Swedbank Reports Solid 2024 Financial Performance

Swedbank AB ( (SWDBY) ) has released its Q4 earnings. Here is a breakdown of the information Swedbank AB presented to its investors.

Swedbank AB is a leading financial institution based in Sweden, operating primarily in the banking sector and known for its extensive mortgage lending and strong presence across the Baltic countries.

Swedbank’s year-end report for 2024 highlights a solid financial performance despite a challenging global economic environment. The bank reported a profit of SEK 34,866 million for the full year, with a return on equity of 17.1%. The bank’s income increased by 1% from the previous year, while expenses rose by 5%. The Board proposed a dividend of SEK 21.70 per share, emphasizing Swedbank’s strong capital position.

Key financial metrics showed mixed results in 2024. Total income for the year reached SEK 74,104 million, driven by an 11% increase in net commission income and a 25% rise in net gains on financial items. However, net interest income fell by 3%, impacted by declining interest rates. Credit impairments improved significantly, with a negative ratio for the year, reflecting solid credit quality.

Swedbank’s strategic initiatives focused on expanding lending in the Baltic markets and enhancing digital services. The bank maintained stable lending volumes in Sweden while increasing its green mortgage loans in the Baltics. Swedbank’s commitment to sustainability was evident in its financing of green buildings and renewable energy projects, with its sustainable asset register exceeding SEK 120 billion.

Looking forward, Swedbank’s management remains optimistic about economic growth in its home markets, driven by strong public finances and innovative companies. With a revised dividend policy and a focus on maintaining a robust capital position, Swedbank aims to continue creating value for its customers and shareholders in 2025.