Danske Bank 2Q Profit Falls; Sees 2018 Earnings at Lower End of Guidance
By Adria Calatayud
Danske Bank AS (DANSKE.KO) said Wednesday that second-quarter net profit fell 12%, as the lender forecast its full-year earnings to be at the lower end of its previous guided range.
Denmark's biggest lender made a quarterly net profit of 4.23 billion Danish krone ($663.9 million) compared with DKK4.79 billion in the year-earlier period. The Copenhagen-based bank was expected to deliver a net profit of DKK4.58 billion, according to a consensus based on forecasts by ten analysts polled by FactSet.
Net interest income for the second quarter increased to DKK5.88 billion from DKK5.78 billion in the same period a year before. Analysts expected net interest income of DKK6.01 billion, according to a FactSet-provided consensus.
The bank confirmed that it expects net profit for 2018 to be between DKK18 billion and DKK20 billion, but added that it anticipates a figure closer to the lower end of that range.
Danske said its common equity Tier 1 capital ratio--a key measure of financial strength--stood at 15.9% at the end of the first half.
Danske said that it has hired Philippe Vollot as its new chief compliance officer, and that he will take up his position by Dec. 1. The bank's prior compliance chief stepped down last week amid a money-laundering scandal in Estonia.
Write to Adria Calatayud at firstname.lastname@example.org
(END) Dow Jones Newswires
July 18, 2018 02:50 ET (06:50 GMT)Copyright (c) 2018 Dow Jones & Company, Inc.