Sparebank 1 Sor-norge Asa · OSL:SB1NO
Sparebank 1 Sor-norge Asa — SpareBank 1 Sør-Norge — Debt Investor Presentation (2025)
53 slides from Sparebank 1 Sor-norge Asa's debt investor presentation, 2025
Slide 1: Quarterly presentation Q3 2025
Quarterly presentation 2025 Q3 SB1NO/SRBANK SR-Boligkreditt
Slide 2: Agenda
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SB1NO/SRBANK SR-Boligkreditt
Slide 3: Market overview
Market overview Banks in Norway Alliances Largest banks by lending volume (2024) Savings bank • All credit decisions are made at the local banks, no cross • Multiple alliances and Market share (lending volume) independent banks guarantees SpareBank 1 Alliance, • Economies of scale related 12 indepen
Slide 4: SpareBank 1 Sør-Norge
SpareBank 1 Sør-Norge Lending volume in NOK billion % CAGR *Pro forma 4 SB1NO/SRBANK SR-Boligkreditt
Slide 5: Synergy estimate raised after solid quarter
Synergy estimate raised after solid quarter Result 30 September 2025 Result 3. quarter 2025 13.0% 4.4% 37.0% 13.1% 14.7% excl. one-off effects** 14.5% excl. one-off effects* Return on equity after tax 12 months lending growth Retail market 6.1% Cost to income ratio Corporate market -2.3% Return on e
Slide 6: Key figures – quarterly development
Key figures – quarterly development Return on equity CET 1 capital ratio Cost to income ratio Earnings per share (NOK) Target: > 14.0% Target: > 17.53% Target: < 40% Target: > 50% dividend share * Pro forma *CET 1 capital ratio SpareBank 1 SR-Bank ASA. 6 SB1NO/SRBANK SR-Boligkreditt
Slide 7: Good underlying operations
Good underlying operations Group Income statement Change from last quarter (MNOK) Change from Q3 2024 (MNOK) *Pro forma 7 SB1NO/SRBANK SR-Boligkreditt
Slide 8: Group
Group Lending volume Deposit volume Margins in customer- Net interest margin segments *Pro forma Definition margins: Average customer rate measured against money market rates. The figures include loans transferred to credit institutions and commission recevied. 8 SB1NO/SRBANK SR-Boligkreditt
Slide 9: Well-diversified lending portfolio
Well-diversified lending portfolio • Gross loans increased to NOK 415 billion from NOK 397 billion year over year • 12 months lending growth is 4.4% • Low offshore, oil and gas exposure • Commercial real estate – low concentration risk and good credit quality Loans before impairments, nominal amount
Slide 10: Lending to commercial real estate
Lending to commercial real estate Commercial real estate portfolio 11.5% of total lending Commercial real estate for lease volum Low concentration risk 91% of volume has a PD under 2.5% Commercial real estate for lease Commercial real estate NOK Bill (NOK billion) for sale Well differentiated across
Slide 11: Net commission and other income
Net commission and other income Change from previous quarter (MNOK) 74 74 Change from Q3 2024 (MNOK) *Pro forma 11 SB1NO/SRBANK SR-Boligkreditt
Slide 12: Operating expenses
Operating expenses Operating expenses Change from previous quarter (parent bank) (MNOK) s nn a n ns s ns s ns s ns s Change from Q3 2024 (parent bank) (MNOK) s nn a n ns s ns s ns s ns s *Pro forma 12 SB1NO/SRBANK SR-Boligkreditt
Slide 13: Loans and financial commitments
Loans and financial commitments Change in gross loans and financial Impairments on loans and Changes in gross loans and commitments financial commitments financial commitments defined as Stage 3 ss s ns as a s a ss ns n a ans an nan a ns n a *Pro forma 13 SB1NO/SRBANK SR-Boligkreditt
Slide 14: Capital adequacy
Capital adequacy Solid capital ratio Capital ratios • The CET 1 capital ratio is 18.51% as of 30 September 2025 Tier 2 • The minimum requirement for the CET 1 capital ratio is 17.53% as of 30 2.71% September 2025, including a temporary Pillar 2 requirement of 0.28% and a Tier 1 Pillar 2 guidance req
Slide 15: Solid liquidity
Solid liquidity Key figures Bonds and certificates • LCR 148% • The average duration of the portfolio • NSFR 133% is 2 years • Average duration of funding is 3.3 years • All fixed interest exposure is hedged to floating rate • NOK 24.5 billion net refinancing need over the next 12 months • Deposit t
Slide 16: Funding
Funding • LCR 148%, NSFR 133% EUR Benchmarks • NOK 24.5 billion net refinancing need over the next 12 months • Deposit to loan ratio 53.9% o o A ss d M y a • MREL-requirement 39.2%, MREL-subordination requirement 31.3% an a • As of 30 September 2025, SpareBank 1 Sør-Norge ASA has issued NOK 21.8 bil
Slide 17: SR-Boligkreditt
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SB1NO/SRBANK SR-Boligkreditt
Slide 18: Overview SR-Boligkreditt
Overview SR-Boligkreditt • SR-Boligkreditt is a wholly owned subsidiary of SpareBank 1 Sør-Norge and a dedicated covered bond company. Its objective is to purchase mortgages and to finance these by issuing covered bonds (European Covered Bond Premium). • Loans are transferred to SR-Boligkreditt as t
Slide 19: Cover pool characteristics
Cover pool characteristics Assets/status • 100 % mortgages on Norwegian private residential properties • 100 % performing loans Cover pool • NOK 131,2 bn: Residential mortgages 121,3.0 (92.4%), Substitute assets 9.9 bn (7.6%) Mortgages and rate • 56,248 loans at a weighted average interest rate of 5
Slide 20: Eligibility criteria
Eligibility criteria Type of properties • Primary residential property in Norway (including detached houses, terraced houses, apartments and cooperative housing units) • The mortgage property shall not be "buy-to- “ (mortgages to individuals owning more than 3 properties) Collateral • LTV-limits at
Slide 21: Cover pool characteristics
Cover pool characteristics Current LTV Loan performance 0% 0% 24,1 % Performing loans 22,0 % 20,5 % 17,9 % 14,1 % 100 % Delinquent loans (arrears 31 to 90 days) Gross non performing loans 1,3 % 0,2 % (arrears 90 days +) 0-40 % 40-50 % 50-60 % 60-70 % 70-80 % 80-100 % 100 % + Geography Property type
Slide 22: Norwegian economy
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SB1NO/SRBANK SR-Boligkreditt
Slide 23: Key economic indicators
Key economic indicators Sources: Statistics Norway and Norges Bank Norges Bank 18 September 2025 & Statistics Norway 16 September 2025. 23 SB1NO/SRBANK SR-Boligkreditt
Slide 24: Macro
Macro SpareBank 1 Sør- o s’s business Unemployment rate Number of bankruptcies survey Main index of 55 percent as of the 3 quarter of 2025 a an s an s an k n ak usk u a an s an s an s ak usk u u a a an s House price development Index change 12 month (%) Prices by city per square meter Norwegian hous
Slide 25: Commercial real estate
Commercial real estate Office vacancy Prime yield Rental prices Transaction volume (TNOK per sq.m) (NOK billion) Source: Entra, WPS, og EM1 SR-Eiendom AS 25 SB1NO/SRBANK SR-Boligkreditt
Slide 26: Sustainability and Green Bond framework
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SB1NO/SRBANK SR-Boligkreditt
Slide 27: Sustainable financing
Sustainable financing Target: Sustainable lending constitutes 25% of the group’s o l Sustainable lending constitutes 18.3% of total lending volume lending volume by the end of 2030* Target Total lending 394 bill NOK Retail market • Green residential buildings SpareBank 1 Sør-Norge among top 9 % of b
Slide 28: ESG ratings
ESG ratings • "Prime status" and rating C+ by ISS-ESG (September 2025) • Sustainalytics: ESG Risk Rating: "Low risk"; ESG Risk Score: 13.4 • MSCI ESG Rating: "Level AAA" (April 2025) *Some of the above ratings relate to SpareBank 1 SR-Bank, as they have not yet been adjusted to cover SpareBank 1 Sør
Slide 29: Green Bond Framework Highlights
Green Bond Framework Highlights Use of Management Project Evaluation External Proceeds of Proceeds and Selection Reporting Review Green buildings, The Green Bonds Green Bond committee Sør-Norge intends to ISS has issued a renewable energy, proceeds will be established. Evaluation Second Party Opinio
Slide 30: Use of Proceeds overview
Use of Proceeds overview SR-Boligkreditt SpareBank 1 Sør-Norge Green Covered Bonds Green Senior Bonds Green buildings Green buildings Renewable Energy Clean Transportation • Loans to finance or refinance new or • Loans to finance or refinance new or • Loans, credit and investments to • Loans aiming
Slide 31: Allocation Report – Q3 2025
Allocation Report – Q3 2025 Eligible Green Loan Portfolio Green Funding* Amount Instrument Issuance Maturity Amount* ISIN (NOK m) (Type/ Crncy) Date Date (NOK m) Green Residential Buidlings 49.092 € Covered XS2063288190 okt.19 okt.26 5.870 Bank balance sheet 27.925 € SP XS2406010285 nov.21 nov.26 5.
Slide 32: Appendix
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SB1NO/SRBANK SR-Boligkreditt
Slide 33: Loan to value ratio and RWA on home mortgage loans
Loan to value ratio and RWA on home mortgage loans Loan to value ratio on home mortgage loans Risk weight home mortgages • The proforma figures for SpareBank 1 Sør-Norge show that • RWA on home mortgages reflects a solid portfolio with a 91.9% of the exposure is within 85% of the assessed value of m
Slide 34: Profile of the loan portfolio
Profile of the loan portfolio • SpareBank 1 Sør-Norge has a solid loan portfolio. Loan portfolio distributed Loan portfolio distributed by risk class by size of loan • The loan portfolio consists mainly of small and medium- sized loans. Probability of Default (PD) % Probability of default (PD) throu
Slide 35: Risk profile
Risk profile - Portfolio distributed by risk class Retail SME & Agriculture Corporate 14.6% 14.1% 15.2% 14.1% 15.0% 14.0% 14.6% 16.5% 14.0% 13,8 % 14,4 % 14,8 % 43.1% 44.7% 46.5% 54.9% 52.9% 57.5% • The quality of the retail market portfolio is • The quality of the SME and Agriculture market • The q
Slide 36: Retail market
Retail market Lending volume** Deposit volume** Margins *Pro forma **Including loans and deposits to employees. Definition margins: Average customer rate measured against money market rates. The figures include loans transferred to credit institutions and commission recevied. 36 SB1NO/SRBANK SR-Boli
Slide 37: Corporate market
Corporate market Lending volume Deposit volume Margins v *Pro forma **12 months lending growth in Corporate market excluding currency effect is -1.8%. Definition margins: Average customer rate measured against money market rates. The figures include loans transferred to credit institutions and commi
Slide 38: SME and Agriculture
SME and Agriculture Lending volume Deposit volume Margins *Pro forma Definition margins: Average customer rate measured against money market rates. The figures include loans transferred to credit institutions and commission recevied. 38 SB1NO/SRBANK SR-Boligkreditt
Slide 39: Net income on financial investments
Net income on financial investments Change from previous quarter (MNOK) 74 74 Change from Q3 2024 (MNOK) When a basisswap is defined as a hedging instrument, changes in “basis spread” is recognized through other comprehensive income. *Pro forma 39 SB1NO/SRBANK SR-Boligkreditt
Slide 40: Well positioned for strong capital distribution
Well positioned for strong capital distribution New dividend policy Dividend policy The u ’s dividend policy is to distribute above 50% in cash dividend of the profit The u ’s dividend policy has been to distribute around for the year 50% of the profit for the year Established a share buyback progra
Slide 41: Expectations among oil companies
Expectations among oil companies Expectations among companies with higher vs lower • High optimism among oil companies over oil-related revenue the next 12 months Main index: Share of positive companies in percent • Most oil companies expect to hire • Investments on the Norwegian continental shelf r
Slide 42: Impairments on loans and financial commitments
Impairments on loans and financial commitments Impairments on loans and financial commitments in the Impairments on loans and financial income statement commitments in the income statement (MNOK) Impairments on loans and financial commitments in the balance sheet a ak an a u u a ak *Pro forma 42 SB1
Slide 43: Impairment ratio
Impairment ratio* a n a *Data prior to 2024 relates to SpareBank 1 SR-Bank ASA 43 SB1NO/SRBANK SR-Boligkreditt
Slide 44: Successful integration
Successful integration 1 October 2024 1 April 2025 1 October 2025 Next step → SpareBank 1 ForretningsPartner EiendomsMegler 1 SpareBank 1 Sør-Norge Sør-Norge Sør-Norge Sør-Norge ✓ Legal merger 1 • Realization of ✓ Legal merger 1 October 2024 ✓ Legal merger 1 April synergies October 2025 2025 ✓ Techn
Slide 45: Synergies
Synergies Capital synergies Personnel synergies Capital synergies from the merger are approximately NOK 1.7 billion. Approval of IRB for previous portfolios from SpareBank 1 Sørøst-Norge amounted to approximately NOK 0,9 billion in the third quarter. Synergies The Group is on track in realisation of
Slide 46: Successful technical merger – a major milestone
Successful technical merger – a major milestone Total merger cost (MNOK) • Successful technical merger completed in mid-September • 335,000 customers migrated to a shared banking system • The bank is now positioned for the future • A unified platform • Improved scalability • Increased efficiency 202
Slide 47: Income from ownership interests
Income from ownership interests Ownership interests FORSIKRING FACTORING FORVALTNING *Pro forma 47 SB1NO/SRBANK SR-Boligkreditt
Slide 48: SpareBank 1 Sør-Norge ASA
SpareBank 1 Sør-Norge ASA Fully owned companies Partly owned companies BN Bank SB1 Markets EiendomsMegler 1 SpareBank 1 SR-Boligkreditt Sør-Norge Sør-Norge ForretningsPartner 42.5% 28.1% Real estate agency Accounting and advisory Covered Bond Funding EiendomsMegler 1 FinStart Nordic Kreditt- SpareBa
Slide 49: Balance sheet
Balance sheet *Pro forma SB1NO/SRBANK 49 SR-Boligkreditt
Slide 50: SB1NO
SB1NO • International ownership Development in Price/Book Relative share price development is 16.8% per 3. quarter 2025 200 1,5 200 190 1,4 Index 100 = sep 30th 2024 180 • Total market value at 180 170 1,3 160 1,2 3. quarter 2025 is NOK 160 1,1 140 NOK p/B 150 66,8 billion 140 1,0 120 0,9 100 130 Pr
Slide 51: SB1NO
SB1NO • Number of shares issued 375.46 million • Trading volume in Q3 2025: 2.5% (3.5%) Figures in parentheses as at 30 September 2024. SB1NO/SRBANK 51 SR-Boligkreditt
Slide 52: 20 largest shareholders as at 30 September 2025
20 largest shareholders as at 30 September 2025 • Ownership interests: • International: 16.8% (22.7%) • 10 largest: 54.9% (50.5%) • 20 largest: 63.0% (59.5%) • Number of shareholders: 22.791 (19.504) • Employees owning 1.5% (1.8%) as at 30 September 2025 Figures in parentheses as at 30 September 202
Slide 53: Disclaimer
Disclaimer This presentation contains forward looking statements that reflect ana n ’s u n s s an u u n s an potential financial performance. Although SpareBank 1 Sør-Norge believes that the expectations reflected in such forward looking statements are reasonable, no assurance can be given that such
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