Jyske Bank (JYSK) Q1 2026 earnings summary

Executive summary

• Q1 2026 delivered solid results despite challenging financial markets, with EPS at DKK 17 and strong underlying business supported by high activity, disciplined cost management, and robust credit quality.

• Fee income and pension/insurance commissions showed strong momentum, now 13% of net fee and commission income.

• Strategic focus on scaling AI solutions, aiming for embedded AI at scale by 2028, and maintaining strong customer relationships.

Financial highlights

• Net profit for Q1 2026 was DKK 1,049m, with return on tangible equity at 9.0%.

• Net interest income was DKK 2,139m, down 4% year-over-year; net fee and commission income rose 5% to DKK 761m.

• Core expenses were stable at DKK 1,535m, with cost/income ratio at 51.5%.

• Value adjustments dropped sharply due to spread widening in Danish mortgage bonds and negative returns on bank shares.

• Loan impairment charges remained low at DKK 29m, supported by strong credit quality and increased post-model adjustments.

Outlook and guidance

• 2026 guidance remains unchanged, targeting EPS in the DKK 71–85 range and net profit between DKK 4.3bn–5.1bn.

• Core income expected to decline in 2026, mainly due to lower value adjustments, while core expenses are anticipated to be slightly lower.

• Loan impairment charges expected to remain low but higher than 2025.

• CET1 ratio target around 15%, with no significant regulatory impact expected.

• Consensus for full-year profit is DKK 8.8bn, with possible upside if rate hikes materialize.