Swedish banking group, SEB reports higher than expected earningsThursday, 27 October 2011
Banking group SEB's reported operating profit of Skr3.712 billion for the third quarter of 2011. That compares with profit of Skr2.847 billion in the corresponding periods of 2010.
Analysts had, according to Reuters, on average, had expected an operating profit of Skr3.493 billion.
Net interest income fell to Skr4.143 million from Skr4.18 million. Net commission income rose to Skr3.499 million, from Skr3.387 million.
AdvertisementNet reversal of loan losses amounted to Skr33 million, compared with Skr196 million in the corresponding periods of 2010. The reversal mirror according to SEB the improved credit quality in the Baltic countries where the corresponding figures were Skr202 million, compared with 273 million a year earlier.
The bank’s CEO Annika Falkengren wrote that:
"The operating profit of 3.7 billion in the third quarter is a testament to our prudent approach as well as our relationship banking model is worthwhile. Revenues in customer deal were higher than in any previous quarter. Our customers have been active, especially in our trading business where revenue rose. The customer-driven net interest income rose 6 percent from last quarter as a result of increased demand for loans and savings products. In the first nine months, both deposits and loans increased by more than 100 billion.
We see a prolonged period of uncertainty ahead of us while our readiness to support our customers remains high. Liquidity and capital buffers have been further strengthened. In this very challenging environment, credibility as a financial partner and counterpart is invaluable. Bank operations is about always having a long term perspective on creating trust and building relationships. "
See the presentation of the result here in this attachment
By Scancomark.se Team
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