NBNKF - Nordea Bank Abp (NRDBY) Q1 2024 Earnings Call Transcript
2024-04-18 14:11:10 ET
Start Time: 04:00
End Time: 05:13
Nordea Bank Abp (NRDBY)
Q1 2024 Earnings Conference Call
April 18, 2024, 04:00 AM ET
Company Participants
Frank Vang-Jensen - President and CEO
Ian Smith - Group CFO
Ilkka Ottoila - Head of IR
Conference Call Participants
Andreas Hakansson - SEB
Markus Sandgren - Kepler Cheuvreux
Shrey Srivastava - Citi
Magnus Andersson - ABGSC
Nicolas McBeath - DNB
Gulnara Saitkulova - Morgan Stanley
Namita Samtani - Barclays
Riccardo Rovere - Mediobanca
Hugh Moorhead - Berenberg
Jacob Kruse - Autonomous Research
Hari Sivakumaran - KBW
Sofie Peterzens - JPMorgan
Presentation
Ilkka Ottoila
Good morning, and welcome to Nordea's First Quarter 2024 Results Presentation. I'm Ilkka Ottoila, the Head of Investor Relations. With me here in Helsinki today are President and Chief Executive Officer, Frank Vang-Jensen; and Group CFO, Ian Smith. We'll start off with a presentation by Frank, followed by a Q&A session. In order to ask questions, please dial into the teleconference.
But with that, let's get started. Over to you, Frank.
Frank Vang-Jensen
Today, we have published our results for the first quarter of 2024. We began the year strongly, continuing our good momentum supported by a competitive offering and our advisers' proactive approach towards customers. Return on equity reached 18.1%, which is our highest first quarter return on equity since 2007. So a good start despite the generally subdued economic environment and the ongoing high uncertainty in the world today.
At Nordea, we have a strong business franchise with a resilient and well-diversified business model. So we are well equipped to navigate uncertainty and serve our customers. And as our first quarter results demonstrate, we continue to be one of the best performing universal banks in Europe.
Some highlights for the quarter. Total income was up 6% year-on-year, driven by net interest income growth of 11%. Net fee and commission income was stable. Net insurance result was up 33%, while net fair value result was lower compared with a very strong Q1 last year. Operating profit increased by 19% year-on-year. Our good return on equity of 18.1% compared with a return on equity of 17.1% in the same quarter a year ago.
The lending markets were slow. Still, we performed well with our mortgage lending volumes stable and corporate lending volumes up 2% year-on-year. Our assessment is that we have defended our market shares during the period. Retail deposits were up 1% year-on-year, while corporate deposits decreased by 6%. Asset under management were higher for the quarter, increasing by 8% on last year. ...
Nordea Bank Abp (NRDBY) Q1 2024 Earnings Call Transcript