The BANK of Greenland’s report for the first half of 2025

Financial Performance - The Bank of Greenland reported a profit before tax of DKK 84.4 million for the first half of 2025, down from DKK 120.1 million in the same period of 2024, resulting in a return of 11.6% p.a. on opening equity after dividend disbursement [1] - Profit before value adjustments and write-downs decreased to DKK 94.7 million from DKK 127.5 million year-over-year, influenced by declining interest rates [1] Lending and Guarantees - Lending increased by DKK 138 million since the end of 2024, totaling DKK 5.169 million at the end of the first half of 2025, with expectations of subdued growth in lending due to Greenland's economic development [2] - Guarantees slightly decreased by DKK 1 million, from DKK 1.423 million at the end of 2024 to DKK 1.422 million at the end of the first half of 2025 [2] Expenses and Value Adjustments - Total expenses, including depreciation, rose to DKK 128.4 million in the first half of 2025, compared to DKK 117.5 million in the same period of 2024 [3] - Value adjustments showed a capital gain of DKK 4.3 million, an increase from DKK 3.9 million in the previous year [3] Impairments and Solvency - Impairments of loans and guarantees amounted to DKK 14.5 million in the first half of 2025, up from DKK 11.2 million in the same period of 2024, with write-downs and provisions representing 0.2% of total lending and guarantees [4] - The solvency ratio was reported at 25.5%, exceeding the capital requirement of 10.5% [4] Forecast - The forecast for profit before tax for 2025 remains unchanged, with an expected range of DKK 150-185 million [4]