SEK’s interim report January-September 2024: Historically strong earnings in uncertain market conditions

For the January–September 2024 period, SEK posted a high level of new lending, continued high net interest income and strong earnings. New lending for the period totaled Skr 68.2 billion compared with Skr 51.1 billion for the corresponding period last year, mainly as a result of increased demand from Swedish exporters for working capital finance.

Considerable uncertainty continues to prevail regarding how the Swedish economy will fair in the near term. While Europe and China are both experiencing economic challenges, the global geopolitical situation has become increasingly negative, with escalating conflicts involving more and more countries.

“SEK continues to grow its client base, in line with our ambition to do more for more parties, and we also posted historically strong earnings. Despite uncertain and challenging economic conditions, Sweden’s economy is more stable than earlier in the year,” says SEK’s CEO Magnus Montan.

For the January–September 2024 period, SEK’s new lending increased to Skr 68.2 billion (9M23: Skr 51.1 billion) comprising growth driven mainly by working capital finance to Swedish exporters. Net interest income for the nine-month period amounted to Skr 2,280 million (9M23: Skr 2,124 million), demonstrating the continued strength of customer transactions despite a somewhat cautious market. Net profit for the nine-month period amounted to Skr 1,127 million (9M23: Skr 1,027 million), while return on equity for the period was 6.4 percent (9M23: 6.2 percent). However, the Riksbank’s interest rate cuts have negatively impacted SEK’s net interest income, which has also affected profitability in the third quarter. For the third quarter, SEK achieved a profitability of 8.4 percent, a decrease of 0.8 percentage points compared to the same quarter last year. Despite strong results for the nine-month period, a slowdown is evident in the third quarter.

“A strong Swedish export market is crucial for Sweden’s growth. We look forward to continuing to support Swedish companies and exporters with long-term and sustainable finance solutions, in order to further increase Sweden’s internationalization and competitiveness,” says Magnus Montan.

Results January–September 2024 (compared with January–September 2023)

• New lending Skr 68.2 billion (9M23: Skr 51.1 billion)
• Net interest income Skr 2,280 million (9M23: Skr 2,124 million)
• Operating profit Skr 1,419 million (9M23: Skr 1,294 million)
• Net profit Skr 1,127 million (9M23: Skr 1,027 million)
• Lending portfolio growth -3.8 percent (9M23: 7.0 percent)
• After-tax return on equity 6.4 percent (9M23: 6.2 percent)
• Total capital ratio 23.3 percent (year-end 2023: 21.3 percent)
• Basic and diluted earnings per share Skr 282 (9M23: Skr 257)

For more information, please contact:
Katarina Daniels, Press and Communications Manager, Tel: +46 72 080 68 85
Jens Hedar, acting Chief Financial Officer, Tel: +46 70 343 83 44

About SEK
The Swedish Export Credit Corporation (SEK) is a commercially driven, state-owned company that provides financing to Swedish exporters, their subcontractors, subsidiaries, and international buyers of Swedish products and services. SEK’s financing supports company growth, creating new jobs and driving economic growth in Sweden. Additionally, SEK promotes the transition to a more sustainable society, both within Sweden and globally.