"In the seasonally slower third quarter, the uptick in demand for bank lending from large corporates as well as demand for advisory services continued throughout the period. On the institutional side, however, low volatility resulted in lower activity levels, impacting the performance of the Markets business. Swedish small and medium-sized companies remained active and their demand for lending and payment services increased. On the private customer side, the household mortgage book grew by 2.7 per cent year-on-year. Business sentiment remained positive in the Baltic countries and lending to both private and corporate customers increased.
Operating profit before items affecting comparability increased by 4 per cent compared to the third quarter last year and decreased by 9 per cent compared to the strong second quarter this year. Operating profit before items affecting comparability for the first nine months of the year increased by 3 per cent compared to the same period last year", says Johan Torgeby, SEB's President and CEO, commenting on the third quarter result.
Operating profit for the third quarter before items affecting comparability was SEK 5.6bn (6.2). Return on equity was 12.7 per cent (29.9) while return on equity before items affecting comparability was 13.2 per cent (16.5).
Operating income for the third quarter amounted to SEK 11.4bn (11.9). Compared to the third quarter 2017, operating income increased by 3 per cent. Operating expenses amounted to SEK 5.4bn (5.5). Compared to the third quarter 2017, operating expenses were unchanged.
Asset quality remained strong. The net expected credit loss level was 8 basis points for the quarter. The liquidity coverage ratio was 129 per cent. The Common Equity Tier 1 capital ratio was 19.7 per cent. SEB's own assessment of the CET1 requirement was 16.6 per cent. The capital buffer above the requirement was 310 basis points.
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For further information, please contact
Masih Yazdi, Finance Director, +46 771 621 000
Christoffer Geijer, Head of Investor Relations, +46 70 762 10 06
Frank Hojem, Head of Media Relations, +46 70 763 99 47
|This is information that Skandinaviska Enskilda Banken AB (publ.) is obliged to make public pursuant to the EU Market
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|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 September 2018, the Group's total assets amounted to SEK 2,777bn while its assets under management totalled SEK 1,871bn. The Group has around 15,000 employees. Read more about SEB at sebgroup.com