to large industrial groups, there is a great demand for financing and our expertise.”
DNB Bank maintains its strategic targets, including a return on equity above 13%, organic loan growth of approximately 3%-4% over time, a 4%-5% annual increase in net commissions and fees, and a cost-to-income ratio below 40%.
Financial Strength and Capital Position
Furthermore, DNB Bank’s common equity Tier 1 capital ratio, which indicates its financial strength, increased to 18.9% from 18.0%.
Overall, DNB Bank’s strong second-quarter performance demonstrates its ability to capitalize on market opportunities and deliver sustainable growth.
