Executive summary Interim results January - June 2005 www.sebgroup.com 1
SEB Focus SEB traditional strengths - Corporates - Affluent individuals Growth Broadening platform New home markets /acquisitions Doubling of revenues and customers Quadrupling of AuM Consolidation Realising potential of the platform Consolidation 3C program Customer satisfaction Cross servicing Cost efficiency Intragroup/ Cross border synergies Profit growth within existing markets Realising potential of the platform Profit growth Refinement of 3C program and Intragroup/ Cross border synergies Organic growth and add-on acquisitions One SEB culture The leading Northern European Bank based on long term customer relationships, competence and technology Risk reduction 1997-2001 2001-2003 2003-2
Ten home markets in Northern Europe - and strategic locations outside chosen home markets Market Home market in 10 countries 200 million inhabitants 5 9 5 SEB 5 million customers 2,1 million internet clients 680 branch offices ~20 000 employees SEK 1,012bn in AuM (~USD 130bn) 5 82 7 38 48 Nice Note: Including BOŚ 3
Strong trade flows between neighbouring countries Eastern Europe natural for SEB Examples of bilateral trade flows* (Billion USD) Germany Poland 36 Norway 5 Denmark Germany Sweden Finland 5 7 Latvia Lithuania Poland Estonia Russia High today and increasing Germany important gateway Sweden Germany 26 Russia Finland 8 Ukraine *Sum of exports in both directions. Based on statistics from IMF, 2003 4
Strongest quarter ever Overall positive market trend Customer activity picking up Most divisions show strong underlying profit improvement Continued volume growth Underlying costs stable, +1% excluding acquisitions and performance-related remuneration Assets under management all time high - more than SEK 1,000bn 5
Second quarter 2005 SEK 3.0bn SEB Group operating profit, SEKbn 3.0 2.7 2.7 2.7 2.2 2.2 2.1 2.0 2.2 2.2 2.4 2.4 2.3 1.7 1.7 1.7 1.7 Q2 2001 Q3 Q4 Q1 2002 Q2 Q3 Q4 Q1 2003 Q2 Q3 Q4 Q1 2004 Q2 Q3 Q4 Q1 2005 Q2 6
Profit and loss account SEB Group, SEK m Jan-Jun Jan-Jun Change 2005 2004 % Net interest income 6,971 6,827 2 Net fee and commissions 6,248 5,914 6 Net financial income 1,914 1,260 52 Net life insurance income 1,114 566 97 Net other income 165 492-66 Tot operating income 16,412 15,059 9 Staff costs -6,356-5,772 10 Other expenses -3,767-3,490 8 Deferred acquisition costs 218 192 14 Depreciations/amortisations/impairment -426-396 8 Tot operating expenses -10,331-9,667 7 Gain/loss tangible/intangible assets 8 4 100 Net credit losses etc -393-347 13 Operating profit 5,696 5,049 13 Net profit 4,273 3,675 16 Change excl Acquisitions 5% Excl Acquisitions 3% plus increase in variable salaries 1% Excl Acquisitions 9% 7
Growth in Assets under management SEB Group, SEKbn 871 742 822 886 948 1,012 2001 2002 2003 2004 Q1 2005 Q2 2005 8
Unit-linked insurance sales growth Sales volumes weighted*, SEKbn 10.0 17.9 23.6 27.1 16.3 2001 2002 2003 2004 Jan-Jun 2005 Market Share Sweden, % 18.7 21.2 29.1 34.6 35.0 (Q1) *) Does not include Codan Pension 9
SEB Group total volume growth SEKbn Lending Deposits 635 680 707 783 829 465 500 494 517 590 2001 2002 2003 2004 Q2 2005 2001 2002 2003 2004 Q2 2005 10
Growth in risk weighted assets SEB Group, SEKbn 501 503 535 570 601 648 Strong volume growth +14% in six months 2001 2002 2003 2004 Q1 2005 Q2 2005 11
Operating profit per division SEKm Q2 2005 isolated SEB Merchant * 1 347 Changes vs. Q1 2005 +20% Nordic Retail & Private 782 +7% German Retail & Mortgage 136-13% Eastern European 356 +6% SEB Asset Management 220 +24% SEB Trygg Liv 242 (286**) +42% * SEB Corporate & Institutions renamed to SEB Merchant ** Business result 12
SEB s platform increased diversification Operating profit Jan June 2004 SEK 5.0bn Jan June 2005 SEK 5.7bn Asset Management 7% Eastern European 11% German Retail & Mortgage 4% Nordic Retail & Private 27% Trygg Liv 4% SEB Merchant 47% Eastern European 12% Asset Management 7% German Retail & Mortgage 5% Nordic Retail & Private 26% Trygg Liv 7% SEB Merchant 43% 13
Result per geographical area Share of Group s operating profit Germany 14% Other world 7% Eastern Europe 12% Other Nordic countries 21% Sweden 46% Operating profit Jan-June 2005 annualised vs 2004 Other Nordic countries 54% Germany* 11% Eastern Europe 28% Sweden -3% *) Excluding restructuring costs 2004 14
Continued realisation of profit growth Opportunities based on attractive and well diversified platform Another strong quarter Volume and revenue growth in competitive environment Investments in future growth initial negative impact on costs now starting to pay off Eastern European and Trygg Liv another record quarter SEB s diversified platform strong basis for future opportunities Eastern European Business opportunities in other Nordic countries Life insurance 15
One SEB More international than the local banks and more local than the international banks 16