"It was a solid result in an uneventful and seasonally slower quarter. Large corporate customers took advantage of the attractive capital market for refinancing while financial institutions continued to search for higher yield while the low volatility in the financial markets led to lower customer activity. In Sweden, the housing market has seen some healthy signs of stabilization. In the Baltic countries, both corporate and household lending was higher”, says Johan Torgeby, SEB’s President and CEO, commenting on the quarterly result.
The operating profit for the third quarter 2017 was SEK 5.4bn (5.7). Compared to the third quarter 2016, operating profit increased by 3 per cent. Return on equity was 12.1 per cent (13.2).
Operating income for the third quarter amounted to SEK 11.1bn (11.4). Compared to the third quarter 2016, operating income increased by 3 per cent. Operating expenses amounted to SEK 5.4bn (5.5). Compared to the third quarter 2016, operating expenses increased by 1 per cent.
Asset quality remained strong. The net credit loss level was 7 basis points for the quarter (6). The liquidity coverage ratio was 120 per cent (168 at year-end). The capital position improved with a Common Equity Tier 1 capital ratio of 19.2 per cent (18.8 at year-end). SEB’s own assessment of the CET1 requirement, including the maturity floor and corporate risk weights, was 17.0 per cent.