SEB (SEB) Pre-close call summary

Executive summary

• Segment reporting restated for 2024 and 2025, moving Mid Corporate clients to Corporate & Investment Banking and adjusting income statement presentation for improved risk management.

• Restatements align net interest and financial income reporting with Nordic peers, with no impact on net profit or equity.

• Q1 2026 expected to show lower fee and commission income and net financial income due to market volatility, fewer large deals, and restructuring impacts.

Trading performance and revenue trends

• Lending and deposit growth observed in Sweden and the Baltics, but positive rate impacts on net interest income (NII) are delayed due to repricing timing.

• Q1 2026 NII benefits from restatements, but technical headwinds (two fewer days, higher deposit insurance costs) create a SEK 250 million drag versus Q4 2025.

• Net fee and commission income is seasonally weaker in Q1, further impacted by market exits and lower corporate activity.

• Net financial income (NFI) restatement shifts SEK 250 million per quarter to NII; Q1 NFI expected at the lower end of historical averages.

Profitability and margins

• Q1 2026 faces headwinds from FX (stronger SEK), seasonality, and lower market activity, impacting both income and costs.

• Cost target for 2026 set at SEK 33.4 billion ±SEK 250 million, assuming average 2025 FX rates.

• No additional cost drag from incentive schemes due to lower share price.