Nordnet AB (publ)

Good morning and welcome to the presentation of Nordnet's third quarter of 2026. My name is Marcus Lindberg and I'm the head of investor relations at Nordnet. Joining me today is our CEO Rasmus Järboj and our CFO Lennart Krän. Rasmus and Lennart will start by presenting the results and then we'll have a Q&A session. If you want to ask a question just click the raise hand button in Zoom or you can submit a question in writing via Zoom or just send me an email. With that, I'll turn the call over to our CEO, Rasmus Hjelboe.

Thank you, Markus. Good morning, everybody, and thanks for joining us today. Looking across the third quarter, our operating performance reflected both expected seasonal patterns and the underlying strength of secular wealth accumulation across the Nordic region. Historically, the summer quarter exhibits a natural moderation in trading velocity across European real markets. However, the third quarter of 2026 proved to be our second strongest quarter in Nordic's history, demonstrating the compounding power of our platform. While headline equity markets remain elevated and central banks continue to recalibrate interest rate policy, market volatility remains selective. Against this backdrop, our customers remained highly engaged, actively rebalancing their asset allocations and deploying capital for the long term. As we celebrate Nordnet's 30th anniversary this year, our franchise has never been stronger or more diversified. Whether our customers are participating in primary equity offerings, accessing institutional-grade equity research, or building recurring ETF and mutual fund savings plans, Nordnet serves as their primary operating system for savings and investments. That multi-product durability is evident throughout our third quarter delivery. Turning to the highlights on slide two now, we've summarized the core operational and strategic milestones of the quarter. As you can see, top-line performance remains strong, delivering growth across all primary revenue streams in what was our second strongest quarter ever. Operating profit before tax reached $1.1 billion, marking our third consecutive quarter above the $1 billion crown threshold. Execution across our strategic initiatives was equally pronounced. As you will have seen, We entered into a strategic partnership with ABG Sundal Collier this quarter to co-create a modern private wealth offering for advised and managed capital across the Nordics. In partnership with Citi, we launched a dedicated research portal in our Nordnet app and web, giving our private banking customers integrated access to institutional grade equity research covering approximately 1,500 international companies. Back in Sweden, we appointed Britta Rosenqvist as our new country manager for Sweden to accelerate our domestic commercial agenda. Britta joins us on December 1st. Our German rollout plan remains on schedule for commercial launch in November, positioning us ahead of the structural pension reforms taking place in Germany on January 1st. And finally, in September, we initiated a 250 million crown share buyback program, reaffirming our commitment to disciplined shareholder remuneration. As you will have seen, we also announced that we're calling our 600 million crown 81 bond in November. Moving to slide three. Our financial results continue to illustrate the structural operating leverage of our digital model. Total revenue reached 1.6 billion crowns, up 18% compared to the third quarter of last year. Operating expenses stood at 450 million, reflecting underlying cost growth in the core Nordic business of 10% year-over-year, or 12%, including the investments in Germany. Over the last 12 months, OPEX, excluding Germany, has risen by 6%, putting us on track to achieve our guidance of 8% cost growth, excluding Germany, for the full year. The net result is a profit before tax of 1.1 billion crowns, an increase of 21% year over year. We processed 15.8 million trades in the quarter, essentially flat compared to last year's high volume, while our customer franchise expanded by 12% to close to 2.6 million active customers. On slide four, you can see more on sustained velocity of this customer franchise. In the quarter, we welcomed nearly 64,000 net new customers, bringing our total active customer base to 2.6 million, an absolute increase of 274,000 customers year-over-year. Total savings capital closed at nearly 1.5 trillion crowns, representing an absolute growth of 317 billion, or 28%, year-over-year. Our annualized savings ratio held firm at 9%, supported by consistent customer growth. Turning to slide five, product velocity and democratizing professional-grade capabilities remain the cornerstone of our product agenda. We rolled out institutional-grade equity research across 1,500 global companies directly into our mobile and desktop environments. By partnering with Citi, we're equipping our PB customers with the same fundamental analysis, valuation models, and catalyst tracking used by global institutions. We scaled our growth experimentation engine, shipping continuous AB tests in our activation workflows across all four Nordic markets to streamline onboarding, optimize account funding, and accelerate the time to first trade. We also introduced social benchmarking capabilities that allow users to check their portfolio performance against peer cohorts, friends and family, set automated corporate action and stock alerts, and gain clearer thematic visibility across their holdings. In sum, our talented engineering teams shipped 24 production app releases this quarter, and this consistent release cadence ensures rapid feedback loops, robust security, and immediate feature adoption by our involved customer base. Turn to slide six. Here we detail how this customer engagement translated across our three primary income streams. Adjusted revenues reached 1.6 billion crowns, up 18% year over year. Transaction-related income remained resilient at 655 million. Despite the typical August seasonal lull and lower systemic volatility, revenue was supported by record average trade sizes and a high mix of cross-border trading. Fund-related income rose 31% year-over-year to $250 million, reflecting asset depreciation, stable platform margins, and strong net buying. Net interest income continued its upward trajectory, increasing nearly 20% year-over-year to $687 million, driven by deposit stability, disciplined deal management, following their rate hikes in the quarter. Turning to slide seven on our trading franchise. Daily average trades stood at 239,000, mirroring normal summer seasonality across retail investing. However, our revenue per trade expanded 13% year-over-year to 41.4 crowns, virtually flat compared to Q2. This margin stability was powered directly by cross-border engagement. Cross-border equity trades accounted for 42% of total traded value and 39% of trades in the quarter, as our customers leverage extended market hours and continue to invest in the AI supercycle. Slide 8 highlights our asset management and fund distribution franchise, which continues to provide stable recurring revenue streams to our business. Total fund capital reached 387 billion crowns, up 37% year-over-year. Net fund buying during the quarter was 12 billion. Crucially, nearly 6 billion or 49% of all net fund flows were directed straight into our own Nordnet branded fund family. These Nordnet funds now represent 120 billion crowns in AOM or 31% of total fund assets on the platform, growing 50% year-over-year. Platform fund penetration reached a new high with 54% of all customers now holding a fund product. Moving to slide nine, let me outline our customer deposit dynamics. Customer deposits close the quarter at over 96 billion crowns. And looking at the capital walk from Q2, we saw gross cash inflows of 20.8 billion from net savings and 3.1 billion from seasonal dividend receipts. Our customers actively deployed 24 billion of that cash back into earning assets, 12 billion of which into brokerage transactions and another 12 into mutual funds. Total customer deposits now represent 6.6% of savings capital as our customers are still risk on despite the noisy market environment. To wrap up this section on slide 10, our NII delivery remains strong and disciplined. Net interest income rose nearly 20% year-over-year to 687 million crowns with our firm-wide NII yield steady at 275 basis points. Income from the liquidity portfolio stood at 494 million across a conservative portfolio of 70.5 billion crowns. Income from the credit portfolio expanded to $296 million, up 12% year-over-year, supported by balanced demand across our $33 billion loan book, comprising nearly $20 billion in margin lending and $13 billion in high-quality Swedish and Norwegian residential mortgages. Customer interest expense was $104 million. Based on current forward IBOR rates, we continue to anticipate full-year 2026 NII of approximately 2.7 billion crowns, and we continue this strength in NII to continue in 2027. Let me now hand the call over to my CFO, Lennart Krenn, to walk through our expense discipline, operating leverage, and capital position.

Thank you very much, Rasmus, and good morning, everyone. Yes, as you can see, we continue with very good cost control and adjusted operating expenses for the third quarter were 450 million. EXCLUDING OUR PLANNED INVESTMENTS IN GERMANY, CORE NORTHIC OPERATION EXPENSES GREW BY ABOUT 10% YEAR-OVER-YEAR. AND FOR THE FULL YEAR 2026, WE ARE REITERATING OUR EXPENSE GUIDANCE OF 1.8 BILLION, WELL, 1790 ACTUALLY MILLION. And this encompasses the approximately 8% underlying Nordic Costco, which is alongside our financial targets and except for the German expansion, which we exclude from those 8%. So good post control during this quarter as well. And we can continue to the next slide. showing the operating leverage of this business with a very high growth in adjusted revenue and a moderate and cost control. We end up with 4.3 billion for the last 12 months in PBT. Sorry, it's too early for me. But as you can see here, over the last four years, Nodas had delivered a 21% CAGR in adjusted profit before tax against 10% CAGR in operating expenses and just 8.8% excluding our German investments. And over the last 12 months, our profit before taxes reached almost 4.3 billion. So it's a very good year to date and a very good quarter as well. We can continue to the slide 13 with the capital situation. And still also here, a very strong balance sheet, a very comforting liquidity position. And Nordnet closed the third quarter with the common equity tier one of 18.1%, with the leverage ratio at 4.7%. And those are well above our targeting operating band of 4.0 to 4.5%. and our regulatory floor on 3.5%. And this would be in spite of that we started the buyback program 250 million at the end of September. And also in addition to this, we also gave notice Monday that we're going to redeem the 600 million 81 that is first call date in November. And as an effect of leverage ratio, that would have, as of end of September, been leverage ratio 4.2%, which is still within our range of 4.0 to 4.5, and gives us still a capacity of taking in 21 billion in further deposit before even getting close to jeopardizing any legal requirement. So we're in a very, very good position. And to conclude this, given our substantial capital surplus and organic capital generation, we have no intention of issuing replacement of 81 instrument at this time, just to be clear. And I just conclude a very good stable liquidity and capital situation. And with that, I hand over to you again to sum up the quarter, Rasmus.