Facts 2 February 2016
Contents page page General information 2 Asset quality 45 Swedbank in brief 2-3 Asset quality 45-47 Macro economic indicators 4-5 Credit impairments 48 Financial information, Group 6 Impaired loans and provisions 49-50 Income statement, 5-year summary 6 Loans past due 51 Income statement, 9-quarter summary 7 Private Mortgage loans 52 Balance sheet, 5-year summary 8 Concentration risk 53 Balance sheet, 9 quarters, Equity and Goodwill 9 Capital adequacy 54 Statement of changes in equity 10 Credit risks, EAD distribution by business area and by segment 54 Net interest income analysis 11 Capital adequacy parameters for credit risk - business area 55 Income analysis 12 Capital adequacy parameters for credit risk - segment 56-57 Expense analysis 13 Capital adequacy, consolidated situation and leverage ratio 58 Estimated capital requirements by entity, Change in REA and Variable pay 14 Outstanding subordinated debt 59 Business areas 15 ICAAP 2015 - Scenario based stress test 60-61 Swedish Banking 15-16 Liquidity & Funding 62 Baltic Banking 17 Liquidity reserve and additional Liquid Assets 62 Baltic Banking 17-18 Survival horizon 63 Estonia 19 Liquidity ratios 64 Latvia 20 Debt securities in issue 65 Lithuania 21 Issued long-term debt, by currency 66 Other 22 Maturity distribution, long-term funding 67 Large Corporates & Institutions 23-29 Outstanding benchmark bonds 68 Group Functions & Other 30-31 Outstanding short-term funding 69 Group Products 32 Maturity distribution, total balance sheet 70-71 Group Treasury 33 Asset encumbrance 72-73 Other 34 Cover pool data 74-76 Eliminations 35 Swedbank Mortgage AB, loan data 77 Product companies 36 Rating 78 Swedbank Robur AB 36-37 Key figures 79-80 Swedbank Insurance 38-39 Market shares 81 Baltic Life Insurance 40 Swedbank Group by geography 82 Baltic P&C Insurance 41 Employees 83 Business volumes 42 Currency distribution and exchange rates 84 Loans 42 Sensitivity analysis and market risk 85 Deposits and amounts owed to credit institutions 43 Shareholders and share data 86 Interest bearing Securities and Exposures towards the GIIPS countries and Deferred Tax Assets 44 Definitions 87 Contacts and financial calendar 88
Swedbank in brief General information Swedbank has roots firmly entrenched in Sweden's savings bank history, the cooperative agricultural bank tradition and Hansabanks's significant role in the Baltic countries. Swedbank has a leading position in its home markets of Sweden, Estonia, Latvia and Lithuania. Purpose To promote a sustainable financial situation for the many households and businesses. Values Simple, Open, Caring Financial targets Return on equity: Return on equity of at least 15 per cent. Cost efficiency: Market-leading cost efficiency Capitalisation: Solid capitalisation Priorities 2015 Long-term strategy Accessible full-service bank: We provide households, large and small businesses, and institutions with everything from basic transaction services to the most advanced advice. We offer efficient digital solutions that make it easy for customers to manage most of their financial needs themselves. More complex services that require advice are offered through direct contact with our employees. Improve customer value Continue to invest in accessibility, transparency, service and quality Maintain our attractiveness through a simplified offering and competitive pricing Better integrate sustainability into offerings and services and quality Decision-making close to our customers: All decisions are made as close to our customers as possible. Advisors and central development units are responsible for creating value for customers and shareholders. Since decisions are increasingly made using self-service solutions, business acumen is required of both our advisors and of those responsible for developing our offerings. This encourages our employees to be engaged, take responsibility and capitalise on opportunities for personal development. Low risk: Swedbank s lending are mainly financed through capital market funding. Low funding costs are the result of stable profitability in combination with high-quality lending and solid capitalisation. Maintaining stable earnings over time requires not only a low risk level, where each borrower s solvency, solidity and collateral are the determining factors, but also the ability to quickly adapt to changing customer behaviour and other market factors. Our priority is sustainable growth. Increase efficiency: Increase cost and resource efficiency Simplify internal processes and increase automation Increase competence transfers through increased internal mobility Integrate Sparbanken Öresund: Consolidate our position in an important growth region Give Sparbanken Öresund s customers access to Swedbank s systems and products Realise cost synergies High cost efficiency: External trends increase the importance of managing capital and expenses efficiently. Capital efficiency is achieved by employees who understand our customers and know what affects risk weighted assets and tie-up capital. It is also attained by developing products collaboratively at Group level. Our broad customer base gives us the economies of scale and opportunities to create cost-effective solutions with the help of new technology. The more cost-effective we are, the more customer value we can create through greater investment opportunities. 2
Swedbank in brief General information Sweden Population: 9.6m Private customers: 4.0m Corporate customers: 265 000 Organisations: 66 000 Branches: 275 ATMs 1) Cards: 4,1m Employees: 7 789 Latvia Population: 2.0m Private customers: 0.9m Corporate customers: 90 000 Branches: 41 ATMs: 413 Cards: 1.0m Employees: 1 570 Estonia Population: 1.3m Private customers: 0.8m Corporate customers: 135 000 Branches: 36 ATMs: 423 Cards: 1.1m Employees: 2 303 Lithuania Population: 3.0m Private customers: 1.5m Corporate customers: 84 000 Branches: 67 ATMs: 454 Cards: 1.6m Employees: 1 880 1) ATMs are owned and operated by Bankomat AB. More information is available on www.bankomat.se To support the business in Swedbank's four home markets, Swedbank also has a presence in neighbouring Norway, Finland and Denmark as well as the US, China, South Africa and Luxembourg. Group operational structure The financial reporting is divided in four segments. The six Swedish regions form Swedish Banking. Group products, and other group functions, constitute Group Functions & Other. Board of Directors President and CEO Internal audit Group Functions & Other Group Products Swedish Banking Baltic Banking Northern Region Central Region Stockholm Region Eastern region Western region South Region Large Corporates & Institutions Group executive committee Michael Wolf, President and CEO Mikael Björknert, Head of Strategic Analyses and M&A Birgitte Bonnesen, Head of Swedish Banking Göran Bronner, Chief Financial Officer Ulf Ejelöv, Head of Northern Region in Sweden Björn Elfstrand, Head of Stockholm Region in Sweden Anders Ekedahl, Head of Group IT Jonas Erikson, Head of Group Products Lars Friberg, Head of Group Human Resources Björn Meltzer, Acting Head of Large Corporates & Institutions Annika Hellström, Head of Central Region in Sweden Cecilia Hernqvist, Head of Group Communications Anders Karlsson, Group Chief Risk Officer Lars Ljungälv, Head of Southern Region in Sweden Helo Meigas, Head of Group Treasury Priit Perens, Head of Baltic Banking Lena Smeby-Udesen, Head of Western Region in Sweden Christer Trägårdh, Head of Eastern Region in Sweden Viveka Strangert, Head of Compliance 3
44B 4B 2B General information Macro economic indicators GDP growth Average inflation rate (consumer price growth) % 2016F 2015F 2014 2013 2012 2011 2010 % 2016F 2015F 2014 2013 2012 2011 2010 Sweden 3.1 3.5 2.4 1.3 0.0 2.7 5.7 Sweden 0.9 0.0-0,2 0.0 0.9 3.0 1.2 Estonia 2.3 1.2 2.9 1.6 4.7 8.3 2.5 Estonia 0.3-0.5-0.1 2.8 3.9 5.0 3.0 Latvia 3.3 3.0 2.4 4.2 4.8 5.0-2.9 Latvia 0.8 0.2 0.6 0.0 2.3 4.4-1.1 Lithuania 3.3 1.7 3.0 3.3 3.8 6.1 1.6 Lithuania 2.0-0.9 0.1 1.1 3.1 4.2 1.3 Current account balance, % of GDP General Government Financial Balance, % of GDP 2016F 2015F 2014 2013 2012 2011 2010 2016F 2015F 2014 2013 2012 2011 2010 Sweden 5.3 5.8 6.0 6.9 6.3 5.9 6.5 Sweden -0.9-0.9-1.7-1.4-0.9-0.1 0.0 Estonia 0.8 2.4 1.0-1.2-2.6 1.2 1.7 Estonia -0.2 0.7 0.7-0.2-0.2 1.2 0.2 Latvia -2.3-1.4-2.0-1.6-2.6-2.0 3.2 Latvia -1.2-1.5-1.6-0.7-0.8-3.3-8.1 Lithuania -2.3-1.9 3.6 1.6-1.4-3.9-0.3 Lithuania -1.5-1.0-0.7-2.6-3.1-8.9-6.9 General government debt, % of GDP 2016F 2015F 2014 2013 2012 2011 2010 Sweden 39.0 40.1 40.6 38.7 36.6 36.2 36.8 Sweden 45 183 9.7 571.1 Estonia 9.6 9.9 10.4 10.1 9.7 6.0 6.5 Estonia 26 485 1.3 26.9 Latvia 38.3 36.2 40.8 38.2 40.9 42.7 46.8 Latvia 22 872 2.0 31.3 Lithuania 41.0 42.9 40.7 38.8 39.8 37.2 36.2 Lithuania 26 742 2.9 48.4 Household debt, % of disposable income 1) Unemployment % 2014 2013 2012 2011 2010 % 2016F 2015F 2014 2013 2012 2011 2010 Sweden 173.4 169.7 167.1 168.5 170.8 Sweden 6.5 7.4 7.9 8.0 8.0 7.8 8.6 Estonia 1) 70.4 70.9 77.8 81.8 93.0 Estonia 6.3 5.9 7.4 8.6 10.0 12.3 16.7 Latvia 1) 43.8 49.7 56.7 67.8 73.6 Latvia 9.2 9.8 10.8 11.9 15.1 16.2 19.5 Lithuania 2) 34.3 35.0 37.2 39.3 42.6 Lithuania 8.1 9.2 10.7 11.8 13.4 15.4 17.8 1) Gross debt-to-income ratio of households (ESA 2010) 2) Gross debt-to-income ratio of households (not ESA 2010 adjusted) Source: Swedbank Reasearch - Macro Research, Eurostat, the World Bank & the Riksbank GDP per capita (PPP) 2013, USD Inhabitants (millions) GDP (2013, USDbn) 4
Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11 Mar-12 Jun-12 Sep-12 Dec-12 Mar-13 Jun-13 Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Macro economic indicators General information Interest rates: Sweden & Eurozone, % 3.0 2.5 2.0 1.5 1.0 0.5 0.0-0.5-1.0 Repo rate (SWE) ECB Euro rate 90 days Euribor 90 days Stibor (SWE) Real estate price development, Sweden 1) Index, 2005=100 220 200 180 160 140 120 100 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Stockholm Gothenburg Sweden Malmoe 1) House price index per december (2005=100) for a single family home Source: Valueguard Index Sweden AB 2015 (Hox index) Real estate price development, Baltics 2) EUR/m2 1 800 1 600 1 400 1 200 1 000 800 600 400 200 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Tallin Riga Vilnius 2) Average sales price per sqm for apartments Source: Land boards of respective country 5
Income statement, 5-year summary Financial information, Group Income statement, Group FY FY FY FY FY FY SEKm 2015 3) 2014 2) % 2013 2012 1) 2011 2010 Net interest income 22 993 22 642 2 22 029 20 361 19 014 16 228 Net commission income 11 199 11 204 0 10 132 9 614 9 597 10 116 Net gains and losses on financial items, fair value 571 1 986-71 1 484 3 073 1 584 2 400 Net insurance 708 581 22 647 595 506 612 Share of the profit or loss of associates 863 980-12 852 798 767 624 Other income 1 290 1 911-32 1 794 1 827 2 577 1 554 Total income 37 624 39 304-4 36 938 36 268 34 045 31 534 Staff costs 8 721 9 452-8 8 704 8 500 9 522 9 052 Variable staff costs 674 807-16 947 738 395 340 Other expenses 6 266 6 625-5 6 258 6 470 7 471 7 790 Depreciation/amortisation 672 718-6 739 852 1 011 950 Total expenses 16 333 17 602-7 16 648 16 560 18 399 18 132 Profit before impairments 21 291 21 702-2 20 290 19 708 15 646 13 402 Impairment of intangible assets 254 1 182 20 1 960 37 Impairment of tangible assets 72 256-72 693 407 174 600 Credit impairments 594 419 42 60-185 -1 911 2 810 Operating profit 20 371 21 026-3 19 355 19 466 15 423 9 955 Tax expense 4 625 4 301 8 4 099 4 157 3 669 2 472 Profit for the period from continuing operations 15 746 16 725-6 15 256 15 309 11 754 7 483 Profit for the period from discontinued operations, after tax -6-262 -98-2 340-997 4 Profit for the period including non-controlling interest 15 740 16 463-4 12 916 14 312 11 758 7 483 Profit for the period attributable to: Shareholders of Swedbank AB ####### 15 727 16 447 ##### -4 12 901 ######### 14 304 11 744 7 444 Non-controlling interests 13 16-19 15 8 14 39 Statement of Comprehensive Income FY FY FY FY FY FY SEKm 2015 3) 2014 2) % 2013 2012 2011 2010 Profit for the period reported via Income statement 15 740 16 463-4 12 916 14 312 11 758 7 483 Items that will not be reclassified to the income statement Remeasurements of defined benefit pension plans 3 539 463 2 264-1 653 Share related to associates 88-9 12-43 Income tax -798-101 -500 374 Total 2 829 353 1 776-1 322 Items that may be reclassified to the income statement Exchange differences on translating foreign operations: Gains/losses arising during the period -1 678 2 917 1 258-1 480-284 -4 218 Net gains and losses on financial items, fair value or profit for the period from discontinued operation 87 508-83 1 875 Hedging of net investments in foreign operations: Gains/losses arising during the period 1 489-2 320-910 1 050 379 2 420 Reclassification adjustments to Income statement, profit for the period from discontinued operations -91-365 Cash flow hedges: Gains/losses arising during the period 145 26-210 -614 78 149 Reclassification adjustments to Income statement, Net interest income 7 17-59 83 193 345 806 Net gains and losses on financial items, fair value Share of other comprehensive income of associates -135-29 -115 21-2 -30 Tax Income tax -358 505 248-74 -210-890 Reclassification adjustments to Income statement, tax -2-4 -18 Reclassification adjustments to Income statement, profit for the period from discontinued operations 28 80 Total -508 1 335-142 2 211-904 306-1 763 Other comprehensive income for the period, net of tax 2 321 1 688 38 3 987-2 226 306-1 763 Total comprehensive income for the period 18 061 18 151 0 16 903 12 086 12 064 5 720 Total comprehensive income attributable to: Shareholders of Swedbank AB 18 047 18 137 0 16 887 12 078 12 050 5 693 Non-controlling interests 14 14 0 16 8 14 27 1) From 2012, trading related net interest income is reported as net gains and losses on financial items at fair value. 2) Q2 2014 one-off effects from the acquisition of Sparbanken Öresund, other income of SEK 461m, staff costs of SEK 393m, other costs of SEK 222m and a positive effect on tax expenses of SEK 135m. 3) One-off tax effects in Q2 2015 increased tax expense with 447 SEKm related to Estonian dividend and US tax In 2013 Swedbank decided to discontinue its operations in Russia and Ukraine. In Q2 2013 the divestment of the Ukrainan subsidiary was finalised. Income statements have been restated for 2012 but for balances and full time employees no restatements have been done. 6
Income statement, 9-quarter summary Financial information, Group Income statement, Group Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 SEKm 2015 2015 2) 2015 2014 2014 2014 1) 2014 2013 Net interest income 5 759-52 5 811 5 704 5 719 5 809 5 829 5 521 5 483 5 626 Net commission income 2 877 141 2 736 2 842 2 744 2 882 2 816 2 813 2 693 2 699 Net gains/losses on financial items, fair value 165 161 4 82 320 69 799 773 345 461 Net insurance 193 30 163 167 185 174 123 134 150 181 Share of profit or loss of associates 155-46 201 228 279 93 221 410 256 209 Other income 308-11 319 292 371 352 362 804 393 476 Total income 9 457 223 9 234 9 315 9 618 9 379 10 150 10 455 9 320 9 652 Staff costs 2 194 104 2 090 2 203 2 234 2 252 2 267 2 695 2 238 2 297 Variable staff costs 97-70 167 172 238 200 202 206 199 277 Other expenses 1 791 333 1 458 1 500 1 517 1 661 1 508 1 846 1 610 1 689 Depreciation/amortisation 157-7 164 172 179 180 187 172 179 221 Total expenses 4 239 360 3 879 4 047 4 168 4 293 4 164 4 919 4 226 4 484 Profit before impairments 5 218-137 5 355 5 268 5 450 5 086 5 986 5 536 5 094 5 168 Impairment of intangible assets -254 254 1 12 Impairment of tangible assets 19 3 16 22 15 33 19 69 135 311 Credit Impairments 399 269 130 6 59 254 235 30-100 -32 Operating profit 4 800-155 4 955 5 240 5 376 4 799 5 732 5 436 5 059 4 877 Tax expense 974-38 1 012 1 538 1 101 1 000 1 164 1 063 1 074 1 212 Profit for the period from continuing operations 3 826-117 3 943 3 702 4 275 3 799 4 568 4 373 3 985 3 665 Profit for the period from discontinued operations, after tax -12-1 -11-32 49-3 -2-230 -27-48 Profit for the period including non-controlling interest 3 814-118 3 932 3 670 4 324 3 796 4 566 4 143 3 958 3 617 Profit for the period attributable to: Shareholders of Swedbank AB 3 813-115 3 928 3 666 4 320 3 795 4 560 4 139 3 953 3 612 Non-controlling interests 1-3 4 4 4 1 6 4 5 5 Statement of comprehensive income Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 SEKm 2015 2015 2) 2015 2014 2014 2014 1) 2014 2013 Profit for the period reported via Income statement 3 814-118 3 932 3 670 4 324 3 796 4 566 4 143 3 958 3 617 Items that will not be reclassified to the income statement Remeasurements of defined benefit pension plans 1 042 287 755 4 192-2 450 1 437-1 090 337-221 -318 Share related to associates 28 17 11 122-73 32-28 -6-7 -10 Income tax -236-68 -168-949 555-325 246-72 50 71 Total 834 236 598 3 365-1 968 1 144-872 259-178 -257 Items that may be reclassified to the income statement Exchange differences on translating foreign operations: Gains/losses arising during the period -1 192-2 033 841-257 -1 070 1 920-225 1 065 157 1 185 Reclassification adjustments to income statement, Net gains/losses on financial items at fair value or profit for the period from discontinued operation 87 87 508 Hedging of net investments in foreign operations: Gains/losses arising during the period 978 1 548-570 242 839-1 459 140-853 -148-927 Reclassification adjustments to Income statement, profit for the period from discontinued operations -91-91 -365 Cash flow hedges: Gains/losses arising during the period -16-29 13 36 112 33 69 3-79 -112 Reclassification adjustments to Income statement, Net interest income -7 7-3 3 31-23 4 5 12 Share of other comprehensive income of associates -42 51-93 -24 24-103 45 1 28-10 Tax Income tax relating to components of other comprehensive income -210-334 124-64 -208 315-44 179 55 231 Reclassification adjustments to Income statement, tax 2-2 1-1 -7 5-1 -1-3 Reclassification adjustments to Income statement, profit for the period from discontinued operations 28 28 80 Total -458-778 320-69 -301 730-33 621 17 376 Other comprehensive income for the period, net of tax 376-542 918 3 296-2 269 1 874-905 880-161 119 Total comprehensive income for the period 4 190-660 4 850 6 966 2 055 5 670 3 661 5 023 3 797 3 736 Shareholders of Swedbank AB 4 189-657 4 846 6 962 2 050 5 671 3 655 5 019 3 792 3 730 1) Q2 2014 one-off effects from the acquisition of Sparbanken Öresund, other income of SEK 461m, staff costs of SEK 393m, other costs of SEK 222m and a positive effect on tax expenses of SEK 135m. 2) One-off tax effects in Q2 2015 increased tax expense with 447 SEKm related to Estonian dividend and US tax. 7
11B 1B Balance sheet, 5-year summary Financial information, Group Balance sheet 31 Dec 31 Dec 31 Dec 31 Dec 31 Dec SEKm 2015 2014 % 2013 2012 2011 Assets Cash and balances with central banks 186 312 113 768 64 59 382 130 058 164 307 Loans to credit institutions 86 418 113 820-24 82 278 85 480 97 195 Loans to the public 1 413 955 1 404 507 1 1 264 910 1 238 864 1 211 454 Bonds and other interest-bearing securities 165 162 170 680-3 182 399 135 807 138 311 Financial assets for which customers bear the investment risk 153 442 143 319 7 122 743 104 194 95 747 Derivatives 86 107 123 202-30 64 352 102 265 103 726 Other assets 57 459 52 001 10 48 038 50 192 46 325 Total assets 2 148 855 2 121 297 1 1 824 102 1 846 860 1 857 065 Liabilities and equity Amounts owed to credit institutions 150 493 171 453-12 121 621 122 202 139 598 Deposits and borrowings from the public 748 271 676 679 11 620 608 579 663 561 696 Debt securites in issue 826 535 835 012-1 726 275 767 454 781 458 Financial liabilities for which customers bear the investment risk 157 836 146 177 8 125 548 105 104 96 449 Derivatives 68 681 85 694-20 55 011 92 141 90 484 Other liabilites 49 084 69 952-30 55 175 62 803 69 716 Subordinated liabilities 24 613 18 957 30 10 159 14 307 19 531 Equity 123 342 117 373 5 109 705 103 186 98 133 Total liabilities and equity 2 148 855 2 121 297 1 1 824 102 1 846 860 1 857 065 In 2013 Swedbank decided to discontinue its operations in Russia and Ukraine. In Q2 2013 the divestment of the Ukrainan subsidiary was finalised. Income statements have been restated for 2012 but for balances and full time employees no restatements have been done. 8
Balance sheet 9 quarters, Equity and Goodwill Financial information, Group Balance sheet 31 Dec 30 Sep 30 Jun 31 Mar 31 Dec 30 Sep 30 Jun 31 Mar 31 Dec SEKm 2015 SEKm 2015 2015 2015 2014 2014 2014 2014 2013 Assets Cash and balances with central banks 186 312-80 154 266 466 237 956 225 474 113 768 158 041 158 671 126 465 59 382 Loans to credit institutions 86 418-22 210 108 628 102 613 93 352 113 820 95 818 97 869 91 121 82 278 Loans to the public 1 413 955-27 338 1 441 293 1 426 815 1 403 137 1 404 507 1 340 580 1 322 785 1 278 780 1 264 910 Interest-bearing securities 165 162-24 929 190 091 210 604 200 065 170 680 193 665 199 288 172 577 182 399 Value change of interest hedged item in portfolio hedge 1 009-517 1 526 1 194 1 653 1 291 994 788 404 62 Financial assets for which customers bear the investment risk 153 442 6 250 147 192 155 387 157 389 143 319 137 138 134 553 126 264 122 743 Shares and participating interests 11 074 1 547 9 527 10 365 10 946 9 931 10 689 9 993 10 235 7 109 Investments in associates 5 382 92 5 290 5 234 5 008 4 924 4 973 4 853 3 829 3 640 Derivatives 86 107-13 443 99 550 95 640 138 691 123 202 93 697 75 794 67 855 64 352 Intangible fixed assets 13 690-210 13 900 13 986 14 046 14 319 13 969 13 966 13 669 13 658 of which goodwill 12 010-246 12 256 12 076 12 124 12 344 12 014 12 014 11 807 11 760 Tangible assets 1 989-117 2 106 2 269 2 439 2 750 3 063 3 490 3 381 3 825 Current tax assets 1 662-1 102 2 764 1 444 1 175 1 304 1 062 1 068 1 066 895 Deferred tax assets 192 7 185 184 245 638 623 681 369 417 Other assets 15 951 144 15 807 28 688 13 313 10 103 16 335 19 999 17 202 9 578 Prepaid expenses and accrued income 6 362-686 7 048 6 613 6 982 6 126 6 720 6 694 7 029 6 992 Group of assets classified as held for sale 148 5 143 207 614 615 1 106 1 251 1 937 1 862 Total assets 2 148 855-162 661 2 311 516 2 299 199 2 274 529 2 121 297 2 078 473 2 051 743 1 922 183 1 824 102 Liabilities and equity Liabilities Amounts owed to credit institutions 150 493-2 810 153 303 148 685 142 428 171 453 142 658 149 863 119 118 121 621 Deposits and borrowings from the public 748 271-7 456 755 727 816 255 762 536 676 679 686 426 697 168 654 674 620 608 Debt securities in issue 826 535-124 260 950 795 846 428 884 746 835 012 826 826 800 419 779 042 726 275 Financial liabilities for which customers bear the investment risk 157 836 7 496 150 340 158 872 161 483 146 177 139 887 136 843 130 082 125 548 Derivatives 68 681-5 636 74 317 75 903 102 172 85 694 73 287 57 129 56 845 55 011 Current tax liabilities 105-1 196 1 301 570 964 1 477 265 641 1 056 1 893 Deferred tax liabilities 3 071 615 2 456 2 299 970 1 684 2 301 2 288 2 369 2 383 Short positions securities 8 191-28 445 36 636 33 716 19 447 27 058 25 183 30 405 14 943 17 519 Other liabilities 22 358-4 755 27 113 60 219 46 172 20 768 31 749 31 205 25 831 14 269 Accrued expenses and prepaid income 13 243 612 12 631 13 719 13 111 13 071 12 312 13 856 13 734 14 194 Provisions 2 102-512 2 614 3 569 8 082 5 855 7 467 5 615 4 923 4 698 Subordinated liabilities 24 613-647 25 260 24 829 25 310 18 957 18 395 18 377 16 920 10 159 Liabilities directly associated with group of assets classified as held for sale 14 10 4 12 50 39 122 134 153 219 Total liabilities 2 025 513-166 984 2 192 497 2 185 076 2 167 471 2 003 924 1 966 878 1 943 943 1 819 690 1 714 397 Equity Non-controlling interests 179 1 178 174 175 170 175 169 170 165 Equity attributable to shareholders of Swedbank AB 123 163 4 322 118 841 113 949 106 883 117 203 111 420 107 631 102 323 109 540 Total equity 123 342 4 323 119 019 114 123 107 058 117 373 111 595 107 800 102 493 109 705 Total liabilities and equity 2 148 855-162 661 2 311 516 2 299 199 2 274 529 2 121 297 2 078 473 2 051 743 1 922 183 1 824 102 Equity attributable to shareholders of Swedbank AB, 31 Dec 2015 Goodwill, 31 Dec 2015 SEKm SEKm Swedbank AB (Sweden) 77 382 Swedbank Robur 328 Swedbank Mortgage (Sweden) 36 570 Swedbank Försäkring 651 Swedbank Robur (Sweden) 1 297 Ölands Bank AB 9 Swedbank Försäkring (Sweden) 3 322 Swedbank (Estonia) 3 894 Sparia Försäkring Group(Sweden) 146 Swedbank (Latvia) 2 004 Swedbank (Estonia) 14 445 Swedbank (Lithuania) 3 405 Swedbank (Latvia) 10 952 Group total 10 291 Swedbank (Lithuania) 10 016 Goodwill within parent company: OOO Leasing (Russia) -75 Swedbank AB (Sweden) 1 719 Ektornet (Sweden) 162 Other subsidiaries 1 389 Total goodwill 12 010 Total legal equity 155 606 Group adjustments and eliminations -32 443 Total equity attributable to shareholders of Swedbank AB 123 163 9
00B 0B Statement of changes in equity Financial information, Group Statement of changes in equity SEKm Share capital Other contributed equity Exchange differences, subsidiaries and associates Shareholders' equity Hedging of net investments in foreign operations Cash flow hedges Retained earnings Total Noncontrolling interest Total equity Opening balance 1 January 2015 24 904 17 275 2 564-1 801-105 74 366 117 203 170 117 373 Dividends -12 539-12 539-5 -12 544 Share based payments to employees 434 434 434 Disposal of own shares for trading purposes 33 33 33 Acquired non-controlling interests -8-8 -8 Associated companies' acquisition of minority -7-7 -7 Total comprehensive income for the period -1 728 1 097 122 18 556 18 047 14 18 061 Closing balance 31 December 2015 24 904 17 275 836-704 17 80 835 123 163 179 123 342 Specification of Exchange differences, subsidiaries and associates 31 Dec 31 Dec Q4 Q3 Q2 Q1 Q4 Q3 Q2 SEKm 2015 2014 2015 2015 2015 2015 2014 2014 2014 Russian Operations -83 84 2-2 -1-43 -18 525 Estonian Operations 696 1 450-481 339-111 -501 908-102 478 Latvian Operations 261 699-340 240-65 -273 501-56 263 Lithuanian Operations 243 694-352 250-67 -282 520-59 281 Norwegian Operations -325-186 -43-95 -84 83-109 51-4 Robur, Ektornet and other -39-11 -15 11 48-72 40 4 30 Total 836 2 563-1 147 747-281 -1 046 1 817-180 1 573 Specification of Hedging of net investment in foreign operations 31 Dec 31 Dec Q4 Q3 Q2 Q1 Q4 Q3 Q2 SEKm 2015 2014 2015 2015 2015 2015 2014 2014 2014 Russian Operations 55-63 8 32 12-289 Estonian Operations -564-1 045 291-207 75 322-578 66-304 Latvian Operations -94-379 221-155 40 179-325 37-170 Lithuanian Operations -178-443 203-144 38 168-303 33-162 Norwegian Operations 212 106 34 72 19-19 78-32 -4 Robur, Ektornet and other -80-95 15-11 14-3 -40-6 -29 Total -704-1 801 701-445 186 655-1 136 110-958 Specification of Cash flow hedges 31 Dec 31 Dec Q4 Q3 Q2 Q1 Q4 Q3 Q2 SEKm 2015 2014 2015 2015 2015 2015 2014 2014 2014 Group Treasury 18-103 -12 17 26 90 49 37 6 Other -1-2 1 Total 17-105 -12 18 26 90 49 37 6 10
Net interest income analysis, Group Financial information, Group Net interest income analysis, Group FY FY % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Interest income Loans to credit institutions 329 658-50 87 62 97 83 62 174 222 200 98 Loans to the public 33 144 38 741-14 7 832 8 113 8 386 8 813 9 298 9 758 9 864 9 821 10 344 Interest-bearing securities 1 237 2 274-46 207 251 361 418 431 635 642 566 605 Derivatives, income -27-199 -86-85 59-145 144 109-125 -42-141 -104 Other 925 764 21 198 247 224 256 220 197 176 171 162 Total interest income 35 608 42 238-16 8 239 8 732 8 923 9 714 10 120 10 639 10 862 10 617 11 105 of which interest income reported in net gains/ losses on financial items at fair value 625 1 186-47 136 87 104 298 411 296 401 78 186 Interest income according to income statement 34 983 41 052-15 8 103 8 645 8 819 9 416 9 709 10 343 10 461 10 539 10 919 Interest expense Amounts owed to credit institutions -325-479 -32-96 -81-83 -65-79 -93-177 -130-122 Deposits and borrowings from the public -1 256-3 191-61 -174-289 -333-460 -559-684 -964-984 -1 225 of which deposits guarantee fees -563-604 -7-98 -155-155 -155-175 -147-138 -144-144 Debt securities in issue -14 369-16 901-15 -3 221-3 721-3 553-3 874-3 982-4 118-4 321-4 480-4 620 of which state guarantee fees -31-12 -19-20 Subordinated liabilities -1 041-671 55-270 -279-271 -221-124 -205-201 -141-123 Derivatives, expenses 5 688 2 866 98 1 567 1 752 1 309 1 060 902 664 670 630 693 Other -748-695 8-148 -208-204 -188-244 -164-144 -143-127 of which stability fee -681-616 11-133 -188-185 -175-211 -140-133 -132-114 Total interest expense -12 051-19 071-37 -2 342-2 826-3 135-3 748-4 086-4 600-5 137-5 248-5 524 of which interest expense reported in net gains/ losses on financial items at fair value -61-661 -91 2 8-20 -51-186 -86-197 -192-231 Interest expense according to income statement -11 990-18 410-35 -2 344-2 834-3 115-3 697-3 900-4 514-4 940-5 056-5 293 Net interest income 22 993 22 642 2 5 759 5 811 5 704 5 719 5 809 5 829 5 521 5 483 5 626 Average balances Loans to credit institutions 105 694 96 699 9 99 206 102 892 104 621 112 936 99 729 101 956 97 381 87 409 76 917 Loans to the public 1 427 467 1 314 650 9 1 437 248 1 446 774 1 416 807 1 406 249 1 362 867 1 329 733 1 296 801 1 268 750 1 257 357 Interest-bearing securities 154 321 163 632-6 158 989 157 754 163 845 148 695 159 912 163 476 169 681 162 485 146 864 Interest-bearing assets 1 687 482 1 574 981 7 1 695 443 1 707 420 1 685 273 1 667 880 1 622 508 1 595 165 1 563 863 1 518 644 1 481 138 Derivatives 113 836 85 186 34 98 021 102 994 116 779 135 643 107 603 86 655 73 436 68 498 65 250 Other assets 521 568 387 607 35 509 361 530 097 530 995 468 335 408 113 392 785 388 632 325 955 318 224 Total assets 2 322 886 2 047 774 13 2 302 825 2 340 511 2 333 047 2 271 858 2 138 224 2 074 605 2 025 931 1 913 097 1 864 612 Amounts owed to credit institutions 161 529 143 222 13 165 222 157 676 148 632 164 544 148 806 144 592 152 998 121 986 127 352 Deposits and borrowings from the public 836 646 722 339 16 807 480 846 784 855 890 792 577 751 753 722 625 708 122 674 668 642 942 Debt securities in issue 889 297 801 892 11 908 898 907 122 876 778 867 910 829 370 820 819 797 928 759 603 756 244 Subordinated liabilities 24 191 17 175 41 25 067 25 250 25 090 22 063 18 639 18 424 18 670 14 509 10 117 Interest-bearing liabilities 1 911 663 1 684 628 13 1 906 667 1 936 832 1 906 390 1 847 094 1 748 568 1 706 460 1 677 718 1 570 766 1 536 655 Derivatives 85 000 66 330 28 73 986 77 900 89 899 97 566 79 839 66 268 58 391 57 890 56 900 Other liabilities 209 909 186 863 12 201 347 209 207 226 967 211 442 195 700 191 964 184 844 175 760 163 195 Total liabilities 2 206 572 1 937 821 14 2 182 000 2 223 939 2 223 256 2 156 102 2 024 107 1 964 692 1 920 953 1 804 416 1 756 750 Equity 116 314 109 953 6 120 825 116 572 109 791 115 756 114 117 109 913 104 978 108 681 107 862 Total liabilities and equity 2 322 886 2 047 774 13 2 302 825 2 340 511 2 333 047 2 271 858 2 138 224 2 074 605 2 025 931 1 913 097 1 864 612 Net interest income analysis, Group FY FY Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 % 2015 2014 2015 2015 2015 2015 2014 2014 2014 2014 2013 Average interest rates Loans to credit institutions 0.31 0.68-0.37 0.35 0.24 0.37 0.29 0.25 0.68 0.91 0.92 0.51 Loans to the public 2.32 2.95-0.61 2.18 2.24 2.37 2.51 2.73 2.94 3.04 3.10 3.29 Interest-bearing securities 0.80 1.39-0.60 0.52 0.64 0.88 1.12 1.08 1.55 1.51 1.39 1.65 Interest-bearing assets 2.06 2.65-0.59 1.92 1.97 2.10 2.23 2.41 2.65 2.74 2.79 2.98 Amounts owed to credit institutions 0.20 0.33-0.13 0.23 0.21 0.22 0.16 0.21 0.26 0.46 0.43 0.38 Deposits and borrowings from the public 0.15 0.44-0.29 0.09 0.14 0.16 0.23 0.30 0.38 0.54 0.58 0.76 Debt securities in issue 1.62 2.11-0.49 1.42 1.64 1.62 1.79 1.92 2.01 2.17 2.36 2.44 Subordinated liabilities 4.30 3.91 0.40 4.31 4.42 4.32 4.01 2.66 4.45 4.31 3.89 4.86 Interest-bearing liabilities 0.89 1.26-0.37 0.79 0.90 0.89 1.00 1.09 1.20 1.35 1.46 1.59 Net interest margin before trading interest are deducted (net interest income/ total assets) 1.01 1.13-0.12 1.02 1.01 0.99 1.05 1.13 1.16 1.13 1.12 1.20 Interest-bearing securities are reported net less sold, not held, securities. Interest income on impaired loans is not accrued. 11
Income analysis Financial information, Group Income analysis, Group FY FY % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Net interest income 22 993 22 642 2 5 759 5 811 5 704 5 719 5 809 5 829 5 521 5 483 5 626 Payment processing 700 795-12 193 184 166 157 224 170 214 187 198 Card commissions 2 503 2 335 7 660 677 599 567 609 633 587 506 531 Service concepts 482 477 1 116 117 119 130 119 119 118 121 110 Asset management & Custody 4 487 4 481 0 1 178 1 049 1 125 1 135 1 134 1 142 1 133 1 072 1 110 Life insurance 467 285 64 115 115 131 106 73 75 67 70 59 Brokerage & Other securities 342 387-12 54 43 118 127 93 86 95 113 65 Corporate Finance 246 466-47 64 49 83 50 160 56 124 126 163 Lending and Guarantees 1 169 1 111 5 285 286 288 310 239 296 289 287 262 Deposits 141 154-8 19 39 39 44 55 40 12 47 34 Real estate brokerage 256 301-15 55 59 71 71 73 79 83 66 43 Non-Life insurance 66 72-8 19 17 15 15 19 18 20 15 27 Other commission income 340 340 119 101 88 32 84 102 71 83 97 Net commission income 11 199 11 204-0 2 877 2 736 2 842 2 744 2 882 2 816 2 813 2 693 2 699 Financial instruments held for trading 2 054 2 423-15 512 350 424 768 483 618 804 518 438 Financial instruments intended to hold until maturity -1 483-437 -347-346 -342-448 -414 181-31 -173 23 Net gains and losses on financial items at fair value 571 1 986-71 165 4 82 320 69 799 773 345 461 Net insurance 708 581 22 193 163 167 185 174 123 134 150 181 Sparbanken Skåne/Färs & Frosta Sparbank 23 39-41 -15 4 7 27-11 14-17 53 21 Swedbank Sjuhärad 124 138-10 28 32 32 32 33 38 34 33 32 Other jointly owned banks in Sweden 57 62-8 12 16 13 16 12 19 14 17 13 EnterCard Holding 1) 573 691-17 123 117 148 185 53 128 364 146 129 Other companies 86 50 72 7 32 28 19 6 22 15 7 14 Share of the profit or loss of associates 863 980-12 155 201 228 279 93 221 410 256 209 IT/administrative services to savings banks 713 770-7 179 195 176 163 183 200 203 184 208 Assets taken over 84 296-72 21 4 9 50 25 64 55 152 178 Other 2) 493 845-42 108 120 107 158 144 98 546 57 90 Other income 1 290 1 911-32 308 319 292 371 352 362 804 393 476 Total income 37 624 39 304-4 9 457 9 234 9 315 9 618 9 379 10 150 10 455 9 320 9 652 1) Q2 2014 One-off effect of SEK 230m due to terminated partnership Norway. 2) Q2 2014 one-off effect from the acquisition of Sparbanken Öresund, of SEK 461m. 12
99B 9B 99B 9B Expense analysis Financial information, Group Expense analysis, Group FY FY % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Staff costs Salaries and other remunerations 5 709 6 132-7 1 422 1 368 1 450 1 469 1 485 1 446 1 758 1 443 1 495 Variable staff costs 1) 674 806-16 97 167 172 238 200 202 205 199 277 Pension costs 1) 925 1 029-10 246 214 228 237 228 280 272 249 243 Social insurance charges 1) 1 733 1 928-10 415 430 443 445 443 456 576 453 465 Training costs 105 127-17 39 18 22 26 38 22 34 33 41 Other staff costs 249 237 5 72 60 60 57 58 63 56 60 53 Total staff costs 2) 3) 9 395 10 259-8 2 291 2 257 2 375 2 472 2 452 2 469 2 901 2 437 2 574 Other expenses Premises and rents 2) 1 172 1 356-14 357 264 271 280 296 274 422 364 319 IT expenses 1 888 1 825 3 525 481 433 449 478 445 463 439 491 Telecommunications and postage 158 161-2 38 39 37 44 43 34 42 42 34 Advertising, PR and marketing 340 360-6 132 56 67 85 91 92 104 73 114 Consultants 2) 310 409-24 94 72 70 74 85 72 188 64 87 Compensation to Savings Banks 762 735 4 177 192 214 179 194 192 180 169 162 Other purchased services 617 636-3 170 148 145 154 165 144 159 168 178 Security transport and alarm systems 83 84-1 23 21 21 18 22 22 19 21 21 Supplies 108 109-1 25 24 32 27 25 20 26 38 32 Travel 190 218-13 62 35 52 41 66 42 57 53 67 Entertainment 54 59-8 22 11 11 10 24 13 11 11 17 Repair/maintenance of inventories 115 129-11 39 26 26 24 35 32 33 29 40 Other expenses 2) 469 544-14 127 89 121 132 137 126 142 139 127 Total other expenses 6 266 6 625-5 1 791 1 458 1 500 1 517 1 661 1 508 1 846 1 610 1 689 Depreciation/amortisation 672 718-6 1570 164 172 179 180 187 172 179 221 Total expenses 16 333 17 602-7 4 239 3 879 4 047 4 168 4 293 4 164 4 919 4 226 4 484 IT-related expenses IT-related expenses 4) FY FY % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Expenses within internal IT-organisation (Group IT) Staff costs 882 1 003-12 218 203 224 237 243 233 259 267 255 IT expenses 1 233 942 31 359 335 279 261 260 229 229 224 240 of which software incl. licenses 616 480 28 166 200 124 126 127 123 117 113 111 of which IT-consultants 334 192 74 106 72 89 67 57 42 46 47 47 of which other bought IT-services 283 270 5 87 63 66 68 76 64 66 64 82 Leasing and depreciation of IT-equipment 135 140-4 38 34 31 32 37 36 33 34 35 Other expenses 322 363-11 78 79 89 77 110 76 68 110 113 Total expenses 2 572 2 448 5 692 650 623 607 650 574 589 635 643 Expenses outside internal IT-organisation (Group IT) IT expenses bought by business areas 654 883-26 166 147 154 188 217 216 235 214 250 Activated IT-related expenses 275 118 133 82 70 61 63 38 43 37 4 Total IT-related expenses 3 501 3 449 2 940 867 837 857 906 833 861 849 897 of which development cost 1 411 1 345 5 408 321 343 339 362 302 369 311 354 1) Social insurance charges and pension costs related to variable pay are presented as variable staff costs. 2) Q2 2014 one-off effects from the acquisition of Sparbanken Öresund, staff costs of SEK 393m, premises and rents of SEK 80m, consultancy of SEK 127m and other costs of SEK 15m. 3) During Q4 2013 SEK 100m was expensed for staff restructurings in Sweden and the Baltic countries. 4) IT-related staff costs outside the internal IT organisation are not included. 13
Variable pay Income Statement Impact Actual Financial information, Group Forecast Year Program FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 2016-2019 programs 2011 Eken 2011 164 156 198 75 10 603 846 IP 2011 164 23 30 24 2 243 2012 Eken 2012 182 183 183 150 53 751 1 072 IP 2012 233 32 32 27-3 321 2013 Eken 2013 111 104 95 124 434 792 IP 2013 267 33 32 26 358 2014 Eken 2014 146 123 273 542 806 IP 2014 205 10 49 264 2015 Eken 2015 62 196 258 491 IP 2015 159 74 233 Other variable pay 92 111 69 2 4 278 Total 420 705 890 804 674 799 4 285 1) Variable Pay in Swedbank includes two programs, Eken and Individual Program ("IP"). Eken comprises essentially all employees in the Group and consists of deferred compensation in the form of shares. IP comprises around 700 employees and consists of cash and deferred compensation in the form of shares 2) Duration period for each program is comprised of i) an initial performance year followed by ii) a deferral period prior to iii) the delivery date year after the deferral period. The share part is recognized in the P/L over the duration period, 50 months, while cash part is recognized over 12 months (performance year) 3) Positive Economic Profit is a prerequisite for Eken and IP. Size of Eken has direct connection to Group ROE 4) Recognized expenses for shares after the performance year take into account forfeited rights and include social charges based on the expected share price on the delivery date (assumed being equal to the current share price) 14
Swedish Banking Business areas FY FY Δ % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 2014 1) Y/Y 2015 2015 2015 2015 2014 2014 2014 1) 2014 2013 Income statement Net interest income 13 435 13 350 1 3 560 3 404 3 281 3 190 3 301 3 372 3 361 3 316 3 451 Payment processing 110 58 90 10 31 48 21 22 1 7 28 17 Card commission 1 272 1 106 15 342 341 316 273 286 293 275 252 256 Service concepts 482 477 1 116 117 119 130 119 120 117 121 110 Asset management 3 498 3 604-3 871 830 907 890 905 920 916 863 879 Life Insurance 419 304 38 98 106 108 107 80 76 71 77 62 Brokerage & Other securities 507 425 19 100 76 169 162 132 73 134 86 87 Lending and guarantees 367 306 20 86 90 96 95 72 87 86 61 77 Deposits 52 83-37 -3 18 18 19 21 20 15 27 12 Corporate finance 3 23-87 3 10 2 11 1 Real estate brokerage 256 301-15 55 59 71 71 73 79 83 66 43 Non-Life insurance 59 71-17 15 15 15 14 18 18 18 17 18 Other commissions 151 181-17 72 34 46-1 52 50 44 35 78 Net commission income 7 176 6 939 3 1 762 1 717 1 916 1 781 1 790 1 739 1 777 1 633 1 640 Net gains and losses on financial items at fair value 264 230 15 83 64 63 54 80 47 52 51 31 Net insurance 335 291 15 108 87 88 52 98 62 60 71 98 Share of the profit or loss of associates 862 980-12 155 201 228 278 94 221 409 256 210 Other income 479 888-46 113 100 92 174 145 115 549 79 88 Total income 22 551 22 678-1 5 781 5 573 5 668 5 529 5 508 5 556 6 208 5 406 5 518 Staff costs 3 487 4 034-14 824 861 883 919 917 928 1 315 874 834 Variable staff costs 157 211-26 27 42 34 54 59 52 51 49 62 Expenses for premises 613 667-8 211 121 137 144 168 140 223 136 171 IT expenses 541 552-2 116 140 135 150 161 138 156 97 195 Consultants 84 173-51 20 29 18 17 14 15 128 16 15 Other expenses 4 999 5 018-0 1 297 1 193 1 262 1 247 1 271 1 252 1 263 1 232 1 252 of which internally sold and bought services 3 580 3 566 0 906 879 889 906 869 885 905 907 884 Depreciation/amortisation 106 91 16 25 26 27 28 30 29 16 16 16 Total expenses 9 987 10 746-7 2 520 2 412 2 496 2 559 2 620 2 554 3 152 2 420 2 545 Profit before impairments 12 564 11 932 5 3 261 3 161 3 172 2 970 2 888 3 002 3 056 2 986 2 973 Credit impairments 482 246 96 347 35 48 52 147 43 25 31 140 Operating profit 12 082 11 686 3 2 914 3 126 3 124 2 918 2 741 2 959 3 031 2 955 2 833 Tax expense 2 548 2 392 7 595 666 676 611 565 629 563 635 608 Profit for the period from continuing operations 9 534 9 294 3 2 319 2 460 2 448 2 307 2 176 2 330 2 468 2 320 2 225 Profit for the period including non-controlling interest 9 534 9 294 3 2 319 2 460 2 448 2 307 2 176 2 330 2 468 2 320 2 225 Profit for the period attributable to: Shareholders of Swedbank AB 9 521 9 280 3 2 318 2 456 2 444 2 303 2 176 2 324 2 464 2 316 2 220 Non-controlling interests 13 14-7 1 4 4 4 6 4 4 5 1) Q2 2014 one-off effects from the acquisition of Sparbanken Öresund, other income of SEK 461m, staff costs of SEK 393m, premises and rents of SEK 80m, consultancy of SEK 127m, other costs of SEK 15m and a positive effect on tax expenses of SEK 135m. 15
Swedish Banking Business areas 31 Dec 31 Dec Δ % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKbn 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Balance sheet (Incl intra-group transactions) Assets Cash and balances with central banks Loans to credit institutions 42 58-28 42 43 45 22 58 43 42 41 41 Loans to the public 1 064 1 023 4 1 064 1 058 1 050 1 037 1 023 1 003 985 948 936 Bonds and other interest-bearing securities 2 Financial assets for which customers bear inv. risk 153 142 8 153 146 154 156 142 136 134 125 120 Derivatives Other assets 11 12-8 11 10 11 11 12 13 13 12 12 Total assets 1 270 1 235 3 1 270 1 257 1 260 1 226 1 235 1 195 1 176 1 126 1 109 Liabilities and equity Amounts owed to credit institutions 87 93-6 87 81 83 76 93 77 81 77 81 Deposits and borrowings from the public 458 416 10 458 436 433 405 416 406 405 383 385 Debt securities in issue 2 1 2 2 2 2 2 Financial liabilities for which customers bear inv. risk 155 143 8 155 147 156 158 143 137 134 128 124 Derivatives Other liabilities 519 529-2 519 541 534 533 529 538 518 506 486 Subordinated liabilities Allocated equity 51 52-2 51 51 52 52 52 35 36 32 33 Total liabilities and equity 1 270 1 235 3 1 270 1 257 1 260 1 226 1 235 1 195 1 176 1 126 1 109 Key figures Key performance indicators Return on allocated equity, % 18.5 25.5 18.2 19.0 18.9 17.9 20.0 26.3 30.0 28.5 27.4 Cost/Income ratio 0.44 0.47 0.44 0.43 0.44 0.46 0.48 0.46 0.51 0.45 0.46 Credit impairment ratio, % 0.05 0.03 0.13 0.01 0.02 0.02 0.06 0.02 0.01 0.01 0.06 Loan/Deposit ratio, % 235 249 235 246 245 260 249 250 246 250 243 Volumes, SEKbn Loans to the public excluding repos & SNDO 1) 2) 1 064 1 024 4 1 064 1 059 1 050 1 039 1 024 1 004 986 948 936 Deposits from the public excluding repos & SNDO 1) 2) 453 412 10 453 431 428 400 412 402 401 379 385 Mutual funds & insurance 612 592 3 612 586 630 650 592 560 551 515 504 Discretionary asset management Goodwill Allocated equity, average, SEKm 51 424 36 381 41 51 075 51 712 51 726 51 324 43 573 35 279 32 804 32 450 32 367 Risk exposure amount 3) 4) 183 185-1 183 187 186 188 185 180 178 187 201 Commitments 121 120 1 121 132 131 121 120 117 113 109 107 Full-time employees 2) 4 469 5 008-11 4 469 4 571 4 651 4 898 5 008 5 053 5 047 4 591 4 530 Other information (millions) Number of Internet bank customers (incl. savings banks) 3.9 3.7 7 3.9 3.8 3.8 3.8 3.7 3.7 3.6 3.6 3.6 Number of internet bank payments (incl. savings banks) 162 174-7 43 39 40 41 43 41 44 46 21 Number of Mobile bank customers (incl. savings banks) 2.5 2.0 24 2.5 2.3 2.2 2.1 2.0 1.9 1.8 1.7 1.6 Number of logins in Internetbank 240 254-5 61 56 60 63 63 60 65 66 66 Number of logins in Mobile Bank 396 416-5 88 96 111 101 108 114 105 89 92 Number of cards (debit cards) 4 3.9 4 4 4.0 3.9 3.9 3.9 3.9 3.9 3.8 3.8 Number of card purchases 822 976-16 278 278 267 240 253 255 248 220 232 POS/total card turnover, % 5) 80 77 81 80 80 79 78 77 77 77 76 Number of card acquiring, Nordic Countries 1 968 1 659 19 533 516 494 426 435 431 422 371 396 Total acquired amount, Nordic Countries, SEKm 404 771 436 587-7 139 571 134 038 131 162 107 457 115 801 113 570 112 589 94 628 106 652 1) Excluding intra-group transactions. 2) Q2 2014 effects from the acquisition of Sparbanken Öresund, Loans SEK 16.5bn, Deposits SEK 12bn, Full-time employees 448. 3) During Q2 2014, implementation of IRB-A decreased REA with SEK 34bn and aquisition of Öresund and investment in Sparbanken Skåne increased REA with SEK 16bn. 4) Risk exposure amount is reported according to Basel 3. Risk exposure amount is reported according to Basel 2 in 2013. 5) Point of Sale (POS). 16
Baltic Banking Business areas FY FY Δ % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKm 2015 1) 2014 Y/Y 2015 2015 2015 1) 2015 2014 2014 2014 2014 2013 Income statement Net interest income 3 558 3 496 2 962 900 865 831 863 865 894 874 844 Payment processing 457 549-17 115 116 116 110 134 129 164 122 132 Card commission 896 825 9 229 233 230 204 216 217 218 174 193 Service concepts Asset management 348 302 15 113 75 81 79 80 80 73 69 65 Life Insurance 42-12 11 9 24-2 -2-3 -4-3 -3 Brokerage & Other securities -2-4 -50-1 -1-1 -2-1 -2 Lending and guarantees 209 198 6 51 55 51 52 52 54 48 44 48 Deposits 84 77 9 21 21 21 21 20 19 19 19 19 Non-life insurance 10 20-50 4 2 4 6 5 5 4 5 Other commissions 8 1 4 1 2 1-1 1 1-3 Net commission income 2 052 1 956 5 548 511 524 469 505 500 522 429 454 Net gains and losses on financial items at fair value 202 239-15 59 48 45 50 64 60 62 53 84 Net insurance 383 293 31 88 81 81 133 77 61 75 80 83 Share of the profit or loss of associates Other income 93 123-24 30 26 21 16 25 26 43 29 47 Total income 6 288 6 107 3 1 687 1 566 1 536 1 499 1 534 1 512 1 596 1 465 1 512 Staff costs 845 783 8 222 204 209 210 216 187 193 187 204 Variable staff costs 75 78-4 18 20 18 19 20 19 19 20 20 Expenses for premises 164 177-7 41 40 41 42 43 45 45 44 52 IT expenses 180 238-24 40 47 44 49 68 59 55 56 70 Consultants 3 9-67 1 1 1-1 4 3 3 1 Other expenses 1 079 1 088-1 301 261 264 253 290 267 270 261 262 of which internally sold and bought services 777 769 1 197 189 194 197 190 189 195 195 188 Depreciation/amortisation 136 144-6 32 32 34 38 37 36 35 36 56 Total expenses 2 482 2 517-1 654 605 611 612 673 617 620 607 665 Profit before impairments 3 806 3 590 6 1 033 961 925 887 861 895 976 858 847 Impairment of intangible assets 1 1 1 Impairment of tangible assets 8 10-20 3 6 1-2 10 2 3-5 16 Credit impairments -172-186 -8-112 -2-49 -9-10 -59-16 -101-177 Operating profit 3 970 3 765 5 1 142 957 973 898 861 952 988 964 1 007 Tax expense 1 510 565 183 132 1 064 131 128 142 158 137 182 Profit for the period from continuing operations 2 460 3 200-23 959 825-91 767 733 810 830 827 825 Profit for the period from discontinued operations, after tax Profit for the period including non-controlling interest 2 460 3 200-23 959 825-91 767 733 810 830 827 825 Profit for the period attributable to: Shareholders of Swedbank AB 2 460 3 200-23 959 825-91 767 733 810 830 827 825 Non-controlling interests 1) One-off tax effect in Q2 2015 increased tax expense with 929 SEKm related to Estonian extra dividend. 17
Baltic Banking Business areas 31 Dec 31 Dec Δ % Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 SEKbn 2015 2014 Y/Y 2015 2015 2015 2015 2014 2014 2014 2014 2013 Balance sheet (Incl intra-group transactions) Assets Cash and balances with central banks 2 3-33 2 2 2 2 3 2 2 2 2 Loans to credit institutions 1 Loans to the public 125 126-1 125 129 126 125 126 122 122 118 119 Bonds and other interest-bearing securities 1 1 1 1 1 1 1 1 1 1 1 Financial assets for which customers bear inv. risk 3 3 3 3 3 3 3 2 2 2 2 Derivatives Other assets 37 31 19 37 32 29 28 31 23 20 19 20 Total assets 168 164 2 168 167 161 159 164 150 147 142 145 Liabilities and equity Amounts owed to credit institutions Deposits and borrowings from the public 145 139 4 145 144 138 136 139 125 122 117 120 Debt securities in issue 1 1 1 1 1 1 Financial liabilities for which customers bear inv. risk 3 3 3 3 3 3 3 3 3 2 2 Derivatives Other liabilities Subordinated liabilities Allocated equity 20 21-5 20 20 20 20 21 21 21 22 22 Total liabilities and equity 168 164 2 168 167 161 159 164 150 147 142 145 Key figures Key performance indicators Return on allocated equity, % 12.3 14.6 19.3 16.2-1.8 15.0 13.9 15.7 15.6 15.2 15.0 Cost/Income ratio 0.39 0.41 0.39 0.39 0.40 0.41 0.44 0.41 0.39 0.41 0.44 Credit impairment ratio, % -0.14-0.16-0.35-0.21-0.16-0.03-0.04-0.19-0.06-0.34-0.59 Loan/Deposit ratio, % 86 91 86 90 92 92 91 97 99 101 100 Volumes, SEKbn Loans to the public excluding repos & SNDO 1) 124 126-2 124 129 126 125 126 121 122 118 119 Deposits from the public excluding repos & SNDO 1) 145 138 5 145 144 138 135 138 125 122 117 119 Mutual funds & insurance 33 29 14 33 32 31 31 29 27 26 25 23 Discretionary asset management 2 2 2 2 2 2 2 2 2 2 1 Goodwill 10 10 10 10 9 9 10 9 9 9 9 Allocated equity, average, SEKm 19 993 21 894-9 19 882 20 403 20 152 20 449 21 112 20 676 21 300 21 705 21 969 Risk exposure amount 2) 74 81-9 74 74 76 78 81 82 83 81 88 Commitments 22 24-8 22 21 21 23 24 21 18 17 17 Full-time employees 3 853 3 920-2 3 853 3 786 3 841 3 811 3 920 3 853 3 829 3 858 3 940 Other information (millions) Number of Internet bank customers 4) 3.1 3.0 4 3.1 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 Number of Internet bank payments 165.9 159.5 4 45.8 39.4 40.6 40.1 42.3 38.6 39.9 38.8 38.1 Number of Mobile bank customers 1.06 0.80 31 1.06 0.99 0.92 0.86 0.80 0.74 0.68 0.62 0.56 Number of logins in Internet bank 175.6 175.0 0 43.8 41.6 44.5 45.7 44.3 41.0 44.0 45.8 43.5 Number of logins in Mobile bank 15.4 10.0 54 4.5 4.0 3.7 3.2 2.9 2.5 2.4 2.1 1.9 Number of cards 3.7 3.8-1 3.7 3.8 3.7 3.8 3.8 3.8 3.9 3.9 3.9 Number of card purchases 388.1 346.4 12 101.2 99.9 96.9 90.1 90.0 90.4 86.9 79.1 80.2 POS/total card turnover, % 3) 42.6 41.0 2 43.6 42.5 42.0 42.3 42.5 41.0 40.3 40.2 40.1 Number of card acquiring 305.0 296.5 3 77.6 77.4 76.4 73.6 76.1 77.2 75.3 68.0 70.1 Total acquired amount, SEKm 46 836 43 562 8 12 281 12 318 11 712 10 525 11 744 11 513 10 919 9 387 10 480 Key figures in Euro Income statement, EURm Net interest income 380.7 384.3-1 103.5 95.3 93.2 88.7 92.9 94.3 98.5 98.6 95.6 Total income 672.8 671.0 0 181.5 165.9 165.3 160.1 165.1 164.8 176.0 165.2 171.3 Total expenses 265.7 276.2-4 70.4 64.0 65.7 65.5 72.4 67.0 68.5 68.3 75.0 Profit for the period 5) 262.3 352.3-26 102.7 87.6-9.8 81.8 79.0 88.5 91.6 93.3 93.6 Volumes and balance sheet, EURbn Total assets 15.7 15.4 2 15.7 15.8 15.7 15.5 15.4 15.3 15.3 15.2 15.4 Loans to the public excluding repos & SNDO 1) 13.6 13.3 2 13.6 13.7 13.7 13.5 13.3 13.3 13.3 13.2 13.4 Deposits from the public excluding repos & SNDO 1) 15.8 14.6 8 15.8 15.3 14.9 14.6 14.6 13.7 13.4 13.1 13.4 Allocated equity, average, EURm 2 180 2 308-6 2 168 2 167 2 181 2 202 2 226 2 268 2 326 2 424 2 467 Risk exposure amount 2) 8.1 8.5-5 8.1 7.9 8.3 8.4 8.5 9.0 9.1 9.1 9.8 1) Excluding intra-group transactions. 2) From Q1 2014, Risk exposure amount is reported according to Basel 3. 2 Risk exposure amount is reported according to Basel 2 for 2013. 3) Point of Sale (POS). 4) Definition of Number of Internet bank customers changed compared to Q1 2015. 5) One-off tax effect in Q2 2015 increased tax expense with 929 SEKm related to Estonian extra dividend. 18