Länsförsäkringar Hypotek: January – March 2021
"Länsförsäkringar Hypotek’s mortgage lending operations continued to perform positively and we can report high earnings for the period. Lending growth is stable, while credit quality remains high and credit losses very low. We are continuing to capture market shares due to the outstanding work performed locally by the regional insurance companies. At the same time, we can see continued competition in the mortgage market in which several small players, both new and established, are taking a higher share of new loans. The housing market remained strong even in the first quarter and housing prices have reached new record highs. Expectations of very low interest rates continuing in the future remains a contributing factor for the strong price trend. However, the ongoing COVID-19 pandemic continues to present a risk as regards the performance of the economy, although hopes of a robust recovery continue to dominate”, says Anders Borgcrantz, President of Länsförsäkringar Hypotek.
The period in brief:
- Operating profit increased 6% to SEK 350.9 M (330.1) and the return on equity amounted to 8.2% (8.3).
- Net interest income rose 2% to SEK 667.8 M (654.7).
- Credit losses amounted to SEK –1.9 M (1.6), net, corresponding to a credit loss level of –0.00% (0.00).
- Lending increased 8% to SEK 263.8 billion (243.4).
- The Common Equity Tier 1 capital ratio amounted to 18.5% (18.4*) on 31 March 2021.
Figures in parentheses pertain to the same period in 2020.
* Pertains to 31 December 2021.
For further information, please contact:
Anders Borgcrantz, President, Länsförsäkringar Hypotek AB,
+46 (0)8-588 412 51, +46 (0)73-964 12 51
+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 is information that Länsförsäkringar Hypotek AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 12:00 CET on 29 April 2021.
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.