Sydbank's Interim Report – First Half 2024

H1 2024 – highlights

Profit for the period of DKK 1,624m equals a return on equity of 22.4% p.a. after tax
Core income of DKK 3,646m is 8% higher compared to the same period in 2023
Trading income of DKK 153m compared to DKK 186m in the same period in 2023
Costs (core earnings) of DKK 1,659m compared to DKK 1,600m in the same period in 2023
Core earnings before impairment of DKK 2,140m are 8% higher compared to the same period in 2023
Impairment charges for loans and advances etc represent an expense of DKK 24m
Bank loans and advances have risen by DKK 4.7bn, equal to an increase of 6% compared to year-end 2023
The CET1 ratio stands at 17.7%, equal to a decrease of 1.2pp compared to year-end 2023

CEO Mark Luscombe comments on the result:

It is good news that our half-year performance is historically high. We were able to lift core income and total income in the first 6 months of the year from their all-time high levels last year. Costs have risen by 4% compared with a year ago. The Bank has had a constant focus on becoming increasingly efficient. As a result the increase in costs is smaller than the effects of the agreed overall pay rises and the abolition of Great Prayer Day. Profit for H1 2024 outperforms profit a year ago by 9% and equals a return on equity of 22.4%, which is highly satisfactory.

Mark Luscombe comments on developments in business volume:

We are pleased to see that the continued effect of our strong focus on providing value-creating advice to our customers has boosted our business volume in terms of bank loans and advances, deposits and the investment area. Bank loans and advances went up by DKK 4.7bn in H1 and deposits returned to the record level of year-end 2023.

Board chairman Lars Mikkelgaard-Jensen comments:

In times of significant macroeconomic uncertainty due to the challenging geopolitical climate it is good news that the Bank remains highly capitalised and resilient. At 30 June 2024 the Bank's CET1 ratio stands at 17.7%, which is 6.0pp above the capital requirements. This means that Sydbank is extremely well prepared to navigate this uncertainty and support our customers.

Outlook for 2024

Moderate growth is projected for the Danish economy.
Profit after tax is expected to be in the range of DKK 2,800-3,100m.
The profit forecast assumes that Danmarks Nationalbank will lower the rate of interest on certificates of deposit by a further 0.50pp in 2024.
The outlook is subject to uncertainty and depends on financial market developments and macroeconomic factors which may affect eg the level of impairment charges.

Group Financial Highlights 4
Highlights 5
Financial Review – Performance in H1 2024 8
Income Statement 16
Statement of Comprehensive Income 16
Balance Sheet 17
Financial Highlights – Quarterly 18
Financial Highlights – Half-yearly 19
Statement of Changes in Equity 20
Capital Statement 21
Cash Flow Statement 22
Segment Reporting etc 23
Notes 25
Management Statement 45
Supplementary Information 46

Group Financial Highlights

	H1	H1	Index	Q2	Q2	Full year
	2024	2023	24/23	2024	2023	2023

Income statement (DKKm)
Core income	3,646	3,389	108	1,797	1,754	7,071
Trading income	153	186	82	64	69	275
Total income	3,799	3,575	106	1,861	1,823	7,346
Costs, core earnings	1,659	1,600	104	828	803	3,136
Core earnings before impairment	2,140	1,975	108	1,033	1,020	4,210
Impairment of loans and advances etc	24	(16)	-	16	(6)	(27)
Core earnings	2,116	1,991	106	1,017	1,026	4,237
Investment portfolio earnings	36	30	120	12	1	88
Profit before non-recurring items	2,152	2,021	106	1,029	1,027	4,325
Non-recurring items, net	4	(26)	-	(11)	(12)	(44)
Profit before tax	2,156	1,995	108	1,018	1,015	4,281
Tax	532	503	106	255	257	939
Profit for the period	1,624	1,492	109	763	758	3,342

Balance sheet highlights (DKKbn)
Loans and advances at amortised cost	79.2	74.6	106	79.2	74.6	74.5
Loans and advances at fair value	14.8	9.7	153	14.8	9.7	16.7
Deposits and other debt	111.6	102.7	109	111.6	102.7	111.7
Bonds issued at amortised cost	14.9	13.2	113	14.9	13.2	11.2
Subordinated capital	1.9	1.1	173	1.9	1.1	1.1
AT1 capital	0.8	0.8	100	0.8	0.8	0.8
Shareholders' equity	14.5	13.7	106	14.5	13.7	14.9
Total assets	191.3	179.3	107	191.3	179.3	185.1

Financial ratios per share (DKK per share of DKK 10)
EPS	29.5	26.0		14.0	13.2	58.8
Share price at end of period	369.0	315.2		369.0	315.2	293.6
Book value	271.5	242.7		271.5	242.7	273.9
Share price/book value	1.36	1.30		1.36	1.30	1.07
Average number of shares outstanding (in millions)	54.2	56.5		53.9	56.5	56.0
Dividend per share	-	-		-	-	30.56

Other financial ratios and key figures
CET1 ratio	17.7	18.7		17.7	18.7	18.9
T1 capital ratio	18.9	20.0		18.9	20.0	20.1
Capital ratio	21.1	21.0		21.1	21.0	21.1
Pre-tax profit as % p.a. of average equity	29.8	29.6		28.2	30.1	30.3
Post-tax profit as % p.a. of average equity	22.4	22.0		21.1	22.4	23.6
Costs (core earnings) as % of total income	43.7	44.8		44.5	44.0	42.7
Return on assets (%)	0.86	0.83		0.41	0.40	1.83
Interest rate risk	0.8	1.0		0.8	1.0	0.5
Foreign exchange position	1.3	1.8		1.3	1.8	0.7
Foreign exchange risk	0.0	0.0		0.0	0.0	0.0
Liquidity, LCR (%)	240	227		240	227	223
Loans and advances relative to deposits	0.6	0.6		0.6	0.6	0.6
Loans and advances relative to equity	5.5	5.4		5.5	5.4	5.0
Growth in loans and advances during the period	6.2	0.9		1.7	(0.7)	0.8
Total large exposures	111	142		111	142	137
Accumulated impairment ratio	2.0	2.1		2.0	2.1	2.1
Impairment ratio for the period	0.02	(0.02)		0.02	(0.01)	(0.03)
Number of full-time staff at end of period	2,015	2,053	98	2,015	2,053	2,029

When calculating financial ratios AT1 capital is considered a liability regardless of the fact that it is accounted for as equity. Reference is made to financial ratio definitions in the 2023 Annual Report (page 128).

Highlights

Sydbank's financial statements for H1 2024 show a profit before tax of DKK 2,156m compared with DKK 1,995m in the same period in 2023. Profit before tax equals a return of 29.8% p.a. on average equity.

Profit before tax shows an increase of DKK 161m, which is primarily attributable to a rise in net interest income.

Core income constitutes DKK 3,646m compared to DKK 3,389m in 2023 – a rise of DKK 257m, equivalent to 8%. The increase is mainly attributable to the effects of a higher interest rate level as well as a rise in bank loans and advances and deposits.

Core income exceeded the expectations presented in the 2023 Annual Report.

Trading income in H1 2024 constituted DKK 153m compared with DKK 186m in 2023.

Total income amounts to DKK 3,799m, which is an increase of 6% compared to the same period in 2023.

Costs (core earnings) constituted DKK 1,659m in H1 2024 – an increase of DKK 59m compared to the same period in 2023. The increase is in line with the expectations presented in the 2023 Annual Report.

Core earnings before impairment total DKK 2,140m for H1 2024 – an increase of DKK 165m, equivalent to 8% compared to the same period in 2023.

Impairment charges for loans and advances represent an expense of DKK 24m compared with an income of DKK 16m in the same period in 2023.

Core earnings for H1 2024 represent DKK 2,116m – an increase of DKK 125m compared with the same period in 2023.

Non-recurring items etc total an income of DKK 4m compared to a net expense of DKK 26m in the same period in 2023.

Profit for the period before tax represents DKK 2,156m compared to DKK 1,995m in 2023 – an increase of DKK 161m. Tax represents DKK 532m, equal to an effective tax rate of 24.7%.

Profit for the period amounts to DKK 1,624m compared with DKK 1,492m in the same period in 2023, equal to a return of 22.4% p.a. on average equity.

Acquisition of Coop Bank A/S

Sydbank has acquired 100% of the share capital of Coop Bank A/S. The acquisition took effect on 1 July 2024. The purchase price represents DKK 345m.

The acquisition of Coop Bank includes a partnership that will create attractive value propositions for the customers of Coop Bank and Coop Danmark as well as for other members. It is expected that the partnership will generate increased business volume at Coop Bank.

The bank differs from Sydbank and other traditional banks by having created a seamless bank with efficient processes. It is a unique offer to customers who value few and simple choices.

Sydbank's strategy for 2022-24: "Growing our business"

Growing our business centres on 3 themes:

Better known and bigger
Sound business
Stronger competitive position

Better known and bigger – profitable growth Sydbank has a good reputation – and needs to be better known. On the back of Denmark's Corporate Bank we will increase awareness of Sydbank focusing in particular on large towns and cities. Our growth is profitable and organic and we are in good shape for friendly takeovers. We will incorporate ESG and sustainability in the Bank's products and processes.

Sound business – higher earnings

At Sydbank focus is on banking and sound business. Our employees are highly qualified, proactive and value-creating. We work on the principle of quid pro quo and will increase the Bank's earnings.

Stronger competitive position – efficient bank We will prioritise the Bank's efforts and reduce costs. We will optimise working procedures and processes to reduce time spent, enhance quality and shorten response times to customers. As a decent and responsible bank our constant focus is on compliance, including IT security.

Strategic goals represent the values from the Bank's underlying philosophy and its core story with promises to its customers, to its employees and to its shareholders.

The strategic goals cover these areas:

Awareness
Return on equity
Rate of costs

Awareness By means of targeted efforts we will increase awareness of Sydbank and our value creation for customers. We will elevate unaided brand awareness from its level of around 20% at year-end 2021 to around 40% by the end of the strategy period. At end-H1 2024 unaided awareness had risen to 28%.

Return on equity

We will continue to deliver competitive returns to the Bank's shareholders and our goal is a return on equity in the region of 10% in 2024 – based on a normalised level of impairment charges. The goal was set in the context of a negative interest rate environment. In H1 2024 return on equity constituted 22.4% against 22.0% in H1 2023.

Rate of costs

We will continue to focus on the balance between income and costs. This will be achieved by continuing to increase income while maintaining a constant focus on costs. We will prioritise our initiatives and ensure a better understanding of costs throughout the organisation as well as continue to ensure a powerful engine room. The strategic goal for the rate of costs is around 60%. In H1 2024 the rate of costs stood at 44% compared with 45% in H1 2023.

Sydbank's customers

The Bank's customer portfolio can be divided into the segments: corporate clients, Private Banking clients and retail clients, and institutional clients.

Sydbank has succeeded in building relationships in particular as regards the backbone of the Danish corporate sector – medium-sized and large enterprises – and by developing the expertise of its employees the Bank has secured a strong position as a full-service corporate and advisory bank offering a wide variety of professional financing solutions tailored to the requirements of the individual business.

The Bank strives to have an increase in customers primarily with the following profiles:

Medium-sized or large enterprises in the SME segment with growth potential
Retail clients with healthy finances
Young customers
Wealthy retail clients

H1 2024 performance

Net interest income has risen by DKK 155m to DKK 2,257m, equal to an increase of 7% compared to the same period in 2023. The increase is mainly attributable to the effects of a higher interest rate level and a rise in lending volume.

Total core income has risen by DKK 257m to DKK 3,646m, equal to 8% compared with the same period in 2023.

Trading income constituted DKK 153m in H1 2024 compared with DKK 186m in the same period in 2023.

Total income has increased by DKK 224m to DKK 3,799m.

Costs (core earnings) have gone up by DKK 59m to DKK 1,659m.

Core earnings before impairment for H1 2024 represent DKK 2,140m – an increase of DKK 165m and equal to 8% compared with the same period in 2023.

Impairment charges for loans and advances represent an expense of DKK 24m compared with an income of DKK 16m in the same period in 2023.

Core earnings for H1 2024 represent DKK 2,116m – an increase of DKK 125m compared with the same period in 2023.

Together the Group's position-taking and liquidity handling generated positive earnings of DKK 36m in H1 2024 compared to DKK 30m a year ago.

Non-recurring items etc total an income of DKK 4m compared to an expense of DKK 26m in the same period in 2023.

Profit before tax for H1 2024 amounts to DKK 2,156m compared with DKK 1,995m in 2023. Tax represents DKK 532m, equal to an effective tax rate of 24.7%.

Profit for the period amounts to DKK 1,624m compared with DKK 1,492m in 2023.

Return on shareholders' equity before and after tax constitutes 29.8% and 22.4% respectively against 29.6% and 22.0% respectively in the same period in 2023.

Bank loans and advances

Bank loans and advances represented DKK 79.2bn at 30 June 2024 – an increase of DKK 4.6bn since 30 June 2023 and an increase of DKK 4.7bn compared to year-end 2023.

Bank loans and advances (DKKbn)	30 Jun 2024	31 Dec 2023	30 Jun 2023
Corporate clients	67.1	61.8	61.6
Retail clients	12.1	12.7	13.0
Public authorities	0.0	0.0	0.0
Total	79.2	74.5	74.6

Bank loans and advances to retail clients represent DKK 12.1bn – a decrease of DKK 0.6bn in H1 2024. Bank loans and advances to corporate clients represent DKK 67.1bn – an increase of DKK 5.3bn in H1 2024.

Credit facilities to corporate clients (DKKbn)	30 Jun 2024	31 Dec 2023	30 Jun 2023
Drawn facilities =
loans/advances before
impairment charges	68.5	63.2	63.1
Undrawn facilities	46.3	47.9	44.9
Total	114.8	111.1	108.0

Credit facilities to corporate clients rose by DKK 3.7bn to DKK 114.8bn in H1 2024.

During H1 2024 corporate clients drew a further DKK 5.3bn under their credit facilities.

Credit intermediation

In addition to traditional bank loans and advances the Group arranges for mortgage loans from Totalkredit and DLR Kredit. The Group's total credit intermediation comprises bank loans and advances, mortgage-like loans funded by Totalkredit as well as mortgage loans arranged through Totalkredit and DLR Kredit.

Total credit intermediation (DKKbn)	30 Jun 2024	31 Dec 2023	30 Jun 2023
Bank loans and advances	79.2	74.5	74.6
Funded mortgage-like loans	3.9	4.2	4.6
Arranged mortgage loans – Totalkredit Arranged mortgage loans –	85.1	84.6	85.3
DLR	14.7	14.7	13.9
Total	182.9	178.0	178.4

The Group's total credit intermediation represents DKK 182.9bn – an increase of DKK 4.9bn compared to year-end 2023.

The change is attributable to a rise in bank loans and advances of DKK 4.7bn, a decline in funded mortgagelike loans of DKK 0.3bn and an increase in arranged mortgage loans of DKK 0.5bn.

Outlook for 2024

Moderate growth is projected for the Danish economy.

Profit after tax is expected to be in the range of DKK 2,800-3,100m.

In connection with the release of the 2023 Annual Report, profit after tax for 2024 was expected to be in the range of DKK 2,500-2,900m.

The profit forecast assumes that Danmarks Nationalbank will lower the rate of interest on certificates of deposit by a further 0.50pp in 2024.

The outlook is subject to uncertainty and depends on financial market developments and macroeconomic factors which may affect eg the level of impairment charges.

Sydbank's core story

Banking

Sydbank's mission is to be a bank that is close to its customers. We find solutions where they are – quickly and efficiently. We build on relationships between people. And we focus on what is important – banking and sound business. Banking – pure and simple.

Our bank

Rooted in Southern Jutland, Sydbank is a strong and independent nationwide bank operating on its own terms. For the backbone of the Danish corporate sector and for retail clients who value professional advice we are a bank for most people but not the same bank for everyone. Good old-fashioned attentiveness, new technology – we use what works. We know our customers and we are close to them providing advice tailored to their individual needs. Backed by the best business partners our competitive strength is increased. Our bank – excellence and relationships create value.

Sydbank

Our bank makes 3 promises – to our customers, to our employees and to our shareholders. You will know us for the value we create for our customers. You will know us for our belief that excellent and committed employees are our most important asset. And you will know us for always having a level of profitability that will enable us to remain an independent and resourceful bank. Sydbank – what can we do for you?

Financial Review – Performance in H1 2024

The Sydbank Group has recorded a profit before tax of DKK 2,156m compared to DKK 1,995m in 2023. Profit before tax equals a return of 29.8% p.a. on average equity.

Profit for the period after tax represents DKK 1,624m compared with DKK 1,492m in 2023, equal to a return of 22.4% p.a. on average equity.

Profit for H1 2024 exceeds expectations at the beginning of the year.

The financial statements are characterised by the following:

A rise in core income of DKK 257m, equal to 8%
A drop in trading income of DKK 33m
A rise in costs (core earnings) of DKK 59m
Impairment charges for loans and advances represent an expense of DKK 24m
A rise in core earnings of DKK 125m to DKK 2,116m
Investment portfolio earnings of DKK 36m
Non-recurring items etc represent an income of DKK 4m
Bank loans and advances of DKK 79.2bn (yearend 2023: DKK 74.5bn)
Bank deposits of DKK 111.6bn (year-end 2023: DKK 111.7bn)
A CET1 ratio of 17.7% (year-end 2023: 18.9%)
An individual solvency need of 10.2% (year-end 2023: 10.2%)

Income statement – H1 (DKKm)	2024	2023
Core income	3,646	3,389
Trading income	153	186
Total income	3,799	3,575
Costs, core earnings	1,659	1,600
Core earnings before impairment	2,140	1,975
Impairment of loans and advances etc	24	(16)
Core earnings	2,116	1,991
Investment portfolio earnings	36	30
Profit before non-recurring items	2,152	2,021
Non-recurring items, net	4	(26)
Profit before tax	2,156	1,995
Tax	532	503
Profit for the period	1,624	1,492

Core income

Total core income has risen by DKK 257m or 8% to DKK 3,646m. The increase is primarily a result of higher net interest income.

Net interest income has gone up by DKK 155m to DKK 2,257m. The increase is attributable to the effects of a higher interest rate level as well as a rise in bank loans and advances and deposits.

Net income from the cooperation with Totalkredit represents DKK 217m (2023: DKK 200m) after a setoff of loss of DKK 4m (2023: DKK 3m).

The cooperation with DLR Kredit has generated an income of DKK 62m (2023: DKK 67m). Total mortgage credit income represents DKK 279m – an increase of DKK 11m compared to 2023. The increase is predominantly attributable to funded mortgage-like loans where income has reached a normal level as the announced interest rate increases in 2023 have taken effect.

The remaining income components have risen by DKK 91m – an increase of 9% compared with the same period in 2023.

Core income – H1 (DKKm)	2024	2023
Net interest etc	2,257	2,102
Mortgage credit	279	268
Payment services	147	122
Remortgaging and loan fees	84	93
Commission and brokerage	244	242
Commission etc investment funds and
pooled pension plans	157	152
Asset management	209	172
Custody account fees	53	48
Other operating income	216	190
Total	3,646	3,389

Trading income

Trading income represents DKK 153m against DKK 186m in the same period in 2023. Trading income is considered satisfactory.

Costs and depreciation

The Group's costs and depreciation total DKK 1,684m – an increase of DKK 54m compared to the same period in 2023.

Costs and depreciation – H1 (DKKm)	2024	2023
Staff costs	959	938
Other administrative expenses	650	613
Amortisation/depreciation and impairment of intangible assets and
property, plant and equipment	58	62
Other operating expenses	17	17
Total	1,684	1,630
Distributed as follows:
Costs, core earnings	1,659	1,600
Costs, investment portfolio earnings	4	4
Non-recurring costs	21	26

Costs (core earnings) represent DKK 1,659m against DKK 1,600m in the same period in 2023.

At 30 June 2024 the Group's staff numbered 2,015 (full-time equivalent) compared to 2,053 at 30 June 2023 and 2,029 at 31 December 2023.

Compared to year-end 2023 the number of branches is unchanged and is 54 in Denmark and 3 in Germany at end-June 2024.

Core earnings before impairment of loans and advances

Core earnings before impairment charges for loans and advances represent DKK 2,140m – an increase of DKK 165m or 8% compared to the same period in 2023.

Impairment of loans and advances etc

Impairment charges for loans and advances represent an expense of DKK 24m compared with an income of DKK 16m in the same period in 2023.

At 30 June 2024 the Group maintained its management estimate of DKK 500m to hedge macroeconomic uncertainty. The management estimate represents DKK 400m as regards corporate clients and DKK 100m as regards retail clients.

The management estimate as regards macroeconomic risks covers potential losses related to the negative effects of geopolitical tension, a higher interest rate environment as well as the risk of a recession etc.

The chart below shows impairment charges for loans and advances in the last 4 quarters as regards

agriculture etc, trade, real estate, other industries as well as retail clients.

At 30 June 2024 accumulated impairment and provisions amounted to DKK 1,893m (year-end 2023: DKK 1,899m).

In H1 2024 reported losses amounted to DKK 51m (H1 2023: DKK 29m). Of the reported losses DKK 47m has previously been written down (H1 2023: DKK 23m).

At 30 June 2024 the impairment ratio for the period represented 0.02% relative to bank loans and advances and guarantees.

Impairment charges are made for expected credit losses as regards all financial assets measured at amortised cost and similar provisions are made for expected credit losses as regards undrawn credit commitments and financial guarantees. Impairment charges for expected credit losses depend on whether the credit risk of a financial asset has increased significantly since initial recognition and follow a 3 stage model. The portfolio in stage 3 acquired from Alm. Brand Bank is recognised under "credit impaired at initial recognition":

Stage 1 – facilities with no significant increase in credit risk. The asset is written down by an amount equal to the expected credit loss as a result of the probability of default over the coming 12 months.

Stage 2 – facilities with a significant increase in credit risk. The asset is transferred to stage 2 and is written down by an amount equal to the expected credit loss over the life of the asset.

Stage 3 – facilities where the financial asset is in default or is otherwise credit impaired.

Credit impaired at initial recognition (POCI) – facilities which were credit impaired at the time of

acquisition of Alm. Brand Bank. They are recognised on acquisition at the fair value of the debt acquired.

The Group's loans and advances and impairment charges at 30 June 2024 allocated to these stages are shown below.

Loans/advances and impairment charges – 30 Jun 2024
(DKKm)	Stage 1	Stage 2	Stage 3	POCI	Total
Loans/ advances before impairment
charges Impairment	71,078	8,710	1,048	92	80,928
charges	369	714	659		1,742
Total loans/ advances	70,709	7,996	389	92	79,186

30 Jun 2024	Stage 1	Stage 2	Stage 3	POCI	Total
Impairment charges as % of bank loans/ advances Share of bank loans/ advances	0.5	8.2	62.9	-	2.2
before impairment charges (%) Share of bank loans/	87.8	10.8	1.3	0.1	100
advances after impairment charges (%)	89.3	10.1	0.5	0.1	100

Credit impaired bank loans and advances – stage 3 – represent 1.3% (year-end 2023: 1.5%) of total bank loans and advances before impairment charges and 0.5% (year-end 2023: 0.6%) of total bank loans and advances after impairment charges.

Credit impaired bank loans and advances acquired from Alm. Brand Bank – credit impaired at initial recognition – amount to 0.1% of total bank loans and advances before impairment charges and 0.1% of total bank loans and advances after impairment charges.

Impairment charges concerning credit impaired bank loans and advances as a percentage of credit impaired bank loans and advances at 30 June 2024 stand at 62.9% (year-end 2023: 61.1%).

Core earnings

Core earnings for H1 2024 represent DKK 2,116m – an increase of DKK 125m compared with the same period in 2023.

Investment portfolio earnings

Together the Group's position-taking and liquidity handling generated earnings of DKK 36m in H1 2024 compared to earnings of DKK 30m a year ago.

Investment portfolio earnings – H1 (DKKm)	2024	2023
Position-taking	(3)	(7)
Liquidity generation and liquidity reserves	47	45
Strategic positions	(4)	(4)
Costs	(4)	(4)
Total	36	30

The interest rate risk was positive at end-H1 2024 and consequently the Group would suffer a loss in the event of interest rate increases. In terms of the Group's bond portfolios – including cash resources – the interest rate risk is considered to be modest.

Non-recurring items, net

Non-recurring items represent an income of DKK 4m compared to an expense of DKK 26m in H1 2023.

In Q1 2024 DKK 25m was recognised as income in connection with Fynske Bank becoming an associate at end-Q1 2024. Thus far the shareholding was recognised at the share price. At 31 March 2024 the shares were recognised at Sydbank's share of the equity value.

In H1 2024 costs related to the housing loan processes and the development of the bank/insurance partnership represented DKK 21m.

Profit for the period

Profit before tax for H1 2024 amounts to DKK 2,156m compared with DKK 1,995m in 2023. Tax represents DKK 532m, equal to an effective tax rate of 24.7%. Profit for the period amounts to DKK 1,624m compared with DKK 1,492m in H1 2023.

Return

Return on shareholders' equity after tax constitutes 22.4% against 22.0% in H1 2023.

Earnings per share stands at DKK 29.5 compared with DKK 26.0 in 2023.

Subsidiaries

Profit after tax of the subsidiaries represents DKK 28m (H1 2023: DKK 58m).

Group – Q2 2024 compared with Q1 2024

The Group's profit before tax for the quarter represents DKK 1,018m (Q1 2024: DKK 1,138m).

Compared to Q1 2024 profit before tax reflects:

A decline in core income of DKK 52m

A decrease in trading income of DKK 25m
A drop in costs (core earnings) of DKK 3m
Impairment charges for loans and advances: an expense of DKK 16m (Q1: expense of DKK 8m)
Investment portfolio earnings of DKK 12m (Q1: DKK 24m)

Quarterly results (DKKm)	Q2 2024	Q1 2024	Q4 2023	Q3 2023	Q2 2023	Q1 2023
Core income	1,797	1,849	1,844	1,838	1,754	1,635
Trading income	64	89	35	54	69	117
Total income	1,861	1,938	1,879	1,892	1,823	1,752
Costs, core earnings	828	831	801	735	803	797
Core earnings before impairment	1,033	1,107	1,078	1,157	1,020	955
Impairment of loans and advances etc	16	8	(6)	(5)	(6)	(10)
Core earnings	1,017	1,099	1,084	1,162	1,026	965
Investment portfolio earnings	12	24	30	28	1	29
Profit before non-recurring items	1,029	1,123	1,114	1,190	1,027	994
Non-recurring items, net	(11)	15	(7)	(11)	(12)	(14)
Profit before tax	1,018	1,138	1,107	1,179	1,015	980
Tax	255	277	174	262	257	246
Profit for the period	763	861	933	917	758	734

Total assets

At 30 June 2024 the Group's total assets made up DKK 191.3bn (year-end 2023: DKK 185.1bn).

Assets (DKKbn)	30 Jun 2024	31 Dec 2023
Amounts owed by credit institutions etc	22.5	24.8
Loans and advances at fair value (reverse transactions) Loans and advances at amortised cost	14.8	16.7
(bank loans and advances)	79.2	74.5
Securities and holdings etc	41.1	37.8
Assets related to pooled plans	25.4	22.9
Other assets etc	8.3	8.4
Total	191.3	185.1

The Group's bank loans and advances totalled DKK 79.2bn at 30 June 2024. Compared to year-end 2023 this is an increase of DKK 4.7bn.

Equity and liabilities (DKKbn)	30 Jun 2024	31 Dec 2023
Amounts owed to credit institutions etc	6.1	6.4
Deposits and other debt	111.6	111.7
Deposits in pooled plans	25.4	22.9
Bonds issued	14.9	11.2
Other liabilities etc	15.9	15.9
Provisions	0.2	0.2
Subordinated capital	1.9	1.1
Equity	15.3	15.7
Total	191.3	185.1

The Group's deposits make up DKK 111.6bn – a decline of DKK 0.1bn compared to year-end 2023.

Equity

At 30 June 2024 shareholders' equity constituted DKK 14,500m – a decrease of DKK 450m since the beginning of the year. The change comprises additions from comprehensive income for the period of DKK 1,657m, net purchases of own shares etc of DKK 421m as well as dividend paid of DKK 1,686m.

Capital

The Bank announced a new share buyback programme of DKK 1,200m on 28 February 2024. The share buyback is made as part of the adjustment to optimise the capital structure in accordance with the Bank's capital targets and capital policy. The share buyback programme was initiated on 4 March 2024 and will be completed by 31 January 2025.

At 30 June 2024 shares totalling DKK 435m had been repurchased.

On 25 January 2024 the Group issued T2 capital of NOK 650m and SEK 550m.

On 31 May 2024 the Group issued SNP loans – in the form of Green Bonds – totalling EUR 500m. The Group has undertaken to allocate the proceeds from the bonds to finance loans that contribute to mitigating the environmental impact. The issue constitutes the natural refinancing of existing SNP loans with optional redemption in September 2024.

In addition the Group will look into the possibilities of issuing T2 capital of up to EUR 100m. The issue will constitute the natural financing of existing T2 capital.

Risk exposure amount

The risk exposure amount represents DKK 63.3bn (year-end 2023: DKK 61.9bn). The increase in credit risk is mainly attributable to a rise in corporate lending.

REA (DKKbn)	30 Jun 2024	31 Dec 2023
Credit risk	40.6	39.2
Market risk	5.7	6.0
Operational risk	10.3	10.3
Other exposures, incl CVA	6.7	6.4
Total	63.3	61.9

Retail

The development in the gross exposure by rating category at 31 December 2023, 31 March 2024 and 30 June 2024 is illustrated below.

Gross exposure by rating category – retail

The gross exposure consists of loans and advances, undrawn credit commitments, interest receivable. guarantees and counterparty risk on derivatives. The graph comprises exposures treated according to A-IRB. Exposures relating to customers in default are not included in the breakdown of rating categories. Impairment charges for exposures have not been deducted from the exposure.

The gross exposure by rating category shows that a large share continues to be in the 4 best rating categories.

Corporate

The development in the gross exposure by rating category at 31 December 2023, 31 March 2024 and 30 June 2024 is illustrated below.

The gross exposure by rating category shows that a large share continues to be in the 4 best rating categories.

Solvency

Solvency (DKKm)	30 Jun 2024	31 Dec 2023
REA	63,261	61,896
CET1 capital	11,202	11,671
T1 capital	11,948	12,416
Total capital	13,378	13,056
CET1 ratio	17.7	18.9
T1 capital ratio	18.9	20.1
Capital ratio	21.1	21.1

At 30 June 2024 the CET1 ratio and the capital ratio stood at 17.7% and 21.1% respectively compared to 18.9% and 21.1% respectively at year-end 2023.

The development in the capital ratio in H1 2024 is shown below.

In H1 2024 the capital ratio was unchanged at 21.1pp, which is attributable to the inclusion of half of profit for the period as well as the issue of T2 capital of NOK 650m and SEK 550m set off against the effect of the initiated share buyback programme of DKK 1,200m as well as an increase in the risk exposure amount.

ss exposure by rating category – corporate

At 30 June 2024 the individual solvency need represented 10.2% (31 December 2023: 10.2%).

Solvency of the parent

At 30 June 2024 the CET1 ratio and the capital ratio of the parent stood at 17.7% and 21.1% respectively (31 December 2023: 18.3% and 20.4% respectively).

Capital and solvency and capital requirements

The Group's capital management is anchored in the Internal Capital Adequacy Assessment Process (ICAAP), a review conducted to identify risks and determine the individual solvency need.

At end-June 2024 the individual solvency need represented 10.2%. The solvency need consists of a minimum capital requirement of 8% under Pillar I and a capital add-on under Pillar II. Approximately 56% of the solvency need must be covered by CET1 capital, equal to 5.9% of the risk exposure amount.

In addition to the solvency need the Group must meet a combined buffer requirement of 6.0% at 30 June 2024.

Capital and solvency and capital requirements (% of REA)	30 Jun 2024	31 Dec 2023
Capital and solvency
CET1 ratio	17.7	18.9
T1 capital ratio	18.9	20.1
Capital ratio	21.1	21.1
Capital requirements (incl buffers)*
Total capital requirement	16.2	16.0
CET1 capital requirement	11.7	11.5
- of which sector-specific systemic buffer	0.2	-
- of which SIFI buffer	1.0	1.0
- of which capital conservation buffer	2.5	2.5
- of which countercyclical buffer**	2.3	2.3
Excess capital
CET1 capital	6.0	7.4
Total capital	4.9	5.1

* The total capital requirement consists of an individual solvency need and a combined buffer requirement. The countercyclical buffer is determined by the Danish Ministry of Industry, Business and Financial Affairs and may not exceed 2.5%. The rate currently makes up 2.5%.

** The countercyclical buffer is calculated as an exposure weighted average of the specific rates as regards the countries in which the companies to which exposures have been granted are domiciled. The rate as regards exposures to companies domiciled in Denmark constitutes 2.5%.

Market risk

At 30 June 2024 the Group's interest rate risk represented DKK 94m. The Group's exchange rate risk continues to be very low and its equity position modest.

Funding and liquidity

The guidelines for calculating the Liquidity Coverage Ratio (LCR) specify a run-off of exposures while taking into account counterparties, funding size, hedging and maturity. Consequently the most stable deposits are favoured relative to large deposits, in particular from businesses and financial counterparties.

The Group's LCR constituted 240% at 30 June 2024 (31 December 2023: 223%).

LCR (DKKbn)	30 Jun 2024	31 Dec 2023	30 Jun 2023
Total liquidity buffer	60.6	57.7	53.0
Net cash outflows	25.2	25.9	23.4
LCR (%)	240	223	227

The Group meets the LCR requirement of 100% and its excess cover is significant at 30 June 2024.

NSFR

The guidelines for calculating the Net Stable Funding Ratio (NSFR) require that the available stable funding exceeds the required stable funding. The required stable funding is calculated on the basis of the balance sheet values and degree of stability of assets where the strictest requirements in terms of degree of stability are imposed on long-term illiquid assets. The available stable funding is calculated on the basis of

the balance sheet values and degree of stability of the funding where the highest degrees of stability apply to equity and long-term funding.

The Group's NSFR constituted 141% at 30 June 2024 (year-end 2023: 140%).

NSFR (DKKbn)	30 Jun 2024	31 Dec 2023	30 Jun 2023
Required stable funding	95.8	90.8	89.6
Available stable funding	135.3	126.9	118.9
NSFR (%)	141	140	133

The Group meets the NSFR requirement of 100% and its excess cover is significant at 30 June 2024.

Rating

Moody's most recent rating of Sydbank:

 Outlook:	Positive
 Long-term deposit:	A1
 Baseline Credit Assessment:	Baa1
 Senior unsecured:	A1
 Short-term deposit:	P-1

Supervisory Diamond

The Supervisory Diamond sets up a number of benchmarks to indicate banking activities that initially should be regarded as involving a higher risk. Any breach of the Supervisory Diamond is subject to reactions by the Danish FSA.

At 30 June 2024 the Group as well as the parent comply with all the benchmarks of the Supervisory Diamond.

Supervisory Diamond benchmarks	30 Jun 2024	31 Dec 2023	30 Jun 2023
Sum of 20 largest exposures < 175%	111	137	142
Lending growth < 20% annually	6	1	1
Commercial property exposure < 25%	11	10	9
Excess liquidity coverage > 100%	246	241	234

The calculation of the sum of the 20 largest exposures has been changed and is now identical to the definitions of CRR. The change in calculation method is the main reason why the benchmark has dropped from 137 at year-end 2023 to 111 at 30 June 2024.

Subordinated debt and MREL requirements

Once a year the Danish FSA sets requirements as to subordinated debt and own funds and eligible liabilities (MREL) for Danish institutions, including Sydbank.

At 1 January 2024 the subordinated debt and MREL requirements were set at 26.4% and 24.1% respectively of the risk exposure amount.

The subordinated debt requirement can be calculated as follows:

	DKKm
	63,261
26.4	16,701
	13,378
	14,895
44.7	28,272
18.3	11,572
	Requirement (%)

At 30 June 2024 the Group met the subordinated debt requirement with an excess cover of DKK 11,572m. The excess cover corresponds to an increase in the solvency need of 9.1pp or an increase in the risk exposure amount of DKK 43,831m.

The MREL can be calculated as follows:

MREL at 30 Jun 2024	Requirement (%)	DKKm
REA		63,261
Total requirement	24.1	15,246
Total capital		13,378
SNP loans with maturities
exceeding 1 year		14,895
Cover of combined buffer
requirement		(3,799)
Total MREL	38.7	24,474
Excess cover	14.6	9,228

At 30 June 2024 the Group met the MREL with an excess cover of DKK 9,228m. The excess cover corresponds to an increase in the solvency need of 7.3pp or an increase in the risk exposure amount of DKK 38,287m.

Leverage ratio

The CRR2 Regulation stipulates that T1 capital must constitute at least 3% of total exposures.

The Group's leverage ratio constituted 6.1% at 30 June 2024 (year-end 2023: 6.5%) taking into account the transitional rules.

SIFI

Sydbank has been designated as a SIFI in Denmark and there is an additional buffer requirement of 1% as regards CET1 capital. The intention is to bring Danish SIFI capital requirements on a par with the requirements in other comparable European countries.

Bank Recovery and Resolution Directive

The directive, including the bail-in provisions, was implemented in Danish law on 1 June 2015. According to legislation each credit institution must meet a minimum requirement for own funds and eligible liabilities (MREL).

The general resolution principle for SIFIs is that it should be possible to restructure them and send them back to the market with adequate capitalisation to ensure market confidence. The Group's MREL is based on the risk exposure amount using a factor which has been set at the sum of twice the solvency need plus the combined capital buffer requirement, excluding the countercyclical buffer.

The establishment of a resolution fund is underway. Credit institutions must make contributions to the fund according to their relative size and risk in Denmark. The resolution fund must be established and have assets at its disposal equal to at least 1% of the covered deposits of all Danish credit institutions by 31 December 2024.

The Group's contribution to the resolution fund for 2024 is expected to represent DKK 34m.

Basel IV

Since the Basel Committee on Banking Supervision published its recommendations regarding changes to the calculation of capital requirements – Basel IV – in 2017, the EU has worked on implementing these changes into CRR (regulation) or CRD (directive).

Some of the recommended changes have already been implemented and the remainder were adopted at end-May 2024 to take effect on 1 January 2025. Implementation will take place over a protracted period and with significant transitional rules.

However the part of the FRTB regulation covering market risk has been postponed to 1 January 2026. The Group expects a limited impact on its capital requirements.

Sector-specific systemic buffer

On 30 June 2024 the government activated the sector-specific systemic buffer for exposures to real estate companies at a rate of 7% of the exposures' risk-weighted assets.

The buffer applies to exposures to real estate companies, ie under activity code "Development of building projects" as well as "Real estate" whereas exposures to "Social housing associations" and "Cooperative housing societies" under activity code "Real estate" are exempt.

As a result the Bank will be subject to a sector-specific systemic risk buffer of approx 0.2% in addition to the regulatory capital requirements.

Income Statement

		Sydbank Group		Sydbank A/S
		H1	H1	H1	H1
DKKm	Note	2024	2023	2024	2023

Interest income calculated using the effective interest method		2,637	2,246	2,642	2,250
Other interest income		860	507	860	507
Interest income	2	3,497	2,753	3,502	2,757
Interest expense	3	1,296	626	1,312	672
Net interest income		2,201	2,127	2,190	2,085
Dividends on shares		105	20	128	31
Fee and commission income	4	1,312	1,198	1,237	1,137
Fee and commission expense	4	147	128	129	118
Net interest and fee income		3,471	3,217	3,426	3,135
Market value adjustments	5	345	374	392	385
Other operating income		12	13	13	14
Staff costs and administrative expenses	6	1,608	1,550	1,574	1,520
Amortisation/depreciation and impairment of intangible
assets and property, plant and equipment		58	62	57	61
Other operating expenses	8	17	17	17	17
Impairment of loans and advances etc	9	24	(16)	24	(16)
Profit/(Loss) on holdings in associates and subsidiaries	10	35	4	59	59
Profit before tax		2,156	1,995	2,218	2,011
Tax	11	532	503	542	505
Profit for the period		1,624	1,492	1,676	1,506

Distribution of profit for the period
Shareholders of Sydbank A/S		1,601	1,470	1,657	1,487
Holders of AT1 capital		19	19	19	19
Minority shareholders		4	3	-	-
Total amount to be allocated		1,624	1,492	1,676	1,506
Interest paid to holders of AT1 capital		19	19	19	19
Minority shareholders		4	3	-	-
Transfer to equity		1,601	1,470	1,657	1,487
Total amount allocated		1,624	1,492	1,676	1,506

EPS Basic for the period (DKK) *
EPS Diluted for the period (DKK) *		29.5	26.0	30.6	26.3
Dividend per share (DKK)		29.5	26.0	30.6	26.3
* Calculated on the basis of average number of shares outstanding, see page 20.
Statement of Comprehensive Income
Profit for the period		1,624	1,492	1,676	1,506

Other comprehensive income
Items that may not be reclassified to the income statement:
Property revaluations		-	-	-	-
Value adjustment of certain strategic shares		56	17	-	-
Other comprehensive income after tax		56	17	-	-
Comprehensive income for the period		1,680	1,509	1,676	1,506

Balance Sheet

			Sydbank Group	Sydbank A/S
		30 Jun	31 Dec	30 Jun	31 Dec
DKKm	Note	2024	2023	2024	2023

Assets
Cash and balances on demand at central banks		1,113	6,523	1,113	6,523
Amounts owed by credit institutions and central banks	12	21,384	18,262	21,384	18,262
Loans and advances at fair value		14,825	16,743	14,825	16,743
Loans and advances at amortised cost	13	79,186	74,535	79,633	75,019
Bonds at fair value		37,748	34,619	37,748	34,619
Shares etc		2,894	3,018	2,894	3,018
Holdings in associates etc		415	164	415	164
Holdings in subsidiaries etc		-	-	177	2,295
Assets related to pooled plans		25,407	22,903	25,407	22,903
Intangible assets		319	329	319	328
Owner-occupied property		1,092	1,095	868	870
Owner-occupied property (leasing)		92	107	92	107
Total land and buildings		1,184	1,202	960	977
Other property, plant and equipment		51	60	51	59
Current tax assets		-	88	-	103
Deferred tax assets		94	94	94	94
Other assets	14	6,560	6,478	6,093	6,023
Prepayments		70	83	70	83
Total assets		191,250	185,101	191,183	187,213

Equity and liabilities
Amounts owed to credit institutions and central banks	15	6,071	6,395	6,071	6,395
Deposits and other debt	16	111,635	111,651	111,804	113,926
Deposits in pooled plans		25,407	22,903	25,407	22,903
Bonds issued at amortised cost		14,895	11,161	14,895	11,161
Current tax liabilities		341	38	322	38
Other liabilities	17	15,528	15,906	15,348	15,782
Deferred income		18	15	18	15
Total liabilities		173,895	168,069	173,865	170,220

Provisions	18	157	166	157	166
Subordinated capital	19	1,902	1,118	1,902	1,118
Equity:
Share capital		546	565	546	565
Revaluation reserves		134	134	134	134
Other reserves:
Reserves according to articles of association		429	429	429	429
Reserve for net revaluation according to equity method		3	3	3	3
Retained earnings		13,388	12,133	13,388	12,133
Proposed dividend etc		-	1,686	-	1,686
Shareholders of Sydbank A/S		14,500	14,950	14,500	14,950
Holders of AT1 capital		759	759	759	759
Minority shareholders		37	39	-	-
Total equity		15,296	15,748	15,259	15,709
Total equity and liabilities		191,250	185,101	191,183	187,213

Financial Highlights – Quarterly

						Sydbank Group
	Q2	Q1	Q4	Q3	Q2	Q1
	2024	2024	2023	2023	2023	2023

Income statement (DKKm)
Core income	1,797	1,849	1,844	1,838	1,754	1,635
Trading income	64	89	35	54	69	117
Total income	1,861	1,938	1,879	1,892	1,823	1,752
Costs, core earnings	828	831	801	735	803	797
Core earnings before impairment	1,033	1,107	1,078	1,157	1,020	955
Impairment of loans and advances etc	16	8	(6)	(5)	(6)	(10)
Core earnings	1,017	1,099	1,084	1,162	1,026	965
Investment portfolio earnings	12	24	30	28	1	29
Profit before non-recurring items	1,029	1,123	1,114	1,190	1,027	994
Non-recurring items, net	(11)	15	(7)	(11)	(12)	(14)
Profit before tax	1,018	1,138	1,107	1,179	1,015	980
Tax	255	277	174	262	257	246
Profit for the period	763	861	933	917	758	734

Balance sheet highlights (DKKbn)
Loans and advances at amortised cost Loans and advances at fair value	79.2 14.8	77.9 16.0	74.5 16.7	72.1 10.9	74.6 9.7	75.1 9.9
Deposits and other debt	111.6	109.2	111.7	106.8	102.7	101.5
Bonds issued at amortised cost	14.9	11.2	11.2	13.2	13.2	13.2
Subordinated capital	1.9	1.9	1.1	1.1	1.1	1.1
AT1 capital	0.8	0.7	0.8	0.8	0.8	0.7
Shareholders' equity	14.5	14.1	14.9	14.3	13.7	13.0
Total assets	191.3	183.9	185.1	181.0	179.3	174.5
Financial ratios per share (DKK per share of DKK 10)
EPS	14.0	15.5	16.8	16.1	13.2	12.8
Share price at end of period	369.0	356.8	293.6	336.2	315.2	308.8
Book value	271.5	258.9	273.9	257.8	242.7	229.4
Share price/book value	1.36	1.38	1.07	1.30	1.30	1.35
Average number of shares outstanding (in millions)	53.9	54.5	55.1	56.1	56.5	56.5
Dividend per share	-	-	30.56	-	-	-
Other financial ratios and key figures
CET1 ratio	17.7	17.4	18.9	18.5	18.7	18.2
T1 capital ratio	18.9	18.7	20.1	19.7	20.0	19.4
Capital ratio	21.1	21.0	21.1	20.8	21.0	20.5
Pre-tax profit as % p.a. of average equity Post-tax profit as % p.a. of average equity	28.2 21.1	31.0 23.4	30.0 25.2	33.3 25.8	30.1 22.4	29.6 22.1
Costs (core earnings) as % of total income	44.5	42.9	42.6	38.8	44.0	45.5
Return on assets (%)	0.4	0.5	0.5	0.5	0.4	0.4
Interest rate risk	0.8	0.5	0.5	0.6	1.0	0.6
Foreign exchange position	1.3	3.4	0.7	1.3	1.8	5.4
Foreign exchange risk	0.0	0.0	0.0	0.0	0.0	0.0
Liquidity, LCR (%)	240	220	223	249	227	195
Loans and advances relative to deposits	0.6	0.6	0.6	0.6	0.6	0.6
Loans and advances relative to equity	5.5	5.5	5.0	5.0	5.4	5.8
Growth in loans and advances during the period	1.7	4.5	0.8	(3.4)	(0.7)	1.6
Total large exposures Accumulated impairment ratio	111 2.0	119 2.0	137 2.1	144 2.2	142 2.1	144 2.1
Impairment ratio for the period	0.02	0.01	(0.01)	(0.01)	(0.01)	(0.01)
Number of full-time staff at end of period	2,015	2,026	2,029	2,048	2,053	2,062

					Sydbank Group
	H1	H1	H1	H1	H1
	2024	2023	2022	2021	2020
Income statement (DKKm)
Core income	3,646	3,389	2,399	2,193	1,829
Trading income	153	186	116	141	116
Total income	3,799	3,575	2,515	2,334	1,945
Costs, core earnings	1,659	1,600	1,574	1,647	1,418
Core earnings before impairment	2,140	1,975	941	687	527
Impairment of loans and advances etc	24	(16)	(84)	(206)	42
Core earnings	2,116	1,991	1,025	893	485
Investment portfolio earnings	36	30	(91)	(19)	(33)
Profit before non-recurring items	2,152	2,021	934	874	452
Non-recurring items, net	4	(26)	25	(49)	(37)
Profit before tax	2,156	1,995	959	825	415
Tax	532	503	211	180	91
Profit for the period	1,624	1,492	748	645	324
Balance sheet highlights (DKKbn)
Loans and advances at amortised cost	79.2	74.6	74.2	61.4	55.5
Loans and advances at fair value	14.8	9.7	12.9	20.3	19.1
Deposits and other debt	111.6	102.7	100.2	98.1	84.2
Bonds issued at amortised cost	14.9	13.2	9.6	9.6	7.4
Subordinated capital	1.9	1.1	1.1	1.9	1.9
AT1 capital	0.8	0.8	0.8	0.8	0.8
Shareholders' equity Total assets	14.5 191.3	13.7 179.3	12.2 169.1	12.2 169.8	11.2 150.4

Financial ratios per share (DKK per share of DKK 10)
EPS Share price at end of period	29.5 369.0	26.0 315.2	12.5 217.2	10.4 193.1	5.1 123.0
Book value	271.5	242.7	212.3	205.1	190.2
Share price/book value	1.36	1.30	1.02	0.94	0.65
Average number of shares outstanding (in millions)	54.2	56.5	58.2	59.3	59.1
Dividend per share	-	-	-	-	-

Other financial ratios and key figures
CET1 ratio	17.7	18.7	16.6	17.7	20.2
T1 capital ratio Capital ratio	18.9 21.1	20.0 21.0	17.8 19.1	19.1 22.5	22.0 25.9
Pre-tax profit as % p.a. of average equity	29.8	29.6	15.3	13.4	7.1
Post-tax profit as % p.a. of average equity	22.4	22.0	11.9	10.4	5.4
Costs (core earnings) as % of total income	43.7	44.8	62.6	70.6	72.9
Return on assets (%)	0.9	0.8	0.4	0.4	0.2
Interest rate risk	0.8	1.0	1.4	1.7	0.9
Foreign exchange position	1.3	1.8	3.3	1.2	1.3
Foreign exchange risk	0.0	0.0	0.0	0.0	0.0
Liquidity, LCR (%) Loans and advances relative to deposits	240 0.6	227 0.6	170 0.6	235 0.5	232 0.6
Loans and advances relative to equity	5.5	5.4	6.1	5.0	5.1
Growth in loans and advances during the period	6.2	0.9	10.7	1.9	(8.3)
Total large exposures	111	142	154	141	152
Accumulated impairment ratio	2.0	2.1	2.0	2.4	3.0
Impairment ratio for the period	0.02	(0.02)	(0.09)	(0.24)	0.06
Number of full-time staff at end of period	2,015	2,053	2,017	2,126	1,979

Statement of Changes in Equity

										Sydbank Group
			Reserves	Reserve for			Share
		Revalu	acc to articles of	net revaluation		Proposed	holders of		Minority
	Share	ation	asso	acc to equity	Retained	dividend	Sydbank	AT1	share	Total
DKKm	capital	reserves	ciation*	method	earnings	etc	A/S	capital**	holders	equity

Equity at 1 Jan 2024	565	134	429	3	12,133	1,686	14,950	759	39	15,748
Profit for the period					1,601		1,601	19	4	1,624
Other comprehensive income					56		56			56
Comprehensive income for the
period	-	-	-	-	1,657	-	1,657	19	4	1,680

Transactions with owners
Purchase of own shares					(1,112)		(1,112)			(1,112)
Sale of own shares					686		686			686
Reduction in share capital	(19)				19		-			-
Interest paid on AT1 capital							-	(20)		(20)
Exchange rate adjustment					(1)		(1)	1		-
Dividend etc paid						(1,686)	(1,686)		(6)	(1,692)
Dividend, own shares					6		6			6
Total transactions with owners	(19)	-	-	-	(402)	(1,686)	(2,107)	(19)	(6)	(2,132)
Equity at 30 Jun 2024	546	134	429	3	13,388	-	14,500	759	37	15,296

Equity at 1 Jan 2023	584	144	425	2	11,071	959	13,185	757	39	13,981

Profit for the period					1,470		1,470	19	3	1,492
Other comprehensive income					17		17			17
Comprehensive income for the
period	-	-	-	-	1,487	-	1,487	19	3	1,509
Transactions with owners
Purchase of own shares					(590)		(590)			(590)
Sale of own shares					587		587			587
Reduction in share capital	(19)				19		-			-
Interest paid on AT1 capital							-	(20)		(20)
Exchange rate adjustment					(2)		(2)	2		-
Dividend paid						(959)	(959)		(6)	(965)
Dividend, own shares					0		0			0
Total transactions with owners	(19)	-	-	-	14	(959)	(964)	(18)	(6)	(988)
Equity at 30 Jun 2023	565	144	425	2	12,572	-	13,708	758	36	14,502

* Reserves according to the articles of association equal the undistributable savings bank reserve in accordance with Article 4 of the Articles of Association.

** AT1 capital has no maturity date. Payment of interest and repayment of principal are voluntary. Therefore AT1 capital is accounted for as equity. In May 2018 Sydbank issued EUR 100m with optional redemption on 28 August 2025. The issue carries interest at the Mid-Swap Rate + a margin of 4.62%, a total of 5.25%. Under the issue the loan will be written down if the CET1 ratio of Sydbank A/S or the Sydbank Group drops below 7%.

The Sydbank share	30 Jun 2024	31 Dec 2023	30 Jun2023

Share capital (DKK)	545,884,200	565,003,200	565,003,200
Shares issued (number)	54,588,420	56,500,320	56,500,320
Shares outstanding at end of period (number)	53,416,890	54,582,651	56,484,452
Average number of shares outstanding (number)	54,206,077	56,032,491	56,492,149

The Bank has only one class of shares as all shares carry the same rights.

Capital Statement

			Sydbank Group
	30 Jun	31 Dec	30 Jun
DKKm	2024	2023	2023

Solvency
CET1 ratio	17.7	18.9	18.7
T1 capital ratio	18.9	20.1	20.0
Capital ratio	21.1	21.1	21.0
Total capital
Equity, shareholders of Sydbank A/S	14,500	14,950	13,708
Not included share of profit for the period	(810)	-	(764)
Capital deduction – prudent valuation	(77)	(82)	(73)
Actual or contingent obligations to purchase own shares	(797)	(9)	(6)
Proposed dividend	-	(1,686)	-
Intangible assets and capitalised deferred tax assets	(258)	(267)	(285)
Significant investments in the financial sector	(1,289)	(1,189)	(1,212)
Insufficient coverage for non-performing exposures	(67)	(46)	(17)
CET1 capital	11,202	11,671	11,351
AT1 capital – equity	745	745	745
T1 capital	11,947	12,416	12,096
T2 capital	1,343	559	558
Instruments in entities in the financial sector in which the institution has
significant investments	(146)	(146)	(154)
Difference between expected losses and impairment for accounting purposes	234	227	235
Total capital	13,378	13,056	12,735

Credit risk*	40,568	39,187	41,134
Market risk	5,755	6,047	5,482
Operational risk	10,250	10,250	8,137
Other exposures, incl CVA	6,688	6,412	5,870
REA	63,261	61,896	60,623

Pillar I capital requirement	5,061	4,952	4,850

* Credit risk
Corporate clients, IRB	30,848	29,002	33,449
Retail clients, IRB	8,225	8,740	5,784
Corporate clients, STD	222	340	319
Retail clients, STD	403	503	617
Credit institutions etc	870	602	965
Total	40,568	39,187	41,134

Cash Flow Statement

	Sydbank Group
	H1	Full year	H1
DKKm	2024	2023	2023

Operating activities
Pre-tax profit for the period	2,156	4,281	1,995
Taxes paid	(155)	(528)	(95)

Adjustment for non-cash operating items: Profit/(Loss) on holdings in associates	32	0	0
Amortisation and depreciation of intangible assets and property, plant and
equipment	58	139	62
Impairment of loans and advances/guarantees	24	(27)	(16)
Other non-cash operating items	(9)	(116)	(24)

Changes in working capital:
Credit institutions and central banks	(3,485)	4,523	2,703
Trading portfolio	(3,306)	(4,132)	(289)
Other financial instruments at fair value	(199)	120	(79)
Loans and advances	(2,758)	(6,827)	90
Deposits	(15)	4,149	(4,801)
Other assets/liabilities	(198)	288	1,662
Cash flows from operating activities	(7,855)	1,870	1,208

Investing activities
Purchase of holdings in associates	(3)	-	-
Sale of holdings in associates	-	3	2
Purchase of equity investments	(6)	(134)	(127)
Sale of equity investments	28	245	239
Purchase/sale of intangible assets	(2)	-	(2)
Purchase of property, plant and equipment	(23)	(92)	(18)
Sale of property, plant and equipment	4	2	0
Cash flows from investing activities	(2)	24	94

Financing activities
Purchase and sale of own holdings	(426)	(600)	(3)
Dividend etc	(1,680)	(959)	(959)
Raising of subordinated capital Issue of bonds	783 3,731	- 3,727	- -
Redemption of bonds	-	(5,758)	-

Cash flows from financing activities	2,408	(3,590)	(962)
Cash flows for the period	(5,449)	(1,696)	340

Cash and cash equivalents at 1 Jan	6,904	8,600	8,600
Cash flows for the period	(5,449)	(1,696)	340
Cash and cash equivalents at end of period	1,455	6,904	8,940

Cash and cash equivalents at end of period
Cash and balances on demand at central banks	1,113	6,523	8,543
Fully secured cash and cash equivalent balances on demand with
credit institutions and insurance companies	342	381	397
Cash and cash equivalents at end of period	1,455	6,904	8,940

Segment Reporting etc

						Sydbank Group
DKKm	Banking	Asset Management	Sydbank Markets	Treasury	Other	Total

Operating segments
H1 2024
Core income	3,379	210	57	-	-	3,646
Trading income	-	-	153	-	-	153
Total income	3,379	210	210	-	-	3,799
Costs, core earnings	1,454	70	95	-	40	1,659
Impairment of loans and advances etc	24	-	-	-	-	24
Core earnings	1,901	140	115	-	(40)	2,116
Investment portfolio earnings	(4)	-	-	40	-	36
Profit before non-recurring items	1,897	140	115	40	(40)	2,152
Non-recurring items, net	4	-	-	-	-	4
Profit before tax	1,901	140	115	40	(40)	2,156

H1 2023
Core income	3,157	172	60	-	-	3,389
Trading income	-	-	186	-	-	186
Total income	3,157	172	246	-	-	3,575
Costs, core earnings	1,390	64	110	-	36	1,600
Impairment of loans and advances etc	(16)	-	-	-	-	(16)
Core earnings	1,783	108	136	-	(36)	1,991
Investment portfolio earnings	(4)	-	-	34	-	30
Profit before non-recurring items	1,779	108	136	34	(36)	2,021
Non-recurring items, net	(26)	-	-	-	-	(26)
Profit before tax	1,753	108	136	34	(36)	1,995

Operating segments

The Group's segment statements are divided into the following business units: Banking, Asset Management, Sydbank Markets, Treasury and Other.

Banking serves all types of retail and corporate clients.

Asset Management primarily comprises the Bank's advisory-related income from customers and investment funds.

Sydbank Markets comprises trading income as well as a share of the income from customers with decentral affiliation calculated on the basis of its market price. The share represents the payment by Banking for Sydbank Markets' facilities, including advisory services and administration.

Treasury comprises the Group's return on positions handled by Treasury, including liquidity allocation.

Other includes non-recurring items, costs to the Group Executive Management etc as well as return on strategic shareholdings that are not allocated to Banking or Sydbank Markets.

Inter-segment transactions are settled on an arm's length basis. Centrally incurred costs are allocated to the business units in accordance with their estimated proportionate share of overall activities.

Excess liquidity is settled primarily at short-term money market rates whereas other balances are settled on an arm's length basis.

Segment Reporting etc

								Sydbank Group
DKKm	Core income	Trading income	Costs, core earnings	Impair ment of loans/ advances etc	Core earn ings	Invest ment port folio earn ings	Non recurring items, net	Profit before tax
Correlation between the Group's performance measures and the income statement according to IFRS
H1 2024
Net interest and fee income	3,425	61			3,486	(15)		3,471
Market value adjustments	174	91		0	265	55	25	345
Other operating income	12				12			12
Income	3,611	153	-	0	3,763	40	25	3,828
Staff costs and administrative
expenses Amortisation, depreciation and			(1,583)		(1,583)	(4)	(21)	(1,608)
impairment of intangible assets
and property, plant and equipment			(58)		(58)			(58)
Other operating expenses			(17)		(17)			(17)
Impairment of loans and advances etc Profit/(Loss) on holdings in				(24)	(24)			(24)
associates and subsidiaries	35				35			35
Profit before tax	3,646	153	(1,659)	(24)	2,116	36	4	2,156
H1 2023
Net interest and fee income	3,127	248			3,375	(158)		3,217
Market value adjustments	245	(62)		0	183	192		374
Other operating income	13				13			13
Income Staff costs and administrative	3,385	186	-	0	3,571	34	-	3,604
expenses Amortisation, depreciation and impairment of intangible assets and property, plant and equipment			(1,521) (62)		(1,521) (62)	(4)	(26)	(1,550) (62)

Other operating expenses			(17)		(17)			(17)
Impairment of loans and advances etc Profit/(Loss) on holdings in				16	16			16
associates and subsidiaries	4				4			4
Profit before tax	3,389	186	(1,600)	16	1,991	30	(26)	1,995

The Sydbank Group's internal reporting is not made on the basis of products and services. Reference is made to notes 2, 3 and 4 for the distribution of net interest income as well as fee income.

Note 1

Accounting policies

The interim report covers the period from 1 January to 30 June 2024 and is prepared in compliance with IAS 34 "Interim Financial Reporting" as adopted by the EU and in compliance with Danish disclosure requirements for interim reports of listed financial companies. As a result of the use of IAS 34, the presentation is less complete compared with the presentation of an annual report and the recognition and measurement principles are in compliance with IFRS.

The accounting policies are consistent with those adopted in the 2023 Annual Report, to which reference is made.

The 2023 Annual Report provides a comprehensive description of the accounting policies applied.

Accounting estimates and judgements

The measurement of certain assets and liabilities requires that management makes accounting estimates as to how future events will affect the value of such assets, liabilities, income and costs. Actual results may deviate from such estimates.

The significant estimates made by management in the use of the Group's accounting policies and the inherent considerable uncertainty of such estimates used in the preparation of the interim report are identical to those used in the preparation of the 2023 Annual Report.

Impairment of loans and advances and provisions for guarantees and undrawn credit commitments are made to take into account the expected losses on conclusion as well as any credit impairment after initial recognition. The determination of impairment charges for expected losses is subject to a number of estimates, including which loans and advances or portfolios of loans and advances are subject to credit impairment as well as calculation of expected losses.

Assessing the degree of credit impairment of exposures involves a number of estimates which may be subject to uncertainty.

To a large extent the determination of expected losses at exposure level is based on risk registrations, models and past experience but it also involves a number of estimates of risks and expected developments in the individual exposure, including the future ability to pay and the value of collateral which in particular comprises mortgages on property. During periods of uncertain economic trends or significant demographic or structural changes uncertainty is greater. This is reflected in the need for management adjustments that by their nature are subject to uncertainty.

The Group's models to calculate impairment of exposures in stages 1 and 2 include expectations as to economic developments. The outlook is based on estimates of the probability of different outcomes of economic growth.

The outlook results in a determination of the probability of the scenarios baseline, upturn and downturn. At 30 June 2024 the probability of the downturn scenario was fixed at 95%, which is unchanged compared with 31 December 2023.

Impairment of exposures in stage 3 and the weak part of stage 2 is based on individual assessments which include expectations of future changes in collateral value etc.

Note 1 – continued

In addition to the calculated impairment charges, management estimates whether there is a need for special impairment charges as regards exposed industries, customer segments or other elements that are estimated as having not yet been reflected in the Bank's registrations.

The Group's significant risks and the external elements which may affect the Group are described in greater detail in the 2023 Annual Report.

		Sydbank Group	Sydbank A/S
	H1	H1	H1	H1
DKKm	2024	2023	2024	2023

Note 2
Interest income calculated using the effective interest method
Amounts owed by credit institutions and central banks	444	367	444	367
Loans and advances and other amounts owed	2,193	1,876	2,198	1,880
Other interest income	0	3	0	3
Total	2,637	2,246	2,642	2,250
Other interest income
Reverse transactions with credit institutions and central banks	49	36	49	36
Reverse loans and advances	306	130	306	130
Bonds	482	280	482	280
Total derivatives	23	61	23	61
comprising:
Foreign exchange contracts	32	30	32	30
Interest rate contracts	(9)	31	(9)	31
Total	860	507	860	507
Total interest income	3,497	2,753	3,502	2,757
Fair value, designated at initial recognition	355	166	355	166
Fair value, held for trading	505	341	505	341
Assets recognised at amortised cost	2,637	2,246	2,642	2,250
Total	3,497	2,753	3,502	2,757

The Group's cash resources primarily comprise Danish mortgage bonds. The interest rate risk concerning these positions is reduced via derivatives. As a result the Group's external income statement is affected in terms of interest income and the market value adjustment of bonds and derivatives. The same applies to the Group's position-taking as regards bonds as well as shares. The breakdown by income statement item does not disclose income independently and consequently these items must be regarded as one as they are in "Segment Reporting" as well as in the Group's financial review, which also takes funding of the positions into account.

		Sydbank Group		Sydbank A/S
	H1	H1	H1	H1
DKKm	2024	2023	2024	2023

Note 3
Interest expense
Repo transactions with credit institutions and central banks	51	37	51	37
Amounts owed to credit institutions and central banks	38	22	38	22
Repo deposits	44	18	44	18
Deposits and other debt	899	359	915	405
Bonds issued	211	168	211	168
Subordinated capital	51	21	51	21
Other interest expense	2	1	2	1
Total	1,296	626	1,312	672

Fair value, designated at initial recognition	95	55	95	55
Liabilities recognised at amortised cost	1,201	571	1,217	617
Total	1,296	626	1,312	672

Note 4
Fee and commission income
Securities trading and custody accounts	409	387	334	326
Advisory fee, asset management	215	175	215	175
Payment services	196	175	196	175
Loan fees	96	104	96	104
Guarantee commission	82	89	82	89
Income concerning funded mortgage-like loans	12	(7)	12	(7)
Other fees and commission	302	275	302	275
Total fee and commission income	1,312	1,198	1,237	1,137

Fee expense, asset management	5	3	5	3
Other fee and commission expense	142	125	124	115
Total fee and commission expense	147	128	129	118
Net fee and commission income	1,165	1,070	1,108	1,019

Except for guarantee commission recognised according to IFRS 9, fee and commission income is recognised according to IFRS 15. The set-off of loss concerning arranged mortgage loans represented DKK 4m in H1 2024 (H1 2023: DKK 3m) and has been deducted from commission received which is included under other fees and commission.

		Sydbank Group	Sydbank A/S
	H1	H1	H1	H1
DKKm	2024	2023	2024	2023

Note 5
Market value adjustments
Other loans and advances and amounts owed at fair value	13	18	13	18
Bonds	103	133	103	133
Shares etc	52	116	99	127
Foreign exchange	145	135	145	135
Derivatives	32	(27)	32	(27)
Assets related to pooled plans	1,634	813	1,634	813
Deposits in pooled plans	(1,634)	(813)	(1,634)	(813)
Other assets/liabilities	0	(1)	0	(1)
Total	345	374	392	385

Note 6
Staff costs and administrative expenses
Salaries and remuneration:
Group Executive Management	12	10	12	10
Board of Directors	4	4	4	4
Shareholders' Committee	2	2	2	2
Total	18	16	18	16
Staff costs:
Wages and salaries	750	741	727	719
Pensions	79	77	77	75
Social security contributions	4	4	4	4
Payroll tax	107	100	104	97
Total	940	922	912	895

Other administrative expenses:
IT	405	386	399	382
Rent etc	50	45	55	51
Marketing and entertainment expenses	54	38	49	32
Other costs	141	143	141	144
Total	650	612	644	609
Total	1,608	1,550	1,574	1,520

Note 7

Staff
Average number of staff (full-time equivalent) 2,048	2,082	1,981	2,014

	Sydbank Group	Sydbank A/S
	H1	H1	H1	H1
DKKm	2024	2023	2024	2023


Note 8
Other operating expenses
Contribution to the resolution fund	17	16	17	16
Other expenses	0	1	0	1
Total	17	17	17	17

Note 9

Impairment of loans and advances recognised in the income statement
Impairment and provisions	58	44	58	44
Write-offs	4	6	4	6
Recovered from debt previously written off	38	66	38	66
Impairment of loans and advances etc	24	(16)	24	(16)

Impairment and provisions at end of period (allowance account)
Stage 1	129	128	129	128
Stage 2	642	674	642	674
Stage 3	622	666	963	889
Management estimates	500	500	500	500
Impairment and provisions at end of period	1,893	1,968	2,234	2,191
Impairment and provisions
Impairment and provisions at 1 Jan	1,899	1,929	2,195	2,152
New impairment charges and provisions during the period, net	41	62	86	62
Impairment charges previously recorded, now finally written off	47	23	47	23
Impairment and provisions at end of period	1,893	1,968	2,234	2,191

Impairment charges for loans and advances	1,742	1,805	2,083	2,028
Provisions for undrawn credit commitments	64	62	64	62
Provisions for guarantees	87	101	87	101
Impairment and provisions at end of period	1,893	1,968	2,234	2,191

Loans and advances recognised as a loss for the period constitute DKK 51m. As regards loans and advances recognised as a loss for the period a legal claim of DKK 34m has been upheld. As regards loans and advances recognised as a loss a legal claim of DKK 35m has been upheld at year-end 2023.

							Sydbank Group
		Loans/advances		Impairment	loans/advances etc	Impairment charges for		Losses
		and guarantees		and provisions		for the period		for the period
DKKm	30 Jun 2024	31 Dec 2023	30 Jun 2024	31 Dec 2023	H1 2024	H1 2023	H1 2024	H1 2023

Note 9 – continued
Loans and advances and guarantees as well as impairment of loans and advances etc by industry
Building and construction	4,476	4,387	130	146	4	30	24	5
Energy supply	5,130	5,181	18	16	3	(3)	0	0
Real estate	10,319	8,821	54	59	(3)	(20)	0	0
Finance and insurance	9,971	8,855	158	127	32	3	4	0
Trade	18,124	17,155	488	488	33	60	3	3
Hotels and restaurants	424	391	67	67	(1)	5	2	1
Manufacturing and extraction of raw
materials	9,396	8,769	284	246	38	27	2	1
Information and communication	461	473	30	32	(2)	2	0	0
Agriculture, hunting, forestry and fisheries	3,724	4,004	152	189	(39)	(55)	5	11
Transportation	2,612	2,694	26	25	0	(2)	0	0
Other industries	10,925	10,525	140	143	(4)	2	1	3
Total corporate	75,562	71,255	1,547	1,538	61	49	41	24
Public authorities	38	36
Retail	21,020	20,503	346	361	(37)	(65)	10	5
Total	96,620	91,794	1,893	1,899	24	(16)	51	29
Building and construction
Completion of building projects	631	630	27	3	22	(1)	0	0
Building and construction activities	1,932	1,812	79	111	(9)	31	24	5
Construction of buildings	780	890	22	30	(9)	2	0	0
Other building and construction	1,133	1,055	2	2	0	(2)	0	0
Total	4,476	4,387	130	146	4	30	24	5

Real estate
Non-profit housing associations	5,657	4,328	3	2	1	(2)	0	0
Leasing of commercial property	2,647	2,555	34	38	(3)	(2)	0	0
Leasing of residential property	740	789	6	5	1	3	0	0
Other related to real estate	1,275	1,149	11	14	(2)	(19)	0	0
Total	10,319	8,821	54	59	(3)	(20)	0	0

Finance and insurance
Holding companies	5,861	5,123	108	82	24	4	0	0
Financing companies	4,110	3,732	50	45	8	(1)	4	0
Total	9,971	8,855	158	127	32	3	4	0

								Sydbank Group
						Impairment
						charges for
		Loans/advances		Impairment	loans/advances etc			Losses
		and guarantees		and provisions		for the period		for the period
DKKm	30 Jun 2024	31 Dec 2023	30 Jun 2024	31 Dec 2023	H1 2024	H1 2023	H1 2024	H1 2023
Note 9 – continued
Loans and advances and guarantees as well as impairment of loans and advances etc by industry
Trade
Retail	1,936	1,842	39	52	(12)	2	0	1
Trade, passenger cars and motorcycles	3,175	3,188	67	70	(6)	14	0	0
Wholesale, other machinery	2,082	1,808	31	30	2	0	2	0
Wholesale, food, beverages and tobacco	2,261	1,982	41	39	1	14	0	0
Wholesale, household durables	3,851	3,579	235	210	18	17	0	2
Wholesale, agricultural raw materials and
live animals	1,297	1,405	30	34	(4)	(2)	0	0
Other specialised wholesale	2,395	2,237	28	30	37	14	0	0
Other trade	1,127	1,114	17	23	(3)	1	1	0
Total	18,124	17,155	488	488	33	60	3	3
Manufacturing and extraction of raw materials
Extraction of raw materials	185	213	2	2	(1)	(1)	0	0
Manufacture of textiles and clothing	870	772	10	7	3	(1)	0	0
Manufacture and repair of machinery and
equipment	1,735	1,635	32	32	(1)	2	0	0
Manufacture of food products	2,380	1,920	70	59	11	5	2	1
Manufacture of fabricated metal products, excl machinery and equipment	1,351	1,356	71	69	3	5	0	0
Other manufacturing	2,875	2,873	99	77	23	17	0	0
Total	9,396	8,769	284	246	38	27	2	1

Agriculture, hunting, forestry and fisheries
Pig farming	609	729	17	24	(7)	(11)	0	0
Cattle farming	975	1,134	54	59	(3)	(23)	1	0
Crop production	1,227	1,213	35	53	(21)	(38)	4	1
Other agriculture	913	928	46	53	(8)	17	0	10
Total	3,724	4,004	152	189	(39)	(55)	5	11
Transportation
Land transport	972	1,029	14	16	(3)	(3)	0	0
Water transport	416	438	0	0	0	0	0	0
Air transport	268	268	6	3	3	0	0	0
Other transportation	956	959	6	6	0	1	0	0
Total	2,612	2,694	26	25	0	(2)	0	0
Other industries
Rental and leasing activities	4,651	4,319	24	23	1	0	0	0
Activities of head offices	1,825	2,022	7	13	(4)	1	0	0
Liberal professions	1,570	1,471	43	39	7	5	2	2
Other industries	2,879	2,713	66	68	(8)	(4)	(1)	1
Total	10,925	10,525	140	143	(4)	2	1	3

	Sydbank Group	Sydbank A/S
	H1	H1	H1	H1
DKKm	2024	2023	2024	2023

Note 10
Profit/(Loss) on holdings in associates and subsidiaries
Profit/(Loss) on holdings in associates etc	35	4	35	4
Profit/(Loss) on holdings in subsidiaries etc	-	-	24	55
Total	35	4	59	59
Note 11
Effective tax rate
Current tax rate of Sydbank	26.0	25.2	26.0	25.2
Permanent differences	(1.3)	0.1	(1.4)	0.0
Adjustment of prior year tax charges	0.0	(0.1)	0.0	(0.1)
Effective tax rate	24.7	25.2	24.6	25.1

		Sydbank Group		Sydbank A/S
	30 Jun	31 Dec	30 Jun	31 Dec
DKKm	2024	2023	2024	2023

Note 12

Amounts owed by credit institutions and central banks
Amounts owed at notice by central banks	17,998	14,006	17,998	14,006
Amounts owed by credit institutions	3,386	4,256	3,386	4,256
Total	21,384	18,262	21,384	18,262
Of which reverse transactions	2,398	3,874	2,398	3,874

						Sydbank Group
				Credit impaired at	30 Jun	31 Dec
				initial	2024	2023
DKKm	Stage 1	Stage 2	Stage 3	recognition	Total	Total

Note 13
Loans and advances, guarantees and allowance account by stage
Loans and advances before impairment charges	71,078	8,710	1,048	92	80,928	76,273
Guarantees	14,949	638	105		15,692	15,521
Total loans and advances and guarantees	86,027	9,348	1,153	92	96,620	91,794
%	89.0	9.7	1.2	0.1	100.0	100.0

Impairment charges for loans and advances	369	714	659		1,742	1,738
Provisions for undrawn credit commitments	18	24	22		64	67
Provisions for guarantees	9	33	45		87	94
Total allowance account	396	771	726	-	1,893	1,899

Allowance account at 1 Jan	400	740	759		1,899	1,929
New impairment charges and provisions during the
period, net Impairment charges previously recorded, now	(4)	31	14		41	19
finally written off			47		47	49
Total allowance account at end of period	396	771	726	-	1,893	1,899

Impairment charges as % of loans and advances	0.5	8.2	62.9		2.2	2.3
Provisions as % of guarantees	0.1	5.2	42.9		0.6	0.6
Allowance account as % of loans and advances and
guarantees	0.5	8.2	63.0		2.0	2.1
Loans and advances before impairment charges	71,078	8,710	1,048	92	80,928	76,273
Impairment charges for loans and advances	369	714	659		1,742	1,738
Loans and advances after impairment charges	70,709	7,996	389	92	79,186	74,535
%	89.3	10.1	0.5	0.1	100.0	100.0

					Sydbank Group
DKKm	Stage 1	Stage 2	Stage 3	Credit impaired at initial recognition	30 Jun 2024 Total	31 Dec 2023 Total

Note 13 – continued
Loans and advances before impairment charges
Rating category
1	13,300	2			13,302	11,981
2	23,734	1			23,735	22,097
3	10,397	1			10,398	10,751
4	15,848	1,489			17,337	14,931
5	5,850	2,318			8,168	8,482
6	919	1,175			2,094	2,159
7	81	1,905			1,986	1,843
8	6	426			432	380
9		1,393			1,393	1,258
Default			1,048		1,048	1,138
NR/STD	943			92	1,035	1,253
Total	71,078	8,710	1,048	92	80,928	76,273

Impairment of loans and advances
Rating category
1	3				3	2
2	18				18	17
3	80				80	80

Total	369	714	659	1,742	1,738
NR/STD	10			10	18
Default			659	659	695
9		474		474	427
8	1	44		45	43
7	16	86		102	101
6	63	41		104	107
5	85	47		132	142
4	93	22		115	106
3	80			80	80

Loans and advances after impairment charges

Rating category
1	13,297	2			13,299	11,979
2	23,716	1			23,717	22,080
3	10,317	1			10,318	10,671
4	15,755	1,467			17,222	14,825
5	5,765	2,271			8,036	8,340
6	856	1,134			1,990	2,052
7	65	1,819			1,884	1,742
8	5	382			387	337
9		919			919	831
Default			389		389	443
NR/STD	933			92	1,025	1,235
Total	70,709	7,996	389	92	79,186	74,535

						Sydbank Group
				Credit impaired at	30 Jun	31 Dec
				initial	2024	2023
DKKm	Stage 1	Stage 2	Stage 3	recognition	Total	Total

Note 13 – continued

Loans and advances before impairment charges
1 Jan	66,698	8,325	1,138	112	76,273	75,673
Transfers between stages
Transfers to stage 1	1,696	(1,681)	(15)		-	-
Transfers to stage 2	(2,836)	2,904	(68)		-	-
Transfers to stage 3	(19)	(138)	157		-	-
New exposures	10,581	414	82		11,077	16,825
Final repayments	(6,434)	(813)	(132)		(7,379)	(14,551)
Changes in balances	1,392	(301)	(63)	(20)	1,008	(1,596)
Write-offs			(51)		(51)	(78)
End of period	71,078	8,710	1,048	92	80,928	76,273

Impairment of loans and advances
1 Jan	368	675	695	-	1,738	1,740

Transfers between stages
Transfers to stage 1	69	(67)	(2)		-	-
Transfers to stage 2	(35)	71	(36)		-	-
Transfers to stage 3	0	(41)	41		-	-
New exposures	67	43	48		158	196
Final repayments	(36)	(70)	(37)		(143)	(257)
Changes in balances	(64)	103	(3)		36	108
Write-offs			(47)		(47)	(49)
End of period	369	714	659	-	1,742	1,738

Loans and advances after impairment charges
1 Jan	66,330	7,650	443	112	74,535	73,933
Transfers between stages
Transfers to stage 1	1,627	(1,614)	(13)		-	-
Transfers to stage 2	(2,801)	2,833	(32)		-	-
Transfers to stage 3	(19)	(97)	116		-	-

New exposures	10,514	371	34		10,919	16,629
Final repayments	(6,398)	(743)	(95)		(7,236)	(14,294)
Changes in balances	1,456	(404)	(60)	(20)	972	(1,704)
Write-offs			(4)		(4)	(29)
End of period	70,709	7,996	389	92	79,186	74,535

	Sydbank Group		Sydbank A/S
	30 Jun	31 Dec	30 Jun	31 Dec
DKKm	2024	2023	2024	2023

Note 14
Other assets
Positive market value of derivatives etc	4,365	4,718	4,365	4,718
Sundry debtors	1,021	730	554	275
Interest and commission receivable	446	406	446	406
Cash collateral provided, CSA agreements	590	623	590	623
Other assets	138	1	138	1
Total	6,560	6,478	6,093	6,023

Note 15
Amounts owed to credit institutions and central banks
Amounts owed to central banks	3	10	3	10
Amounts owed to credit institutions	6,068	6,385	6,068	6,385
Total	6,071	6,395	6,071	6,395
Of which repo transactions	2,549	3,485	2,549	3,485
Note 16
Deposits and other debt
On demand	82,872	83,910	83,041	86,185
At notice	64	78	64	78
Time deposits	24,672	23,558	24,672	23,558
Special categories of deposits	4,027	4,105	4,027	4,105
Total	111,635	111,651	111,804	113,926
Of which repo transactions	1,809	3,299	1,809	3,299
Note 17

Other liabilities
Negative market value of derivatives etc	4,114	4,588	4,114	4,588
Sundry creditors	5,277	4,719	5,097	4,595
Negative portfolio, reverse transactions	4,917	5,950	4,917	5,950
Interest and commission etc	580	224	580	224
Cash collateral received, CSA agreements	640	425	640	425
Total	15,528	15,906	15,348	15,782

	Sydbank Group			Sydbank A/S
	30 Jun	31 Dec	30 Jun	31 Dec
DKKm	2024	2023	2024	2023

Note 18
Provisions
Provisions for pensions and similar obligations	2	2	2	2
Provisions for guarantees	87	94	87	94
Other provisions	68	70	68	70
Total	157	166	157	166

Note 19

Subordinated capital

Interest rate	Note	Nominal (m)	Maturity
5.685 (floating)	1) Bond loan	EUR 75	2 Nov 2029	559	559	559	559
3.000 (floating)	2) Bond loan	EUR 75	Perpetual	559	559	559	559
7.780 (floating)	3) Bond loan	NOK 650	25 Apr 2034	424	-	424	-
6.907 (floating)	4) Bond loan	SEK 550	25 Apr 2034	360	-	360	-
Total T2 capital				1,902	1,118	1,902	1,118
Total subordinated capital				1,902	1,118	1,902	1,118

1) Optional redemption from 2 November 2024 after which the interest rate will be fixed at 1.85% above 3M EURIBOR.

2) The interest rate follows the 10Y Mid-Swap plus a margin of 0.2%. Not included in total capital.

3) Optional redemption from 25 April 2029. The interest rate will be fixed at 3.05% above 3M NIBOR.

4) Optional redemption from 25 April 2029. The interest rate will be fixed at 3.00% above 3M STIBOR.

Costs relating to raising and redeeming subordinated capital		0	0	0	0

Note 20

Contingent liabilities and other obligating agreements Contingent liabilities Financial guarantees 7,251 5,964 7,251 5,964 Mortgage finance guarantees 2,718 3,174 2,718 3,174 Funded mortgage-like loan guarantees 648 703 648 703 Registration and remortgaging guarantees 3,236 4,073 3,236 4,073 Other contingent liabilities 1,839 1,607 1,839 1,607 Total 15,692 15,521 15,692 15,521 Other obligating agreements Irrevocable credit commitments 1,561 1,627 1,561 1,627 Other liabilities* 9 6 49 53 Total 1,570 1,633 1,610 1,680 * Of which intra-group liabilities in relation to rented premises - - 40 47

		Sydbank Group		Sydbank A/S
	30 Jun	31 Dec	30 Jun	31 Dec
DKKm	2024	2023	2024	2023

Note 20 – continued

Totalkredit loans arranged for by Sydbank are comprised by an agreed right of set-off against future current commission which Totalkredit may invoke in the event of losses on the loans arranged.

Sydbank does not expect that this set-off will have a significant impact on Sydbank's financial position.

As a result of the Bank's membership of Bankdata, the Bank is obligated to pay an exit charge in the event of exit.

As a result of the statutory participation in the deposit guarantee scheme, the industry paid an annual contribution of 2.5‰ of covered net deposits until the Banking Department's capital exceeded 1% of total covered net deposits, which was reached at yearend 2015. The Banking Department will cover the direct losses in connection with the winding-up of distressed financial institutions under Bank Package III and Bank Package IV which are attributable to covered net deposits. Any losses as a result of the final winding-up will be covered by the Guarantee Fund via the Winding-up and Restructuring Department as regards which Sydbank is currently liable for 6.1% of any losses.

As a result of the statutory participation in the resolution financing arrangement (the resolution fund), credit institutions pay an annual contribution over a 10-year period to reach a target funding level totalling 1% of covered deposits. Credit institutions must make contributions to the fund according to their relative size and risk in Denmark. In the period from 2015 to 2023 Sydbank contributed DKK 194m and expects that contributions will total approximately DKK 225m over the 10-year period.

The Group is party to legal actions. These legal actions are under continuous review and the necessary provisions made are based on an assessment of the risk of loss. Pending legal actions are not expected to have any significant impact on the financial position of the Group.

Note 21

Collateral

At 30 June 2024 the Group had deposited as collateral securities at a market value of DKK 156m with Danish and foreign exchanges and clearing centres etc in connection with margin calls and securities settlements etc. In addition the Group has provided cash collateral of DKK 590m and deposited as collateral securities at a market value of DKK 12m in connection with GMRA agreements.

In connection with repo transactions, which involve selling securities to be repurchased at a later date, the securities remain on the balance sheet and consideration received is recognised as a debt. Repo transaction securities are treated as assets provided as collateral for liabilities. Counterparties are entitled to sell the securities or deposit them as collateral for other loans.

In connection with reverse transactions, which involve purchasing securities to be resold at a later date, the Group is entitled to sell the securities or deposit them as collateral for other loans. The securities are not recognised in the balance sheet and consideration paid is recognised as a receivable.

Assets received as collateral in connection with reverse transactions may be sold to a third party. In such cases a negative portfolio may arise as a result of the accounting rules. This is recognised under "Other liabilities".

Assets sold as part of repo transactions Bonds at fair value	4,321	6,743	4,321	6,743
Assets purchased as part of reverse transactions Bonds at fair value	17,374	20,864	17,374	20,864

				Sydbank Group
	H1	H1	Index	31 Dec
DKKm	2024	2023	24/23	2023

Note 22

Related parties

Sydbank is the bank of a number of related parties. Transactions with related parties are settled on an arm's length basis.

No unusual transactions took place with related parties in H1 2024. Reference is made to the Group's 2023 Annual Report for a more detailed description of related party transactions.

Note 23

Reporting events occurring after the balance sheet date

Sydbank has acquired 100% of the share capital of Coop Bank A/S. The acquisition took effect on 1 July 2024. The purchase price represents DKK 345m.

Apart from the above no matters of significant impact on the financial position of the Sydbank Group have occurred after the expiry of the balance sheet date.

Note 24

Large shareholders

Nykredit Realkredit A/S owns more than 5% of Sydbank's share capital.

Note 25

Core income
Net interest etc	2,257	2,102	107	4,470
Mortgage credit*	279	268	104	545
Payment services	147	122	120	268
Remortgaging and loan fees	84	93	90	184
Commission and brokerage	244	242	101	467
Commission etc investment funds and pooled pension plans	157	152	103	310
Asset management	209	172	122	345
Custody account fees	53	48	110	96
Other operating income	216	190	114	386
Total	3,646	3,389	108	7,071

* Mortgage credit
Totalkredit cooperation	221	203	109	424
Totalkredit, set-off of loss	4	3	133	8
Totalkredit cooperation, net	217	200	109	416
DLR Kredit	62	67	93	128
Other mortgage credit income	0	1	0	1
Total	279	268	104	545

					Sydbank Group 30 Jun 2024
				Total
		Fair value		fair	Amortised
DKKm	FVPL	option	FVOCI	value	cost

Note 26
Fair value disclosure
Financial instruments are included in the balance sheet either at fair value or at amortised
cost.
The table below breaks down financial instruments by valuation technique.
Financial assets
Cash and balances on demand at central banks				-	1,113
Amounts owed by credit institutions and central banks	2,398			2,398	18,986
Loans and advances at fair value	14,825			14,825	-
Loans and advances at amortised cost				-	79,186
Bonds at fair value	15,527	22,221		37,748	-
Shares etc	138	2,393	363	2,894	-
Assets related to pooled plans		25,407		25,407	-
Land and buildings			1,184	1,184	-
Other assets	4,488	196		4,684	1,876
Total	37,376	50,217	1,547	89,140	101,161
Undrawn credit commitments				-	58,571
Maximum credit risk, collateral not considered	37,376	50,217	1,547	89,140	159,732

Financial liabilities
Amounts owed to credit institutions and central banks Deposits and other debt	2,549 1,809			2,549 1,809	3,522 109,826
Deposits in pooled plans		25,407		25,407	-
Bonds issued at amortised cost				-	14,895
Other liabilities	9,034			9,034	6,494
Subordinated capital				-	1,902
Total	13,392	25,407	-	38,799	136,639

					Sydbank Group 31 Dec 2023
				Total
		Fair value		fair	Amortised
DKKm	FVPL	option	FVOCI	value	cost
Note 26 – continued
Financial assets
Cash and balances on demand at central banks				-	6,523
Amounts owed by credit institutions and central banks	3,874			3,874	14,388
Loans and advances at fair value	16,743			16,743	-
Loans and advances at amortised cost				-	74,535
Bonds at fair value	13,914	20,705		34,619	-
Shares etc	94	2,378	546	3,018	-
Assets related to pooled plans		22,903		22,903	-
Land and buildings			1,202	1,202	-
Other assets	4,815	177		4,992	1,486
Total	39,440	46,163	1,748	87,351	96,932
Undrawn credit commitments				-	60,952
Maximum credit risk, collateral not considered	39,440	46,163	1,748	87,351	157,884
Financial liabilities
Amounts owed to credit institutions and central banks	3,485			3,485	2,910
Deposits and other debt	3,299			3,299	108,351
Deposits in pooled plans		22,903		22,903	-
Bonds issued at amortised cost				-	11,161
Other liabilities	10,549			10,549	5,358
Subordinated capital				-	1,118
Total	17,333	22,903	-	40,236	128,898

To take into account changes in credit risk concerning derivatives with positive fair value, an adjustment is made – CVA. CVA is a function of the risk of counterparty default (PD), the expected positive exposure and the loss ratio in the event of default. PD is determined on the basis of the Group's credit models – default probability in 12 months. PD beyond 12 months is adjusted on the basis of market data of exposures with a similar PD level. At 30 June 2024 CVA constituted DKK 16m compared to DKK 16m at year-end 2023.

Customer margins recognised in connection with derivatives are amortised over the life of the transaction. At 30 June 2024 customer margins not yet recognised as income totalled DKK 12m compared to DKK 12m at year-end 2023.

Financial instruments recognised at fair value

Measurement of financial instruments is based on quoted prices from an active market, on generally accepted valuation models with observable market data or on available data that only to a limited extent is observable market data.

Measurement of financial instruments for which prices are quoted in an active market or which is based on generally accepted valuation models with observable market data is not subject to significant estimates.

As regards financial instruments where measurement is based on available data that only to a limited extent is observable market data, measurement is subject to estimates. Such financial instruments appear from the column unobservable inputs below and include primarily unlisted shares, including shares in DLR Kredit A/S.

The fair value of unlisted shares and other holdings is calculated on the basis of available information on trades etc – including to a very significant extent on shareholders' agreements based on book value. To an insignificant extent fair value is calculated on the basis of expected cash flows.

A 10% change in the calculated market value of financial assets measured on the basis of unobservable inputs will affect profit before tax by DKK 353m (31 December 2023: DKK 354m).

					Sydbank Group
	Quoted	Observable	Unobservable	Total fair	Carrying
DKKm	prices	inputs	inputs	value	amount
Note 26 – continued
30 Jun 2024
Financial assets
Amounts owed by credit institutions and central banks		2,398		2,398	2,398
Loans and advances at fair value		14,825		14,825	14,825
Bonds at fair value		37,748		37,748	37,748
Shares etc	521	28	2,345	2,894	2,894
Assets related to pooled plans	17,998	7,409		25,407	25,407
Land and buildings			1,184	1,184	1,184
Other assets	286	4,398		4,684	4,684
Total	18,805	66,806	3,529	89,140	89,140

Financial liabilities
Amounts owed to credit institutions and central banks		2,549		2,549	2,549
Deposits and other debt		1,809		1,809	1,809
Deposits in pooled plans		25,407		25,407	25,407
Other liabilities	247	8,787		9,034	9,034
Total	247	38,552	-	38,799	38,799

31 Dec 2023
Financial assets
Amounts owed by credit institutions and central banks Loans and advances at fair value		3,874 16,743		3,874 16,743	3,874 16,743
Bonds at fair value		34,619		34,619	34,619
Shares etc	658	22	2,338	3,018	3,018
Assets related to pooled plans	16,021	6,882		22,903	22,903
Land and buildings			1,202	1,202	1,202
Other assets	272	4,720		4,992	4,992
Total	16,951	66,860	3,540	87,351	87,351
Financial liabilities
Amounts owed to credit institutions and central banks		3,485		3,485	3,485
Deposits and other debt		3,299		3,299	3,299
Deposits in pooled plans		22,903		22,903	22,903
Other liabilities	198	10,351		10,549	10,549
Total	198	40,038	-	40,236	40,236

	30 Jun	31 Dec	30 Jun
DKKm	2024	2023	2023
Assets measured on the basis of unobservable inputs
Carrying amount at 1 Jan	2,338	2,382	2,382
Additions	6	2	2
Disposals	28	245	239
Market value adjustment	29	199	94
Carrying amount at end of period	2,345	2,338	2,239
Recognised in profit for the period
Dividend	101	19	18
Market value adjustment	29	199	94
Total	130	218	112

	Sydbank Group		Sydbank A/S
	30 Jun	31 Dec	30 Jun	31 Dec
DKKm	2024	2023	2024	2023

Note 27
Leverage ratio
Leverage ratio exposures
Total assets	191,250	185,101	191,183	187,213
Of which pooled assets	(25,407)	(22,903)	(25,407)	(22,903)
Correction derivatives etc	4,183	5,161	4,183	5,161
Guarantees etc	15,692	15,521	15,692	15,521
Undrawn credit commitments etc	11,697	11,832	11,697	11,832
Other adjustments	(2,199)	(2,603)	(2,165)	(2,584)
Total	195,216	192,109	195,183	194,240

T1 capital – current (transitional rules)	11,947	12,416	11,947	12,416
T1 capital – fully loaded	11,947	12,416	11,947	12,416

Leverage ratio (%) – current (transitional rules)	6.1	6.5	6.1	6.4
Leverage ratio (%) – fully loaded	6.1	6.5	6.1	6.4

				Sydbank Group
		Share capital	Equity	Profit/(Loss)	Ownership
30 Jun 2024	Activity	(DKKm)	(DKKm)	(DKKm)	share (%)
Note 28
Group holdings and enterprises
Sydbank A/S		546
Consolidated subsidiaries
Ejendomsselskabet af 1. juni 1986 A/S,
Aabenraa	Real estate	11	35	(1)	100
Syd Administration A/S, Aabenraa Syd Fund Management A/S, Aabenraa	Invt & admin. Administration	50 100	68 111	18 11	100 67
Held for sale
Green Team Group A/S, Sønder Omme*	Wholesale	101	(15)	(26)	100
Holdings in associates
Foreningen Bankdata, Fredericia*	IT	472	465	4	31
Fynske Bank A/S, Svendborg*	Bank	76	1,359	157	20
Komplementarselskabet Core Property
Management A/S, Copenhagen*	Real estate	1	1	0	20
Core Property Management P/S,
Copenhagen*	Real estate	5	44	31	20

* Financial information according to the companies' most recently published annual reports.

Management Statement

We have reviewed and approved the Interim Report – First Half 2024 of Sydbank A/S.

The consolidated interim financial statements are prepared in accordance with the IFRS Accounting Standards as adopted by the EU, and the parent company interim financial statements are prepared in accordance with the legislative requirements, including the Danish Financial Business Act.

Furthermore the consolidated financial statements are prepared in compliance with Danish disclosure requirements for listed financial companies.

The Interim Report has not been audited or reviewed. However the Bank's external auditor has conducted a verification of profit for the period, including audit procedures consistent with the requirements as regards a review and has thus verified that the conditions for ongoing recognition of profit for the period in CET1 capital were met.

In our opinion the interim financial statements give a true and fair view of the Group's assets, equity and liabilities and financial position at 30 June 2024 and of the results of the Group's operations and cash flows for the period 1 January – 30 June 2024.

Moreover it is our opinion that the management's review includes a fair review of the developments in the Group's operations and financial position as well as a description of the most significant risks and elements of uncertainty which may affect the Group.

Aabenraa, 21 August 2024

Group Executive Management

Mark Luscombe CEO	Jørn Adam Møller	Stig Westergaard
Board of Directors
Lars Mikkelgaard-Jensen Chairman	Ellen Trane Nørby Vice-Chairman	Carsten Andersen
Henrik Hoffmann	Søren Holm	Janne Moltke-Leth
Jarl Oxlund	Gitte Poulsen	Susanne Schou
Jon Stefansson	Jørn Krogh Sørensen	Pia Wrang

Supplementary Information

Financial calendar

In 2024 and 2025 the Group's preliminary announcement of financial statements will be released as follows:
Interim Report Q1-Q3 2024 30 October 2024
Announcement of the 2024 financial statements 26 February 2025
Annual General Meeting 2025 20 March 2025
Interim Report Q1 2025 7 May 2025
Interim Report First Half 2025 27 August 2025
Interim Report Q1-Q3 2025 5 November 2025

Sydbank contacts

Jørn Adam Møller, Deputy Group Chief Executive Tel +45 74 37 20 30

Susanne Faber, Press Manager Tel +45 26 29 11 29

Address

Sydbank A/S Peberlyk 4 6200 Aabenraa, Denmark Tel +45 74 37 37 37 CVR No DK 12626509

Relevant links

sydbank.dk sydbank.com

For further information reference is made to Sydbank's 2023 Annual Report at sydbank.com

AI Terminal

Sydbank

3387_ir_2024-08-21_4c4fee25-480c-451f-9471-297772ba1773.pdf

Sydbank's Interim Report – First Half 2024

H1 2024 – highlights

Outlook for 2024

Group Financial Highlights

Highlights

Acquisition of Coop Bank A/S

Sydbank's strategy for 2022-24: "Growing our business"

Return on equity

Rate of costs

Sydbank's customers

H1 2024 performance

Bank loans and advances

Credit intermediation

Outlook for 2024

Sydbank's core story

Banking

Our bank

Sydbank

Financial Review – Performance in H1 2024

Core income

Trading income

Costs and depreciation

Core earnings before impairment of loans and advances

Impairment of loans and advances etc

Credit impaired at initial recognition (POCI) – facilities which were credit impaired at the time of

Core earnings

Investment portfolio earnings

Non-recurring items, net

Profit for the period

Return

Subsidiaries

Group – Q2 2024 compared with Q1 2024

Total assets

Equity

Capital

Risk exposure amount

Gross exposure by rating category – retail

Corporate

Solvency

Solvency of the parent

Capital and solvency and capital requirements

Market risk

Funding and liquidity

NSFR

Rating

Supervisory Diamond

Subordinated debt and MREL requirements

The MREL can be calculated as follows:

Leverage ratio

SIFI

Bank Recovery and Resolution Directive

Basel IV

Sector-specific systemic buffer

Income Statement

Balance Sheet

Financial Highlights – Quarterly

Statement of Changes in Equity

Capital Statement

Cash Flow Statement

Segment Reporting etc

Operating segments

Segment Reporting etc

Note 1

Accounting policies

Accounting estimates and judgements

Note 1 – continued

Note 7

Note 12

Loans and advances after impairment charges

Note 19

Subordinated capital

Note 20

Note 20 – continued

Note 21

Collateral

Note 22

Related parties