Financial Performance - Realkredit Danmark reported a net profit of DKK 4,848 million for 2025, an increase from DKK 4,424 million in 2024, driven by loan impairment reversals and lower expenses [12] - Total expenses decreased to DKK 898 million in 2025 from DKK 1,010 million in 2024, primarily due to the cessation of payments to the fully funded Resolution Fund and reductions in operating expenses [12] - The company experienced a net reversal of loan impairment charges amounting to DKK 258 million in 2025, compared to a charge of DKK 333 million in 2024, indicating strong credit quality [12] Market Position and Strategy - Realkredit Danmark plays a significant role within Danske Bank Group, aiming to be a leading bank in mortgages and property finance for both households and businesses [3] - The company financed several of the largest transactions in the Danish commercial real estate market in 2025, reinforcing its strong market position [12] - The green loan portfolio surpassed DKK 34 billion by the end of 2025, growing from DKK 29 billion in 2024, highlighting the company's commitment to sustainable financing [12] Product and Service Enhancements - In 2025, Realkredit Danmark removed the additional margin on new interest-only loans with a loan-to-value ratio below 60%, providing customers with greater financial flexibility [2] - The introduction of the Danske BoligStart concept in June aimed to support first-time homebuyers aged 18 to 38 by offering guidance and minimizing uncertainty during the home-buying process [4] - New digital features, including a loan monitoring 'traffic light' system and an improved home finance tool, were launched to enhance customer experience and streamline the loan application process [5][6] Market Outlook - The Danish housing market showed resilience in 2025, supported by a robust labor market and easing inflation, with increasing prices and activity levels despite low consumer confidence [9] - Growth in the housing market is projected to moderate in 2026, with an estimated increase of 6.5% [9] - Realkredit Danmark expects a net profit for 2026 to be within the range of DKK 4.2 billion to DKK 4.7 billion [12]

Financial Performance - Realkredit Danmark reported a net profit of DKK 2,455 million for the first half of 2025, an increase from DKK 2,129 million in the same period of 2024, primarily driven by a net reversal of loan impairment charges and lower expenses [5][6][9] - Total expenses decreased to DKK 425 million in H1 2025 from DKK 511 million in H1 2024, attributed to the discontinuation of payments to the fully funded Resolution Fund and reductions in operating expenses [6][9] Loan and Credit Quality - The underlying credit quality remained strong, with loan impairment charges reflecting a net reversal of DKK 129 million in H1 2025, compared to a charge of DKK 227 million in H1 2024 [9] - The average loan-to-value ratio decreased to 50% at the end of June 2025 from 53% at the end of 2024, supported by stable market values and increasing house prices [9] Market Outlook and Initiatives - The outlook for the housing market in Denmark is positive, bolstered by strong macroeconomic indicators and lower inflation, with a notable increase in commercial lending activity [5][6] - Realkredit Danmark and Danske Bank launched initiatives in home finance, including the Danske BoligStart concept aimed at young home finance customers, and removed additional margins on new loans with interest-only periods for lower loan-to-value ratios [2][3] - The company is enhancing digital solutions, including a new housing universe in Danske Mobile Banking, to provide customers with better access to home finance information and services [4][9] Green Financing - There has been a consistent increase in demand for green financing, with total lending across green loan types reaching DKK 30 billion by the end of H1 2025 [9] - The company expanded the purposes for loans for energy improvements, allowing personal customers to borrow at favorable rates for installing battery solutions for surplus electricity [9]