Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  NASDAQ OMX COPENHAGEN  >  Danske Bank A/S    DANSKE   DK0010274414

DANSKE BANK A/S

(DANSKE)
  Report  
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsAnalyst Recommendations

Danske Bank Warns of Elevated Costs Ahead as Net Profit Fell 6.8%

share with twitter share with LinkedIn share with facebook
share via e-mail
0
07/18/2019 | 02:54am EDT

By Dominic Chopping

Danske Bank AS (DANSKE.KO) reported on Thursday a 6.8% fall in second-quarter net profit as it warned that the cost of its intensified focus on compliance and anti-money laundering activities will remain high.

The bank is being investigated by Estonia, Denmark, France and the U.S. over allegations that around $230 billion in suspicious funds from Russia and other former Soviet states entered Europe through its tiny branch in Estonia. It said Thursday that no material developments regarding the case took place in the second quarter, but that it continues to have a negative impact in terms of customer satisfaction and outflow among retail customers in Denmark.

The lender made a quarterly net profit of 3.84 billion Danish kroner ($576.1 million) compared with DKK4.11 billion in the year-earlier period. The Copenhagen-based bank was expected to deliver a net profit of DKK3.87 billion, according to a poll of analysts provided by FactSet.

Net interest income fell to DKK6.98 billion from DKK7.21 billion.

The decline in net profit was due primarily to lower net interest income, lower trading income, higher expenses, especially for anti-money laundering investments and compliance, as well as an anticipated in-crease in impairments due to fewer reversals from the allowance account.

Danske also saw a negative impact from the estimated compensation payable from the previously announced mismanagement of a financial product that overcharged its customers.

The bank said it now expects the generally slow momentum in income to continue, driven mainly by margin pressure and challenging conditions in the financial markets.

New Chief Executive Chris Vogelzang said his focus in the coming weeks and months will be on analysis of the business and strategy.

"Later this year, we will come back with an update on how we will make sure that Danske Bank can continue to deliver an excellent customer experience, make a positive societal impact, be a great place to work for our employees and create long-term value for our shareholders," he said.

Danske reiterated its recently downgraded full-year guidance for net profit of DKK13 billion-DKK15 billion and expenses of DKK25.5 billion-DKK26 billion.

Danske Bank's common equity Tier 1 ratio--a key measure of financial strength--rose to 16.6% at the end of the quarter, up from 15.9% a year earlier.

Write to Dominic Chopping at dominic.chopping@wsj.com; @domchopping @WSJNordics

Stocks mentioned in the article
ChangeLast1st jan.
DANSKE BANK A/S 3.40% 91.12 Delayed Quote.-29.31%
DANSKE BANK AS (ADR) 2.45% 6.7 Delayed Quote.-32.93%
US DOLLAR / RUSSIAN ROUBLE (USD/RUB) 0.85% 66.4938 Delayed Quote.-4.57%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on DANSKE BANK A/S
08/15Danske Bank A/S Danske Bank A/S, Transactions By Persons Discharging Manageri..
DJ
08/14EUROPE MARKETS: Europe Stocks Hammered As German Economy Heads Toward Recessi..
DJ
08/13Danske Bank A/S Danske Bank A/S, Transactions By Persons Discharging Manageri..
DJ
08/13DANSKE BANK A/S : transactions by persons discharging managerial responsibilitie..
AQ
08/13DANSKE BANK-COPENHAGEN PRIDE WEEK : We celebrate diversity
AQ
08/09DANSKE BANK A/S : Estonian prosecutor seizes 2 million euros from former Danske ..
RE
08/07ABN Amro flags possible money laundering fines in latest blow to shares
RE
08/05DANSKE BANK A/S : Danske Bank A/S, Transactions By Persons Discharging Manageria..
DJ
08/02Danske Bank A/S Danske Bank A/S, Transactions By Persons Discharging Manageri..
DJ
07/31Danske Bank A/S Danske Bank A/S, Transactions By Persons Discharging Manageri..
DJ
More news
Financials (DKK)
Sales 2019 43 576 M
EBIT 2019 17 903 M
Net income 2019 12 660 M
Debt 2019 -
Yield 2019 9,07%
P/E ratio 2019 6,20x
P/E ratio 2020 6,06x
Capi. / Sales2019 1,79x
Capi. / Sales2020 1,74x
Capitalization 77 820 M
Chart DANSKE BANK A/S
Duration : Period :
Danske Bank A/S Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends DANSKE BANK A/S
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 21
Average target price 131,63  DKK
Last Close Price 91,12  DKK
Spread / Highest target 119%
Spread / Average Target 44,5%
Spread / Lowest Target -3,97%
EPS Revisions
Managers
NameTitle
Jesper Nielsen Chief Executive Officer & Head-Banking
Karsten Dybvad Dalsjö Chairman
James Martin Ditmore COO, Group Head-Services & IT
Christian Baltzer Chief Financial Officer
Charlotte Hoffmann Director
Sector and Competitors
1st jan.Capitalization (M$)
DANSKE BANK A/S-29.31%11 204
JP MORGAN CHASE & COMPANY7.76%336 326
INDUSTRIAL AND COMMERCIAL BANK OF CHINA3.97%267 910
BANK OF AMERICA6.53%244 343
WELLS FARGO & COMPANY-3.67%191 137
CHINA CONSTRUCTION BANK CORPORATION11.30%184 753