Danske Bank beats fourth-quarter net profit expectations

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Danske Bank beats fourth-quarter net profit expectations
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Danske Bank beat fourth-quarter net profit forecasts on Wednesday and said it ex...

) beat fourth-quarter net profit forecasts on Wednesday and said it expects to earn a net profit between 8 to 10 billion Danish crowns in 2020.

Chief Executive Chris Vogelzang said results were as expected, but negative interest rates, margin pressure and increased costs related to compliance had a “negative effect”.Late last year, Danske announced plans to get costs and compliance under control by 2023, while also aiming for a return on shareholders equity of 9-10%. It expects that number to be between 5 to 6% this year.

Jyske Bank analyst Anders Haulund Vollesen said today’s results were “fairly undramatic”, but added that costs were higher than expected. The bank however reported a net profit of 5.0 billion Danish crowns in the fourth quarter, topping the 4.4 billion forecast by analysts on average, Refinitiv Eikon data showed.

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