Handelsbanken’s Interim Report January – September 2021

January – September 2021
   - compared with January – September 2020

• Operating profit increased by 26% to SEK 18,154m (14,423). Adjusted for foreign exchange effects, the Oktogonen profit-sharing scheme (“Oktogonen”) and items affecting comparability during the corresponding period of the previous year, operating profit increased by 14%.
• Return on equity increased to 11.5% (9.7), and earnings per share increased by 28% to SEK 7.22 (5.66).
• The credit loss ratio was 0.00% (0.03).
• The common equity tier 1 ratio was 19.4%** (19.4).
• Income grew by 6% to SEK 34,709m (32,817). Adjusted for foreign exchange effects, income increased by 7%.
• Net fee and commission income increased by 16%. Fund volumes increased by SEK 199bn and commission income from fund management         grew by 36%.
• Expenses decreased by 7% to SEK 16,554m           (-17,718). The underlying increase in expenses, adjusted for Oktogonen, items affecting  comparability and foreign exchange effects, was 3%. The entire increase was attributable to higher development costs.
• The C/I ratio improved to 47.7% (54.0).
• Continued good potential to achieve robust business development and profitable growth, with satisfied customers and at low risk, within the operations in Sweden, Norway and Handelsbanken plc.
• Handelsbanken has made the decision to cease its operations in Denmark and Finland. A process is being initiated to divest these two operations.

Q3 2021
- compared with Q2 2021

• Operating profit increased by 9% to SEK 6,554m (5,988). Adjusted for foreign exchange effects and Oktogonen, profit increased by 4%.
• Return on equity was 12.4% (11.6).
• Earnings per share rose by 10% to SEK 2.62 (2.39).
• Credit quality remained very good, and the credit loss ratio was 0.01% (-0.02).
• Income climbed by 2% to SEK 11,815m (11,602).
• Net fee and commission income increased by 3%. Commission income from fund management grew by 8%.
• Growth in both corporate and household lending. In total, lending at the end of the quarter had increased by SEK 39bn.
• Expenses decreased by SEK 473m, or 8%, to SEK  -5,199m (-5,672). During the quarter, part of the preliminary provision for Oktogonen, amounting to SEK 263m, was reversed. The underlying decrease in expenses, adjusted for Oktogonen, items affecting comparability and foreign exchange effects, was 3%.
• The C/I ratio improved to 44.0% (48.9).
• The work with the cost reduction measures progresses according to plan with no abatement.

The slide presentation for tomorrow press conference will be available at 18:30 CET at handelsbanken.com/ir

For further information, please contact:
Carina Åkerström, President and Group Chief Executive
Tel: +46 (0)8 22 92 20

Carl Cederschiöld, CFO
Tel: +46 (0)8 22 92 20

Lars Höglund, Head of Investor Relations
Tel: +46 (0)8 701 51 70, laho01@handelsbanken.se
 

This information is of the type that Handelsbanken is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Markets Act. The information was submitted for publication through the agency of the contact person set out above, at 18:30 CET on 19 October 2021.

For more information about Handelsbanken, please go to: handelsbanken.com