Länsförsäkringar Bank: Interim report January – September 2008
” I am extremely proud that we once again have Sweden’s most satisfied retail bank customers, which provides strong proof that customers value our products and service above all others. The banking operations are expanding and we are gaining more household financing customers who also have non-life insurance and life assurance products with Länsförsäkringar. The importance of banking transactions as a source of income for the Länsförsäkringar Alliance is increasing steadily. Our credit portfolio is of excellent quality and primarily comprises household credits with low risk and a favorable geographic spread throughout Sweden”, says Mats Ericsson, President of Länsförsäkringar Bank.
• Profit before loan losses amounted to SEK 232 M (209) and operating profit totaled SEK 186 M (172).
• Income was up 9% to SEK 876 M (805).
• Net interest income rose by 15% to SEK 852 M (739).
• Operating expenses increased by 8% to SEK 644 M (595).
• The cost/income ratio was 0.74 (0.74).
• Loan losses remained low, amounting to SEK 46 M (38).
• Return on shareholders’ equity after standard tax amounted to 4.6% (4.9).
• Lending to the public rose by 19% to SEK 76 billion (63) and deposits from the public increased by 19% to SEK 33 billion (28).
• Mortgage lending in the subsidiary Länsförsäkringar Hypotek increased by 18% to SEK 52 billion (44).
• The banking operations have a over all low risk profile that has not changed appreciably during the financial crisis.
• Länsförsäkringar has the most satisfied retail bank customers in a comparison between all Swedish banks according to the Swedish Quality Index (SQI).
• The number of customers rose to 686,000 (660,000).
Figures in parentheses pertain to January – September 2007.
The full report is available below.