Landshypotek Bank’s interim report for the first quarter of 2025: Positive start to the year
Landshypotek posts growth in lending as well as stable earnings for the first quarter of 2025. The bank’s interim report for January – March 2025 is being published today.
Operating profit for the quarter was SEK 124 million, down slightly year-on-year (SEK 131 million) but up on the previous quarter (SEK 97 million).
“We ended last year on a strong note in the market and have made a positive start to 2025. Growth continued in all of our areas in the lending market and, despite continued pressure on margins in the market, revenue was up on last year. Landshypotek remains stable in a dramatic and turbulent operating environment,” says Johan Ericson, CEO of Landshypotek Bank.
The bank continues to grow in lending to larger farmers as well as to residents on agricultural properties. Interest in the bank’s homeowner mortgages has noted record highs and at the end of 2024 Landshypotek also launched lending to owners of tenant-owner apartments.
“Our attractive offerings have led to a substantial increase in the number of loan applications and we have welcomed many new customers to the bank.
Lending grew SEK 2.6 billion over the quarter. We also passed the milestone of SEK 30 billion in lending to mortgage customers in February and the bank’s total lending amounts to almost SEK 114 billion.
Net interest income totalled SEK 277 million for the first quarter, compared with SEK 275 million for the same quarter in 2024. Costs were also in line with Q1 2024, SEK 154 million compared with SEK 153 million. The bank made marginally larger provisions for credit losses this quarter, but has not noted any sign of more general credit challenges for customers.
“The global economy is currently in turmoil, but the direct impact on Landshypotek is limited. We are well capitalised, with very good liquidity. Our funding, with deposits from the public, is stable and the market’s confidence in us is clearly reflected in the robust demand for our covered bonds. In a rapidly changing operating environment, our short decision-making paths are a significant advantage,” says Johan Ericson.
The new Basel framework for capital adequacy implemented at the beginning of the year also confirms the bank’s low risk levels and further strengthens our capital situation.
The owner association also held regional meetings during the quarter, where the proposed member dividend was presented. A total of SEK 207 million is being distributed to the bank’s owners – that is to say, the agricultural customers – corresponding to a yield of 10 percent on member contributions and the second-highest dividend in the history of the bank.
More information is available in the interim report regarding the results, the CEO’s statement, important events during the quarter and events in the world around us, both in the financial markets in general and in farming and forestry.
Summary of the interim report:
January – March 2025
compared with January – March 2024
- Operating profit amounted to SEK 124 million (131).
- Net interest income amounted to SEK 277 million (275).
- Costs totalled SEK 154 million (153).
- Net credit losses impacted earnings with SEK 7 million (recoveries: 0).
- Loans to the public amounted to SEK 113.7 billion (105.1).
- Deposits from the public amounted to SEK 26.6 billion (28.5).
January – March 2025
- compared with October – December 2024
- Operating profit amounted to SEK 124 million (97).
- Net interest income amounted to SEK 277 million (266).
- Costs totalled SEK 154 million (167).
- Net credit losses impacted earnings with SEK 7 million (loss: 8).
- Loans to the public amounted to SEK 113.7 billion (111.1).
- Deposits from the public amounted to SEK 26.6 billion (27.1).
Landshypotek Bank AB is required to disclose this information pursuant to the Securities Market Act (2007:528). This information was submitted for publication on 8 May 2025 at 8.00 a.m. CEST.
For more information, please contact:
Jonas Feinberg, Press Officer, +46 70 349 24 10
About Landshypotek Bank
Landshypotek has grown robustly in recent years to become a leading bank for lending to farming and forestry as well as a challenger in mortgages and savings. Customers appreciate the bank’s simple and open nature with transparent terms and conditions for mortgages and savings in addition to its expertise in customer service and the circular business model of farming and forestry. The bank’s clear values mean that more and more customers view it as a strong option in the banking market. Landshypotek was founded in 1836. It is owned by the farming and forestry customers and operates throughout Sweden.