Handelsbanken January March April 2009

Transkript

1 Handelsbanken January March April 2009

2 Summary Q compared with Q Operating profit increased by 30% to SEK 3,806m Return on equity went up to 13.8% Net interest income rose by 23% to SEK 5,393m C/I ratio decreased to 43.9% Average lending volume increased by 15% Household deposits up by 23% Capital ratio increased to 16.7% Tier 1 ratio according to Basel II rose to 11.6% Liquidity reserve currently more than SEK 400bn 2

3 Operating profit, Q compared with Q SEK m 2009 Q Q4 Operating profit Capital gain from sale of NCSD Fee to stabilisation fund US dollar arbitrage Adjusted profit

4 Income statement, January - March Change SEK m % Net interest income 5,393 4, Net fee and commission income 1,739 1,739 0 Net gains/losses on financial items at fair value 1, Other income Total income 8,386 6, Staff costs -2,442-1, Other expenses -1,242-1,318-6 Total expenses -3,684-3, Profit before loan losses 4,702 2, Loan losses, net Disposal prop. equipmt./ intang. assets Operating profit 3,806 2,

5 Key ratios Q Q RoE total operations, actual tax 13.8% 12.3% RoE total operations, after standard tax 14.1% 11.5% C/I-ratio, before loan losses continuing operations 43.9% 54.5% Earnings per share total operations, SEK moving 12 months Capital ratio, Basel II 16.7% 16.2% Tier I ratio, Basel II 11.6% 10.5% Change Q1 Tier I ratio, SEK m 5,532 Change Q1, Shareholder s equity, SEK m

6 Illustration Financial Strength Assets Liabilities Rating Long-term Short-term Moody s Aa1 P-1 S&P AA- A-1+ Fitch AA- F1+ Lending etc. Senior funding, deposits etc. Liquidity reserve >400 SEK bn Capital base 16.7% 6

7 Q1-98 Q3-98 Q1-99 Q3-99 Q1-00 Q3-00 Q1-01 Q3-01 Q1-02 Q3-02 Q1-03 Q3-03 Q1-04 Q3-04 Q1-05 Q3-05 Q1-06 Q3-06 Q1-07 Q3-07 Q1-08 Q3-08 Q1-09 Net interest income, quarterly SEK m From 2004 according to IFRS

8 Deposits from the public Q 1 Change Change Average volumes, SEK bn 2009 Q Q Branch offices in Sweden Private 162 3% 20% Corporate 152 4% 10% Total 314 4% 15% Branch offices outside Sweden Private 46 10% 34% Corporate 122 6% 15% Total 168 7% 20% Other operations 50 7% -39% Total 532 5% 8% 8

9 Loans to the public Q 1 Change Change Average volumes, SEK bn 2009 Q Q Branch offices in Sweden Private 476 1% 8% Of which mortgage loans 418 1% 9% Corporate 494 1% 7% Total 970 1% 8% Branch offices outside Sweden Private 139 6% 23% Corporate 381 7% 39% Total 520 6% 34% Other operations % -5% Total % 15% 9

10 Fees and commissions, January March SEK m Change % Brokerage Mutual funds and custody Advisory services Insurance Payments Lending & deposits Guarantees Other Commission expenses Total 1,739 1,

11 Net gains/losses on financial items at fair value SEK m Trading* Stapel 2 Available for sale, realised Other Liquidity portfolio Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q * Incl fair value option.

12 Expenses, January March Change Change SEK m Q 1 Q 1 SEK m % Staff costs -2,442-1, Other expenses -1,122-1, Depreciation Total expenses -3,684-3, %-points Oktogonen IAS Exchange rate fluctuations Lokalbanken Running staff costs Other expenses

13 Expenses, Q compared to Q Change SEK m Q 1 Q 4 SEK m Change % Staff costs -2,442-2, Other expenses -1,122-1, Depreciation Total expenses -3,684-3, %-points Oktogonen IAS Exchange rate fluctuations Running staff costs Other expenses

14 Loan losses as a percentage of lending % 1,75 1,50 1,25 1,00 0,75 0,50 0,25 0,00 Handelsbanken Other Swedish banks -0, * 14 * Only banks that have published the Q1 interim report.

15 Branch office operations in Sweden January March 2009 Operating profit SEK 2,312m RoE 17.8% Income increased by 9% Net interest income increased by 13% C/I ratio before loan losses 36.0% Number of branch offices 461 Average number of employees 4,536 Average volumes, SEK bn Loans 970 Deposits

16 Net interest income, Branch office operations in Sweden Q Q Change % Interest income, SEK m 9,554 13, Interest expenses, SEK m - 6,103-9, Net interest income 3,452 3,781-9 Average volumes SEK bn

17 Branch office operations outside Sweden January March 2009 Operating profit SEK 667m RoE 7.5% - excl. operating deficit 8.9% Total income increased by 32% Net interest income increased by 37% C/I ratio 55% Number of branch offices 245 Average number of employees 3,023 Average volumes, SEK bn Loans 520 Deposits

18 Handelsbanken has the most satisfied customers in Great Britain too Private customers Other Satisfaction Loyalty 18 Source: EPSI Rating 2009

19 Handelsbanken has the most satisfied customers in Great Britain too Corporate customers Other Satisfaction Loyalty 19 Source: EPSI Rating 2009

20 - Regional banks outside Sweden Income and expenses trend 151 branches opened Average per branch, SEK m* Branch offices Total income Total expenses Number of branch offices, March ** Y 0 Y 1 Y 2 Y 3 Y 4 Y 5 Y 6 Y 7 Y 8 Y 9 Y 10 Y 11 Y 12 Y * Refers to figures for ** Refers to the period January March 2009

21 Summary Stable underlying earnings on a par with the previous quarter Net interest income up by 23% Strong capital and liquidity situation Tier 1 ratio increased to 11.6% according to Basel II The capital ratio increased to 16.7% according to Basel II More than SEK 400bn in liquidity reserves Return on equity increased to 13.8% 21

22 22 Appendix

23 Income statement, five quarters Q1 Q4 Q3 Q2 Q1 SEK m Net interest income 5,393 5,474 4,856 4,494 4,399 Net fee and commission income 1,739 1,694 1,656 1,706 1,739 Net gains/losses on financial items at fair value 1,141 2, Risk result - insurance Other income Total income 8,386 9,512 7,124 7,199 6,055 Staff costs -2,442-2,170-2,015-1,946-1,983 Other expenses -1,242-1,430-1,118-1,249-1,318 Total expenses -3,684-3,600-3,133-3,195-3,301 Profit before loan losses 4,702 5,912 3,991 4,004 2,754 Loan losses, net Disposal prop. equipmt./ intang. assets Operating profit, continuing operations 3,806 5,216 3,758 3,433 2,919 Operating profit, discontinued operations Operating profit, incl. discont. op. 3,821 5,277 3,828 3,501 2,980 23

24 Income statement, Q compared to Q Q1 Q4 Change SEK m % Net interest income 5,393 5,474 Net fee and commission income 1,739 1,694 Net gains/losses on financial items at fair value 1,141 2,229 Risk result - insurance Other income Total income 8,386 9,512 Staff costs -2,442-2,170 Other expenses -1,242-1,430 Total expenses -3,684-3,600 Profit before loan losses 4,702 5,912 Net loan losses Disposal prop. equipmt./ intang. assets 0 0 Operating profit. 3,806 5,

25 - Change in net interest income, Q compared to Q SEK m Net interest income Q Deposits in Sweden - margin volume 18 Lending in Sweden - margin volume 19 Volume & margin branch offices outside Sweden 82 Deposit guarantee and fee to the stabilty fund -117 Other 120 Change in net interest income -81 Net interest income Q % RR 25 3M STIBOR ref.rate in the respective quarter.

26 - Change in net interest income, Q vs. Q SEK m Net interest income Q Deposits in Sweden - margin volume 70 Lending in Sweden - margin volume 145 Volume & margin branch offices outside Sweden 512 Deposit guarantee and fee to the stabilty fund -140 Other 368 Change in net interest income 994 Net interest income Q % RR 26 Ref.rate Q1 2008, 1M STIBOR and in Q M STIBOR has been used

27 Net interest income outside Sweden, quarterly SEK m Number of branches Q1 04 Q2 04 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Branch office operations outside Sweden Number of branch offices within regional banks outside Sweden 27 * Lokalbanken s 14 branch offices, included from 21 October 2008.

28 Fee to the Stabilisation fund, January March 2009 Total liabilities and equity (SEK bn) reduction for total equity -152 reduction for intercompany liabilities -217 Base for calculation of fee* Fee 0.036% (SEK m) 755 reduction 50% during 2009 and Total fee Accrued fee in Q * Concerns credit institutions within the Group affected by the new Stabilisation fund law

29 Fees and commissions, Q compared to Q SEK m Q1 Q4 Change % Brokerage Mutual funds and custody Advisory services Insurance Payments Lending & deposits Guarantees Other Commission expenses Total 1,739 1,

30 Equity-related commissions, January March SEK m Change % Brokerage Mutual funds and custody Corporate finance Commission expenses Total

31 Q Q Q Q Q Oktogonen quarterly SEK m Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Expense Adjust for previous yr

32 Other administrative expenses Change Change SEK m Q 1 Q 1 % Q 1 Q 4 % Property and premises External IT costs Communication Travel and marketing Purchased services Supplies Other expenses Other administrative expenses

33 Bad debts and loan losses as a percentage of lending Proportion of bad debts, net Loan loss ratio % % 1,0 1,0 0,8 0,8 0,6 0,6 0,4 0,4 0,2 0,2 0,0 0,0-0, ,2 33

34 Effective tax burden Corporation tax on the profit for banking operations No tax on the administration result and the risk result in the insurance operations, except for outright risk insurance The yield split has already been taxed Corporation tax on yield on shareholders equity in the insurance operations Effective tax burden January-March 2009 was 27.6% and Q % (Q1 23.1%) The lower tax rate for Q is due to Profit on sale of property and shares in NCSD AB is not taxed Changed corporation tax rate from 2009 affects the deferred taxes 34

35 Balance sheet, 31 March Change SEK bn % Loans to the public 1,519 1, Loans to credit institutions Interest-bearing securities Other assets Total assets 2,275 1, Deposits and borrowing from the public Due to credit institutions Issued securities Other liabilities Shareholders equity Total liabilities and equity 2,275 1,

36 Loans to the public, quarterly Average volumes Q1 Q4 Q3 Q2 Q1 SEK bn Branch offices in Sweden Branch offices outside Sweden Private Corporate Other operations Total Private Corporate

37 Lending outside Sweden Average volumes Jan-Mar 2009 Jan-Mar 2008 Change % *Denmark, DKK bn Finland, EUR m Norway, NOK bn Great Britain, GBP m Rest of the world, SEK bn % growth in local currency 37 * Lokalbanken included from 21 October 2008

38 Deposits from the public, quarterly Average volumes Q1 Q4 Q3 Q2 Q1 SEK bn Branch offices in Sweden Private Corporate Branch offices outside Sweden Private Corporate Other operations Total Private Corporate

39 Loans to the public Branch offices in Sweden, quarterly Average volumes Q1 Q4 Q3 Q2 Q1 SEK bn Mortgage loans Private Corporate Bank loans Private Corporate Total Branch offices in Sweden Private Corporate

40 Conditional bonus* in relation to total insurance assets SEK m, end of period Q Conditional bonus 2,240 3,327 4,824 5,713 4,874 3,552 3,248 % of total insurance assets * Refers to conditional bonus from a customer perspective

41 Net lending in SEK in the Swedish interbank market 28 January March 2009, weekly SEK m At March 31, liquidity reserves of over SEK 400 bn