SPAREBANKEN NORGE (SBNOR) investor relations material

Executive summary

• Legal merger on 2 May 2025 created Sparebanken Norge, now Norway's largest alliance-free savings bank, with national ambitions and a strong cost position during integration.

• Brage Finans AS became a fully consolidated subsidiary post-merger.

• Rapid and efficient merger process, capturing market share and expanding into new regions, with a robust organisational structure and leadership in place.

• Strategic focus on digitalisation, customer satisfaction, and cost efficiency, aiming to be among the top three Norwegian savings banks in ROE.

• Q2 2025 pre-tax profit reached NOK 2,137 million, up from NOK 1,412 million year-over-year; ROE at 17.1%.

Financial highlights

• Lending to retail customers grew 4.2% and to corporate customers 3.7% year-to-date, outpacing most peers.

• Net interest income increased to NOK 2,644 million in Q2 2025, up from NOK 2,568 million in Q1 2025.

• Net commission income reached NOK 476 million in Q2 2025, driven by brokerage and insurance growth.

• Cost-to-income ratio at 29.0% in Q2 2025, or 27.4% adjusted for merger costs, among the best in the sector.

• Gross lending grew 69.7% year-over-year to NOK 463.2 billion; customer deposits rose 64.6% to NOK 220.9 billion.

Outlook and guidance

• Financial targets for 2026–2028: ROE >13%, cost/income <30% (excl. merger costs), CET1 >16%, and >50% dividend payout.

• Ambitious lending growth targets: 6–8% annually in retail (ex. Bulder), 8–10% in corporate, and Bulder aiming for NOK 100bn in mortgages by 2028.

• Integration costs expected up to NOK 380 million through 2027; full synergy effects from 2027 (operating) and 2028 (capital).

• Merger with Oslofjord Sparebank expected to complete by December 2025, further strengthening national presence.

• Market volatility from global trade tensions and regulatory changes may impact results in H2 2025.