Swedbank's Profit Beats Expectations Despite Fall in Net Interest Income

By Adam Whittaker

Swedbank's profit came in ahead of expectations for the fourth quarter of 2025, but earnings fell compared with the same period a year prior as net interest income slumped.

The Swedish group--which also operates in Estonia, Latvia and Lithuania--on Thursday posted a net profit for the three-month period of 8.17 billion kronor, equivalent to $924.4 million. This compares with 8.465 billion kronor in the same quarter a year earlier and is 4% lower than in the third quarter.

The bank's total income was 17.34 billion kronor, down from 18.63 billion kronor a year earlier. Net interest income--the difference between what banks earn on loans and pay clients for deposits--fell 12% to 10.775 billion kronor. Meanwhile income from commissions was 4.25 billion kronor.

Analysts had expected net profit of 7.24 billion kronor and a total income of 16.875 billion kronor, according to a company-compiled consensus.

The group's common equity Tier 1 ratio--a key measure of balance-sheet strength--fell to 17.8% compared with 19.8% the prior year and expectations of 19.3%.

Swedbank proposed a dividend of 29.80 kronor for the year, compared with 21.70 kronor last year.

Write to Adam Whittaker at adam.whittaker@wsj.com

(END) Dow Jones Newswires

January 29, 2026 02:04 ET (07:04 GMT)