Grong Sparebank (GRONG) investor relations material

Executive summary

• Result after tax for H1 2026 was 68.5 million, down from 81.0 million year-over-year.

• Return on equity reached 9.6%, compared to 12.6% in the previous year.

• Results impacted by lower net interest income, low loan losses, and increased investments in organization and market area.

• The bank is expanding into accounting services and completed a merger in real estate brokerage.

• Pressured margins led to a reduced net interest margin, but credit-impaired exposures and loan losses declined.

Financial highlights

• Net interest income for H1 2026 was 114.4 MNOK (1.92% margin), down from 119.5 MNOK (2.13%) in H1 2025.

• Net commission and other operating income rose to 51.6 MNOK from 49.6 MNOK, mainly due to higher insurance commissions.

• Operating expenses increased to 95.3 MNOK from 82.8 MNOK, driven by personnel, IT, and energy costs.

• Loan losses were 3.3 MNOK, down from 8.4 MNOK; impaired loans over 90 days rose to 0.83% of gross loans (from 0.69%).

• Total assets grew to 12,554 MNOK, up 9.5% year-over-year.

Outlook and guidance

• Strategy to become a comprehensive financial house, expanding services beyond traditional banking.

• Continued investment in digital solutions and local presence to drive growth.

• Growth strategy to be maintained, with the first complete financial house expected in Steinkjer by late 2026 or early 2027.

• Strong customer growth and positive market development support ongoing growth strategy.