Volume growth and stronger profits.
SBAB’s CEO, Per Anders Fasth, comments:
SBAB’s operating profit, which continued to grow stronger in the second quarter of the year, amounted to SEK 502 million. Return on equity amounted to 14.3%, exceeding the 10% target.
The lending business remained affected by strong competition in the market, but SBAB still experienced positive volume growth in the quarter. New lending to households rose, while new lending to companies and tenant-owner associations were in line with the previous quarter. SBAB’s total lending amounted to SEK 259 billion at midyear. During the period, SBAB adapted its residential mortgage product according to the Swedish Bankers’ Association’s recommendation regarding individual repayment plans, which entered into effect on 1 July.
The second quarter was also characterised by continued stable growth in deposits, which now amount to SEK 55 billion.
Early in the year, the rating agency Moody’s initiated a review of SBAB’s rating, which could have resulted in a potential downgrade. The review was finalised in June, whereupon the current long- and short-term ratings were confirmed by Moody’s.
In June, the Board of Directors made a decision on the appointment of new CEO of SBAB. I therefore welcome Klas Danielsson, who begins his new role on 14 August.
SBAB’s interim report is available for download from: www.sbab.se/investor
Per Anders Fasth, CEO
Telephone: +46 8-614 43 01
Adrian Westman, Head of Corporate Communications
Telephone: +46 735 09 04 00