Nordea realized a very good Q2 with deposit margins remaining the core earnings driver. Cost inflation was a positive surprise while loan losses remained subdued (4bp vs 10bp guidance). 2023 and 2024 incremental NII guidance was maintained. Benefitting from this sweet combination of higher margins and resilient asset quality, Nordea upgraded its 2023 RoE guidance to above 15% versus above 13% and will likely upgrade its 2025 targets in Q4-23.
17 Jul 2023
Q2: NII tailwinds persist, 2023 RoE guidance is upgraded
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Q2: NII tailwinds persist, 2023 RoE guidance is upgraded
Nordea realized a very good Q2 with deposit margins remaining the core earnings driver. Cost inflation was a positive surprise while loan losses remained subdued (4bp vs 10bp guidance). 2023 and 2024 incremental NII guidance was maintained. Benefitting from this sweet combination of higher margins and resilient asset quality, Nordea upgraded its 2023 RoE guidance to above 15% versus above 13% and will likely upgrade its 2025 targets in Q4-23.