Länsförsäkringar AB: Interim report January–September 2016

(Figures in parentheses pertain to January-September 2015)

  • The Group’s operating profit increased to SEK 1,743 M (1,394). The return on equity amounted to 10% (8).
  • Operating profit in the non-life insurance operations improved to SEK 461 M (431). Premiums earned after ceded reinsurance rose to SEK 3,989 M (3,777).
  • Operating profit for the Bank Group improved to SEK 1,077 M (863). Net interest income strengthened to SEK 2,513 M (2,189).
  • Operating profit for Länsförsäkringar Fondliv amounted to SEK 385 M (414). Premium income amounted to SEK 6,465 (6,620). Commission income was SEK 1,034 M (1,042).
  • Net sales for the Parent Company amounted to SEK 2,036 M (1,937).

“After nine months, the Länsförsäkringar AB Group can report a 25% improvement in profit compared with the first nine months of 2015. Operating profit amounted to slightly more than SEK 1.7 billion. The strong earnings improvement was primarily driven by profit in the Bank Group. Growth and the customer inflow for the bank is continuing, with sustained high credit quality and a well-diversified geographic spread. During the period, our share of market growth in household lending was greater than our market share.
The stock market generally recovered relatively quickly following initial market unrest in the wake of the Brexit vote. This contributed to a favourable trend in managed assets during the quarter in unit-linked insurance, even though the earnings trend was slightly weaker year-on-year. In the non-life insurance business, health care insurance performed better year on-year due to lower claims costs. Agria is continuing to contribute a healthy volume trend and strong earnings. Since May, when the Swedish Financial Supervisory Authority approved our application to use a partial internal model to calculate Solvency II capital requirements, we have continued to work on a model that accurately reflects our business model and our actual risk profile.
Another great achievement is that we continued to top reputation and customer satisfaction surveys. We have Sweden’s most satisfied retail bank customers for the third consecutive year according to the Swedish Quality Index,” says Sten Dunér, President Länsförsäkringar AB.

Read the full report:
http://www.lansforsakringar.se/om-oss/in-english/financial-reports/lansforsakringar-ab/

For further information, please contact:
Sten Dunér, President Länsförsäkringar AB, +46 8-588 411 15,
+46 73-964 11 15,  sten.duner@lansforsakringar.se

Malin Rylander Leijon, CFO Länsförsäkringar AB, +46 8-588 408 64,
+46 73-964 08 64, malin.rylander-leijon@lansforsakringar.se

Fanny Wallér, Director of Communications Länsförsäkringar AB, +468-588 414 69,
+46 70-692 77 79, fanny.waller@lansforsakringar.se

Anna Glennmar, Investor Relations, Länsförsäkringar AB, +468-588 417 42, +4672-141 44 08,
anna.glennmar@lansforsakringar.se

The Länsförsäkringar Alliance comprises 23 local and customer-owned regional insurance companies and the jointly owned Länsförsäkringar AB. Customers are provided with a complete offering of banking and insurance services through their local, regional insurance companies. We offer animal and crop insurance through Agria Djurförsäkring and total solutions for reliable mortgage transactions are offered through Länsförsäkringar Fastighetsförmedling.

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About Us

Länsförsäkringar is Sweden’s only customer-owned and locally established banking and insurance group. The customers in each of the counties in the country own their local and independent regional insurance company. The 23 regional bank and insurance companies cooperate in the jointly owned Länsförsäkringar AB, which conducts development and provides services within banking, life assurance, non-life insurance and animal insurance. Länsförsäkringar offers a broad range of insurance and banking services for individuals, companies and farming. All companies within the Länsförsäkringar Alliance are environmentally certified in accordance with ISO 14001.