Analyst Note| Niklas Kammer, CFA |
Narrow-moat Danske's third-quarter results were overshadowed by a DKK 14 billion provision taken related to the Estonia case. Excluding this large one-off, performance was decent. Income generation, up 12% to DKK 9,767 million, primarily own stronger net interest income (up 9%), more than offset 6% higher operating expenses. Loan impairment charges nearly doubled to DKK 368 million versus DKK 192 million a quarter ago, driven by another DKK 650 million one-off related to the legacy debt collection case. We maintain our DKK 170 per share fair value estimate.