SBAB Bank’s CEO, Carl-Viggo Östlund, comments:
During the quarter, SBAB reported a continued solid earnings trend. Operating profit, excluding net result of financial instruments, was once again higher than in the preceding quarter. However, market-value changes of financial instruments caused an adverse impact on the overall operating result. We foresee continued strong demand for mortgages, primarily in our lending to tenant-owner associations. Lower expenses compared with the preceding quarter confirm that our increased effort to take a proactive approach to cost control is generating results.
We have long been a challenger in the mortgage market and will continue on this path under
the current expansion of our customer offering. We are at the cutting edge of developments
in mobile-phone payments and, during the past quarter, we worked on pilot tests to
guarantee the technology and security ahead of the next step. We now offer retail loans for
everyone, not just those with SBAB mortgages as was previously the case.
Our straightforward and competitive savings accounts continued to attract many new
customers during the third quarter. Backed by a market share of 21% during the first eight
months of the year, we are cementing our position as the leading company in new retail
deposits. Meanwhile, a higher share of funding through deposits enables us to achieve a
better balance between various funding sources – which is entirely in line with our overall
At SBAB, we aim to offer a banking experience that no one thought was possible and to
change the view of what a bank can be. We are doing this for the sake of our customers and
to pose a challenge to the major banks. We are here to create a new era in banking.
* For balance sheet items and information concerning capital adequacy, all comparative figures in parentheses refer to the figures at the preceding year-end.
SBAB Bank’s Interim report is available for download from: www.sbab.se/investor