Profits soar for Sweden's Nordea in Q3
STOCKHOLM (AP) — Nordea AB, the largest banking group in the Nordics, has posted a near 70 percent increase in third-quarter profits mainly thanks to higher household lending and a tighter rein on costs, but said loan losses keep growing, especially within shipping and the Danish housing market.
Wednesday's report showed a net profit of €686 million ($892 million), up from €404 million in the same quarter last year.
Net interest income, the bank's main source of income, grew to €1.44 billion from €1.38 billion, while loan losses more than doubled to €254 million from €112 million.
Nordea CEO Christian Clausen says that reflects effects the current macro situation is having on shipping.
The result disappointed market watchers and the share plunged almost 4 percent to 59.45 kronor ($9.05) in Stockholm trading.