Länsförsäkringar Bank: January – September 2021
”Länsförsäkringar Bank continued to perform well and we reported strong earnings for the period. Total growth in the banking business was healthy and business volumes are increasing. Savings performed particularly well during the year although fund volumes were, to a certain extent, impacted by the more volatile market trend we saw in September. We can see clear signs that society is slowly starting to return to a more normal everyday life after the Public Health Agency of Sweden lifted most restrictions. During the pandemic, we at Länsförsäkringar Bank have focused intensely on supporting and delivering security to our customers and offering the high level of service that is the hallmark of our offering via our local regional insurance companies. It is gratifying that, according to the Swedish Quality Index’s 2021 customer satisfaction survey, we continue to excel in this area and we can report that Länsförsäkringar Bank is the leading player in terms of customer satisfaction for retail customers among the large banks. We will continue to invest in our digital offering and retain our local character in order to ensure high customer satisfaction and relevance for our customers. We are also proud that in the stress test of European banks published by the EBA in July we were one of the most resilient institutions in Europe in the stressed scenario”, says Sven Eggefalk, President of Länsförsäkringar Bank.
The period in brief, Group
- Operating profit increased 31% to SEK 1,814 M (1,385) and the return on equity strengthened to 10.4% (8.6).
- Net interest income fell 2% to SEK 3,547 M (3,624).
- Operating income increased 6% to SEK 3,375 M (3,195).
- Operating expenses rose 6% to SEK 1,629 M (1,540).
- Credit losses amounted to SEK –67.6 M (270.6), net, corresponding to a credit loss level of –0.02% (0.10).
- Business volumes increased 14% to SEK 797.5 billion (700.9).
- Deposits rose 9% to SEK 144.0 billion (132.6). Lending increased 6% to SEK 346.0 billion (327.5).
- Fund volumes increased 28% to SEK 307.5 billion (240.8).
- The Common Equity Tier 1 capital ratio for the Consolidated Situation amounted to 15.0% (14.8*) on 30 September 2021.
- According to the 2021 Swedish Quality Index customer satisfaction survey, Länsförsäkringar Bank remains the leading bank among the major market players in terms of customer satisfaction for retail customers.
Figures in parentheses pertain to the same period in 2020.
* Refers to 30 June 2021.
For further information, please contact:
Sven Eggefalk, President Länsförsäkringar Bank AB
+46 (0)8-588 414 37, +46 (0)70-240 47 04
Martin Rydin, CFO Länsförsäkringar Bank AB,
+46 (0)8-588 412 79, +46 (0)73-964 28 23
Stefan Karkamanis, Investor Relations, Länsförsäkringar Bank AB
+46 (0)8-588 402 90, +46 (0)72-310 00 80
This report contains such information that Länsförsäkringar Bank AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication on 27 October 2021 at 12:00 a.m. CET.
The Länsförsäkringar Alliance is comprised of 23 local and customer-owned regional insurance companies and the jointly owned Länsförsäkringar AB. Customers are provided with a complete offering of banking and life and non-life insurance services through their local, regional insurance companies. We offer animal and crop insurance through Agria Djurförsäkring, total solutions for reliable mortgage transactions through Länsförsäkringar Fastighetsförmedling, and financing services such as leasing, instalment payments, and loans through Wasa Kredit.