Trøndelag Sparebank (TRSB) Q2 2025 earnings summary

Executive summary

• Result after tax for Q2 2025 was NOK 49.2 million, up from NOK 48.8 million year-over-year, with total comprehensive income of NOK 32.3 million.

• Achieved strong growth in lending, deposits, and insurance portfolios, with total assets expected to surpass NOK 10 billion in 2025.

• Listed on Euronext Oslo Børs main list as of December 2024, following a successful 2023 merger.

• Official credit rating of BBB+ with negative outlook as of May 2025.

• The bank is a key sponsor in its local communities, supporting cultural and sports activities.

Financial highlights

• Net interest income for Q2 2025 was NOK 103.3 million, up from NOK 101.6 million, with a net interest margin of 2.16% (2.33%).

• Cost/income ratio at quarter-end was 60.2%, up from 57.7% year-over-year.

• Return on equity (ROE) after hybrid capital interest was 8.8%, down from 10.1% year-over-year.

• Customer deposits rose to NOK 6,427 million, a 9.8% year-over-year increase.

• Total assets reached NOK 9,885 million, and total lending including Eika Boligkreditt was NOK 9,436 million.

Outlook and guidance

• Management expects continued strong growth in 2025, supported by high activity in diversified local industries.

• Norges Bank reduced policy rate to 4.25% in June; lending rates to be lowered from August and deposit rates from September.

• Anticipated interest rate reductions in 2025 may lower bank income but ease conditions for customers, especially in commercial real estate.

• Underlying market area continues to show solid growth potential.

• Acquisition of 50.3% of Eie Eiendomsmegling Trondheim in July 2025 is expected to strengthen the bank's position in real estate services.