Nordea Bank (NDA-SE) Barclays 23rd Annual Global Financial Services Conference summary

Tax and regulatory environment

• No current indications of new bank taxes in Denmark or Norway; Sweden's bank tax will increase in 2026.

• Corporate taxes for banks are already higher in Denmark and Norway compared to other sectors.

• Ongoing Danish AML court case expected to last into 2025, with no current concerns and adequate provisions maintained.

Financial targets and profitability

• Confident in achieving 2025 targets: above 15% ROE and 44%-46% cost-income ratio.

• Net interest margin expected to stabilize around 2% for the next couple of years, barring further rate cuts.

• Market share gains in Sweden, especially in household and SME segments; focus on regaining ground in Denmark.

• Committed to maintaining mid-teens ROE and being the highest ROE bank among peers.

Net interest income and customer behavior

• Net interest income has been resilient due to effective hedging and deposit management.

• Strong competition in lending, especially on the corporate side, may pressure margins but growth will continue.

• Customers are increasingly balancing between deposits and market-based savings as rates stabilize.

• Structural hedge is used primarily for risk management, not active NII management.