Nordea Baltic organization reported operating profit of 54 million euros in the first half-year of 2015. Total income increased by 9% compared to the same period last year, while total commission income has increased by 18%. Total savings and investment product portfolio volumes showed a steady increase and total deposit volumes have increased by 5% in comparison to the same period last year. The volume of the household deposits portfolio continues to grow, increasing 30% y-o-y.
“Although the financial industry is experiencing times of low interest rates and overall modest economic growth, Nordea Baltic business has delivered solid results for the first half-year of 2015 that demonstrate increasing customer activity in both private and corporate customer segments. Customer surveys showed that on average more than 80% of our customers in all three Baltic countries recognize the importance of savings. We are constantly updating our product range to meet the demands of our growing customer base and recently several initiatives have been started to strengthen savings and investment advisory capabilities as well as improve mobile and electronic banking offerings. We continue to develop more advanced remote solutions and services to offer our customers a seamless, multi-channel experience that combines branch service with online access,” says Inga Skisaker, Head of Nordea Banking Baltics. “We also keep executing our capital efficiency programs, maintaining a clear focus on reducing the funding gap in order to ensure an efficient and sustainable balance sheet structure,” adds the Head of Nordea Banking Baltics.
Results of Nordea Bank Latvia Branch in te 2nd Quarter of year 2015
In the first half of 2015 Nordea Bank in Latvia reported a profit before corporate tax amounting to EUR 20 million. Total deposit volumes reached EUR 1.5 billion, a decrease of 5% compared to the same period last year, however an increase of 11% comparing the previous quarter. Total lending volumes have remained relatively stable and have increased by 1% comparing to Q1 2015. The net interest income reached EUR 26.5 million, whereas the total commission income is amounted to EUR 4.6 million, an increase of 6% compared to the same period last year.
„I am pleased to see that despite the challenges market is facing, we continue to work with increasing earnings. I believe that this is a result of targeted and appropriate for the current market situation offering that we have been able to provide to our customers. We continue to encourage private customers to pay more attention on building their savings and I am particularly glad to see that they are truly becoming more reasonable in building their personal financial portfolio and that active usage of bank’s daily operations has become more balanced and with a greater focus on savings,” comments the Head of Nordea Bank in Latvia Janis Buks.
“Nordea recently was awarded the “Gold” category in the Sustainability Index evaluation. This is the highest rating that acknowledges the company’s ability to follow best practices within the management of corporate social responsibility,” points out the Head of Bank in Latvia.
This report is based on management accounting data.