COVID-19: BankNordik suspends financial guidance and seeks to cancel upcoming annual general meeting

The spreading of COVID-19 and the governmental initiatives to abate the spread of the virus will have an impact on the national economies and the financial performances of financial institutions in 2020. 

For the time being, the uncertainty regarding the duration and extent of the COVID-19 situation makes it difficult to assess the long term effects the situation will have on the Group’s various business segments and financial performance.

Against this backdrop of substantial uncertainty, BankNordik’s Board of Directors has decided to suspend the Bank’s financial guidance regarding net profit in 2020, previously expected in the range of DKK 100-150 million.

In this context, it is important to emphasise that BankNordik’s business and income excl. value adjustments have been satisfactory in the first months of 2020 and that the Bank’s capital and liquidity position is solid.

BankNordik expects to be able to provide an update on the Group’s financial guidance when releasing the interim report for Q1 2020 on 30 April 2020.

Cancellation of annual general meeting conditional on authorisation

Over the past few days, local authorities have announced ever stricter precautions and recommendations on limiting, cancelling or postponing large gatherings, assemblies and meetings.

BankNordik wishes to comply with these recommendations. On the condition that the relevant authorities give the necessary authorisations or dispensations, BankNordik’s Board of Directors has decided to cancel the upcoming annual general meeting convened for 26 March 2020.

A new annual general meeting will be convened once the above mentioned recommendations on limiting gatherings has been revoked and the COVID-19 situation has stabilised. For this new annual general meeting, the Board of Directors will re-evaluate the appropriation of profit for the 2019 financial year, taking into account factors such as the consequences of the current crisis.

 

For additional information, please contact:

Árni Ellefsen, CEO, tel. (+298) 230 348

BankNordik has banking activities in Denmark, Greenland and the Faroe Islands and insurance activities in the Faroe Islands. Founded in the Faroe Islands more than a century ago, the Group has total assets of DKK 18.2bn and 377 employees. The Bank is subject to the supervision of the Danish Financial Supervisory Authority and is listed on Nasdaq Copenhagen.