"Following the muted start of the year activity picked up across customer segments in the second quarter. Among the large corporate clients demand for advisory and event-driven financing increased and we saw higher demand for traditional bank lending. Financial institutions were also more active. Small and medium-sized companies in Sweden increasingly demanded new financing and the mortgage loan portfolio grew at around 3 per cent year-on-year. Business sentiment continued to be positive in the Baltic countries and lending to both private and corporate customers increased.
The higher business activity in the second quarter led to an increase in operating profit before items affecting comparability of 17 per cent. Operating profit before items affecting comparability for the first six months of the year increased by 2 per cent - in line with previous performance", says Johan Torgeby, SEB's President and CEO, commenting on the second quarter result.
Operating profit for the second quarter 2018 was SEK 10.7bn (5.3). Return on equity was 29.9 per cent (11.6) while return on equity before items affecting comparability was 16.5 per cent (11.6).
Operating income for the second quarter amounted to SEK 11.9bn (10.8). Compared to the second quarter 2017, operating income increased by 5 per cent. Operating expenses amounted to SEK 5.5bn (5.4). Compared to the second quarter 2017, operating expenses were 1 per cent higher.
Asset quality remained strong. The net expected credit loss level was 4 basis points for the quarter. The liquidity coverage ratio was 136 per cent. The Common Equity Tier 1 capital ratio was 19.3 per cent (19.4 at year-end). SEB's own assessment of the CET1 requirement was 16.7 per cent. The capital buffer above the requirement was 260 basis points.
You can download the Interim Report, Press Conference Presentation and Fact Book from https://sebgroup.com/investor-relations/reports-and-presentations/financial-reports.
| For further information, please contact |
Masih Yazdi, Finance Director, +46 771 621 000
Christoffer Geijer, Head of Investor Relations, +46 70 762 10 06
Viveka Hirdman-Ryrberg, Head of Corporate Communications, +46 70 550 35 00
| This is information that Skandinaviska Enskilda Banken AB (publ.) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 7 am CET, on 30 june 2018. |
| SEB is a leading Nordic financial services group with a strong belief that entrepreneurial minds and innovative companies are key in creating a better world. SEB takes a long term perspective and supports its customers in good times and bad. In Sweden and the Baltic countries, SEB offers financial advice and a wide range of financial services. In Denmark, Finland, Norway, Germany and the United Kingdom, the bank's operations have a strong focus on corporate and investment banking based on a full-service offering to corporate and institutional clients. The international nature of SEB's business is reflected in its presence in some 20 countries worldwide. At 30 June 2018, the Group's total assets amounted to SEK 2,818bn while its assets under management totalled SEK 1,838bn. The Group has around 15,000 employees. Read more about SEB at sebgroup.com |