SPAREBANK 1 ØSTFOLD AKERSHUS (SOAG) investor relations material

Strategic direction and growth

• Focus on growth, restructuring, and technological efficiency, with significant cost measures implemented, including a 10% reduction in workforce and other actions totaling 30 million NOK in savings.

• Strong operational and market growth, with a robust technology environment and continued high growth potential in the market area.

• The region benefits from strong infrastructure, logistics, industrial areas, and attractive communities, supporting sustainable value creation.

Financial performance and targets

• Achieved 12.3% return on equity, exceeding the target of 11%.

• Core equity tier 1 ratio at 17.23%, above the 16.07% target.

• Dividend payout policy set at approximately 50% of annual group profit, with a shift from parent company to group basis from 2025.

• Consistent growth in pre-tax profit and operational results year over year.

Revenue and cost development

• Marked increase in market share and cross-selling, with strong results from group companies and higher alliance costs.

• Net interest margin has flattened, with a slight decline in recent quarters.

• Significant growth in commission and other income, especially from insurance, payment services, and accounting services.

• Cost reduction measures include voluntary severance packages and lower cost ratios, with personnel costs making up the largest share.