TALLINN — Swedbank declared a loss in all three Baltic states in the first quarter, but compared to 2009 it shows an uptrend.

Swedbank’s Estonian subsidiary announced Tuesday that the first quarter ended with a 272 million krooni (€17.4 million) loss due to bad loans. The bank’s loan portfolio decreased by 2 percent, most probably affected by cautious clients but also the bank’s stiff lending conditions imposed since the crisis began in 2008. The bank’s impaired loans increased up to [private_supervisor]8.8 billion krooni (€562.4 million) but are expected to reach the top by the end of the next quarter this year.

Operational profit before loan impairment charges at the fourth quarter totaled 666 million krooni (€42.6 million). The revenues from net interest income were 609 million krooni (€38.9 million), which is 12 percent higher than in the fourth quarter last year. Operating costs decreased by 15 percent to 381 million krooni (€24,3 million), and the client deposits increased by 2 percent.

Priit Perens, head of Swedbank Estonia told the media that the bank’s results in Estonia are in accordance with its economic development in general. The bank recognizes some slight recovery and sees a positive sign in Swedbank Group’s 536 million kronor (€55.7 million) profit showing some stabilization in economy, although its Baltic sector remains in the doldrums.

“On the other hand, recession has consumed all the stocks that companies had collected and problems that so far had stayed in the real estate sector, have moved to other sectors related to real estate,“ Perens said. “Balance in economy is achieved greatly by fall of domestic consumption — people are living sparingly”.

Perens said that that acquisition of residential properties has been more active as buyers take advantage of real estate prices that halved from their “Baltic Tiger” peak.

Swedbank Latvia showed a loss, too. Although its operational profit reached 14 million lats (€19.7 million) before the provisions, the bank ended up at -45 million lats (-€63.5 million) in Latvia. The bank’s overall income in the first quarter decreased by 10 percent to 31 million lats.

Swedbank Lithuania hit the 31 percent improvement comparing to the fourth quarter of 2009. The operational profit before taxes and provisions showed 115.5 million litai (€33.4 million). However after the provisions to cover possible loan losses, the bank ended up at -66.9 million litai (-€19.4 million). The result shows a strong recovery since the fourth quarter of 2009, when the bank’s loss was 598.4 million litai (€173.3 million).

On Wednesday SEB and Nordea’s first quarter 2010 will be announced, while Danske Bank plans to release its interim report for the first quarter on May 4. [/private_supervisor] [private_subscription 1 month]8.8 billion krooni (€562.4 million) but are expected to reach the top by the end of the next quarter this year.

Operational profit before loan impairment charges at the fourth quarter totaled 666 million krooni (€42.6 million). The revenues from net interest income were 609 million krooni (€38.9 million), which is 12 percent higher than in the fourth quarter last year. Operating costs decreased by 15 percent to 381 million krooni (€24,3 million), and the client deposits increased by 2 percent.

Priit Perens, head of Swedbank Estonia told the media that the bank’s results in Estonia are in accordance with its economic development in general. The bank recognizes some slight recovery and sees a positive sign in Swedbank Group’s 536 million kronor (€55.7 million) profit showing some stabilization in economy, although its Baltic sector remains in the doldrums.

“On the other hand, recession has consumed all the stocks that companies had collected and problems that so far had stayed in the real estate sector, have moved to other sectors related to real estate,“ Perens said. “Balance in economy is achieved greatly by fall of domestic consumption — people are living sparingly”.

Perens said that that acquisition of residential properties has been more active as buyers take advantage of real estate prices that halved from their “Baltic Tiger” peak.

Swedbank Latvia showed a loss, too. Although its operational profit reached 14 million lats (€19.7 million) before the provisions, the bank ended up at -45 million lats (-€63.5 million) in Latvia. The bank’s overall income in the first quarter decreased by 10 percent to 31 million lats.

Swedbank Lithuania hit the 31 percent improvement comparing to the fourth quarter of 2009. The operational profit before taxes and provisions showed 115.5 million litai (€33.4 million). However after the provisions to cover possible loan losses, the bank ended up at -66.9 million litai (-€19.4 million). The result shows a strong recovery since the fourth quarter of 2009, when the bank’s loss was 598.4 million litai (€173.3 million).

On Wednesday SEB and Nordea’s first quarter 2010 will be announced, while Danske Bank plans to release its interim report for the first quarter on May 4. [/private_subscription 1 month] [private_subscription 4 months]8.8 billion krooni (€562.4 million) but are expected to reach the top by the end of the next quarter this year.

Operational profit before loan impairment charges at the fourth quarter totaled 666 million krooni (€42.6 million). The revenues from net interest income were 609 million krooni (€38.9 million), which is 12 percent higher than in the fourth quarter last year. Operating costs decreased by 15 percent to 381 million krooni (€24,3 million), and the client deposits increased by 2 percent.

Priit Perens, head of Swedbank Estonia told the media that the bank’s results in Estonia are in accordance with its economic development in general. The bank recognizes some slight recovery and sees a positive sign in Swedbank Group’s 536 million kronor (€55.7 million) profit showing some stabilization in economy, although its Baltic sector remains in the doldrums.

“On the other hand, recession has consumed all the stocks that companies had collected and problems that so far had stayed in the real estate sector, have moved to other sectors related to real estate,“ Perens said. “Balance in economy is achieved greatly by fall of domestic consumption — people are living sparingly”.

Perens said that that acquisition of residential properties has been more active as buyers take advantage of real estate prices that halved from their “Baltic Tiger” peak.

Swedbank Latvia showed a loss, too. Although its operational profit reached 14 million lats (€19.7 million) before the provisions, the bank ended up at -45 million lats (-€63.5 million) in Latvia. The bank’s overall income in the first quarter decreased by 10 percent to 31 million lats.

Swedbank Lithuania hit the 31 percent improvement comparing to the fourth quarter of 2009. The operational profit before taxes and provisions showed 115.5 million litai (€33.4 million). However after the provisions to cover possible loan losses, the bank ended up at -66.9 million litai (-€19.4 million). The result shows a strong recovery since the fourth quarter of 2009, when the bank’s loss was 598.4 million litai (€173.3 million).

On Wednesday SEB and Nordea’s first quarter 2010 will be announced, while Danske Bank plans to release its interim report for the first quarter on May 4. [/private_subscription 4 months] [private_subscription 1 year]8.8 billion krooni (€562.4 million) but are expected to reach the top by the end of the next quarter this year.

Operational profit before loan impairment charges at the fourth quarter totaled 666 million krooni (€42.6 million). The revenues from net interest income were 609 million krooni (€38.9 million), which is 12 percent higher than in the fourth quarter last year. Operating costs decreased by 15 percent to 381 million krooni (€24,3 million), and the client deposits increased by 2 percent.

Priit Perens, head of Swedbank Estonia told the media that the bank’s results in Estonia are in accordance with its economic development in general. The bank recognizes some slight recovery and sees a positive sign in Swedbank Group’s 536 million kronor (€55.7 million) profit showing some stabilization in economy, although its Baltic sector remains in the doldrums.

“On the other hand, recession has consumed all the stocks that companies had collected and problems that so far had stayed in the real estate sector, have moved to other sectors related to real estate,“ Perens said. “Balance in economy is achieved greatly by fall of domestic consumption — people are living sparingly”.

Perens said that that acquisition of residential properties has been more active as buyers take advantage of real estate prices that halved from their “Baltic Tiger” peak.

Swedbank Latvia showed a loss, too. Although its operational profit reached 14 million lats (€19.7 million) before the provisions, the bank ended up at -45 million lats (-€63.5 million) in Latvia. The bank’s overall income in the first quarter decreased by 10 percent to 31 million lats.

Swedbank Lithuania hit the 31 percent improvement comparing to the fourth quarter of 2009. The operational profit before taxes and provisions showed 115.5 million litai (€33.4 million). However after the provisions to cover possible loan losses, the bank ended up at -66.9 million litai (-€19.4 million). The result shows a strong recovery since the fourth quarter of 2009, when the bank’s loss was 598.4 million litai (€173.3 million).

On Wednesday SEB and Nordea’s first quarter 2010 will be announced, while Danske Bank plans to release its interim report for the first quarter on May 4. [/private_subscription 1 year]

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