DNB Bank (DNB) Investor presentation summary

Financial performance and capital position

• Achieved H1 2026 pre-tax operating profit before impairment of NOK 26,686 million and profit for the period of NOK 19,681 million, with a return on equity of 14.3% and a CET1 ratio of 17.4% as of June 2026.

• Maintained a cost/income ratio below 40% and a leverage ratio of 6.3%, exceeding regulatory capital requirements.

• CET1 capital expectation is ~16.4%, with a strong buffer above the MDA trigger level and robust capital generation.

• Dividend payout ratio remains above 50%, with ambitions to increase nominal dividend per share year over year.

• Performed strongly in the 2025 EU-wide stress test, with CET1 ratio increasing by 26 bps under adverse scenarios.

Loan book and asset quality

• Loan portfolio is well-diversified, with 99.4% of net loans and financial commitments in stage 1 and 2, and only 0.6% in stage 3.

• Exposure to cyclical industries has been reduced, and impairment levels remain low, with a write-down ratio of 0.09% in H1 2026.

• Residential mortgage book is robust, with 77.5% amortizing loans and 92.8% owner-occupied properties; average LTV is 51%.

• Commercial real estate, oil-related, and shipping portfolios are managed with a focus on low-risk exposures and strong risk-mitigation strategies.

Norwegian economy and regulatory environment

• Norwegian mainland GDP growth is expected to remain around 1.5% in coming years, with low and stable unemployment.

• Inflation remains above target at ~3.2% in 2026, with the policy rate raised to 4.5% and expected to remain unchanged through 2027.

• Lending regulations include a maximum total debt of 5x gross income and a maximum LTV of 90%, with stress testing for interest rate increases.