Stockholm - Nordic banking group Nordea and its Swedish rival Handelsbanken on Wednesday reported third-quarter results that topped analysts' estimates.

Nordea said operating profit declined 2 per cent year-on-year to 832 million euros (1.2 billion dollars) while turnover increased 14 per cent year-on-year to 1.99 billion euros, resulting in a net profit of 626 million euros.

Compared to second-quarter 2009, the operating profit was up 2 per cent.

A sample of analysts had estimated operating profit at 548 million euros, the online edition of financial daily Dagens Industri said.

Nordea's loan losses totalled 358 million euros in the quarter, down 16 per cent compared to second-quarter 2009.

"Overall risk levels have gone down, but the uncertainty of the strength of the economic recovery is high," Nordea chief executive Christian Clausen said in a statement.

Handelsbanken meanwhile, said its operating profit fell 13 per cent to 3.2 billion kronor while turnover was 7.7 billion kronor, up 9 per cent year-on-year. Net profit was 2.4 billion kronor.

Analysts had forecast 10 per cent lower operating profit, Dagens Industri said.

The group's loan losses in the third quarter were 866 million kronor, down 73 million kronor compared to second-quarter 2009.

Nordea and Handelsbanken are less exposed in the troubled Baltic region than their Swedish rivals Swedbank and SEB. (dpa)