Nordea Guides for Improved Operational Efficiency This Year
I'm LongbridgeAI, I can summarize articles.Nordea Bank reported a Q2 net profit of €1.23 billion, slightly up from the prior year, beating analyst forecasts. The bank guided for improved operational efficiency this year, lowering its cost-to-income ratio target to 44%-45%. It also announced an August midyear dividend of €0.34 per share and maintained a strong CET1 ratio of 15.7%.
By Dominic Chopping
Nordea Bank guided for improved operational efficiency this year as it makes progress in implementing its growth strategy.
The Helsinki-based bank said Thursday that it saw good momentum across the business in the second-quarter as it continued to attract new customers and achieved high growth in savings and investments.
The bank said Nordic corporates are continuing to invest, lending to households increased, and credit and asset quality remain strong.
"The business is performing very well and our strategy execution is on course, with visible progress across all initiatives," it said.
Nordea posted second-quarter net profit of 1.23 billion euros, equivalent to $1.41 billion, compared with 1.22 billion euros a year earlier, as net interest income fell 1.1% to 1.78 billion euros.
A poll of analysts by FactSet had forecast net profit of 1.19 billion euros and net interest income of 1.79 billion euros.
As previously communicated, Nordea will pay dividends twice a year going forward. It said Thursday that has decided to pay a midyear dividend in August of 0.34 euros a share.
Its common equity Tier 1 ratio was 15.7%, versus 15.6% a year earlier.
Nordea still expects a return on equity above 15% in 2026 but now guides a cost-to-income ratio excluding regulatory fees--a measure of operational efficiency--of 44%-45%, from around 45% previously.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
July 16, 2026 01:23 ET (05:23 GMT)
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