Awards for excellence 2006: Nordic and Baltic

Euromoney Awards for excellence 2006
Denmark
I Estonia I Finland I Iceland I Latvia I Lithuania I Norway I Sweden

In a period in which most of the region’s leading banks have enjoyed strong earnings growth and profitability, there is an easy methodology to selecting the best Nordic bank in 2006 and a slightly more controversial one.

The easy approach is to run with the house that has the most diversified franchise across the region – Nordea. And 2005 was another excellent year for Nordea, the best results in the bank’s history. Stripping out the effect of a one-off real estate gain of €300 million, operating profit increased by 25% to just north of €3 billion, while return on equity rose to 18% and total income increased by 7%. Ratings agencies liked what they saw, and in November S&P upgraded Nordea from A+ to AA- on the back of the bank’s “consistent strategy and profitability.”