Svenska Handelsbanken AB (publ)

Solid Q3 results + stable value creation (good) - Operating profit: SEK 7.4bn, +10% QoQ - ROE: 13.5% (up from 13.3% in the first 9 months) - Income & costs: net interest income (NII) up marginally; fees up +6% QoQ (AUM and payments); expenses down -1% QoQ (underlying cost efficiency) - Asset quality: credit loss ratio 0 bps again (historically very low losses; ongoing resilience in downturns)

First 9 months: earnings slightly down, but fundamentals remain sound (mixed) - ROE: 13.3% - Operating profit: -3% underlying basis (management references -8% underlying, with FX/adjustments impacting reported comparisons) - NII: -8% YoY adjusted for currency effects, mainly due to lower short-term market rates/margin compression - Fees: +9% YoY, driven by savings business inflows and positive market development - Expenses: down -3% underlying, despite salary revisions (Jan 1) and higher IT spend

Capital position strong; major regulatory overhang improving in Q4 (good + important for dividend) - CET1: 17%, described as ~250 bps above regulatory requirement (including Pillar 2G) - SREP (Swedish FSA): requirement 14.5% after anticipated dividend, indicating robust headroom - Dividend expectation (based on disclosed approach): anticipated dividend for first 9 months SEK 8/share (~92% payout of profits for the period) - Q4 capital relief catalyst: approved new PD models - Corporate PD: implemented in Q3; related Pillar 2 add-on removed (capital benefit already flowing) - Household PD: approved, implemented in Q4; expected ~SEK 3bn CET1 need reduction (net) after removing related Pillar 2 requirement - Management stated they do not “steer” to a specific 2.5% buffer, but they expect continued capital adequacy for dividend discussions later in the year