GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Skandinaviska Enskilda Banken AB (FRA:SEBA) » Definitions » ROE %

Skandinaviska Enskilda Banken AB (FRA:SEBA) ROE % : 17.05% (As of Sep. 2024)


View and export this data going back to . Start your Free Trial

What is Skandinaviska Enskilda Banken AB ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Skandinaviska Enskilda Banken AB's annualized net income for the quarter that ended in Sep. 2024 was €3,331 Mil. Skandinaviska Enskilda Banken AB's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was €19,531 Mil. Therefore, Skandinaviska Enskilda Banken AB's annualized ROE % for the quarter that ended in Sep. 2024 was 17.05%.

The historical rank and industry rank for Skandinaviska Enskilda Banken AB's ROE % or its related term are showing as below:

FRA:SEBA' s ROE % Range Over the Past 10 Years
Min: 7.48   Med: 13.39   Max: 17.9
Current: 16.85

During the past 13 years, Skandinaviska Enskilda Banken AB's highest ROE % was 17.90%. The lowest was 7.48%. And the median was 13.39%.

FRA:SEBA's ROE % is ranked better than
85.21% of 1535 companies
in the Banks industry
Industry Median: 9.39 vs FRA:SEBA: 16.85

Skandinaviska Enskilda Banken AB ROE % Historical Data

The historical data trend for Skandinaviska Enskilda Banken AB's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Skandinaviska Enskilda Banken AB ROE % Chart

Skandinaviska Enskilda Banken AB Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.12 9.75 13.86 13.08 17.75

Skandinaviska Enskilda Banken AB Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 19.69 15.67 17.54 17.68 17.05

Competitive Comparison of Skandinaviska Enskilda Banken AB's ROE %

For the Banks - Regional subindustry, Skandinaviska Enskilda Banken AB's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Skandinaviska Enskilda Banken AB's ROE % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Skandinaviska Enskilda Banken AB's ROE % distribution charts can be found below:

* The bar in red indicates where Skandinaviska Enskilda Banken AB's ROE % falls into.



Skandinaviska Enskilda Banken AB ROE % Calculation

Skandinaviska Enskilda Banken AB's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=3407.461/( (18569.002+19826.048)/ 2 )
=3407.461/19197.525
=17.75 %

Skandinaviska Enskilda Banken AB's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=3330.944/( (19279.297+19782.715)/ 2 )
=3330.944/19531.006
=17.05 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Sep. 2024) net income data. ROE % is displayed in the 30-year financial page.


Skandinaviska Enskilda Banken AB  (FRA:SEBA) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Sep. 2024 )
=Net Income/Total Stockholders Equity
=3330.944/19531.006
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(3330.944 / 7366.548)*(7366.548 / 366351.771)*(366351.771 / 19531.006)
=Net Margin %*Asset Turnover*Equity Multiplier
=45.22 %*0.0201*18.7574
=ROA %*Equity Multiplier
=0.91 %*18.7574
=17.05 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Sep. 2024 )
=Net Income/Total Stockholders Equity
=3330.944/19531.006
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (3330.944 / 4163.856) * (4163.856 / 7366.548) * (7366.548 / 366351.771) * (366351.771 / 19531.006)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 0.8 * 56.52 % * 0.0201 * 18.7574
=17.05 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Skandinaviska Enskilda Banken AB ROE % Related Terms

Thank you for viewing the detailed overview of Skandinaviska Enskilda Banken AB's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Skandinaviska Enskilda Banken AB Business Description

Address
Kungstradgardsgatan 8, Stockholm, SWE, SE-106 40
Skandinaviska Enskilda Banken is a Swedish universal bank with a strong focus on the corporate lending sector. The bank operates in the Nordics, the Baltics, Germany, and the United Kingdom but derives the majority of its operating profits from Sweden. SEB specializes in corporate lending, particularly to large corporations. Additionally, it serves large midcorporate and multinational companies, financial institutions, and about small and medium-size enterprises. It also serves about 4 million private customers in Sweden and the Baltics. The bank offers asset management, life insurance, and to a lesser extent private banking services to its clients.

Skandinaviska Enskilda Banken AB Headlines

No Headlines