23 September 2015
Tonny Thierry Andersen Executive Board member Global head of Personal Banking
Personal Banking’s transformation
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Vision
Strategic core
Customer promise
Core values
We are a modern bank for people and businesses across the Nordics with deep financial competence and leading, innovative solutions
We help customers be financially confident and achieve their ambitions by making daily banking and important financial decisions easy
Expertise, Integrity, Value creation, Agility,
Collaboration
The Essence of Danske Bank
To be recognised as the most trusted financial partner
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Carnegie Bank Seminar 2015ncial results for Q1 2013
On track to meet our RoE target and customer satisfaction improving
3.65.0
12.5
9.5
2012
>12.5
2014 Target 2018
H1 2015
8.5*
2013 Target 2015
RoE after tax; 2009 to 2018; % Customer satisfaction
End Q2 2015
* Before goodwill impairment charges
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Profit improvement in all Business Units
1,110
671
3,199
2,619
3,950
927
535
2,022
2,813
2,346
+20%
+25%
+58%
+40%
+12%
Danica Pension Danske Capital Business Banking Personal Banking Corporates & Institutions
2014 H1 2015 H1
Result before tax (DKK m)
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Impairments: Loan losses reduced significantly
Group impairments, 2007 to H115 (DKK bn/bps)
* Loan loss ratio defined as annualised impairment charges as a percentage of loans and guarantees.
9
14
H1 2015 H1 2014
-3
17
8
0
Loan loss ratio by banking unit, H1 2015 vs. H1 2014 (bps)
-89
179
Personal Banking Business Banking
Corporates & Institutions Non-core
2
20
68
135
0
10
20
30
40
50
60
70
80
90
100
110
120
130
140
20
18
16
14
12
10
8
6
4
2
0
26
24
22
20
11
13
20
10
71
14
20
09
26
20
08
57
12
H1
15
0
20
14
4
20
13
28
5
20
12
63
13
Loan loss ratio* (rhs) Impairments
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Retail banking is in a transforming state
Low growth/interest rates
Changing customer behaviour
New entrants
New technology New regulation
Forces
impacting retail
banking
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Carnegie Bank Seminar 2015ncial results for Q1 2013
2005 2020 2000 2015 2010 2025
Traditional consumers Digital natives Transitionals
Within a few years a new breed of customer will dominate the ”digital natives”
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Danske Bank’s transformation since 2012 in Personal Banking
# of branches
# of FTEs
Start 2012 End 2015
612 300
8,778 6,623
∆ in %
- 51%
- 25%
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Customers in Danske Bank’s market areas are getting increasingly digital
Source: Danske Bank. Numbers represent total personal customers across all our markets * Customers with at least one logon during the last three months
Mobilebank
2010 2015E
0.2 2.2 # of users, m
MobilePay 0 2.5 # of users, m
eBanking penetration* 43% 76% %
Yearly logons 181 360 # of logons, m
Cash withdrawals at teller 6.0 1.4 # of, m
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Carnegie Bank Seminar 2015ncial results for Q1 2013 MobilePay is an example of fast adoption
1,600
800
0
2,000
400
2,400
1,200
2,800
2015
2006
Active users; ’000
Onlinebank
Mobilbank
MobilePay
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Enablers to increase share of wallet and income
Profitable growth in Sweden and
Norway
Expand ecosystem, hereunder
MobilePay and MobileLife
Roll out of Customer
Programme
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Risk management is an environment in excess
supply
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Positive customer development and stabilising market share in DK Nem konto development Marketshare for Danske Bank DK and RD
2015 YTD
1.436
2014
-8.197
2013
-65.265
25
26
27
28
29
30
%
July ’15 Jan ’15 Jan ’14 Jan ’13
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Customer satisfaction on retail customers improving
#5
#2
#2
#2
#2 6
7
8
9
Aug Jul Jun May Apr Mar Feb Jan Dec
Competitors Danske Bank
Overall satisfaction; 1-10 (Denmark)
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Carnegie Bank Seminar 2015ncial results for Q1 2013
Why choose Danske Bank?
Superior accessibility Strong competencies
Strong digital solutions Fair prices