Skjern Bank (SKJE) Q2 2025 earnings summary

Executive summary

• Result before tax for H1 2025 was DKK 168.7m, down 10.7% year-over-year, but considered satisfactory given interest rate declines.

• Customer growth and increased business activity led to a 5.9% rise in loans and 12.6% increase in deposits compared to H1 2024.

• The CEO transitioned at the end of June 2025, with Thomas Baun appointed as the new CEO.

• Basis result was DKK 178.1m, a 6.2% decrease year-over-year, in line with expectations.

• Cost increases were driven by staff expansion, IT, and marketing to support organic growth.

Financial highlights

• Net interest and fee income rose 2.9% to DKK 337.5m year-over-year.

• Net interest income fell by DKK 10.7m to DKK 201.2m compared to H1 2024.

• Net fee and commission income increased to DKK 111.6m from DKK 99.5m year-over-year.

• Dividend income grew to DKK 24.7m from DKK 16.4m year-over-year.

• Operating expenses rose by DKK 25.5m (18.5%) to DKK 163.2m.

Outlook and guidance

• Full-year basis result guidance maintained at DKK 290–310m; pre-tax result expected at the top of DKK 280–310m range.

• Loan growth for the full year is expected at 4–6%.

• Continued pressure on interest margins anticipated due to competition and potential rate cuts.