Danske Bank Chief ex­ec­u­tive: Kevin Kingston

Belfast Telegraph - Top 100 Northern Ireland Companies - - ENTRIES 1-20 PROFILED -

Danske Bank in North­ern Ire­land re­ported pre-tax prof­its of £88.8m and a profit be­fore im­pair­ments of £92m for the year to end De­cem­ber 2018.

Profit be­fore im­pair­ment charges was down 22%. But the bank said that the un­der­ly­ing per­for­mance of the busi­ness re­mained strong. The year be­fore, 2017, had ben­e­fited from two one-off cred­its fol­low­ing sale of th bank’s wealth busi­ness and pen­sion changes.

In 2018, to­tal income was up 2% yearon-year re­flect­ing growth in lending (8% higher) and de­posits (7% higher) and higher UK in­ter­est rates, par­tially off­set by the in­clu­sion in 2017 of income from the pro­ceeds of the sale of the bank’s wealth busi­ness.

The bank said that the year-on-year in­crease in ex­penses was pri­mar­ily due to the non-re­cur­ring im­pact in 2017 of changes made to the bank’s pen­sion scheme.

Un­der­ly­ing costs were 4% higher, which the bank said was due to on­go­ing in­vest­ment in new cus­tomer solutions and skills.

Profit be­fore tax re­duced year-on-year, fur­ther re­flect­ing a low net loan im­pair­ment charge in 2018 com­pared to the net re­cov­er­ies re­ported in re­cent years.

Danske Bank said it con­tin­ued to have a strong ca­pac­ity to sup­port fur­ther lending growth as demon­strated by a loan to de­posit ra­tio of 76%.

It was also a strong year for Danske Bank’s mortgage busi­ness, with new mortgage lending up 26% com­pared to 2017.

Danske Bank says that it has more mortgage con­sul­tants based in NI than any other bank, and has now set up a new team of

re­la­tion­ship man­agers ded­i­cated to serv­ing the in­de­pen­dent mortgage bro­ker net­work.

It says that it’s now pro­vid­ing one in four first time buyer mort­gages and one in five of all mort­gages in NI.

Danske Bank said that it was also de­lighted to win the over­all in­house con­tact centre of the year ac­co­lade at the Con­tact Centre Net­work North­ern Ire­land awards.

Dur­ing 2018 Danske Bank also saw fur­ther adoption of its dig­i­tal chan­nels, with more than 4 mil­lion dig­i­tal lo­gons per month.

New of­fer­ings in­cluded the in­tro­duc­tion of a new cus­tomer App, as well as new cus­tomer mo­bile pay­ment op­tions. Danske said that it also be­came the first of the main lo­cal NI banks to of­fer customers all of the main con­tact­less ser­vices, hav­ing pre­vi­ously in­tro­duced Ap­ple Pay and Fit­bit Pay.

Danske also launched a ded­i­cated fin­tech co-cre­ation space on the ground floor of its Belfast head­quar­ters — the Cat­a­lyst Belfast Fin­tech Hub.

It an­nounced two branch clo­sures in re­sponse to “con­tin­u­ing changes in cus­tomer be­hav­iour”. Fol­low­ing the clo­sures, the bank will have a net­work of 40 branches.

In cor­po­rate and busi­ness bank­ing, lending was up 6% yearon-year dur­ing 2018.

Some no­table deals in­cluded fund­ing sup­port for An­dras Ho­tel Group, IT com­pany Novosco, con­sumer goods firm SHS Group, agri busi­ness Devenish Nu­tri­tion and gar­den goods sup­plier West­land.

Pre-tax profit: £88.8m

Em­ploy­ment: 1,328

Pay bill: £57.4m

Done­gall Square West Belfast BT1 6JS Tel: 028 9004 6100 www.danske­bank.co.uk

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.