SEB’s second quarter 2023 results

18 July 2023 07:00

SEB’s operating profit for the second quarter 2023 amounted to SEK 12.1bn, with a return on equity of 18.8 per cent, a CET1 capital ratio of 19.3 per cent, and a capital management buffer of 450 basis points.

“We report a strong result for the second quarter, driven by our corporate business. We saw sound activity among our large corporate customers, reflected in growing lending and deposit volumes and a pick-up in capital markets activity,” says Johan Torgeby, SEB’s President and CEO.

Operating profit increased by 4 per cent in the second quarter compared to the previous quarter. Both operating income and operating expenses increased. Asset quality remained robust and net expected credit losses were close to zero, despite an increase in portfolio model overlays.

“Halfway through a year characterised by an uncertain macroeconomic environment, it can be concluded that our diversified business model with broad international presence and universal offering serves us and our customers well. SEB stands strong, with liquidity buffers at historical highs and asset quality remaining solid,” says Johan Torgeby.

Income statement

	Q2	Q1		Q2		Jan-Jun			Full year
SEK m	2023	2023	%	2022	%	2023	2022	%	2022
Total operating income	20 019	19 060	5	14 390	39	39 078	29 129	34	64 478
Total operating expenses	-6 948	-6 465	7	-6 201	12	-13 414	-11 995	12	-25 044
Net expected credit losses	- 43	- 272	-84	- 399	-89	- 315	- 933	-66	-2 007
Imposed levies	- 934	- 702	33	- 556	68	-1 636	-1 138	44	-2 288
Operating profit before items affecting comparability	12 093	11 620	4	7 234	67	23 714	15 062	57	35 138
Items affecting comparability									-1 399
Operating profit	12 093	11 620	4	7 234	67	23 714	15 062	57	33 739

NET PROFIT	9 768	9 393	4	5 790	69	19 161	12 164	58	26 877


Return on equity, %	18.8	17.9		12.2		18.4	12.7		13.8
Return on equity excluding items affecting comparability, %	18.8	17.9		12.2		18.4	12.7		14.5
Basic earnings per share, SEK	4.65	4.45		2.70		9.10	5.67		12.58

Comparative figures for 2022 have been restated for the transition to IFRS 17 Insurance Contracts. See section on restated comparative figures for further information.

This disclosure contains information that SEB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 18-07-2023 07:00 CET.

Quarterly report Q2 2023

For further information, contact:
Masih Yazdi, CFO
+46 771 62 10 00

Pawel Wyszynski, Head of Investor Relations
+46 70 462 2111
pawel.wyszynski@seb.se

Niklas Magnusson, Head of Media Relations & External Communication
+46 70 763 8243
niklas.x.magnusson@seb.se

SEB is a leading northern European financial services group with international reach. We exist to positively shape the future with responsible advice and capital, today and for generations to come. By partnering with our customers, we want to be a leading catalyst in the transition to a more sustainable world. 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, we 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 our presence in more than 20 countries worldwide, with around 16,500 employees. At 30 June 2023, the Group's total assets amounted to SEK 4,172bn while assets under management totalled SEK 2,271bn. Read more about SEB at sebgroup.com.