Annika Falkengren CEO. UBS conference. May 14, 2007

Transcription

1 Annika Falkengren CEO UBS conference May 14, 2007

2 What we are How we differ Growth opportunities 2

3 SEB history Longstanding customer relationships Entrepreneurship International outlook Same major owners today 1856 Stockholm Enskilda Bank founded 3

4 Growth through acquisitions Eurocard Esti Ühispanki Bank Agio Trygg Hansa Vilnius Bankas Codan BOS BfG Unibanka Gyllenberg Privatbanken 4

5 SEB the key to North-European markets SEB has an attractive platform high customer satisfaction stable profit growth several leading positions...a strong customer base 2,500 customers are large companies and financial institutions 400,000 SME customers 5 million private customers 5

6 SEB s market franchise Merchant Banking #1 Nordic stock broker #1 Nordic and Baltic investment bank #1 Nordic and Baltic cash manager #1 Custody Nordic and Baltic markets #1 Scandinavian currencies Wealth Management #1 Nordic and Baltic private bank #2 Nordic asset manager Life and pension #1 Nordic unit-linked business 6

7 What we are How we differ Growth opportunities 7

8 Customer distribution Jan Dec 2006 Strong customer franchise 2,500 large corporates & institutions 400,000 SME s 5 million private individuals Customer segmentation, Nordic banks Share of total income, per cent Wholesale banking Retail Nordic Retail Germany Retail Baltic Retail GB/Ireland AM Life German exposure Nordic exposure EEB Sweden EEB Sweden 100% 90% 80% 70% Other Nordic countries Germany 60% 50% 40% 30% 20% 10% 0% SEB Swedbank SHB Nordea Danske Bank DnB NOR 8

9 Income distribution Jan Dec % 20% 40% 60% 80% 100% SEB Swedbank SHB Nordea DnB NOR Danske Bank Net fee & commissions Net interest income Net financial income Net life insurance income Net other income 9

10 Operating income Geographical distribution Q Other Nordic countries 18% Germany +16% Sweden 49% Eastern Europe 12 % Rest of world +5% 10

11 Nordic peers indexed 140 Total income Operating profit Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q Total expenses SEB Peer average Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q m rolling reported figures 11

12 What we are How we differ Growth opportunities 12

13 Operating profit per division Q vs. Q1 2005, SEKm Merchant Banking Growth vs. Q % ROE Q % Retail Banking +34% 20% Wealth Management +32% 32% Life +99% 22% Q Q ,000 1,500 2,000 13

14 12 month moving average SEB Group*, SEKm 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 Income Costs Profit before credit losses 0 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 * Excluding one-off charge of SEK 890m for unutilised office space in

15 Integration Efficiency Activity Profitable growth 15

16 Integration 2,500 large corporates & institutions 400,000 SME s 5 million private individuals Merchant Banking Retail Banking Wealth Management Life Support functions 16

17 Efficiency Cost level net of investments and variable remuneration SEK bn Continuous productivity gains

18 Activity Merchant Banking Strengthen customer offerings Example SME market* in Sweden Cash management FX Trade Finance Advisory Exploit product excellence Turnover SEKm 7% Market shares Nordic stock exchange Jan Mar 2007 SEB Enskilda 14% 19% 33% 7.5% ~80% < >500 Listed companies Profit growth CAGR per year + 36% Carnegie Morgan Stanley SHB Glitnir 6.3% 6.0% 4.7% 4.6% 18

19 Activity Wealth Management Mutual funds net sales, Sweden Cumulative Jan 2005 Mar 2007, including PPM SEKbn 80 SEB Handelsbanken Robur Nordea jan-05 Apr Jul Okt jan-06 Apr Jul Oct jan-07 Size vs. peers, AuM USDbn Nordea 217 Profit growth CAGR per year + 32% SEB 181 Danske 114 DnB NOR 90 Swedbank Svenska handelsbanken

20 Activity Life Market shares* Sweden Unit-linked new business Other pension players 41% SEB 29% Danske Bank 5% Nordea 6% Handelsbanken 8% Swedbank 11% Profit growth CAGR per year + 99% *As of December 31,

21 Activity Retail Banking Distribution of operating profit Q1 2007; per cent of total Cards Lithuania 12% 20% 39% Sweden 12% 13% 4% Latvia Germany Estonia Profit growth CAGR per year + 34% 21

22 Growth opportunities Opportunities Exploit Merchant franchise SME and Mid-corporates Baltic market position increase product penetration Retail sales potential Germany and Sweden Private Banking platform Nordic export Life Denmark and Baltics Focused growth strategy 22

23 Long-term targets The leading bank in Northern Europe Leading in customer satisfaction Leading in financial performance RoE Sustainable profitable growth 23

24 24

25 Additional Financial Information 25

26 Key figures SEB Group Q1 Q4 Q1 Jan Dec Return on Equity, % Cost / income ratio Credit loss level, % Earnings per share, SEK Core capital ratio, Basel II, % 8.33* Core capital ratio, Basel I, % RWA, Basel I, SEKbn * Basel II including transitional rules 26

27 Profit and loss account Q vs. Q SEB Group, SEKm Jan Mar Jan Mar Change Jan Dec % 2006 Net interest income 3,767 3, ,281 Net fee and commissions 4,277 3, ,146 Net financial income 1, ,036 Net life insurance income ,661 Net other income ,623 Total operating income 10,193 9, ,747 Staff costs -3,796-3, ,363 Other expenses -1,678-1, ,887 Depreciation of assets ,287 Total operating expenses -5,802-5, ,537 Gain/loss tangible/intangible assets Net credit losses etc Operating profit 4,157 3, ,562 Net profit 3,262 2, ,623 27

28 Operating profit per division Q1 2007, SEKm Merchant Banking 1,940 Changes vs. Q Q % -7% Retail Banking 1,548 40% 4% Wealth Management 614 1% -13% Life 458 (702*) 56% -% *Business result 28

29 RoE and Cost/Income ratio per division Return on Equity per division 50,00 40,00 30,00 20,00 10,00 0,00 Merchant Banking Retail Banking Cost/income ratio per division 1,00 0,80 0,60 0,40 0,20 0,00 Merchant Retail Banking Banking * Based on operating result Wealth Management Life* Jan Mar 2006 Jan Mar 2007 Wealth Management Life Jan Mar 2006 Jan Mar 2007 Group Group 29