SEB reported second-quarter 2026 operating profit of SEK 10.8 billion on Wednesday, alongside a return on equity of 15.7% and a common equity tier 1 capital ratio of 17.2%, meeting the Swedish lender's financial ambition of a sustainable return on equity above 15% and beating consensus estimates for the period.
Return on equity rose from 13.1% in the first quarter and 15.0% in the second quarter of 2025, and diluted earnings per share rose to SEK 4.39 from SEK 3.79 in the first quarter and SEK 4.08 a year earlier.
PROFITABILITY AMBITION MET
SEB's financial ambition is a sustainable return on equity above 15%. Chief executive Johan Torgeby said in the quarterly report that the 15.7% return on equity met that ambition.
The 260-basis-point quarter-on-quarter rise in return on equity came as net interest income increased following lending growth and stable to increasing policy rates and net fee and commission income reached a new high, which together with continued cost discipline resulted in positive operating jaws, according to SEB. SEB's operating profit of SEK 10.8 billion was reported alongside the group's interim report for the second quarter, published on its investor relations site on the morning of the announcement.
SEB's outlook noted that the European Central Bank raised its policy rate in June and assessed the Riksbank to be at the trough of its cycle.
CAPITAL POSITION REMAINS ROBUST
The reported common equity tier 1 ratio of 17.2% gives SEB a capital buffer of 250 basis points above its requirement, and the board decided on a new quarterly share buyback programme of SEK 1.25 billion.
SEB's shares rose on the day of the results, which topped profit forecasts.
The results came in the same week as second-quarter reports from the other large Nordic lenders: DNB reported earlier in the week, Handelsbanken on the same day, Nordea on 16 July and Swedbank on 17 July.
SEB published its quarterly report, results presentation and fact book alongside the announcement.