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Danske Bank Group
Interim report –
first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Contents
Management’s report
Financial statements
Statements
Financial highlights - Danske Bank Group
Executive summary
Strategy execution
Sustainability
Financial review
Personal Customers
Business Customers
Large Corporates & Institutions
Danica
Northern Ireland
Group Functions
Definition of alternative performance measures
3
4
5
7
8
15
17
19
22
24
26
28
Income statement
Statement of comprehensive income
Balance sheet
Statement of capital
Cash flow statement
Notes
Financial statements – Danske Bank A/S
Income statement
Statement of comprehensive income
Balance sheet
Statement of capital
Notes
30
30
31
32
34
35
65
66
66
67
68
69
Statement by the management
Independent auditor’s review report
Supplementary information
72
73
74
2
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Financial highlights - Danske Bank Group
Q1
Index
Q2
Index
Full year
2026
Q2/Q1
26/25
2025
(DKK millions)
First half
First half
2026
2025**
Index
26/25
Q2
2026
Q1
2026
Index
Q2/Q1
Q2
Index
Full year
2025**
26/25
2025
Balance sheet (end of period)
Income statement
(DKK millions)
Net interest income
Net fee income
Net trading income
Net income from insurance business
Other income
Total income
Operating expenses
First half
First half
2026
2025
18,672
18,083
7,976
1,082
851
550
7,066
1,736
714
316
29,131
27,917
12,924
12,670
of which resolution fund, bank tax etc.
216
156
Profit before loan impairment charges
16,207
15,247
Loan impairment charges
Profit before tax
Tax
Net profit
265
266
15,942
14,980
4,055
3,770
11,887
11,211
Index
26/25
103
113
62
119
174
104
102
138
106
100
106
108
106
Ratios and key figures
Dividend per share (DKK)*
Earnings per share (DKK)
Return on avg. total equity (% p.a.)**
Net interest income as % p.a. of loans
and deposits
Cost/income ratio (C/I), (%)
Total capital ratio (%)
Total capital ratio, incl. conglomerate
(%)***
Common equity tier 1 capital ratio (%)
Share price (end of period) (DKK)
Book value per share (DKK)**
Full-time-equivalent staff (end of
period)
6.14
14.6
13.9
1.28
44.4
20.5
20.5
17.0
350.2
206.8
-
13.5
13.1
1.29
45.4
22.4
22.4
18.7
258.3
208.3
3
Danske Bank / Interim report – first half 2026
Q2
2026
9,332
4,058
693
689
385
9,340
3,918
389
162
165
15,157
13,974
6,518
6,405
138
78
8,638
7,569
291
8,348
2,147
6,201
-26
7,595
1,908
5,686
-
7.6
14.8
1.27
43.0
20.5
20.5
17.0
350.2
206.8
6.14
7.0
13.1
1.29
45.8
21.7
21.7
17.7
312.3
205.8
100
104
178
-
233
108
102
177
114
-
110
113
109
2025
9,063
3,409
854
513
147
13,985
6,379
84
7,606
217
7,390
1,936
5,454
-
6.6
12.8
1.29
45.6
22.4
22.4
18.7
258.3
208.3
19,472
20,204
96
19,472
19,724
99
20,204
96
20,026
103
119
81
134
262
108
102
164
114
134
113
111
114
36,611
15,423
2,872
1,357
577
56,840
25,848
310
30,992
294
30,699
7,662
23,037
22.72
27.9
13.3
1.30
45.5
20.9
21.2
17.3
318.6
222.3
Due from credit institutions
and central banks
Repo loans
Loans
188,506
189,378
363,216
348,991
100
104
188,506
178,439
106
189,378
363,216
381,282
95
348,991
100
104
218,417
353,414
1,794,226 1,725,662
104 1,794,226 1,777,104
101 1,725,662
104 1,758,110
Trading portfolio assets
496,357
522,660
95
496,357
480,501
103
522,660
95
444,980
Investment securities
298,686
281,944
Insurance assets
Other assets
Total assets
Due to credit institutions
and central banks
Repo deposits
Deposits
589,943
540,921
138,073
130,076
106
109
106
298,686
304,337
98
281,944
589,943
545,594
138,073
125,122
108
110
540,921
130,076
106
109
106
296,738
555,504
126,748
3,869,007 3,739,632
103 3,869,007 3,792,379
102 3,739,632
103 3,753,911
59,975
72,324
83
59,975
52,294
309,102
309,274
100
309,102
291,517
115
106
72,324
309,274
83
58,498
100
293,752
1,134,738 1,073,580
106 1,134,738 1,140,973
99 1,073,580
106 1,109,754
Bonds issued by Realkredit
Danmark
729,810
731,421
Other issued bonds
384,678
346,764
100
111
729,810
731,177
384,678
373,747
100
103
731,421
346,764
100
111
738,670
361,201
Trading portfolio liabilities
325,631
335,176
97
325,631
328,044
99
335,176
97
286,837
Insurance liabilities
582,279
528,801
Other liabilities
Subordinated debt
Total equity
145,867
136,677
29,777
33,962
167,150
171,654
110
107
88
97
582,279
537,791
145,867
136,103
29,777
33,340
108
107
89
528,801
136,677
33,962
167,150
167,393
100
171,654
110
107
88
97
551,087
142,661
30,289
181,162
Total liabilities and equity
3,869,007 3,739,632
103 3,869,007 3,792,379
102 3,739,632
103 3,753,911
* Dividend for the first quarter of 2026 was an extraordinary dividend of DKK 6.14 per share with a payment date of 5 May 2026.
** Comparative information for Q2 2025 has been restated as described in note G2(b).
*** In the fourth quarter of 2025, the Danish parliament adopted an amendment to the Danish implementation of the EU Conglomerate
Directive. The new rules are applicable from 1 January 2026 and result in an, all else equal, increase in the CET 1 capital ratio of around 35
bps.
See the section Definition of alternative performance measures for a description of the alternative performance measures under ratios and
key figures.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Executive summary
and target an improved cost/income ratio no higher than 43%. In
addition, we have set a revised CET1 capital ratio target of
around 16% by 2028.
million. The increase was primarily driven by an increase in
deposit and lending volumes, deposit margins and interest rate
risk management income from the structural hedge.
In the first half-year of 2026, Danske Bank delivered strong
financial results, continuing the positive development from
2025. We generated a net profit of DKK 11.9 billion,
corresponding to a return on equity of 13.9%. This result was
driven by an improvement in total core banking income and
continued cost discipline, enabling steady execution towards our
financial targets for 2028. Credit quality also remained solid, with
loan impairments for the first half-year of DKK 265 million.
The financial results were underpinned by continued delivery on
our focused and profitable growth agenda. Importantly, we saw
volume growth and solid customer activity in our prioritised
customer segments, including in Private Banking and across our
business customers, large corporates and asset management
activities. With our dedicated employees, well-capitalised
balance sheet, leading digital tools and expert advisory solutions,
we will continue to support customers across the Nordic
countries in our focus segments. We continued to invest in our
digital platform and solutions that form the basis for scalable
growth towards 2028 by continuing to deploy AI across the
organisation.
While the economic outlook could be impacted by the
unpredictable geopolitical situation and the impact of higher
energy prices is uncertain, we continue to expect the Nordic
economies to develop favourably. According to the latest
macroeconomic outlook published in early June by Danske Bank
Research, it is likely that higher energy prices will have a limited
impact on growth and inflation in the Nordic region. In Denmark,
GDP growth of more than 3% is expected in 2026, with the
employment rate expected to remain high. Increasing disposable
incomes could lead to higher consumer spending, although
consumer sentiment is still low.
Forward ’28 strategy update and financial targets
for 2028
On 30 April 2026, in connection with the release of the interim
report for the first quarter of 2026, we announced an update of
our Forward ’28 strategy, including financial targets for 2028, a
revised dividend policy and an extraordinary dividend payment.
For 2028, we aim to deliver a return on equity of above 14.5%
4
Danske Bank / Interim report – first half 2026
Please refer to the Strategy execution section for more
information.
Capital and funding
Danske Bank’s underlying business is strong, our treasury asset
and liability management is prudent, and our capital and liquidity
positions continue to be robust, with significant buffers well
above regulatory requirements. At the end of June 2026, our
liquidity coverage ratio stood at 159% (end-December 2025:
156%), with an LCR reserve of DKK 557 billion (end-December
2025: DKK 556 billion), and the net stable funding ratio stood at
122%.
The CET1 capital ratio was 17.0% (31 December 2025: 17.3%).
The extraordinary dividend of DKK 5 billion that was paid on 5
May following the release of the interim report for the first
quarter of 2026 is reflected in our CET1 capital ratio in the
second quarter and accounts for around 60 basis points.
In addition, as announced in the interim report for the first
quarter of 2026, our revised ordinary dividend policy of 60-70%
now results in a 70% dividend accrual.
Share buy-back programme
At 30 June 2026, Danske Bank had bought back around 5.1
million shares for a total purchase amount of DKK 1.6 billion
(figures at trade date) of the planned DKK 4.5 billion share buy-
back programme.
Financials
Danske Bank delivered a net profit of DKK 11,887 million in the
first half of 2026, an increase of 6% from the level in the first half
of 2025. Solid customer activity supported the financial result
for the first half of 2026, although the effect was partly offset by
lower net trading income as a result of unrealised market value
adjustments.
Net interest income increased 3% in the first half of 2026
relative to the same period in 2025 and amounted to DKK 18,672
Net fee income increased 13% from the level in the first half of
2025 and amounted to DKK 7,976 million, mainly due to an
increase in investment fee income supported by a rise in daily
banking fee income attributable to both increased customer
activity and repricing actions.
Net trading income decreased 38% in the first half of 2026 and
amounted to DKK 1,082 million. The decrease was related to
Group Treasury's hedging and liquidity management activities,
including developments related to unrealised market value
adjustments of cross-currency swaps. In addition, the
geopolitical uncertainty resulted in lower customer activity and
thus lower income in Fixed Income.
Net income from insurance business amounted to DKK 851
million in the first half of 2026, an increase of 19% relative to the
level in the first half of 2025. The insurance service result
increased due to a more balanced result in the health and
accident business following prior pricing adjustments and the
strengthening of provisions of DKK 220 million in 2025. The
positive development in the insurance service result was partly
offset by a decline in the net financial result in the first half of
2026 relative to the same period last year, which was caused by
high financial markets volatility in the first quarter of 2026.
Operating expenses increased 2% relative to the level in the first
half of 2025 and are on track to meet our full-year guidance. As
expected, the development was a result of higher digital
investments made under our Forward ’28 strategy, higher bonus
payments, staff costs related to severance pay and higher
amortisation and impairment of intangible assets.
Loan impairments reflected overall solid credit quality,
amounting to a charge of DKK 265 million. We continue to apply
significant post-model adjustments related to the
macroeconomic uncertainty and remain watchful of any credit
deterioration.
Changes in the Executive Leadership Team
On 1 June 2026, it was announced that Danske Bank’s Chief
Compliance Officer Dorthe Tolborg had decided to retire and
would step down from her position and as member of Danske
Bank’s Executive Leadership Team.
In connection with Dorthe Tolborg’s retirement, Danske Bank
decided to create one second-line function with Group Risk
Management and Group Compliance being a single Risk and
Compliance function (RAC) under the leadership of existing Chief
Risk Officer Magnus Agustsson.
Outlook for 2026
We have revised the outlook for the full year 2026 upwards to a
net profit in the range of DKK 23-25 billion, reflecting a return on
equity of around 14% in 2026.
We now expect total income to be somewhat above DKK 59
billion, driven by higher core banking income from higher
customer activity, growing volumes and recent policy rate hikes.
Income from trading and insurance activities remains subject to
financial market conditions.
We expect operating expenses in the range of DKK 26-26.5
billion in 2026. The cost/income ratio is now expected to be
below 45%, ahead of our initial target for 2026.
Loan impairment charges are expected to be around DKK 1
billion as a result of continued strong credit quality.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Strategy execution
In the second quarter of 2026, Danske Bank reached the
midpoint of its Forward ’28 strategy, which covers the period
from 2024 to 2028.
Danske Bank’s Forward ’28 execution is well on track, with clear
progress across Personal Customers, Business Customers and
Large Corporates & Institutions and with performance in 2025
and in 2026 to date supporting the 2026 financial targets.
Since 2023, Personal Customers has strengthened its
momentum with affluent and Private Banking customers,
achieving 8% net growth in the number of Private Banking
customers. That development is enabled by holistic advisory
services and most recently a new Premium offering. We have
5
Danske Bank / Interim report – first half 2026
also achieved the number one position in the Danish
investments space through Danske Invest, improved our home
finance offering across our markets and increased adviser
efficiency by around 50% through the roll-out of our Panorama
advisory tool and upskilling of approximately 600 advisers.
Panorama has also enhanced the customer experience by
providing customers with a comprehensive financial overview,
thus enabling them to make more informed decisions and plan
their finances with a long-term view. In the first half of 2026,
Personal Customers delivered a return on allocated capital of
37.5% and a cost/income ratio of 47.4% and is on track to meet
its 2026 financial targets.
Since 2023, Business Customers has delivered lending growth of
approximately 7%, driven by targeted mid-corporate sales
campaigns and strong digital sales flows for small businesses.
We have also strengthened advisory capabilities by upskilling
around 1,000 advisers and increased green lending volumes by
around 40% across the Nordic countries. Higher activity within
FX, cash management and transaction services has contributed
to annual fee income growth of 9% across Business Customers
and Large Corporates & Institutions. In the first half of 2026,
Business Customers delivered a return on allocated capital of
21.9% and a cost/income ratio of 37.6% and is on track to meet
its 2026 financial targets.
Since 2023, Large Corporates & Institutions has further
strengthened its Nordic large corporate franchise and reinforced
its leading position in institutional banking. Income from financial
sponsors, asset managers and institutional clients has increased
by more than 100%, enabled by deeper relationships and
expanded institutional capabilities. We have onboarded around
90 new customers outside Denmark and secured approximately
45 new house bank mandates across the Nordic countries. In
addition, asset management has shown strong momentum, with
retail and institutional assets under management up 30%,
reflecting strong investment returns and net inflows. In the first
half of 2026, Large Corporates & Institutions delivered a return
on allocated capital of 21.0% and a cost/income ratio of 41.3%
and is on track to meet its 2026 financial targets.
Forward ’28 strategy update
A strategy update was provided in connection with the release of
the interim report for the first quarter of 2026. The updated
strategy introduced an updated KPI framework and revised
financial targets for 2028, supporting our long-term ambitions
and strategic direction. These targets include a return on equity
of above 14.5%, a cost/income ratio no higher than 43% and a
CET1 capital ratio target of around 16% by 2028.
Looking ahead to 2028, we will continue to strengthen our
position as a focused Nordic leader with strong profitability and
leading digital solutions, supported by significant investments in
customer offerings and the customer experience. Growth,
efficiency and disciplined capital allocation continue to be
prioritised.
We are executing our strategic priorities at pace,
strengthening our one-platform technology and AI foundation to
deliver top-tier customer service through innovative, secure and
scalable digital solutions.
Our 'AI city' infrastructure is progressing as planned.
Investments in generative and agentic AI capabilities are
increasing both the speed and the efficiency of development,
bringing new functionality to our employees and streamlining
workflows. AI tools are adopted in the daily work of most
employees, alongside an expanding set of solutions from key
partners.
Our cloud migration continues to progress ahead of plan, with
applications migrated and optimised to leverage the AWS
platform. Furthermore, we are renewing our technology and data
foundation by modernising core platforms and decommissioning
legacy services, thus reducing complexity and related costs. We
remain steadfast in our commitment to safeguarding operations
and protecting customers through a robust cybersecurity
environment and ongoing vigilance against external threats.
Strategic focus areas towards 2028
Personal Customers
We will focus on elevating customer engagement and building
full customer relationships across our markets. Growth will be
driven by continued focus on Private Banking customers,
homeowners and young families. We will continue to scale our
Panorama tool, enhance the investment experience and
strengthen our home finance offering as an entry point for
broader relationships. We will use digitalisation and AI to
improve customer journeys, adviser workflows and customer
assistance, and this will be further supported by an upgraded
mobile banking app and more proactive digital engagement.
These initiatives will contribute to our reaching our 2028 targets
of a return on allocated capital of around 33% and a cost/income
ratio of around 48%. Strategic targets for 2028 include a
compound annual growth rate in total customer assets (deposits
and investments) of more than 5%, more than 50% of customer
enquiries being handled by AI and a 10% increase in the number
of customers with a business volume above DKK 1 million.
Business Customers
Towards 2028, we will focus on accelerating growth in prioritised
segments, particularly mid-corporates with advanced and
international needs, while scaling the acquisition of small
business customers. A key priority is to further accelerate and
deploy GenAI solutions across our core banking processes in
order to increase efficiency, improve quality and enable more
scalable customer solutions. We will further strengthen our One
Corporate Bank offering by enhancing the features and usability
of our customer platform, District, and delivering seamless
onboarding, servicing and credit decisioning journeys. We will
also reinforce advisory services as a differentiator by deepening
sector leadership in high-growth areas. These initiatives will
support us in meeting our 2028 targets of a return on allocated
capital of around 19% and a cost/income ratio of around 36%.
Strategic targets for 2028 include a net inflow of 800 customers
with advanced and international needs, 75% of credit cases
being handled utilising GenAI-powered insights, and a compound
annual growth rate of 5% or more in daily banking fee income
across Business Customers and Large Corporates & Institutions.
Large Corporates & Institutions
We will continue to grow across the Nordic countries and
increase our emphasis on capital markets and sustainable
finance. In addition, we will further strengthen our One Corporate
Bank offering by broadening and scaling daily banking products
and relaunching commodities. Digital, AI and agentic capabilities
will help us increase productivity. We will continue to scale and
deepen Nordic institutional relationships by expanding our
Nordic institutional capabilities across lending, asset
management, servicing and digital assets. Our efforts will be
supported by further simplified, scalable platforms and AI
integration. These priorities will support us in meeting our 2028
targets of a return on allocated capital of around 28% and a
cost/income ratio of around 38%. Strategic targets for 2028
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
include more than 60 additional new large corporate customers
across all markets, a compound annual growth rate in daily
banking fee income of 5% or more across Business Customers
and Large Corporates & Institutions and a compound annual
growth rate of at least 5% in investment net sales across retail
and institutional channels.
Danica
Danica continues to execute on its Forward ’28 priorities,
supporting the Danske Bank Group’s growth ambition through
closer collaboration, stronger integration and improved
customer journeys. The strategic focus remains on deepening
customer relationships and increasing the share of customers
who have both banking and pension products within the Group.
The strengthened collaboration between Danica and Danske
Bank continues to generate results, as pension sales through
Danske Bank have doubled over the past three years.
In the second quarter of 2026, Danica completed the
modernisation of the market return product, Danica Balance,
adjusting customer risk profiles to reduce risk more gradually
over time and support higher expected long-term returns.
Health and accident insurance remains a strategic focus area.
Performance is improving, supported by initiatives within pricing,
claims management and operational efficiency.
Personal
Customers
Business
Customers
ROAC* ~33%
ROAC* ~19%
C/I ratio ~48%
C/I ratio ~36%
*After impairments, before tax
6
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy executive
Sustainability
Financial review
Business units
Financial statements
Sustainability
risks and opportunities. Almost 800 employees across our four
Nordic markets have been trained to use this tool.
carbon intensity (WACI) targets for the equity and bond
portfolios.
Since the launch of our Forward ’28 strategy, the global
sustainability landscape has evolved in response to geopolitical
developments and changes in US policy. In Europe, greater
emphasis has been placed on energy independence and
competitiveness, supported by an increased supply of
domestically produced low-carbon energy. We remain focused
on supporting the transition in the Nordic region and across
Europe and on helping our customers achieve their sustainability
objectives.
Execution on our strategic sustainability priorities is progressing
to plan. We are also well positioned to capture opportunities
related to the energy transition – an area in which investments in
Europe are set to accelerate.
Supporting our customers in the transition
Personal customers
In the current environment of increased energy prices, we have
introduced new initiatives to help our customers make
sustainable choices for their homes that fit their financial
situation. Personal Customers Denmark has entered into a new
partnership with the Danish energy and advisory company NRGi.
Through this partnership, customers gain access to a digital
energy improvement tool that provides homeowners with
customised suggestions for how they can make financially
beneficial energy-efficiency improvements. The tool is also
integrated with our energy improvement loan calculator to
provide users with an overview of the financial benefits.
In addition to supporting our customers’ transition to more
sustainable mobility choices by offering favourably priced loans
for electric vehicles provided through Nordania Leasing, we also
offer attractive pricing on charging stations and other solutions.
Business customers
To support our business customers’ transition while continuing
to manage the associated risks, we have developed and
implemented a new version of our ESG Tracker tool. This enables
us to engage with customers on relevant sustainability-related
7
Danske Bank / Interim report – first half 2026
Many of our commercial real estate customers are awaiting the
implementation of the EU Energy Performance of Buildings
Directive, which is delayed in all four Nordic markets. To support
them, we have hosted customer events on future energy
performance requirements.
Large Corporates & Institutions
In the first half of 2026, we continued to refine our approach to
financing the climate transition, through which we aim to
support companies in high-emitting sectors that have credible
transition plans as well as companies in transition-enabling
value chains. With this approach, we are moving from solely
sustainability-labelled transactions, such as green bonds and
green loans, towards a more holistic model for financing the
transition. This is based on comprehensive, entity-level
transition risk assessments of companies’ transition plans. As
well as involving in-depth dialogues with customers to
understand their strategies and financial needs, our approach
also involves the provision of bespoke financing solutions.
By supporting companies’ transition activities and transition-
enabling value chains, we facilitate growth in sectors such as
power generation, heating, steel and transportation, all of which
require substantial investment to decarbonise. Our ambition is to
provide financing totalling DKK 100 billion by 2028.
Across Asset Management, we updated our engagement targets
for climate and nature, with revised targets to be communicated
in the second half of 2026. In our internal operations, we further
enhanced our climate target-related capabilities, not least by
developing a climate attribution model that improves our
understanding of the drivers behind changes in portfolio
emissions. We also began collecting physical climate risk data,
as we already do for our lending portfolio, and this data will be
further integrated into our processes in the second half of the
year.
Danica
In 2026, Danica launched its new sustainability strategy, which
runs until 2030. The strategy includes new climate targets that
support a shift from sector-based targets to targets for
temperature rating (scope 1, 2 and 3) and weighted average
As part of the strategy update, Danica aligned its methodology
for green investments with industry practice at Insurance &
Pension Denmark. The updated approach enables the inclusion
of equity and credit bond investments that meet the SFDR Article
2(17) criteria for sustainable investments. Danica’s target is to
invest DKK 100 billion in the green transition by 2030. By June
2026, Danica had invested DKK 124 billion. Given the positive
development observed so far, which is primarily driven by the
implementation of a revised calculation methodology, we will
continue to monitor progress against this target throughout
2026. This will allow us to track developments over time and
consider relevant changes in the regulatory environment as they
arise.
Nature and biodiversity
We have established a nature and biodiversity roadmap to guide
initiatives focused on strengthening the data foundation,
managing risk appropriately and developing insights through
international working groups.
In the first half of 2026, Asset Management brought together
customers, academics and other key stakeholders to
understand how scientific insights can inform investor analysis
and investment decision-making. As a result, we are
strengthening our nature-related capabilities by enhancing our
data platform and gaining access to geospatial data. This will
enable us to assess companies’ nature-related risks, impacts
and dependencies, and we are integrating such assessments
into our responsible investment processes.
As part of its new sustainability strategy, Danica has also set a
target to engage with selected companies on water and pollution
issues by 2030.
Diversity, equity and inclusion
To support financial inclusion, we introduced our Danske
BoligStart™ concept. This initiative aims to help young people
aged 18 to 38 to become homeowners by providing them with
personalised advice about purchasing a home and by offering
the lowest variable interest rate within our interest rate spread
for home loans and cooperative housing unit loans.
In June 2026, we hosted our second Group-wide DE&I Theme
Week across our Nordic and international organisation, under
the theme of ‘Shaping the future of inclusion’. The purpose of the
week was to foster learning, dialogue and shared ownership of
inclusion across all levels of the Group.
We strive to meet our gender balance targets for leadership
positions, including a target of 40% women and 60% men among
AGM-elected board members and a similar gender composition
for the Executive Leadership Team.
In 2026, the Board of Directors consisted of eight members
elected at the Annual General Meeting: five men and three
women, which equates to 38% female representation and is just
short of our 2028 target of 40%. Due to the retirement of Chief
Compliance Officer Dorthe Tolborg and her departure from the
Executive Leadership Team, female representation on the
Executive Leadership Team currently stands at 25%.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Financial review
H1 2026 vs H1 2025
Net profit increased by 6% and amounted to DKK 11,887 million
(H1 2025: DKK 11,211 million). Total income increased, mainly
driven by higher net interest income and net fee income as well
as higher net income from insurance business and other income.
The increase in total income was, however, partly offset by a
decline in net trading income. Operating expenses increased by
2% due to digital investments made under our Forward ’28
strategy and an increase in staff costs related to severance pay.
Income
Net interest income increased to DKK 18,672 million (H1 2025:
DKK 18,083 million). The increase was mainly driven by
increasing deposit and lending volumes as well as improving
deposit margins. Stronger interest rate risk management income
from fixed-rate lending hedging and bond portfolios in Group
Treasury also added to the increase.
Net fee income rose to DKK 7,976 million (H1 2025: DKK 7,066
million) and was primarily driven by higher investment fee
income supported by a rise in daily banking fee income
attributable to both increased customer activity and repricing
actions.
Net trading income decreased to DKK 1,082 million (H1 2025:
DKK 1,736 million) and was affected by Group Treasury's
hedging and liquidity management activities, including
developments related to unrealised market value adjustments of
cross-currency swaps. The decrease mainly related to negative
value adjustments in the first quarter of the year. In addition, the
Net profit
DKK 6,201 million
for the second quarter of 2026
8
Danske Bank / Interim report – first half 2026
geopolitical uncertainty resulted in lower customer activity and
thus lower income in Fixed Income.
Net income from insurance business increased to DKK 851
million (H1 2025: DKK 714 million). The insurance service result
increased due to a more balanced result in the health and
accident business following prior pricing adjustments and the
strengthening of provisions of DKK 220 million in 2025. The
positive development in the insurance service result was partly
offset by a decline in the net financial result in the first half of
2026 relative to the same period last year, which was caused by
high financial markets volatility in the first quarter of 2026.
Other income increased to DKK 550 million (H1 2025: DKK 316
million) due to the release of a provision of DKK 231 million
related to the sale of the personal customer business in Norway
following the expiration of primary warranties.
Operating expenses
Operating expenses increased to DKK 12,924 million (H1 2025:
DKK 12,670 million). As expected, the development was a result
of higher digital investments made under our Forward ’28
strategy, higher bonus payments, higher staff costs related to
severance pay and higher amortisation and impairment of
intangible assets.
Resolution fund, bank tax and other items stood at DKK 216
million (H1 2025: DKK 156 million). The increase was caused by
costs related to the increased target level in the Danish
Resolution Fund.
Loan impairment charges
Loan impairments in the first quarter of 2026 amounted to a
charge of DKK 265 million (H1 2025: DKK 266 million).
The impairment level reflected overall solid credit quality,
despite continued geopolitical uncertainties. Our post-model
adjustments address ongoing geopolitical and macroeconomic
risks, and vigilance is maintained for any indications of credit
deterioration. The overall level of post-model adjustments
remained broadly stable in the first half of 2026 with only limited
reductions, as the revised level was deemed adequate in the
light of the prevailing risk environment and the potential
challenges arising from geopolitical volatility.
Personal Customers recorded a limited net impairment reversal
in the first half of 2026 against a modest net charge in the first
half of 2025. The underlying credit quality of the segment
remained stable.
Business Customers reported a net impairment reversal in the
first half of 2026, broadly in line with the level recorded in the
Loan impairment charges
(DKK millions)
Personal Customers
Business Customers
Large Corporates & Institutions
Northern Ireland
Group Functions
Total
First half 2026
First half 2025
Charges
% of net credit
exposure
Charges
% of net credit
exposure
-149
-354
746
37
-15
265
-0.04
-0.10
0.37
0.11
-7.94
0.03
48
-516
736
9
-11
266
0.01
-0.15
0.39
0.03
0.34
0.03
Net credit exposure is defined as lending activities, excluding exposure related to credit institutions and central banks and loan
commitments.
Q2 2026 vs Q1 2026
Net profit increased to DKK 6,201 million (Q1 2026: DKK 5,686
million). While net interest income was stable, all other
income lines increased. The effect was partly offset by higher
operating expenses and an increase in impairment charges.
• Net interest income was stable at DKK 9,332 million (Q1
2026: DKK 9,340 million). Net interest income was
positively affected by a day effect, increased deposit
margins and higher deposit and lending volumes, although
the effect was offset by lower income from Group Treasury.
• Net fee income increased to DKK 4,058 million (Q1 2026:
DKK 3,918 million), driven primarily by increased
investment and capital markets activities. However, the
effect was partly offset by normal fluctuations in financing
fee income.
• Net trading income increased to DKK 693 million (Q1 2026:
DKK 389 million), driven by higher income from Group
Treasury related to unrealised market value adjustments of
cross-currency swaps held for liquidity management
purposes and bond portfolio investments.
• Net income from insurance business came in strong at
DKK 689 million (Q1 2026: DKK 162 million). The insurance
service result increased due to an increase in income from
life insurance products, which benefitted from the increase
in assets under management. The net financial result
increased following the market rebound in the second
quarter after a volatile first quarter of 2026.
• Other income increased to DKK 385 million (Q1 2026:
DKK 165 million) due to the release of a provision of
DKK 231 million related to the sale of the personal
customer business in Norway.
• Operating expenses increased to DKK 6,518 million (Q1
2026: DKK 6,405 million), mainly because of increased
costs related to severance pay and costs related to the
Danish Resolution Fund.
• Loan impairments amounted to a net charge of DKK 291
million (Q1 2026: net reversal of DKK 26 million), reflecting
stable credit quality.
• Tax amounted to DKK 2,147 million (Q1 2026: DKK 1,908
million), corresponding to an effective tax rate of 25.7% (Q1
2026: 25.1%).
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
first half of 2025. Reversals were mainly driven by single-name
exposures.
Large Corporates & Institutions posted a net impairment charge
in the first half of 2026, which was consistent with developments
in the first half of 2025. Charges were largely driven by single-
name exposures.
The macroeconomic scenarios have been updated to reflect
more moderate yet still improving growth prospects. The severe
downside scenario continues to be a global recession with
negative growth rates and anticipated increases in inflation and
interest rates.
The weighting of the macroeconomic scenarios remained
unchanged from the end of 2025. The base-case scenario had a
probability of 50% (2025: 50%), the upside scenario was as-
signed a probability of 25% (2025: 25%), the downside scenario
had a probability of 5% (2025: 5%), and the severe downside
scenario was assigned a probability of 20% (2025: 20%).
Tax
The tax expense of DKK 4,055 million (H1 2025: DKK 3,770
million) corresponded to an effective tax rate of 25.4% (H1 2025:
25.2%).
Lending
Lending stood at DKK 1,794 billion at 30 June 2026 (31
December 2025: DKK 1,758 billion). Mortgage lending at nominal
value at Realkredit Danmark amounted to DKK 788 billion (31
December 2025: DKK 784 billion).
At Personal Customers, total lending was stable at the level at
the end of 2025. In Denmark, nominal home finance volumes
increased, but the increase was partly offset by a negative
DKK 0.5 billion market value adjustment of mortgage loans. In
Finland, lending decreased slightly amid subdued market
conditions, although we continued to outperform the market and
gain market share. In Sweden, bank lending volumes in local
currency were flat, although the housing market picked up
following regulatory changes. The depreciation of the Swedish
krona reduced total lending by DKK 2 billion.
Total lending at Business Customers increased 2% relative to the
level at end-2025. Bank lending volumes increased 4% from the
level at the end of 2025 and were driven mainly by growth in
Sweden and Norway in local currency. Lending in Finland also
contributed positively, while lending in Denmark remained
broadly stable. Exchange rate developments added DKK 0.1
billion to volume growth. Nominal Realkredit Danmark mortgage
volumes increased 1% relative to the level at the end of 2025,
with most of the increase being driven by commercial real estate
lending.
Large Corporates & Institutions saw an increase in lending of 4%
relative to 31 December 2025. The increase was widespread
across segments, though primarily driven by corporate
customers in Denmark.
In Denmark, new gross lending, excluding repo loans, amounted
to DKK 147 billion, while net new lending amounted to DKK 16
billion. Lending to personal customers accounted for DKK 55
billion and DKK 11 billion, respectively, of these amounts.
Deposits
Deposits increased and amounted to DKK 1,135 billion at the end
of June 2026 (31 December 2025: DKK 1,110 billion).
At Personal Customers, deposit volumes increased 3% from the
level at the end of 2025. The increase was mainly driven by
higher customer savings in Denmark, where volumes rose
DKK 9.8 billion supported by tax refunds, dividend payouts and a
government food subsidy programme. Deposit volumes also
increased in Finland and Sweden by DKK 1.4 billion and DKK 0.3
billion, respectively, although the effect was partly offset by a
DKK 0.9 billion negative effect of the depreciation of the Swedish
krona.
At Business Customers, deposit volumes increased 3% from the
level at the end of 2025, supported by a positive exchange rate
impact of DKK 0.2 billion. In local currency, volumes grew across
all countries except Denmark, where they remained stable.
At Large Corporates & Institutions, deposit volumes were stable
at the level at the end of 2025.
Credit exposure
Credit exposure from lending activities increased to DKK 2,580
billion at 30 June 2026 (end-2025: DKK 2,529 billion). The
exposure increase was mainly driven by the following segments:
financials, capital goods, and commercial and residential real
estate. The increase was partially countered by a decrease in
exposure to the public institutions segment.
Credit quality
Credit quality remained strong in the first half of 2026 at all
business units, and we remain vigilant for any possible
deterioration related to the broader geopolitical and
macroeconomic environment, as mentioned in the loan
impairment charges section.
Risk Management 2025, section 3, which is available at
www.danskebank.com/ir, provides details on Danske Bank’s
credit risk management.
Total gross stage 3 credit exposure decreased slightly to
DKK 29.6 billion (end-2025: DKK 30.7 billion), corresponding to
1.1% of total gross exposure. Stage 3 exposure was
concentrated on personal customers, commercial and
residential real estate, consumer goods, and services, which
combined accounted for 59% of total gross stage 3 exposure.
Stage 3 loans
(DKK millions)
Gross exposure
Allowance account
Net exposure
Collateral (after haircut)
Stage 3 coverage ratio (%)
Stage 3 gross/total gross credit exposure (%)
30 June 2026
31 December 2025
29,579
8,689
20,890
17,204
70
1.1
30,715
9,345
21,370
17,828
73
1.2
The stage 3 coverage ratio is calculated as allowance account stage 3 exposures relative to gross stage 3 net of collateral (after haircuts).
Allowance account by business units
(DKK millions)
Personal Customers
Business Customers
Large Corporates & Institutions
Northern Ireland
Group Functions
Total
Credit exposure is related to lending activities
30 June 2026
31 December 2025
Accumulated
impairment
charges
% of credit
exposure
Accumulated
impairment
charges
% of credit
exposure
4,071
9,336
4,554
777
27
18,764
0.59
1.27
1.07
1.06
-17.82
0.98
4,488
9,768
4,669
742
20
19,686
0.66
1.36
1.15
1.06
4.80
1.05
9
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
The allowance account amounted to 0.98% (end-2025: 1.05%) of
credit exposure.
Interest rate risk in the banking book
Danske Bank is exposed to interest rate risk in its banking book,
primarily because it holds non-maturity deposits on its balance
sheet. The structural mismatch between assets that reprice in
the short term and liabilities that reprice in the long term is
managed using fixed income securities and derivative
instruments. In previous years, derivatives were exclusively used
for mitigating risks associated with wholesale funding activities.
However, the application of derivatives has been successfully
expanded to hedge non-maturity deposits, thus enhancing the
Group’s ability to dynamically manage overall liability risk in its
banking book. A phased approach is adopted to gradually
replace maturing bonds with derivatives as a hedging
instrument. Both micro and macro derivatives are designated for
hedge accounting in compliance with IAS 39. In 2027, the Group
aims to transition to IFRS 9 hedge accounting to include cross
currency derivatives.
The bond and derivative portfolios are designed to be counter-
cyclical, aiming to stabilise net interest income and the
economic value of equity. The hedges are structured so that only
a portion matures at any given time, thus resulting in a highly
granular reinvestment profile. Consequently, the average yields
of maturing securities represent a mix of various durations,
effectively addressing the structural interest rate risk
mismatches that arise from offering conventional banking
products across different markets.
As part of managing interest rate risk in its banking book, the
Group holds high-quality liquid bonds that are included in the
calculation of the Group’s liquidity coverage ratio (LCR). To
ensure aligned accounting treatment across the banking book,
these bonds are held at amortised cost. The carrying amount
and fair value of the Group’s hold-to-collect bond instruments
are stated in note G12.
Funding and liquidity
In the second quarter of 2026, funding markets remained strong,
demonstrating solid resilience despite periods of pressure
related to increased global macroeconomic and geopolitical
uncertainty. In the second quarter of 2026, the Group issued
10
Danske Bank / Interim report – first half 2026
covered bonds of DKK 9.7 billion, preferred senior debt of DKK
10.6 billion, non-preferred senior debt of DKK 0.6 billion and tier
2 capital of DKK 1.0 billion, thus bringing total long-term
wholesale funding to DKK 22.0 billion for the quarter and DKK
63.5 billion year to date.
Our strategy is to be a regular issuer in the EUR benchmark
format and in the domestic USD market for preferred senior and
non-preferred senior bonds in the Rule 144A format. We also
maintain the strategy of securing funding directly in our main
lending currencies, including DKK, NOK and SEK. The benchmark
issues are expected to be supplemented by private placements
of bonds.
From time to time, we will make issues in GBP, JPY, CHF, AUD and
other currencies when market conditions allow. Issuance plans
for subordinated debt in either the additional tier 1 or tier 2
format depend on balance sheet growth and redemptions on the
one hand and our capital targets on the other. Note G7 provides
more information about bond issues in 2026.
Danske Bank’s liquidity position remained robust. At the end of
June 2026, our liquidity coverage ratio stood at 159% (31
December 2025: 156%), with an LCR reserve of DKK 557 billion
(31 December 2025: DKK 556 billion), and our net stable funding
ratio was 122%.
At the end of June 2026, the total nominal value of outstanding
long-term funding, excluding bonds issued by Realkredit
Danmark, was DKK 359 billion (31 December 2025: DKK 338
billion). Realkredit Danmark bond issues are excluded because
mortgages in Denmark are based on the pass-through principle.
Capital ratios and requirements
At the end of June 2026, the Group’s total capital ratio was
20.5% (31 December 2025: 20.9%), and its CET1 capital ratio was
17.0% (31 December 2025: 17.3%). The movement in the capital
ratios was driven primarily by the DKK 5 billion extraordinary
dividend payment and an increase in the total REA. These effects
were countered partly by realised net profit after reserved
dividends and the Danish implementation of the EU
Conglomerate Directive, thus removing the deduction for Danica.
The total capital ratio was further affected by net issues of
additional tier 1 and tier 2 capital.
During the first half of 2026, the total REA increased by DKK 26
billion, driven by an increase in the REA for credit risk.
Danske Bank’s capital management policies are based on the
Internal Capital Adequacy Assessment Process (ICAAP). In this
process, Danske Bank determines its solvency need ratio. The
solvency need ratio consists of the 8% minimum capital
requirement under Pillar 1 and an individual capital add-on
under Pillar 2.
At the end of June 2026, the Group’s solvency need ratio was
11.3%, down 0.1 percentage points from the level at end-2025.
A combined buffer requirement (CBR) applies to financial
institutions in addition to the solvency need ratio. At the end of
June 2026, the Group’s CBR remained at 8.2%, unchanged from
the level at end-2025. The amended systemic risk buffer (SyRB)
for exposures to commercial real estate, effective from 30 June
2026, reduced the Group’s SyRB by 0.1 percentage points.
Minimum requirement for own funds and eligible
liabilities
The Danish FSA sets the minimum requirement for own funds
and eligible liabilities (MREL) at two times the solvency need plus
one time the SIFI buffer, one time the capital conservation buffer
and one time the systemic risk buffer. The CBR must be met in
addition to the MREL. In the annual MREL decision from the
Danish FSA, the (backward-looking) MREL was set at 28.5% of the
total REA adjusted for Realkredit Danmark, while the
subordination requirement was set at 30.5% of the total REA
adjusted for Realkredit Danmark.
At the end of June 2026, the point-in-time requirement,
including the CBR, was equivalent to DKK 257 billion, or 36.9% of
the total REA adjusted for Realkredit Danmark. Taking the
deduction of capital and debt buffer requirements for Realkredit
Danmark into account, MREL-eligible liabilities amounted to
DKK 290 billion, or a buffer of DKK 33 billion to the requirement.
In addition, an MREL of 6% of the leverage ratio exposure (LRE) is
in place. The LRE-based requirement equalled 23.4% of the total
REA adjusted for Realkredit Danmark.
Capital ratios and requirements
(% of the total REA)
Capital ratios
CET1 capital ratio
Total capital ratio
Capital requirements (incl. buffers)
CET1 requirement
- portion from countercyclical buffer
- portion from capital conservation buffer
- portion from systemic risk buffer
- portion from SIFI buffer
Solvency need ratio
Total capital requirement
Buffer to requirement
CET1 capital
Total capital
30 June 2026
17.0
20.5
14.7
2.0
2.5
0.6
3.0
11.3
19.5
2.4
1.1
The total capital requirement consists of the solvency need ratio
and the combined buffer requirement.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
MREL requirement and eligible funds
(30 June 2026)
DKK billions (% of total REA)
290
(41.6%)
58
(8.4%)
91
(13.1%)
140
(20.1%)
257
(36.9%)
MREL including CBR
MREL funds
Preferred senior debt > 1 year
Non-preferred senior debt > 1 year
CET1, AT1, T2
MREL including CBR
Note: The requirement and eligible funds are adjusted for Realkredit
Danmark’s capital and debt buffer requirements.
11
Danske Bank / Interim report – first half 2026
Leverage ratio
At the end of June 2026, the Group’s leverage ratio was 4.4%.
values with which all Danish banks must comply. The
requirements are known as the Supervisory Diamond.
At the end of June 2026, Danske Bank was in compliance with all
threshold values. A separate report is available at
www.danskebank.com/ir.
Realkredit Danmark also complies with all threshold values.
New regulation
The application date for the Fundamental Review of the Trading
Book (FRTB) rules has been postponed and is now 1 January
2027. In addition, the European Commission has adopted a
delegated act on targeted and temporary amendments to the
FRTB standard. The amendments, if adopted by the European
Parliament and the Council, will apply from 1 January 2027 until
end-2029.
In addition, the fully phased-in CRR3 rules are subject to a
lengthy transition period and transitional arrangements. Taking
into account the transitional arrangements with regard to the
output floor, the Group currently expects the output floor to
affect the Group at the earliest in 2033, when the transitional
arrangements are set to expire.
On 7 October 2025, it was announced that the Danish Systemic
Risk Council had recommended maintaining the 7% systemic
risk buffer (SyRB) for exposures to commercial real estate in
Denmark while also recommending an increase in the LTV band
exempted from the scope of the Danish SyRB. On 30 June 2026,
the Danish government decided to follow the risk council’s
recommendation, including the proposal to increase the
exempted LTV band. The amended SyRB has been applicable
from 30 June 2026.
Capital targets and capital distribution
Following the resolution of legacy issues and the closure of the
corporate probation, the Group expects a normalisation of Pillar
2 requirements before the end of 2026, subject to the outcome
of the Supervisory Review and Evaluation Process. This will
contribute to a projected CET1 capital requirement of around
14% by 2028. In that light, the CET1 capital target was changed
from above 16% to around 16% as part of Danske Bank’s
Forward ’28 strategy update on 30 April 2026. The Board of
Directors continues to review the capital targets in view of
regulatory developments in order to ensure a strong capital
position.
To accelerate this transition towards normalised capital levels,
the Board of Directors, in connection with the release of the
interim report for the first quarter of 2026, approved an
extraordinary dividend payment of DKK 5 billion, equivalent to
DKK 6.14 per share. In addition, the Board of Directors revised
the dividend policy from 40-60% to 60-70% of net profit,
effective from the second quarter of 2026. The revised policy is
intended to support predictable and sustainable shareholder
distributions.
Danske Bank has strong capital and liquidity positions, and the
Group remains committed to our capital distribution policy.
At 30 June 2026, Danske Bank had bought back around 5.1
million shares for a total purchase amount of DKK 1.6 billion
(figures at trade date) of the planned DKK 4.5 billion share buy-
back programme.
On 26 March 2026, the annual general meeting of Danske Bank
A/S adopted a proposal to reduce Danske Bank’s share capital by
DKK 191,796,230 nominally by cancelling 19,179,623 shares
from Danske Bank’s holding of own shares. The reduction of the
share capital was carried out and registered at 27 April 2026.
The Supervisory Diamond
The Danish FSA has identified a number of specific risk
indicators for banks and mortgage institutions and set threshold
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit ratings
Danske Bank A/S
Counterparty rating
Deposits
Deposit notes / Certificates of Deposit
Senior unsecured debt
Issuer rating
Non-preferred senior debt
Subordinated tier 2 debt
Additional tier 1 capital instruments
Realkredit Danmark A/S
Issuer rating
Danske Hypotek AB
Issuer rating
Danske Mortgage Bank Plc
Issuer rating
ESG ratings
Danske Bank A/S
CDP
ISS STOXX
MSCI ESG Ratings
Sustainalytics
Fitch
AA(dcr)
AA/F1+
-
AA/F1+
AA/F1+/Stable
A+
A-
BBB
-
-
-
Moody’s
Nordic Credit Rating
Aa2/P-1
Aa2/P-1/Stable
(P)A1
A1/P-1/Stable
A1/P-1/Stable
A3
-
-
-
-
-
-
-
-
-
-
-
-
-
-
A+/N2/Stable
-
S&P
AA-/A-1+
-
-
Scope
-
-
-
A+/A-1
AA-/S-1+/Stable
A+/A-1/Stable
AA-/S-1+/Stable
A-
BBB+
BBB-
A+/Stable
A-/Stable
BBB/Stable
-
-
-
AA-/S-1+/Stable
-
AA-/Stable
B
C+ Prime
BBB
Low Risk
Credit ratings
In the first half of 2026, Moody’s, Scope and Fitch upgraded
Danske Bank A/S’s ratings.
On 18 February 2026, Moody’s upgraded Danske Bank A/S’s
Baseline Credit Assessment to a3 from baa1, non-preferred
senior debt rating to A3 from Baa1, deposit rating to Aa3 from
A1, and Counterparty Risk Assessment to Aa2(cr) from Aa3(cr).
At the same time, Moody’s affirmed Danske Bank A/S’s senior
unsecured debt rating and issuer rating at A1. The outlook
remains stable. Moody’s rationale for the upgrades is a
strengthening of Danske Bank A/S’s standalone credit
fundamentals.
On 26 February 2026, Scope upgraded Danske Bank A/S’s issuer
rating to AA- from A+, senior unsecured debt rating to AA- from
A+, non-preferred senior debt rating to A+ from A, tier 2 debt
rating to A- from BBB+, and AT1 rating to BBB from BBB-. At the
same time, the outlook was revised to stable from positive. The
upgrade was driven by improvements in governance and risk
management coupled with a strengthened and resilient earnings
profile.
On 21 April 2026, Moody’s upgraded Danske Bank A/S’s long-
term deposits rating to Aa2 from Aa3, due to the introduction of
full depositor preference across the European Union. At the
same time, Moody’s downgraded the provisional deposit
notes/certificates of deposit rating to A1 from Aa3, due to a re-
mapping of this type of instrument to the rating of senior
unsecured debt.
On 12 May 2026, Fitch upgraded Danske Bank A/S’s long- and
short-term issuer ratings to AA from A+ and to F1+ from F1. At
the same time, Fitch upgraded Danske Bank A/S’ senior
unsecured debt rating to AA from AA-, derivative counterparty
rating to AA(dcr) from AA-(dcr), and deposit rating to AA from
AA-. The upgrades reflect Danske Bank A/S’s large resolution
debt buffer and updated Fitch bank methodology. The outlook
remains stable.
Environmental, Social and Governance (ESG)
ratings
The ESG rating agencies monitored by Danske Bank A/S did not
change their ratings of Danske Bank A/S in the first half of 2026.
12
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Changes to the Executive Leadership Team of
Danske Bank A/S and the organisation
As announced in Company Announcement No. 28/2026,
Danske Bank’s Chief Compliance Officer, Dorthe Tolborg,
decided to retire and therefore, with effect from 1 June 2026,
stepped down from her position with Danske Bank and as
member of Danske Bank’s Executive Leadership Team.
In connection with Dorthe Tolborg’s retirement, Danske Bank
decided, with effect from 1 June 2026, to merge its Group Risk
Management and Group Compliance functions into a single
Risk and Compliance function (RAC) under the leadership of
Chief Risk Officer Magnus Agustsson. With the merging of the
functions, the two leadership teams will report to Magnus
Agustsson, and he will for an interim period take over all
responsibilities of the Chief Compliance Officer in addition to
his role as Chief Risk Officer.
The merged function is designed to further strengthen our risk
management and compliance framework and to support a
holistic approach to managing risks across the organisation.
13
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Business units
Personal Customers
Our Personal Customers unit provides advisory services to personal customers and Private
Banking customers in Denmark, Sweden and Finland. Our advisers and experts are there to
help customers when and how it best suits them – online, via our websites or, if so required,
over the phone or at a branch.
When our customers need to make important financial decisions about, for example, their
home, investments or pension savings, we offer customised advice that is based on their
current situation and needs. And with our intuitive digital solutions, we aim to make it as
easy as possible for our customers to do most of their banking business whenever and
wherever they want.
Business Customers
We offer our customers advice that adds value to their business, no matter whether the
customer is a sole proprietor or an entity in a multinational group. Our strategic advisory
services are always based on the needs of the business, for example in connection with
growth, an acquisition, a change of ownership, strategic development or international
expansion.
Our business customers have access to the market’s most innovative digital solutions that
make day-to-day banking easy and pave the way for new insights and opportunities.
Large Corporates & Institutions
Large Corporates & Institutions caters to all financing and transaction needs of large
corporate and institutional customers, and we help them to prosper and grow. We offer
expertise in financing, risk management, investments and financial advisory services, and
our customers have access to our award-winning transaction banking solutions. Thanks to
our extensive network and our many years of experience, we serve as intermediary
between issuers and investors with a view to creating financing and investment
opportunities. Our goal is to be an inspirational partner that understands the customers’
strategic agendas and offers tailored solutions to meet their needs.
14
Danske Bank / Interim report – first half 2026
Danica
Danica aims to be the preferred pension company in Denmark by 2028, focusing on
customer satisfaction as a primary growth driver. We focus on making customer
interactions with Danica easy and convenient through digital solutions and to offer
comprehensive health offerings, attractive returns and quality advice.
Additionally, the strategy aligns with the broader goals of Danske Bank’s Forward ’28
strategy. The alignment underscores significant potential in synchronising services
between the bank and the pension business, where several customers currently do not
engage in both services.
Northern Ireland
Danske Bank is the leading bank in Northern Ireland, serving personal, business and
corporate customers. It is also a growing bank in targeted sectors across the rest of the UK.
We support our customers through face-to-face, online and mobile solutions. Our focus in
Northern Ireland is on remaining a stable and strong bank, consolidating our market-
leading position alongside pursuing prudent low-cost growth opportunities in the rest of
the UK.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Personal Customers
(DKK millions)
Net interest income
Net fee income
Net trading income
Other income
Total income
Operating expenses
of which resolution fund, bank tax etc.
Profit before loan impairment charges
Loan impairment charges
Profit before tax
First half
First half
2026
6,672
2,648
62
283
9,664
4,576
22
5,088
-149
5,237
2025
6,349
2,231
50
68
8,698
4,433
16
4,265
48
4,217
Index
26/25
105
119
124
-
111
103
138
119
-
124
Q2
2026
3,422
1,293
32
256
5,003
2,352
17
Q1
2026
3,250
1,355
30
27
4,662
2,224
5
2,651
2,437
-77
-72
2,728
2,509
Index
Q2/Q1
105
95
107
-
107
106
-
109
107
109
Q2
Index
Full year
2025
3,118
1,021
26
29
4,193
2,292
9
1,901
-69
1,970
26/25
2025
110
127
123
-
119
103
189
139
112
138
13,004
4,592
108
119
17,822
9,292
31
8,530
33
8,497
Loans, excluding reverse transactions before impairments
670,004
660,587
101
670,004
664,381
101
660,587
101
668,606
Allowance account, loans
Deposits, excluding repo deposits
Covered bonds issued
Allocated capital (avg.)
3,539
4,078
412,002
402,538
544,723
535,419
27,964
26,682
87
102
102
105
3,539
3,708
412,002
402,379
544,723
533,546
27,881
28,049
95
102
102
99
Net interest income as % p.a. of loans and deposits
1.26
1.22
1.29
1.23
Profit before loan impairment charges as % p.a. of allocated capital (avg.)
36.4
32.0
38.0
34.8
Profit before tax as % p.a. of allocated capital (avg.)
37.5
31.6
39.1
35.8
4,078
402,538
535,419
26,756
1.19
28.4
29.5
54.7
87
102
102
104
3,916
401,463
526,854
26,869
1.25
31.7
31.6
52.1
Cost/income ratio (%)
Full-time-equivalent staff
47.4
51.0
47.0
47.7
3,835
3,945
97
3,835
3,871
99
3,945
97
3,897
Fact Book Q2 2026 provides financial highlights at customer type level for Personal Customers. Fact Book Q2 2026 is available at www.danskebank.com/ir.
Personal Customers
In the first half of 2026, we continued to strengthen our value
proposition for personal customers and maintained good
business momentum. In Denmark, Personal Banking performed
well, in Finland, Personal Banking continued to slightly
outperform the market and gain market share, and in Sweden,
the development was stable, with market activity picking up in
the latter part of the second quarter. In addition, Global Private
Banking performed well. The financial markets were affected by
geopolitical tension, albeit with a clear, positive trend in the
second quarter of 2026, which contributed to continually strong
net flows into investment products.
Profit before tax amounted to DKK 5,237 million in the first half
of 2026 (H1 2025: DKK 4,217 million), an increase of 24% from
the level in the first half of 2025. The increase was primarily
driven by higher interest income from deposits, higher net fee
income, loan impairment reversals and higher other income that
benefitted from the reversal of a provision related to the sale of
the personal customer business in Norway. The increase in total
income was partly offset by higher operating expenses.
Business initiatives
We strengthened our position in our core markets by executing
strategic initiatives and enhancing our value proposition for a
range of customer needs. We improved our value-for-money
offering within home finance, supported by adjusted mortgage
pricing and easy access to digital home finance solutions.
In Denmark, we rolled out a new investment advisory offering
called Butterfly. The offering is enabled by BlackRock’s Aladdin
Wealth platform, which Danske Bank is the first among Nordic
banks to use. In addition, driven by strong demand and solid
performance, Danske Porteføljepleje in Denmark surpassed
DKK 100 billion in assets under management, underscoring its
role as our flagship investment offering.
Total customer assets under administration quickly recovered
from the negative effect of the conflict in the Middle East and
reached new highs, surpassing DKK 1,000 billion in the second
15
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
lending negatively. In Finland, lending volumes decreased
slightly due to subdued market developments, but we performed
slightly better than the market and therefore increased our
market share. In Sweden, bank lending volumes in local currency
were flat relative to the level at the end of 2025, although the
housing market picked up following changes to Swedish housing
market regulation. The depreciation of the Swedish krona had a
negative effect of DKK 2 billion relative to the level at the end of
2025.
Deposit volumes increased 3% relative to the level at the end of
2025. The growth in deposit volumes was primarily the result of
customers increasing their savings, mainly in Denmark, where
the increase was DKK 9.8 billion. The increase in Denmark was
supported by tax refunds, dividend payouts and a government
food subsidy programme. We also saw an increase in deposit
volumes of DKK 1.4 billion in Finland as well as an increase of
DKK 0.3 billion in Sweden. Deposit volumes were affected by the
depreciation of the Swedish krona, which had a negative effect
of DKK 0.9 billion relative to the level at the end of 2025.
Credit quality remains strong, with average loan-to-value levels
remaining low, and is supported by price appreciation in the
housing market in Denmark.
Loan impairments resulted in a net reversal of DKK 149 million in
the first half of 2026, against a small net charge in the first half
of 2025. The net reversal reflected stable credit conditions.
Credit exposure
Net credit exposure from lending activities amounted to DKK 744
billion at the end of the first half of 2026, a slight increase from
DKK 743 billion at the end of 2025, mainly due to increased
exposure in Personal Customers Denmark and to the Private
Banking segment.
quarter of 2026. As a result, at 30 June 2026, total assets under
administration had increased 6% relative to the level at the end
of 2025. Danske Invest further strengthened its leading position
in the Danish retail market.
H1 2026 vs H1 2025
Profit before tax increased to DKK 5,237 million (H1 2025:
DKK 4,217 million) and was up 24%, mainly as a result of an
increase in net interest income from deposits, higher net fee
income, loan impairment reversals and the reversal of a
provision related to the sale of the personal customer business
in Norway. The increase in total income was partly offset by
higher operating expenses.
Net interest income increased 5% relative to the level in the first
half of 2025 and amounted to DKK 6,672 million (H1 2025:
DKK 6,349 million). The increase in net interest income was
mainly caused by an increase in deposit volumes and bank
lending volumes as well as by increased allocation from Group
Treasury related to the Group’s hedging strategy.
Net fee income increased 19% to DKK 2,648 million (H1 2025:
DKK 2,231 million). The increase was driven by updated pricing
structures, higher interbank fee income and higher investment
fee income due to higher customer activity and positive market
developments.
Net trading income increased to DKK 62 million (H1 2025:
DKK 50 million) as a result of an increase in loan termination fee
income due to the rise in interest rates.
Other income increased to DKK 283 million (H1 2025: DKK 68
million), driven by the reversal of a provision of DKK 231 million
related to a warranty issued in connection with the sale of the
personal customer business in Norway.
Operating expenses increased 3% to DKK 4,576 million (H1 2025:
DKK 4,433 million). The increase was driven by continued
investments in our strategy.
Total lending increased slightly relative to the level at the end of
2025. Across Denmark, we saw an increase in nominal volumes
related to home finance products, although a DKK 0.5 billion
market value adjustment of mortgage loans affected total
Q2 2026 vs Q1 2026
Profit before tax increased to DKK 2,728 million in the second
quarter (Q1 2026: DKK 2,509 million) as a result of higher
income from deposits as well as the reversal of a provision
related to the sale of the personal customer business in
Norway. The increase was partly offset by an increase in
operating expenses.
• Net interest income increased 5% from the preceding
quarter, driven by income from deposits as a result of
higher volumes and rates.
• Net fee income decreased 5% from the preceding quarter,
mainly because of normal fluctuations in financing fee
income and slightly lower investment activity as a result of
the conflict in the Middle East.
• Operating expenses increased 6% relative to the preceding
quarter as a result of a year-to-date payment to the Danish
Resolution Fund in the second quarter and restructuring
costs.
• Other income increased to DKK 256 million, driven by the
reversal of a provision of DKK 231 million related to a
warranty issued in connection with the sale of the personal
customer business in Norway.
• In the second quarter of 2026, we saw a net impairment
reversal of DKK 77 million (Q1 2026: net reversal of DKK 72
million), indicating stable credit quality.
Profit before tax
DKK 2,728 million
for the second quarter of 2026
16
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Business Customers
(DKK millions)
Net interest income
Net fee income
Net trading income
Other income
Total income
Operating expenses
of which resolution fund, bank tax etc.
Profit before loan impairment charges
Loan impairment charges
Profit before tax
First half
First half
2026
5,954
1,399
5
250
7,608
2,860
44
4,748
-354
5,102
2025
5,846
1,229
17
253
7,344
2,775
41
4,569
-516
5,085
Index
26/25
102
114
29
99
104
103
107
104
69
100
Q2
2026
3,019
690
1
116
3,826
1,432
30
2,394
-90
2,484
Q1
2026
2,934
709
4
134
3,781
1,427
14
2,354
-264
2,618
Index
Q2/Q1
103
97
25
87
101
100
214
102
34
95
Q2
Index
Full year
2025
2,876
597
6
119
3,599
1,408
22
2,191
-67
2,257
26/25
2025
105
116
17
97
106
102
136
109
134
110
11,820
2,474
30
446
14,771
5,684
82
9,086
-998
10,085
Loans, excluding reverse transactions before impairments
715,243
683,830
105
715,243
704,598
102
683,830
105
698,085
Allowance account, loans
Deposits, excluding repo deposits
Covered bonds issued
Allocated capital (avg.)
Net interest income as % p.a. of loans and deposits
8,152
9,151
270,687
246,558
412,053
393,407
46,521
46,504
1.21
1.26
89
110
105
100
Profit before loan impairment charges as % p.a. of allocated capital (avg.)
20.4
19.6
Profit before tax as % p.a. of allocated capital (avg.)
Cost/income ratio (%)
Full-time-equivalent staff
21.9
21.9
37.6
37.8
8,152
8,286
270,687
269,257
412,053
407,642
46,492
46,550
1.23
1.20
20.6
20.2
21.4
22.5
37.4
37.7
98
101
101
100
9,151
246,558
393,407
47,034
1.24
18.6
19.2
39.1
89
110
105
99
8,589
264,013
402,630
46,582
1.26
19.5
21.6
38.5
1,820
1,750
104
1,820
1,787
102
1,750
104
1,770
Fact Book Q2 2026 provides financial highlights at customer type level for Business Customers. Fact Book Q2 2026 is available at www.danskebank.com/ir.
Business Customers
In the first half of 2026, Business Customers continued to deliver
a robust financial performance and to build on the positive
momentum established last year. In line with our Forward ’28
strategy, we successfully acquired new customers with
advanced and international needs and continued to support
existing ones in growing their business through high-quality
financial advisory services. In addition, within Commercial Real
Estate, we continued to see a strong debt capital market despite
the geopolitical uncertainty, with several large transactions
completed.
Profit before tax increased to DKK 5,102 million in the first half of
2026 from DKK 5,085 million in the first half of 2025, reflecting
the continued strength of the underlying business. Higher
income, supported by strong fee income generation and stable
volume growth, more than compensated for the impact of a
lower net loan impairment reversal than in the year-earlier
period.
Business initiatives
In the first half of 2026, we continued to expand our customer
base among businesses with advanced and international needs
and intensified our efforts to attract newly established
businesses. Tailored solutions, such as enhanced onboarding,
competitive pricing and fast support, reinforced our position as a
trusted partner. Stronger advisory capabilities and enhanced
collaboration across the One Corporate Bank platform supported
daily banking fee income growth of more than 5% in the first half
of 2026.
Sustainability remains a key business focus for Business
Customers, and in the first half of 2026, we achieved strong
growth in green lending, amounting to DKK 76 billion at the end
of May 2026 and corresponding to net growth of 19% relative to
the level in the first half of 2025 (H1 2025: DKK 64 billion). We
also launched an updated version of our ESG Tracker tool to
better identify customers’ ESG-related risks and opportunities
and enable more strategic transition and financing discussions.
17
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
This initiative underscores our commitment to the sustainable
transition in line with our strategic priorities.
H1 2026 vs H1 2025
Profit before tax amounted to DKK 5,102 million (H1 2025:
DKK 5,085 million). The development was mainly driven by
higher net fee income, although the effect was partly offset by a
lower net loan impairment reversal than in the same period last
year. The underlying core business showed a continued strong
development with high fee income and stable volume growth.
Net interest income increased 2% from the level in the first half
of 2025, amounting to DKK 5,954 million (H1 2025: DKK 5,846
million). The development was driven by strong growth in both
deposits and lending. However, the effect was largely offset by
lower interest rates, which compressed margins.
Net fee income increased 14% to DKK 1,399 million (H1 2025:
DKK 1,229 million). The increase was primarily driven by high
lending activity but also by a rise in daily banking fee income
attributable to both increased customer activity and repricing
actions.
Other income was stable and amounted to DKK 250 million (H1
2025: DKK 253 million).
Operating expenses amounted to DKK 2,860 million, an increase
of 3% relative to the level in the first half of 2025. The increase
was driven by investments made in accordance with our
Forward ’28 strategy combined with a generally higher cost level
as a result of inflation. When adjusted for exchange rate effects,
operating expenses increased 2% relative to the level in the first
half of 2025.
Supported by our strategy execution, we saw an increase in bank
lending volumes of 4% relative to the level at the end of 2025,
with growth (in local currency) driven by our activities in Sweden
and Norway. Our activities in Finland also contributed positively,
while activity in Denmark was fairly stable. Furthermore, volume
growth benefitted from exchange rate developments, with a
positive impact of DKK 0.1 billion relative to the level at the end
of 2025.
Deposit volumes totalled DKK 271 billion, which was an increase
of 3% relative to the level at the end of 2025 (end-2025: DKK 264
billion). There was a positive impact from currency exchange
rates of DKK 0.2 billion in total. In local currency, we observed
growth in all countries except for Denmark, where volumes were
stable relative to the level at the end of 2025.
Nominal Realkredit Danmark mortgage volumes increased 1%
relative to the level at the end of 2025, with most of the increase
being driven by commercial real estate lending. Combined with
the increase in bank lending, total lending after fair value
adjustments amounted to DKK 707 billion, an increase of 3%
from the level at the end of 2025.
Credit quality remained broadly stable despite the continued
geopolitical uncertainty. The conflict in the Middle East has
resulted in higher market volatility, with the risk of energy and
commodity price shocks leading to higher inflation and lower
growth.
Loan impairments amounted to a net reversal of DKK 354 million
in the first half of 2026, against a net reversal of DKK 516 million
in the first half of 2025. Impairment reversals related mainly to
single-name exposures.
Credit exposure
Net credit exposure from lending activities increased to DKK 839
billion in the first half of 2026 (end-2025: DKK 812 billion). The
increase was primarily driven by an increase in exposure to the
commercial and residential real estate, non-profit housing, and
services segments.
Q2 2026 vs Q1 2026
Profit before tax decreased to DKK 2,484 million in the second
quarter of 2026 (Q1 2026: DKK 2,618 million), mainly due to a
lower net loan impairment reversal than in the first quarter of
2026. Total income was fairly stable, and operating expenses
were flat.
• Net interest income increased 3% to DKK 3,019 million (Q1
2026: DKK 2,934 million), primarily driven by strong growth
in both deposits and lending.
• Net fee income decreased 3% from the first quarter of
2026 due to lower financing fee and service fee income.
• Other income amounted to DKK 116 million (Q1 2026:
DKK 134 million) and was driven by activity in our leasing
operations.
• Operating expenses were flat at DKK 1,432 million (Q1
2026: DKK 1,427 million) relative to the preceding quarter.
• In the second quarter of 2026, there was a net loan
impairment reversal of DKK 90 million (Q1 2026: net
reversal of DKK 264 million). The reversal was primarily
attributable to single-name exposures.
Profit before tax
DKK 2,484 million
for the second quarter of 2026
18
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Large Corporates & Institutions
(DKK millions)
Net interest income
Net fee income
Net trading income
Other income
Total income
Operating expenses
of which resolution fund, bank tax etc.
Profit before loan impairment charges
Loan impairment charges
Profit before tax
Loans, excluding reverse trans. before impairments
of which loans in General Banking & Investment Banking*
Allowance account, loans (including credit institutions)
Deposits, excluding repo deposits
of which deposits in General Banking & Investment Banking
Covered bonds issued
Allocated capital (avg.)
Net interest income as % p.a. of loans and deposits
Profit before loan impairment charges as % p.a. of allocated capital (avg.)
Profit before tax as % p.a. of allocated capital (avg.)
Cost/income ratio (%)
Full-time-equivalent staff
* Comparatives for 2025 have been updated to include Investment Banking.
First half
First half
2026
4,329
3,812
974
-
9,115
3,764
107
5,351
746
4,604
2025
4,097
3,503
1,295
3
8,898
3,618
60
5,280
736
4,544
352,435
331,834
334,798
305,342
3,554
2,868
335,523
315,869
311,528
292,630
30,751
43,824
27,105
41,138
1.27
24.4
21.0
41.3
1.24
25.7
22.1
40.7
Index
26/25
106
109
75
-
102
104
178
101
101
101
106
110
124
106
106
113
107
Q2
2026
2,207
1,991
493
-
4,691
1,871
69
2,820
444
2,376
Q1
2026
2,121
1,821
481
-
4,424
1,893
38
2,531
302
2,229
352,435
350,597
334,798
329,767
3,554
3,885
335,523
358,225
311,528
333,752
30,751
29,948
44,284
43,359
1.29
25.5
21.5
39.9
1.26
23.3
20.6
42.8
Index
Q2/Q1
104
109
102
-
106
99
182
111
147
107
101
102
91
94
93
103
102
Q2
Index
Full year
2025
2,036
1,738
532
-1
4,305
1,799
33
2,506
316
2,190
331,834
305,342
2,868
315,869
292,630
27,105
41,547
1.25
24.1
21.1
41.8
26/25
108
115
93
-
109
104
209
113
141
108
106
110
124
106
106
113
107
2025
8,257
8,116
2,205
6
18,584
7,440
120
11,144
1,260
9,883
338,584
317,109
3,225
331,121
309,063
27,853
40,890
1.26
27.3
24.2
40.0
2,193
2,187
100
2,193
2,197
100
2,187
100
2,180
Large Corporates &
Institutions
In the first half of 2026, we saw robust financial performance on
core income lines, though market uncertainty persisted. We
remain dedicated to actively supporting our customers with
advisory services, backed by our strong product offering and
balance sheet. Growth in net interest income was supported by
increased lending volumes and improved deposit margins. Our
fee business continued to perform well across all areas, and we
continued to grow our corporate customer portfolio and secure
additional cash management mandates.
Profit before tax increased to DKK 4,604 million, up by 1% from
the level in the first half of 2025, as the decrease in net trading
income was more than offset by higher net interest income and
net fee income.
Business initiatives
In the second quarter of 2026, we continued to support
customers in capital markets in a dynamic market environment
that was characterised by shifting geopolitical developments,
while we also remained focused on executing our strategic
priorities and capitalising on emerging opportunities across all
product areas.
In Debt Capital Markets, activity was subdued in April due to
geopolitical uncertainty but accelerated in the rest of the quarter
as market conditions improved. Among several highlights, we
supported Sampo in their successful SEK 1.5 billion restricted
tier 1 capital issue – an example of a strong bond market.
In Equity Capital Markets, we continued to support customers in
volatile market conditions in order for them to benefit from the
equity opportunities available. As one of the highlights of the
second quarter, we supported BioMar’s successful IPO, which
was the first IPO on the main market in Denmark since 2023 and
the largest in Denmark since 2018. The successful outcome
underlines our strong ECM franchise and advisory capabilities. In
M&A, activity picked up during the second quarter, with several
19
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Total income
(DKK millions)
General Banking*
Markets
of which xVA
Asset Management
of which performance fees
Investment Banking*
Total income
Assets under management
(DKK millions)
Institutional clients
Retail clients
Total assets under management
First half
First half
2026
4,083
2,819
-51
2025
4,071
2,957
-79
1,320
1,088
32
894
-17
782
9,115
8,898
Index
26/25
100
95
65
121
-
114
102
Q2
2026
2,041
1,483
-7
680
5
487
Q1
2026
2,042
1,335
-44
640
26
406
4,691
4,424
Index
Q2/H1
100
111
16
106
19
120
106
Q2
Index
Full year
2025
1,908
1,501
-9
523
5
373
4,305
26/25
107
99
78
130
100
131
109
2025
8,242
5,402
-66
3,277
924
1,662
18,584
676,260
544,624
440,822
358,299
124
123
676,260
617,579
440,822
391,960
1,117,082
902,923
124 1,117,082 1,009,538
110
112
111
244
544,624
358,299
902,923
15,426
124
123
617,612
400,819
124 1,018,431
95
57,618
Total assets under management, net sales
20,548
17,716
116
14,578
5,970
* Comparison figures for 2025 have been restated regarding income on loans moved from General Banking to Investment Banking in H1 2026.
The xVA acronym covers Credit (CVA), Funding (FVA) and Collateral (ColVA) Valuation Adjustments to the fair value of the derivatives portfolio. Danske Bank has a centralised xVA desk
responsible for quantifying, managing and hedging xVA risks. The PnL result of the xVA desk is thus the combined effect of the net xVA position and funding and collateral costs of the
trading book.
Total assets under management includes assets under management from Group entities.
notable transactions across the region contributing positively to
fee income, such as the successful outcome of Vestum’s sale of
Flowa Technology, which underscores our ambition to deliver
high-quality advisory services to our customers across the
Nordic countries.
In Loan Capital Markets, credit conditions remained supportive,
and we continued to see strong momentum in structured lending
as we deepened relationships in key customer segments by
financing critical transactions. This contributed to the increase in
net interest income.
In Asset Management, we delivered a strong performance in the
first half-year with assets under management reaching an all-
time high, driven by market recovery and continued positive net
inflows. Investment performance rebounded strongly in the
second quarter following the market volatility at the end of the
first quarter, with strategies across liquid and illiquid asset
classes continuing to outperform benchmarks and peers on a
three-year horizon.
During the first half of 2026, we ranked first among sustainable
bond arrangers across all Nordic issuer categories, reinforcing
our Nordic leadership within sustainable bonds. Internationally,
we arranged more than USD 11 billion in sustainable bonds, a
Nordic record, and we ranked sixth globally by arranged green
bond volume. Furthermore, we continued to advise on new
sustainable financing frameworks and fact sheets across all
customer segments. Notably, we acted as sole adviser for
Länsförsäkringar Bank on the first European Green Bond fact
sheet for a Nordic financial institution.
Sustainability-linked loans remain popular in Sweden and
Norway, while the start of the year showed less activity from
clients in Denmark and Finland. We maintained our position as
the leading arranger of Nordic sustainable loans, with notable
transactions including Duni and Bonava in Sweden.
20
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
H1 2026 vs H1 2025
Profit before tax increased to DKK 4,604 million (H1 2025:
DKK 4,544 million), with the increase driven by both higher net
interest income and net fee income, although the effect was
partly offset by lower net trading income.
Net interest income increased to DKK 4,329 million (H1 2025:
DKK 4,097 million), primarily due to higher lending volumes and
improved deposit margins. Lending volumes in General Banking
increased 6% from the level at the end of 2025. The increase
was widespread across segments, though primarily driven by
corporate customers in Denmark. Deposit volumes remained
roughly on par with the level at the end of 2025.
Net fee income increased to DKK 3,812 million (H1 2025:
DKK 3,503 million), mainly driven by continued strong
momentum in asset management fee income as well as higher
daily banking fee income. The largest contributor to the growth
in daily banking fee income was Cash Management, supported
by continued growth in house bank mandates. Within Capital
Markets advisory services, the increase was primarily driven by
good activity in DCM coupled with increasing income from
advisory-driven roles, although the increase was partly offset by
lower equity-related fee income.
Net trading income decreased to DKK 974 million (H1 2025:
DKK 1,295 million) as we saw lower performance in Fixed Income
due to geopolitical uncertainty and hence lower client activity.
Operating expenses increased 4% from the level in the same
period last year and amounted to DKK 3,764 million (H1 2025:
DKK 3,618 million). The increase was primarily driven by
investments in frontline staff and higher accruals for
performance-based compensation.
Overall credit quality remained robust and proved resilient to the
geopolitical uncertainty. Loan impairments for the first half of
2026 resulted in charges totalling DKK 746 million, reflecting a
trend consistent with the same period in 2025, which also saw
net charges. The charges were primarily driven by single-name
exposures.
Credit exposure
Net credit exposure from lending activities amounted to DKK 726
billion at the end of the second quarter of 2026, an increase from
DKK 674 billion at the end of the fourth quarter of 2025, primarily
driven by an increase in exposure to the Financial institutions,
Capital goods, and Utilities and infrastructure segments, partially
countered by a decrease in exposure to the Pulp, paper and
chemicals segment.
Q2 2026 vs Q1 2026
Profit before tax increased to DKK 2,376 million (Q1 2026:
DKK 2,229 million), primarily due to increases in net fee
income and net interest income.
• Net interest income increased to DKK 2,207 million (Q1
2026: DKK 2,121 million), primarily driven by higher net
interest income from lending and deposits.
• Net fee income increased to DKK 1,991 million (Q1 2026:
DKK 1,821 million), mainly due to higher customer activity
within Capital Markets as well as asset management fee
income.
• Net trading income increased to DKK 493 million (Q1 2026:
DKK 481 million), primarily as a result of increased client
activity in Fixed Income, although the effect was partly
offset by lower performance in FX and equity trading.
• Operating expenses decreased to DKK 1,871 million (Q1
2026: DKK 1,893 million), primarily due to lower technology
transformation costs.
• Net loan impairment charges amounted to DKK 444 million
(Q1 2026: DKK 302 million). Impairment charges were
mainly attributable to single-name exposures.
Profit before tax
DKK 2,376 million
for the second quarter of 2026
21
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Danica
Net income at Danica was up 19% to DKK 851 million in the first
half of 2026 relative to the first half of 2025. The net financial
result decreased due to the developments in the financial
markets in the first half of 2026, while the insurance service
result benefitted from a more balanced result in the health and
accident business.
Danica’s commercial momentum continued, with premiums
increasing 10% from the level in the same period last year. The
increase was driven by growth across segments in the corporate
market and by increasing sales through Danske Bank.
The level of new claims relating to loss of earning capacity has
stabilised, and the result of the health and accident business has
improved. This positive development is attributable to an
increase in premiums due to pricing adjustments and Danica’s
long-term investments in preventive efforts. These efforts
consist of a comprehensive healthcare offering, early-access
healthcare solutions and easy digital access that enable
customers to receive support over the full course of their
recovery.
Investment returns for Danica Balance for the first half of 2026
were between 10.5% and 4.3%, depending on the selected risk
profile and the number of years to retirement. Danica saw strong
investment returns on our customers’ pension savings in the
second quarter of 2026 following decreases in the first quarter.
Following the amendment of Denmark’s implementation of the
EU Conglomerate Directive, effective from 1 January 2026, the
capital allocated to Danica was reduced, which resulted in a
reduction of the average allocated capital of 30% from the
capital allocated in the first half of 2025.
22
Danske Bank / Interim report – first half 2026
Danica
(DKK millions)
Insurance service result
Net financial result
Other income
Net income from insurance business
Insurance liabilities
Liabilities under investment contracts
Allocated capital (avg.)*
Net income as % p.a. of allocated capital (avg.)*
Solvency coverage ratio
Full-time-equivalent staff
First half
First half
2026
2025**
Index
26/25
458
372
21
851
7
678
29
714
590,749
540,843
30,403
27,232
13,300
18,958
12.8
7.5
215
208
-
55
72
119
109
112
70
Q2
2026
270
409
10
689
188
-37
11
162
590,749
546,637
30,403
27,314
13,300
13,300
20.7
4.9
215
215
Q1
Index
Q2
Index
Full year
2026
Q2/Q1
2025**
26/25
144
-
91
-
108
111
100
274
222
17
513
540,843
27,232
18,754
10.9
208
99
184
59
134
109
112
71
2025
-175
1,482
50
1,357
558,639
28,573
19,121
7.1
197
1,011
971
104
1,011
1,006
100
971
-
984
* Allocated capital is based on the Group's capital allocation framework from Q1 2026. In 2025 and previous periods, the allocated capital was equal the legal entity's capital.
** Comparative information has been restated as described in note G2(b).
Specification of life insurance and health & accident
(DKK millions)
Life insurance and equity etc.
Insurance result
Net financial result*
Total life insurance and equity
Health and accident
Insurance result
Net financial result
Total health and accident insurance
473
340
814
-15
32
16
212
586
798
-204
92
-112
223
58
102
7
35
-
280
278
558
-10
131
121
193
63
256
-6
-100
-105
145
-
218
167
-
-
251
130
380
23
92
115
112
214
147
-
142
105
691
1,323
2,014
-866
159
-707
* The net financial result for life insurance includes income and expenses from asset management and the investment result attributable to Danica’s shareholders’ equity. Other income is
excluded from the table.
Assets under management
(DKK millions)
Total
Premiums
(DKK millions)
550,721
486,743
113
550,721
503,146
109
486,743
113
515,949
Gross premiums, Denmark
28,080
25,545
110
13,600
14,479
94
13,435
101
53,263
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Assets under management increased to DKK 551 billion
following the positive developments in the financial markets in
the last half of 2025 and the second quarter of 2026.
Premiums increased 10% from the level in the first half of 2025
following an increase in both single and regular premiums.
Business initiatives
Danica has strengthened its brand position through the launch
of a nationwide marketing campaign, building on its ‘A life in
balance’ platform. The campaign has been rolled out across
multiple channels to ensure broader reach and consistent
visibility in the market. In addition to reinforcing Danica’s core
positioning around balance in life and finances, the campaign
also makes the offer more tangible and relevant to customers
across different stages in life.
The initiative supports increased awareness and customer
engagement in the market and contributes to strengthening
customer relationships and customer inflow over time. At the
same time, it helps create a stronger foundation for a closer
customer dialogue and supports Danica’s broader ambition of
deepening customer relationships and growing the customer
base.
H1 2026 vs H1 2025
Net income at Danica amounted to DKK 851 million (H1 2025:
DKK 714 million) as a challenging first quarter of 2026 was
followed by a strong rebound in the second quarter. The
insurance service result improved significantly relative to the
level in the first half of 2025, whereas the net financial result
was affected by negative value adjustments due to difficult and
volatile financial markets in the first quarter of 2026, although
the markets improved in the second quarter.
The insurance service result increased to DKK 458 million (H1
2025: DKK 7 million). The increase was due to the achievement
of a balanced result in the health and accident business and to
the first half of 2025 being adversely affected by a strengthening
of provisions of DKK 220 million related to legacy life insurance
products in run-off. The insurance service result of the health
and accident business improved by DKK 189 million and
amounted to a loss of DKK 15 million. The improvement was
driven, among other things, by a stabilisation of the level of new
claims and prior pricing adjustments.
The net financial result decreased to DKK 372 million (H1 2025:
DKK 678 million) primarily due to a lower investment result on
insurance products where Danica carries the investment risk
than in the first half of 2025.
Q2 2026 vs Q1 2026
Net income at Danica increased to DKK 689 million (Q1 2026:
DKK 162 million) due to increases in both the insurance
service result and the net financial result.
• The insurance service result increased to DKK 270 million,
primarily due to an increase in income from life insurance
products, which benefitted from the increase in assets
under management. The result of the health and accident
business was a loss of DKK 10 million in the second quarter
of 2026 (Q1 2026: loss of DKK 6 million).
• The net financial result increased in the second quarter of
2026 and amounted to DKK 409 million (Q1 2026: loss of
DKK 37 million). The increase was attributable to the
market rebound in the second quarter after a volatile first
quarter of 2026.
• Assets under management increased DKK 48 billion,
primarily due to the developments in the financial markets
in the second quarter of 2026.
• Total premiums decreased 6% following a decrease in
regular premiums. By comparison, the first quarter
included annual regular premiums for group life insurance
products.
Net income at Danica
DKK 689 million
for the second quarter of 2026
23
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Northern Ireland
(DKK millions)
Net interest income
Net fee income
Net trading income
Other income
Total income
Operating expenses
Profit before loan impairment charges
Loan impairment charges
Profit before tax
Loans, excluding reverse transactions before impairments
Allowance account, loans
Deposits, excluding repo deposits
Allocated capital (avg.)*
Net interest income as % p.a. of loans and deposits
Profit before tax as % p.a. of allocated capital (avg.)
Cost/income ratio (%)
Full-time-equivalent staff
* Allocated capital equals the legal entity’s capital.
First half
First half
2026
1,791
150
68
6
2,015
799
1,217
37
2025
1,640
152
95
7
1,894
775
1,119
9
1,180
1,110
72,618
66,839
738
718
116,329
111,403
6,846
6,797
1.89
1.81
34.5
32.7
39.7
40.9
Index
26/25
109
99
72
86
106
103
109
-
106
109
103
104
101
Q2
2026
896
75
45
3
1,018
415
604
26
577
Q1
2026
896
75
23
3
997
384
613
11
602
72,618
69,611
738
715
116,329
113,638
7,053
6,637
1.85
1.93
32.7
36.3
40.8
38.5
Index
Q2/Q1
100
100
196
100
102
108
99
236
96
104
103
102
106
Q2
2025
836
77
45
3
960
393
566
58
509
66,839
718
111,403
6,918
1.81
29.4
40.9
Index
Full year
26/25
107
97
100
100
106
106
107
45
113
109
103
104
102
2025
3,358
309
184
13
3,863
1,591
2,272
1
2,271
69,776
704
115,227
6,814
1.84
33.3
41.2
1,235
1,242
99
1,235
1,232
100
1,242
99
1,233
Northern Ireland
In the first half of 2026, our focus in Northern Ireland was on
remaining a strong bank and consolidating our market-leading
position alongside pursuing growth opportunities in the rest of
the UK.
Profit before tax amounted to DKK 1,180 million in the first half
of 2026 (H1 2025: DKK 1,110 million). Total income and profit
before loan impairment charges increased from the year-earlier
period, driven by growth across both Northern Ireland and the
rest of the UK. Customer acquisition and lending growth
remained strong despite the adverse impact of ongoing
geopolitical uncertainty on business and consumer confidence.
Business initiatives
In the first half of the year, we demonstrated a strong focus on
customer acquisition, supported by incentive-led switching
campaigns.
We welcomed around 6,800 new personal current account
customers in the first half of 2026, with around 30% of these
new customers being under 18 years old.
To support our youth market focus, Danske Bank in Northern
Ireland now offers accounts to children aged 8 years and older.
Our fee-free youth account gives young people aged 8 to 17 a
safe and practical way to learn how to manage their money, and
we offer a contactless debit card, online banking access, the
possibility to use the card abroad and parental controls for those
under the age of 16.
We also welcomed around 900 small businesses to Danske
Bank, with many attracted by the two years of fee-free banking
available with our small business digital account solution. The
account is a strong option for customers who want the flexibility
to self-serve, and it has been awarded a five-star rating by
Moneyfacts for its digital-first design and essential banking
features.
24
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Q2 2026 vs Q1 2026
The second quarter of 2026 saw profit before tax of DKK 577
million (Q1 2026: DKK 602 million).
• Net interest income was maintained at DKK 896 million (Q1
2026: DKK 896 million).
• Net fee income was maintained at DKK 75 million (Q1 2026:
DKK 75 million).
• Net trading income amounted to DKK 45 million (Q1 2026:
DKK 23 million), primarily reflecting the impact of mark-to-
market movements on the bank’s hedging portfolio
resulting from changing market interest rates in the first
quarter.
• Operating expenses were higher at DKK 415 million,
reflecting the timing of expenditure for strategic priorities
and higher costs for services provided by the Group (Q1
2026: DKK 384 million).
• Loan impairment charges amounted to DKK 26 million in
the second quarter (Q1 2026: DKK 11 million) but remained
low overall.
Since 1 July 2026, the bank in Northern Ireland has been led by a
new local chief executive, Julie-Ann Haines. Ms Haines was
formerly the chief executive of Principality Building Society, the
largest financial services organisation in Wales.
H1 2026 vs H1 2025
Profit before tax increased to DKK 1,180 million (H1 2025:
DKK 1,110 million), primarily driven by the positive impact of
higher lending and deposit volumes on net interest income.
Net interest income increased to DKK 1,791 million (H1 2025:
DKK 1,640 million), driven by a combination of growth in lending
and deposit volumes and the impact of hedging actions
previously taken during the period of higher UK interest rates.
Net fee income was stable at DKK 150 million (H1 2025: DKK 152
million).
Net trading income decreased to DKK 68 million (H1 2025:
DKK 95 million), reflecting adverse mark-to-market movements
on the bank’s hedging portfolio given the market expectation for
UK interest rates to rise over the short to medium term. This
movement will reverse over the remaining life of the hedging
portfolio.
Operating expenses increased to DKK 799 million (H1 2025:
DKK 775 million), reflecting continued investment in strategic
priorities and higher costs for IT services provided by the Group.
We continue to focus on efficiency improvements across local
and Group cost drivers.
Credit quality remained strong, with a net loan impairment
charge of DKK 37 million (H1 2025: DKK 9 million).
Profit before tax
DKK 577 million
for the second quarter of 2026
25
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Group Functions
(DKK millions)
Net interest income
Net fee income
Net trading income
Other income
Total income
Operating expenses
of which resolution fund, bank tax etc.
Profit before loan impairment charges
Loan impairment charges
Profit before tax
Full-time-equivalent staff
Profit before tax
(DKK millions)
Group Treasury
Own shares and issues
Additional tier 1 capital
Group support functions
Non-core
Total Group Functions
First half
First half
2026
2025
Index
26/25
-74
-32
-27
10
-123
924
43
-1,047
-15
-1,032
152
-49
279
-14
368
1,070
39
-702
-11
-690
-
65
-
-
-
86
110
149
136
150
Q2
2026
-213
9
123
10
-71
448
22
-519
-13
-506
Q1
2026
139
-42
-150
1
-52
476
21
-528
-3
-526
9,379
10,108
93
9,379
9,631
221
-46
-1
613
-51
2
-1,216
-1,316
10
-1,032
63
-690
36
90
-
92
16
150
114
-21
-
-607
8
-506
107
-25
-
-609
1
-526
Index
Q2/Q1
Q2
Index
Full year
2025
26/25
2025
-
-
-
-
137
94
105
98
-
96
97
107
84
-
100
-
96
198
-25
246
-4
415
486
20
-71
-21
-50
10,108
554
-20
1
-647
61
-50
-
-
50
-
-
92
110
-
62
-
93
21
105
-
94
13
-
172
-67
345
-7
443
1,841
77
-1,398
-3
-1,395
9,962
900
-146
3
-2,212
60
-1,395
Group Functions
Group Functions includes Group Treasury, Technology &
Services and other functions. In addition, Group Functions
includes eliminations.
In the first half of 2026, the loss before tax increased and
amounted to DKK 1,032 million, against a loss of DKK 690 million
in the first half of 2025. The increase was mainly caused by
lower income in Group Treasury.
Net interest income decreased to a net expense of DKK 74
million (H1 2025: net income of DKK 152 million). An increase in
income from primarily interest rate risk management in Group
Treasury was more than offset by a decrease in internal
allocation income. Net trading income was affected by fair value
adjustments in Group Treasury and decreased to a negative
amount of DKK 27 million (H1 2025: positive amount of DKK 279
million).
Group Functions supports, among other things, the business
units by allocating capital, interest-bearing capital costs and
long-term funding costs through Group Treasury’s Internal Bank
setup. Group Treasury also manages, among other things, the
Group’s liquidity bond portfolio and the investment of
shareholders’ equity for Realkredit Danmark as well as the
interest rate risk on the non-trading book. Operating expenses
related to the sub-units within Group Functions are allocated to
the business units. This is done to ensure cost efficiency
throughout the Group.
H1 2026 vs H1 2025
The loss before tax at Group Functions increased, mainly due to
lower income in Group Treasury, and amounted to DKK 1,032
million (H1 2025: loss of DKK 690 million).
Net interest income decreased to a net expense of DKK 74
million (H1 2025: net income of DKK 152 million). Group Treasury
saw an increase in interest rate risk management income from
fixed-rate lending hedging and bond portfolios as well as short-
term liquidity management activities, although the effect was
26
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
more than offset by lower internal allocation income. The lower
allocation income was caused, among other things, by increased
allocation of interest rate risk management income to the
business units, primarily from the hedging of the interest rate
risk on deposits.
Net fee income improved to an expense of DKK 32 million (H1
2025: an expense of DKK 49 million) related to service fees.
Net trading income decreased to a negative amount of DKK 27
million (H1 2025: positive amount of DKK 279 million), mainly
due to Group Treasury's hedging and liquidity management
activities, including developments related to unrealised market
value adjustments of cross-currency swaps.
Other income increased and amounted to DKK 10 million (H1
2025: loss of DKK 14 million) related, among other things, to
holdings in associates.
Operating expenses, after allocation to the business units,
decreased to DKK 924 million (H1 2025: DKK 1,070 million).
Operating expenses were positively affected, among other
things, by increased capitalisation of costs for internal
development of software and lower consultancy costs, although
the effect was partly offset by increased severance costs and
higher amortisation and impairment of intangible assets.
Loan impairment charges amounted to a net reversal of DKK 15
million (H1 2025: DKK 11 million).
The number of full-time-equivalent staff was 9,379 (H1 2025:
10,108).
Q2 2026 vs Q1 2026
Group Functions posted a loss before tax of DKK 506 million
(Q1 2026: loss of DKK 526 million).
• Net interest income decreased to a net expense of DKK 213
million (Q1 2026: net income of DKK 139 million). The
development was driven by Group Treasury, primarily as a
result of a decrease in internal allocation income.
• Net fee income amounted to DKK 9 million (Q1 2025: net
expense of DKK 42 million), mainly due to lower expenses
for custody accounts.
• Net trading income increased to DKK 123 million (Q1 2026:
negative amount of DKK 150 million), mainly due to higher
income from Group Treasury related to unrealised market
value adjustments of cross-currency swaps held for
liquidity management purposes and bond portfolio
investments.
• Other income was up slightly to DKK 10 million (Q1 2026:
DKK 1 million).
• Operating expenses, after allocation to the business units,
decreased to DKK 448 million (Q1 2026: DKK 476 million)
and were positively affected by increased capitalisation of
costs for internal development of software, although the
effect was partly offset by increased amortisation and
impairment charges of intangible assets and a small
decline in the allocation to business units.
Profit before tax
DKK -506 million
for the second quarter of 2026
27
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Definition of alternative performance
measures
Danske Bank’s management believes that the alternative performance measures (APMs) used in the Management’s report provide
valuable information to readers of the financial statements. The APMs provide a more consistent basis for comparing the results of
financial periods and for assessing the performance of the Group and each individual business unit. They are also an important aspect
of the way in which Danske Bank’s management defines operating targets and monitors performance.
Ratios and key figures
Dividend per share (DKK)
Return on average shareholders’ equity
(% p.a.)
Throughout the Management’s report, performance is assessed on the basis of the financial highlights and segment reporting, which
represent the financial information regularly provided to management. There is no difference between the financial highlights and the
IFRS income statement.
Net interest income as % p.a. of loans and
deposits
Definitions of additional ratios presented on page 3 and in other sections of the Management’s report:
Definition
Total dividend per share, consisting of the interim dividend per share (if any) paid out
during the year, and the dividend per share proposed in the Annual Report and paid to
shareholders in the subsequent year. Any extraordinary or special dividend is also
included in dividend per share.
Net profit as disclosed in the financial highlights divided by the average of the quarterly
average shareholders’ equity (beginning and end of each quarter) within the year. The
denominator represents equity equal to a decrease in the average of the quarterly
average equity of DKK 3,382 million (31 December 2025: a decrease of DKK 4,412
million) compared to a simple average of total equity (beginning and end of the period).
Net interest income in the financial highlights divided by the daily average of the sum
of loans and deposits. If the ratio was calculated applying the sum of loans and
deposits at the end of the period, the ratio for 2026 would be 1.28% (31 December
2025: 1.28%) due to the daily average of the sum of loans and deposits being DKK 15.4
billion lower (31 December 2025: DKK 49.6 billion lower) than if calculating the ratio by
applying the end-of-period sum of loans and deposits. The purpose of the ratio is to
show whether the growth in net interest income follows the growth in loans and
deposits. The daily average is a more faithful representation of the growth in loans and
deposits.
Cost/income ratio (C/I), (%)
Operating expenses and impairment charges on goodwill divided by total income.
Book value per share
Shareholders’ equity divided by the number of shares outstanding at the end of the
period.
Loan impairment charges as % of net
credit exposure
Allowance account as % of net credit
exposure
This ratio is calculated on the basis of loan impairment charges and loans and
guarantees. The numerator is the loan impairment charges of DKK 265 million (2025:
DKK 294 million) annualised. The denominator is the sum of Loans at amortised cost of
DKK 1,022.3 billion (31 December 2025: DKK 921.9 billion), Loans at fair value of
DKK 740.1 billion (31 December 2025: DKK 755.2 billion), and guarantees of DKK 99.7
billion (31 December 2025: DKK 96.4 billion) at the beginning of the year, as disclosed
in the column ‘Lending activities’ in the ‘Breakdown of credit exposure’ table in the
notes to the financial statements. The ratio is calculated for each business unit.
This ratio is calculated on the basis of the allowance account and loans and
guarantees. The numerator is the allowance account of DKK 18.8 billion (31 December
2025: DKK 19.7 billion) at the end of the period, as disclosed in the ‘Allowance account
broken down by segment’ table in the notes to the financial statements. The
denominator is the sum of Loans at amortised cost of DKK 1,053.9 billion (31
December 2025: DKK 1,022.3 billion), Loans at fair value of DKK 743.3 billion (31
December 2025: DKK 740.1 billion), and guarantees of DKK 107.2 billion (31 December
2025: DKK 99.7 billion) at the end of the period, as disclosed in the column ‘Lending
activities’ in the ‘Breakdown of credit exposure’ table in the notes to the financial
statements. The ratio is calculated for each business unit.
28
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Financial statements
Statements - Group
Notes - Group
Danske Bank A/S
Income statement – Danske Bank Group
Statement of comprehensive income – Danske
Bank Group
Balance sheet – Danske Bank Group
Statement of capital – Danske Bank Group
Cash flow statement – Danske Bank Group
30
30
31
32
34
G1. Material accounting policies and estimates
G2. Changes in accounting policies and
restatements
G3. Business segments
G4. Income
G5. Loan impairment charges
G6. Insurance assets and Insurance liabilities
G7. Issued bonds, subordinated debt and
additional tier 1 capital
G8. Other assets and Other liabilities
G9. Foreign currency translation reserve
G10. Guarantees, commitments and contingent
liabilities
G11. Assets provided or received as collateral
G12. Fair value information for financial
instruments
G13. Risk management notes
35
36
37
39
39
40
40
41
42
42
44
45
48
Financial statements – Danske Bank A/S
Income statement – Danske Bank A/S
Statement of comprehensive income– Danske
Bank A/S
Balance sheet – Danske Bank A/S
Statement of capital – Danske Bank A/S
Notes – Danske Bank A/S
P1. Value adjustments
P2. Impairment charges for loans and guarantees
P3. Issued bonds at amortised cost
P4. Ratios – Danske Bank A/S
65
66
66
67
68
69
69
70
71
71
29
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Income statement – Danske Bank Group
Statement of comprehensive income – Danske Bank Group
First half
First half
2026
2025
11,887
11,211
Q2
2026
6,201
Q2
Full year
2025
5,454
2025
23,037
68
1
67
-166
61
-260
-10
-79
-297
-229
-48
1
-49
976
-429
86
-1
171
461
412
11,658
11,623
23
5
18
-597
286
450
-7
40
92
111
6,312
17
5
12
68
21
47
-1,681
2,060
941
175
-
-60
-506
-494
-957
-284
-5
216
598
645
4,960
23,682
Note
(DKK millions)
Interest income calculated using the effective interest method
Other interest income
Interest expense
Net interest income from banking activities
G4
G4
Fee income
Fee expenses
Net fee income
Net trading income or loss
Insurance revenue
Insurance service expenses
Net return on investments backing insurance liabilities
First half
First half
2026
27,194
11,498
20,020
18,672
9,627
1,651
7,976
1,082
3,299
2,841
31,640
2025
27,934
10,506
20,357
18,083
8,397
1,331
7,066
1,736
3,022
3,015
3,868
5,894
10,297
9,332
4,815
758
4,058
693
1,695
1,425
Q2
2026
Q2
Full year
2025
2025
Note
(DKK millions)
13,735
13,549
5,388
9,873
9,063
4,068
659
54,100
20,838
38,327
36,611
18,254
2,831
Net profit
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurement of defined benefit pension plans
Tax*
Items that will not be reclassified to profit or loss
3,409
15,423
Items that are or may be reclassified subsequently to profit or loss
854
1,547
1,274
2,872
6,210
6,385
Translation of units outside Denmark
G9
Hedging of units outside Denmark
Unrealised value adjustments of bonds at fair value (OCI)
42,144
14,730
22,488
Realised value adjustments of bonds at fair value (OCI)
Net finance income or expense from insurance
-31,268
-3,190
-41,735
-14,509
-21,006
Tax*
Other insurance related income
Net insurance result
G4
Other income
Total other income
Total income
Operating expenses
Profit before loan impairment charges
G5
Loan impairment charges
Profit before tax
Tax
Net profit
Earnings per share (DKK)
Diluted earnings per share (DKK)
Dividend per share (DKK)*
21
851
550
550
29
714
316
316
10
689
385
385
17
513
147
147
50
1,357
577
577
29,131
27,917
15,157
13,985
56,840
12,924
16,207
265
12,670
15,247
266
15,942
14,980
4,055
3,770
11,887
11,211
6,518
8,638
291
8,348
2,147
6,201
6,379
7,606
217
7,390
1,936
5,454
14.6
13.5
7.6
6.6
14.6
13.5
7.6
6.6
25,848
30,992
294
30,699
7,662
23,037
27.9
27.9
6.14
-
6.14
-
22.72
* As announced in the Interim report – first quarter 2026, the Board of Directors approved an extraordinary dividend of DKK 6.14 per share,
which was paid out in May 2026.
Items that are or may be reclassified subsequently to profit or loss
Total other comprehensive income
Total comprehensive income
* A positive amount is a tax expense, and a negative amount is a tax income.
30
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Balance sheet – Danske Bank Group
Note
(DKK millions)
Assets
Cash in hand and demand deposits with central banks
Due from credit institutions and central banks
Trading portfolio assets
Investment securities
Loans at amortised cost
Loans at fair value
30 June 31 December
30 June
2026
2025
2025
157,638
96,181
496,357
298,686
137,181
116,592
444,980
296,738
1,053,924
1,022,281
160,744
58,803
522,660
281,944
977,103
(DKK millions)
Liabilities
Due to credit institutions and central banks
Trading portfolio liabilities
Deposits
G7
G7
Issued bonds at fair value
Issued bonds at amortised cost
1,045,214
1,060,925
1,074,142
Deposits under pooled schemes and investment contracts
Assets under pooled schemes and investment contracts
79,866
76,809
73,279
G6
Insurance liabilities
G6
Insurance assets
Intangible assets
Tax assets
G8
Other assets
Total assets
589,943
555,504
540,921
8,504
9,398
7,872
5,894
33,297
29,135
7,262
10,766
32,009
G8
G7
G7
3,869,007
3,753,911
3,739,632
Tax liabilities
Other liabilities
Non-preferred senior bonds
Subordinated debt
Total liabilities
Equity
Share capital
G9
Foreign currency translation reserve
Reserve for bonds at fair value (OCI)
Retained earnings
Proposed dividends
Total equity
Total liabilities and equity
* Comparative information for Q2 2025 has been restated as described in note G2(b).
30 June 31 December
30 June
2026
2025
2025*
208,595
325,631
217,422
286,837
239,055
335,176
1,295,219
1,244,582
1,216,122
731,580
277,985
80,692
740,334
259,855
77,040
732,885
256,864
74,401
582,279
551,087
528,801
1,973
63,202
104,923
29,777
2,813
62,808
99,682
30,289
1,377
60,900
88,437
33,962
3,701,857
3,572,749
3,567,979
8,158
-2,620
-313
8,350
-2,514
-43
8,350
-3,070
331
161,924
156,832
166,042
-
18,537
-
167,150
181,162
171,654
3,869,007
3,753,911
3,739,632
31
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Statement of capital – Danske Bank Group
Changes in equity
Restated total equity as at 1 January 2025
8,622
-3,617
246
157,040
12,279
174,570
Share
capital
8,350
-
-
-
-
-
-
-
-
-
-
-192
-
-
-
-
Foreign
currency
translation
reserve
Reserve
for bonds
at fair
value (OCI)
Retained
earnings
Proposed
dividends
Total
(DKK millions)
-2,514
-43
156,832
18,537
181,162
Total equity as at 1 January 2025
-
-
-166
61
-
-
-
-106
-106
-
-
-
-
-
-
-
-
-
-
-260
-10
-
-270
-270
-
-
-
-
-
-
11,887
68
-
-
-
-
78
146
12,034
-
-
-
-
-
-
-
-
-
11,887
Effect of adjustment of insurance liabilities*
68
-166
61
-260
-10
78
-229
Net profit
Other comprehensive income
Remeasurement of defined benefit pension plans
Translation of units outside Denmark
Hedging of units outside Denmark
Unrealised value adjustments
Realised value adjustments
11,658
Tax
Total other comprehensive income
-4,921
-18,537
-23,458
Total comprehensive income
192
-2,098
-18,102
17,887
101
-
-
-
-
-
-
-
Transactions with owners
-2,098
Dividends paid
-18,102
Share capital reduction
17,887
Acquisition of own shares - share buy-back programme
101
Acquisition of own shares - other
167,150
Sale of own shares
Share based payments**
Total equity as at 30 June 2025
8,158
-2,620
-313
161,924
Foreign
currency
translation
reserve
Reserve
for bonds
at fair
value (OCI)
Retained
earnings
Proposed
dividends
Total
-3,617
246
158,157
12,279
175,687
-
-
-1,117
-
-1,117
Share
capital
8,622
-
-
-
-
-
-
-
-
-
-
-
-272
-
-
-
-
-
-
976
-429
-
-
-
547
547
-
-
-
-
-
-
-
-
-
-
86
-1
-
86
86
-
-
-
-
-
-
11,211
-48
-
-
-
-
-172
-220
10,990
43
272
-2,072
-15,163
14,839
93
8,350
-3,070
331
166,042
-
-
-
-
-
-
-
-
-
11,211
-48
976
-429
86
-1
-172
412
11,623
-12,279
-12,236
-
-
-
-
-
-
-
-2,072
-15,163
14,839
93
171,654
* See note G2(b) for details on the adjustment to insurance liabilities.
** Share based payments in Q2 2025 have been reclassified from Acquisition of own shares – other. There is no change to total equity as at 30
June 2025.
(DKK millions)
Total equity as at 1 January 2026
Net profit
Other comprehensive income
Remeasurement of defined benefit pension plans
Translation of units outside Denmark
Hedging of units outside Denmark
Unrealised value adjustments
Realised value adjustments
Tax
Total other comprehensive income
Total comprehensive income
Transactions with owners
Dividends paid
Share capital reduction
Acquisition of own shares - share buy-back programme
Acquisition of own shares - other
Sale of own shares
Share based payments
Total equity as at 30 June 2026
32
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Statement of capital – Danske Bank Group
Share buy-back programme
On 9 February 2026, the Group initiated a share buy-back programme of up to DKK 4.5 billion, which may run until 29 January 2027. At
the end of June 2026, the Group had acquired 5,140,866 shares for a total amount of DKK 1,647 million under the share buy-back
programme. This is in addition to 1,414,063 shares acquired in 2026 for a total of DKK 451 million under the previous share buy-back
programme, which ran until 30 January 2026.
Numbers of shares outstanding
Issued at 1 January
30 June 2026 31 December 2025
834,995,125
862,184,621
Cancellation of own shares, share buy-back programme 2025 (share buy-back programme 2024)
-19,179,623
-27,189,496
Number of shares issued
Shares held in relation to Share buy-back programme
Shares held in the Group's trading portfolio
Shares outstanding end of period
815,815,502
834,995,125
5,140,866
2,475,724
17,765,560
2,231,371
808,198,912
814,998,194
On 26 March 2026, the annual general meeting of Danske Bank A/S adopted the proposal to reduce Danske Bank’s share capital by
DKK 191,796,230 nominally by cancelling 19,179,623 shares from Danske Bank’s holding of own shares. The reduction of the share
capital has been carried out and registered at 27 April 2026. After the reduction, Danske Bank A/S’ share capital amounts to
DKK 8,158,155,020 nominally, corresponding to 815,815,502 shares of DKK 10 each.
Dividend
The extraordinary dividend payment of DKK 5 billion that was approved by the Board of Directors in April 2026, equivalent to DKK 6.14
per share, was paid out on 5 May 2026.
Total capital and total capital ratio
(DKK millions)
Total equity
Revaluation of domicile property at fair value
Tax effect of revaluation of domicile property at fair value
Total equity calculated in accordance with the rules of the Danish FSA
Common equity tier 1 capital instruments
Adjustment to eligible capital instruments
Prudent valuation
Expected/proposed payouts
Intangible assets of banking operations
Minimum loss coverage for non-performing exposures
Deferred tax on intangible assets
Deferred tax assets that rely on future profitability, excluding temporary differences
Defined benefit pension plan assets
Statutory deduction for insurance subsidiaries
Common equity tier 1 capital
Additional tier 1 capital instruments
Tier 1 capital
Tier 2 capital instruments
Total capital
Total risk exposure amount
Common equity tier 1 capital ratio (%)
Tier 1 capital ratio (%)
Total capital ratio (%)
30 June 2026 31 December 2025
167,150
181,162
216
-37
167,329
167,329
-3,389
-825
-8,321
-7,769
-2,010
793
-383
-1,054
-
144,371
6,326
150,697
23,528
174,225
848,020
17.0%
17.8%
20.5%
221
-35
181,348
181,348
-1,250
-742
-23,037
-7,401
-2,332
733
-450
-961
-3,775
142,133
7,569
149,702
22,003
171,706
822,078
17.3%
18.2%
20.9%
Total capital and the total risk exposure amount are calculated in accordance with the rules applicable under the Capital
Requirements Regulation.
The Internal Capital Adequacy Assessment Report provides more details about the Group’s solvency need. The latest report is
available at danskebank.com/reports.
33
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Cash flow statement – Danske Bank Group
Q2
2026
15,942
-8,664
1,406
8,684
-7,870
-12,583
-216
-1,948
-16,196
50,637
10,198
-3,248
-3,487
23,972
-
-978
-142
1
-1,119
Q2
2025
14,980
-9,127
921
6,774
28,884
-13,161
-231
-12,825
-54,827
42,341
-3,141
5,502
-7,043
-7,727
-21
-729
-84
1
-833
Full Year
2025
(DKK millions)
Cash flow from financing activities
30,699
-6,321
Issue of subordinated debt
Redemption of subordinated debt
495
Issue of non-preferred senior bonds
24,873
Redemption of non-preferred senior bonds
8,579
16,180
-261
-27,620
-86,816
70,801
Dividends paid
Share buy-back programme
Principal portion of lessee lease payments
Cash flow from financing activities
Cash and cash equivalents as at 1 January
Foreign currency translation
Change in cash and cash equivalents
6,638
Cash and cash equivalents, end of period
13,205
-3,024
22,555
Cash and cash equivalents, end of period
Cash in hand
Demand deposits with central banks
Amounts due from credit institutions and central banks within three months
-21
Total
-1,662
-343
2
-2,024
Q2
2026
Q2
2025
Full Year
2025
9,829
-10,389
18,184
-13,765
-23,458
-2,098
-246
4,596
-10,417
12,663
-10,583
-12,236
-2,071
-243
8,329
-17,878
30,141
-16,154
-12,236
-4,803
-501
-21,943
-18,291
-13,102
250,326
242,100
242,100
92
910
-476
-26,851
797
7,429
251,328
214,773
250,326
7,008
6,760
150,629
153,984
93,691
54,029
251,328
214,773
7,038
130,143
113,145
250,326
(DKK millions)
Cash flow from operations
Profit before tax
Tax paid
Adjustment for non-cash operating items
Cash flow from operations before changes in operating capital
Changes in operating capital
Amounts due to/from credit institutions and central banks
Trading portfolio
Acquisition/sale of own shares
Investment securities
Loans at amortised cost and fair value
Deposits
Issued bonds at amortised cost and fair value
Insurance assets/liabilities
Other assets/liabilities
Cash flow from operations
Cash flow from investing activities
Acquisition of businesses
Acquisition of intangible assets
Acquisition of tangible assets
Sale of tangible assets
Cash flow from investing activities
34
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Notes – Danske Bank Group
G1. Material accounting policies and estimates
(a) General
The report has been prepared in accordance with IAS 34, Interim Financial Reporting, as adopted by the EU, and additional Danish
disclosure requirements for listed financial companies. The report is condensed and should be read in conjunction with the Group’s
Annual Report 2025.
Amendments to IFRS 9 and IFRS 7 and Annual improvements to IFRS Accounting Standards – Volume 11 became effective on 1
January 2026 and have no material impact on the financial statements. Further information on the changes to accounting policies in
2026 can be found in note G2(a). The Group has not changed its material accounting policies from those applied in Annual Report
2025. Annual Report 2025 provides a full description of the material accounting policies.
Financial statement figures are stated in Danish kroner and whole millions, unless otherwise stated. As a result, rounding
discrepancies may occur because totals have been rounded off and the underlying decimals are not presented to financial statement
users.
(b) Significant accounting estimates and judgements
The preparation of financial information requires, in some cases, the use of judgements and estimates by management. This includes
judgements made when applying accounting policies. The most significant judgements made when applying accounting policies
relate to the classification of financial assets and financial liabilities under IFRS 9, especially related to the business model
assessment, and the solely payments of principal and interest (SPPI) test (further explained in note G15 of the Annual Report 2025)
and the designation of financial liabilities at fair value through profit or loss to eliminate or significantly reduce an accounting
mismatch (further explained in note G16 of the Annual Report 2025). An overview of the classification and measurement basis for
financial instruments can be found in note G1(c) of the Annual Report 2025.
The determination of the carrying amounts of some assets and liabilities requires the estimation of the effects of uncertain future
events on those assets and liabilities. The estimates are based on premises that management finds reasonable, but which are
inherently uncertain and unpredictable. The premises may be incomplete, unexpected future events or situations may occur, and
other parties may arrive at other estimated values. In view of the inherent uncertainties and the high level of subjectivity and
judgement involved in the recognition and measurement of the items listed below, it is possible that the outcomes in the next
reporting period could differ from those on which management’s estimates are based.
Measurement of expected credit losses on loans, financial guarantees and loan commitments, and bonds measured at amortised
cost or fair value through other comprehensive income
The three-stage expected credit loss impairment model in IFRS 9 depends on whether the credit risk has increased significantly since
initial recognition. If the credit risk has not increased significantly, the impairment charge equals the expected credit losses resulting
from default events that are possible within the next 12 months (stage 1). If the credit risk has increased significantly, the loan is more
than 30 days past due, or the loan is in default or otherwise impaired, the impairment charge equals the lifetime expected credit
losses (stages 2 and 3). In determining the impairment for expected credit losses, management exercises judgement and uses
estimates and assumptions as explained in the following paragraphs.
35
Danske Bank / Interim report – first half 2026
The expected credit losses are calculated for all individual facilities as a function of probability of default (PD), exposure at default
(EAD) and loss given default (LGD) and incorporate forward-looking information. The estimation of expected credit losses involves
forecasting future economic conditions over a number of years. Such forecasts are subject to management judgement and those
judgements may be sources of measurement uncertainty that have significant risk of resulting in a material adjustment to a carrying
amount in future periods. The incorporation of forward-looking elements reflects the expectations of the Group’s senior management
and involves the creation of scenarios, including an assessment of the probability for each scenario. The purpose of using multiple
scenarios is to model the non-linear impact of assumptions about macroeconomic factors on the expected credit losses. Note G13
provides information on the scenarios as at 30 June 2026.
The base case scenario enters with a probability of 50% (31 December 2025: 50%), the upside scenario with a probability of 25% (31
December 2025: 25%), the downside scenario with a probability of 5% (31 December 2025: 5%) and the severe downside scenario
with a probability of 20% (31 December 2025: 20%). On the basis of these assessments, the allowance account as at 30 June 2026
amounted to DKK 18.8 billion (31 December 2025: DKK 19.7 billion). If the upside and severe downside scenarios were each assigned a
100% probability, the allowance account would decrease by 7% (31 December 2025: 6% decrease) and increase by 44% (31
December 2025: 39% increase), respectively.
Management applies judgement when determining the need for post-model adjustments. As at 30 June 2026, the post-model
adjustments amounted to DKK 5.2 billion (31 December 2025: DKK 5.4 billion) which are predominantly linked to macroeconomic and
geopolitical uncertainties. Further information on post-model adjustments can be found in note G13.
Note G15 of the Annual Report 2025 and the section on credit risk in note G13 in this report provide more details on expected credit
losses. As at 30 June 2026, financial assets covered by the expected credit loss model accounted for about 54.6% of total assets (31
December 2025: 56.3%).
Fair value measurement of financial instruments
At the end of June 2026, no unusual challenges in obtaining reliable pricing apart from insignificant parts of the portfolio remained.
The majority of valuation techniques continues to employ only observable market data, and there has been no significant increase in
financial instruments measured on the basis of valuation techniques that are based on one or more significant unobservable inputs.
The latter continues to include only unlisted shares, certain bonds and some long-dated derivatives for which there is no active
market. On the derivatives portfolio, the Group makes fair value adjustments to cover changes in counterparty risk (CVA) and to cover
expected funding costs (FVA and ColVA) on derivatives, bid-offer spreads on the net open position of the portfolio of assets and
liabilities with offsetting market risk recognised at mid-market prices, and model risk on level 3 derivatives. As at 30 June 2026, the
adjustments totalled DKK 0.3 billion (31 December 2025: DKK 0.2 billion), including the adjustment for credit risk on derivatives that
are credit impaired. Note G12 in this report and note G32(a) of the Annual Report 2025 provides more details on the fair value
measurement of financial instruments.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G1. Material accounting policies and estimates - continued
G2. Changes in accounting policies and restatements
Measurement of goodwill
Goodwill is tested for impairment once a year or more frequently if indications of impairment exist. Impairment testing requires
management to estimate the present value of future cash flows. A number of factors affect the value of such cash flows, including
discount rates, changes in the economic outlook, customer behaviour and competition. As at 30 June 2026, goodwill amounted to
DKK 4.5 billion (31 December 2025: DKK 4.5 billion).
In connection with the quarterly reporting, management performs a review to assess whether there are indications that goodwill
might be impaired. This includes a review of decline in income, increase in loan impairment charges, decline in the market value of
assets under management, major restructurings, macroeconomic developments, etc. No indications of impairment have been noted
at the end of June 2026.
Goodwill mainly consists of DKK 2.1 billion (31 December 2025: DKK 2.1 billion) in Markets, DKK 1.8 billion (31 December 2025: DKK 1.8
billion) in Asset Management and DKK 0.5 billion (31 December 2025: DKK 0.5 billion) in General Banking (all part of the business
segment Large Corporates & Institutions). Note G19 of the Annual Report 2025 provides more information about the measurement of
goodwill.
Measurement of Insurance contract liabilities (part of Insurance liabilities)
Insurance contract liabilities are measured using either the General Measurement Model (GMM), Variable Fee Approach (VFA) or
Premium Allocation Approach (PAA). GMM and VFA both comprise fulfilment cash flows, which are estimates of the present value of
future cash flows for insurance contracts, adjusted for time value of money and effect of financial risk including a risk adjustment for
non-financial risk, and a contractual service margin (CSM).
(a) Changes in accounting policies in 2026
On 1 January 2026, the Group implemented the amendments to IFRS 9 and IFRS 7, and Annual Improvements to IFRS Accounting
Improvements – Volume 11, as described below.
Amendments to IFRS 9, Financial instruments, and IFRS 7, Financial instruments: disclosures – Classification and measurement of
financial instruments
The amendments to IFRS 9 and IFRS 7 clarifies requirements in relation to settling financial liabilities using an electronic payment
system, assessing contractual cash flows of financial assets in respect of contingent events, disclosures relating to investments in
equity instruments designated at FVOCI and disclosures for financial instruments with contingent features.
The amendment regarding contractual cash flows is most relevant for the Group’s loans with sustainably features that are measured
at amortised cost. To remain classified as amortised cost, the contractual cash flows before and after the triggering event (for
example, meeting a contractually specified target) must pass the SPPI test, and the cash flows should not be significantly different
from similar instruments without the contingent features.
The Group has assessed that none of the loans within the scope of this amendment have contingent features that result in the
contractual cash flows being significantly different from similar instruments. As such, there is no impact on the Group’s classification
of these loans, and hence no impact on the Group’s net profit or Balance sheet.
Additional disclosures for these financial assets with contingent features will be included in Annual Report 2026.
Estimates of future cash flows include actuarial computations that rely on estimates of a number of variables such as mortality rates,
disability rates and administrative costs as well as assumptions of conversions into paid-up policies and surrenders. Mortality rates
are based on the Danish FSA’s benchmark, whilst others are estimated based on data from the Group’s own portfolio of insurance
contracts.
Amendments to IFRS 9, Financial instruments, and IFRS 7, Financial instruments: disclosures – Contracts referencing nature-
dependent electricity
This amendment provides clarifications on reporting the financial effects of nature-dependent electricity contracts (which are usually
structured as power purchase agreements). The amendment includes clarification of the application of own-use requirements,
conditions for when hedge accounting can be applied, and disclosure requirements.
The discount rate is fixed on the basis of a zero-coupon yield curve, which is adjusted by a currency and credit risk deduction and a
volatility adjustment. The yield curve is calculated according to principles and based on data that results in a curve based on the
European Insurance and Occupational Pension Authority (EIOPA) discount yield curve.
The amendment has no impact on the financial statements.
Annual Improvements to IFRS Accounting Standards – Volume 11
The annual improvements relate to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7.
For life insurance contracts, risk adjustment for non-financial risks is calculated based on a safety margin on applied actuarial
assumptions, such as mortality rates and longevity. The confidence level used to determine the risk adjustment is at least 85% (31
December 2025: 85%). For insurance contracts measured using VFA, CSM is calculated on the basis of stochastic models, whereas a
deterministic model is used for life insurance contracts measured using GMM.
For health and accident insurance contracts, the loss element includes expectations about mortality, reactivation, reinstatement and
repurchase, as well as expected costs offset by premiums not yet due. Risk adjustment for non-financial risk is calculated based on a
safety margin on applied actuarial assumptions. The confidence level used to determine the risk adjustment is at least 85% (31
December 2025: 85%).
In IFRS 1, the improvement relates to hedge accounting for first-time adopters of IFRS. The first improvement to IFRS 7 relate to
disclosures regarding gain or loss on the derecognition of financial assets in which an entity has continuing involvement. The second
improvement to IFRS 7 amends implementation guidance and basis of conclusion for situations in which the transaction price of a
financial instrument differs from its fair value at initial recognition, when the fair value is calculated using non-observable inputs. The
improvement to IFRS 9 updates references in relation to the derecognition of lease liabilities. The improvement to IFRS 10 clarifies
that, in addition to a party being a de facto agent if an investor has the ability to direct another party to act on the investor’s behalf, the
other party might also be a de facto agent if those that direct the activities of the investor have the ability to direct the party on the
investor's behalf. The final improvement updates terminology in IAS 7.
Note G18 of the Annual Report 2025 provides more information about insurance contract liabilities.
None of these improvements has any impact on the financial statements.
36
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G2. Changes in accounting policies and restatements - continued
G3. Business segments
G2(b) Correction of liabilities under insurance contracts (part of Insurance liabilities)
During the fourth quarter of 2025, in continuation of the FSA's functional inspection of health and accident insurance, Danica
identified material misinterpretations of data used in connection with calculating technical provisions for health and accident
insurance. The misinterpretations significantly affected Insurance contract liabilities in 2024 and in previous years, in addition to the
first three quarters of 2025. The Group has therefore restated the opening balance of 2025 by DKK 1.1 billion, and has restated
comparative information for the first half of 2025 in this report.
The following table shows the impact of the adjustments described above as at 30 June 2025. Line items not included in the table
have not been affected by the restatement. The comparative figures for first half 2025 in the Balance sheet, Statement of changes in
equity and note G3 show restated amounts.
Restatement of balance sheet for the first half 2025
Business model and business segmentation
The Group’s commercial activities are organised in five reporting business units:
• Personal Customers, which serves personal customers and Private Banking in Denmark, Sweden and Finland.
• Business Customers, which serves small and medium-sized business customers across all markets, and includes the Group’s
Asset Finance operations.
Large Corporates & Institutions, which serves large corporates and institutional customers across all Nordic markets.
•
• Danica, which specialises in pension schemes, life insurance policies and health insurance policies in Denmark.
• Northern Ireland serves personal, business and corporate customers in Northern Ireland.
Besides the five commercial business units, the Group’s reportable segments under IFRS 8 include Group Functions, as presented in
the tables on the following page.
(DKK millions)
Assets
Total assets
Liabilities
Insurance liabilities
Tax liabilities
Total liabilities
Equity
Retained earnings
Total equity
Total liabilities and equity
30 June
2025
Adjustment
Restated 30
June 2025
3,739,632
-
3,739,632
527,291
1,769
1,510
-393
528,801
1,377
3,566,862
1,117
3,567,979
167,159
172,771
-1,117
-1,117
166,042
171,654
3,739,632
-
3,739,632
The impact of this change on the Group’s result in the first half of 2025 is not material, and therefore Net profit for the first half of
2025 has not been adjusted.
In the financial statements for Danske Bank A/S, Holdings in group undertakings and Equity have been restated by DKK 1.1 billion as at
30 June 2025. In addition, ratios in note P4 for first half 2025 have been recalculated accordingly.
37
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G3. Business segments - continued
In the following tables, Net income from insurance business is equivalent to Net insurance result in the IFRS financial statements, and
Other income is equivalent to Total other income in the IFRS financial statements.
Business segments first half 2026
Business segments first half 2025
(DKK millions)
Net interest income
Net fee income
Net trading income
Net income from insurance business
Other income
Total income
Operating expenses
of which resolution fund, bank tax etc.
Profit before loan impairment charges
Loan impairment charges
Profit before tax
Personal
Customers
Business
Customers
Large
Corporates
&
Institutions
6,672
2,648
62
-
283
9,664
4,576
22
5,088
-149
5,237
5,954
1,399
5
-
250
7,608
2,860
44
4,748
-354
5,102
4,329
3,812
974
-
-
9,115
3,764
107
5,351
746
4,604
Danica
Northern
Ireland
Group
Functions Eliminations
Total
(DKK millions)
Personal
Customers
Business
Customers
-
-
-
851
-
851
-
-
851
-
851
1,791
150
68
-
6
2,015
799
-
1,217
37
1,180
6
-59
-21
-
1,579
1,506
2,445
43
-938
7
-945
-80
18,672
Net interest income
26
-6
-
-1,569
-1,629
-1,520
7,976
1,082
851
550
29,131
12,924
Net fee income
Net trading income
Net income from insurance business
Other income
Total income
Operating expenses
-
216
of which resolution fund, bank tax etc.
-109
16,207
Profit before loan impairment charges
-22
-87
265
Loan impairment charges
15,942
Profit before tax
6,349
2,231
50
-
68
8,698
4,433
16
4,265
48
4,217
5,846
1,229
17
-
253
7,344
2,775
41
4,569
-516
5,085
Large
Corporates
&
Institutions
4,097
3,503
1,295
-
3
8,898
3,618
60
5,280
736
4,544
Danica*
Northern
Ireland
Group
Functions Eliminations
Total*
-
-
-
714
-
714
-
-
714
-
714
1,640
152
95
-
7
1,894
775
-
1,119
9
1,110
239
-104
284
-
1,455
1,874
2,484
39
-610
-11
-598
-88
18,083
55
-5
-
-1,469
-1,506
-1,414
-
7,066
1,736
714
316
27,917
12,670
156
-92
15,247
-
266
-92
14,980
Loans, excluding reverse transactions
666,465
707,091
348,881
-
71,880
16,549
-16,639 1,794,226
Loans, excluding reverse transactions
656,509
674,679
328,967
-
66,120
15,615
-16,227 1,725,662
Other assets
Total assets
458,339
189,593 2,578,092
641,490
73,487 4,858,654
-6,724,874 2,074,781
1,124,804
896,684 2,926,973
641,490
145,367 4,875,203
-6,741,514 3,869,007
Other assets
Total assets
443,833
170,780 2,973,622
590,884
76,104 4,759,128
-7,000,381 2,013,970
1,100,342
845,459 3,302,589
590,884
142,224 4,774,743
-7,016,608 3,739,632
Deposits, excluding repo deposits
412,002
270,687
335,523
-
116,329
10,746
-10,549 1,134,738
Deposits, excluding repo deposits
402,538
246,558
315,869
-
111,403
8,501
-11,288 1,073,580
Other liabilities
Allocated capital
684,876
579,069 2,546,607
628,190
21,832 4,837,510
-6,730,965 2,567,119
Other liabilities
671,040
551,808 2,945,161
572,006
23,859 4,735,843
-7,005,320 2,494,399
27,926
46,928
44,843
13,300
7,206
26,948
-
167,150
Allocated capital
26,763
47,093
41,559
18,878
6,962
30,399
-
171,654
Total liabilities and equity
1,124,804
896,684 2,926,973
641,490
145,367 4,875,203
-6,741,514 3,869,007
Total liabilities and equity
1,100,342
845,459 3,302,589
590,884
142,224 4,774,743
-7,016,608 3,739,632
Profit before tax as % p.a. of allocated
capital (avg.)
Cost/income ratio (%)
37.5
47.4
21.9
37.6
21.0
41.3
12.8
-
34.5
39.7
-6.5
-
Full-time-equivalent staff, end of period
3,835
1,820
2,193
1,011
1,235
9,379
19.0
44.4
Profit before tax as % p.a. of allocated
capital (avg.)
Cost/income ratio (%)
31.6
51.0
21.9
37.8
19,472
Full-time-equivalent staff, end of period
3,945
1,750
-
-
-
22.1
40.7
2,187
7.5
-
971
32.7
40.9
-3.1
-
1,242
10,108
-
-
-
17.4
45.4
20,204
* Comparative information for Q2 2025 has been restated as described in note G2(b).
After implementation of the EU Conglomerate Directive on 1 January 2026, the allocated capital for Danica transitioned from the
entity's legal capital to an allocation based on the Group's capital allocation framework. Until 2025, Danica’s allocated capital was
equal to the legal entity's capital.
38
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G4. Income
G5. Loan impairment charges
(a) Fee income
Note G6 of the Annual Report 2025 provides additional information on the Group’s accounting policy for fee income, including the
description by fee type.
Loan impairment charges include impairment charges for expected credit losses on loans, lease receivables, bonds at amortised cost
and fair value through other comprehensive income, certain loan commitments and financial guarantee contracts as well as fair value
adjustments of the credit risk on loans measured at fair value.
Fee income first half 2026
(DKK millions)
Investment
Money transfers, account fee, cash management and other fees
Lending and Guarantees
Capital markets
Total
Fee income first half 2025
(DKK millions)
Investment
Money transfers, account fee, cash management and other fees
Lending and Guarantees
Capital markets
Total
Loan impairment charges
Fee income
Fee expenses Net fee income
(DKK millions)
3,807
3,587
1,428
805
9,627
1,072
459
83
37
2,736
3,128
1,344
ECL on new assets
ECL on assets derecognised
Impact of net remeasurement of ECL (incl. changes in models)
768
Write-offs charged directly to income statement
1,651
7,976
Received on claims previously written off
Interest income, effective interest method
Total
30 June 2026 30 June 2025
1,360
-1,241
-48
388
-58
-136
265
1,552
-1,498
410
54
-75
-177
266
Fee income
Fee expenses Net fee income
3,065
3,413
1,127
792
8,397
716
515
76
24
1,331
2,349
2,899
1,051
768
7,066
(b) Other income
Other income amounted to DKK 550 million for the first half ending 30 June 2026 (30 June 2025: DKK 316 million). Other income
includes income from investment property and real estate brokerage, and income from holdings in associates. In 2026, other income
is impacted by a gain of DKK 231 million, resulting from the reversal of a provision for expected losses and costs directly related to the
sale of the personal customers business in Norway in 2024.
39
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G6. Insurance assets and Insurance liabilities
Nominal value of other issued bonds
Insurance assets comprise assets earmarked for policyholders. As at 30 June 2026, Insurance assets total DKK 610,391 million (31
December 2025: DKK 577,333 million) before own bonds of DKK 6,559 million (31 December 2025: DKK 4,730 million) and other intra-
group balances of DKK 13,889 million (31 December 2025: DKK 17,099 million).
(DKK millions)
Commercial papers and certificate of deposits
Insurance liabilities comprise DKK 513,225 million of Insurance contract liabilities as defined by IFRS 17 (31 December 2025: DKK
482,821 million) and DKK 77,524 million of Other insurance-related liabilities (31 December 2025: DKK 75,818 million), before intra-
group balances of DKK 8,470 million (31 December 2025: DKK 7,552 million).
Note G18 of Annual Report 2025 provides additional information on Insurance assets and Insurance liabilities.
G7. Issued bonds, subordinated debt and additional tier 1 capital
Preferred senior bonds
Covered bonds
Structured retail notes
Non-preferred senior bonds
Total
Issued bonds at fair value
(DKK millions)
Bonds issued by Realkredit Danmark (covered bonds)
Structured retail notes
Total
Issued bonds at amortised cost and non-preferred senior bonds
(DKK millions)
Commercial papers and certificates of deposits
Preferred senior bonds
Covered bonds
Structured retail notes
Issued bonds at amortised cost, total
Non-preferred senior bonds
(DKK millions)
Commercial papers and certificate of deposits
Preferred senior bonds
Covered bonds
Structured retail notes
Non-preferred senior bonds
Total
30 June 31 December
2026
2025
729,810
738,670
1,770
1,664
731,580
740,334
30 June 31 December
2026
61,369
57,923
2025
58,694
61,164
158,635
139,857
59
141
277,985
259,855
104,923
99,682
Further information on issued bonds at fair value through profit or loss can be found in note G16 of the Annual Report 2025.
Other issued bonds
Other issued bonds in the following tables comprise Issued bonds at fair value excluding Realkredit Danmark, Issued bonds at
amortised cost and Non-preferred senior bonds.
40
Danske Bank / Interim report – first half 2026
1 January
2026
58,700
62,545
141,217
2,194
101,024
365,680
1 January
2025
49,002
68,592
128,673
3,117
91,588
Foreign
currency
Issued
Redeemed
translation
46,459
10,634
28,100
533
18,184
103,910
44,820
14,429
6,239
903
13,765
80,155
30 June
2026
61,429
59,047
1,090
296
-2,080
160,997
76
1,558
940
1,900
107,002
390,375
Foreign
currency 31 December
-4,364
-3,179
6,141
338
-4,676
-5,740
2025
58,700
62,545
141,217
2,194
101,024
365,680
Issued
Redeemed
translation
114,171
100,109
19,374
33,711
403
30,192
22,242
27,308
1,665
16,080
340,972
197,852
167,404
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G7. Issued bonds, subordinated debt and additional tier 1 capital –
continued
G8. Other assets and Other liabilities
Subordinated debt and additional tier 1 capital
As at 30 June 2026, the nominal value of subordinated debt, including liability accounted additional tier 1 capital, amounted to DKK
30,172 million (31 December 2025: DKK 30,552 million). During the period ended 30 June 2026, the Group issued EUR 750 million, SEK
900 million and NOK 600 million of tier 2 capital and USD 500 million of liability accounted additional tier 1 capital. During the six
months ended 30 June 2026, the Group redeemed EUR 750 million of tier 2 capital and USD 750 million of liability accounted
additional tier 1 capital. During 2025, the Group issued NOK 1,600 million and EUR 500 million of tier 2 capital and USD 500 million of
liability accounted additional tier 1 capital. The Group also redeemed EUR 1,750 million of tier 2 capital and USD 750 million of liability
accounted additional tier 1 capital.
For the additional tier 1 capital, Danske Bank A/S may, at its sole discretion, omit interest payments to bondholders. Any interest
payments are paid out of distributable items, which primarily consist of retained earnings in Danske Bank A/S and Danske Bank Group.
As at 30 June 2026, distributable items for Danske Bank A/S amounted to DKK 124.0 billion (31 December 2025: DKK 119.9 billion).
The additional tier 1 capital will be temporarily written down or converted into a variable number of ordinary shares, depending on the
terms of each issued bond, if the common equity tier 1 capital ratio falls below 7% for Danske Bank A/S or Danske Bank Group. As at
30 June 2026, the common equity tier 1 capital ratio was 19.9% (31 December 2025: 20.3%) for Danske Bank A/S. The ratios for the
Danske Bank Group are disclosed in the Statement of capital.
(DKK millions)
Other assets
Accrued interest and commissions due
Prepayments, accruals and other amounts due
Defined benefit pension plan, net assets
Investment property
Tangible assets
Right of use lease assets
Holdings in associates
Assets held for sale
Total
Other liabilities
Sundry creditors
Accrued interest and commissions due
Defined benefit pension plans, net liabilities
Other staff commitments
Lease liabilities
Loan commitments and guarantees etc.
Reserves subject to a reimbursement obligation
Provisions, including litigations
Total
30 June 31 December
2026
2025
7,108
13,695
1,059
693
6,755
3,500
404
83
7,354
9,505
960
361
6,879
3,579
387
109
33,297
29,135
41,031
13,336
252
956
3,613
2,443
2
1,569
63,202
40,082
13,031
250
1,102
3,676
2,843
2
1,822
62,808
In the table above, Provisions, including litigations, include customer remediation of DKK 880 million, regulatory and legal
proceedings of DKK 4 million, restructuring costs of DKK 391 million and other provisions of DKK 295 million.
Customer remediation includes the provision for customer compensation in the debt collection case, which progresses with
providing finalisation for customers affected.
41
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G9. Foreign currency translation reserve
G10. Guarantees, commitments and contingent liabilities
As at 30 June 2026, the Group has granted loans to its branches in Sweden, Norway and Finland in the currency of the foreign unit for
a total of DKK 34,743 million (31 December 2025: DKK 34,751 million). The loans are part of the net investment in those units and the
foreign currency gains/losses on these loans are recognised in Other comprehensive income. The funding of the loans is partly done
in DKK in order to create a so-called structural FX hedge position in accordance with banking regulations, i.e. to reduce the impact on
capital ratios resulting from changes in the risk exposure amount due to changes in currency rates. The Group’s net investment in its
subsidiaries Danske Hypotek AB (Sweden) and Danske Mortgage Bank Plc (Finland) is included in the structural FX hedge position to
extend the hedge to the risk exposure amount measured by currency for EUR, NOK and SEK across the entire Group balance sheet,
although with constraints to the size of the loans to the foreign branches and the net investments in the foreign subsidiaries. This
strategy of partly hedging the sensitivity to capital ratios from volatility in foreign currency rates increases the volatility in Other
comprehensive income and the Foreign currency translation reserve in equity under IFRS since it decreases the hedge of the currency
risk on the net investments in those units. As at 30 June 2026, the structural FX hedge position totalled DKK 39,943 million (31
December 2025: DKK 40,018 million). A loss of DKK 75 million was recognised in Other comprehensive income during the first half of
2026, mainly driven by the weakening of NOK and SEK against DKK. For comparison, a gain of DKK 517 million was recognised in Other
comprehensive income during the first half of 2025, primarily driven by the strengthening of SEK during that period.
Contingent liabilities consist of possible liabilities arising from past events. The existence of such liabilities will be confirmed only by
the occurrence or non-occurrence of one or more uncertain future events not wholly within the Group’s control. Contingent liabilities
that can, but are not likely to, result in an outflow of economic resources are disclosed.
The Group uses a variety of loan-related financial instruments to meet customers’ financial requirements. Instruments include loan
offers and other credit facilities, guarantees and instruments not recognised in the balance sheet. If an instrument is likely to result in
a payment obligation, a liability is recognised under Other liabilities corresponding to the present value of expected payments.
(a) Guarantees
(DKK millions)
Financial guarantees
Other guarantees
Total
(b) Commitments
(DKK millions)
Loan commitments shorter than 1 year
Loan commitments longer than 1 year
Other unutilised commitments
Total
30 June
31 December
2026
18,419
88,780
107,198
2025
13,946
85,724
99,670
30 June
31 December
2026
225,060
255,266
17,896
498,222
2025
206,636
244,547
14,406
465,589
42
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G10. Guarantees, commitments and contingent liabilities – continued
covered deposits relative to other credit institutions in Denmark. However, each institution’s contribution to the Danish Restructuring
Fund may not exceed 0.2% of its covered deposits.
The Group is a member of deposit guarantee schemes and other compensation schemes in Norway and the UK. As in Denmark, the
contributions to the schemes in these countries are annual contributions combined with extraordinary contributions if the means of
the schemes are not sufficient to cover the required payments.
Danske Bank A/S is taxed jointly with all Danish entities of Danske Bank Group and is jointly and severally liable with these for
payment of Danish corporation tax and withholding tax, etc.
(c) Regulatory and legal proceedings
Estonia matter
The civil claims filed against Danske Bank by institutional investors concerning the Estonia matter can be summarised to six case
complexes with a current total claim amount of approximately DKK 12.7 billion. One of the case complexes has partly been referred to
the Eastern High Court, while the remaining case complexes are stayed or pending before the Copenhagen City Court. In the case
complex pending before Eastern High Court, test cases have been selected to be progressed to trial. The Eastern High Court has
scheduled the main hearing to start in January 2027. The civil claims were not included in the coordinated resolutions with the US
Department of Justice, the US Securities and Exchange Commission, and the Danish Special Crime Unit in December 2022. Danske
Bank will continue to defend itself vigorously against these claims. The timing of completion of such civil claims (pending or
threatening) and their outcome are uncertain and could be material.
Danske Bank has been procedurally notified in two claims filed against Thomas F. Borgen with a current total claim amount of
approximately DKK 1.7 billion. Under Danish law, the purpose of a procedural notification is to make a formal reservation of rights to
bring a potential claim against the notified party. The first case was dismissed in the first instance and subsequently appealed by the
claimants to the Eastern High Court where the main hearing is scheduled to start in January 2028.
Other
Owing to its business volume, Danske Bank is continually a party to various other lawsuits and disputes, and has an ongoing dialogue
with public authorities, such as the Danish FSA and the Danish Tax Agency on other matters. In general, Danske Bank does not expect
the outcomes of any of these other pending lawsuits and disputes, or its dialogue with public authorities to have any material effect
on its financial position. Provisions for litigations are included in Other liabilities, see note G8.
(d) Further explanation
A limited number of employees are employed under terms which, if they are dismissed before reaching their normal retirement age,
grant them a severance and/or pension payment in excess of their entitlement under ordinary terms of employment. As the
sponsoring employer, the Group is also liable for the pension obligations of a number of company pension funds.
The Group participates in the Danish Guarantee Fund and the Danish Resolution Fund. The funds’ capital must amount to at least 0.8%
and 1%, respectively, of the covered deposits of all Danish credit institutions by 31 December 2025.
The Danish Guarantee Fund is currently fully funded, but if the fund subsequently does not have sufficient means to make the
required payments, extraordinary contributions of up to 0.5% of the individual institution’s covered deposits may be required.
Extraordinary contributions above this percentage require the consent of the Danish FSA.
The Danish Resolution Fund is fully funded. If the Resolution Fund does not have sufficient means to make the required payments,
extraordinary contributions of up to three times the latest annual contributions may be required by Danske Bank A/S and Realkredit
Danmark A/S.
In addition, Danish banks participate in the Danish Restructuring Fund, which reimburses creditors if the final dividend is lower than
the interim dividend in respect of banks that were in distress before 1 June 2015. Similarly, Danish banks have made payment
commitments totalling DKK 1 billion to cover losses incurred by the Danish Restructuring Fund for the withdrawal of distressed banks
from data centres etc. Payments to the Danish Restructuring Fund are calculated based on the individual credit institution’s share of
43
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G11. Assets provided or received as collateral
Securities provided as collateral under agreements that entitle the counterparty to sell the securities or provide them as collateral for
other loans amounted to DKK 289.3 billion as at 30 June 2026 (31 December 2025: DKK 272.1 billion).
As at 30 June 2026, the Group had received securities worth DKK 426.7 billion (31 December 2025: DKK 402.6 billion) as collateral for
reverse repo transactions, securities lending, derivatives transactions and other transactions entered into on the standard terms for
such transactions. As the party receiving the collateral, the Group is entitled in most cases to sell the securities or provide the
securities as collateral for other loans in exchange for returning similar securities to the counterparty at the expiry of the transactions.
As at 30 June 2026, the Group had sold securities or provided securities as collateral worth DKK 105.1 billion (31 December 2025: DKK
96.0 billion).
The Group also receives many other types of assets as collateral in connection with its ordinary lending activities. The Group has not
received the ownership of these assets. Note G39 of the Annual Report 2025 provides more details on assets received as collateral in
connection with ordinary lending activities.
As at 30 June 2026, the Group had deposited securities (including bonds issued by the Group) worth DKK 6.0 billion as collateral with
Danish and international clearing centres and other institutions (31 December 2025: DKK 5.7 billion).
As at 30 June 2026, the Group had provided cash and securities (including bonds issued by the Group) worth DKK 71.9 billion as
collateral for derivatives transactions (31 December 2025: DKK 66.2 billion).
As at 30 June 2026, the Group had registered insurance assets (including bonds and shares issued by the Group) and investment
contracts worth DKK 544.2 billion (31 December 2025: DKK 511.9 billion) as collateral for policyholders’ savings of DKK 561.9 billion
(31 December 2025: DKK 527.2 billion).
As at 30 June 2026, the Group had registered loans at fair value and securities (including bonds issued by the Group) worth a total of
DKK 747.3 billion (31 December 2025: DKK 744.7 billion) as collateral for bonds issued by Realkredit Danmark. Similarly, the Group had
registered loans and other assets worth DKK 269.5 billion (31 December 2025: DKK 254.5 billion) as collateral for covered bonds
issued under Danish, Finnish and Swedish law.
The following table shows assets provided as collateral for liabilities or contingent liabilities. Assets provided as collateral under repo
transactions are shown separately whereas the types explained above are included in the column ‘Other’.
Assets provided as collateral
(DKK millions)
Due from credit institutions
Trading and investment securities
Loans at fair value
Loans at amortised cost
Insurance assets and assets under investment contracts
Total
Own issued bonds
30 June 2026
31 December 2025
Repo
Other
Total
Repo
Other
Total
-
28,599
28,599
-
15,622
15,622
289,290
45,088
334,378
272,141
46,605
318,746
-
-
-
743,295
743,295
277,734
277,734
541,590
541,590
-
-
-
740,117
740,117
265,594
265,594
505,775
505,775
289,290 1,636,305 1,925,595
272,141 1,573,713 1,845,854
18,964
22,303
41,267
20,860
23,764
44,625
Total, including own issued bonds
308,254 1,658,608 1,966,862
293,001 1,597,478 1,890,479
44
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G12. Fair value information for financial instruments
Financial instruments are recognised in the balance sheet at fair value or amortised cost.
30 June 2026
31 December 2025
Fair value Amortised cost
Fair value Amortised cost
-
51,767
496,357
157,638
44,414
-
-
30,664
444,980
137,181
85,927
-
-
139,178
-
146,482
159,508
-
150,256
-
-
1,053,924
-
1,022,281
1,045,214
79,866
545,896
-
-
-
1,060,925
76,809
513,957
-
-
-
2,378,607
1,395,153
2,277,592
1,391,871
140,941
325,631
159,855
731,580
67,655
-
1,135,364
-
158,924
286,837
134,205
740,334
58,498
-
1,110,377
-
-
277,985
-
259,855
80,692
54,726
-
-
-
-
-
77,040
56,669
104,923
29,777
2,443
-
-
-
-
-
99,682
30,289
2,843
1,493,425
1,618,146
1,454,008
1,561,544
(DKK millions)
Financial assets
Cash in hand and demand deposits with central banks
Due from credit institutions and central banks
Trading portfolio assets
Investment securities held at amortised cost
Investment securities held at fair value
Loans at amortised cost
Loans at fair value
Assets under pooled schemes and investment contracts
Insurance assets
Total
Financial liabilities
Due to credit institutions and central banks
Trading portfolio liabilities
Deposits
Issued bonds at fair value
Issued bonds at amortised cost
Deposits under pooled schemes and investment contracts
Insurance liabilities
Non-preferred senior bonds
Subordinated debt
Loan commitments and guarantees
Total
45
Danske Bank / Interim report – first half 2026
Insurance liabilities in the Balance sheet comprise Insurance contract liabilities (as defined by IFRS 17) and Other insurance-related
liabilities. The preceding table does not include Insurance contract liabilities as they are measured using the General Measurement
Model, Variable Fee Approach or Premium Allocation Approach as defined by IFRS 17.
Investment securities at fair value include bonds measured at fair value through other comprehensive income (see the table on bonds
in note G13 in Annual report 2025). All other financial assets in the column ‘Fair value’ are mandatorily measured at fair value through
profit or loss under IFRS 9. Except for trading portfolio liabilities, all other financial liabilities at fair value are measured at fair value
through profit or loss using the fair value option.
Financial instruments at amortised cost
The liquidity portfolio managed by Group Treasury includes different portfolios with different business models (see note G13 in Annual
Report 2025 for further description of business models). Bonds held within a business model for the purpose of collecting contractual
cash flows (hold to collect) and with cash flows that are solely payments of principal and interest on the principal amount outstanding
are measured at amortised cost. For bonds classified as hold-to-collect, amortised cost exceeded fair value as of 30 June 2026 with
DKK 3,237 million (31 December 2025: DKK 3,217 million). This portfolio mainly contains Danish mortgage bonds and central and local
government bonds and has a weighted average rating factor of 5.0 following Moody’s numerical rating factor to scale, which
corresponds to a strong Aa1 rating. The interest rate risk duration for the portfolio is 3.1 years. Without any reinvestments,
respectively 24%, 56% and 20% of this portfolio will reach maturity within a period of 1 year, between 1 to 5 years, and after 5 years.
Financial instruments at fair value
Note G32(a) of the Annual Report 2025 provides more information about fair value calculation methods for financial instruments.
Financial instruments valued on the basis of quoted prices in an active market are recognised in the Quoted prices category. Financial
instruments valued substantially on the basis of other observable input are recognised in the Observable input category. This
category covers instruments such as derivatives valued on the basis of observable yield curves and exchange rates and illiquid
mortgage bonds valued by reference to the value of similar liquid bonds. Other financial instruments valued substantially on the basis
of non-observable input are recognised in the Non-observable input category. This category covers instruments such as unlisted
shares, some unlisted bonds and a very limited portion of the derivatives portfolio.
If, at the balance sheet date, a financial instrument’s classification differs from its classification at the beginning of the year, the
classification of the instrument changes. Changes are considered to have taken place at the balance sheet date. Developments in the
financial markets have resulted in reclassification between the categories. Some bonds have become illiquid and have therefore been
moved from the Quoted prices to the Observable input category, while other bonds have become liquid and have been moved from
the Observable input to the Quoted prices category. The amounts transferred are insignificant.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G12. Fair value information for financial instruments – continued
Quoted prices
Observable
input
Non-observable
input
-
6,382
184,158
65,829
142,104
-
-
79,866
150,588
277,952
3,813
51,767
222,094
16,979
-
17,007
-
1,045,214
-
33,709
2,813
38,538
Total
(DKK millions)
31 December 2025
Financial assets
51,767
Due from credit institutions and central banks
229,325
Derivatives
201,137
Trading portfolio bonds
65,895
Trading portfolio shares
159,111
Investment securities, bonds
397
Investment securities, shares
1,045,214
Loans at fair value
79,866
Assets under pooled schemes and investment contracts
-
849
-
66
-
397
-
-
1,650
36,462
371
185,947
Insurance assets, bonds
317,227
Insurance assets, shares
42,722
Insurance assets, derivatives
Quoted prices
Observable
input
Non-observable
input
Total
-
4,899
174,852
63,294
133,378
-
-
76,809
158,103
234,593
2,340
30,664
187,978
12,616
-
16,527
-
1,060,925
-
33,605
3,857
43,651
-
1,068
-
273
-
353
-
-
1,898
35,343
567
30,664
193,944
187,468
63,567
149,904
353
1,060,925
76,809
193,606
273,793
46,558
910,692
1,428,120
39,795
2,378,607
Total
848,267
1,389,824
39,502
2,277,592
-
6,894
103,380
-
731,580
-
1,267
843,121
140,941
213,153
1,729
159,855
-
80,692
52,962
649,332
-
467
8
-
-
-
497
972
Financial liabilities
140,941
Due to credit institutions and central banks
220,514
Derivatives
105,117
Obligations to repurchase securities
159,855
Deposits
731,580
Issued bonds at fair value
80,692
54,726
Deposits under pooled schemes and investment contracts
Insurance liabilities
-
5,398
94,586
-
740,334
-
566
158,924
184,410
1,433
134,205
-
77,040
55,392
1,493,425
Total
840,884
611,404
-
1,010
-
-
-
-
711
1,721
158,924
190,817
96,019
134,205
740,334
77,040
56,669
1,454,008
Financial instruments at fair value
(DKK millions)
30 June 2026
Financial assets
Due from credit institutions and central banks
Derivatives
Trading portfolio bonds
Trading portfolio shares
Investment securities, bonds
Investment securities, shares
Loans at fair value
Assets under pooled schemes and investment contracts
Insurance assets, bonds
Insurance assets, shares
Insurance assets, derivatives
Total
Financial liabilities
Due to credit institutions and central banks
Derivatives
Obligations to repurchase securities
Deposits
Issued bonds at fair value
Deposits under pooled schemes and investment contracts
Insurance Liabilities
Total
46
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G12. Fair value information for financial instruments – continued
Financial instruments valued on the basis of unobservable inputs
Reconciliation from beginning to end of period
Sensitivity (change in fair value)
Gains/losses for the period
30 June 2026
31 December 2025
(DKK millions)
Fair value at 1 January
Value adjustment through profit or loss
Acquisitions
Sale and redemption
Transferred from quoted prices and observable
input
Transferred to quoted prices and observable
input
Shares
35,970
2,487
1,429
-2,969
-
-
Bonds
Derivatives
1,898
106
17
-371
-
-
-86
27
101
255
-
-40
Shares
37,551
-817
4,357
-5,121
-
-
2,103
-194
84
-95
-
-
Bonds
Derivatives
Fair value end of period
36,917
1,650
256
35,970
1,898
The value adjustment through profit or loss is recognised under Net trading income or loss. The transfer of derivatives to the
Observable input category consists primarily of maturity reductions, implying that the yield curves have become observable.
1,171
-570
-195
-516
-
24
-86
(DKK millions)
30 June 2026
Unlisted shares allocated to insurance contract
policyholders
Unlisted shares other
Illiquid bonds
Derivatives, net fair value
31 December 2025
Unlisted shares allocated to insurance contract
policyholders
Unlisted shares other
Illiquid bonds
Derivatives, net fair value
Carrying
amount
36,462
455
1,650
256
35,343
626
1,898
-86
Increase
Decrease
Realised
Unrealised
-
46
26
-
-
63
26
-
-
46
26
-
-
63
26
-
1,165
1,308
6
112
-
-683
50
-
-
8
-6
27
-147
-37
-194
-570
For unlisted shares allocated to insurance contract policyholders, the policyholders assume most of the risk on the shares. Therefore,
changes in the fair value will affect the Group’s net profit only to a limited extent. The Group’s remaining portfolio of unlisted shares
consists primarily of banking-related investments and holdings in private equity funds. The sensitivity of the fair value measurement
to changes in the unobservable input disclosed in the table is calculated as a 10% increase or 10% decrease in fair value. Under
current market conditions, a 10% decrease in the fair value is considered to be below a possible alternative estimate of the fair value
at the end of the period. The unrealised adjustments in the six ended 30 June 2026 were attributable to various unlisted shares.
The estimated fair value of illiquid bonds depends significantly on the estimated credit spread. In the table, the sensitivity of the fair
value measurement to changes in non-observable input is calculated as a 50 bps widening or narrowing of the credit spread.
A substantial number of derivatives valued on the basis of non-observable input are hedged by similar derivatives or are used for
hedging the credit risk on bonds also valued on the basis of non-observable input. Changing one or more of the non-observable inputs
to reflect reasonable, possible alternative assumptions would not change the fair value of the derivatives significantly above what is
already covered by the reserve related to fair value adjustment for model risk.
47
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
G13. Risk management notes
The consolidated financial statements for 2025 provide a detailed description of the Group’s risk management practices.
Lending
activities
Counterparty
credit risk
Trading and
investment
securities
Customer-
funded
investments
Total
150.6
96.2
496.4
298.7
1,053.9
1,045.2
79.9
589.9
107.2
225.1
255.3
17.9
150.6
44.4
-
-
1,053.9
743.3
-
-
107.2
225.1
255.3
-
-
51.8
229.3
-
-
301.9
-
-
-
-
-
-
(DKK billions)
31 December 2025
Balance sheet items
Demand deposits with central banks
Due from credit institutions and central banks
Trading portfolio assets
Investment securities
Loans at amortised cost
Loans at fair value
Assets under pooled schemes and investment contracts
Insurance assets
Off-balance-sheet items
Guarantees
Loan commitments shorter than 1 year
Loan commitments longer than 1 year
-
-
267.0
298.7
-
-
-
-
-
-
-
-
-
-
-
-
-
79.9
589.9
-
-
-
Total
130.1
116.6
445.0
296.7
1,022.3
1,060.9
76.8
555.5
99.7
206.6
244.5
14.4
Lending
activities
Counterparty
credit risk
Trading and
investment
securities
Customer-
funded
investments
130.1
85.9
-
-
1,022.3
740.1
-
-
99.7
206.6
244.5
-
-
30.7
193.9
-
-
320.8
-
-
-
-
-
-
-
-
251.0
296.7
-
-
-
-
-
-
-
-
-
-
-
-
-
-
76.8
555.5
-
-
-
14.4
646.7
4,416.2
2,579.8
583.0
0.1
565.8
17.8
Other unutilised commitments
687.6
Total
4,269.2
2,529.3
545.4
547.8
In addition to credit exposure from lending activities, Danske Bank had made uncommitted loan offers and granted uncommitted lines
of credit of DKK 220 billion at 30 June 2026 (31 December 2025: DKK 229 billion). These items are included in the calculation of the
total risk exposure amount in accordance with the Capital Requirements Regulation.
Breakdown of credit exposure
(DKK billions)
30 June 2026
Balance sheet items
Demand deposits with central banks
Due from credit institutions and central banks
Trading portfolio assets
Investment securities
Loans at amortised cost
Loans at fair value
Assets under pooled schemes and investment contracts
Insurance assets
Off-balance-sheet items
Guarantees
Loan commitments shorter than 1 year
Loan commitments longer than 1 year
Other unutilised commitments
Total
48
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk
Credit exposure from lending activities
Credit exposure from lending activities in the Group’s banking business includes loans, amounts due from credit institutions and
central banks, guarantees and irrevocable loan commitments. The exposure is measured net of expected credit losses and includes
repo loans at amortised cost. For reporting purposes, all collateral values are net of haircuts and capped at the exposure amount.
The Group’s definition of default for accounting aligns with the regulatory purposes. All exposures in stage 3 are considered default.
This includes all non-performing loans. A small amount of credit exposure in stage 3 can be found outside default. This is due to
impairment staging being updated monthly (after each month-end), whereas default is updated daily. For the same reason, some
credit exposure in default is outside stage 3. The stage 3 coverage ratio is 70% (31 December 2025: 73%).
For further details about the Group’s credit risk management and the use of information on expected credit losses for risk
management purposes, see Risk Management 2025.
Credit portfolio broken down by rating category and stages
The following table below breaks down the credit exposure by rating categories and stages. Further information on classification of
customers can be found on page 221 in Annual Report 2025.
49
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Credit exposure broken down by rating categories
(DKK billions)
30 June 2026
PD level
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Upper
Lower
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
1
2
3
4
5
6
7
8
9
10
11 (default)
Total
(DKK billions)
31 December 2025
1
2
3
4
5
6
7
8
9
10
11 (default)
Total
-
0.01
0.03
0.06
0.14
0.31
0.63
1.90
7.98
25.70
100.00
0.01
0.03
0.06
0.14
0.31
0.63
1.90
7.98
25.70
99.99
100.00
107.6
243.3
529.8
611.3
493.1
317.9
95.1
11.7
1.5
0.6
0.3
0.1
0.4
1.0
4.7
16.0
41.1
44.9
27.7
4.8
15.6
0.5
2,412.3
156.7
-
-
-
-
-
-
-
0.1
0.1
0.3
28.9
29.6
-
-
0.1
0.2
0.4
0.5
1.0
0.6
-
-
-
2.9
-
-
-
0.1
0.1
0.6
1.8
2.3
0.4
1.7
-
7.1
-
-
-
-
-
-
0.1
-
-
0.1
8.5
8.7
107.6
243.3
529.7
611.1
492.7
317.3
94.1
11.1
1.5
0.6
0.2
0.1
0.4
1.0
4.7
15.8
40.4
43.1
25.4
4.4
13.9
0.5
2,409.3
149.6
-
-
-
-
-
-
-
0.2
0.1
0.2
20.3
20.9
87.6
140.4
267.2
275.7
201.3
111.6
39.7
2.9
0.2
0.1
-
1,126.8
-
0.2
0.6
3.3
12.3
20.4
17.7
10.0
1.2
5.1
0.2
71.1
-
-
-
-
-
-
-
0.1
0.1
0.2
3.3
3.7
PD level
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Upper
Lower
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
-
0.01
0.03
0.06
0.14
0.31
0.63
1.90
7.98
25.70
100.00
0.01
0.03
0.06
0.14
0.31
0.63
1.90
7.98
25.70
99.99
100.00
188.8
194.0
510.3
569.2
472.5
314.7
99.3
11.6
1.5
0.5
0.2
0.1
0.2
1.0
4.2
16.9
39.8
44.4
25.3
4.8
17.9
1.3
2,362.5
155.8
-
-
-
0.4
0.1
-
0.1
0.1
-
0.9
29.2
30.7
-
-
0.1
0.2
0.4
0.5
0.9
0.7
-
-
-
2.9
-
-
-
-
0.1
0.7
1.8
2.3
0.5
2.0
0.1
7.5
-
-
-
-
-
-
0.1
0.1
-
0.2
9.0
9.3
188.8
194.0
510.2
569.0
472.1
314.1
98.4
10.9
1.5
0.5
0.2
0.1
0.2
1.0
4.1
16.8
39.1
42.6
23.0
4.3
15.8
1.2
2,359.6
148.4
-
-
-
0.4
0.1
-
-
-
-
0.7
20.1
21.4
166.4
96.4
257.3
254.5
179.0
111.4
40.5
1.6
0.1
0.1
0.1
1,107.3
-
-
0.6
3.1
13.8
19.1
14.8
6.7
1.3
6.5
0.1
66.1
-
-
-
-
-
-
-
-
-
0.2
3.3
3.5
50
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Credit portfolio broken down by industry (NACE) and stages
The industry segmentation in the following table is based on the classification principles of the Statistical Classification of Economic
Activities in the European Community (NACE) standard that has been adapted to the Group’s business risk approach used for the
active management of the credit portfolio.
Credit exposure broken down by industry
(DKK billions)
30 June 2026
Public institutions
Financials
Agriculture
Automotive
Capital goods
Commercial & residential real estate
Construction and building materials
Consumer goods
Hotels, restaurants and leisure
Metals and mining
Other commercials
Pharma and medical devices
Non-profit housing
Pulp, paper and chemicals
Retailing
Services
Shipping
Oil and gas
Social services
Telecom and media
Transportation
Utilities & infrastructure
Personal customers
Total
51
Danske Bank / Interim report – first half 2026
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Stage 1
199.8
166.6
50.9
29.2
93.7
316.1
45.2
86.4
15.3
26.3
0.3
58.5
215.5
37.0
26.5
98.3
23.2
22.5
30.0
24.4
17.3
93.2
736.1
2,412.3
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
0.5
3.2
5.3
6.6
11.3
20.8
14.1
9.3
1.0
3.9
-
0.8
3.4
5.6
5.4
6.1
4.3
0.1
3.2
0.8
2.3
14.6
34.1
156.7
1.0
0.2
1.0
0.8
1.8
3.0
1.9
1.7
0.4
0.8
-
0.2
0.5
0.5
0.5
1.9
0.2
-
0.3
1.5
0.3
1.2
9.9
29.6
-
-
0.3
-
-
0.5
0.2
-
-
-
0.1
0.1
0.1
-
-
0.3
-
-
-
-
-
0.1
1.1
2.9
-
0.1
0.7
0.5
0.7
0.9
0.7
0.3
-
0.2
-
-
0.1
0.2
0.2
0.4
0.1
-
0.1
0.1
0.2
0.4
1.3
7.1
-
0.1
0.4
0.2
0.9
0.7
1.0
0.6
0.1
0.2
-
-
0.1
0.2
0.2
0.7
0.1
-
0.1
0.6
0.1
0.3
2.1
8.7
Stage 1
199.8
166.6
50.6
29.1
93.7
315.6
45.0
86.4
15.3
26.3
0.2
58.5
215.4
37.0
26.5
98.1
23.1
22.4
30.0
24.4
17.3
93.1
735.1
2,409.3
Stage 2
Stage 3
0.5
3.1
4.6
6.1
10.6
19.9
13.5
9.0
0.9
3.7
-
0.8
3.4
5.4
5.2
5.7
4.2
0.1
3.1
0.7
2.1
14.2
32.8
149.6
1.0
0.2
0.7
0.6
1.0
2.3
0.8
1.1
0.3
0.6
-
0.1
0.4
0.2
0.3
1.1
0.2
-
0.3
0.9
0.1
0.9
7.8
20.9
Stage 1
196.7
152.2
11.0
22.8
87.4
61.9
33.9
65.2
4.5
19.5
0.1
55.0
35.3
26.2
17.5
81.1
11.4
17.5
12.3
18.9
8.3
67.7
120.5
1,126.8
Stage 2
Stage 3
-
1.7
1.3
4.0
8.7
2.3
8.9
6.6
0.3
2.7
-
0.6
0.9
3.5
4.3
4.2
1.0
0.1
2.8
0.4
0.6
12.9
3.0
71.1
-
0.1
-
0.3
0.3
0.7
0.4
0.6
-
0.1
-
-
-
-
0.1
0.4
-
-
-
0.6
-
-
-
3.7
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Stage 1
250.4
132.5
52.4
25.7
76.6
295.0
43.8
90.0
13.6
26.3
1.4
56.9
210.3
41.3
27.4
93.1
18.7
17.7
28.9
27.6
18.6
88.8
725.6
2,362.5
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
1.3
3.1
4.8
8.1
11.8
25.2
11.5
9.0
1.1
2.0
-
2.2
3.1
5.5
2.5
5.3
5.9
0.3
2.6
0.7
2.2
13.3
34.2
155.8
0.2
0.4
1.2
0.6
2.1
3.4
1.9
1.3
0.5
0.8
-
0.1
0.8
0.5
1.6
1.3
0.5
-
0.5
1.4
0.6
0.9
10.3
30.7
-
0.1
0.2
-
-
0.4
0.3
-
-
-
0.2
-
0.1
-
0.1
0.2
-
-
-
-
-
0.1
1.1
2.9
-
0.2
0.6
0.6
0.7
1.0
0.8
0.4
-
0.2
-
-
0.1
0.3
0.2
0.4
0.1
-
0.1
0.1
0.2
0.4
1.2
7.5
-
0.1
0.4
0.2
0.9
0.8
1.1
0.6
0.1
0.2
-
-
0.1
0.2
0.8
0.4
0.1
-
0.1
0.5
0.2
0.2
2.5
9.3
Stage 1
250.4
132.5
52.1
25.7
76.5
294.5
43.5
89.9
13.6
26.4
1.2
56.9
210.2
41.3
27.3
92.9
18.7
17.6
28.9
27.6
18.6
88.7
724.6
2,359.6
Stage 2
Stage 3
1.3
3.0
4.2
7.6
11.1
24.2
10.6
8.7
1.1
1.9
-
2.1
3.1
5.3
2.3
4.9
5.8
0.3
2.6
0.6
2.0
12.9
32.9
148.4
0.2
0.3
0.8
0.4
1.2
2.6
0.8
0.7
0.4
0.6
-
0.1
0.7
0.3
0.8
0.9
0.4
-
0.3
0.9
0.4
0.7
7.8
21.4
Stage 1
247.3
118.9
12.6
19.8
70.6
50.0
32.1
68.9
5.2
19.5
1.1
53.5
32.8
29.4
18.0
77.7
6.9
14.6
11.5
22.8
9.9
65.8
118.2
1,107.3
Stage 2
Stage 3
-
1.6
1.1
5.3
9.3
3.5
7.0
6.5
0.3
1.1
-
2.0
0.3
3.9
1.5
3.2
1.1
0.2
2.2
0.4
0.6
11.5
3.4
66.1
-
0.2
-
0.2
0.4
0.6
0.3
0.3
0.1
0.1
-
-
-
-
0.3
0.2
0.1
-
-
0.5
-
0.1
-
3.5
Credit risk – continued
(DKK billions)
31 December 2025
Public institutions
Financials
Agriculture
Automotive
Capital goods
Commercial and residential real estate
Construction and building materials
Consumer goods
Hotels, restaurants and leisure
Metals and mining
Other commercials
Pharma and medical devices
Non-profit housing
Pulp, paper and chemicals
Retailing
Services
Shipping
Oil and gas
Social services
Telecom and media
Transportation
Utilities and infrastructure
Personal customers
Total
52
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Collateral
The Group uses a number of measures to mitigate credit risk, including collateral, guarantees and covenants. The main method is
obtaining collateral. In Annual Report 2025, a table showing collateral by type (after haircut) is included. The mitigating effect from
collateral is calculated as the difference between the columns ‘Net exposure’ and ‘Net exposure, ex collateral’, and amounted to DKK
1,378.2 billion at 30 June 2026 (31 December 2025: DKK 1,352.4 billion).
The following table breaks down credit exposure by business unit and underlying segment.
Credit exposure by business unit
(DKK billions)
30 June 2026
Personal Customers
Personal Customers Denmark
Personal Customers Sweden
Personal Customers Finland
Global Private Banking
Total Personal Customers
Business Customers
Asset Finance
Business Customers
Commercial Real Estate
Business Customers Other
Total Business Customers
Large Corporates & Institutions
Northern Ireland
Group Functions
Total
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
451.2
102.1
75.0
78.4
706.7
55.9
281.1
432.5
0.4
769.9
669.9
113.3
152.5
19.9
2.1
6.4
3.8
32.3
10.3
41.0
15.4
-
66.7
53.3
4.1
0.3
2,412.3
156.7
5.8
0.5
2.1
0.8
9.1
1.4
8.5
1.8
-
11.6
7.5
1.2
-
29.6
0.7
0.1
0.1
0.1
1.0
0.1
0.7
0.4
-
1.2
0.4
0.3
-
2.9
0.7
0.1
0.2
0.2
1.3
0.3
3.0
0.5
-
3.8
1.9
0.1
-
7.1
1.0
0.1
0.6
0.1
1.8
0.6
3.4
0.3
-
4.3
2.2
0.4
-
8.7
450.5
102.1
74.9
78.3
705.7
55.8
280.4
432.0
0.4
768.6
669.5
113.0
152.5
19.2
2.0
6.2
3.6
31.0
10.0
38.0
14.9
-
62.9
51.4
4.0
0.3
4.7
0.4
1.5
0.7
7.3
0.8
5.1
1.5
-
7.4
5.3
0.9
-
71.7
31.2
6.3
12.6
121.8
21.3
111.6
79.0
0.4
212.3
586.1
56.5
150.1
2,409.3
149.6
20.9
1,126.8
1.5
0.3
0.5
0.4
2.8
2.2
17.5
2.3
-
22.1
45.3
0.6
0.3
71.1
-
-
-
0.1
0.1
-
1.1
0.3
-
1.5
2.1
-
-
3.7
Commercial Real Estate in Business Customers includes Non-profit housing.
53
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
(DKK billions)
31 December 2025
Personal Customers
Personal Customers Denmark
Personal Customers Sweden
Personal Customers Finland
Global Private Banking
Total Personal Customers
Business Customers
Asset Finance
Business Customers
Commercial Real Estate
Business Customers Other
Total Business Customers
Large Corporates & Institutions
Northern Ireland
Group Functions
Total
Gross exposure
Expected credit loss
Net exposure
Net exposure, ex collateral
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
Stage 1
Stage 2
Stage 3
449.4
103.7
75.9
76.8
705.8
53.1
277.2
410.4
0.4
741.1
619.6
101.0
195.0
20.3
2.6
5.9
3.8
32.6
10.2
39.1
17.9
-
67.3
52.4
3.5
-
2,362.5
155.8
6.1
0.5
2.0
0.7
9.4
1.7
8.8
2.6
-
13.2
6.7
1.4
0.1
30.7
0.7
0.1
0.1
0.1
1.0
0.1
0.7
0.4
-
1.2
0.3
0.3
-
2.9
0.7
0.1
0.2
0.3
1.3
0.3
3.2
0.6
-
4.0
2.1
0.1
-
7.5
1.3
0.1
0.6
0.2
2.2
0.5
3.6
0.4
-
4.5
2.3
0.4
-
9.3
448.7
103.6
75.8
76.7
704.8
53.0
276.5
409.9
0.4
739.8
619.2
100.8
195.0
19.6
2.5
5.8
3.5
31.3
9.9
36.0
17.4
-
63.3
50.4
3.4
-
4.8
0.4
1.5
0.6
7.2
1.2
5.3
2.2
-
8.7
4.4
1.0
-
77.2
31.3
5.7
13.8
128.1
20.1
110.9
67.7
0.4
199.0
540.1
47.5
192.6
2,359.6
148.4
21.4
1,107.3
1.8
0.4
0.4
0.5
3.1
2.4
15.2
2.7
-
20.3
42.2
0.5
-
66.1
-
-
-
0.1
0.1
0.1
0.9
0.4
-
1.3
2.1
-
-
3.5
Commercial Real Estate in Business Customers includes Non-profit housing.
54
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Exposures subject to forbearance measures
The Group adopts forbearance plans to assist customers in financial difficulty. Concessions granted to customers include interest-
reduction schedules, interest-only schedules, temporary payment holidays, term extensions, cancellation of outstanding fees, waiver
of covenant enforcement and debt forgiveness. Forbearance plans must comply with the Group’s Credit Policy. They are used as an
instrument to retain long-term business relationships during economic downturns if there is a realistic possibility that the customer
will be able to meet its obligations again or are used for minimising losses in the event of default.
If it proves impossible to improve the customer’s financial situation by forbearance measures, the Group will consider whether to
subject the customer’s assets to a forced sale or whether the assets could be realised later at higher net proceeds. At the end of the
first half of 2026, the Group had recognised properties taken over in Denmark at a carrying amount of DKK 14 million (31 December
2025: DKK 7 million), and there were no properties taken over in other countries (31 December 2025: DKK 0 million). The properties
are held for sale and included in Other assets in the balance sheet.
The Group applies the European Banking Authority’s (the EBA’s) definition of loans subject to forbearance measures. The EBA
definition states that a probation period of a minimum of two years must pass from the date when forborne exposures are considered
to be performing again. Forbearance measures lead to changes in staging for impairment purposes, and impairments relating to
forborne exposures are handled according to the principles described in note G15 in Annual Report 2025.
Exposures subject to forbearance measures
(DKK millions)
Stage 1
Stage 2
Stage 3
Total
30 June 2026 31 December 2025
131
5,005
6,429
11,565
159
5,650
7,091
12,900
55
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk - continued
Allowance account broken down by stage
(DKK millions)
ECL allowance account as at 1 January 2025
Transferred to stage 1
Transferred to stage 2
Transferred to stage 3
ECL on new assets
ECL on assets derecognised
Impact of net remeasurement of ECL (incl. changes in models)
Write-offs debited to the allowance account
Foreign exchange adjustments
Other changes
ECL allowance account as at 30 June 2025
ECL allowance account as at 1 January 2026
Transferred to stage 1
Transferred to stage 2
Transferred to stage 3
ECL on new assets
ECL on assets derecognised
Impact of net remeasurement of ECL (incl. changes in models)
Write-offs debited to the allowance account
Foreign exchange adjustments
Other changes
Stage 1
3,226
Stage 2
7,617
Stage 3
9,058
Total
19,901
Personal
Customers
Business
Customers
Allowance account broken down by segment
712
-172
-54
369
-287
-679
-
9
14
3,137
2,858
596
-125
-6
414
-252
-549
-1
1
1
-667
369
-622
804
-638
505
-
40
-16
7,390
7,482
-529
269
-420
641
-451
158
-2
-12
2
-45
-197
676
379
-572
584
-200
-3
-28
9,652
9,345
-67
-144
426
304
-539
344
-995
-5
20
-
-
-
1,552
-1,498
410
-200
45
-30
20,179
19,686
-
-
-
(DKK millions)
ECL allowance account as at 1 January 2025
ECL on new assets
ECL on assets derecognised
Impact on remeasurement of ECL (incl.
change in models)
Write-offs debited to allowance account
Foreign currency translation
Other changes
ECL allowance account as at 30 June 2025
ECL allowance account as at 1 January 2026
ECL on new assets
ECL on assets derecognised
Impact on remeasurement of ECL (incl.
change in models)
1,360
Write-offs debited to allowance account
-1,241
Foreign currency translation
Other changes
ECL allowance account as at 30 June 2026
-48
-998
-17
23
Large
Corporates &
Institutions
3,666
362
-28
456
-28
-27
-14
4,388
4,669
309
-30
192
-607
-2
23
10,752
885
-1,062
-244
-108
83
81
10,387
9,768
696
-770
-212
-127
-17
-1
9,336
4,554
Northern
Ireland
Group
Functions
785
27
-19
4
-15
-22
-12
749
742
39
-27
31
-18
9
-
777
22
4
-1
-14
-
-
-
11
20
4
-3
-15
21
-
-
27
Total
19,901
1,552
-1,498
410
-200
45
-30
20,179
19,686
1,360
-1,241
-48
-998
-17
23
18,764
4,674
274
-389
209
-50
12
-86
4,644
4,488
312
-412
-43
-268
-8
1
4,071
ECL allowance account as at 30 June 2026
2,937
7,138
8,689
18,764
The method used for calculating expected credit losses is described in detail in note G15 of the Annual Report 2025.
56
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Forward-looking information
The incorporation of forward-looking information reflects the expectations of the Group’s senior management and involves both
macroeconomic scenarios (base case, upside, downside and severe downside scenarios), including an assessment of the probability
of each scenario, and post-model adjustments. The purpose of using multiple scenarios is to model the non-linear impact of
assumptions about macroeconomic factors on the expected credit losses. Post-model adjustments are used to capture specific risks
which are not fully covered by the macroeconomic scenarios, as well as the process-related risk, which could lead to an
underestimation of the expected credit losses.
Macroeconomic scenarios
The forward-looking information is based on a three-year forecast period converging to steady state in year seven. That is, after the
forecast period, the macroeconomic scenarios revert slowly towards a steady state.
The applied scenarios that drive the expected credit loss calculation in the first half of 2026 have been updated with the latest
macroeconomic data. Compared with the end of 2025, the base case, upside and downside scenarios for the Nordic markets have
been revised to reflect continued, albeit softer economic growth, moderate-to-normalised inflation and improving house prices
despite modest increases in interest rates.
The upside scenario represents a slightly stronger outlook than the base case scenario, supported by improved global economic
conditions, higher demand and marginally stronger GDP growth. This scenario also sees further support for housing markets,
accompanied by a modest rise in interest rates amid stronger price pressures.
The downside scenario assumes slightly weaker growth as prolonged energy disruptions and supply constraints drive higher inflation
and interest rates.
The severe downside scenario underwent a regular update in the second quarter of 2026 and continues to reflect a global recession.
Trade tensions and supply chain issues trigger a deep economic downturn similar to the financial crisis, characterised by declining
demand, negative growth rates and higher, more persistent unemployment in the economies where the Group is represented. Rising
import costs lead to price increases and inflation, prompting interest rates to be hiked in response, as current interest levels have
decreased. Property prices decline for an extended period due to increased interests and market uncertainty. The scenario is applied
in the Group’s ICAAP processes, which are similar in nature to regulatory stress tests, capturing the risk of a recession.
The scenario weighting is unchanged from 2025. The weight on the base case scenario is 50% (31 December 2025: 50%), the upside
scenario is weighted 25% (31 December 2025: 25%), the downside scenario is weighted 5% (31 December 2025: 5%) and the severe
downside scenario is weighted 20% (31 December 2025: 20%).
The base case is an extension of the Group’s official view of the Nordic economies (the Nordic Outlook report). At 30 June 2026, the
base case scenario anticipates a softer but still resilient outlook, with growth supported by increased real wages and generally robust
labour markets. Inflation and monetary policy create headwinds, while property prices are expected to continue to strengthen.
The main macroeconomic parameters in the base case, upside, downside and severe downside scenario entering into the ECL
calculation for the forecast horizon across the Group’s Nordic markets are included in the following tables.
57
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
Macroeconomic scenarios
30 June 2026
Denmark
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Sweden
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Norway
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Finland
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
58
Danske Bank / Interim report – first half 2026
Base-case
2026
2027
2028
2026
Upside
2027
2028
2026
2027
2028
2026
2027
2028
Downside
Severe downside
3.7
3.0
1.3
7.5
2.7
2.1
8.5
1.0
4.4
2.5
1.0
2.3
3.1
4.0
4.5
1.1
10.5
1.9
-2.8
2.7
2.5
3.4
2.4
4.0
2.1
2.4
7.8
2.6
5.2
2.3
1.5
2.4
2.1
7.0
3.5
0.8
10.1
1.8
1.0
2.1
1.9
3.4
2.0
2.5
2.1
2.0
7.1
2.0
5.0
2.3
1.8
2.4
2.0
6.0
3.3
1.2
9.2
2.0
2.5
2.1
3.7
2.9
1.4
7.5
2.6
2.1
8.5
1.1
4.4
2.5
1.0
2.3
3.2
4.0
4.5
1.2
10.5
2.0
-2.8
2.6
2.8
3.3
2.8
5.0
2.4
2.6
7.7
2.8
6.2
2.6
1.6
2.3
2.4
8.0
3.7
1.0
10.0
2.0
2.0
2.5
2.4
3.2
2.3
4.5
2.6
2.5
6.9
2.2
6.0
2.8
2.2
2.2
2.1
7.0
3.5
1.6
9.1
2.2
4.5
2.6
3.4
3.1
1.9
7.5
2.7
1.9
8.5
1.5
4.4
2.5
0.8
2.3
3.5
4.0
4.6
1.0
10.5
2.5
-2.8
2.7
0.8
3.9
4.9
-
2.9
1.1
8.0
4.5
1.2
3.0
0.6
2.4
3.7
4.0
4.3
-0.4
10.1
4.2
-2.0
2.9
0.5
4.2
4.0
-0.5
2.6
0.7
7.5
3.8
2.0
2.8
1.2
2.4
3.3
3.0
3.8
-0.3
9.4
4.3
-0.5
2.6
-3.4
6.9
4.0
-19.7
3.9
-3.5
9.4
4.9
-22.0
4.8
-2.7
5.5
4.5
-19.0
4.7
-2.4
12.0
4.0
-14.2
4.0
-2.0
7.9
3.0
-11.0
4.7
-3.4
10.3
3.9
-13.0
5.6
-1.1
6.4
3.0
-13.0
5.2
-2.0
13.0
3.0
-7.0
4.8
-
8.1
2.0
-6.0
3.4
-0.8
10.7
2.9
-7.0
4.3
0.6
6.5
2.0
-7.0
4.3
-0.1
13.0
2.0
-5.0
3.5
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
31 December 2025
Denmark
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Sweden
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Norway
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
Finland
GDP
Unemployment
Inflation
Property prices - Residential
Interest rate - 3 month
59
Danske Bank / Interim report – first half 2026
Base-case
2025
2026
2027
2025
Upside
2026
2027
2025
2026
2027
2025
2026
2027
Downside
Severe downside
2.6
2.9
1.9
5.9
2.1
1.9
8.7
2.8
1.2
2.0
1.7
2.2
3.1
6.0
4.2
0.3
9.5
0.5
-1.5
2.1
2.7
3.0
1.1
6.3
2.1
2.6
8.3
1.6
5.3
2.2
1.6
2.3
2.2
7.0
3.3
1.5
9.3
1.4
0.8
2.1
2.1
3.0
1.8
3.7
2.1
2.4
7.5
2.0
4.2
2.5
1.6
2.3
2.4
6.0
3.3
1.8
8.7
1.8
2.5
2.1
2.6
2.9
1.9
5.9
2.1
1.9
8.7
2.8
1.2
2.0
1.8
2.2
3.1
6.0
4.2
0.3
9.5
0.5
-1.5
2.1
2.9
3.0
1.7
7.3
2.2
2.7
8.3
1.9
6.3
2.3
1.7
2.3
2.6
8.0
3.4
1.7
9.2
1.9
1.8
2.2
2.6
2.8
2.5
5.7
2.5
2.9
7.4
2.2
5.2
2.9
1.9
2.2
2.8
7.0
3.7
2.2
8.5
2.4
4.5
2.6
2.5
2.9
2.0
5.9
2.1
1.8
8.7
2.9
1.2
2.0
1.7
2.2
3.1
6.0
4.2
0.2
9.5
0.5
-1.5
2.1
1.5
3.3
1.1
1.3
1.8
1.3
8.5
1.7
0.3
1.9
1.2
2.4
2.2
3.0
3.3
0.2
9.5
1.4
-3.2
1.7
1.1
3.6
2.0
3.7
1.7
1.3
8.0
2.4
4.2
2.0
1.2
2.4
2.7
6.0
3.4
0.7
9.1
2.2
2.5
1.7
-3.4
6.4
4.0
-19.7
3.9
-3.5
10.2
4.9
-22.0
4.8
-2.7
5.5
4.5
-19.0
4.7
-2.4
10.9
4.0
-14.2
4.0
-2.0
7.4
3.0
-11.0
4.7
-3.4
11.1
3.9
-13.0
5.6
-1.1
6.4
3.0
-13.0
5.2
-2.0
11.9
3.0
-7.0
4.8
-
7.8
2.0
-6.0
3.4
-1.0
11.5
2.9
-7.0
4.3
0.6
6.5
2.0
-7.0
4.3
-0.3
11.9
2.0
-5.0
3.5
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Credit risk – continued
With the applied macroeconomic scenarios, the allowance account as at 30 June 2026 amounted to DKK 18.8 billion (31 December
2025: DKK 19.7 billion). The following table provides information on the percentage increase or decrease in the allowance account,
should each scenario be assigned a 100% probability, all other factors remaining constant.
Allowance account: impact of 100% scenario probabilities
(% change in allowance account)
30 June 2026 31 December 2025
100% base
100% upside
100% downside
100% severe downside
-7%
-7%
-4%
44%
-6%
-6%
-5%
39%
The increase in the severe downside scenario primarily reflects the transfer of exposures from stage 1 to stage 2 and increased
expected credit losses within stage 2.
Post-model adjustments
Management applies judgement when determining the need for post-model adjustments. At 30 June 2026, the post-model
adjustments amounted to DKK 5.2 billion (31 December 2025: DKK 5.4 billion). The post-model adjustments primarily relate to the
following types of risks:
•
•
•
specific macroeconomic risks on certain industries not fully captured by the expected credit loss model, for instance the
agriculture industry. For such industries, supplementary calculations are made to ensure sufficient impairment coverage. This
also includes post-model adjustments relating to effects from climate risk or the geopolitical uncertainty.
non-linear downside risk, for instance on the property market in Copenhagen and other high growth areas for which the
macroeconomic forecasts used in the models are based on the property market as a whole.
portfolios where the credit risk assessment process has identified an underestimation of the expected credit losses.
Following the significant impact on the expected credit losses from post-model adjustments, the following table provides more
information about the adjustments.
Post-model adjustments by industries
(DKK billions)
Agriculture
Commercial & Residential Real Estate
Construction and building materials
Utilities & Infrastructure*
Personal customers (including other retail exposures)
Others**
Total
30 June 2026 31 December 2025
0.8
0.9
0.5
0.4
0.8
1.7
5.2
0.8
1.0
0.6
0.4
1.0
1.6
5.4
* Post-model adjustments for Utilities and infrastructure as at 31 December 2025 have been reclassified from Others. There is no change to
total post-model adjustments as at 31 December 2025.
** No individual industry included in Others exceeds DKK 0.4 billion at 30 June 2026 (31 December 2025: DKK 0.4 billion).
Compared with the end of 2025, the total balance of post-model adjustments has decreased only slightly.
The Group maintains substantial post-model adjustments due to ongoing geopolitical and macroeconomic uncertainties, including
the risk of escalating trade tensions, trade disruptions, a slowing or declining growth environment, elevated interest rates, and
fluctuating energy and commodity prices. These factors present new challenges that impact economic and business activity. The
post-model adjustments apply across industries that are sensitive to tariffs, increases in energy and other commodity prices, as well
as those vulnerable to business cycles, higher interest rates and refinancing risks. The post-model adjustments have been assessed
for idiosyncratic risks to ensure a prudent coverage of expected credit loss in the Group’s portfolios.
60
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Counterparty credit risk and credit exposure from trading
and investment securities
Exposure to counterparty credit risk and credit exposure from trading and investment securities
Derivatives with positive fair value
(DKK billions)
Counterparty credit risk
Derivatives with positive fair value
Reverse transactions and other loans at fair value
Credit exposure from other trading and investment securities
Bonds
Shares
Total
Derivatives with positive fair value before netting
229.3
353.7
499.4
66.3
1,148.8
193.9
351.5
483.9
63.9
Netting (under accounting rules)
Carrying amount
Netting (under capital adequacy rules)
Net current exposure
Collateral
1,093.2
Net amount
Derivatives with positive fair value after netting for accounting purposes
30 June 2026 31 December 2025
(DKK millions)
30 June 2026 31 December 2025
231,309
1,984
229,325
136,295
93,029
84,331
8,699
134,947
91,281
3,097
229,325
196,254
2,310
193,944
115,354
78,590
69,113
9,477
144,690
47,765
1,488
193,944
Reverse transactions and other loans at fair value included as counterparty credit risk are loans at the trading units of Large
Corporates & Institutions. These loans consist of reverse transactions of DKK 349.9 billion (31 December 2025: DKK 349.1 billion), of
which DKK 48.0 billion relates to credit institutions and central banks (31 December 2025: DKK 28.3 billion), and other primarily short-
term loans of DKK 3.8 billion (31 December 2025: DKK 2.4 billion), of which DKK 3.8 billion (31 December 2025: DKK 2.4 billion) relates
to credit institutions and central banks.
Interest rate contracts
Currency contracts
Other contracts
Total
61
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Counterparty credit risk and credit exposure from trading and investment
securities – continued
Bond portfolio
(DKK millions)
30 June 2026
Held-for-trading (FVPL)
Managed at fair value (FVPL)
Held to collect and sell
(FVOCI)
Held to collect (AMC)
Total
31 December 2025
Held-for-trading (FVPL)
Managed at fair value (FVPL)
Held to collect and sell
(FVOCI)
Held to collect (AMC)
Central and
Quasi-
Danish
local govern-
government
mortgage
ment bonds
bonds
bonds
111,343
9,377
27,354
37,853
185,927
119,596
9,135
23,425
42,638
2,454
341
10,105
8,180
21,080
2,958
420
9,788
8,761
32,968
14,238
73,081
89,000
209,288
26,882
16,786
60,801
90,736
Total
194,794
21,928
195,205
Swedish
covered
bonds
36,589
1,580
2,497
3,226
43,892
24,219
1,683
1,873
3,429
31,204
Other
covered
Corporate
bonds
bonds
Total
9,204
109
18,432
918
28,663
7,147
145
23,849
917
32,059
8,578
1,999
-
-
10,577
6,666
1,998
-
-
8,664
201,137
27,643
131,468
139,178
499,427
187,467
30,168
119,736
146,482
483,854
At 30 June 2026, the Group had an additional bond portfolio, including bond-based unit trust certificates, worth DKK 185,947 million
(31 December 2025: DKK 193,606 million) recognised as insurance assets and thus not included in the table above. The section on
Insurance risk in Annual Report 2025 provides more information. For bonds classified as hold-to-collect, amortised cost exceeded fair
value as at 30 June 2026 and 31 December 2025; see note G12 for more information.
62
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Counterparty credit risk and credit exposure from trading and investment
securities – continued
Bond portfolio broken down by geographical area
(DKK millions)
30 June 2026
Denmark
Sweden
UK
Norway
USA
Spain
France
Luxembourg
Finland
Ireland
Italy
Portugal
Austria
Netherlands
Germany
Belgium
Other
Total
Central and
Quasi-
Danish
local govern-
government
mortgage
ment bonds
bonds
bonds
25,418
36,917
19,377
9,052
20,119
557
11,327
-
10,909
1,070
945
2
3,068
1,830
44,588
748
-
-
-
1
-
5,090
-
20
7,227
3,014
-
-
-
-
14
148
4,420
1,145
209,288
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Swedish
covered
bonds
-
43,892
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
6,998
17,536
-
-
497
-
2,039
-
194
-
123
61
1,085
-
129
3,278
2,753
5
2,481
35
-
252
125
946
30
6
-
104
320
71
3
169
237,984
Denmark
83,561
26,380
29,069
25,244
Sweden
UK
Norway
USA
557
Spain
12,097
France
7,352
Luxembourg
16,908
Finland
1,100
1,146
Ireland
Italy
2
Portugal
3,296
2,225
Austria
Netherlands
45,892
Germany
5,171
1,444
Belgium
Other
Total
Other
covered
Corporate
Central and
Quasi-
Danish
local govern-
government
mortgage
bonds
bonds
Total
(DKK millions)
ment bonds
bonds
bonds
31 December 2025
26,637
43,980
22,474
6,751
19,619
488
13,123
-
8,564
722
2,289
2
2,340
2,684
45,043
79
-
-
-
434
-
5,228
-
24
7,661
3,193
-
-
-
-
13
149
4,527
701
195,205
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Swedish
covered
bonds
-
31,204
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Other
covered
Corporate
bonds
bonds
Total
-
-
6,806
22,186
-
1
399
-
2,007
-
-
-
104
14
466
-
76
3,304
2,543
2
830
22
-
64
135
985
10
6
-
106
433
130
3
91
225,146
77,727
29,716
29,766
24,869
489
13,610
7,795
14,749
732
2,295
2
2,550
3,143
45,788
4,609
868
185,927
21,080
209,288
43,892
28,663
10,577
499,427
194,794
21,928
195,205
31,204
32,059
8,664
483,854
63
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Counterparty credit risk and credit exposure from trading and investment
securities – continued
Bond portfolio broken down by external ratings
Central and
Quasi-
Danish
local govern-
government
mortgage
ment bonds
bonds
bonds
Swedish
covered
bonds
Other
covered
Corporate
Central and
Quasi-
Danish
local govern-
government
mortgage
bonds
bonds
Total
(DKK millions)
ment bonds
bonds
bonds
Swedish
covered
bonds
Other
covered
Corporate
bonds
bonds
Total
(DKK millions)
30 June 2026
AAA
AA+
AA
AA-
A+
A
A-
BBB+
BBB
BBB-
BB+
BB
BB-
Sub. "investment-grade" or unrated
113,674
21,283
26,880
12,166
10,847
-
132
-
945
-
-
-
-
-
18,366
2,711
-
-
4
-
-
-
-
-
-
-
-
-
209,219
43,876
28,388
1,999
415,522
-
-
69
-
-
-
-
-
-
-
-
-
-
-
16
-
-
-
-
-
-
-
-
-
-
-
16
232
-
-
-
-
-
27
-
-
-
-
-
18
2,093
169
392
1,475
413
692
2,017
554
90
400
8
257
31 December 2025
AAA
AA+
AA
AA-
A+
A
A-
BBB+
BBB
BBB-
BB+
BB
BB-
24,027
29,220
12,404
11,243
1,475
545
692
2,989
554
90
400
8
257
Sub. "investment-grade" or unrated
119,321
19,840
30,476
10,195
11,998
-
147
-
2,289
528
-
-
-
-
17,635
4,288
-
-
5
-
-
-
-
-
-
-
-
-
195,165
31,177
30,954
2,030
396,282
-
-
40
-
-
-
-
-
-
-
-
-
-
-
27
-
-
-
-
-
-
-
-
-
-
-
31
720
-
-
-
-
-
354
-
-
-
-
-
1
1,148
188
587
1,055
320
841
1,399
596
150
178
28
142
24,160
32,371
10,423
12,590
1,055
468
841
4,042
1,124
150
178
28
142
Total
185,927
21,080
209,288
43,892
28,663
10,577
499,427
Total
194,794
21,928
195,205
31,204
32,059
8,664
483,854
64
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Financial statements – Danske Bank A/S
The financial statements of the Parent Company, Danske Bank A/S, are prepared in accordance with the Danish Financial Business Act
and the Danish FSA’s Executive Order No.658 of 23 May 2025.
On 1 January 2026, amendments to IFRS 9 and IFRS 7 and Annual improvements to IFRS Accounting Standards – Volume 11 became
effective. None of these amendments have an impact on the financial statements of Danske Bank A/S. Further information can be
found in note G2(a).
Danske Bank A/S has not changed its material accounting policies from those applied in the Annual Report 2025.
Danske Bank A/S has corrected its measurement of Holdings in group undertakings as at 30 June 2025, which has resulted in a
decrease of DKK 1.1 billion in Danske Bank A/S’ equity as at 1 January 2025 and 30 June 2025. Further information can be found in
note G2(b).
The accounting policies applied are identical to the Group’s IFRS accounting principles, see note G1, with the following exception:
• Domicile property (except right-of-use assets) is measured (revalued) at its estimated fair value through Other comprehensive
income.
The estimated fair value of domicile property is determined in accordance with the Danish FSA’s Executive Order on Financial Reports
for Credit Institutions and Investment Companies, etc.
Holdings in subsidiaries are measured on the basis of the equity method. Net profit from these undertakings is recognised under
Income from associates and group undertakings.
The format of the Parent Company’s financial statements is not identical to the format of the consolidated financial statements in
accordance with IFRS Accounting Standards.
The following table shows the differences in net profit and shareholders’ equity between the IFRS consolidated financial statements
and the Parent Company’s financial statements presented in accordance with Danish FSA rules.
Reconciliation between Group (IFRS) and Parent (Danish FSA rules)
(DKK millions)
Danske Bank Group based on IFRS
Domicile properties
Tax effect
Net profit
2026
11,887
-5
-2
Net profit
2025
11,211
2
-10
Equity
Equity
30 June 2026 31 December 2025
167,150
181,162
216
-37
221
-35
Parent company statement based on Danish FSA rules
11,881
11,202
167,329
181,348
65
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Income statement – Danske Bank A/S
Statement of comprehensive income– Danske Bank A/S
First half
First half
2026
25,254
12,031
13,223
240
8,639
1,421
2025
26,424
14,020
12,404
330
7,762
1,133
(DKK millions)
Net profit
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurement of defined benefit pension plans
Tax*
Items that will not be reclassified to profit or loss
20,681
19,363
Items that are or may be reclassified subsequently to profit or loss
704
505
1,211
288
Translation of units outside Denmark
Hedging of units outside Denmark
10,506
10,399
Unrealised value adjustments of bonds at fair value (OCI)
879
-
266
4,260
14,499
2,619
11,881
716
1
494
4,294
13,546
2,344
11,202
Realised value adjustments of bonds at fair value (OCI)
Tax*
Items that are or may be reclassified subsequently to profit or loss
Total other comprehensive income
Total comprehensive income
* A positive amount is a tax expense, and a negative amount is a tax income.
First half
First half
2026
11,881
2025
11,202
68
1
67
-166
61
-260
-10
-79
-297
-229
-48
1
-49
976
-429
86
-1
171
461
412
11,652
11,614
Note
(DKK millions)
Interest income
Interest expense
Net interest income
Dividends from shares etc.
Fee and commission income
Fees and commissions paid
Net interest and fee income
P1
Value adjustments
Other operating income
Staff costs and administrative expenses
Amortisation, depreciation and impairment charges
Other operating expenses
P2
Loan impairment charges etc.
Income from associates and group undertakings
Profit before tax
Tax
Net profit
66
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Balance sheet – Danske Bank A/S
Note
(DKK millions)
Assets
Cash in hand and demand deposits with central banks
P2
Due from credit institutions and central banks
Loans and other amounts due at fair value
P2
Loans and other amounts due at amortised costs
Bonds at fair value
Bonds at amortised cost
Shares etc.
Holdings in associates
Holdings in group undertakings
Assets under pooled schemes
Intangible assets
Land and buildings, total
Domicile property
Other tangible assets
Current tax assets
Deferred tax assets
Assets held for sale
Other assets
Prepayments
Total assets
67
Danske Bank / Interim report – first half 2026
30 June 31 December
30 June
2026
2025
2025*
Note
(DKK millions)
88,504
130,041
Amounts due
Liabilities and equity
120,638
111,771
301,919
844,504
335,301
86,519
66,288
404
90,639
49,463
8,461
3,601
3,601
5,964
8,511
710
45
150,082
320,808
809,611
309,176
89,527
63,918
387
92,611
48,237
7,837
3,690
3,690
6,039
3,504
696
63
83,655
322,917
776,040
367,433
77,703
51,738
382
89,694
46,047
7,215
3,621
3,621
5,907
7,196
686
82
251,518
213,628
251,666
3,129
2,827
2,806
Due to credit institutions and central banks
Deposits and other amounts due
Deposits under pooled schemes
Issued bonds at fair value
P3
Issued bonds at amortised cost
Current tax liabilities
Other liabilities
Deferred income
Total amounts due
Provisions for liabilities
Provisions and pensions and similar obligations
Provisions for deferred tax
Provisions for losses on guarantees
Other provisions for liabilities
Total provisions for liabilities
Subordinated debt
Equity
Share capital
2,289,384
2,211,143
2,224,831
Accumulated value adjustments
Equity method reserve
Retained earnings
Proposed dividends
Total equity
Total liabilities and equity
* Comparative information for 30 June 2025 has been restated, as described in note G2(b).
30 June 31 December
30 June
2026
2025
2025*
202,647
215,889
236,711
1,184,778
1,136,754
1,111,242
50,289
1,770
48,467
1,664
47,169
1,463
264,046
246,536
229,867
2,400
1,548
454
379,329
341,079
388,279
1,888
1,833
1,810
2,087,147
1,993,770
2,016,995
176
1,105
2,697
1,153
5,131
157
1,115
3,179
1,286
5,737
143
819
3,317
1,475
5,753
29,777
30,289
30,243
8,158
-2,919
32,283
8,350
-2,573
34,145
8,350
-2,739
31,156
129,807
122,890
135,073
-
18,537
-
167,329
181,348
171,840
2,289,384
2,211,143
2,224,831
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Statement of capital – Danske Bank A/S
Changes in equity
(DKK millions)
Accumulated
value
adjustments*
Share capital
Total equity as at 1 January 2026
8,350
-2,573
Net profit
Other comprehensive income
Remeasurement of defined benefit pension plans
Translation of units outside Denmark
Hedging of units outside Denmark
Unrealised value adjustments
Realised value adjustments
Tax
Total other comprehensive income
Total comprehensive income
Transactions with owners
Dividends paid
Share capital reduction
Acquisition of own shares - share buy-back
programme
Acquisition of own shares - other
Sale of own shares
Share based payments
-
-
-
-
-
-
-
-
-
-
-192
-
-
-
-
-
-
-166
61
-260
20
-
-346
-346
-
-
-
-
-
-
Total equity as at 30 June 2026
8,158
-2,919
32,283
129,807
*Accumulated value adjustments includes foreign currency translation reserve, reserve for bonds at fair value through other comprehensive
income (FVOCI) and valuation reserve.
68
Danske Bank / Interim report – first half 2026
Equity
method
reserve
34,145
-1,832
Retained
earnings
122,890
13,713
-
-
-
-
-30
-
-30
68
-
-
-
-
78
146
-1,862
13,859
-
-
-
-
-
-
192
-2,098
-18,102
17,887
101
Proposed
dividends
Total
(DKK millions)
Accumulated
value
adjustments*
Share capital
18,537
181,348
Total equity as at 1 January 2025
8,622
-3,371
-
-
-
-
-
-
-
-
-
11,881
Effect of adjustment of holdings in group
undertakings**
68
-166
61
-260
-10
78
-229
11,652
Total equity as at 1 January 2025
Net profit
Other comprehensive income
Remeasurement of defined benefit pension plans
Translation of units outside Denmark
Hedging of units outside Denmark
Unrealised value adjustments
Realised value adjustments
Tax
-
-
-
-
-
-
-
Total comprehensive income
Transactions with owners
-2,098
Dividends paid
-18,102
Share capital reduction
17,887
101
167,329
Acquisition of own shares - share buy-back
programme
Acquisition of own shares - other
Sale of own shares
Share based payments***
-
-
8,622
-3,371
-
-
-
-
-
-
-
-
-
-
-272
-
-
-
-
-
-
976
-429
86
-1
-
632
632
-
-
-
-
-
-
-4,921
-18,537
-23,458
Total other comprehensive income
Equity
method
reserve
34,512
-1,117
33,395
-2,239
-
-
-
-
-
-
-
Retained
earnings
123,840
-
123,840
13,441
-48
-
-
-
-
-172
-220
-2,239
13,221
-
-
-
-
-
-
43
272
-2,072
-15,163
14,839
93
Proposed
dividends
Total
12,279
175,882
-
-1,117
12,279
174,764
-
-
-
-
-
-
-
-
-
11,202
-48
976
-429
86
-1
-172
412
11,614
-12,279
-12,236
-
-
-
-
-
-
-
-2,072
-15,163
14,839
93
171,840
Total equity as at 30 June 2025
8,350
-2,739
31,156
135,073
*Accumulated value adjustments includes foreign currency translation reserve, reserve for bonds at fair value through other comprehensive
income (FVOCI) and valuation reserve.
** See note G2(b) for details on the adjustment to holdings in group undertakings.
***Share based payments in Q2 2025 have been reclassified from Acquisition of own shares – other. There is no change to total equity as at 30
June 2025.
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Notes – Danske Bank A/S
P1. Value adjustments
(DKK millions)
Loans at fair value
Bonds
Shares etc.
Currency
Derivatives
Issued bonds
Total
30 June
2026
30 June
2025
15
218
499
349
-1,802
1,426
704
-98
1,416
278
-216
1,742
-1,910
1,211
69
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
P2. Impairment charges for loans and guarantees
ECL allowance account as at 1 January 2025
Transferred to stage 1
Transferred to stage 2
Transferred to stage 3
ECL on new assets
ECL on assets derecognised
Impact of net remeasurement of ECL (incl.
changes in models)
Write offs debited to the allowance account
Foreign exchange adjustments
Other changes
ECL allowance account as at 30 June 2025
ECL allowance account as at 1 January 2026
Transferred to stage 1
Transferred to stage 2
Transferred to stage 3
ECL on new assets
ECL on assets derecognised
Impact of net remeasurement of ECL (incl.
changes in models)
Write offs debited to the allowance account
Foreign exchange adjustments
Other changes
ECL allowance account as at 30 June 2026
Due to credit institutions and central banks
Loans and other amounts due at AMC
Loan commitments and guarantees
Stage 1
Stage 2
Stage 3
7
-
-
-
-
-
1
-
-
-
8
9
-
-
-
-
-
-
-
-
-
9
4
-
-
-
-
-
-3
-
-
-
2
15
-
-
-
-
-
6
-
-
-
20
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
4
-
-
-
4
Stage 1
1,321
Stage 2
5,118
Stage 3
6,155
451
-108
-45
237
-102
-479
-
14
-54
1,235
1,098
281
-65
-3
234
-89
-173
-
-2
-6
1,276
-424
226
-511
634
-454
591
-
30
-7
5,203
5,038
-242
161
-371
373
-242
136
-
-12
1
4,842
-28
-118
557
308
-410
102
-26
37
-18
6,560
6,632
-39
-96
374
219
-394
499
-839
-11
43
6,389
Stage 1
565
80
-15
-2
94
-33
-69
-
1
13
636
617
132
-14
-
97
-51
-232
-
-
-
549
Stage 2
1,457
Stage 3
1,176
-76
51
-81
127
-75
-219
-
10
1
1,197
1,388
-124
25
-22
225
-97
-188
-
1
-
1,209
-4
-37
83
42
-35
288
-
-31
4
1,485
1,174
-8
-11
22
57
-43
-253
-
2
-
939
Total
15,804
-
-
-
1,443
-1,109
211
-26
61
-60
16,325
15,972
-
-
-
1,205
-916
-201
-840
-22
39
15,237
70
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
P3. Issued bonds at amortised cost
P4. Ratios – Danske Bank A/S
Issued bonds at amortised cost includes non-preferred senior bonds of DKK 104,923 million (31 December 2025: DKK 99,682 million)
of a total of DKK 264,046 million (31 December 2025: DKK 246,536 million).
Ratios
Total capital ratio (%)
Tier 1 capital ratio (%)
Return on equity before tax (%)
Return on equity after tax (%)
Income/cost ratio (%)
Interest rate risk (%)
Foreign exchange position (%)
Foreign exchange risk (%)
Loans plus impairment charges as % of deposits
Liquidity coverage ratio (90 days) (%)
Sum of large exposures as % of CET1 capital
Impairment ratio (%)
Growth in loans (%)
Loans as % of equity
Return on assets (%)
Earnings per share
Book value per share (DKK)
Dividend per share (DKK)**
Share price end of period/earnings per share (DKK)
Share price end of period/book value per share (DKK)
First half
Full year
First half
2026
23.9
20.7
8.3
6.8
224.4
-0.5
2.3
-
93.8
132.4
106.5
0.1
4.5
6.9
0.5
14.6
205.8
6.14
24.0
1.70
2025
24.5
21.4
15.8
12.9
220.6
-0.2
1.9
-
96.5
134.5
103.0
0.1
11.8
6.2
1.0
27.9
222.5
22.72
11.4
1.43
2025*
26.3
23.1
7.8
6.5
216.7
0.3
3.2
-
96.0
132.1
93.5
-
6.7
6.4
0.5
13.5
206.8
-
19.2
1.25
* Comparative information has been restated, as described in note G2(b).
**As announced in the Interim report – first quarter 2026, the Board of Directors approved an extraordinary dividend of DKK 6.14 per share,
which was paid out in May 2026.
71
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Statement by the
management
The Board of Directors and the Executive Leadership Team (the
management) have today reviewed and adopted the Interim report –
first half 2026 of the Danske Bank Group.
The consolidated interim financial statements are prepared in
accordance with IAS 34, Interim Financial Reporting, as adopted by
the EU. The Parent Company’s interim financial statements are
prepared in accordance with the Danish Financial Business Act and
the Executive Order on Financial Reports for Credit Institutions and
Investment Companies, etc. Furthermore, the interim report has
been prepared in accordance with legal requirements, including the
disclosure requirements for interim reports of listed financial
institutions in Denmark.
In our opinion, the consolidated interim financial statements and the
Parent Company’s financial statements give a true and fair view of
the Group’s and the Parent Company’s assets, liabilities, equity and
financial position at 30 June 2026 and of the results of the Group’s
and the Parent Company’s operations and the consolidated cash
flows for the period 1 January 2026 - 30 June 2026.
Moreover, in our opinion, the management’s report includes a fair
view of developments in the Group’s and the Parent Company’s
operations and financial position and describes the significant risks
and uncertainty factors that may affect the Group and the Parent
Company.
72
Danske Bank / Interim report – first half 2026
Copenhagen, 17 July 2026
Executive Leadership Team
Carsten Egeriis
CEO
Magnus Agustsson
Joachim Alpen
Christian Bornfeld
Karsten Breum
Cecile Hillary
Johanna Norberg
Frans Woelders
Martin Blessing
Chairman
Lieve Mostrey
Board of Directors
Martin Nørkjær Larsen
Vice Chairman
Jacob Dahl
Allan Polack
Rafael Salinas
Marianne Sørensen
Helle Valentin
Kirsten Ebbe Brich
Elected by the employees
Aleksandras Cicasovas
Elected by the employees
Kirsten Hjelm Lund
Elected by the employees
Louise Aggerstrøm Hansen
Elected by the employees
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Independent auditor’s review report
Statement on the Management’s report
Management is responsible for the Management’s report.
To the shareholders of Danske Bank A/S
Independent auditor’s review report on the consolidated interim and parent financial statements
We have reviewed the consolidated and parent interim financial statements of Danske Bank Group for the financial period 1 January
to 30 June 2026, pp. 30-71, which comprise the income statement, statement of comprehensive income, balance sheet, statement of
capital and notes, for the Group and Parent company, respectively, as well as the consolidated cash flow statement including a
summary of material accounting policies.
Management’s responsibility for the consolidated interim and parent financial statements
Management is responsible for the preparation of the consolidated interim financial statements in accordance with IAS 34, Interim
Financial Reporting, as adopted by the EU, and Danish disclosure requirements for listed financial companies, and for the preparation
of the Parent Company’s interim financial statements in accordance with the Danish Financial Business Act and Danish disclosure
requirements for listed financial companies, and for such internal control as Management determines is necessary to enable the
preparation of the consolidated and parent interim financial statements that are free from material misstatement, whether due to
fraud or error.
Auditor’s responsibility
Our responsibility is to express a conclusion on the consolidated and parent interim financial statements. We conducted our review in
accordance with the International Standard on Engagements to Review Interim Financial Information Performed by the Independent
Auditor of the Entity and additional requirements under Danish audit regulation. This requires us to conclude whether anything has
come to our attention that causes us to believe that the consolidated and parent interim financial statements, taken as a whole, have
not been prepared, in all material respects, in accordance with the applicable financial reporting framework. This also requires us to
comply with relevant ethical requirements.
A review of financial statements in accordance with the International Standard on Engagements to Review Interim Financial
Information Performed by the Independent Auditor of the Entity is a limited assurance engagement. The Auditor performs procedures
primarily consisting of inquiries of management and others within the entity, as appropriate, and applying analytical procedures, and
evaluates the evidence obtained.
The procedures performed in a review are substantially less than those performed in an audit conducted in accordance with
International Standards on Auditing. Accordingly, we do not express an audit opinion on the interim financial statements.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the consolidated interim financial statements
for the financial period 1 January to 30 June 2026 have not been prepared, in all material respects, in accordance with IAS 34 Interim
Financial Reporting as adopted by the EU and Danish disclosure requirements for listed financial companies and that the Parent
Company’s Interim Financial Statements have not been prepared, in all material respects, in accordance with the Danish Financial
Business Act and Danish disclosure requirements for listed financial entities.
73
Danske Bank / Interim report – first half 2026
Our conclusion on the interim financial statements does not cover the Management’s report, and we do not express any form of
assurance conclusion thereon.
In connection with our review of the interim financial statements, our responsibility is to read the Management’s report and, in doing
so, consider whether the Management’s report is materially inconsistent with the interim financial statements or our knowledge
obtained in the review or otherwise appears to be materially misstated.
Moreover, it is our responsibility to consider whether the Management provides the information required under the Danish Financial
Business Act. Based on the work we have performed, we conclude that the Management report is in accordance with the interim
financial statements and has been prepared in accordance with the requirements of the Danish Financial Business Act. We did not
identify any material misstatement of the Management’s report.
Copenhagen, 17 July 2026
Deloitte
Statsautoriseret Revisionspartnerselskab
CVR-nr. 33963556
Kasper Bruhn Udam
State-Authorised
Public Accountant
MNE no 29421
Jakob Lindberg
State-Authorised
Public Accountant
MNE no 40824
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Supplementary information
Financial calendar
29 October 2026
4 February 2027
18 March 2027
29 April 2027
21 July 2027
28 October 2027
Contacts
Claus Ingar Jensen
Head of Investor Relations
Links
Danske Bank
Denmark
Finland
Sweden
Norway
Northern Ireland
Realkredit Danmark
Danica Pension
Interim report – first nine months 2026
Annual report 2026
Annual general meeting
Interim report – first quarter 2027
Interim report – first half 2027
Interim report – first nine months 2027
clauj@danskebank.dk
danskebank.com
danskebank.dk
danskebank.fi
danskebank.se
danskebank.no
danskebank.co.uk
rd.dk
danica.dk
Danske Bank’s financial statements are available online at danskebank.com/Reports.
74
Danske Bank / Interim report – first half 2026
Financial highlights
Executive summary
Strategy execution
Sustainability
Financial review
Business units
Financial statements
Danske Bank Group
Bernstorffsgade 40
DK-1577 København V
Tel. +45 33 44 00 00
CVR no. 61126228-København
danskebank.com
75
Danske Bank / Interim report – first half 2026