Head office:
Ringkjøbing Landbobank A/S Tel. +45 9732 1166 CVR 37536814
Torvet 1 post@landbobanken.dk BIC/SWIFT: RINGDK22
6950 Ringkøbing, Denmark www.landbobanken.dk
Nasdaq Copenhagen
London Stock Exchange
Euronext Dublin
Other stakeholders
24 April 2024
Ringkjøbing Landbobank’s quarterly report for the first quarter of 2024
The bank’s board of directors and general management today approved the quarterly report for the first
quarter of 2024.
The bank delivers core earnings of DKK 793 million and net profit of DKK 616 million in the first quarter of the
year. The net profit is equivalent to a 24% p.a. return on equity.
Core earnings
(DKK million)
Q1 2024
Q1 2023
2023
2022
2021
2020
Total core income
1,040
849
3,828
2,862
2,433
2,179
Total expenses and depreciation
247
227
963
891
817
788
Core earnings before impairment charges
for loans
793
622
2,865
1,971
1,616
1,391
Impairment charges for loans etc.
0
-1
-1
-2
-68
-223
Core earnings
793
621
2,864
1,969
1,548
1,168
Result for the portfolio etc.
+23
-21
-7
-69
+7
-9
Amortisation and write-downs on intangible
assets
5
5
20
20
17
15
Tax
195
140
682
385
309
224
Net profit
616
455
2,155
1,495
1,229
920
Highlights of the first quarter of 2024
• The net profit is DKK 616 million, equivalent to a 24% p.a. return on equity
• Earnings per share – measured on net profit – increase by 40%
• Core income increases by 22% to DKK 1,040 million
• Costs increase by 8%, and the cost/income ratio decreases to 23.7%
• Credit quality remains high and impairment charges are DKK 0 million
• Highly satisfactory increase in customer numbers and growth of 5% in loans, 8% in deposits and 15% in
custody account holdings
• The bank’s brands are again ranked at the top of Voxmeter’s image survey
• The expected results for 2024 are maintained
Yours sincerely
Ringkjøbing Landbobank
John Fisker
CEO
Ringkjøbing Landbobank A/S Page 0
Financial review
Q U A R T E R L Y R E P O R T
F O R T H E F I R S T Q U A R T E R O F 2 0 2 4
Ringkjøbing Landbobank A/S Page 1
Quarterly report highlights
• The net profit is DKK 616 million, equivalent to a 24% p.a. return on equity
• Earnings per share measured on net profit increase by 40%
• Core income increases by 22% to DKK 1,040 million
• Costs increase by 8%, and the cost/income ratio decreases to 23.7%
• Credit quality remains high and impairment charges are DKK 0 million
• Highly satisfactory increase in customer numbers and growth of 5% in loans, 8% in deposits and 15% in custody account
holdings
• two brands are again ranked at the top of
• The expected results for 2024 are maintained
Highlights for the bank (DKK million)
Q1 2024
Q1 2023
2023
2022
2021
2020
Total core income
1,040
849
3,828
2,862
2,433
2,179
Total expenses and depreciation
247
227
963
891
817
788
Core earnings before impairment charges
for loans
793
622
2,865
1,971
1,616
1,391
Impairment charges for loans etc.
0
-1
-1
-2
-68
-223
Core earnings
793
621
2,864
1,969
1,548
1,168
Result for the portfolio etc.
+23
-21
-7
-69
+7
-9
Amortisation and write-downs on intangible
assets
5
5
20
20
17
15
Tax
195
140
682
385
309
224
Net profit
616
455
2,155
1,495
1,229
920
Equity
10,460
9,310
10,451
9,295
8,723
8,146
Deposits including pooled schemes
52,824
48,786
52,626
48,700
43,740
39,639
Loans
51,417
48,842
50,881
48,342
41,179
36,241
Balance sheet total
73,438
69,649
73,520
68,980
60,357
54,862
Guarantees
6,533
6,993
6,465
7,570
10,270
9,812
Financial ratios for the bank (percent)
Net profit / average equity
23.6
19.6
21.8
16.6
14.6
11.7
Cost/income ratio
23.7
26.7
25.2
31.1
33.6
36.2
Common equity tier 1 capital ratio
15.3
16.9
18.9
17.4
17.6
17.5
Total capital ratio
19.2
21.0
23.0
21.6
22.3
21.1
MREL capital ratio
27.1
28.5
28.9
28.9
27.8
26.7
Key figures per DKK 1 share (DKK)
Core earnings
30.0
22.8
107.1
71.5
54.4
40.2
Net profit
23.3
16.7
80.6
54.3
43.2
31.6
Book value
395.6
341.0
391.0
337.3
306.8
280.2
Share price, end of period
1,209.0
967.0
991.5
948.0
878.0
554.0
Financial highlights
Ringkjøbing Landbobank A/S Page 2
Core earnings
Core income
Interest
Net interest income was DKK 691 million in the first
quarter of 2024, compared to DKK 561 million in 2023, an
increase of 23%.
In the first quarter of the year, the bank as expected
experienced continued migration of deposits to savings
and high-interest accounts, which has reduced the
deposit margin. This also as expected resulted in a
decrease in net interest for the quarter compared to the
fourth quarter of 2023, when net interest was DKK 717
million.
Both loans and deposits developed positively compared
to the end of March 2023, with increases of 5.3% and
8.3% respectively. Compared to the end of 2023, the
increases were 1.1% for loans and 0.4% for deposits. The
increase in lending was broadly based and relates both to
niches and to retail.
Fee, commission, and foreign exchange income
focus on private banking and other asset management.
Total income from these three items amounted to DKK
137 million in the first quarter of 2024, compared to DKK
113 million in 2023. The increase is attributable to a
positive development in all three items. The trading
volume was thus higher and the funds in custody
accounts increased during the first quarter of the year.
Funds in custody accounts etc.
(DKK million)
Q1
2024
Q1
2023
End of
2023
Custody account holdings
94,775
83,075
87,165
Deposits in pooled schemes
6,311
5,125
5,845
Letpension/PFA Pension
5,150
3,931
4,666
Total
106,236
92,131
97,676
quarter, compared to DKK 59 million the year before.
Interest from sold-off home loans is booked under this
item. The explanation of the development is that the bank
is catching up with the timing difference of the interest
rate increases in 2022 and 2023, as the notice period to
customers of lending rate changes for home loans is six
months, whereas the funding rates are adjusted on an
ongoing basis.
As was expected, the level of refinancing and trading
activities for real property was lower in 2024 than in 2023,
which resulted in a DKK 4 million decrease in income for
the quarter.
Income from payment handling in the first quarter of
2024 was DKK 31 million compared to DKK 25 million
from this source in 2023, driven by the continued
increase in customer numbers and the return to normality
for income.
Overall, fee, commission and foreign exchange income
amounted to DKK 282 million in the first quarter of 2024,
compared to DKK 247 million in 2023.
Net fee, commission, and foreign exchange income
(DKK million)
Q1
2024
Q1
2023
Full year
2023
Securities trading
59
42
159
Asset management and custody
accounts
55
51
218
Payment handling
31
25
126
Loan fees
16
20
79
Guarantee and mortgage credit
commission etc.
68
59
248
Pension and insurance commission
20
21
77
Other fees and commission
10
9
29
Foreign exchange income
23
20
77
Total
282
247
1,013
Sector shares and other operating income
Total earnings from banking sector shares amounted to
DKK 67 million in the first quarter of the year, compared
to DKK 41 million in 2023. Earnings in DLR Kredit and
PRAS improved, based on the increasing interest rate
level. There was also a sound development in earnings in
BankInvest. Finally, DKK 5 million of the DKK 67 million is
non-recurring, as the amount derives from the sale of the
last shares in Visa.
Other operating income in the quarter amounted to DKK 0
million as in 2023.
Core income
Total core income in the first quarter of the year
increased by 22% from a total of DKK 849 million in 2023
to DKK 1,040 million in 2024.
Ringkjøbing Landbobank A/S Page 3
Expenses, depreciation, and write-downs
Total expenses including depreciation and write-downs
on tangible assets amounted to DKK 247 million in the
first quarter of 2024 compared to DKK 227 million in
2023, an increase of 8%, which is marginally higher than
the expected rate of increase for the full year 2024.
The cost increase reflects higher staff costs and higher IT
The cost/income ratio was 23.7% in the first quarter of
the year, compared to 26.7% in 2023.
Impairment charges for loans etc.
impairment charges in the first quarter of 2024 was
satisfactory and better than expected. The total
expenditure was DKK 0 million. The bank thus reports
expenditure for losses and impairment charges at around
DKK 0 million for the ninth consecutive quarter.
These results were achieved without a simultaneous
charges. From the end of 2021 to the end of the first
charges thus increased from DKK 2,283 million to DKK
2,355 million.
This reflects that actual net losses were very modest
during the last nine quarters and less than the ongoing
interest accruing on loans subject to individual
impairment charges. Actual losses in the first quarter of
the year remain very modest and, when offset against
amounts received on claims previously written off, the
item contributes net income of the order of DKK 5 million.
The bank still judges that the quality of its loan portfolio
is good. In the first quarter of 2024, the bank was thus
able to reduce the individual impairment charges for
stage 3 customers from DKK 674 million at the end of
2023 to DKK 639 million at the end of the first quarter of
2024 (and from DKK 716 million at the end of the first
quarter of 2023).
portfolio of loans to both personal and business
customers.
The bank is aware of the exposure to real property
financing. In recent months, extra internal resources were
thus allocated to updating the status and development in
this segment. It was found that there was no need for
new individual impairment charges for the customers.
The bank judges that the credit quality within the
segment remains satisfactory. It should also be noted
financing is granted without prior debt.
s with livestock
production generally delivered healthy operating results
Ringkjøbing Landbobank A/S Page 4
for 2023. The positive development has reduced the need
for individual impairment charges for customers in this
sector. However, the bank is aware of the latent risk
which may be associated with a future implementation of
carbon tax on agriculture. This risk is included in the
considerations when determining the management
estimates relating to agriculture.
Despite market expectations of declining interest rates in
2024, we judge that there is still a risk of delayed negative
effects on the economy resulting from the rate increases
in 2022 and 2023.
The bank has made significant management estimates to
counter these risks. In the first quarter of 2024, the total
management estimate was increased marginally by DKK
5 million to a total of DKK 955 million.
Loans with suspended interest amounted to DKK 74
million at the end of March 2024, compared to DKK 120
million at the end of 2023.
Core earnings
Core earnings in the first quarter of 2024 totalled DKK
million, an increase of 28%.
Core earnings
(DKK million)
Q1
2024
Q1
2023
Full year
2023
Total core income
1,040
849
3,828
Total expenses and depreciation
247
227
963
Core earnings before impairment
charges
793
622
2,865
Impairment charges for loans etc.
0
-1
-1
Core earnings
793
621
2,864
Earnings per share
they develop.
Core earnings per DKK 1 share were DKK 30.0 for the first
quarter of 2024 compared to DKK 22.8 in 2023, and net
profit also per DKK 1 share was DKK 23.3 in the first
quarter of 2024 compared to DKK 16.7 in 2023.
The development in the
buyback programmes completed thus had a positive
effect on the key figures.
Result for the portfolio etc.
The result for the portfolio etc. including funding costs for
the portfolio was positive by DKK 23 million net for the
first three months of the year, compared to a negative
result of DKK 21 million net for the first three months of
2023.
The positive result for the portfolio is partly attributable to
-term bonds
Ringkjøbing Landbobank A/S Page 5
and a narrowing credit spread for certain corporate
bonds.
Amortisation and write-downs on intangible assets
The bank treats amortisation and write-downs on
intangible assets as a special item, since expensing them
enhances the quality of equity and helps to reduce the
deduction when computing total capital.
Amortisation and write-downs on intangible assets
amounted to DKK 5 million in the first quarter of 2024,
unchanged relative to 2023.
Profit before and after tax
The profit before tax was DKK 811 million, equivalent to a
31.0% p.a. return on average equity.
The profit after tax was DKK 616 million, equivalent to a
23.6% p.a. return on average equity.
On 1 January 2024, the corporate tax rate for financial
undertakings increased further to 26.0% from 25.2%
applicable for 2023.
The effective tax rate was 24.1% in the first quarter of
2024, compared to 23.6% in the first quarter of 2023.
Balance sheet items and contingent liabilities
million at the end of March 2024, compared to DKK
69,649 million the year before.
Loans in the period March 2023 to March 2024 increased
from DKK 48,842 million to DKK 51,417 million, an
increase of 5.3%. In 2024, loans have increased by DKK
536 million, equivalent to 1.1%.
Deposits including pooled schemes increased by 8.3%,
from DKK 48,786 million at the end of March 2023 to DKK
deposits at the end of March 2024 were marginally higher
than at the end of 2023.
amounted to DKK 6,533 million at the end of March 2024,
compared to DKK 6,993 million at the end of March 2023
and DKK 6,465 million at the end of December 2023. The
volume of guarantees is thus unchanged as a result of
the current level of refinancing and trading activities.
Credit intermediation
In addition to the traditional bank loans shown on its
balance sheet, the bank also arranges mortgage loans on
behalf of both Totalkredit and DLR Kredit.
compared to the end of March 2023 and by 0.7% since
the end of 2023.
The development is shown in the following summary:
Total credit intermediation
(DKK million)
31 Mar.
2024
31 Mar.
2023
31 Dec.
2023
Loans etc.
51,417
48,842
50,881
Mortgage credit - Totalkredit
46,912
45,900
46,766
Mortgage credit - DLR Kredit a.o.
9,569
10,100
9,551
Total
107,898
104,842
107,198
Securities and market risk
The bank measures its portfolio of securities at fair value.
the end of March 2024, with DKK 71 million in listed
shares and investment fund certificates and DKK 1,414
million in sector shares etc., mainly in DLR Kredit, BI
Holding and PRAS.
The bond portfolio amounted to DKK 7,296 million on 31
March 2024, of which the majority consisted of AAA-
rated Danish mortgage credit bonds.
The total interest rate risk impact on profit of a one
percentage point change in interest level was
computed as 0.9% of the b
March 2024.
Value at Risk model (computed with a 10-day horizon and
99% probability) was as follows in the first quarter of
2024:
Value at Risk
Risk in DKK
million
Risk relative to equity
end of period in %
Highest risk of loss
17.5
0.17
Lowest risk of loss
12.6
0.12
Average risk of loss
15.2
0.15
End-of-period risk of loss
15.5
0.15
rate risk, listed shares etc. and foreign currency remains
at a moderate level, and this policy will continue.
Liquidity
-term funding
liabilities total DKK 2.5 billion, comprising debt to credit
institutions and issued bonds with term to maturity of
less than 12 months. This is balanced by short-term
liquidity management deposits in the central bank
Danmarks Nationalbank, receivables from credit
institutions with term to maturity of less than 12 months
and listed securities totalling DKK 12.3 billion. This
means the total excess cover is DKK 9.8 billion.
Ringkjøbing Landbobank A/S Page 6
ts (excluding pooled
schemes) and equity exceeded its loans by DKK 5.6
billion on 31 March 2024 and these two items therefore
more than fully finance the loan portfolio.
In addition, part of the loan portfolio for renewable energy
projects is financed back-to-back with KfW
Bankengruppe, which means that DKK 0.8 billion can be
disregarded in terms of liquidity.
The bank has entered into a EUR 100 million loan
agreement with the European Investment Bank. The
funds will be on-lent particularly to small and medium-
sized enterprises seeking financing for investments that
will increase their productivity and competitiveness and
in many cases support their green transition.
In terms of liquidity, the bank must comply with the
statutory requirement of at least 100% for both the
liquidity ratios LCR and NSFR.
202% and its
NSFR 118%. The bank thus met the statutory requirement
for both ratios by a good margin.
Capital structure
10,451 million. The profit for the period must be added to
own shares bought must be subtracted. After this, equity
at the end of March 2024 was DKK 10,460 million. When
computing the common equity tier 1, ongoing earnings
contribute 35%, and the full share buyback programme
totalling DKK 1,525 million in the first quarter of 2024 was
deducted from the common equity tier 1. The capital
ratios will thus improve gradually over the coming
quarters in step with the recognition of ongoing earnings.
were 19.2% and 15.3% respectively at the end of March
2024.
Capital ratios
Q1
2024
Q1
2023
2023
Common equity tier 1 capital ratio
15.3
16.9
18.9
Tier 1 capital ratio
15.3
16.9
18.9
Total capital ratio
19.2
21.0
23.0
MREL capital ratio
27.1
28.5
28.9
Calculated without the IFRS 9 transition programmes,
which will lapse at the
capital ratio was 18.8% and the tier 1 capital ratio 15.0%
on 31 March 2024.
The individual solvency requirement at the end of March
2024 was calculated as 8.8%. A capital conservation
buffer of 2.5% and a countercyclical buffer, also of 2.5%,
should be added to this. The total requirement for the
was thus 13.8% at the end of March
2024.
In addition to the above, a sector-specific systemic risk
buffer for exposures to real estate companies, at a rate of
7% of the risk-weighted assets of the exposures, will
apply from 30 June 2024. The final, specific rules and
guidelines have not yet been published. The buffer will
apply to exposures to real estate companies, i.e. firms
engaged in activities under the economic activity codes
The result for the bank will be a sector-specific systemic
buffer of around 1% in addition to the other regulatory
capital requirements that the bank must meet as
described above.
In December 2023, the bank received an updated MREL
requirement of 18.9% from the Danish FSA, applicable
from the beginning of 2024. The Danish FSA at the same
time notified the bank of a subordination requirement of
22.8%.
The subordination requirement must be met, at a
minimum, with non-preferred senior capital, while the
difference between the MREL requirement plus the
combined capital buffer requirements and the
subordination requirement can be met with preferred
senior capital.
Both the MREL requirement and the subordination
requirement must always be met.
To meet the MREL requirement, the bank has issued non-
preferred senior capital over time. At the end of March
2024, non-preferred senior capital equivalent to DKK 3.4
billion had been issued. Of this amount, the bank issued
non-preferred senior capital equivalent to DKK 519 million
in the first quarter of 2024.
The bank had issued preferred senior capital equivalent
to approximately DKK 500 million at the end of the first
quarter of 2024, which complies with the eligibility
provisions and can be used to cover the difference
between the MREL requirement plus the combined capital
buffer requirements and the subordination requirement.
For further information on capital, please see pages 15-
16 of this quarterly report.
The bank operates with three different capital targets.
The capital targets specify that the common equity tier 1
capital ratio must be at least 13.5%, the total capital ratio
at least 17.0% and the MREL capital ratio for covering the
MREL requirement at least 26.0%, including the capital
Ringkjøbing Landbobank A/S Page 7
buffers. In the presentation of this quarterly report, the
last-mentioned target was raised by 1 percentage point
as a result of the sector-specific systemic buffer. All
capital targets must be met at the end of the year. The
capital ratios may fluctuate during the year.
The bank expects not to need refinancing of non-
preferred senior capital and tier 2 capital in the rest of
2024. However, with a view to its capital planning, the
bank expects a modest need for issuing non-preferred
senior capital in the remainder of 2024.
Share buyback programmes and capital reduction
again renewed its previous authorisation of the board of
directors to permit the bank, in accordance with the
applicable law, to acquire its own shares to a total
e capital.
The initiated share buyback programme totalling DKK
1,525 million is proceeding as planned. The share
buyback programme is divided into two parts. Part I of
the programme, for DKK 750 million and a maximum of
1,500,000 shares, is for execution in the period 1 February
2024 28 June 2024. Part II of the programme, for DKK
775 million and a maximum of 1,550,000 shares, is for
execution in the period 1 July 2024 27 January 2025. If
part I of the share buyback programme is completed
before 28 June 2024, part II will be initiated immediately
after completion of part I.
On 31 March 2024, 280,100 shares had been bought back
under the programme which the overview below shows.
The general meeting further decided to cancel the
784,600 of the bank's own shares that were bought
during 2023 and in early 2024. The capital reduction is
expected to be finalised during May 2024.
thus DKK 26,426,639 in nom. DKK 1 shares: see below.
Share capital/
Number of shares
Beginning of 2024
27,491,339
Expected capital reduction by cancellation of
own shares, May 2024
-784,600
Number of shares after the expected capital
reduction
26,706,739
Bought under the DKK 1,525 million share
buyback programme at the end of March 2024
-280,100
Actual number of shares on 31 March 2024
26,426,639
The Supervisory Diamond
Diamond.
The Supervisory Diamond contains four different
benchmarks and associated limit values which Danish
banks are expected to observe.
The Supervisory Diamond benchmarks and limit values
Benchmark
Limit
value
Q1
2024
Q1
2023
2023
2022
Liquidity benchmark
>100%
183.2%
201.6%
224.9%
143.4%
Large exposures
<175%
130.6%
127.6%
116.9%
118.0%
Growth in loans
<20%
5.0%
12.7%
5.0%
17.5%
Real property exposure
<25%
21.1%
21.2%
21.1%
20.0%
As shown above, Ringkjøbing Landbobank meets all four
current limit values by a good margin.
Financial rating and ESG rating
The bank is rated by the international credit rating agency
-
-term issuer rating. The
with stable outlook.
In the economic, social and governance (ESG) area, the
bank is rated, for example, by MSCI, one of
-
Image survey
In February 2024, Voxmeter published its image and
reputation survey. The survey is by far the biggest in
Denmark and based on more than 39,000 respondents.
are ranked at the top of
Expected results for 2024
The bank announced its expectations for 2024 on 17
profit in the range DKK 1.8-2.2 billion.
On the basis of the profit for the first quarter of the year,
the bank maintains the previously announced
expectations for 2024.
Accounting policies
The accounting policies are unchanged relative to those
in the submitted and audited 2023 annual report.
Ringkjøbing Landbobank A/S Page 8
Quarterly overview
Quarterly overviews
The following pages contain quarterly overviews comprising core earnings, balance sheet items and contingent liabilities, and statement of capital.
Core earnings
(DKK million)
Q1
2024
Q4
2023
Q3
2023
Q2
2023
Q1
2023
Q4
2022
Q3
2022
Q2
2022
Q1
2022
Q4
2021
Q3
2021
Q2
2021
Q1
2021
Q4
2020
Q3
2020
Q2
2020
Q1
2020
Net interest income
691
717
686
652
561
511
410
390
366
355
336
327
325
321
319
311
305
Net fees and commission excl. securities trading
200
207
193
193
185
190
199
196
199
182
170
166
159
156
147
136
152
Income from sector shares etc.
67
60
47
45
41
46
38
41
44
47
49
43
40
43
38
35
35
Foreign exchange income
23
20
18
19
20
17
18
16
15
15
14
13
16
13
9
9
10
Other operating income
0
1
5
0
0
1
0
0
1
0
0
1
4
1
0
1
0
Core income excluding securities
981
1,005
949
909
807
765
665
643
625
599
569
550
544
534
513
492
502
Securities trading
59
38
40
38
42
34
40
41
49
52
34
29
56
32
39
28
39
Total core income
1,040
1,043
989
947
849
799
705
684
674
651
603
579
600
566
552
520
541
Staff and administration expenses
241
248
231
238
222
229
214
221
207
206
191
195
198
206
179
190
191
Depreciation and write-downs, tangible assets
3
5
3
3
3
5
3
4
1
9
3
4
3
4
5
2
3
Other operating expenses
3
2
3
3
2
2
2
1
2
2
2
2
2
2
2
0
4
Total expenses etc.
247
255
237
244
227
236
219
226
210
217
196
201
203
212
186
192
198
Core earnings before impairment charges
793
788
752
703
622
563
486
458
464
434
407
378
397
354
366
328
343
Impairment charges for loans etc.
0
0
0
0
-1
0
0
-1
-1
-7
-13
-19
-29
-38
-44
-66
-75
Core earnings
793
788
752
703
621
563
486
457
463
427
394
359
368
316
322
262
268
Result for the portfolio etc.
+23
+29
-8
-7
-21
+11
-61
-10
-9
+11
-1
+7
-10
+15
+17
+29
-70
Amortisation and write-downs, intangible assets
5
5
5
5
5
5
5
5
5
5
4
4
4
4
3
4
4
Profit before tax
811
812
739
691
595
569
420
442
449
433
389
362
354
327
336
287
194
Tax
195
198
178
166
140
110
91
94
90
79
87
71
72
64
64
60
36
Net profit
616
614
561
525
455
459
329
348
359
354
302
291
282
263
272
227
158
Ringkjøbing Landbobank A/S Page 9
Quarterly overview
Quarterly overviews continued
Balance sheet items and contingent liabilities
(DKK million)
End of
Q1
2024
End of
Q4
2023
End of
Q3
2023
End of
Q2
2023
End of
Q1
2023
End of
Q4
2022
End of
Q3
2022
End of
Q2
2022
End of
Q1
2022
End of
Q4
2021
End of
Q3
2021
End of
Q2
2021
End of
Q1
2021
End of
Q4
2020
End of
Q3
2020
End of
Q2
2020
End of
Q1
2020
Loans
51,417
50,881
49,590
49,996
48,842
48,342
48,052
46,681
43,352
41,179
38,849
37,268
37,210
36,241
35,479
35,260
36,130
Deposits incl. pooled schemes
52,824
52,626
52,216
50,799
48,786
48,700
47,637
46,144
42,599
43,740
41,475
41,376
41,766
39,639
39,204
39,670
37,051
Equity
10,460
10,451
10,042
9,647
9,310
9,295
9,009
8,864
8,671
8,723
8,563
8,333
8,132
8,146
7,884
7,612
7,380
Balance sheet total
73,438
73,520
73,254
71,012
69,649
68,980
67,463
65,226
60,157
60,357
57,562
57,123
56,845
54,862
53,956
53,984
51,531
Contingent liabilities
6,533
6,465
6,780
7,216
6,993
7,570
8,998
11,244
12,432
10,270
10,886
11,811
10,370
9,812
9,590
9,379
9,992
Statement of capital
Common equity tier 1
7,610
9,225
8,391
8,408
7,951
8,154
7,532
7,720
7,471
7,632
7,255
7,274
7,122
7,277
7,049
6,973
6,109
Tier 1 capital
7,610
9,225
8,391
8,408
7,951
8,154
7,532
7,720
7,471
7,632
7,255
7,274
7,122
7,277
7,049
6,973
6,109
Total capital
9,533
11,188
10,314
9,847
9,894
10,107
9,499
9,730
9,476
9,635
8,743
8,763
8,614
8,774
8,553
8,507
8,009
MREL capital
13,454
14,097
13,202
13,113
13,411
13,533
12,937
13,183
12,445
12,033
11,167
11,596
10,837
11,112
11,587
11,580
10,985
Total risk exposure
49,648
48,733
47,706
47,627
47,043
46,855
47,326
46,940
44,880
43,285
41,729
41,063
42,271
41,561
39,682
38,900
41,444
(Percent)
Common equity tier 1 cap. ratio
15.3
18.9
17.6
17.7
16.9
17.4
15.9
16.4
16.6
17.6
17.4
17.7
16.8
17.5
17.8
17.9
14.7
Tier 1 capital ratio
15.3
18.9
17.6
17.7
16.9
17.4
15.9
16.4
16.6
17.6
17.4
17.7
16.8
17.5
17.8
17.9
14.7
Total capital ratio
19.2
23.0
21.6
20.7
21.0
21.6
20.1
20.7
21.1
22.3
21.0
21.3
20.4
21.1
21.6
21.9
19.3
MREL capital ratio
27.1
28.9
27.7
27.5
28.5
28.9
27.3
28.1
27.7
27.8
26.8
28.2
25.6
26.7
29.2
29.8
26.5
Ringkjøbing Landbobank A/S Page 10
Statements of income and comprehensive income
Note
no.
Q1
2024
DKK 1,000
Q1
2023
DKK 1,000
Full year
2023
DKK 1,000
1
Interest income
957,226
671,372
3,325,508
2
Interest expenses
269,285
127,633
785,976
Net interest income
687,941
543,739
2,539,532
Dividends from shares etc.
3,674
89,914
90,214
3
Fee and commission income
283,766
250,822
1,029,411
3
Fee and commission expenses
24,438
23,584
93,419
Net interest and fee income
950,943
860,891
3,565,738
4
Value adjustments
+111,807
-30,582
+253,354
Other operating income
203
299
5,829
5,6
Staff and administration expenses
240,392
221,839
939,121
Amortisation, depreciation, and write-downs on intangible and
tangible assets
8,082
8,251
33,377
Other operating expenses
2,891
2,000
10,044
7,11
Impairment charges for loans and other receivables etc.
-192
-3,287
-5,792
Results from investments in associated companies and
subsidiaries
0
0
+84
Profit before tax
811,396
595,231
2,836,671
8
Tax
195,480
140,413
681,449
Net profit
615,916
454,818
2,155,222
Other comprehensive income
-
-
-
Total comprehensive income for the period
615,916
454,818
2,155,222
Ringkjøbing Landbobank A/S Page 11
Core earnings
Note
no.
Q1
2024
DKK 1,000
Q1
2023
DKK 1,000
Full year
2023
DKK 1,000
Net interest income
690,874
561,009
2,615,661
3
Net fee and commission income excluding securities trading
199,864
184,993
777,611
Income from sector shares etc.
66,842
41,145
192,974
3
Foreign exchange income
22,610
19,805
77,192
Other operating income
203
299
5,829
Total core income excluding securities trading
980,393
807,251
3,669,267
3
Securities trading
59,464
42,245
158,381
Total core income
1,039,857
849,496
3,827,648
5,6
Staff and administration expenses
240,392
221,839
939,121
Depreciation and write-downs on tangible assets
3,205
3,374
13,868
Other operating expenses
2,891
2,000
10,044
Total expenses etc.
246,488
227,213
963,033
Core earnings before impairment charges for loans
793,369
622,283
2,864,615
7
Impairment charges for loans and other receivables etc.
-192
-713
-1,286
Core earnings
793,177
621,570
2,863,329
Result for the portfolio etc.
+23,096
-21,462
-7,149
Amortisation and write-downs on intangible assets
4,877
4,877
19,509
Profit before tax
811,396
595,231
2,836,671
8
Tax
195,480
140,413
681,449
Net profit
615,916
454,818
2,155,222
Ringkjøbing Landbobank A/S Page 12
Balance sheet
Note
no.
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
Assets
Cash in hand and demand deposits with central banks
4,611,839
3,824,914
4,913,795
9
Receivables from credit institutions and central banks
286,482
685,021
243,490
10,11,12
Total loans and other receivables at amortised cost
51,416,741
48,842,255
50,880,954
Loans and other receivables at amortised cost
50,641,933
47,842,460
50,071,202
Wind turbine loans etc. with direct funding
774,808
999,795
809,752
13
Bonds at fair value
7,295,748
7,788,959
8,126,555
14
Shares etc.
1,485,124
1,313,796
1,470,945
Investments in associated companies
485
481
485
Investments in subsidiaries
12,063
11,982
12,063
15
Assets linked to pooled schemes
6,311,359
5,124,609
5,845,400
16
Intangible assets
1,007,284
1,038,286
1,012,161
Total land and buildings
210,951
218,981
214,031
Investment properties
3,667
3,667
3,667
Domicile properties
192,900
195,746
194,684
Domicile properties (leasing)
14,384
19,568
15,680
Other tangible assets
15,690
14,668
16,140
Current tax assets
0
0
42,753
Deferred tax assets
15,883
31,722
20,006
Temporary assets
100
2,000
350
Other assets
749,592
734,491
702,186
Prepayments
18,636
17,070
18,326
Total assets
73,437,977
69,649,235
73,519,640
Ringkjøbing Landbobank A/S Page 13
Balance sheet
Note
no.
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
Liabilities and equity
17
Debt to credit institutions and central banks
1,909,530
3,186,317
2,209,887
Total deposits and other debt
52,823,747
48,785,901
52,626,495
18
Deposits and other debt
46,512,388
43,661,292
46,781,095
15
Deposits in pooled schemes
6,311,359
5,124,609
5,845,400
19
Issued bonds at amortised cost
5,179,662
5,264,664
5,063,778
Preferred senior capital
1,884,310
1,881,362
2,251,655
Non-preferred senior capital
3,295,352
3,383,302
2,812,123
Current tax liabilities
71,396
100,263
0
Other liabilities
867,573
873,145
1,042,253
Deferred income
152
212
240
Total debt
60,852,060
58,210,502
60,942,653
Provisions for pensions and similar liabilities
11
Provisions for losses on guarantees
59,169
65,395
60,025
11
Other provisions for liabilities
27,023
22,228
26,648
Total provisions for liabilities
86,192
87,623
86,673
Tier 2 capital
2,040,160
2,040,812
2,039,110
20
Total subordinated debt
2,040,160
2,040,812
2,039,110
21
Share capital
27,491
28,380
27,491
Net revaluation reserve under the equity method
475
391
475
Retained earnings
10,431,599
9,281,527
10,146,325
Proposed dividend etc.
-
-
276,913
Total shareholders’ equity
10,459,565
9,310,298
10,451,204
Total liabilities and equity
73,437,977
69,649,235
73,519,640
22
Own shares
23
Contingent liabilities etc.
24
Assets provided as security
Credit risk
25
Loans and guarantees in percent, by sector and industry
26
Loans, guarantees and unutilised credit facilities and credit undertakings by credit quality and IFRS 9 stages
(before impairment and provisions)
27
Miscellaneous information
Ringkjøbing Landbobank A/S Page 14
Statement of changes in equity
DKK 1,000
Share
capital
Net revaluation
reserve under the
equity method
Retained
earnings
Proposed
dividend
etc.
Total
shareholders’
equity
As at 31 March 2024:
Shareholders’ equity at the end of the previous
financial year
27,491
475
10,146,325
276,913
10,451,204
Comprehensive income
Net profit for the period
615,916
615,916
Total comprehensive income
0
0
615,916
0
615,916
Transactions with shareholders
Dividend etc. paid
-276,913
-276,913
Dividend received on own shares
9,193
9,193
Purchase of own shares
-686,892
-686,892
Sale of own shares
339,863
339,863
Other equity transactions (employee shares)
7,194
7,194
Total transactions with shareholders
0
0
-330,642
-276,913
-607,555
Shareholders’ equity on the balance sheet date
27,491
475
10,431,599
0
10,459,565
As at 31 March 2023:
Shareholders’ equity at the end of the previous
financial year
28,380
391
9,065,333
200,658
9,294,762
Comprehensive income
Net profit for the period
454,818
454,818
Total comprehensive income
0
0
454,818
0
454,818
Transactions with shareholders
Dividend etc. paid
-200,658
-200,658
Dividend received on own shares
6,714
6,714
Purchase of own shares
-737,221
-737,221
Sale of own shares
485,950
485,950
Other equity transactions (employee shares)
5,933
5,933
Total transactions with shareholders
0
0
-238,624
-200,658
-439,282
Shareholders’ equity on the balance sheet date
28,380
391
9,281,527
0
9,310,298
As at 31 December 2023:
Shareholders’ equity at the end of the previous
financial year
28,380
391
9,065,333
200,658
9,294,762
Comprehensive income
Net profit for the year
84
1,878,225
276,913
2,155,222
Total comprehensive income
0
84
1,878,225
276,913
2,155,222
Transactions with shareholders
Reduction of share capital
-889
889
0
Dividend etc. paid
-200,658
-200,658
Dividend received on own shares
6,714
6,714
Purchase of own shares
-1,801,436
-1,801,436
Sale of own shares
973,032
973,032
Other equity transactions (employee shares)
23,568
23,568
Total transactions with shareholders
-889
0
-797,233
-200,658
-998,780
Shareholders’ equity on the balance sheet date
27,491
475
10,146,325
276,913
10,451,204
Ringkjøbing Landbobank A/S Page 15
Statement of capital
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
Credit risk
42,491,462
40,757,015
41,658,951
Market risk
1,615,611
1,757,038
1,532,667
Operational risk
5,541,119
4,528,649
5,541,119
Total risk exposure
49,648,192
47,042,702
48,732,737
10,459,565
9,310,298
10,451,204
Proposed dividend etc.
-
-
-276,913
Deduction for expected distributions
-400,346
-79,593
-
Addition for IFRS 9 transitional arrangements
191,441
299,060
359,171
Deduction for insufficient coverage of non-performing exposures
-56,481
-24,528
-5,680
Deduction for the sum of equity investments etc. above 10%
-280,991
-229,254
-188,016
Deduction for prudent valuation
-15,783
-15,043
-16,095
Deduction for intangible assets
-1,007,284
-1,038,286
-1,012,162
Deferred tax on intangible assets
14,673
17,626
15,629
Deferred tax on tangible assets etc.
-30,556
-49,347
-35,634
Deduction of amount of share buyback programme
-1,533,000
-385,000
-770,000
Actual utilisation of amount of share buyback programme
309,521
200,230
749,299
Deduction for trading limit for own shares
-15,000
-55,000
-15,000
Actual utilisation of the trading limit for own shares
0
178
0
Deduction for indirect ownership of own shares
-25,607
0
-30,623
Common equity tier 1
7,610,152
7,951,341
9,225,180
Tier 1 capital
7,610,152
7,951,341
9,225,180
Tier 2 capital
2,041,418
2,044,850
2,040,628
Deduction for the sum of equity investments etc. above 10%
-118,715
-102,600
-78,297
Total capital
9,532,855
9,893,591
11,187,511
Contractual senior funding
522,085
-
-
Non-preferred senior capital
3,399,388
3,517,764
2,909,546
MREL capital
13,454,328
13,411,355
14,097,057
Common equity tier 1 capital ratio (%)
15.3
16.9
18.9
Tier 1 capital ratio (%)
15.3
16.9
18.9
Total capital ratio (%)
19.2
21.0
23.0
MREL capital ratio (%)
27.1
28.5
28.9
Pillar I capital requirements
3,971,855
3,763,416
3,898,619
Individual solvency requirement (%)
8.8
9.2
9.0
Capital conservation buffer (%)
2.5
2.5
2.5
Countercyclical buffer (%)
2.5
2.5
2.5
capital (%)
13.8
14.2
14.0
Excess cover in percentage points relative to individual solvency
requirement
10.4
11.8
14.0
Excess cover in percentage points relative to total requirement for total
capital
5.4
6.8
9.0
Subordination requirement (%) fixed by the Danish FSA
22.8
-
-
Excess cover in percentage points relative to the subordination
requirement
3.2
-
-
MREL requirement (%) fixed by the Danish FSA
18.9
17.9
17.9
Excess cover in percentage points relative to MREL requirement
8.2
10.6
11.0
Ringkjøbing Landbobank A/S Page 16
Statement of capital
Once a year the Danish FSA sets requirements for subordinated liabilities and own funds and eligible liabilities (MREL) for
Danish financial institutions, including Ringkjøbing Landbobank. The two requirements for the bank differed for the first time
on 1 January 2024.
The requirements for subordinated liabilities and MREL on 1 January 2024 were 22.8% and 18.9% respectively of the risk
exposure amount and are calculated as follows:
Subordinated liabilities
MREL
%
DKK million
%
DKK million
As at 31 March 2024
Risk exposure amount
49,648
49,648
Capital requirement
22.8
11,320
18.9
9,384
Buffer requirement
-
-
5.0
2,484
Total capital requirement
22.8
11,320
23.9
11,882
Total capital
9,533
9,533
Non-preferred senior capital
3,399
3,399
Preferred senior capital
-
522
Total cover
26.0
12,932
27.1
13,454
Calculated excess cover
3.2
1,612
3.2
1,587
Ringkjøbing Landbobank A/S Page 17
Notes
Note
no.
Q1
2024
DKK 1,000
Q1
2023
DKK 1,000
Full year
2023
DKK 1,000
1
Interest income
Receivables from credit institutions and central banks - net
34,038
18,789
121,484
Loans and other receivables
859,112
616,984
3,008,420
Discounts - amortisation concerning loans taken over etc.
0
2,574
4,506
Loans - interest on the impaired part of loans
-15,463
-14,865
-63,594
Bonds - net
76,450
42,984
235,514
Total derivative financial instruments - net
3,089
4,796
18,614
of which currency contracts - net
-2,304
5,542
8,251
of which interest-rate contracts - net
5,393
-746
10,363
Other interest income
0
110
564
Total interest income
957,226
671,372
3,325,508
of which interest income from collateralised repurchase agreements/
reverse repo transactions booked
1,581
28
3,731
2
Interest expenses
Debt to credit institutions and central banks - net
4,040
7,878
36,453
Deposits and other debt - net
184,876
62,803
476,184
Issued bonds
50,468
35,429
177,930
Subordinated debt
29,666
21,429
94,645
Other interest expenses
235
94
764
Total interest expenses
269,285
127,633
785,976
3
Gross fee and commission income
Securities trading
63,491
46,595
171,585
Asset management and custody accounts
59,600
54,554
233,776
Payment handling
42,700
37,451
176,097
Loan fees
18,431
21,690
86,870
Guarantee commission and mortgage credit commission etc.
67,501
59,216
248,293
Pension and insurance commission
19,703
20,626
76,795
Other fees and commission
12,340
10,690
35,995
Total gross fee and commission income
283,766
250,822
1,029,411
Net fee and commission income
Securities trading
59,464
42,245
158,381
Asset management and custody accounts
55,442
50,748
218,334
Payment handling
30,541
25,454
125,794
Loan fees
16,415
19,982
79,078
Guarantee commission and mortgage credit commission etc.
67,501
59,216
248,293
Pension and insurance commission
19,703
20,626
76,795
Other fees and commission
10,262
8,967
29,317
Total net fee and commission income
259,328
227,238
935,992
Foreign exchange income
22,610
19,805
77,192
Total net fee, commission and foreign exchange income
281,938
247,043
1,013,184
Ringkjøbing Landbobank A/S Page 18
Notes
Note
no.
Q1
2024
DKK 1,000
Q1
2023
DKK 1,000
Full year
2023
DKK 1,000
4
Value adjustments
Other loans and receivables
-2,116
393
8,835
Bonds
11,831
12,202
107,217
Shares etc.
76,532
-49,380
110,006
Foreign exchange
22,610
19,805
77,192
Total derivative financial instruments
-4,094
-3,933
18,468
of which currency contracts
-9,349
-3,567
24,727
of which interest-rate contracts
5,139
-366
-6,261
of which share contracts
116
0
2
Assets linked to pooled schemes
294,472
-122,669
507,479
Deposits in pooled schemes
-294,472
122,669
-507,479
Issued bonds etc.
10,411
-8,296
-58,354
Debt to credit institutions
-3,367
-1,373
-10,010
Total value adjustments
111,807
-30,582
253,354
Value adjustment for hedging in the period is distributed as follows:
Currency contracts
-10,079
-1,562
27,868
Interest-rate contracts
5,165
10,238
30,050
Other loans and receivables
-2,130
993
10,445
Debt to credit institutions
-3,367
-1,373
-10,010
Issued bonds
10,411
-5,600
-53,917
Tier 2 capital
0
-2,696
-4,436
Total effect of hedging on profit
0
0
0
5
Staff and administration expenses
Total payments and fees to general management, board of directors and
5,697
5,592
28,411
General management
5,697
5,592
21,768
Board of directors
0
0
5,665
0
0
978
Total staff expenses
140,512
128,720
528,580
Salaries
108,680
98,139
406,093
Pensions
12,304
11,492
46,464
Social security expenses
1,821
2,218
6,053
Costs depending on number of staff
17,707
16,871
69,970
Other administration expenses
94,183
87,527
382,130
Total staff and administration expenses
240,392
221,839
939,121
6
Number of full-time employees
Average number of employees during the period converted into full-time
employees
665
648
653
Number of full-time employees at the end of the period
666
648
661
7
Impairment charges for loans and other receivables etc.
Net changes in impairment charges for loans and other receivables etc.
and provisions for losses on guarantees and unutilised credit facilities
20,655
37,271
32,418
Actual realised net losses
-5,000
-19,119
36,968
Interest on the impaired part of loans
-15,463
-14,865
-63,594
Total impairment charges for loans and other receivables etc.
192
3,287
5,792
Ringkjøbing Landbobank A/S Page 19
Notes
Note
no.
Q1
2024
DKK 1,000
Q1
2023
DKK 1,000
Full year
2023
DKK 1,000
8
Tax
Tax calculated on income for the year
191,357
149,102
675,491
Adjustment of deferred tax
4,123
-7,713
3,643
Effect on deferred tax of change in tax rate
0
-976
-616
Adjustment of tax calculated for previous years
0
0
2,931
Total tax
195,480
140,413
681,449
Effective tax rate (%):
Tax rate currently paid by the bank
22.0
22.0
22.0
Factor increase (extra tax imposed on financial undertakings)
4.0
3.2
3.2
Non-taxable income and non-deductible costs*
-1.9
-1.4
-1.3
Effect of change in tax rate
0.0
-0.2
0.0
Adjustment regarding previous years etc.
0.0
0.0
0.1
Total effective tax rate
24.1
23.6
24.0
* Primarily value adjustment of and dividends from sector shares.
31 Mar.
2024
31 Mar.
2023
31 Dec.
2023
DKK 1,000
DKK 1,000
DKK 1,000
9
Receivables from credit institutions and central banks
Demand
286,482
685,021
243,490
Total receivables from credit institutions and central banks
286,482
685,021
243,490
10
Loans and other receivables at amortised cost
Demand
7,659,924
6,763,947
7,978,024
Up to and including 3 months
4,307,635
4,747,985
2,968,599
More than 3 months and up to and including 1 year
9,050,127
8,314,497
10,578,051
More than 1 year and up to and including 5 years
13,033,900
12,230,427
12,396,714
More than 5 years
17,365,155
16,785,399
16,959,566
Total loans and other receivables at amortised cost
51,416,741
48,842,255
50,880,954
of which collateralised repurchase agreements/reverse repo transactions
172,996
43,654
145,682
Ringkjøbing Landbobank A/S Page 20
Notes
Note
no.
11
Impairment charges for loans and other receivables and provisions for losses on
guarantees, unutilised credit facilities and loan undertakings
Impairment charges and provisions – by stages
Stage 1
Stage 2
Stage 3
Total
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
As at 31 March 2024
Loans and other receivables at amortised cost
387,245
1,087,260
794,547
2,269,052
Guarantees
6,343
14,463
38,363
59,169
Unutilised credit facilities and loan undertakings
13,163
13,860
0
27,023
Total impairment charges and provisions by stages
406,751
1,115,583
832,910
2,355,244
of which management estimates
260,911
500,397
193,610
954,918
As at 31 March 2023
Loans and other receivables at amortised cost
231,135
1,076,278
944,406
2,251,819
Guarantees
5,126
13,986
46,283
65,395
Unutilised credit facilities and loan undertakings
8,766
13,462
0
22,228
Total impairment charges and provisions by stages
245,027
1,103,726
990,689
2,339,442
of which management estimates
121,039
453,098
274,489
848,626
As at 31 December 2023
Loans and other receivables at amortised cost
381,396
1,034,615
831,905
2,247,916
Guarantees
5,336
13,548
41,141
60,025
Unutilised credit facilities and loan undertakings
12,519
14,129
0
26,648
Total impairment charges and provisions by stages
399,251
1,062,292
873,046
2,334,589
of which management estimates
257,186
493,756
199,026
949,968
31 Mar.
2024
31 Mar.
2023
31 Dec.
2023
DKK 1,000
DKK 1,000
DKK 1,000
In addition, a discount on loans and guarantees taken over from Nordjyske
Bank amounted to
0
1,932
0
The above includes the following stage 3 impairment charges and
provisions taken over from Nordjyske Bank:
Cumulative stage 3 impairment charges and provisions at the end of the
previous financial year
100,852
155,343
155,343
Change during the period
-7,086
-16,853
-54,491
Total stage 3 impairment charges and provisions taken over
93,766
138,490
100,852
Ringkjøbing Landbobank A/S Page 21
Notes
Note
no.
11
Impairment charges for loans and other receivables and provisions for losses on
guarantees, unutilised credit facilities and loan undertakings - continued
Impairment charges and provisions
Impairment
charges etc.
taken to
income
statement
Stage 1
Stage 2
Stage 3
Total
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
As at 31 March 2024
Impairment charges and provisions at the end
of the previous financial year
399,251
1,062,292
873,046
2,334,589
-
Impairment charges and provisions for new
exposures during the period, including new
accounts for existing customers
33,250
15,351
37,892
86,493
86,493
Reversed impairment charges and provisions
for repaid accounts
-30,181
-54,025
-40,391
-124,597
-124,597
Migration of impairment charges and
provisions at beginning of period to stage 1
109,651
-99,863
-9,788
0
-
Migration of impairment charges and
provisions at beginning of period to stage 2
-10,727
62,200
-51,473
0
-
Migration of impairment charges and
provisions at beginning of period to stage 3
-145
-12,827
12,972
0
-
Impairment charges and provisions during the
year resulting from credit risk change
-94,348
142,455
12,173
60,280
60,280
Previously written down, now definitively lost
-
-
-1,521
-1,521
-
Lost, not previously written down
-
-
-
-
608
Received on claims previously written off
-
-
-
-
-7,129
Interest on the impaired part of loans
-
-
-
-
-15,463
Total impairment charges and provisions
406,751
1,115,583
832,910
2,355,244
192
of which regarding credit institutions etc.
1,423
0
0
1,423
830
As at 31 March 2023
Impairment charges and provisions at the end
of the previous financial year
226,760
1,040,582
1,034,829
2,302,171
-
Impairment charges and provisions for new
exposures during the period, including new
accounts for existing customers
24,203
48,493
24,105
96,801
96,801
Reversed impairment charges and provisions
for repaid accounts
-16,716
-58,413
-45,778
-120,907
-120,907
Migration of impairment charges and
provisions at beginning of period to stage 1
69,401
-65,846
-3,555
0
-
Migration of impairment charges and
provisions at beginning of period to stage 2
-5,640
27,655
-22,015
0
-
Migration of impairment charges and
provisions at beginning of period to stage 3
-133
-11,724
11,857
0
-
Impairment charges and provisions during the
year resulting from credit risk change
-52,848
122,979
-1,890
68,241
68,241
Previously written down, now definitively lost
-
-
-6,864
-6,864
-
Lost, not previously written down
-
-
-
-
1,298
Received on claims previously written off
-
-
-
-
-27,281
Interest on the impaired part of loans
-
-
-
-
-14,865
Total impairment charges and provisions
245,027
1,103,726
990,689
2,339,442
3,287
of which regarding credit institutions etc.
500
0
0
500
109
Ringkjøbing Landbobank A/S Page 22
Notes
Note
no.
11
Impairment charges for loans and other receivables and provisions for losses on
guarantees, unutilised credit facilities and loan undertakings - continued
Impairment charges and provisions
Impairment
charges etc.
taken to
income
statement
Stage 1
Stage 2
Stage 3
Total
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
As at 31 December 2023
Impairment charges and provisions at the end
of the previous financial year
226,760
1,040,582
1,034,829
2,302,171
-
Impairment charges and provisions for new
exposures during the period, including new
accounts for existing customers
115,671
75,989
86,003
277,663
277,663
Reversed impairment charges and provisions
for repaid accounts
-51,074
-169,305
-72,303
-292,682
-292,682
Migration of impairment charges and
provisions at beginning of period to stage 1
236,583
-233,187
-3,396
0
-
Migration of impairment charges and
provisions at beginning of period to stage 2
-14,914
68,415
-53,501
0
-
Migration of impairment charges and
provisions at beginning of period to stage 3
-361
-51,408
51,769
0
-
Impairment charges and provisions during the
year resulting from credit risk change
-113,414
331,206
-106,475
111,317
111,317
Previously written down, now definitively lost
-
-
-63,880
-63,880
-
Lost, not previously written down
-
-
-
-
9,305
Received on claims previously written off
-
-
-
-
-36,217
Interest on the impaired part of loans
-
-
-
-
-63,594
Total impairment charges and provisions
399,251
1,062,292
873,046
2,334,589
5,792
of which regarding credit institutions etc.
593
0
0
593
202
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
12
Suspended interest
Loans and other receivables with suspended interest on the balance sheet
date
73,503
81,335
119,789
13
Bonds at fair value
Government bonds
0
692,793
367,089
Mortgage credit bonds
5,750,146
6,146,796
6,246,164
Other bonds
1,545,602
949,370
1,513,302
Total bonds at fair value
7,295,748
7,788,959
8,126,555
Bonds at fair value by rating classes
Percent
Percent
Percent
Aaa/AAA
79
87
82
A1/A+
2
-
1
A2/A
1
-
1
A3/A-
3
4
3
Baa1/BBB+
1
1
1
Baa2/BBB
2
1
2
Ba1/BB+
1
-
-
Not rated
11
7
10
Total
100
100
100
. If
an issue has more than one rating, the lowest is used.
Ringkjøbing Landbobank A/S Page 23
Notes
Note
no.
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
14
Shares etc.
Listed on Nasdaq Copenhagen
51,553
37,253
45,377
Investment fund certificates
19,206
9,125
8,911
Unlisted shares at fair value
11,339
8,798
11,339
Sector shares at fair value
1,403,026
1,258,620
1,405,318
Total shares etc.
1,485,124
1,313,796
1,470,945
15
Assets linked to pooled schemes
Cash deposits
18,308
15,040
136,038
Bonds:
Other bonds
1,525,795
1,387,954
1,532,816
Total bonds
1,525,795
1,387,954
1,532,816
Shares:
Other shares
438,484
833,898
541,782
Investment fund certificates
4,341,516
2,898,677
3,634,764
Total shares
4,780,000
3,732,575
4,176,546
Other items
-12,744
-10,960
0
Total assets linked to pooled schemes
6,311,359
5,124,609
5,845,400
16
Intangible assets
Goodwill
Cost at the end of the previous financial year
923,255
923,255
923,255
Total cost on the balance sheet date
923,255
923,255
923,255
Write-downs at the end of the previous financial year
0
0
0
Total write-downs on the balance sheet date
0
0
0
Total goodwill on the balance sheet date
923,255
923,255
923,255
Customer relationships
Cost at the end of the previous financial year
195,088
195,088
195,088
Total cost on the balance sheet date
195,088
195,088
195,088
Amortisation at the end of the previous financial year
106,182
75,180
75,180
Amortisation for the period
4,877
4,877
19,509
Write-downs for the period
0
0
11,493
Total amortisation on the balance sheet date
111,059
80,057
106,182
Total customer relationships on the balance sheet date
84,029
115,031
88,906
Total intangible assets on the balance sheet date
1,007,284
1,038,286
1,012,161
17
Debt to credit institutions and central banks
Demand
579,948
489,972
849,133
Up to and including 3 months
2,665
295,908
12,980
More than 3 months and up to and including 1 year
554,774
1,063,182
556,329
More than 1 year and up to and including 5 years
424,762
753,657
395,902
More than 5 years
347,381
583,598
395,543
Total debt to credit institutions and central banks
1,909,530
3,186,317
2,209,887
Ringkjøbing Landbobank A/S Page 24
Notes
Note
no.
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
18
Deposits and other debt
Demand
32,077,947
35,338,097
33,012,187
Deposits and other debt with notice:
Up to and including 3 months
4,910,825
2,014,531
4,572,111
More than 3 months and up to and including 1 year
3,244,745
2,926,226
3,049,221
More than 1 year and up to and including 5 years
2,683,943
613,635
2,895,405
More than 5 years
3,594,928
2,768,803
3,252,171
Total deposits and other debt
46,512,388
43,661,292
46,781,095
of which deposits covered by the Guarantee Fund
55.8%
56.4%
56.0%
Distributed as follows:
Demand
32,510,295
33,709,514
34,115,670
With notice
5,160,640
3,095,255
4,630,822
Time deposits
3,577,967
3,013,056
3,168,922
Long-term deposit agreements
2,018,791
739,908
1,663,875
Special types of deposits
3,244,695
3,103,559
3,201,806
Total deposits and other debt
46,512,388
43,661,292
46,781,095
19
Issued bonds at amortised cost
Up to and including 3 months
0
371,167
372,647
More than 3 months and up to and including 1 year
1,385,491
372,425
728,180
More than 1 year and up to and including 5 years
2,950,434
3,982,138
3,562,256
More than 5 years
843,737
538,934
400,695
Total issued bonds at amortised cost
5,179,662
5,264,664
5,063,778
Distributed as follows:
Preferred senior capital
1,917,920
1,916,245
2,289,649
Adjustment to amortised cost and fair value adjustment
-33,610
-34,883
-37,994
Total preferred senior capital
1,884,310
1,881,362
2,251,655
Non-preferred senior capital
3,401,630
3,517,764
2,911,643
Adjustment to amortised cost and fair value adjustment
-106,278
-134,462
-99,520
Total non-preferred senior capital
3,295,352
3,383,302
2,812,123
Total issued bonds at amortised cost
5,179,662
5,264,664
5,063,778
20
Subordinated debt
Tier 2 capital:
Fixed-rate loan, principal of DKK 500 million,
maturity date 13 June 2023
0
500,000
0
Floating-rate loan, principal of EUR 100 million,
maturity date 22 August 2024
745,835
744,850
745,295
Floating-rate loan, principal of DKK 300 million,
maturity date 13 June 2025
300,000
300,000
300,000
Floating-rate loan, principal of DKK 500 million,
maturity date 11 January 2027
500,000
500,000
500,000
Floating-rate loan, principal of DKK 500 million,
maturity date 1 September 2028
500,000
0
500,000
Adjustment to amortised cost and fair value adjustment
-5,675
-4,038
-6,185
Total subordinated debt
2,040,160
2,040,812
2,039,110
Ringkjøbing Landbobank A/S Page 25
Notes
Note
no.
31 Mar.
2024
DKK 1,000
31 Mar.
2023
DKK 1,000
31 Dec.
2023
DKK 1,000
21
Share capital
Number of DKK 1 shares
Beginning of period
27,491,339
28,379,666
28,379,666
Cancelled during the period
0
0
-888,327
End of period
27,491,339
28,379,666
27,491,339
of which reserved for subsequent cancellation
1,050,700
1,070,527
758,610
Total share capital
27,491
28,380
27,491
22
Own shares
Own shares included in the balance sheet at
0
0
0
Market value
1,270,296
1,035,379
752,162
Number of own shares:
Beginning of period
758,610
826,527
826,527
Purchased during the period
610,029
731,705
1,824,656
Sold during the period
-317,939
-487,520
-1,004,246
Cancelled during the period
0
0
-888,327
End of period
1,050,700
1,070,712
758,610
of which reserved for subsequent cancellation
1,050,700
1,070,527
758,610
Nominal value of holding of own shares, end of period
1,051
1,071
759
3.8
3.8
2.8
23
Contingent liabilities etc.
Contingent liabilities
Financial guarantees
2,580,906
2,390,363
2,038,132
Guarantees against losses on mortgage credit loans
1,756,595
2,096,527
1,821,326
Registration and refinancing guarantees
1,468,910
1,621,977
1,863,058
Sector guarantees
105,830
104,485
105,830
Other contingent liabilities
620,547
779,871
636,445
Total contingent liabilities
6,532,788
6,993,223
6,464,791
Other contractual obligations
Irrevocable credit undertakings etc.
319,963
133,415
328,148
Total other contractual obligations
319,963
133,415
328,148
24
Assets provided as security
First-mortgage loans are provided for renewable energy projects. The
loans are funded directly by KfW Bankengruppe, to which security in the
associated loans has been provided. Each reduction of the first-mortgage
loans is deducted directly from the funding at KfW Bankengruppe.
The balance sheet item is
774,808
999,795
809,752
Pledged to Danmarks Nationalbank as collateral for clearing etc.:
Balance in current account with Danmarks Nationalbank
17,674
35,531
17,674
Collateral under CSA agreements etc.
179,246
226,418
157,872
Ringkjøbing Landbobank A/S Page 26
Notes
Note
no.
25
Loans and guarantees by sector and industry
31 Mar. 2024
31 Mar. 2023
31 Dec. 2023
DKK million
%
DKK million
%
DKK million
%
Public authorities
0.8
0.0
2.6
0.0
1.7
0.0
Business customers:
Agriculture, hunting and forestry
Cattle farming etc.
553.5
0.9
539.5
1.0
650.3
1.1
Pig farming etc.
647.8
1.1
567.1
1.0
596.5
1.0
Other agriculture, hunting and forestry
3,277.9
5.7
2,566.7
4.6
3,157.2
5.5
Fisheries
687.1
1.2
782.8
1.4
673.1
1.2
Industry and raw materials extraction
2,518.9
4.3
1,976.8
3.5
2,263.2
4.0
Energy supply
Renewable energy
3,155.4
5.4
3,794.3
6.8
3,033.1
5.3
Other energy supply
163.2
0.3
105.6
0.2
122.5
0.2
Building and construction
2,695.8
4.7
2,210.1
4.0
2,677.6
4.7
Trade
2,370.6
4.1
2,479.6
4.5
2,264.8
4.0
Transport, hotels and restaurants
880.1
1.5
799.3
1.4
799.6
1.4
Information and communication
150.3
0.3
140.0
0.3
136.9
0.2
Finance and insurance
7,354.6
12.7
6,257.7
11.2
7,272.0
12.7
Real property
Real property financing without prior creditors
8,209.7
14.2
8,294.2
14.9
8,156.3
14.2
Other real property financing
2,501.8
4.3
2,702.6
4.8
2,435.4
4.3
Other business customers
3,742.6
6.5
3,806.2
6.8
3,727.3
6.5
Total business customers
38,909.3
67.2
37,022.5
66.4
37,965.8
66.3
33,126.5
57.2
31,763.8
57.0
33,347.3
58.2
Private individuals
18,980.3
32.8
18,745.0
33.6
19,318.2
33.7
Total
57,890.4
100.0
55,770.1
100.0
57,285.7
100.0
Ringkjøbing Landbobank A/S Page 27
Notes
Note
no.
26
Loans, guarantees and unutilised credit facilities and credit undertakings by credit quality and IFRS 9
stages (before impairment and provisions)
Stage 1
Stage 2
Stage 3
Credit-
impaired on
initial
recognition
Total
Total
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
DKK 1,000
%
As at 31 March 2024
Credit quality*
High
62,573,886
66,098
0
0
62,639,984
74.9
Medium
11,689,223
2,608,228
0
0
14,297,451
17.1
Low
1,225,718
4,084,432
0
0
5,310,150
6.4
Credit-impaired
-
-
1,222,965
156,047
1,379,012
1.6
Total
75,488,827
6,758,758
1,222,965
156,047
83,626,597
100.0
Impairment charges etc.
406,751
1,115,583
739,144
93,766
2,355,244
As at 31 March 2023
Credit quality*
High
59,460,818
115,988
0
0
59,576,806
74.4
Medium
11,277,207
2,378,500
0
0
13,655,707
17.0
Low
1,173,662
4,245,384
0
0
5,419,046
6.8
Credit-impaired
-
-
1,224,632
227,004
1,451,636
1.8
Total
71,911,687
6,739,872
1,224,632
227,004
80,103,195
100.0
Impairment charges etc.
245,027
1,103,726
852,199
138,490
2,339,442
As at 31 December 2023
Credit quality*
High
61,641,599
48,040
0
0
61,689,639
74.9
Medium
11,359,422
2,748,161
0
0
14,107,583
17.1
Low
1,205,698
3,943,486
0
0
5,149,184
6.2
Credit-impaired
-
-
1,297,358
161,384
1,458,742
1.8
Total
74,206,719
6,739,687
1,297,358
161,384
82,405,148
100.0
Impairment charges etc.
399,251
1,062,292
772,194
100,852
2,334,589
* The categories high, medium and low credit quality do not translate
high credit quality can be viewed as FSA rating classes 3 and 2a, medium credit quality as the best part of FSA rating class 2b,
while low credit quality covers the rest of FSA rating classes 2b and 2c as well as the customers with objective evidence of
impairment where losses are not expected in the most probable scenario. Exposures which are credit-impaired on initial
recognition are those where losses are expected in the most probable scenario.
27
Miscellaneous information
ng
Landbobank up to and including 2017, pro forma for 2018 and for the merged bank from 2019.
Q1
2024
Q1
2023
Full year
2023
Basis of calculation, number of shares
26,440,639
27,303,139
26,732,729
Ringkjøbing Landbobank A/S Page 28
Financial highlights
Q1
2024
Q1
2023
Full year
2023
Summary of income statement (DKK million)
Net interest income
688
544
2,540
Dividends from shares etc.
4
90
90
Net fee and commission income
259
227
936
Net interest and fee income
951
861
3,566
Value adjustments
+112
-31
+253
Other operating income
0
0
6
Staff and administration expenses
241
222
939
Amortisation, depreciation and write-downs on intangible and tangible assets
8
8
33
Other operating expenses
3
2
10
Impairment charges for loans and receivables etc.
0
-3
-6
Profit before tax
811
595
2,837
Tax
195
140
682
Net profit
616
455
2,155
31 Mar.
2024
31 Mar.
2023
31 Dec.
2023
Balance sheet highlights (DKK million)
Loans and other receivables at amortised cost
51,417
48,842
50,881
Deposits and other debt including pooled schemes
52,824
48,786
52,626
Subordinated debt
2,040
2,041
2,039
Equity
10,460
9,310
10,451
Balance sheet total
73,438
69,649
73,520
Ringkjøbing Landbobank A/S Page 29
The
Q1
2024
Q1
2023
Full year
2023
Capital ratios:
Total capital ratio
%
19.2
21.0
23.0
Tier 1 capital ratio
%
15.3
16.9
18.9
Individual solvency requirement
%
8,8
9.2
9.0
MREL requirement fixed by the Danish FSA
%
18.9
17.9
17.9
MREL capital ratio
%
27.1
28.5
28.9
Earnings:
Return on equity before tax
%
7.8
6.4
28.7
Return on equity after tax
%
5.9
4.9
21.8
Income/cost ratio
DKK
4.23
3.53
3.87
Cost/income ratio
%
23.7
26.7
25.2
Return on assets
%
0.8
0.7
2.9
Market risk:
Interest rate risk
%
0.9
0.6
0.5
Foreign exchange position
%
1.4
1.5
0.6
Foreign exchange risk
%
0.0
0.0
0.0
Liquidity risk:
Liquidity Coverage Ratio (LCR)
%
202.0
236.6
254.0
Net Stable Funding Ratio (NSFR)
%
118.2
120.3
122.7
Loans and impairments thereon relative to deposits
%
101.6
104.6
100.9
Credit risk:
4.9
5.2
4.9
Growth in loans
%
1.0
18.7
5.0
Total large exposures (<175%)
%
130.6
127.6
116.9
Cumulative impairment ratio
%
3.9
4.0
3.9
Impairment ratio
%
0.00
0.01
0.01
Proportion of receivables at reduced interest
%
0.1
0.1
0.2
Share return:
Earnings per share
1/3
DKK
2,317
1,632
7,814
Book value per share
1/2
DKK
39,559
34,092
39,095
Dividend per share
1
DKK
0
0
1,000
Market price relative to earnings per share
1/3
52.2
59.3
12.7
Market price relative to book value per share
1/2
3.1
2.8
2.5
1
Calculated on the basis of a denomination of DKK 100 per share.
2
Calculated on the basis of number of shares in circulation at the end of the period.
3
Calculated on the basis of the average number of shares. The average number of shares is calculated as a simple average of the shares at
the beginning and the end of the period.
Ringkjøbing Landbobank A/S Page 30
Management statement
The board of directors and the general management have today discussed and approved the quarterly report of Ringkjøbing
Landbobank A/S for the period 1 January to 31 March 2024.
The quarterly report is drawn up in accordance with statutory requirements, including the provisions of the Danish Financial
Business Act and other Danish disclosure requirements for listed financial companies. We consider the chosen accounting
policies to be appropriate and the estimates made responsible, so that the quarterly accounts provide a true and fair view of
period
1 January
uncertainties which can affect the bank.
out
procedures corresponding to those required for a review and have thereby checked that the conditions for ongoing
recognition of the profit for the period in the common equity tier 1 capital have been met.
Ringkøbing, 24 April 2024
General management:
John Fisker
CEO
Claus Andersen
General Manager
Jørn Nielsen
General Manager
Carl Pedersen
General Manager
Board of directors:
Martin Krogh Pedersen
Chair
Jacob Møller
Deputy Chair
Morten Jensen
Deputy Chair
Jon Steingrim Johnsen
Anne Kaptain
Karsten Madsen
Lone Rejkjær Söllmann
Lene Weldum
Lisa Munkholm
Employee representative
Nanna G. Snogdal
Employee representative
Martin Wilche
Employee representative
Finn Aaen
Employee representative