SPAREBANK 1 SMN (MING) Q3 2025 earnings summary

Executive summary

• Achieved return on equity of 15.9% in Q3 2025 and 15.3% year-to-date, reflecting strong profitability and solid performance across all business segments.

• Net profit for Q3 2025 was NOK 1,171 million, down from NOK 1,441 million in Q3 2024; year-to-date profit after tax was NOK 3,305 million.

• CET1 ratio ended at 17.8%, impacted by regulatory changes to risk weights.

• Lending grew 0.8% and deposits declined 0.3% in Q3 2025.

• Loan losses remained low at NOK 27 million, with robust credit quality and solid capitalization supporting growth and dividend capacity.

Financial highlights

• Net interest income for Q3 2025 was NOK 1,337 million, with operating income at NOK 1,956 million.

• Net commission and other income rose to NOK 619 million, and net result from ownership interests was NOK 278 million.

• Total operating expenses for Q3 2025 were NOK 833 million, up 2.9% year-over-year.

• Earnings per equity certificate (ECC) for Q3 2025 was NOK 5.19.

• Dividend per ECC at NOK 12.50.

Outlook and guidance

• Moderate cost growth expected in 2025, adjusted for one-off accruals.

• The group aims to expand market share in selected geographies and industries, focusing on digital solutions and customer experience.

• Macroeconomic uncertainty persists, but the loan portfolio remains robust and well-diversified.

• Long-term CET1 target is 16.3%; current CET1 ratio is 17.8%.

• Return on equity target above 13% over time remains unchanged.