NLB Group - Annual Report 2023

Nova Ljubljanska Banka d.d.

11 April 2024

 

Date: 11 April, 2024

NLB Group: Building on advantages of our home court

Pursuant to the Rules of the Ljubljana Stock Exchange relating to Article 158 of the Market Financial Instruments Act NLB d.d., Trg republike 2, 1000 Ljubljana, announces:

For the NLB Group, 2023 was truly another year to remember - one in which the Group delivered an impressive set of results, yet at the same time, continued to take responsible actions and, with its strategic focus and business decisions, laid the foundations for stable, profitable operations for years to come. All of this is reflected in the Annual and Sustainability Reports of the NLB Group, confirmed by the Supervisory Board at today's meeting.

The Annual Report describes NLB Group's business activities and performance over the past year, depicting the Group's business model resilience and strategy, as well as the macroeconomic environment that combined enabled NLB Group to reach EUR 550.7 million of net income after tax in 2023, thus further strengthening market shares across geographies, client segments, and product lines.

The Group's strong business results in 2023 translated into significant added value for our shareholders. NLB has delivered on its commitment, performing substantial dividend payments of EUR 110 million in two tranches in 2023, which was well on the path of fulfilling the ambition of achieving a total capital return through robust cash dividends in a cumulative amount of EUR 500 million between 2022 and the end of 2025. What is more, the business results of 2023 enabled us to significantly increase our future dividend payments by committing to at least a 40% pay-out ratio of the previous years' profit after tax. In 2024, this translates to EUR 220 million in dividends, representing a 100% uptick from 2023 while at the same time maintaining capacity for organic and/or M&A-driven growth.

The NLB Group Sustainability Report, on the other hand, showcases our commitment to driving positive change and sustainability across our sustainability pillars: sustainable finance, sustainable operations and contribution to society. It outlines our progress towards achieving the net zero and other ESG-related targets, together with the strategies we have adopted to tackle the pressing environmental and social challenges facing our communities.

You may find the reports, as well as updated Investor presentation on the links below:

·    NLB Group Annual Report 2023

·    NLB Group Sustainability Report 2023

·    Investor Presentation

"The most inspiring success stories are never only written by great results, unique measures, or continuous winning streaks. They also consist of stumbles, which are overcome by effort, perseverance, and resilience. Of many defeats, born in a dignified way. Of joy and satisfaction when achieving the almost impossible. And they are, above all, made up of indescribable feelings of belonging, homecoming, and warmth when experiencing this on one's home court. In NLB Group, we do business from our hearts and souls with and for our home region - and we live it every day," wrote NLB d.d. Management Board in their message to shareholders, clients, colleagues, and other stakeholders.

General Meeting of NLB d.d. to be held on Monday, 17 June

At today's meeting, the Supervisory Board also confirmed the Management Board's proposal to convene the 42^nd General Meeting of Shareholders of NLB d.d., which is planned to take place on 17 June 2024. More information will be available in the convocation.

The Supervisory Board of NLB d.d. also took note of the reports submitted by the Bank's experts and granted consent to the transactions requiring approval of the Supervisory Board of NLB d.d.

Investor Relations

NLB d.d., Ljubljana

 

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