SEB Bank Estonia announced a net profit of nearly €94mn for the first half of 2024.

SEB Bank Group ended H1 2024 with a profit of €93.9mn, down from €113.3mn in H1 2023.

Operating revenues were €183.1mn, up from €169.5mn in H1 2023, SEB said in a statement.

Operating expenses rose to €42.9mn from €37.2mn in H1 2023.

Net expected credit losses were reduced by €4.4mn, a reversal from an increase of €0.05mn in H1 2023.

Income tax accounted for €50.7mn, significantly higher than €18.1mn in H1 2023.

Allan Parik, chairman of SEB Bank's management board, noted a surge in economic activity among individuals, with home loan uptake increasing by 25% year on year.

Private customer deposits grew by 6.5%, bolstered by SEB's unique monthly interest payments on current account balances. Individual deposits are nearing €3bn.

There was a notable rise in micro-investments in exchange-traded funds (ETFs) by private customers.

SEB financed nearly 3,500 business projects worth approximately €555mn in 2024.

The business loan portfolio grew by nearly 4% y/y, approaching €7bn.

SEB's profit decreased compared to the previous year due to an extraordinary dividend payment and increased income tax payments.

In Q2 2024, SEB paid €57.1mn in taxes, the highest among Estonian banks.

Revenues increased by 8% y/y, but saw a slight decline in Q2 due to lower loan margins and high deposit interest rates, the bank said.