Nordnet (SAVE) Q4 2024 earnings summary

Executive summary

• Achieved record revenue and profit for Q4 and the full year 2024, driven by strong customer and net savings growth, robust trading activity, and successful product launches including the Danish Livrente pension product.

• Customer base reached 2.1 million, with net savings at SEK 73 billion and savings capital surpassing SEK 1,000 billion at year-end.

• Announced entry into Germany as a fifth market in H2 2026, aiming to leverage a scalable platform and double the addressable market.

• Launched the Danish Livrente pension product, unlocking a SEK 2 trillion addressable market and attracting over SEK 1.2 billion in transfers.

• Board proposes a dividend of SEK 8.10 per share, over 70% of net profit.

Financial highlights

• Q4 2024 revenue reached SEK 1,374 million (+15% YoY), with adjusted profit before tax at SEK 919 million (+11% YoY); full-year revenue was SEK 5,152 million (+13%) and profit before tax SEK 3,560 million (+13%).

• Customer base grew by 250,000 in 2024, up 14% year-over-year; net savings doubled to SEK 73 billion and savings capital grew 25% to over SEK 1,000 billion.

• Trades increased 40% year-over-year in Q4, with income per trade up 50% versus pre-COVID levels; cross-border trading at multi-year highs.

• Fund business saw strong growth, with fund capital expanding 1.5x faster than total savings capital and proprietary funds accounting for a significant share of net inflows.

• Net interest income declined in Q4 due to lower rates and the sale of the personal loan portfolio, but underlying fund and trading income grew 45% year-over-year.

Outlook and guidance

• Medium-term customer growth target updated to 13–15% per year, with average savings capital per customer target at SEK 500,000.

• Income in relation to savings capital target lowered to 0.45% due to asset allocation shifts.

• Operating expense growth guidance adjusted to around 8% per year, excluding Germany, with Germany-related costs on top.

• Shareholder remuneration target: 70% dividend payout ratio and ongoing SEK 500 million buyback program.

• 2025 focus areas include groundwork for Germany, scaling Livrente, and enhancing private banking and active trading offerings.