The decline was slightly larger than expected. Analysts had forecast average net interest income of SEK 10.2 billion for the most recently completed quarter, according to Bloomberg.
However, Handelsbanken - one of the country's largest mortgage lenders - reported a 12 percent increase in net commission income, including income from card fees, to SEK 3.3 billion. This was slightly more than expected.
The bank's operating profit fell to SEK 7.4 billion from SEK 7.7 billion.
A new model for calculating risks in loans to households means Handelsbanken needs approximately SEK 3 billion less in so-called core tier 1 capital, according to the report.