SEB’s first quarter 2023 results
SEB’s operating profit for the first quarter 2023 amounted to SEK 11.6bn, with a return on equity of 17.9 per cent, a CET1 capital ratio of 19.2 per cent, and a capital management buffer of 480 basis points.
“SEB had a good start to the year. During the first quarter, customer sentiment, activity and our results were to a large degree affected by external factors such as higher interest rates and the increased volatility in financial markets,” says Johan Torgeby, SEB’s President and CEO.
SEB’s large corporate customers remained cautious during the quarter, which was reflected in stable lending and increased deposit volumes while the demand for risk management services remained high. Financial institutions continued to focus on risk management while remaining active in the new interest rate environment. SEB’s retail customers continued to be cautious on taking on more debt, and the bank can now see an accelerating shift of deposits into its higher-yielding savings accounts.
“We believe some of the positive effects on net interest income from higher interest rates to be transitory as both corporate and household customers keep adapting to the new interest rate environment,” says Johan Torgeby.
Income statement
| Q1 | Q4 | Jan-Mar | Full year | |||||||
| SEK m | 2023 | 2022 | % | 2023 | 2022 | % | 2022 | |||
| Total operating income | 19 060 | 18 798 | 1 | 19 060 | 14 739 | 29 | 64 478 | |||
| Total operating expenses | -6 465 | -6 757 | -4 | -6 465 | -5 793 | 12 | -25 044 | |||
| Net expected credit losses | - 272 | - 506 | -46 | - 272 | - 535 | -49 | -2 007 | |||
| Imposed levies: Risk tax and resolution fees | - 702 | - 578 | 21 | - 702 | - 582 | 21 | -2 288 | |||
| Operating profit before items affecting comparability |
11 620 | 10 957 | 6 | 11 620 | 7 828 | 48 | 35 138 | |||
| Items affecting comparability | -1 399 | -100 | -1 399 | |||||||
| Operating profit | 11 620 | 9 558 | 22 | 11 620 | 7 828 | 48 | 33 739 | |||
| NET PROFIT | 9 393 | 7 402 | 27 | 9 393 | 6 374 | 47 | 26 877 | |||
| Return on equity, % | 17.9 | 14.7 | 17.9 | 13.3 | 13.8 | |||||
| Return on equity excluding items affecting comparability, % | 17.9 | 17.4 | 17.9 | 13.3 | 14.5 | |||||
| Basic earnings per share, SEK | 4.45 | 3.49 | 4.45 | 2.96 | 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. |
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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 26-04-2023 07:00 CET.