Länsförsäkringar Bank: January – September 2020

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”The coronavirus pandemic in continuing to impact the economy and Swedish society, which makes it even more important for Länsförsäkringar to support and provide security for our customers. The bank continued to report a favourable and stable performance. Once again, Länsförsäkringar Bank is ranked as a leading player in terms of customer satisfaction for retail and corporate customers. This is ultimately a result of the tremendous work performed locally by the regional insurance companies and confirmation that we have supported our customers well during these challenging times. Our strong local presence and modern digital services combined with Länsförsäkringar’s full-service customer offering in banking, insurance and real-estate brokerage are the foundation of our strategy. Growth in the banking business has been healthy and business volumes have developed well, both in savings and in lending. The credit quality of the loan portfolio remains very high and loss allowances are increasing at a lower rate than the two most recent quarters. The high credit quality is largely a result of Länsförsäkringar’s clear, local profile that creates conditions for better risk assessment in the lending business. Our position as one of the leading retail banks in Sweden was further strengthened during the year and we remain an attractive alternative in the banking market”, says Sven Eggefalk, President of Länsförsäkringar Bank.

The period in brief, Group

  • Operating profit declined 4% to SEK 1,385 M (1,437) and the return on equity amounted to 8.6% (9.7).

  • Net interest income rose 5% to SEK 3,624 M (3,448).
  • Operating income increased 8% to SEK 3,195 M (2,961).
  • Operating expenses amounted to SEK 1,540 M (1,399).
  • Credit losses amounted to SEK 270.6 M (125.6), net, corresponding to a credit loss level of 0.10% (0.05).
  • Business volumes increased 11% to SEK 700.9 billion (631.0).
  • Deposits rose 13% to SEK 132.6 billion (117.6). Lending increased 8% to SEK 327.5 billion (302.8).
  • Fund volume increased 14% to SEK 240.8 billion (210.6).
  • The Swedish Financial Supervisory Authority has decided that, from the third quarter, Länsförsäkringar Bank and its subsidiaries are also to be consolidated at the sub-group level (sub-consolidated basis).
  • The Common Equity Tier 1 capital ratio for the Consolidated Situation on 30 September 2020 amounted to 16.4% (16.5*) and for the Bank Group to 14.3% (14.2*).
  • The number of customers with Länsförsäkringar as their primary bank increased 6% to 579,000 (547,000).
  • According to the 2020 Swedish Quality Index customer satisfaction survey, Länsförsäkringar Bank remains a leading player in the banking market in terms of customer satisfaction among retail customers.
    Figures in parentheses pertain to the same period in 2019.

* Pertains to 30 June 2020.

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For further information, please contact:

Sven Eggefalk, President Länsförsäkringar Bank AB
+46 (0)8-588 414 37, +46 (0)70-240 47 04

Anders Borgcrantz, CFO, Länsförsäkringar Bank AB,
+46 (0)8-588 412 51, +46 (0)73-964 12 51

Martin Rydin, Head of Treasury Länsförsäkringar Bank AB,
+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 Bank 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 23 October 2020.

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.