The operating profit was higher than expected.
“Swedbank delivered a strong and sustained result. Despite a troubled environment with war in Europe, unrest in the Middle East and climate change, I feel a certain confidence in the economic development,” says CEO Jens Henriksson.
The total revenues amounted to SEK 18,087 million (17,387), which was in line with the analyst consensus from Bloomberg.
Net interest amounted to SEK 12,599 million (11,936), expected SEK 12,814 million.
The net commission was SEK 3,976 million (3,660), which was expected to be SEK 3,787 million.
Net trading amounted to SEK 682 million (916).
Operating expenses amounted to SEK 6,185 million (6,410), analyst consensus was SEK 6,236 million.
“However, the number of employees has increased more than forecast due to lower staff turnover. A temporary hiring freeze has therefore been introduced, with the possibility of business-critical exceptions,” says Henriksson.
The credit losses amounted to SEK 144 million. Last year, the credit losses were SEK 777 million. Credit losses of SEK 517 million were expected.
“Our credit quality is good and we follow our careful and conservative lending process for both private and corporate customers,” says Henriksson.
Operating profit was SEK 10,654 million (9,681), expected to be SEK 10,234 million.
The net result was SEK 8,428 million (7,560).
The K/I ratio was 0.34 percent (0.37).
Return on equity was 16.9 percent (17.0).
Credit loss level was 0.03 percent (0.16).
| Income | 18,087 | 18,090 | -0.0% | 17,387 | 4.0% |
| Net interest | 12,599 | 12,814 | -1.7% | 11,936 | 5.6% |
| Commission net | 3,976 | 3,787 | 5.0% | 3,660 | 8.6% |
| Trading net | 682 | 916 | -25.5% | ||
| Operating costs | -6,185 | -6,236 | -6,410 | ||
| Credit losses | -144 | -517 | -777 | ||
| Operating results | 10,654 | 10,234 | 4.1% | 9,681 | 10.1% |
| Net result | 8,428 | 7,560 | 11.5% |
Tags: Swedbank increased operating profit expected Strong persistent
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