The 2024 Half Year Report was also published today and is available here: www.triodos.com/reporting.
Delivering positive impact
- We announced a partnership with the Canadian pension fund Fondaction to accelerate positive change in global finance
- EUR 650 million in new loans were provided to social entrepreneurs under our five transition themes; the energy, food, resource, societal and wellbeing transitions
- Across Triodos Bank and Triodos Investment Management, 10 new project loans and investments were set up dedicated to restoring nature by absorbing CO2, delivering biodiversity and social benefits
- We published a vision paper on the resource transition calling for an urgent shift to a restorative and circular economy, and a position paper on the post-growth economy, becoming the first bank to publicly support the call for this transition
Solid net profit and return, robust capital position maintained
- Net profit increased by 3.4% to EUR 36.2 million (H1 2023: EUR 35.0 million)
- Annualised Return on Equity (RoE) of 5.6% remained within our medium-target range of 5-7% (H1 2023: 5.6%)
- Cost to Income ratio (C/I) was 76% (H1 2023: 73%), slightly above our medium-term target range of 70-75%
- Triodos Bank continues to be well capitalised, with a CET1 ratio at 17.1% (31 December 2023: 16.7%) and Total Capital Ratio at 20.7% (31 December 2023: 20.4%)
- Based on the solid financial results and balance sheet, Triodos Bank will pay an interim dividend of EUR 1.27 per Depository Receipt (DR), which represents 50% of H1 2024 net profit
Strategic and operational highlights
- We concluded that the trading of DRs on the Multilateral Trading Facility (MTF) does not provide the trading solution that DR Holders and Triodos Bank are looking for. Consequently, Triodos Bank has decided to start preparing for listing of the DRs on Euronext which, in our opinion, will provide improved accessibility and therefore a better fit with new and current investors, while our mission, values and ambition to be a frontrunner in sustainable banking will remain unchanged
- Our dialogue with DR Holders about the current and future tradability of the DRs will continue, specifically during an Extraordinary General Meeting later this year, where the intended Euronext listing will be on the agenda
- The redesign of our operating model was implemented across all countries on 1 June 2024. Our new organisational structure enables us to execute our mission more effectively and efficiently
- We saw further growth of our customer community to 748,517 customers at 30 June 2024, aligned with our aim to use money as a force for good
Jeroen Rijpkema, CEO and Chair of the Executive Board: “Our mission-based impact-driven business activities continue to inspire and engage our stakeholders. The innovative partnership we set up with Fondaction shows how we can accelerate positive change with like-minded organisations around the globe. We achieved solid financialresults in the firsthalf of 2024 with growth of our loan portfolio, funds entrusted and under management, our customer base, and net profit.Based on an extensive evaluation, we decided to prepare for a listing on Euronext after concluding that trading of DRs on the MTF does not provide the trading solution that DR Holders and Triodos Bank are looking for. Finally, the redesign of our operating model was implemented across all countries on 1 June, enabling us to execute our mission more effectively and efficiently. All in all, I’m pleased with the progress we are making, and that we are able to pay an interim dividend of EUR 1.27 per DR."
Audio webcast details
Management will host an audio webcast for investors and analysts on 22 August 2024 at 13:00 CET. Click on the link below to attend the presentation from your laptop, tablet or mobile device. Audio will stream through your selected device, so be sure to have headphones or your volume turned up.
https://channel.royalcast.com/landingpage/triodosbank/20240822_1/
A full replay of the presentation will be available at the same link shortly after the conclusion of the live presentation.
