SEB: Operating Income Jumps 44% in H1, Sales Remain Flat
SEB has released its first-half results, marked by a contrast: operating income surged by 44%, while revenue remained nearly unchanged. This profitability recovery is primarily based on cost discipline and the Rebond plan launched by the Lyon-based group, in a deteriorating macroeconomic context.
For investors, the challenge remains to confirm whether this margin improvement can continue while the peak of activity is delayed in returning.
Operating Income Up 44%
The group recorded sales of €3,743 million in the first half, up 1.7% at constant rates and scope. In reported data (i.e., raw, unadjusted), this growth completely disappears: sales are stable over six months. The recovery in operating income is more pronounced: operating income reached €172 million, a 44% increase in absolute terms.
This gap reflects an improvement in profitability in an environment where growth is limited. Free cash flow returned to €53 million compared to a deficit of €213 million recorded in the first half of 2025, marking a recovery in the group's cash generation.
Improvement Through Cost Discipline
The recovery in operating income is mainly explained by the discipline applied to operational expenses, the first tangible effect of the Rebond plan implemented by SEB. This program combines simplification of the organization and improvement of operational efficiency. The first results are visible this semester, with also advances in digital commercial activation practices.
The focus on innovation, with launches planned during the year, should help support future growth. In a macroeconomic and geopolitical environment described as uncertain and deteriorated, the group thus relies on cost control levers rather than a recovery in demand.
Annual Targets Confirmed Based on Internal Levers
SEB confirms its annual targets for 2026, including an expected return to growth in operating income over the full year and a return to more normative free cash flow, following the first semester results. The management does not provide specific figures for the second half but relies on the continuation of the Rebond plan.
This guidance is set in a context where visibility remains low: the group acknowledges that the macroeconomic environment remains uncertain. Stanislaus de Gramont, CEO, counts on confidence in the product launches of the year and the group's ability to 'set the Group on the path to profitable and sustainable growth.'
