Landshypotek Bank’s interim report January – March 2023: Robust increase in savings volumes
Landshypotek Bank has continued to grow robustly in deposits from the public in the first quarter of the year. Even if the market for lending has slowed, the bank remains strong. More customers and an increased lending volume entails improved results, as illustrated in the interim report for January – March 2023.
“Landshypotek operates in the same economic conditions as others. Changed market conditions, including the current absence of credit growth, has meant increased focus on deposits – which have developed robustly – and on customer care and customer value for current customers,” says Per Lindblad, CEO of Landshypotek Bank.
Operating profit improved to SEK 162 million for the quarter, compared with SEK 122 million for the year-earlier quarter. Profit increased SEK 19 million compared with the last quarter, when operating profit was SEK 143 million.
In the autumn, Landshypotek took an early lead in raising interest rates on savings accounts in the banking market. The response has remained strong and many new savings customers have joined the bank. The deposits volume increased SEK 3.7 billion during the quarter. Since the first quarter 2022, deposits have almost doubled and as of the end of March amounted to SEK 27 billion.
Lending growth in the market and thus with Landshypotek has stalled. Landshypotek exceeded SEK 100 billion in total lending volume last year and has a total lending volume of SEK 105.7 billion.
“We take a long-term approach to our development. In pace with our growth, we have gradually built a financially stronger bank, which makes us secure and creates security for our customers even during these turbulent times in the economy,” says Per Lindblad.
More information is available in the interim report regarding the results as well as events in the world around us in terms of the financial markets generally, and farming and forestry.
Summary of the interim report:
January – March 2023
compared with January – March 2022
- Operating profit amounted to SEK 162 million (122).
- Net interest income amounted to SEK 312 million (250).
- Costs totalled SEK 151 million (133).
- Net credit losses positively impacted earnings by SEK 2 million (recoveries: 2).
- Loans to the public amounted to SEK 105.7 billion (97.8).
- Deposits from the public totalled SEK 27.2 billion (15.4).
January – March 2023
compared with October – December 2022
- Operating profit amounted to SEK 162 million (143).
- Net interest income amounted to SEK 312 million (322).
- Costs totalled SEK 151 million (154).
- Net credit losses positively impacted earnings by SEK 2 million (loss: 6).
- Loans to the public amounted to SEK 105.7 billion (105.6).
- Deposits from the public totalled SEK 27.2 billion (23.5).
Landshypotek Bank AB is required to disclose this information pursuant to the Securities Market Act (2007:528). This information was submitted for publication on 5 May 2023 at 8:00 a.m. CEST.
For more information, please contact:
Jonas Feinberg, Press Officer, +46 70 349 24 10
About Landshypotek Bank
Landshypotek was founded in 1836 and is currently one of the ten largest lending banks in Sweden. The bank is deemed systemically important for the farming and forestry industries. Historically, lending has focused on customers for farming and forestry, but now also includes homeowner mortgages and savings. Landshypotek Bank is owned by some 35,500 farming and forestry customers, who are organised as a cooperative association. The bank has almost 210 employees located at branches across Sweden.