Sydbank A/S reports Q1 2022 earnings and revises

Company Announcement No. 16/2022

Peberlik 4
6200 Åbenraa
Denmark

Tel +45 70 10 78 79
Fax +45 74 37 35 36

Sydbank A/S
CVR No DK 12626509, Aabenraa
sydbank.dk

April 25, 2022

Dear sirs

Statement from Sydbank A/Ss its Q1 2022 results and revises up her waitings for the benefit of the year 2022

Due to a very satisfactory start to 2022 with strong growth in bank loans and advances from DKK 4.6 billion to DKK 71.6 billion as well as a high level of activity, the profit expectation for the year is revised upwards to within the range of DKK 1,350 to 1,550 million. As part of the publication of the 2021 Annual Report on March 2, 2022, we announced that we expect a profit after tax in the range of DKK 1,150-1,450 million for 2022.

Revenue statement

million DKK Q1
2022
Q1
2021
Hint
22/21
Full year
2021
basic income 1,200 1,105 109 4,436
Commercial income 100 73 137 291
Total Income 1,300 1,178 110 4,727
Costs, basic income 799 833 96 3,177
Heart earnings before deficiency 501 345 145 1,550
Impairment of loans and advances, etc. (61) (81) 75 (415)
Heart earnings 562 426 132 1,965
Income from investment portfolio (29) (21) 138 (21)
Earnings before non-recurring items 533 405 132 1,944
Non-recurring items, net 37 (32) (180)
Profit before tax 570 373 153 1,764
Tax 125 82 152 353
Benefit for the period 445 291 153 1,411

Heart Income

million DKK Q1
2022
Q1
2021
Hint
22/21
Full year
2021
Net interest, etc. 492 434 113 1,776
Mortgage credit 183 176 104 693
Payment services 51 47 109 203
Remortgage and loan fees 61 53 115 169
Commission and brokerage 130 134 97 470
Commission etc. investment funds and group pension plans 82 83

99

340

Asset Management 89 89 100 380
Securities account fees 33 25 132 115
Other exploitation products 79 64 123 290
Total 1,200 1,105 109 4,436

Impairment of loans and advances, etc.
Due to the changing financial situation of customers, a net reversal of impairment charges of DKK 61 million was recorded in the first quarter of 2022. Impairment charges for 2022 are still expected to be at a low level. Management estimates at the end of 2021 remained unchanged at the end of the first quarter of 2022. This applies to the provision of DKK 325 million related to covid-19 as well as the provision of DKK 60 million related to the ‘Pig breeding.

Non-recurring items, net
Non-recurring items in the first quarter of 2022 total net income of DKK 37 million.

The item includes costs of DKK 12 million related to the development of housing loan processes and DKK 2 million related to the development of the bank/insurance partnership. In addition, DKK 51 million was recognized as income for extraordinary capital gains realized on the loan portfolio acquired from Alm. Brand bank.

Sydbank’s Interim Report – Q1 2022 will be released on May 4, 2022 as scheduled.

Further information
Jørn Adam Møller, Deputy Group Managing Director, tel +45 74 37 20 30
Susanne Ingemann Faber, press officer, tel. +45 26 29 11 29

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