Interim report
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Swedbank – Report for the Second quarter│2025│1 Interim report Second quarter | January – June 2025 17 July 2025
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Swedbank – Report for the Second quarter│2025│2 Second quarter 2025 “Swedbank has once again delivered a strong result” Jens Henriksson President and CEO Financial information Q2 Q1 Jan-Jun Jan-Jun SEKm 2025 2025 % 2025 2024 % Total income 16 962 17 329 -2 34 291 36 324 -6 Net interest income 10 917 11 489 -5 22 406 24 764 -10 Net commission income 3 902 4 052 -4 7 954 8 145 -2 Net gains and losses on financial items 856 541 58 1 398 1 593 -12 Other income¹ 1 286 1 247 3 2 533 1 822 39 Total expenses 6 119 6 115 0 12 234 12 650 -3 Profit before impairments, bank taxes and resolution fees 10 843 11 214 -3 22 057 23 674 -7 Impairment of tangible and intangible assets 0 0 0 32 -99 Credit impairments 150 -141 9 -145 Bank taxes and resolution fees 677 929 -27 1 606 2 149 -25 Profit before tax 10 016 10 425 -4 20 441 21 637 -6 Tax expense 2 130 2 229 -4 4 360 4 614 -6 Profit for the period 7 886 8 196 -4 16 082 17 023 -6 Earnings per share, SEK, after dilution 6.99 7.26 14.24 15.08 Return on equity, % 15.4 15.2 15.2 17.1 C/I ratio 0.36 0.35 0.36 0.35 Common Equity Tier 1 capital ratio, % 19.7 19.7 19.7 20.1 Credit impairment ratio, % 0.03 -0.03 0.00 -0.01 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures, and Other income from the Group income statement. Return on equity 15.4% Solid credit quality Further improved availability via telephone in Sweden during the quarter
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Swedbank – Report for the Second quarter│2025│3 CEO Comment Swedbank has once again delivered a strong result. We create value for our customers and shareholders, in both good and bad times. The global economy continues to be marked by uncertainty. Geopolitical tensions and trade conflicts weigh on prospects for global growth. In our home markets, economic activity was strong in Lithuania, while the development in Estonia, Latvia and Sweden was weaker. During the quarter, the European Central Bank and the Riksbank cut their policy rates, while the Federal Reserve held its policy rate unchanged. Swedbank is well-positioned for continued sustainable growth and profitability. The result for the quarter amounted to SEK 7 886m. The return on equity was 15.4 per cent. Net interest income decreased due to declining interest rates. Net commission income fell due to the stock market downturn at the beginning of the quarter, which led to lower average assets under management. Costs were unchanged compared to the previous quarter and the cost/income ratio was 0.36. Credit quality is solid with low credit impairments during the quarter. At Swedbank’s Investor Day in June, we presented Swedbank 15/27. The target of a 15 per cent return on equity remains unchanged. The cost-to-income ratio shall not exceed 0.40. Swedbank 15/27 is focused on strengthening customer interactions, growing volumes and increasing efficiency. This forms the strategy in all four of our business areas. We have a proven business model, clear business prio- rities and a strong foundation that we are building on. Swedbank is the leader in mortgage lending in our four home markets and we are maintaining our position in tough competition. Mortgage lending increased in Sweden. In terms of lending through our own channels, volumes increased by SEK 3.5bn. Lending also increased in our Baltic operations. Deposits from private customers increased in Sweden and the Baltic markets. In July, Swedbank signed an agreement to acquire all the shares in Stabelo Group AB with expected transfer of ownership in autumn 2025 after approval is received from the relevant authorities. Stabelo offers a digital lending process. This is an important step in developing the mortgage business while also better meeting younger and more digital customers. Within Swedish Banking, we are optimising our ways of working with a focus on increased availability and an improved customer experience. Customers should be able to seamlessly interact with Swedbank through different channels. During the quarter, we further improved availability via telephone. Corporate lending increased in Sweden and in our Baltic business. Despite the global uncertainty, Swedbank is well-positioned and in Sweden our corporate business performs strongly. During the year, we increased our market share in lending. Our proactivity is producing results, while we are maintaining our high credit origination standards. In the Baltic countries, we continue to have a strong momentum. Development within savings, insurance and pensions was positive. Premium and Private Banking continues to grow. We are seeing an increasing number of customers and inflows to our two concepts from both existing and new Swedbank customers. Our vision is a financially sound and sustainable society. The transition to sustainability offers a clear and enduring business opportunity. The Sustainable Asset Register increased by SEK 6bn and amounted to SEK 142bn at the end of the quarter. Furthermore, half of the bonds that Swedbank arranged during the quarter were classified as sustainable. The work on strengthening our customers’ financial health continues. For a bank anchored in savings bank traditions, this is an important task – especially in these uncertain times. Our customers’ future is our focus. Jens Henriksson President and CEO
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Swedbank – Report for the Second quarter│2025│4 Table of Contents Financial overview 5 Notes to the financial statements Important to note 6 Note 1 Accounting policies 22 Group development 6 Note 2 Critical accounting estimates 22 Volume trend by product area 7 Note 3 Changes in the Group structure 22 Credit and asset quality 9 Note 4 Operating segments (business areas) 23 Funding and liquidity 9 Ratings 9 Note 5 Net interest income 26 Operational risks 9 Note 6 Net commission income 27 Capital and capital adequacy 9 Note 7 Net gains and losses on financial items 28 Investigations 10 Other events 10 Note 8 Net insurance income 29 Events after the end of the period 11 Note 9 Other general administrative expenses 29 Business areas Swedish Banking 12 Note 10 Credit impairments 30 Baltic Banking 13 Note 11 Bank taxes and resolution fees 33 Corporates and Institutions 14 Note 12 Loans 34 Premium and Private Banking 15 Note 13 Credit impairment provisions 35 Group Functions and Other 16 Note 14 Credit risk exposures 37 Financial statements - Group Note 15 Intangible assets 38 Income statement, condensed 17 Note 16 Amounts owed to credit institutions 38 Statement of comprehensive income, condensed 18 Note 17 Deposits and borrowings from the public 38 Balance sheet, condensed 19 Statement of changes in equity, condensed 20 Note 18 Debt securities in issue, senior non-preferred liabilities and subordinated liabilities 39 Cash flow statement, condensed 21 Note 19 Derivatives 39 Note 20 Valuation categories for financial instruments 40 Note 21 Financial instruments recognised at fair value 42 Note 22 Assets pledged, contingent liabilities/-assets and commitments 43 Note 23 Offsetting financial assets and liabilities 44 Note 24 Capital adequacy, consolidated situation 45 Note 25 Internal capital requirement 47 Note 26 Risks and uncertainties 47 Note 27 Related-party transactions 48 Note 28 Swedbank’s share 49 Financial statements - Swedbank AB 50 Alternative performance measures 55 Signatures of the Board of Directors and the President 56 Review report 57 Publication of financial information 58 More detailed information be found in Swedbank’s Factbook, www.swedbank.com/factbook
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Swedbank – Report for the Second quarter│2025│5 Financial overview Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 % 2024 % 2025 2024 % Net interest income 10 917 11 489 -5 12 165 -10 22 406 24 764 -10 Net commission income 3 902 4 052 -4 4 169 -6 7 954 8 145 -2 Net gains and losses on financial items 856 541 58 911 -6 1 398 1 593 -12 Other income¹ 1 286 1 247 3 991 30 2 533 1 822 39 Total income 16 962 17 329 -2 18 237 -7 34 291 36 324 -6 Staff costs 3 767 3 831 -2 3 784 0 7 597 7 484 2 Other expenses 2 352 2 285 3 2 681 -12 4 637 5 166 -10 Total expenses 6 119 6 115 0 6 465 -5 12 234 12 650 -3 Profit before impairments, bank taxes and resolution fees 10 843 11 214 -3 11 772 -8 22 057 23 674 -7 Impairment of tangible and intangible assets 0 0 32 0 32 -99 Credit impairments 150 -141 -289 9 -145 Bank taxes and resolution fees 677 929 -27 1 045 -35 1 606 2 149 -25 Profit before tax 10 016 10 425 -4 10 983 -9 20 441 21 637 -6 Tax expense 2 130 2 229 -4 2 388 -11 4 360 4 614 -6 Profit for the period 7 886 8 196 -4 8 595 -8 16 082 17 023 -6 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures, and Other income from the Group income statement. Q2 Q1 Q2 Jan-Jun Jan-Jun Key ratios and data per share 2025 2025 2024 2025 2024 Return on equity, % 15.4 15.2 17.5 15.2 17.1 Earnings per share before dilution, SEK¹ 7.02 7.29 7.64 14.31 15.13 Earnings per share after dilution, SEK¹ 6.99 7.26 7.61 14.24 15.08 C/I ratio 0.36 0.35 0.35 0.36 0.35 Equity per share, SEK¹ 185.6 178.3 177.4 185.6 177.4 Loans to customers/deposit from customers ratio, % 138 139 140 138 140 Common Equity Tier 1 capital ratio, % 19.7 19.7 20.1 19.7 20.1 Tier 1 capital ratio, % 21.5 21.5 22.7 21.5 22.7 Total capital ratio, % 23.5 23.6 25.0 23.5 25.0 Credit impairment ratio, % 0.03 -0.03 -0.06 0.00 -0.01 Share of Stage 3 loans, gross, % 0.58 0.61 0.53 0.58 0.53 Total credit impairment provision ratio, % 0.34 0.34 0.36 0.34 0.36 Liquidity coverage ratio (LCR), % 164 173 175 164 175 Net stable funding ratio (NSFR), % 128 126 124 128 124 1) The number of shares and calculation of earnings per share are specified in Note 28. Balance sheet data 30 Jun 31 Dec 30 Jun SEKbn 2025 2024 % 2024 % Loans to customers 1 817 1 800 1 1 799 1 Deposits from customers 1 314 1 285 2 1 282 2 Equity attributable to shareholders of the parent company 209 219 -5 200 5 Total assets 3 132 3 010 4 3 068 2 Risk exposure amount 889 872 2 848 5 Definitions of all key ratios can be found in Swedbank’s Factbook on page 77.
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Swedbank – Report for the Second quarter│2025│6 Important to note This interim report contains alternative performance measures that Swedbank considers valuable information for the reader, since they are used by the executive management for internal governance and performance measurement as well as for comparisons between reporting periods. Further information on the alternative performance measures used in the interim report can be found on page 55. Group development Result second quarter 2025 compared to first quarter 2025 Swedbank’s profit decreased to SEK 7 886m (8 196). Income decreased, while credit impairment provisions increased. Expenses were unchanged compared to the previous quarter. Foreign exchange effects negatively impacted profit before impairments, bank taxes and resolution fees by SEK 94m. The return on equity was 15.4 per cent (15.2) and the cost/income ratio was 0.36 (0.35). Income decreased to SEK 16 962m (17 329). Net interest income and net commission income fell, while net gains and losses on financial items and other income rose. Foreign exchange effects negatively impacted income by SEK 158m. Net interest income decreased to SEK 10 917m (11 489) due to the phase-in of lower lending rates, lower interest rate on central bank deposits and foreign exchange effects during the quarter. This was partly offset by lower deposit rates, one extra day of interest and reduced funding costs. Net commission income decreased to SEK 3 902m (4 052). The decline was mainly due to lower income from asset management, which was impacted by a lower average stock market level during the quarter. Seasonally higher card commissions contributed positively. Net gains and losses on financial items increased to SEK 856m (541), mainly driven by a high level of activity in fixed income and FX trading as well as positive revaluation effects on shareholdings. Negative revaluation effects within derivatives offsets the increase. Other income rose to SEK 1 286m (1 247). The change was primarily a result of revaluation effects within net insurance. The underlying insurance business and results from partly owned companies were stable. Expenses were unchanged during the quarter at SEK 6 119m (6 115). Marketing expenses were lower due to the previous quarter’s donation to the Estonian educational foundation established by the bank. Staff costs fell slightly, mainly due to a lower number of employees, partly offset by the annual salary increase in the Baltic countries. IT and consulting expenses rose seasonally. The bank received a VAT reimbursement during the quarter of SEK 174m for 2018, in addition to the SEK 205m received for 2017 in the previous quarter. Foreign exchange effects reduced expenses by SEK 64m. Credit impairments amounted to SEK 150m (-141), corresponding to a credit impairment ratio of 0.03 per cent (-0.03). Provisions increased for individually assessed loans by SEK 176m (89) and for updated macroeconomic scenarios by SEK 95m (29). Post-model adjustments of SEK 129m (17) were reversed. Bank taxes and resolution fees amounted to SEK 677m (929). The decrease was mainly due to lower bank taxes in Lithuania and Latvia. The income tax expense amounted to SEK 2 130m (2 229) and corresponded to an effective tax rate of 21.3 per cent (21.4). A decision in Estonia to raise the corporate tax rate contributed to a higher effective tax rate, while the quarter also included a tax-exempt increase in the market value of equities that reduced the effective tax rate by a corresponding degree. Result January-June 2025 compared to January-June 2024 Swedbank’s profit decreased to SEK 16 082m (17 023) due to lower income and higher credit impairments, partly offset by reduced expenses and lower bank and income taxes. Foreign exchange effects negatively impacted profit before impairments, bank taxes and resolution fees by SEK 193m. The return on equity was 15.2 per cent (17.1) and the cost/income ratio was 0.36 (0.35). Income fell to SEK 34 291m (36 324) due to lower net interest income, net commission income and lower net gains and losses on financial items. The decrease was partly offset by higher other income. Foreign exchange effects negatively impacted income by SEK 295m. Net interest income amounted to SEK 22 406m (24 764), a decrease of 10 per cent. Net interest income was negatively impacted by a lower interest rate environment. Net commission income fell by 2 per cent and amounted to SEK 7 954m (8 145). The decline was primarily due to lower card commissions and higher payment-related costs, partly offset by higher income from service concepts and asset management. Net gains and losses on financial items decreased by 12 per cent to SEK 1 398m (1 593) mainly due to revaluation effects on derivatives, partly offset by positive revaluation effects on shareholdings. Other income increased by 39 per cent to SEK 2 533m (1 822). The increase was primarily related to improved net insurance income and higher sales of IT and administrative services to savings banks.
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Swedbank – Report for the Second quarter│2025│7 Expenses fell by 3 per cent to SEK 12 234m (12 650). The decrease was mainly driven by the two VAT reimbursements of SEK 205m and SEK 174m for 2017 and 2018, respectively, and by lower consulting expenses compared to the first half of 2024. The decrease was partly offset by higher IT and staff costs. Foreign exchange effects reduced expenses by SEK 102m. Credit impairments amounted to SEK 9m (-145), corresponding to a credit impairment ratio of 0.00 per cent (-0.01), where increased provisions for individually assessed loans were offset by decreased provisions due to changes in exposures and other risk factors. Sold loans contributed to the reversal of credit impairment provisions for the period January–June 2024. Bank taxes and resolution fees amounted to SEK 1 606m (2 149). The decrease was mainly due to a lower bank tax in Lithuania. The income tax expense amounted to SEK 4 360m (4 614) and corresponded to an effective tax rate of 21.3 per cent (21.3). A decision in Estonia to raise the corporate tax rate contributed to a higher effective tax rate, while the period also included a tax-exempt increase in the market value of equities that reduced the effective tax rate by a corresponding degree. Volume trend by product area Swedbank mainly conducts business in the product areas of lending, deposits, fund savings and life insurance, and payments. Lending Loans to customers increased by SEK 28bn during the quarter to SEK 1 817bn (1 789). Compared to the same quarter in 2024, lending rose by SEK 18bn. Foreign exchange effects positively impacted lending volumes by SEK 7bn compared to first quarter in 2025 and negatively by SEK 13bn compared to the same quarter in 2024. 30 Jun 31 Mar 30 Jun Loans to customers, SEKbn 2025 2025 2024 Loans, private mortgage 1 045 1 036 1 041 of which Sweden¹ 913 911 916 of which Baltic countries 132 126 125 Loans, private other incl tenant- owner associations 144 143 144 of which Sweden 117 116 118 of which Baltic countries 28 26 26 Loans, corporate 627 610 614 of which Sweden 433 423 427 of which Baltic countries 129 121 117 of which other² 66 65 71 Total 1 817 1 789 1 799 1) Including volumes brokered by the savings banks on behalf of Swedbank Hypotek 2) Consists of loans in Norway, Finland, China and the USA. In Sweden, loans to customers increased by SEK 13bn in the quarter to SEK 1 463bn (1 450). Compared to the same quarter in 2024, lending rose by SEK 2bn. Loans to mortgage customers in Sweden increased by SEK 2bn during the quarter to SEK 913bn (911). Lending through own channels rose by SEK 3.5bn, while volumes in Swedbank Hypotek brokered by the savings banks decreased by SEK 1.5bn. Compared to the same quarter in 2024, loans to mortgage customers fell by SEK 3bn. Swedbank’s market share for mortgages in Sweden was 22 per cent as of 31 May, including volumes brokered by the savings banks in Swedbank Hypotek, which accounted for 4 percentage points. Other private lending in Sweden, including to tenant- owner associations, increased slightly and amounted to SEK 117bn (116). Corporate lending in Sweden increased by SEK 10bn in the quarter to SEK 433bn (423). Compared to the same quarter in 2024, corporate lending rose by SEK 6bn. In Sweden, the market share for corporate loans was 15 per cent as of 31 May. In the Baltic countries, lending volume increased in local currency. Lending to private customers as well as corporate customers rose by 3 per cent in local currency. The Sustainable Asset Register increased by SEK 6bn to SEK 142bn (136) during the quarter. The increase was primarily related to the financing of green buildings. At the end of the quarter, the register contained SEK 134bn in green assets and SEK 8bn in social assets. For more information on lending and the sustainable asset register, see pages 37 and 70 of the Factbook. Deposits Total deposits increased by SEK 28bn to SEK 1 314bn (1 286) compared to the previous quarter and by SEK 32bn compared to the same period in 2024. Foreign exchange effects positively impacted total deposit volume by SEK 10bn compared to the previous quarter and negatively by SEK 16bn compared to the same quarter in 2024. 30 Jun 31 Mar 30 Jun Deposits from customers, SEKbn 2025 2025 2024 Deposits, private 766 734 728 of which Sweden 497 478 484 of which Baltic countries 269 255 244 Deposits, corporate 549 552 554 of which Sweden 378 376 391 of which Baltic countries 158 155 159 of which other¹ 12 21 4 Total 1 314 1 286 1 282 1) Other consist of deposits in Norway, Finland, China and the USA. Deposits in Sweden increased by SEK 21bn to SEK 875bn (854). Household deposits in Sweden rose by SEK 19bn to SEK 497bn (478), while corporate deposits increased by SEK 2bn to SEK 378bn (376).
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Swedbank – Report for the Second quarter│2025│8 Compared to the same quarter in 2024, deposits in Sweden were unchanged. In the Baltic countries, deposits increased by 1 per cent in local currency during the quarter. Household deposits rose by 3 per cent, while corporate deposits fell by 1 per cent. Compared to the same quarter in 2024, deposits increased by 8 per cent in local currency. As of 31 May, Swedbank’s market share for household deposits in Sweden was 18 per cent. The market share for corporate deposits was 14 per cent. For more information on deposits, see page 38 of the Factbook. Assets under management Fund assets under management rose by 7 per cent during the quarter to SEK 1 900bn (1 780). The increase was mainly due to positive market development, but net inflows also contributed. Asset management 30 Jun 31 Mar 30 Jun (including life insurance) SEKbn 2025 2025 2024 Sweden¹ 1 753 1 642 1 737 Estonia 34 32 31 Latvia 47 44 44 Lithuania 47 44 43 Other countries¹ 19 19 19 Total Mutual funds under Management 1 900 1 780 1 874 Closed End Funds 1 1 1 Discretionary asset management 485 467 462 Total assets under Management 2 386 2 248 2 336 1) During the second quarter, geographical domicile for distributors from Sweden to Other has been revised. Comparative figures have been restated. The net inflow in the Swedish fund market amounted to SEK 52bn (28). The increase in value was primarily in equity funds, while the largest inflow, as in the previous quarter, was in fixed income funds. Swedbank Robur’s funds distributed in Sweden reported net flow of SEK 5bn (-13) during the quarter. Distributions through Swedbank and the savings banks, as well as third-party distributions, have strengthened, and all reported net inflows during the quarter. Net inflows were also noted in the institutional business. In Estonia, Latvia and Lithuania, the total net inflow amounted to SEK 2bn (2). By assets under management, Swedbank Robur is the leader in the fund market in Sweden and the Baltic countries. As of 30 June, the market share in Sweden was 21 per cent. In Estonia, Latvia and Lithuania, the market shares were 39, 38 and 37 per cent, respectively. Assets under management within the Swedish life insurance business increased by 7 per cent (6) in the second quarter to SEK 413bn (387). Insurance premium income, consisting of premium payments and capital transfers, amounted to SEK 10bn (12). Assets under management, life 30 Jun 31 Mar 30 Jun insurance SEKbn 2025 2025 2024 Sweden 413 387 392 of which collective occupational pensions 238 222 226 of which endowment insurance 110 104 105 of which occupational pensions 53 49 49 of which other 12 12 12 Baltic countries 10 9 10 Total assets under management 422 396 402 For premium income, excluding capital transfers, Swedbank’s market share in the first quarter of 2025 (latest available information) was 7 per cent (6 per cent in the fourth quarter of 2024). In the transfer market, Swedbank’s market share in the first quarter was 13 per cent (12). Payments The total number of card transactions acquired by Swedbank during the quarter was 1 009 million, an increase of 2 per cent compared to the same period in 2024. The total number of transactions acquired in Sweden, Norway, Finland and Denmark increased by 12 million, equivalent to an increase of 1 per cent, while total card transactions acquired in the Baltic countries rose by 6 per cent. Acquired transaction volumes in Sweden, Norway, Finland and Denmark totalled SEK 232bn, corresponding to a decrease of 1 per cent compared to the same period in 2024. The negative trend was due to foreign exchange effects, a decrease in fuel-related volumes and changes in the customer base. In the Baltic countries, transaction volumes calculated in Swedish krona rose by 3 per cent to SEK 39bn compared to the same quarter in 2024. In local currency, the increase was 8 per cent. The total number of Swedbank cards in issue at the end of the quarter was 8.5 million, in line with the end of the previous quarter. 30 Jun 31 Mar 30 Jun Number of cards 2025 2025 2024 Issued cards, millions 8.5 8.5 8.5 of which Sweden 4.5 4.5 4.5 of which Baltic countries 4.0 4.0 4.0 The number of purchases in Sweden with Swedbank cards increased by 1 per cent during the quarter compared to the same quarter in 2024. A total of 393 million card purchases were made. In the Baltic countries, the number of card purchases rose by 6 per cent in the same period and totalled 279 million during the quarter. In Sweden, a total of 223 million domestic payments were made during the quarter, an increase of 2 per cent compared to the same period in 2024. Swedbank’s market share of payments executed via Bankgirot was 34 per cent. In the Baltic countries, 142 million domestic payments were processed, a rise of 7 per cent compared to the same period in 2024.
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Swedbank – Report for the Second quarter│2025│9 The number of international payments in Sweden increased slightly compared to the same quarter in 2024 to 1.2 million. In the Baltic countries, international payments rose by 20 per cent to 10 million, including transactions between the Baltic countries. The increase was partly driven by cheaper payment options in the bank and lower amounts per payment. Credit and asset quality The credit quality of Swedbank’s lending is solid and credit impairments are low. Total credit impairment provisions amounted to SEK 7 002m (6 938), of which SEK 594m (715) was post-model adjustments. For mortgages in Sweden, forborne loans continued to increase but at a slower rate than in the previous quarter. Loans with late payments decreased slightly. The total share of loans in stage 2, gross, amounted to 8.4 per cent (8.7). For loans to private customers, the corresponding share was 6.7 per cent (6.8) and for corporate lending it was 11.9 per cent (12.8). The share of loans in stage 3, gross, was 0.58 per cent (0.61). For more information on credit exposures, provisions and credit quality, see Notes 10 and 12-14 as well as pages 40-48 of the Factbook. Funding and liquidity The quarter was dominated by great uncertainty in the financial markets, mainly due to the introduction of higher tariffs by the U.S. government, which also announced additional tariff increases. After a severe downturn, markets gradually recovered. Credit spreads in the bond market recovered completely after the initial shock, while market interest rates fell due to concerns about lower economic growth. During the quarter, the European Central Bank cut its policy rate by 50 basis points and the Riksbank cut its policy rate by 25 basis points. Swedbank remained active in the funding markets. During the quarter, issuance consisted of covered bonds in Swedish krona as well as a covered bond in euro, the first since 2023. Swedbank also issued senior unsecured debt and senior non-preferred debt in U.S. dollar and Japanese yen. In total for the quarter, Swedbank issued SEK 55bn in long-term debt instruments. As of 30 June, Swedbank’s outstanding short-term funding in issue amounted to SEK 299bn (287). The need for financing is affected by the current liquidity situation, future maturities and changes in deposit and lending volumes, and therefore is adjusted over the course of the year. For more information on funding and liquidity, see Notes 16-18 and pages 57–69 of the Factbook. 30 Jun 31 Mar 30 Jun Liquid assets and ratios 2025 2025 2024 Cash and balances with central banks and the National Debt Office, SEKbn 320 359 322 Liquidity reserve, SEKbn 667 661 656 Liquidity coverage ratio (LCR), %¹ 164 173 175 Net stable funding ratio (NSFR), % 128 126 124 1) As of 30 June 2025: USD 326 %; EUR 289 %; SEK 98 % Ratings On 10 April, the credit rating agency Moody’s upgraded Swedbank’s long-term ratings to Aa2 from Aa3. The upgrade reflects the bank's consistent work to repair its past Anti-Money Laundering weaknesses, while prudently managing its capital buffers and credit risks. For more information on the ratings, see page 69 of the Factbook. Credit ratings Moody's S&P Fitch Covered bonds Aaa AAA - Senior unsecured bonds Aa2 A+ AA Senior non-preferred bonds A3 A- AA- Tier 2 Baa1 BBB+ A Additional tier 1 Baa3 BBB- BBB+ Short term P-1 A-1 F1+ Outlook Stable Positive Stable Operational risks Third party disruptions during the quarter impacted the availability of Swedbank’s and other financial institutions’ services. This led to IT incidents that caused interruptions to channels and payment services. Swedbank strives to continuously ensure a high level of availability. Cyber risks are a significant societal problem, and the bank continues to prioritise activities aimed at strengthening digital operational resilience, with a special emphasis on cyber security and external fraud risks. The bank has a high capacity and is well-prepared to proactively manage these risks. Capital and capital adequacy Capital ratio and capital requirement The Common Equity Tier 1 (CET1) capital ratio was 19.7 per cent (19.7) at the end of the quarter. The total CET1 capital requirement, including Pillar 2 guidance, was 15.2 per cent (15.2) of the risk exposure amount, which resulted in a CET1 capital buffer of 4.5 per cent (4.5). CET1 capital amounted to SEK 175bn (173) and was mainly affected by the quarterly result and estimated dividend.
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Swedbank – Report for the Second quarter│2025│10 Change in Common Equity Tier 1 capital (Refers to Swedbank consolidated situation) Risk Exposure Amount (REA) REA increased to SEK 889bn (877) in the second quarter. REA for credit risks rose by SEK 10bn mainly due to increased volume growth, but also due to foreign exchange effects. A higher loss given default (LGD) for corporate loans increased REA as part of Swedbank’s planned model updates, partly offset by a reduction of the floor for real estate exposures. Improved ratings for corporate and household customers reduced REA. REA for market risks rose mainly due to increased interest rate risk in the internal models, while REA for Credit Valuation Adjustment (CVA) decreased due to reduced exposures. REA for Other rose due to the increased article 3 add-on, mainly driven by changes to the customer ratings distribution as well as an increase in volumes. Change in REA (Refers to Swedbank consolidated situation) The leverage ratio was 6.7 per cent (6.6) and thereby exceeds the leverage ratio requirement including Pillar 2 guidance of 3.5 per cent. Capital and resolution regulations On account of the guidelines from the European Banking Authority (EBA) and revisions to the Capital Requirements Regulation (CRR3), Swedbank is applying for approval of new internal ratings-based (IRB) models. The bank expects the review processes to continue with ongoing approvals throughout 2025 and 2026. Swedbank had already decided on an article 3 add-on equivalent to the bank’s assessment of the impact on REA of the introduction of the remaining IRB models. This add-on has been reduced to SEK 6bn in line with the phase-in that has occurred. The Swedish FSA has also introduced a temporary add-on of 1 percentage point in the Pillar 2 requirement (P2R) related to the evaluation of the models. The CRR3 regulation took effect on 1 January 2025 with a phase-in period through 2032. The European Commission has decided to postpone the market risk requirements by two years until 2027. The capital requirement floor for internal models is not expected to impact Swedbank’s capital requirements as long as the Swedish FSA applies risk weight floors to internal lending models for Swedish mortgages and commercial properties. The Swedish FSA has received approval from the European Commission to extend the risk weight floors by two years until 2027. Investigations U.S. authorities continue to investigate Swedbank’s historical anti-money laundering and counter-terrorism financing work and historical information disclosures. The investigations, which are being conducted by the Department of Justice (DoJ), the Securities and Exchange Commission (SEC) and the Department of Financial Services in New York (DFS), are continuing and the bank is holding individual discussions with the authorities through its U.S. legal advisors. The investigations are at different stages and the bank cannot at this time determine any financial consequences or when the investigations will be completed. Other events On 1 April, Olof Sundblad was appointed Head of Baltic Banking. He has served as Acting Head of the business area since October 2024 and remains a member of the Group Executive Committee. On 14 May, the Swedish FSA announced that Swedbank has been fined SEK 12.5m for violations of the protective security regulation. The decision concerns documentation shortcomings in the bank’s protective security analyses. The documentation shortcomings were remedied more than a year ago. The assessment is that these shortcomings have not affected the bank’s protective security. At an Investor Day on 4 June, Swedbank presented its business priorities and financial plan – Swedbank 15/27. Swedbank’s plan is focused on the potential in three main areas: strengthened customer interactions, growing volumes and increased efficiency. Swedbank’s target is a return on equity of 15 per cent, supported by a cost-to-income ratio that shall not exceed 0.40 and a target CET1 buffer of 200 basis points.
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Swedbank – Report for the Second quarter│2025│11 During the second quarter, Swedbank received a VAT reimbursement of SEK 174m for excess VAT payments for 2018, and during the first quarter a VAT reimbursement of SEK 205m was received for 2017. These reimbursements resulted from the Swedish Tax Agency’s approval of a new method for calculating deductible input VAT following amended case law from the Supreme Administrative Court in 2023. The bank has also applied for VAT reimbursements for 2016 and for the period 2019–2023. The Riksbank has decided on mandatory interest-free deposits from Swedish banks as of 31 October 2025 in order to strengthen the Riksbank’s earnings and to build equity. Events after the end of the period On 1 July, Swedbank signed an agreement to acquire all the shares in Stabelo Group AB with expected transfer of ownership in autumn 2025 after approval is received from the relevant authorities. Through access to a complementary brand, new technology and new channels for mortgage loans, the acquisition will enable Swedbank to reach more customers in the mortgage market. Stabelo currently has about 30 employees and will continue to operate in the mortgage market under its own brand. According to a judgment by the Administrative Court of Appeal, Swedbank has been granted the right to use a new method to calculate deductible VAT for the year 2016, in accordance with amended case law from the Supreme Administrative Court. The Swedish Tax Agency subsequently processed the case and Swedbank received a decision from Swedish Tax Agency on 8 July that the bank is entitled to a reimbursement of SEK 197m for tax overpayments. Swedbank has appointed Martin Noréus as the Group’s new Chief Risk Officer. He will take on his role on 1 May 2026, and will join Swedbank’s Group Executive Committee on that date. Swedbank’s current Chief Risk Officer, Rolf Marquardt, will remain in his role until Martin Noréus takes over, after which he will become a senior advisor.
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Swedbank – Report for the Second quarter│2025│12 Swedish Banking Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025¹ % 2024¹ % 2025 2024¹ % Net interest income 3 991 4 009 0 4 366 -9 8 000 9 016 -11 Net commission income 1 765 1 809 -2 1 874 -6 3 574 3 644 -2 Net gains and losses on financial items 50 55 -9 70 -29 105 133 -21 Other income² 375 404 -7 409 -8 779 652 19 Total income 6 181 6 276 -2 6 719 -8 12 457 13 445 -7 Staff costs 424 450 -6 485 -13 874 998 -12 Variable staff costs 17 18 -6 14 22 35 30 18 Other expenses 1 652 1 655 0 1 660 0 3 307 3 302 0 Depreciation/amortisation of tangible and intangible assets 2 2 5 4 -48 4 8 -49 Total expenses 2 095 2 124 -1 2 162 -3 4 219 4 338 -3 Profit before impairments, bank taxes and resolution fees 4 086 4 152 -2 4 556 -10 8 238 9 108 -10 Credit impairments 83 156 -46 -154 239 -70 Bank taxes and resolution fees 215 214 1 215 0 429 427 0 Profit before tax 3 787 3 783 0 4 495 -16 7 570 8 751 -13 Tax expense 702 699 0 829 -15 1 401 1 628 -14 Profit for the period 3 086 3 083 0 3 666 -16 6 169 7 123 -13 Return on allocated equity, % 22.9 22.9 27.4 22.9 26.6 Loan/deposit ratio, % 178 184 185 178 185 Credit impairment ratio, % 0.04 0.07 -0.07 0.06 -0.02 Cost/income ratio 0.34 0.34 0.32 0.34 0.32 Loans to customers, SEKbn 835 835 0 850 -2 835 850 -2 Deposits from customers, SEKbn 468 453 3 460 2 468 460 2 Full-time employees 2 121 2 174 -2 2 559 -17 2 121 2 559 -17 1) During the second quarter 2025, an allocation model regarding fund savings between Swedish banking and Premium and Private Banking was updated, why also comparatives have been restated. The change has impacted net commission income, other expenses and tax expense. 2) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income f rom the Group income statement. Business development Housing prices were stable while mortgage market growth increased slightly. With improved availability for customers, combined with a more proactive approach, the bank’s mortgage growth strengthened during the quarter. At Swedbank’s Investor Day, initiatives were launched to retain or increase market shares in mortgages, savings and insurance. Digitalisation and automation, as well as the use of AI, will continue. Customers will increasingly receive personalised, proactive offerings and advice. Advisory services offered in digital channels have been broadened so that customers can now receive advice and set goals for their pension savings in the app and internet bank and also begin saving. During the quarter, services were launched that make it easier for Swedbank to onboard new small corporates. During the second quarter, Ung Företagsamhet (UF) Company of the Year competition was arranged, where Swedbank participated on the jury, gave lectures and together with the guests celebrated a 40-year partnership with UF. Profit was stable. Lower expenses and credit impairments were offset by lower income. Net interest income decreased due to lower lending margins. Mortgage volume increased slightly. Corporate lending fell by SEK 1bn. Deposit volumes rose by 15bn, driven entirely by household deposits, which were affected by tax reimbursements, while corporate deposits fell slightly. Net commission income decreased, mainly driven by lower income from asset management, partly offset by higher card commissions. Expenses decreased, mainly driven by lower staff costs. Credit impairments amounted to SEK 83m (156) and were mainly explained by rating and stage migrations as well as updated macroeconomic scenarios.
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Swedbank – Report for the Second quarter│2025│13 Baltic Banking Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 % 2024 % 2025 2024 % Net interest income 3 317 3 629 -9 4 541 -27 6 946 9 145 -24 Net commission income 831 808 3 876 -5 1 639 1 682 -3 Net gains and losses on financial items 132 120 10 136 -3 252 271 -7 Other income¹ 349 298 17 156 647 339 91 Total income 4 629 4 855 -5 5 709 -19 9 484 11 438 -17 Staff costs 544 515 6 530 3 1 059 1 003 6 Variable staff costs 38 39 -3 37 2 77 62 23 Other expenses 990 1 086 -9 1 077 -8 2 076 1 983 5 Depreciation/amortisation of tangible and intangible assets 43 43 -1 44 -2 86 87 -1 Total expenses 1 615 1 683 -4 1 688 -4 3 298 3 136 5 Profit before impairments, bank taxes and resolution fees 3 014 3 172 -5 4 021 -25 6 186 8 302 -25 Impairment of tangible and intangible assets 0 0 (0) 0 0 6 Credit impairments 58 -52 -15 6 -9 Bank taxes and resolution fees 202 455 -56 557 -64 657 1 179 -44 Profit before tax 2 753 2 769 -1 3 478 -21 5 522 7 132 -23 Tax expense 618 577 7 713 -13 1 195 1 450 -18 Profit for the period 2 136 2 192 -3 2 765 -23 4 327 5 682 -24 Return on allocated equity, % 21.9 23.0 30.6 22.2 32.2 Loan/deposit ratio, % 68 67 66 68 66 Credit impairment ratio, % 0.09 -0.07 -0.02 0.01 -0.01 Cost/income ratio 0.35 0.35 0.30 0.35 0.27 Loans to customers, SEKbn 289 273 6 268 8 289 268 8 Deposits from customers, SEKbn 427 410 4 403 6 427 403 6 Full-time employees 4 722 4 717 0 4 766 -1 4 722 4 766 -1 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income f rom the Group income statement. Business development The recovery of the housing market continued. Purchasing power for housing was strengthened by higher wages, rising employment and falling interest rates. The mortgage portfolio grew and applications for new mortgage loans remained at a high level. The corporate portfolio continued to grow, supported by a recovery in goods exports and by the public sector. At Swedbank’s Investor Day, initiatives to strengthen customer interactions, increase volumes and raise efficiency were presented. Swedbank intends to retain its market share in private lending, ensure a market- leading position in corporate lending, grow the insurance business and increase the number of customers with long-term savings. The number of users of the Micro Invest option, which rounds up card payments and invests the difference in Swedbank Robur’s funds, reached almost 49 000. Private customers can now approve car leasing offerings through the internet bank. In Latvia, corporate customers can be onboarded through an automated process directly after submitting an application. Swedbank is continuing its social engagement. In Latvia, the bank offers free personal insurance as well as help in managing claims for participants, organisers and volunteers at the Youth Song and Dance Festival. Profit was unchanged in local currency (EUR). Lower income as well as higher credit impairments and income tax were offset by a lower bank tax. Net interest income fell by 6 per cent (EUR), driven by lower market interest rates. Lending increased by 3 per cent (EUR). Deposits rose by 1 per cent (EUR), where household deposits were driven by tax reimbursements, holiday pay and dividends. Net commission income increased by 6 per cent (EUR), driven by seasonally higher card usage. Expenses decreased by 1 per cent (EUR) due to the previous quarter’s donation to the educational foundation established by the bank in Estonia. The decrease was partly offset by higher staff costs following the annual salary increases. Credit impairments amounted to SEK 58m (-52) and were mainly explained by model updates.
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Swedbank – Report for the Second quarter│2025│14 Corporates and Institutions Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 % 2024 % 2025 2024 % Net interest income 2 892 2 866 1 3 244 -11 5 758 6 619 -13 Net commission income 973 1 046 -7 994 -2 2 020 1 986 2 Net gains and losses on financial items 569 422 35 522 9 992 987 1 Other income¹ 47 44 8 30 55 91 61 49 Total income 4 482 4 378 2 4 790 -6 8 860 9 653 -8 Staff costs 584 592 -1 572 2 1 176 1 130 4 Variable staff costs 36 43 -16 29 22 79 66 20 Other expenses 1 094 1 079 1 1 015 8 2 173 1 992 9 Depreciation/amortisation of tangible and intangible assets 5 5 -5 6 -13 10 11 -9 Total expenses 1 719 1 719 0 1 622 6 3 438 3 199 7 Profit before impairments, bank taxes and resolution fees 2 763 2 659 4 3 168 -13 5 422 6 454 -16 Credit impairments -4 -233 -98 -84 -95 -238 -31 Bank taxes and resolution fees 225 225 0 242 -7 450 481 -6 Profit before tax 2 543 2 667 -5 3 011 -16 5 210 6 005 -13 Tax expense 533 551 -3 585 -9 1 085 1 214 -11 Profit for the period 2 009 2 116 -5 2 426 -17 4 125 4 791 -14 Return on allocated equity, % 16.1 18.2 21.4 17.2 20.2 Loan/deposit ratio, % 172 170 164 172 164 Credit impairment ratio, % -0.00 -0.15 -0.05 -0.07 -0.01 Cost/income ratio 0.38 0.39 0.34 0.39 0.33 Loans to customers, SEKbn 557 545 2 551 1 557 551 1 Deposits from customers, SEKbn 324 321 1 336 -4 324 336 -4 Full-time employees 1 799 1 793 0 1 803 0 1 799 1 803 0 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income f rom the Group income statement. Business development During the quarter lending volumes increased, mainly due to continued high business activity and loan demand in the real estate sector. Lending to other sectors also rose, mainly related to short-term loans. Corporate deposit volumes increased slightly. Demand for Swedish covered mortgage bonds and credit was good despite a turbulent start to the quarter. Credit risk premiums in SEK and EUR have returned to levels not seen since concerns about a trade war began to impact the markets. Less cyclical credits, such as housing bonds, recovered best, with significant interest from investors. Interest in FX- hedges remains cautious given the uncertainty surrounding Swedish and global interest rate trends. Customers’ reallocations from U.S. assets continued during the quarter, which was positive for currency trading. At Swedbank’s Investor Day, initiatives were presented to grow market share in corporate lending through investments in the corporate offering, improved ways of working and higher activity in relation to customers. An already high level of competence and a strong position in key sectors such as real estate and institutions, a broad local presence, sustainability and existing partnerships will contribute. Swedbank was the first financial institution to join the Center for Circular Building, a collaboration that supports the building and real estate sector’s transition to more efficient use of resources and reduced environmental impact. Net interest income increased during the quarter, driven by higher deposit margins, which were offset by slightly lower lending margins. Net commission income decreased mainly due to lower commissions related to asset management and acquisition financing. Card commissions rose on a seasonal basis. Net gains and losses on financial items increased due to revaluation effects and continued strong FX-trading. Credit impairments amounted to SEK -4m (-233) and were mainly explained by lower post model expert credit adjustments and lower provisions due to other risk factor changes, which were offset by provisions for individually assessed loans.
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Swedbank – Report for the Second quarter│2025│15 Premium and Private Banking Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025¹ % 2024¹ % 2025 2024¹ % Net interest income 387 385 1 439 -12 771 908 -15 Net commission income 448 496 -10 489 -8 944 930 1 Net gains and losses on financial items 9 9 -6 7 25 18 15 21 Other income² 9 10 -14 3 19 11 76 Total income 852 900 -5 939 -9 1 752 1 864 -6 Staff costs 161 166 -3 150 7 327 293 12 Variable staff costs 6 6 -4 4 46 12 8 59 Other expenses 210 207 1 182 15 418 345 21 Total expenses 377 380 -1 336 12 757 646 17 Profit before impairments, bank taxes and resolution fees 475 520 -9 603 -21 995 1 218 -18 Credit impairments 11 -6 -27 5 -31 Bank taxes and resolution fees 35 35 1 32 11 70 63 11 Profit before tax 429 491 -13 598 -28 921 1 187 -22 Tax expense 87 100 -13 122 -28 188 247 -24 Profit for the period 342 391 -13 476 -28 733 940 -22 Return on allocated equity, % 20.0 24.4 31.7 22.2 30.3 Loan/deposit ratio, % 172 177 168 172 168 Credit impairment ratio, % 0.03 -0.02 -0.09 0.01 -0.05 Cost/income ratio 0.44 0.42 0.36 0.43 0.35 Loans to customers, SEKbn 137 135 1 130 5 137 130 5 Deposits from customers, SEKbn 80 76 4 78 3 80 78 3 Full-time employees 597 606 -1 599 0 597 599 0 1) During the second quarter 2025, an allocation model regarding fund savings between Swedish banking and Premium and Private Banking was updated, why also comparatives have been restated. The change has impacted net commission income, other expenses and tax expe nse. 2) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income f rom the Group income statement. Business development The quarter was dominated by volatility in the financial markets, which increased customers demand for advice. New functionality has been launched in the app and internet bank that enables also customers without concepts to schedule a meeting about savings with a Premium advisor, which has been appreciated in uncertain times. In times of stock market volatility, discretionary management and advisory management both continued to attract new customers, while existing Private Banking clients increased their investments. Premium and Private Banking continued to deliver a positive underlying net flow for mortgages despite intense competition. At Swedbank’s Investor Day, Premium and Private Banking presented initiatives to connect 25 per cent of concept customers to discretionary portfolio management solutions, enable advisors to serve 50 per cent more customers and double the number of concept customers. During the quarter, connection rate in the concepts remained high. Corporate clients in particular are increasingly looking for ongoing advice on asset management. The majority of Premium and Private Banking clients received access to the new savings platform during the quarter. Profit weakened during the quarter due to decreased income together with unchanged expenses. Net interest income increased slightly due to higher deposit margins and volumes, partly offset by lower lending margins. Net commission income fell due to the stock market downturn at the beginning of the quarter, which led to lower average assets under management. Credit impairments amounted to SEK 11m (-6) and were mainly explained by rating and stage migrations.
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Swedbank – Report for the Second quarter│2025│16 Group Functions and Other Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 % 2024 % 2025 2024 % Net interest income¹ 308 578 -47 -448 885 -969 Net commission income -113 -105 7 -65 73 -217 -100 Net gains and losses on financial items¹ 96 -65 177 -46 31 188 -83 Other income¹˒² 1 188 1 187 0 1 011 18 2 375 1 960 21 Total income 1 480 1 595 -7 675 3 075 1 079 Staff costs 1 855 1 893 -2 1 882 -1 3 748 3 718 1 Variable staff costs 105 113 -7 86 23 218 185 18 Other expenses¹ -1 476 -1 586 -7 -1 199 23 -3 063 -2 376 29 Depreciation/amortisation of tangible and intangible assets 491 464 6 483 2 956 959 0 Total expenses¹ 975 884 10 1 251 -22 1 859 2 487 -25 Profit before impairments, bank taxes and resolution fees 505 711 -29 -576 1 215 -1 408 Impairment of tangible and intangible assets 0 0 32 0 32 Credit impairments 2 -5 -9 -3 -3 1 Bank taxes and resolution fees -1 0 0 -1 -0 Profit before tax 503 716 -30 -599 1 219 -1 437 Tax expense 190 301 -37 139 37 491 75 Profit for the period 313 415 -25 -738 728 -1 513 Full-time employees 7 552 7 644 -1 7 811 -3 7 552 7 811 -3 1) Net interest income and net gains and losses on financial items mainly stem from Group Treasury. Other income mainly refers to income from the savings banks. Expenses mainly relate to Group Products & Advice and Group Staffs and are allocated to a large extent. 2) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income f rom the Group income statement. Result During the quarter, profit decreased to SEK 313m (415). Net interest income fell by SEK 270m, primarily driven by lower compensation from loans to the business areas as well as lower income from central bank deposits, partly mitigated by reduced funding costs as well as lower compensation to the business areas for deposits. Net gains and losses on financial items amounted to SEK 96m. The change between quarters was mainly related to unrealised revaluation effects of derivatives as well as positive revaluation effects of shareholdings within Group Treasury. Expenses increased on a seasonal basis, primarily driven by higher IT and consulting expenses, partly offset by lower staff costs.
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Swedbank – Report for the Second quarter│2025│17 Financial statements - Group Income statement, condensed Group Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Interest income 21 093 22 617 28 469 43 710 56 678 Interest expense -10 176 -11 128 -16 304 -21 304 -31 914 Net interest income (note 5) 10 917 11 489 12 165 22 406 24 764 Net commission income (note 6) 3 902 4 052 4 169 7 954 8 145 Net gains and losses on financial items (note 7) 856 541 911 1 398 1 593 Net insurance income (note 8) 523 470 291 993 558 Share of profit or loss of associates and joint ventures 163 160 189 323 316 Other income 600 617 511 1 217 947 Total income 16 962 17 329 18 237 34 291 36 324 Staff costs 3 767 3 831 3 784 7 597 7 484 Other general administrative expenses (note 9) 1 811 1 770 2 144 3 581 4 101 Depreciation/amortisation of tangible and intangible assets 541 515 536 1 056 1 065 Total expenses 6 119 6 115 6 465 12 234 12 650 Profit before impairments, bank taxes and resolution fees 10 843 11 214 11 772 22 057 23 674 Impairment of tangible and intangible assets 0 0 32 0 32 Credit impairments (note 10) 150 -141 -289 9 -145 Bank taxes and resolution fees (note 11) 677 929 1 045 1 606 2 149 Profit before tax 10 016 10 425 10 983 20 441 21 637 Tax expense 2 130 2 229 2 388 4 360 4 614 Profit for the period 7 886 8 196 8 595 16 082 17 023 Earnings per share, SEK 7.02 7.29 7.64 14.31 15.13 Earnings per share after dilution, SEK 6.99 7.26 7.61 14.24 15.08
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Swedbank – Report for the Second quarter│2025│18 Statement of comprehensive income, condensed Group Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Profit for the period reported via income statement 7 886 8 196 8 595 16 082 17 023 Items that will not be reclassified to the income statement Remeasurements of defined benefit pension plans -311 -411 -805 -722 164 Share related to associates and joint ventures -3 3 1 0 22 Total -314 -408 -804 -722 186 Items that may be reclassified to the income statement Exchange rate differences, foreign operations 1 663 -4 297 -1 055 -2 634 1 450 Hedging of net investments in foreign operations -1 074 2 874 677 1 799 -950 Cash flow hedges -1 -2 -3 -3 0 Foreign currency basis risk 5 5 -16 10 -27 Share of other comprehensive income of associates and joint ventures -3 -16 1 -19 13 Total 590 -1 436 -396 -846 486 Other comprehensive income for the period, net of tax 276 -1 844 -1 200 -1 568 672 Total comprehensive income for the period 8 161 6 353 7 395 14 515 17 695 Total comprehensive income attributable to: Shareholders of Swedbank AB 8 164 6 356 7 395 14 521 17 695 Non-controlling interests -3 -3 0 -6 0 For the period January – June 2025 a loss after tax of SEK -722m (164) was recognised in other comprehensive income, relating to remeasurements of defined benefit pension plans. As per 30 June 2025 the discount rate used to calculate the closing pension obligation was 3.70 per cent, compared with 3.86 per cent per 31 December 2024. The inflation assumption was 1.58 per cent compared with 1.72 per cent per 31 December 2024. The fair value of plan assets decreased during 2025 by SEK 723 m. In total, at 30 June 2025 the fair value of plan assets exceeded the obligation for funded defined benefit pension plans by SEK 2 958m, therefore the funded plans are presented as an asset. For January – June 2025 an exchange rate difference of SEK -2 634m (1 450) was recognised for the Group's foreign net investments in subsidiaries. The loss related to subsidiaries mainly arose because the Swedish krona strengthened against the euro during the period. In addition, an exchange rate difference of SEK -19m (13) for the Group's foreign net investments in associates and joint ventures is included in Share of other comprehensive income of associates and joint ventures. The total loss of SEK -2 653m is not taxable. Most of the Group's foreign net investments are hedged against currency risk resulting in a loss after tax of SEK 1 799m (-950) for the hedging instruments.
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Swedbank – Report for the Second quarter│2025│19 Balance sheet, condensed Group 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Assets Cash and balances with central banks 325 020 325 604 316 886 Treasury bills and other bills eligible for refinancing with central banks, etc. 180 149 182 205 210 505 Loans to credit institutions 35 404 34 068 46 523 Loans to the public 1 969 522 1 882 244 1 896 756 Value change of the hedged assets in portfolio hedges of interest rate risk -118 -2 723 -5 905 Bonds and other interest-bearing securities 72 173 57 790 96 759 Financial assets for which customers bear the investment risk 395 524 394 883 374 766 Shares and participating interests 39 371 45 438 45 322 Derivatives (note 19) 26 141 37 595 23 973 Intangible assets (note 15) 20 927 20 871 20 962 Other assets 68 328 31 722 41 364 Total assets 3 132 442 3 009 697 3 067 911 Liabilities and equity Amounts owed to credit institutions (note 16) 126 886 64 500 92 587 Deposits and borrowings from the public (note 17) 1 324 895 1 288 609 1 289 206 Value change of the hedged liabilities in portfolio hedges of interest rate risk 646 549 160 Financial liabilities for which customers bear the investment risk 396 785 395 800 375 653 Debt securities in issue (note 18) 776 636 758 199 812 638 Short positions, securities 27 238 16 458 28 366 Derivatives (note 19) 31 055 35 274 32 557 Insurance provisions 26 875 28 260 28 189 Other liabilities 48 017 45 335 48 895 Senior non-preferred liabilities (note 18) 130 466 121 204 119 174 Subordinated liabilities (note 18) 34 240 36 609 40 843 Total liabilities 2 923 740 2 790 797 2 868 269 Equity 208 702 218 901 199 643 Total liabilities and equity 3 132 442 3 009 697 3 067 911
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Swedbank – Report for the Second quarter│2025│20 Statement of changes in equity, condensed
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Swedbank – Report for the Second quarter│2025│21 Cash flow statement, condensed Group Jan-Jun Full year Jan-Jun SEKm 2025 2024 2024 Operating activities Profit before tax 20 441 44 187 21 637 Adjustments for non-cash items in operating activities -818 -3 959 -3 265 Income taxes paid -4 625 -8 732 -4 819 Cash flow before changes in operating assets and liabilities 14 998 31 496 13 553 Increase (-) / decrease (+) in assets -135 461 12 755 -105 686 Increase (+) / decrease (-) in liabilities 138 496 36 566 154 401 Cash flow from operating activities 18 033 80 817 62 268 Investing activities Business combinations 0 -49 0 Acquisitions of and contributions to associates and joint ventures -166 -191 -39 Disposal of shares in associates 151 0 0 Dividend from associates and joint ventures 153 186 186 Acquisitions of other fixed assets and strategic financial assets -241 -407 -192 Disposals of/maturity of other fixed assets and strategic financial assets 74 314 49 Cash flow from investing activities -29 -147 4 Financing activities Amortisation of lease liabilities -501 -908 -504 Issuance of senior non-preferred liablities 23 559 20 742 12 156 Redemption of senior non-preferred liablities -10 307 -15 020 -1 977 Issuance of subordinated liabilities 0 6 811 6 811 Redemption of subordinated liabilities -883 -7 222 -797 Dividends paid -24 392 -17 048 -17 048 Cash flow from financing activities -12 524 -12 645 -1 359 Cash flow for the period 5 480 68 025 60 913 Cash and cash equivalents at the beginning of the period 325 604 252 994 252 994 Cash flow for the period 5 480 68 025 60 913 Exchange rate differences on cash and cash equivalents -6 064 4 585 2 979 Cash and cash equivalents at end of the period 325 020 325 604 316 886 2025 During the first quarter, contributions were made to the joint ventures P27 Nordic Payments Platform AB (P27) and Svenska e-fakturabolaget AB of SEK 135m and 4m respectively. Swedbank also acquired additional shares in P27 of SEK 27m. Thereafter, the ownership amounts to 22.50 per cent. During the first quarter, Swedbank’s shares in the associated company BGC Holding AB were sold. Swedbank received a cash payment of SEK 151m. 2024 During 2024, Swedbank AB acquired all the shares in the Estonian company Paywerk AS for SEK 49m. Contributions were also made to the associated companies Getswish AB, Finansiell ID-teknik BID AB and Svenska e-fakturabolaget AB of SEK 90m, 62m and 16m respectively. Swedbank also acquired additional shares in the joint venture P27 Nordic Payments Platform AB of SEK 23m. Thereafter, the ownership amounted to 20.83 per cent.
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Swedbank – Report for the Second quarter│2025│22 Note 1 Accounting policies The interim report has been prepared in accordance with IAS 34 Interim Financial Reporting. The condensed consolidated financial statements have also been prepared in accordance with the recommendations and statements of the Swedish Corporate Reporting Board, the Annual Accounts Act for Credit Institutions and Securities Companies and the directives of the Swedish Financial Supervisory Authority (SFSA). The Parent Company report has been prepared in accordance with the Annual Accounts Act for Credit Institutions and Securities Companies, the directives of the SFSA and recommendation RFR 2 of the Swedish Corporate Reporting Board. The accounting policies applied in the interim report conform to those applied in the Annual and Sustainability Report for 2024, which was prepared in accordance with International Financial Reporting Standards (IFRS accounting standards) as adopted by the European Union and interpretations thereof. The financial statements are presented in Swedish kronor and all figures are rounded to millions of kronor (SEKm) unless otherwise indicated. No adjustments for rounding are made, therefore summation differences may occur. Changes in accounting regulations Amended regulations that are applicable from 1 January 2025 did not have a significant impact on the Group’s financial position, results, cash flows or disclosures. Note 2 Critical accounting estimates Presentation of consolidated financial statements in conformity with IFRS requires the executive management to make judgments and estimates that affect the recognised amounts of assets, liabilities and disclosures of contingent assets and liabilities as of the reporting date as well as the recognised income and expenses during the reporting period. The executive management continuously evaluates these judgments and estimates, including assessing control over investment funds, the fair value of financial instruments, provisions for credit impairment, impairment testing of goodwill, provisions and contingent liabilities, defined benefit pension provisions, insurance contracts and deferred taxes. Post-model expert credit adjustments to the credit impairment provisions continue to be necessary, given the geopolitical and economic uncertainties. Further information is provided in Note 10. Beyond this, there have been no significant changes to the basis upon which the critical accounting judgments and estimates have been determined compared with 31 December 2024. Note 3 Changes in the Group structure No significant changes to the Group structure occurred during the first half year of 2025.
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Swedbank – Report for the Second quarter│2025│23 Note 4 Operating segments (business areas) Group January-June 2025 Swedish Baltic Corporates and Premium and Functions SEKm Banking Banking Institutions Private Banking and Other Eliminations Group Income statement Net interest income 8 000 6 946 5 758 771 885 46 22 406 Net commission income 3 574 1 639 2 020 944 -217 -6 7 954 Net gains and losses on financial items 105 252 992 18 31 0 1 398 Other income¹ 779 647 91 19 2 375 -1 377 2 533 Total income 12 457 9 484 8 860 1 752 3 075 -1 337 34 291 Staff costs 874 1 059 1 176 327 3 748 -7 7 176 Variable staff costs 35 77 79 12 218 -0 421 Other expenses 3 307 2 076 2 173 418 -3 063 -1 330 3 581 Depreciation/amortisation of tangible and intangible assets 4 86 10 0 956 -0 1 056 Total expenses 4 219 3 298 3 438 757 1 859 -1 337 12 234 Profit before impairments, bank taxes and resolution fees 8 238 6 186 5 422 995 1 215 0 22 057 Impairment of tangible and intangible assets 0 0 Credit impairments 239 6 -238 5 -3 0 9 Bank taxes and resolution fees 429 657 450 70 -1 1 606 Profit before tax 7 570 5 522 5 210 921 1 219 0 20 441 Tax expense 1 401 1 195 1 085 188 491 4 360 Profit for the period 6 169 4 327 4 125 733 728 0 16 082 Profit for the period attributable to: Shareholders of Swedbank AB 6 175 4 327 4 125 733 728 0 16 089 Non-controlling interests -7 -7 Net commission income Commission income Payment processing 196 245 509 5 234 -10 1 179 Cards 1 042 1 065 1 573 38 -338 3 381 Asset management and custody 3 034 379 1 212 979 -2 -177 5 425 Lending 42 107 451 3 0 -4 599 Other commission income² 709 407 827 284 35 -9 2 253 Total 5 023 2 203 4 572 1 309 -70 -200 12 838 Commission expense 1 449 564 2 553 365 147 -194 4 884 Net commission income 3 574 1 639 2 020 944 -217 -6 7 954 Balance sheet, SEKbn Cash and balances with central banks 0 4 4 317 -0 325 Loans to credit institutions 6 1 87 0 202 -260 35 Loans to the public 835 289 710 137 1 -1 1 970 Interest-bearing securities 2 88 164 -2 252 Financial assets for which customers bear the investment risk 307 2 35 51 396 Investments in associates and joint ventures 7 3 0.0000 9 Derivatives 0 82 63 -119 26 Tangible and intangible assets 2 13 -0 0.0000 12 -0.00001 26 Other assets 18 160 24 3 421 -533 93 Total assets 1 174 470 1 030 190 1 182 -914 3 132 Amounts owed to credit institutions 3 0 309 74 -259 127 Deposits and borrowings from the public 468 427 346 80 17 -12 1 325 Debt securities in issue -0 1 -0 778 -2 777 Financial liabilities for which customers bear the investment risk 308 2 36 51 397 Derivatives 0 85 65 -119 31 Other liabilities 342 205 53 25 -522 103 Senior non-preferred liabilities -0 131 130 Subordinated liabilities -0.0000 34 0.0000 34 Total liabilities 1 121 431 980 184 1 124 -914 2 924 Allocated equity 54 40 50 7 58 209 Total liabilities and equity 1 174 470 1 030 190 1 182 -914 3 132 Key figures Return on allocated equity, % 22.9 22.2 17.2 22.2 2.3 15.2 Cost/income ratio 0.34 0.35 0.39 0.43 0.60 0.00 0.36 Credit impairment ratio, % 0.06 0.01 -0.07 0.01 -0.03 0.00 0.00 Loan/deposit ratio, % 178 68 172 172 4 0 138 Lending to the public, stage 3, SEKbn (gross) 4 1 5 0 0 0 11 Loans to customers, total, SEKbn 835 289 557 137 1 0 1 817 Provisions for loans to customers, total, SEKbn 2 1 3 0 0 0 6 Deposits from customers, SEKbn 468 427 324 80 16 0 1 314 Risk exposure amount, SEKbn 301 194 324 42 26 0 889 Full-time employees 2 121 4 722 1 799 597 7 552 0 16 792 Allocated equity, average, SEKbn 54 39 48 7 64 0 212 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income from the Group income statement. 2) Other commission income includes Service concepts, Insurance, Securities and corporate finance and Other, see Note 6.
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Swedbank – Report for the Second quarter│2025│24 Group January-June 2024 Swedish Baltic Corporates and Premium and Functions SEKm Banking Banking Institutions Private Banking and Other Eliminations Group Income statement Net interest income 9 016 9 145 6 619 908 -969 45 24 764 Net commission income 3 644 1 682 1 986 930 -100 1 8 145 Net gains and losses on financial items 133 271 987 15 188 0 1 593 Other income¹ 652 339 61 11 1 960 -1 202 1 822 Total income 13 445 11 438 9 653 1 864 1 079 -1 155 36 324 Staff costs 998 1 003 1 130 293 3 718 -9 7 133 Variable staff costs 30 62 66 8 185 0 351 Other expenses 3 302 1 983 1 992 345 -2 376 -1 147 4 101 Depreciation/amortisation of tangible and intangible assets 8 87 11 0 959 -0 1 065 Total expenses 4 338 3 136 3 199 646 2 487 -1 155 12 650 Profit before impairments, bank taxes and resolution fees 9 108 8 302 6 454 1 218 -1 408 -0 23 674 Impairment of tangible and intangible assets 0 32 32 Credit impairments -70 -9 -31 -31 -3 -0 -145 Bank taxes and resolution fees 427 1 179 481 63 -0 2 149 Profit before tax 8 751 7 132 6 005 1 187 -1 437 0 21 637 Tax expense 1 628 1 450 1 214 247 75 4 614 Profit for the period 7 123 5 682 4 791 940 -1 513 0 17 023 Profit for the period attributable to: Shareholders of Swedbank AB 7 122 5 682 4 791 940 -1 513 0 17 022 Non-controlling interests 0 0 Net commission income Commission income Payment processing 226 319 475 5 222 -8 1 238 Cards 1 083 1 104 1 596 19 -333 0 3 468 Asset management and custody² 2 947 323 1 191 976 -2 -176 5 260 Lending 47 110 445 2 0 -4 600 Other commission income²˒³ 679 337 758 252 26 -8 2 043 Total 4 981 2 192 4 464 1 254 -87 -196 12 609 Commission expense 1 337 510 2 478 323 13 -197 4 464 Net commission income 3 644 1 682 1 986 930 -100 1 8 145 Balance sheet, SEKbn Cash and balances with central banks 0 4 2 311 0 317 Loans to credit institutions 5 1 144 0.0002 272 -375 47 Loans to the public 850 268 639 130 11 -1 1 897 Interest-bearing securities 2 114 199 -8 307 Financial assets for which customers bear the investment risk 294 2 30 48 375 Investments in associates 6 2 8 Derivatives 0 96 79 -151 24 Tangible and intangible assets 2 13 -0 0.00003 12 -0.00000 26 Other assets 19 154 29 3 333 -471 67 Total assets 1 177 444 1 054 181 1 218 -1 006 3 068 Amounts owed to credit institutions 5 0 359 0 93 -365 93 Deposits and borrowings from the public 460 403 352 78 7 -10 1 289 Debt securities in issue -0 2 1 818 -8 813 Financial liabilities for which customers bear the investment risk 295 2 30 49 376 Derivatives 0 103 80 -151 33 Other liabilities 365 163 49 0 -472 106 Senior non-preferred liabilities -0 119 0.00000 119 Subordinated liabilities -0.0000 41 41 Total liabilities 1 125 407 1 008 175 1 159 -1 006 2 868 Allocated equity 52 36 46 6 59 200 Total liabilities and equity 1 177 444 1 054 181 1 218 -1 006 3 068 Key figures Return on allocated equity, % 26.6 32.2 20.2 30.3 -5.4 0.0 17.1 Cost/income ratio 0.32 0.27 0.33 0.35 2.30 0.00 0.35 Credit impairment ratio, % -0.02 -0.01 -0.01 -0.05 -0.01 0.00 -0.01 Loan/deposit ratio, % 185 66 164 168 15 0 140 Lending to the public, stage 3, SEKbn (gross) 4 1 4 0 10 Loans to customers, total, SEKbn 850 268 551 130 1 1 799 Provisions for loans to customers, total, SEKbn 1 1 4 0 0 7 Deposits from customers, SEKbn 460 403 336 78 7 0 1282 Risk exposure amount, SEKbn 294 196 291 37 30 0 848 Full-time employees 2 559 4 766 1 803 599 7 811 0 17 538 Allocated equity, average, SEKbn 54 35 47 6 56 0 199 During the second quarter 2025, an allocation model regarding fund savings between Swedish banking and Premium and Private Banking was updated, why comparatives have been restated. The change as impacted net commission income, other expenses and tax expense 1) Other income includes the items Net insurance, Share of profit or loss of associates and joint ventures and Other income from the Group income statement. 2) There has been a reclassification of commission income from row Asset management and custody to Insurance within row Other commission income. The figures above have been restated. 3) Other commission income includes Service concepts, Insurance, Securities and corporate finance and Other, see Note 6.
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Swedbank – Report for the Second quarter│2025│25 Operating segments accounting policies The operating segment report is based on Swedbank’s accounting policies, organisation and management accounts. Market-based transfer prices are applied between operating segments, while all expenses for Group functions and Group staffs are transfer priced at cost to the operating segments. Cross-border transfer pricing is applied according to OECD transfer pricing guidelines. The Group’s equity attributable to shareholders is allocated to each operating segment based on capital adequacy rules and estimated capital requirements based on the bank’s Internal Capital Adequacy Assessment Process (ICAAP). The return on allocated equity for the operating segments is calculated based on profit for the period attributable to the shareholders for the operating segment, in relation to average monthly allocated equity for the operating segment. For periods shorter than one year the key ratio is annualised. During the first half year of 2025, no organizational changes between Swedbank’s operating segments were made.
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Swedbank – Report for the Second quarter│2025│26 Note 5 Net interest income Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Interest income Cash and balances with central banks 2 637 3 214 4 122 5 851 8 129 Treasury bills and other bills eligible for refinancing with central banks, etc. 1 067 1 163 1 996 2 230 4 042 Loans to credit institutions 528 519 770 1 047 1 605 Loans to the public 18 127 18 866 23 391 36 993 46 466 Bonds and other interest-bearing securities 521 431 595 952 1 147 Derivatives¹ 276 1 252 -364 1 528 -1 409 Other assets 0 14 -10 14 -11 Total 23 156 25 459 30 500 48 615 59 970 Transfer of trading-related interests reported in Net gains and losses 2 063 2 842 2 030 4 905 3 292 Total interest income 21 093 22 617 28 469 43 710 56 678 Interest expense Amounts owed to credit institutions -1 051 -817 -1 194 -1 868 -2 474 Deposits and borrowings from the public -4 332 -4 998 -8 345 -9 330 -16 727 of which deposit guarantee fees -176 -178 -151 -354 -300 Debt securities in issue -6 255 -6 508 -7 335 -12 763 -14 230 Senior non-preferred liabilities -1 138 -1 103 -1 045 -2 241 -1 967 Subordinated liabilities -488 -528 -607 -1 015 -1 143 Derivatives¹ 1 153 822 -209 1 975 -82 Other liabilities -16 -20 -23 -37 -47 Total -12 128 -13 153 -18 757 -25 281 -36 669 Transfer of trading-related interests reported in Net gains and losses -1 952 -2 025 -2 453 -3 977 -4 755 Total interest expense -10 176 -11 128 -16 304 -21 304 -31 914 Net interest income 10 917 11 489 12 165 22 406 24 764 Net interest margin² 1.55 1.61 1.70 1.58 1.75 Average total assets excluding trading related assets 2 817 249 2 853 143 2 864 492 2 844 455 2 822 163 Interest income on financial assets at amortised cost 20 850 22 434 28 337 43 285 56 355 Interest expense on financial liabilities at amortised cost 12 933 13 549 17 639 26 482 34 806 1) The derivatives lines include net interest income from derivatives hedging assets and liabilities in the balance sheet. Th ese may have both positive and negative impact on interest income and interest expense. 2) Starting from 2025, the new key ratio net interest margin is presented.
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Swedbank – Report for the Second quarter│2025│27 Note 6 Net commission income Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Commission income Payment processing 595 584 618 1 179 1 238 Cards 1 789 1 591 1 827 3 381 3 468 Service concepts 474 476 450 951 870 Asset management and custody¹ 2 600 2 825 2 720 5 425 5 260 of which insurance operation 324 346 341 670 656 Insurance¹ 168 197 171 365 361 Securities and corporate finance 206 249 205 455 404 Lending 291 308 298 599 600 Other 222 260 207 482 409 Total commission income 6 346 6 492 6 496 12 838 12 609 Commission expense Payment processing -421 -427 -395 -848 -776 Cards -900 -825 -834 -1 725 -1 596 Service concepts -47 -48 -46 -96 -96 Asset management and custody¹ -829 -851 -819 -1 680 -1 558 of which insurance operation -65 -67 -64 -132 -118 Insurance¹ -35 -36 -34 -70 -65 Securities and corporate finance -89 -100 -94 -189 -193 Lending -40 -41 -39 -82 -63 Other -82 -113 -66 -195 -117 Total commission expense -2 444 -2 440 -2 326 -4 884 -4 464 Net commission income Payment processing 174 158 223 331 463 Cards 889 766 993 1 655 1 872 Service concepts 427 428 403 855 774 Asset management and custody 1 771 1 975 1 901 3 745 3 702 of which insurance operation 260 279 277 539 538 Insurance 133 162 137 295 296 Securities and corporate finance 117 149 111 266 211 Lending 251 267 259 518 537 Other 140 147 141 287 291 Total net commission income 3 902 4 052 4 169 7 954 8 145 1) There has been a reclassification from row Asset management and custody to row Insurance. Comparative figures have been restated for 2024.
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Swedbank – Report for the Second quarter│2025│28 Note 7 Net gains and losses on financial items Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Fair value through profit or loss Shares and share related derivatives 325 302 286 627 657 of which dividend 129 96 65 225 224 Interest-bearing securities and interest related derivatives 124 -645 697 -521 1 798 Financial liabilities -4 0 -2 -3 -1 Financial assets and liabilities where the customers bear the investment risk, net -5 9 1 5 14 Other financial instruments 0 1 0 1 0 Total fair value through profit or loss 441 -333 983 108 2 468 Hedge accounting Ineffectiveness, one-to-one fair value hedges 10 -96 -53 -86 -50 of which hedging instruments 5 481 457 2 000 5 938 -1 215 of which hedged items -5 471 -553 -2 053 -6 024 1 164 Ineffectiveness, portfolio fair value hedges 21 3 58 24 52 of which hedging instruments -2 180 -295 -2 326 -2 475 -2 582 of which hedged items 2 201 298 2 384 2 499 2 635 Ineffectiveness, cash flow hedges -2 -2 20 -4 18 Total hedge accounting 29 -95 25 -66 20 Amortised cost Derecognition gain or loss for financial assets 23 25 25 48 28 Derecognition gain or loss for financial liabilities 63 -3 -103 60 -5 Total amortised cost 86 22 -78 108 23 Trading related interest Interest income 2 063 2 842 2 030 4 905 3 292 Interest expense -1 952 -2 025 -2 453 -3 977 -4 755 Total trading related interest 111 817 -423 928 -1 463 Change in exchange rates 188 130 405 318 546 Total 856 541 911 1 398 1 593
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Swedbank – Report for the Second quarter│2025│29 Note 8 Net insurance income Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Insurance service revenue 1 273 1 331 1 202 2 604 2 412 Insurance service expenses -751 -798 -791 -1 548 -1 735 Insurance service result 523 533 411 1 056 678 Result from reinsurance contracts held -16 -21 -20 -37 -19 Insurance finance income and expense -602 982 -646 381 -2 163 Insurance result -95 1 494 -255 1 400 -1 504 Return on financial assets backing insurance contracts with participation features 618 -1 025 547 -406 2 062 Total 523 470 291 993 558 Note 9 Other general administrative expenses Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Premises 103 97 97 200 194 IT expenses 946 892 934 1 838 1 770 Telecommunications and postage 30 34 28 64 65 Consultants 158 108 267 266 553 Compensation to savings banks 51 51 53 102 106 Other purchased services 364 353 345 718 670 Travel 41 31 40 72 66 Entertainment 8 8 11 16 16 Supplies 13 8 18 21 33 Advertising, PR and marketing 79 185 175 264 246 Security transport and alarm systems 22 20 17 41 38 Repair/maintenance of inventories 41 42 41 83 79 Administrative fines 13 0 0 13 0 Other administrative expenses¹ -75 -73 102 -148 222 Other operating expenses 17 12 18 29 42 Total 1 811 1 770 2 144 3 581 4 101 1) The negative amounts are related to VAT recoveries of SEKm 205 in Q1 and SEKm 174 in Q2, which were previously recognised as expenses.
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Swedbank – Report for the Second quarter│2025│30 Note 10 Credit impairments Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Credit impairments for loans at amortised cost Credit impairments - stage 1 68 98 -33 166 -200 Credit impairments - stage 2 -167 -217 -379 -384 -402 Credit impairments - stage 3 120 96 -329 215 -69 Total 20 -24 -742 -3 -671 Write-offs 159 85 617 245 722 Recoveries -22 -25 -182 -47 -236 Total 137 60 435 197 486 Total - credit impairments for loans at amortised cost 158 36 -307 194 -185 Credit impairments for loan commitments and guarantees Credit impairments - stage 1 4 -23 -51 -19 -45 Credit impairments - stage 2 -35 -69 63 -103 11 Credit impairments - stage 3 24 -86 6 -62 74 Total - credit impairments for loan commitments and guarantees -7 -177 18 -185 40 Total credit impairments 150 -141 -289 9 -145 Credit impairment ratio, % 0.03 -0.03 -0.06 0.00 -0.01 Calculation of credit impairment provisions The measurement of expected credit losses is described in Note G3 section 3.1 Credit risk on pages 244-249 of the 2024 Annual and Sustainability Report. Measurement of 12-month and lifetime expected credit losses Geopolitical tensions, supply chain disruptions and increased global tariffs result in uncertainty regarding potential deteriorations in credit quality, beyond what is currently captured in the quantitative risk models. Therefore, post-model expert credit adjustments continue to be made to capture increased credit risk, such as potential future rating and stage migrations. Post-model expert credit adjustments amounted to SEK 594m (SEK 715m at 31 March 2025, SEK 720m at 31 December 2024) and are allocated as SEK 365m in stage 1 and SEK 229m in stage 2 (SEK 400m in stage 1, SEK 315m in stage 2 at 31 March 2025). Customers and industries are reviewed and analysed considering the current situation, particularly in more vulnerable sectors. During the second quarter, the largest releases of post- model expert credit adjustments were in Property management sector, where the risks are increasingly captured in the macroeconomic scenarios and the quantitative risk models. The most significant post- model adjustments at 30 June 2025 were in the Manufacturing, Property management and Agriculture, forestry, fishing sectors.
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Swedbank – Report for the Second quarter│2025│31 The tables below show the quantitative thresholds used by the Group for assessing a significant increase in credit risk, namely: • Changes in the 12-month PD and internal risk rating grades, which have been applied for the portfolio of loans originated before 1 January 2018. For instance, for exposures originated with risk grades 0 to 5, a downgrade by 1 grade from initial recognition is assessed as a significant change in credit risk. Alternatively, for exposures originated with risk grades 18 to 21, a downgrade by 5 to 8 grades from initial recognition is considered significant. Internal risk ratings are assigned according to the risk management framework outlined in Note G3 Risks in the 2024 Annual and Sustainability Report. • Changes in the lifetime PD, which have been applied for the portfolio of loans originated on or after 1 January 2018. For instance, for exposures originated with risk grades 0 to 5, a 50 per cent increase in the lifetime PD from initial recognition is assessed as a significant change in credit risk. Alternatively, for exposures originated with risk grades 18 to 21, an increase of 200-300 per cent from initial recognition is considered significant except for Swedish mortgages where an absolute 12-month PD threshold is also applied. These limits reflect a lower sensitivity to change in the low-risk end of the risk scale and a higher sensitivity to change in the high-risk end of the scale. The Group has performed a sensitivity analysis on how credit impairment provisions would change if thresholds applied were increased or decreased. A lower threshold would increase the number of loans that have migrated from Stage 1 to Stage 2 and also increase the estimated credit impairment provisions. A higher threshold would have the opposite effect. The tables below disclose the impacts of this sensitivity analysis on the credit impairment provisions. Positive amounts represent higher credit impairment provisions that would be recognised. Significant increase in credit risk - financial instruments with initial recognition before 1 January 2018 Significant increase in credit risk - financial instruments with initial recognition on or after 1 January 2018
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Swedbank – Report for the Second quarter│2025│32 Incorporation of forward-looking macroeconomic scenarios The Swedbank Economic Outlook was published on 6 May 2025 and the baseline scenario was updated by Swedbank Macro Research as of 10 June 2025. The baseline scenario, with an assigned probability weight of 66.6 per cent, is aligned with the published outlook and incorporates updated observed outcome and data points. The alternative scenarios are aligned with the updated baseline scenario, with probability weights of 16.7 per cent assigned to both the upside and downside scenario. The table below sets out the key assumptions of the scenarios at 30 June 2025. 30 June 2025 Positive scenario Baseline scenario Negative scenario 2025 2026 2027 2025 2026 2027 2025 2026 2027 Sweden GDP (annual % change) 1.2 3.4 2.6 1.1 2.5 2.4 -1.3 -4.3 2.4 Unemployment (annual %) 8.7 8.3 7.9 8.7 8.5 8.0 9.0 10.7 11.0 House prices (annual % change) 2.8 5.1 4.7 2.7 4.5 4.2 0.0 -5.8 3.0 Stibor 3m (%) 2.26 2.14 2.17 2.13 1.91 2.10 1.96 0.31 0.30 Estonia GDP (annual % change) 1.4 3.4 2.1 0.8 2.0 2.3 -1.9 -8.3 0.7 Unemployment (annual %) 7.7 6.4 5.2 7.8 6.9 5.6 8.3 12.1 15.1 House prices (annual % change) 2.3 7.5 5.1 2.1 4.8 4.9 -5.9 -25.1 -6.6 CPI (annual % change) 5.7 4.3 2.6 5.5 3.8 2.5 4.8 0.9 1.5 Latvia GDP (annual % change) 1.8 3.4 2.6 1.5 2.5 2.6 -1.0 -5.6 1.5 Unemployment (annual %) 6.6 5.8 5.7 6.7 6.2 6.0 7.4 11.0 14.8 House prices (annual % change) 6.2 7.7 4.5 5.4 5.3 5.3 -4.6 -31.2 -13.6 CPI (annual % change) 3.3 3.3 2.7 3.1 2.7 2.6 2.3 -0.6 1.9 Lithuania GDP (annual % change) 2.9 4.3 3.1 2.6 2.2 2.5 0.1 -6.7 2.4 Unemployment (annual %) 6.8 6.3 5.6 7.0 7.1 6.7 7.5 11.9 15.2 House prices (annual % change) 7.2 8.4 5.4 6.1 4.9 4.9 -4.5 -27.7 -9.5 CPI (annual % change) 3.8 2.9 2.7 3.7 2.3 2.5 3.1 -0.5 1.4 Global indicators US GDP (annual %) 1.2 1.8 2.0 1.0 1.2 1.9 0.1 -3.6 0.7 EU GDP (annual %) 1.2 1.7 1.2 0.9 0.8 1.3 -0.3 -5.2 0.4 Brent Crude Oil (USD/Barrel) 67.1 64.8 64.8 65.8 62.2 63.5 55.0 31.7 46.9 Euribor 6m (%) 1.99 1.67 1.66 1.94 1.54 1.54 1.90 0.53 0.00 The US tariffs and related policy uncertainty are primarily expected to affect the US economy, but will also continue to weigh on the global economy. We expect uncertainty to diminish towards the end of the year. At the same time, the European economy is being supported by increased investments in defence and infrastructure. In China, consumer confidence remains subdued despite various stimulus measures, and the economic outlook looks weak. Growth in the US has started to slow, but inflation is likely to rise as tariffs are raised. This puts the Federal Reserve in a difficult position and policy rate cuts are being delayed. Capital flows from the US as a result of policy uncertainty have weighed on the dollar this year – a trend we believe will continue. In the euro area, inflation has returned to target and the ECB is expected to continue to cut its policy rate after the summer. The recovery in the Swedish economy is taking a break. Growth turned negative again in the first quarter of 2025 and indicators point to continued weak growth. Once uncertainty about US trade policy eases, we expect higher real household incomes and lower interest rates to contribute to stronger domestic demand. Inflation has been subdued and we believe that the Riksbank will lower the policy rate to 1.75 per cent this autumn. The labour market situation is not expected to improve significantly until next year. Despite strong or upward trends in most sectors in the Baltic economies, the outlook is worsened by the tariffs. None of the countries is particularly dependent on direct exports to the US, but increased competition in other markets could dampen the recovery for the manufacturing industry. Lower interest rates, together with supportive fiscal policies, are expected to contribute to boost private and public investment. All three Baltic countries plan to increase defence spending to 4–5 per cent of GDP by 2026.
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Swedbank – Report for the Second quarter│2025│33 Sensitivity The table below shows the credit impairment provisions that would result from the negative and positive scenarios, which are considered reasonably possible, being assigned a probability weight of 100 per cent. Post-model expert credit adjustments are assumed to be constant in the results. Note 11 Bank taxes and resolution fees Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Swedish bank tax 273 273 277 547 553 Lithuanian bank tax 35 203 438 238 946 Latvian bank tax 167 252 111 419 218 Resolution fees 201 201 219 402 432 Total 677 929 1 045 1 606 2 149 Swedish risk tax on credit institutions is levied at 0.06 percent of the credit institution’s total adjusted debt at the beginning of the financial year. The Lithuanian solidarity contribution tax is temporary from May 2023 until year end 2025. The tax rate is 60 per cent and is applied to the part of the adjusted net interest income earned during the period which exceeds the average net interest income for the years 2019-2022 by more than 50 per cent. The reduced solidarity contribution tax is the result of decreased adjusted net interest income during the period compared to average net interest income during the comparison period. The Latvian mortgage levy that applied in 2024 has been replaced in 2025 with a solidarity contribution tax. The tax rate is 60 per cent and is applied to the part of the adjusted net interest income earned during the period which exceeds the average net interest income for the years 2018-2022 by more than 50 per cent.
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Swedbank – Report for the Second quarter│2025│34 Note 12 Loans The following tables present loans to the public and credit institutions at amortised cost by industry sectors, loans and credit impairment provisions ratios.
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Swedbank – Report for the Second quarter│2025│35 Note 13 Credit impairment provisions The following table presents a summary of credit impairment provisions for financial instruments that are subject to the credit impairment requirements. The following table presents gross carrying amounts and nominal amounts, respectively, by stage for financial instruments that are subject to the credit impairment requirements.
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Swedbank – Report for the Second quarter│2025│36 Reconciliation of credit impairment provisions for loans The tables below provide a reconciliation of credit impairment provisions for loans to the public and credit institutions at amortised cost. During the second quarter, IFRS 9 model updates were implemented for the Baltic segments as part of model lifecycle management and routine maintenance. The model updates resulted in increased credit impairments of SEK 74m.
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Swedbank – Report for the Second quarter│2025│37 Loan commitments and financial guarantees The tables below provide a reconciliation of credit impairment provisions for loan commitments and financial guarantees. Note 14 Credit risk exposures 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Assets Cash and balances with central banks 325 020 325 604 316 886 Interest-bearing securities 252 322 239 996 307 264 Loans to credit institutions 35 404 34 068 46 523 Loans to the public 1 969 522 1 882 244 1 896 756 Derivatives 26 141 37 595 23 973 Other financial assets 44 794 8 296 19 865 Total assets 2 653 203 2 527 802 2 611 268 Contingent liabilities and commitments Guarantees 38 387 44 037 42 702 Loan commitments 263 279 266 011 258 737 Total contingent liabilities and commitments 301 667 310 048 301 439 Total 2 954 870 2 837 850 2 912 707
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Swedbank – Report for the Second quarter│2025│38 Note 15 Intangible assets Indefinite useful life Definite useful life Total Goodwill & Brand Other intangible assets Jan-Jun Full year Jan-Jun Jan-Jun Full year Jan-Jun Jan-Jun Full year Jan-Jun SEKm 2025 2024 2024 2025 2024 2024 2025 2024 2024 Opening balance 14 250 13 861 13 861 6 621 6 580 6 580 20 871 20 440 20 440 Additions 7 0 802 1 676 717 802 1 683 717 Amortisation for the period -398 -858 -412 -398 -858 -412 Impairment for the period 0 0 -789 -32 -789 -32 Sales and disposals 0 0 0 12 0 0 12 0 Exchange rate differences -345 381 249 -3 0 0 -348 383 249 Closing balance 13 904 14 250 14 110 7 022 6 621 6 852 20 927 20 871 20 962 As of June 2025, there was no indication of an impairment of intangible assets. During 2024, impairments of SEK 789m were made in relation to internally developed software, which will no longer be used. During 2024 the Estonian company Paywerk AS was acquired and a goodwill of SEK 7m was obtained. Note 16 Amounts owed to credit institutions 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Central banks 16 384 2 256 13 984 Banks 93 376 50 744 62 304 Other credit institutions 6 850 7 189 6 521 Repurchase agreements 10 276 4 311 9 779 Total 126 886 64 500 92 587 Note 17 Deposits and borrowings from the public 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Private customers 765 712 746 177 728 085 Corporate customers 548 485 538 389 554 076 Total deposits from customers 1 314 197 1 284 566 1 282 162 Cash collaterals received 1 893 3 338 3 094 Swedish National Debt Office 129 126 114 Repurchase agreements - Swedish National Debt Office 0 0 1 Repurchase agreements 8 676 578 3 835 Total borrowings 10 698 4 043 7 044 Deposits and borrowings from the public 1 324 895 1 288 609 1 289 206
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Swedbank – Report for the Second quarter│2025│39 Note 18 Debt securities in issue, senior non-preferred liabilities and subordinated liabilities 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Commercial papers 299 320 265 526 322 497 Covered bonds 358 906 353 430 369 045 Senior unsecured bonds 118 409 139 113 120 570 Structured retail bonds 1 129 526 Total debt securities in issue 776 636 758 199 812 638 Senior non-preferred liabilities 130 466 121 204 119 174 Subordinated liabilities 34 240 36 609 40 843 Total 941 342 916 012 972 655 Jan-Jun Full-year Jan-Jun Turnover 2025 2024 2024 Opening balance 916 012 866 217 866 217 Issued 364 319 739 932 376 625 Repurchased -11 527 -27 593 -6 131 Repaid -276 446 -733 227 -297 690 Interest, change in fair values or hedged items in fair value hedges and changes in exchange rates -51 016 70 683 33 634 Closing balance 941 342 916 012 972 655 Note 19 Derivatives The Group trades in derivatives in the normal course of business and for the purpose of hedging certain positions that are exposed to share price, interest rate, credit and currency risks. The carrying amounts of all derivatives refer to fair value including accrued interest. The amount offset for financial assets includes offset cash collateral of SEK 1 328m (6 372) derived from the balance sheet item Amounts owed to credit institutions. The amount offset for financial liabilities includes offset cash collateral of SEK 4 136m (7 522), derived from the balance sheet item Loans to credit institutions. Nominal amount Positive fair value Negative fair value 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 2025 2024 2024 2025 2024 2024 Derivatives in hedge accounting One-to-one fair value hedges¹ 587 506 598 513 612 108 10 619 8 696 4 531 5 779 8 931 15 489 Portfolio fair value hedges¹ 305 303 334 142 333 826 2 291 3 923 6 810 2 578 1 485 1 113 Cash flow hedges² 8 215 8 466 8 369 608 858 768 Total 901 024 941 120 954 303 13 518 13 477 12 109 8 357 10 415 16 602 Non-hedge accounting derivatives 35 058 944 36 112 482 35 087 320 613 570 726 136 883 110 626 454 728 025 895 096 Gross amount 35 959 968 37 053 602 36 041 622 627 088 739 612 895 219 634 811 738 441 911 698 Offset amount -600 947 -702 017 -871 246 -603 755 -703 167 -879 141 Total 26 141 37 595 23 973 31 055 35 274 32 557 1) Interest rate swaps 2) Cross currency basis swaps
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Swedbank – Report for the Second quarter│2025│40 Note 20 Valuation categories for financial instruments The tables below present the carrying amount and fair value of financial assets and financial liabilities, according to valuation categories. The methodologies to determine the fair value are described in the Annual and Sustainability Report 2024, note G47 Fair value of financial instruments.
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Swedbank – Report for the Second quarter│2025│41
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Swedbank – Report for the Second quarter│2025│42 Note 21 Financial instruments recognised at fair value The determination of fair value, the valuation hierarchy and the valuation process for fair value measurements in Level 3 are described in the Annual and Sustainability Report 2024, note G47 Fair value of financial instruments. The financial instruments are distributed in three levels depending on the degree of observable market data in the valuation and activity in the market. • Level 1: Unadjusted quoted price on an active market. • Level 2: Adjusted quoted price or valuation model with valuation parameters derived from an active market. • Level 3: Valuation model where significant valuation parameters are non-observable and based on internal assumptions. The following tables present fair values of financial instruments recognised at fair value split between the three valuation hierarchy levels. Transfers between levels are reflected as per the fair value at closing day. There were no transfers of financial instruments between valuation levels 1 and 2 during the period. Financial instruments are transferred to or from level 3 depending on whether the internal assumptions have changed in significance to the valuation. Level 3 mainly comprises strategic unlisted shares. These include holdings in VISA Inc. C shares, which are subject to selling restrictions until June 2028 and under certain conditions may have to be returned. Liquid quotes are not available for these shares, therefore the
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Swedbank – Report for the Second quarter│2025│43 fair value is established with significant elements of Swedbank’s own internal assumptions. The carrying amount of the holdings in Visa Inc. C amounted as per 30 June 2025 to SEK 350m (SEK 344m 31 December 2024). During the quarter shares in Kepler Cheuvreux were sold for SEK 223m. In the Group’s insurance operations, fund units are held in which the customers have chosen to invest their insurance savings. The holdings are reported in the balance sheet as financial assets where the customers bear the investment risk and are normally measured at fair value according to level 1, because the units are traded in an active market. The Group’s obligations to insurance savers are reported as financial liabilities where the customers bear the investment risk because it is the customers who bear the entire market value change of the assets. The liabilities are normally measured at fair value according to level 2. During the first quarter 2022, trading was closed in whole or in part in Russia and Eastern Europe targeted funds. Remaining unit holdings, only correlated to the Russia funds, and related liabilities to the insurance savers have been measured at fair value according to level 3 and been measured at value SEK 0m. Note 22 Assets pledged, contingent liabilities/-assets and commitments 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Loans used as collateral for covered bonds¹ 406 904 374 936 397 653 Assets recorded in register on behalf of insurance policy holders 413 463 411 120 390 723 Other assets ledged for own liabilities 111 008 124 731 122 793 Other assets pledged 12 705 12 244 17 223 Assets pledged 944 079 923 031 928 393 Nominal amounts Guarantees 38 387 44 037 42 702 Other 78 89 107 Contingent liabilities 38 466 44 126 42 808 Nominal amounts Loans granted not paid 210 368 210 575 204 165 Overdraft facilities granted but not utilised 52 912 55 435 54 572 Commitments 263 279 266 011 258 737 1) The pledge is defined as the borrower’s nominal debt including accrued interest and refers to the loans of the total avail able collateral that are used as the pledge at each point in time. Swedbank is cooperating with authorities in the United States who are conducting investigations into Swedbank’s historic AML compliance and the Group's response thereto, as well as related issues involving the Group's anti-money laundering controls and certain individuals and entities who may at some time have been customers of the Group. Investigations by the Department of Justice (DoJ), the Securities and Exchange Commission (SEC) and the Department of Financial Services (DFS) in New York are ongoing. The timing of the completion of the investigations is still unknown and the outcomes are still uncertain. It is therefore not possible to reliably estimate the amount of any potential settlement or fines, which could be material. On 20 December 2024, the Swedish Pensions Agency filed a SEK 2 790m lawsuit against Swedbank in the Stockholm District Court for Swedbank’s role as a custodian of the Optimus High Yield fund during the period 2012–2015. Swedbank contests the Swedish Pensions Agency’s claim and has not allocated any provisions for the Swedish Pensions Agency’s suit. Swedbank has applied for a VAT refund for the years 2016 and 2019-2023. This is following the Swedish Tax Agency's approval of a new method for calculating deductible VAT, based on a change in legal precedent from the Supreme Administrative Court in 2023. Swedbank has not yet received a response.
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Swedbank – Report for the Second quarter│2025│44 Note 23 Offsetting financial assets and liabilities The tables below present recognised financial instruments that have been offset in the balance sheet under IAS 32 and those that are subject to legally enforceable master netting or similar agreements but do not qualify for offset. Such financial instruments relate to derivatives, repurchase and reverse repurchase agreements, securities settlements, securities borrowing and lending transactions. Collateral amounts represent financial instruments or cash collateral received or pledged for transactions that are subject to a legally enforceable master netting or similar agreements and which allow for the netting of obligations against the counterparty in the event of a default. Collateral amounts are limited to the amount of the related instruments presented in the balance sheet; therefore any over-collateralisation is not included. Amounts that are not offset in the balance sheet are presented as a reduction to the financial assets or liabilities in order to derive net asset and net liability exposure. Financial assets Financial liabilities 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 2025 2024 2024 Financial assets and liabilities, which have been offset or are subject to netting Gross amount 817 043 884 796 1 059 921 689 153 810 229 999 225 Offset amount -636 424 -769 213 -944 414 -639 232 -770 363 -952 309 Net amounts presented in the balance sheet 180 619 115 582 115 507 49 920 39 867 46 916 Related amounts not offset in the balance sheet Financial instruments, netting arrangements 21 180 17 015 24 278 21 180 17 015 14 236 Financial Instruments, collateral 148 410 81 897 81 621 13 640 7 406 10 609 Cash collateral 5 496 13 389 4 660 11 269 11 273 11 456 Total amount not offset in the balance sheet 175 087 112 300 110 559 46 088 35 694 36 300 Net amount 5 532 3 282 4 949 3 832 4 172 10 615 The amount offset for financial assets includes offset cash collateral of SEK 1 328m (6 372) derived from the balance sheet item Amounts owed to credit institutions. The amount offset for financial liabilities includes offset cash collateral of SEK 4 136m (7 522), derived from the balance sheet item Loans to credit institutions.
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Swedbank – Report for the Second quarter│2025│45 Note 24 Capital adequacy, consolidated situation This note contains the information made public according to the Swedish Financial Supervisory Authority Regulation FFFS 2008:25. Additional periodic information according to Regulation (EU) No 575/2013 of the European Parliament and of the Council on Supervisory Requirements for Credit Institutions and Implementing Regulation (EU) No 2024/3172 of the European Commission can be found on Swedbank’s website: https://www.swedbank.com/investor-relations/reports-and-presentations/risk-reports. In the consolidated situation the Group’s insurance companies are accounted for according to the equity method instead of full consolidation. Joint venture companies EnterCard Group AB, Invidem AB, P27 Nordic Payments Platform AB, Tibern AB and Svenska e-fakturabolaget AB consolidates by proportional method instead of accounted for with the equity method. Otherwise, the same principles for consolidations are applied as for the Group. 30 Jun 31 Mar 31 Dec 30 Sep 30 Jun Consolidated situation, SEKm 2025 2025 2024 2024 2024 Available own funds Common Equity Tier 1 (CET1) capital 175 081 172 843 172 620 174 816 170 511 Tier 1 capital 190 658 188 906 189 809 191 178 192 269 Total capital 209 222 207 271 209 547 211 344 212 259 Risk-weighted exposure amounts Total risk exposure amount 888 540 876 721 871 902 857 827 847 922 Total risk exposure pre-floor 888 540 876 721 0 0 0 Capital ratios as a percentage of risk-weighted exposure amount Common Equity Tier 1 ratio 19.7 19.7 19.8 20.4 20.1 Common Equity Tier 1 ratio considering unfloored TREA 19.7 19.7 0.0 0.0 0.0 Tier 1 ratio 21.5 21.5 21.8 22.3 22.7 Tier 1 ratio considering unfloored TREA 21.5 21.5 0.0 0.0 0.0 Total capital ratio 23.5 23.6 24.0 24.6 25.0 Total capital ratio considering unfloored TREA 23.5 23.6 0.0 0.0 0.0 Additional own funds requirements to address risks other than the risk of excessive leverage as a percentage of risk-weighted exposure amount Additional own funds requirements to address risks other than the risk of excessive leverage 2.8 2.8 2.8 2.8 2.7 of which: to be made up of CET1 capital 1.9 1.9 1.9 1.9 1.8 of which: to be made up of Tier 1 capital 2.2 2.2 2.2 2.2 2.1 Total SREP own funds requirements 10.8 10.8 10.8 10.8 10.7 Combined buffer and overall capital requirement as a percentage of risk -weighted exposure amount Capital conservation buffer 2.5 2.5 2.5 2.5 2.5 Conservation buffer due to macro-prudential or systemic risk identified at the level of a Member State Institution-specific countercyclical capital buffer 1.8 1.8 1.7 1.7 1.7 Systemic risk buffer 3.1 3.1 3.1 3.1 3.1 Global Systemically Important Institution buffer Other Systemically Important Institution buffer 1.0 1.0 1.0 1.0 1.0 Combined buffer requirement 8.4 8.3 8.3 8.3 8.3 Overall capital requirements 19.1 19.1 19.1 19.1 19.0 CET1 available after meeting the total SREP own funds requirements 12.8 12.9 13.2 15.0 13.8 Leverage ratio Total exposure measure 2 853 641 2 843 931 2 790 854 2 994 068 2 874 539 Leverage ratio, % 6.7 6.6 6.8 6.4 6.7 Additional own funds requirements to address the risk of excessive leverage as a percentage of total exposure measure Additional own funds requirements to address the risk of excessive leverage of which: to be made up of CET1 capital Total SREP leverage ratio requirements 3.0 3.0 3.0 3.0 3.0 Leverage ratio buffer and overall leverage ratio requirement as a percentage of total exposure measure Leverage ratio buffer requirement 0 Overall leverage ratio requirement 3.0 3.0 3.0 3.0 3.0 Liquidity Coverage Ratio¹² Total high-quality liquid assets, average weighted value 694 115 698 231 692 476 679 483 676 585 Cash outflows, total weighted value 475 527 472 004 467 304 471 365 480 805 Cash inflows, total weighted value 63 226 58 994 56 180 57 712 56 832 Total net cash outflows, adjusted value 412 302 413 010 411 124 413 654 423 974 Liquidity coverage ratio, % 169.4 170.3 169.7 165.2 160.9 Net stable funding ratio Total available stable funding 1 828 265 1 774 805 1 795 743 1 790 578 1 748 751 Total required stable funding 1 424 320 1 409 373 1 418 861 1 421 457 1 413 022 Net stable funding ratio, % 128.4 125.9 126.6 126.0 123.8 1) The liquidity coverage ratio has been recalculdated and figures prior to 2024 have been adjusted. 2) High quality liquid assets and cashflows refer to the average of the values at each month -end during the last 12 months. The ratio is calculated as an average of the 12 last month-end observations.
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Swedbank – Report for the Second quarter│2025│46 Common Equity Tier 1 capital 30 Jun 31 Dec 30 Jun Consolidated situation, SEKm 2025 2024 2024 Shareholders' equity according to the Group's balance sheet 208 681 218 874 199 612 Anticipated dividend -11 262 -24 396 -8 511 Value changes in own financial liabilities -74 -106 -113 Cash flow hedges -6 -9 -9 Additional value adjustments -393 -415 -461 Goodwill -13 916 -14 262 -14 123 Deferred tax assets 0 -2 -15 Intangible assets -4 596 -3 764 -3 663 Insufficient coverage for non-performing exposures -132 -114 -58 Deductions of CET1 capital due to Article 3 CRR -143 -158 -139 Shares deducted from CET1 capital -58 -49 -49 Pension fund assets -2 493 -3 010 -1 961 Net provisions for reported IRB credit exposures -559 0 0 Other 30 30 0 Total 175 081 172 620 170 511 Risk exposure amount 30 Jun 31 Dec 30 Jun Consolidated situation, SEKm 2025 2024 2024 Credit risks, standardised approach 60 691 62 639 59 299 Credit risks, IRB 471 896 425 897 403 161 Default fund contribution 252 266 350 Settlement risks 0 0 0 Market risks 16 408 13 482 17 242 Credit value adjustment 3 674 1 085 1 609 Operational risks 135 852 112 018 96 123 Additional risk exposure amount, Article 3 CRR 6 308 7 256 17 320 Additional risk exposure amount, Article 458 CRR 193 459 249 259 252 817 Total 888 540 871 902 847 922 SEKm % Capital requirements¹ 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun Consolidated situation, SEKm / % 2025 2024 2024 2025 2024 2024 Capital requirement Pillar 1 145 323 142 157 138 061 16.4 16.3 16.3 of which Buffer requirements² 74 240 72 405 70 227 8.4 8.3 8.3 Capital requirement Pillar 2³ 24 790 24 326 22 640 2.8 2.8 2.7 Pillar 2 guidance 4 443 4 360 4 240 0.5 0.5 0.5 Total capital requirement including Pillar 2 guidance 174 556 170 842 164 940 19.6 19.6 19.5 Own funds 209 222 209 547 212 259 1) Swedbank's calculation based on the SFSA's announced capital requirements, including Pillar 2 requirements and Pillar 2 guidance. 2) Buffer requirements include systemic risk buffer, capital conservation buffer, countercyclical capital buffer and buffer f or other systemically important institutions. 3) Individual Pillar 2 requirement according to decision from SFSA SREP 2024. SEKm % Leverage ratio requirements¹ 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun Consolidated situation, SEKm / % 2025 2024 2024 2025 2024 2024 Leverage ratio requirement Pillar 1 85 609 83 726 86 236 3.0 3.0 3.0 Leverage ratio Pillar 2 guidance 14 268 13 954 14 373 0.5 0.5 0.5 Total capital requirement including Pillar 2 guidance 99 877 97 680 100 609 3.5 3.5 3.5 Tier 1 capital 190 658 189 809 192 269 1) Swedbank's calculation based on the SFSA's announced leverage ratio requirements, including Pillar 2 requirements and Pill ar 2 guidance.
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Swedbank – Report for the Second quarter│2025│47 Note 25 Internal capital requirement This note provides information on the internal capital assessment according to chapter 8, section 5 of the SFSA’s regulation on prudential requirements and capital buffers (2014:12). The internal capital assessment is published in the interim report according to chapter 8, section 4 of the SFSA’s regulation and general advice on annual reports from credit institutions and investment firms (2008:25). A bank must identify, measure and manage the risks with which its activities are associated and have sufficient capital to cover these risks. The purpose of the Internal Capital Adequacy Assessment Process (ICAAP) is to ensure that the bank is sufficiently capitalised to cover its risks and to conduct and develop its business activities. Swedbank applies its own models and processes to evaluate its capital need for all relevant risks. The models that serve as a basis for the internal capital assessment evaluate the need for economic capital over a one-year horizon at a 99.9 per cent confidence level for each type of risk. Diversification effects between various types of risks are not taken into account in the calculation of economic capital. As a complement to the economic capital calculation, scenario-based simulations and stress tests are conducted at least once a year. The analyses provide an overview of the most important risks Swedbank is exposed to by quantifying their impact on the income statement and balance sheet as well as the own funds and risk-weighted assets. The purpose is to ensure efficient use of capital. This methodology serves as a basis of proactive risk and capital management. As of 30 June 2025, the internal capital assessment for Swedbank’s consolidated situation amounted to SEK 62.2bn (SEK 65.5bn as of 31 December 2024). Swedbank’s internal capital assessment using its own models is not comparable with the estimated capital requirement that the SFSA releases quarterly and does not consider the SFSA risk-weight floor for Swedish mortgages. In addition to what is stated in this interim report, risk management and capital adequacy according to the Basel III framework are described in more detail in Swedbank’s Annual and Sustainability Report 2024 as well as in Swedbank’s yearly Risk Management and Capital Adequacy Report, available on http://www.swedbank.com. Note 26 Risks and uncertainties Swedbank’s earnings are affected by changes in the global marketplace over which it has no control, including macroeconomic factors such as GDP, asset prices and unemployment, as well as changes in interest rates, equity prices and exchange rates. Geopolitical situation The geopolitical situation remains uncertain due to continued unrest in the Middle East, the ongoing Russian aggression against Ukraine, and increasingly protectionist trade policies. Swedbank has low to negligible direct exposures to the counterparts at war and is well positioned to manage the indirect risks that may arise from the heightened geopolitical uncertainty. Trade restrictions such as tariffs and other trade barriers have significant direct and indirect effects on the economies of our home markets, and consequently also on Swedbank’s borrowers. Economic outlook Economic growth in the Nordic and Baltic regions is showing signs of recovery, although shifts in global trade policy and various geopolitical tensions increases the downside risks. Interest rate trends and monetary policy Global inflation is decreasing, and several central banks, including the Riksbank and the European Central Bank (ECB) have begun lowering interest rates. At the same time, increased uncertainty due to new trade tariffs and unrest in the Middle East has complicated the task for central banks and created uncertainty about the future economic outlook. Challenges and risk in digitalisation During the second quarter 2025, the accessibility of Swedbank's services, as well as those of other financial institutions, was adversely affected by disruptions mainly among third party providers. This resulted in several IT incidents that caused interruptions in channels and payment services. Swedbank continuously works to ensure high availability. Cyber risks are a significant societal concern, and Swedbank continues to prioritise activities aimed at strengthening digital operational resilience, with a particular focus on cyber risks and external fraud risks. Swedbank is closely monitoring these risks and has a high capacity to proactively manage them. Anti-money laundering and Counter terrorist financing For risks related to the ongoing investigations of authorities in US related to historic anti-money laundering compliance and response related to anti- money laundering controls, please refer to Note 22 Assets pledged, contingent liabilities and commitments. Tax The tax area is complex and there can be a scope for different interpretations. Practices and interpretations
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Swedbank – Report for the Second quarter│2025│48 of applicable laws can be changed, sometimes retroactively. In the event that the tax authorities and, where appropriate, the tax courts decide on a different interpretation than what Swedbank initially made, it could impact the Group’s operations, results and financial position. In addition to what is stated in this interim report, detailed descriptions are provided in Swedbank’s 2024 Annual and Sustainability report and in the disclosures in the Risk Management and Capital Adequacy reports available at www.swedbank.com. Change in value if the market interest rate rises by one percentage point Impact in SEKm on the net value of assets and liabilities, including derivatives, when market interest rates are increased by one percentage point. 30 June 2025 < 5 yrs 5-10 yrs > 10 yrs Total SEK -418 1 028 596 1 206 Foreign currencies 543 1 479 425 2 447 Total 125 2 507 1 021 3 653 31 December 2024 SEK 99 1 103 480 1 682 Foreign currencies 446 1 898 379 2 723 Total 545 3 001 859 4 405 Impact in SEKm on the net value of assets and liabilities measured at fair value through profit or loss, when market interest rates are increased by one percentage point. 30 June 2025 < 5 yrs 5-10 yrs > 10 yrs Total SEK 609 -545 213 277 Foreign currencies -590 -71 -35 -696 Total 19 -616 178 -419 31 December 2024 SEK 578 -505 54 127 Foreign currencies -1 036 444 -58 -650 Total -458 -61 -4 -523 Note 27 Related-party transactions During the period normal business transactions were executed between companies in the Group, including other related companies such as associates and joint ventures. Partly owned savings banks are important associates.
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Swedbank – Report for the Second quarter│2025│49 Note 28 Swedbank’s share 30 Jun 31 Dec 30 Jun Number of outstanding ordinary shares 2025 2024 2024 Issued shares SWED A 1 132 005 722 1 132 005 722 1 132 005 722 Repurchased shares SWED A -7 780 212 -6 686 779 -6 687 262 Number of outstanding ordinary shares on the closing day 1 124 225 510 1 125 318 943 1 125 318 460 SWED A Last price, SEK 250.50 218.30 218.10 Market capitalisation, SEKm 281 618 245 657 245 431 During 2025, within Swedbank's share-based compensation programme, Swedbank AB transferred 1 206 567 shares at no cost to employees. During February 2025 repurchased 2 300 000 shares to a weighted average price of SEK 249.62 per share. Q2 Q1 Q2 Jan-Jun Jan-Jun Earnings per share 2025 2025 2024 2025 2024 Average number of shares Average number of shares before dilution 1 124 169 606 1 125 318 943 1 125 014 707 1 124 372 846 1 125 157 676 Weighted average number of shares for potential ordinary shares that incur a dilutive effect due to share- based compensation programme 4 951 936 4 585 103 3 121 382 5 378 176 3 638 487 Average number of shares after dilution 1 129 121 542 1 129 904 046 1 128 136 089 1 129 751 022 1 128 796 163 Profit, SEKm Profit for the period attributable to shareholders of Swedbank 7 889 8 469 8 428 16 089 17 022 Earnings for the purpose of calculating earnings per share 7 889 8 469 8 428 16 089 17 022 Earnings per share, SEK Earnings per share before dilution 7.02 7.53 7.49 14.31 15.13 Earnings per share after dilution 6.99 7.50 7.47 14.24 15.08
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Swedbank – Report for the Second quarter│2025│50 Financial statements - Swedbank AB Income statement, condensed Parent company Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Interest income 16 924 18 169 22 675 35 093 44 950 Interest expense -9 993 -11 019 -16 825 -21 012 -33 437 Net interest income 6 931 7 150 5 849 14 081 11 513 Dividends received 1 737 14 896 3 394 16 633 9 021 Net commission income 1 707 1 788 1 812 3 495 3 575 Net gains and losses on financial items 310 -902 1 013 -592 1 279 Other income 1 283 1 328 1 199 2 611 2 295 Total income 11 967 24 261 13 267 36 228 27 683 Staff costs 3 174 3 240 3 156 6 414 6 259 Other expenses 1 723 1 606 1 939 3 329 3 768 Depreciation/amortisation and impairment of tangible and intangible fixed assets 1 359 1 350 1 320 2 708 2 624 Total expenses 6 256 6 196 6 415 12 452 12 651 Profit before impairments, Swedish bank tax and resolution fees 5 711 18 065 6 852 23 776 15 032 Credit impairments, net 49 -155 -287 -106 -178 Swedish bank tax and resolution fees 327 325 335 652 672 Operating profit 5 335 17 896 6 804 23 230 14 538 Appropriations Tax expense 1 154 1 152 1 365 2 305 2 316 Profit for the period 4 181 16 744 5 439 20 925 12 222 Statement of comprehensive income, condensed Parent company Q2 Q1 Q2 Jan-Jun Jan-Jun SEKm 2025 2025 2024 2025 2024 Profit for the period reported via income statement 4 181 16 744 5 439 20 925 12 222 Total comprehensive income for the period 4 181 16 744 5 439 20 925 12 222
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Swedbank – Report for the Second quarter│2025│51 Balance sheet, condensed Parent company 30 Jun 31 Dec 30 Jun SEKm 2025 2024 2024 Assets Cash and balances with central banks 198 450 141 168 166 061 Loans to credit institutions 770 358 797 216 832 628 Loans to the public 543 728 454 838 486 027 Interest-bearing securities 248 468 243 588 310 985 Shares and participating interests 83 446 88 218 86 993 Derivatives 31 669 42 639 31 988 Other assets 69 725 41 994 44 700 Total assets 1 945 845 1 809 661 1 959 381 Liabilities and equity Amounts owed to credit institutions 208 302 135 106 218 516 Deposits and borrowings from the public 919 754 880 069 908 818 Value change of the hedged liabilities in portfolio hedges of interest rate risk 324 220 188 Debt securities in issue 415 269 399 842 439 087 Derivatives 45 277 53 289 49 655 Other liabilities and provisions 56 621 43 933 56 999 Senior non-preferred liabilities 130 466 121 204 119 174 Subordinated liabilities 34 240 36 609 40 843 Untaxed reserves 18 988 18 988 12 362 Equity 116 605 120 400 113 740 Total liabilities and equity 1 945 845 1 809 661 1 959 381 Pledged collateral 110 895 124 533 122 577 Other assets pledged 12 705 12 244 17 223 Contingent liabilities 71 211 79 698 76 107 Commitments 232 983 251 955 243 095
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Swedbank – Report for the Second quarter│2025│52 Statement of changes in equity, condensed Parent company SEKm Restricted equity Non-restricted equity January-June 2025 Share capital Statutory reserve Share premium reserve Retained earnings Total Opening balance 1 January 2025 24 904 5 968 13 206 76 322 120 400 Dividend -24 392 -24 392 Repurchased own shares -574 -574 Share based payments to employees 246 246 Total comprehensive income for the period 20 925 20 925 Closing balance 30 June 2025 24 904 5 968 13 206 72 527 116 605 January-December 2024 Opening balance 1 January 2024 24 904 5 968 13 206 74 281 118 359 Dividend -17 048 -17 048 Share based payments to employees 425 425 Total comprehensive income for the period 18 665 18 665 Closing balance 31 December 2024 24 904 5 968 13 206 76 322 120 400 January-June 2024 Opening balance 1 January 2024 24 904 5 968 13 206 74 281 118 359 Dividend -17 048 -17 048 Share based payments to employees 207 207 Total comprehensive income for the period 12 222 12 222 Closing balance 30 June 2024 24 904 5 968 13 206 69 662 113 740 Cash flow statement, condensed Parent company Jan-Jun Full-year Jan-Jun SEKm 2025 2024 2024 Cash flow from operating activities 47 287 29 122 39 043 Cash flow from investing activities 22 018 7 236 11 325 Cash flow from financing activities -12 023 -11 737 -854 Cash flow for the period 57 282 24 621 49 514 Cash and cash equivalents at beginning of period 141 168 116 547 116 547 Cash flow for the period 57 282 24 621 49 514 Cash and cash equivalents at end of period 198 450 141 168 166 061
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Swedbank – Report for the Second quarter│2025│53 Capital adequacy 30 Jun 31 Mar 31 Dec 30 Sep 30 Jun Parent company, SEKm 2025 2025 2024 2024 2024 Available own funds Common equity tier 1 (CET1) capital 118 791 119 964 109 312 112 655 113 273 Tier 1 capital 134 368 136 027 126 502 129 018 135 032 Total capital 153 318 154 774 146 716 149 125 154 670 Risk-weighted exposure amounts Total risk exposure amount¹ 589 957 592 917 447 318 446 344 441 696 Capital ratios as a percentage of risk-weighted exposure amount Common equity tier 1 ratio¹ 20.1 20.2 24.4 25.2 25.6 Tier 1 ratio¹ 22.8 22.9 28.3 28.9 30.6 Total capital ratio¹ 26.0 26.1 32.8 33.4 35.0 Additional own funds requirements to address risks other than the risk of excessive leverage as a percentage of risk-weighted exposure amount Additional own funds requirements to address risks other than the risk of excessive leverage 1.5 1.5 1.5 1.5 1.2 of which: to be made up of CET1 capital 0.9 0.9 0.9 0.9 0.8 of which: to be made up of Tier 1 capital 1.1 1.1 1.1 1.1 0.9 Total SREP own funds requirements 9.5 9.5 9.5 9.5 9.2 Combined buffer and overall capital requirement as a percentage of risk-weighted exposure amount Capital conservation buffer 2.5 2.5 2.5 2.5 2.5 Conservation buffer due to macro-prudential or systemic risk identified at the level of a Member State Institution-specific countercyclical capital buffer 1.8 1.6 1.7 1.7 1.7 Systemic risk buffer Global Systemically Important Institution buffer Other Systemically Important Institution buffer Combined buffer requirement 4.3 4.1 4.2 4.2 4.2 Overall capital requirements¹ 13.7 13.6 13.7 13.6 13.4 CET1 available after meeting the total SREP own funds requirements 14.8 17.4 19.1 19.9 20.4 Leverage ratio Total exposure measure¹ 1 451 659 1 444 042 1 342 959 1 597 786 1 459 154 Leverage ratio, % 9.3 9.4 9.4 8.1 9.3 Additional own funds requirements to address the risk of excessive leverage as a percentage of total exposure measure Additional own funds requirements to address the risk of excessive leverage of which: to be made up of CET1 capital Total SREP leverage ratio requirements 3.0 3.0 3.0 3.0 3.0 Leverage ratio buffer and overall leverage ratio requirement as a percentage of total exposure measure Leverage ratio buffer requirement Overall leverage ratio requirement 3.0 3.0 3.0 3.0 3.0 Liquidity coverage ratio² ³ Total high-quality liquid assets, average weighted value 550 129 549 016 547 516 544 134 550 102 Cash outflows, total weighted value 486 179 483 550 472 061 479 220 489 366 Cash inflows, total weighted value 57 235 52 727 49 325 50 917 50 064 Total net cash outflows, adjusted value 428 944 430 823 422 736 428 303 439 302 Liquidity coverage ratio, % 128.9 128.0 130.1 127.6 125.9 Net stable funding ratio Total available stable funding 1 077 542 1 085 750 1 063 545 1 060 008 1 057 450 Total required stable funding 604 092 614 740 614 294 622 675 623 768 Net stable funding ratio, % 178.4 176.6 173.1 170.2 169.5 1) Total risk exposure amount and capital ratios has been updated for Q1. 2) The liquidity coverage ratio has been recalculdated and figures prior to 2024 have been adjusted. 3) High quality liquid assets and cashflows refer to the average of the values at each month-end during the last 12 months. The ratio is calculated as an average of the 12 last month-end observations.
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Swedbank – Report for the Second quarter│2025│54 Risk exposure amount 30 Jun 31 Dec 30 Jun Parent company, SEKm 2025 2024 2024 Credit risks, standardised approach 229 539 133 188 130 835 Credit risks, IRB 240 388 206 977 204 306 Default fund contribution 252 266 350 Settlement risks 0 0 0 Market risks 16 423 13 382 17 149 Credit value adjustment 3 640 1 033 1 575 Operational risks 88 944 57 758 50 860 Additional risk exposure amount, Article 3 CRR 200 200 200 Additional risk exposure amount, Article 458 CRR 10 571 34 514 36 423 Total 589 957 447 318 441 696 SEKm % Capital requirements¹ 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun Parent company, SEKm / % 2025 2024 2024 2025 2024 2024 Capital requirement Pillar 1 72 397 54 648 53 705 12.3 12.2 12.2 of which Buffer requirements² 25 200 18 862 18 369 4.3 4.2 4.2 Capital requirement Pillar 2³ 8 613 6 531 5 433 1.5 1.5 1.2 Total capital requirement including Pillar 2 guidance 81 010 61 179 59 138 13.7 13.7 13.4 Own funds 153 318 146 716 154 670 0 0 0 1) Swedbank's calculation based on the SFSA's announced capital requirements, including Pillar 2 requirements and Pillar 2 guidance. 2) Buffer requirements include capital conservation buffer and countercyclical capital buffer. 3) Individual Pillar 2 requirement according to decision from SFSA SREP 2024. SEKm % Leverage ratio requirements¹ 30 Jun 31 Dec 30 Jun 30 Jun 31 Dec 30 Jun Parent company, SEKm / % 2025 2024 2024 2025 2024 2024 Leverage ratio requirement Pillar 1 43 550 40 289 43 775 3.0 3.0 3.0 Total leverage ratio requirement including Pillar 2 guidance 43 550 40 289 43 775 3.0 3.0 3.0 Tier 1 capital 134 368 126 502 135 032 0 0 0 1) Swedbank's calculation based on the SFSA's announced leverage ratio requirements, including Pillar 2 requirements and Pillar 2 guidance.
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Swedbank – Report for the Second quarter│2025│55 Alternative performance measures Swedbank prepares its financial statements in accordance with IFRS as adopted by the EU, as set out in Note 1. The interim report includes a number of alternative performance measures, which exclude certain items that management believes are not representative of the underlying/ongoing performance of the business. Therefore the alternative performance measures provide more comparative information between periods. Management believes that inclusion of these measures provides information to the readers that enable comparability between periods. Measure and definition Purpose Net interest margin Calculated as Net interest income in relation to average total assets excluding trading related assets. The average is calculated using month-end figures1, including the prior year end. The nearest IFRS measure is Net interest income and can be reconciled in Note 5. The key ratio replaces the previously reported key ratio net investment margin before trading interest is deducted. The previous key ratio included interest from trading-related assets, which is reported within Net gains and losses on financial items in the income statement. Net interest margin is considered a more relevant ratio going forward as it only reflects interest that is reported within Net interest income in the income statement. Expresses the difference, the margin, between the percentage return on non-trading interest-bearing assets and the costs of financing. Allocated equity Allocated equity is the operating segment’s equity measure and is not directly required by IFRS. The Group’s equity attributable to shareholders is allocated to each operating segment based on capital adequacy rules and estimated capital requirements based on the bank’s internal Capital Adequacy Assessment Process (ICAAP). The allocated equity amounts per operating segment are reconciled to the Group Total equity, the nearest IFRS measure, in Note 4. Used by Group Management for internal governance and operating segment performance management purposes. Return on allocated equity Calculated based on profit for the period (annualised) attributable to the shareholders for the operating segment, in relation to average allocated equity for the operating segment. The average is calculated using month-end figures 1, including the prior year end. The allocated equity amounts per operating segment are reconciled to the Group Total equity, the nearest IFRS measure, in Note 4. Used by Group Management for internal governance and operating segment performance management purposes. Other alternative performance measures These measures are defined in the Factbook on page 77 and are calculated from the financial statements without adjustment. Share of Stage 1 loans, gross Share of Stage 2 loans, gross Share of Stage 3 loans, gross Equity per share Cost/Income ratio Credit Impairment ratio Loans to customers/Deposits from customers ratio Credit impairment provision ratio Stage 1 loans Credit impairment provision ratio Stage 2 loans Credit impairment provision ratio Stage 3 loans Return on equity1 Total credit impairment provision ratio Used by Group Management for internal governance and operating segment performance management purposes. 1) The month-end figures used in the calculation of the average can be found on page 71 of the Factbook.
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Swedbank – Report for the Second quarter│2025│56 Signatures of the Board of Directors and the President The Board of Directors and the President hereby certify that the Interim report for January-June 2025 provides a fair and accurate overview of the operations, position and results of the parent company and the Group and describes the significant risks and uncertainties faced by the parent company and the companies in the Group. Stockholm, 16 July 2025 Göran Persson Biörn Riese Chair Deputy Chair Göran Bengtsson Annika Creutzer Hans Eckerström Board Member Board Member Board Member Kerstin Hermansson Helena Liljedahl Anna Mossberg Board Member Board Member Board member Per Olof Nyman Biljana Pehrsson Rasmus Roos Board Member Board Member Board Member Roger Ljung Åke Skoglund Board Member Board Member Employee Representative Employee Representative Jens Henriksson President and CEO
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Swedbank – Report for the Second quarter│2025│57 This is a translation of the Swedish language original. In the event of any differences between this translation and the Swedish language original, the latter shall prevail. Review report Introduction We have reviewed the condensed interim financial information (interim report) of Swedbank AB (publ) as of 30 June 2025 and the six-month period then ended. The Board of Directors and the CEO are responsible for the preparation and presentation of the interim financial information in accordance with IAS 34 and the Annual Accounts Act for credit institutions and securities companies. Our responsibility is to express a conclusion on this interim report based on our review. Scope of Review We conducted our review in accordance with the International Standard on Review Engagements ISRE 2410, Review of Interim Report Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing, ISA, and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Annual Accounts Act for credit institutions and securities companies, regarding the Group, and with the Annual Accounts Act for credit institutions and securities companies, regarding the Parent Company. Stockholm, 17 July 2025 Öhrlings PricewaterhouseCoopers AB Anneli Granqvist Martin By Authorised Public Accountant Authorised Public Accountant Auditor in charge
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Swedbank – Report for the Second quarter│2025│58 Publication of financial information The Group’s financial reports can be found on www.swedbank.com/ir Financial calendar 2025 Interim report for the third quarter 2025 23 October 2025 For further information, please contact: Jens Henriksson President and CEO Telephone +46 8 585 934 82 Jon Lidefelt CFO Telephone +46 8 585 939 45 Maria Caneman Head of Investor Relations Telephone +46 72 238 32 10 Erik Ljungberg Head of Group Brand, Communication and Sustainability Telephone +46 73 988 35 57 Information on Swedbank’s strategy, values and share is also available on www.swedbank.com. Swedbank AB (publ) Registration no. 502017-7753 Head office Visiting adress: Landsvägen 40 172 63 Sundbyberg Postal address: Swedbank AB SE-105 34 Stockholm, Sweden Telephone +46 8 585 900 00 www.swedbank.com