Danske Bank will pay a dividend, amounting to roughly 28% of next profit, to its shareholders for the first time since 2007.
The Danish bank made a net profit of €953.9m for 2013, which is a 51% increase on the previous year. The proposed dividend is €0.03 per share.
Danske Bank did not disclose figures for its operations in the Republic of Ireland. Danske Bank in Northern Ireland made a pre-tax profit of £11.4m (€13.68m) in 2013, compared to a loss of more than £58m in 2012.
Group wide impairments for its core operations for 2013 reached €561.2m, which is a 45% decrease on the impairment charge taken in 2012. Impairments at its non-core division, which includes Irish property assets, was €165.3m last year, down from €650m the previous year.
Total income for the 12-month period was €5.36bn — a 12% drop on the previous year. The bank attributed lower net trading income to the decrease. Return on equity after tax was 5%. The bank is targeting return on equity of 9% by next year. It is also guiding a net profit range of €1.2bn-€1.6bn for this year.
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