Just Curious

[jennyjoan]

Headlines for NI paper

Danske Bank: NI lender makes £16m pre-tax profit so far in 2021

How does a bank make profit of the above. TIA

[bednobs]

by lending money at a higher rate of interest than it pays it's creditors

[barry1010]

Danske Bank in Northern Ireland made a pre-tax profit of almost £16m on turnover of £47m in the first quarter of 2021.

The bank is one of four major lenders in Northern Ireland. They borrow a huge amount of money at 1% and let it out at 25% (figures are just for illustration), the same way any lender makes money, whether that is a bank, a pawn broker or a loan shark

[youngmafbog]

Danske Bank in Northern Ireland saw pre-tax profits fall by 86% in the 12 months to the end of December.

It reported £13m pre-tax profits in 2020, in comparison to £90m in 2019.

So it looks like, with deposits increasing, and companies starting to reinvest (and so borrow) they are just making up for the down trend last year. Looking only at a quarter returns as a pointer for a company is folly. You need to look at long term trends and resons for the highs and dips. I think we all know a big reason right now!