DNB’s profit in the fourth quarter of 2024 was NOK 12 675 million after tax. This is NOK 3 271 million, or 34.8 per cent, higher than in the corresponding quarter of 2023.
“The Norwegian economy is doing well, and this is reflected in DNB's results. We saw a clear change of pace in the summer, and activity has picked up throughout the autumn. We have entered 2025 with increasing activity in the housing market and a rising number of customers seeking financing," says CEO of DNB Kjerstin Braathen.
More customers are choosing DNB
DNB experienced lending growth of 2.5 per cent during the quarter, with positive developments across all customer groups.
“Solid growth across the board is the result of our efforts to help many companies both in and outside Norway with their projects. Sound advisory services help create value for customers as well as for DNB. We see this, among other things, in our income from areas other than lending, where the fourth quarter result shows that many customers are seeking our expertise," says Braathen.
The personal customers segment saw a particularly strong development in the second half of the year.
“We are experiencing greater interest from customers, and we find that many people choose us because they see us as a good adviser for customers in important phases of their lives. Many people are contacting us because of the changes to the Norwegian Lending Regulations that were introduced at the end of 2024, and we have also gone far in meeting the needs of young people by doubling the amount in the UNG-milliarden (young billion) campaign," says Braathen.
Interest in saving remains high
The level of saving among Norwegians has been high in recent years, and the net subscription to mutual funds in DNB reached at an all-time high in December. Customers increased their mutual fund savings in 51 of the 52 weeks of the year.
“Our customers are managing their finances well. We have very few defaults, a low and falling proportion of mortgage customers with interest-only periods, and we see that many of our customers are able to put money aside for saving. The number of savings schemes has continued to grow during the year," says Braathen.
Income from other customer activities than lending and deposits (commission and fee income) ended at NOK 3 287 million this quarter – driven by good income growth in DNB Markets and in asset management and pensions. Income was 12.3 per cent higher than in the corresponding quarter of last year, and the result was the best ever in the fourth quarter.
DNB Markets expects increased growth in the Norwegian economy
According to DNB Markets' latest forecasts, the level of activity in the Norwegian economy is expected to increase further in the years ahead, and DNB has a solid foundation for continued profitable growth. At the same time, the geopolitical situation is unpredictable.
“Norway is a small, open economy that relies on good access to our most important export markets. At the same time, it’s important to underline that the Norwegian economy has performed very well in the face of high interest rates and uncertainty in the global economy – and that at the start of 2025 we have a robust foundation, with good activity in most industries," says Braathen.
Half of the dividends are channelled back to the community
Due to the strong results, DNB's Board of Directors will propose to the Annual General Meeting that a dividend of NOK 16.75 per share is paid for 2024, in line with the Group's ambition to increase the nominal dividend per share.
“Around half of DNB’s dividends will be channelled right back to Norwegian society through the government’s ownership, Folketrygdfondet (manager of the Government Pension Fund Norway) and the DNB Savings Bank Foundation. With the proposed dividend, for these three players alone, about NOK 12.2 billion will be channelled back to the community,” says Braathen.
Financial key figures for the fourth quarter of 2024 (figures for the corresponding quarter in 2023):
Pre-tax operating profit before impairment amounted to NOK 13.5 billion (12.3)
Profit was NOK 12.7 billion (9.4)
Earnings per share were NOK 8.21 (5.93)
Return on equity was 19.0 per cent (14.6)
Cost/income ratio was 37.9 per cent (38.5)
Common equity Tier 1 (CET1) capital ratio was 19.4 per cent (18.2)
Financial key figures for the full year 2024 (corresponding figures for 2023):
Pre-tax operating profit before impairment amounted to NOK 56.1 billion (53.1)
Profit was NOK 45.8 billion (39.5)
Earnings per share were NOK 29.34 (24.83)
Return on equity was 17.5 per cent (15.9)
Cost/income ratio was 35.2 per cent (35.0)
For further information:
Rune Helland, Head of Investor Relations, tel.: (+47) 23 26 84 00 / (+47) 97 71 32 50
Kari Vartdal Riise, Executive Vice President of Communications (acting), tel. (+47) 97 51 67 07
This information is subject to the disclosure requirements pursuant to section 5-12 of the Securities Trading Act.
