Skandinaviska Enskilda Banken AB on Thursday reported an 18% drop in third-quarter operating profit, as provisions for expected credit losses more than doubled in the first nine months of the year amid a weak Swedish economy.
The Stockholm-based lender posted an operating profit of 9.7 billion Swedish kronor, down from 11.8 billion kronor in the same period a year earlier.
Net expected credit losses for the January to September period surged 128% to 1.16 billion kronor, up from 509 million kronor in the prior year, the company said.
SEB said the Swedish economy remained subdued with weak household consumption.
“We reported a solid result in a seasonally slower and less volatile market,” SEB’s President and CEO Johan Torgeby said in a statement.
“Net interest income increased marginally, and net flows of assets under management continued to be positive.”
Total operating income for the quarter fell 11% to 18.7 billion kronor.
The company noted that the economic outlook for Sweden has improved, citing expansionary monetary policy and expectations of a more active fiscal policy in 2026.
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