Sparebank 1 Sor-norge Asa · OSL:SB1NO
Sparebank 1 Sor-norge Asa — SpareBank 1 Sør-Norge — Q4 2025 Earnings Presentation
51 slides from Sparebank 1 Sor-norge Asa's earnings presentation, Oct 13, 2026
Slide 1: Quarterly presentation Q4 2025
Quarterly presentation 2025 Q4 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 2 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: New Group management
New Group management Frode Bø RISK Inge Reinertsen CEO Signe Helliesen COMPLIANCE Eirik B. Monsen CFO Per Halvorsen Ella Skjørestad PEOPLE AND MARKET AND ORGANISATION TECHNOLOGY Marianne Bakke Roger L. Antonesen RETAIL MARKET CORPORATE MARKET SB1NO/SRBANK SR-Boligkreditt
Slide 5: Operational efficiency
Operational efficiency Increased synergies from NOK 450 million to NOK 550 million Personnel synergies Operational synergies Funding synergies • The Group is on track with the • Cost efficiency • SR-Boligkreditt planned FTE reduction • Product harmonisation • Senior debt • Release of additional 50 f
Slide 6: Financial targets
Financial targets Long-term target ROE > 14% Cost- and capital Customer growth in Growth in other Joint effort in the Diversified effective South of Norway income SpareBank 1 alliance portfolio > 16.72% < 35% > 50% > NOK 550 million CET 1 Cost to income Dividend share Operational synergies Capital r
Slide 7: Proposed dividend for 2025: NOK 12 per share
Proposed dividend for 2025: NOK 12 per share 71 % payout ratio Well positioned for strong capital distribution 1. The group’s dividend policy is to distribute above 50% in cash dividend of the profit for the year 2. Established a share buyback program as a supplement to cash dividends 1 .0 .5 .0 .5
Slide 8: SpareBank 1 Sør-Norge
SpareBank 1 Sør-Norge Lending volume in NOK billion 0 0 0 5 % CAGR *Pro forma 8 SB1NO/SRBANK SR-Boligkreditt
Slide 9: Solid result in turbulent times
Solid result in turbulent times Result 4. quarter 2025 Result 31 December 2025 11.9 % 12.8% excl. goodwill from merger 12.8 % 14.1% excl. one-off effects* Return on equity after tax 38.0 % Cost to income ratio 17.57 % CET 1 capital ratio Return on equity after tax MNOK 8,349 NOK 17.0 NOK 12.0 MNOK 1
Slide 10: Solid year and quarter results
Solid year and quarter results Return on equity Earnings per share *Pro forma 10 SB1NO/SRBANK SR-Boligkreditt
Slide 11: Net interest income
Net interest income Change from previous quarter (MNOK) Net interest margin 11 SB1NO/SRBANK SR-Boligkreditt
Slide 12: Well-diversified lending portfolio
Well-diversified lending portfolio • Gross loans increased to NOK 418 billion from NOK 405 billion year over year • 12 months lending growth is 3.3% • Low offshore, oil and gas exposure • Commercial real estate – low concentration risk and good credit quality ec 0 5 ec 0 Loans before impairments, no
Slide 13: Group
Group Lending volume Deposit volume Margins olu e in billion 1 onths gro th % olu e in billion 1 onths gro th % ending argin eposit argin o bined Definition margins: Average customer rate measured against money market rates. The figures include loans transferred to credit institutions and commission
Slide 14: Net commission and other income
Net commission and other income Change from previous quarter (MNOK) Solid growth and high level of activity Strong performance in Eiendoms- Megler 1 • A clear ambition to become the market leader in Southern Norway Change from Q4 2024 (MNOK) 14 SB1NO/SRBANK SR-Boligkreditt
Slide 15: Operating expenses
Operating expenses Change from previous quarter (parent bank) (MNOK) % Effective cost management after the merger 10 15 • Seasonally higher activity 1 10 1 The Group is on track with the planned FTE reduction 0 5 erger 0 5 ersonnel T ar eting d . ther 0 5 e penses e penses e penses e penses Cost to
Slide 16: 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 % % % % % 5 10 5 5 0 0 1 0 5 0 5 0 5 0 5 oss provisions as a share of gross co it ents in tage oans and f
Slide 17: Capital adequacy
Capital adequacy Solid capital ratio Capital ratios • The CET 1 capital ratio is 17.57% as of 31 December 2025 1. % • The minimum requirement for the CET 1 capital ratio is 16.72% as of 31 Tier 2 December 2025, including Pillar 2 guidance requirement of 1.00% 2.54% Tier 1 • SpareBank 1 Sør-Norge ASA
Slide 18: Solid liquidity
Solid liquidity SB1 Sør-Norge T € 0 rd. 182% Ticker: SRBANK € 5 rd. Moodys: Aa3 & P-1 Annual issuance ~ € 1 5 rd. S&P: A-1 Liquidity coverage ratio SR-Boligkreditt T € 0 rd. OMF (Covered Bonds) Ticker: SRBANK Moodys: Aaa Annual issuance ~ € 0 rd. 132% Net stable funding ratio r ref 0 010 5 0. 5 500
Slide 19: Outlook
Outlook • Financial ambitions to rank among the top three banks • Increasing optimism in Southern Norway supports further growth • Strong consumer purchasing power and a constrained housing market • Uncertainty related to trade policy and geopolitical tension 19 SB1NO/SRBANK SR-Boligkreditt
Slide 20: SR-Boligkreditt
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix 20 SB1NO/SRBANK SR-Boligkreditt
Slide 21: Overview SR-Boligkreditt
FORTROLIG 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-Boligkr
Slide 22: Cover pool characteristics
FORTROLIG Cover pool characteristics Assets/status • 100 % mortgages on Norwegian private residential properties • 100 % performing loans Cover pool • NOK 121.4 bn: Residential mortgages 117.5 (96.8%), Substitute assets 3.9 bn (3.2%) Mortgages and rate • 55,923 loans at a weighted average interest r
Slide 23: Eligibility criteria
FORTROLIG 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-let“ (mortgages to individuals owning more than 3 properties) Collateral • LT
Slide 24: Cover pool characteristics
FORTROLIG Cover pool characteristics Current LTV Loan performance 0% 0% 23,6 % 23,9 % Performing loans 20,7 % 18,1 % 100 % Delinquent loans (arrears 31 12,0 % to 90 days) Gross non performing loans 1,5 % 0,2 % (arrears 90 days +) 0-40 % 40-50 % 50-60 % 60-70 % 70-80 % 80-100 % 100 % + Geography Prop
Slide 25: Norwegian economy
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix 25 SB1NO/SRBANK SR-Boligkreditt
Slide 26: Key economic indicators
FORTROLIG Key economic indicators Sources: Statistics Norway and Norges Bank Norges Bank 18 December 2025 & Statistics Norway 16 December 2025. 26 SB1NO/SRBANK SR-Boligkreditt
Slide 27: Macro in Southern Norway
Macro in Southern Norway SpareBank 1 Sør- ’ business Unemployment rate Number of bankruptcies survey Main index of 54 percent as of the 4 quarter of 2025 ogaland estland gder slo and i en Tele ar us erud gder ogaland estland slo ec ec ec 5 and estfold Tele ar us erud eutral 50 Total and estfold Hous
Slide 28: Market – Commercial real estate
Market – Commercial real estate Office vacancy Prime yield Rental prices Transaction volume (TNOK per sq.m) (NOK billion) Source: Entra, WPS, og EM1 Sør-Norge AS 28 SB1NO/SRBANK SR-Boligkreditt
Slide 29: Lending to commercial real estate
Lending to commercial real estate Commercial real estate portfolio 11.4% of total lending Commercial real estate for lease volum Low concentration risk 93% 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 30: Sustainability and Green Bond framework
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix 30 SB1NO/SRBANK SR-Boligkreditt
Slide 31: Sustainable financing
Sustainable financing Target: Sustainable lending constitutes 25% of the group’ l Sustainable lending constitutes 19.9% of total lending volume lending volume by the end of 2030* 5% Target 1 % .5% . % 0% 1. % 1 . % Total lending 398 bill NOK 0 5 0 0 0 0 0 0 Retail market • Green residential building
Slide 32: 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 33: 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 Sør-Norge intends ISS has issued a renewable energy, Second Party proceeds will be committee to make and keep Opinion on the S
Slide 34: 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 35: Allocation Report – Q4 2025
Allocation Report – Q4 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 36: Appendix
1 SpareBank 1 Sør-Norge 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix 36 SB1NO/SRBANK SR-Boligkreditt
Slide 37: 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 91.1% of the exposure is within 85% of the assessed value of m
Slide 38: 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) % 1.1 . 0 1.1 . 0 5 1.1 . 0 1.1 . 0
Slide 39: 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% 0.00 0.50 0.50 .50 .50 . 0.00 0.50 0.50 .50 .50 . 0.00 0.50 0.50 .50 .50 . • The quality of the retail
Slide 40: Retail market
Retail market* Lending volume Deposit volume Margins *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. 40 SB1NO/SRBANK SR-Boligkreditt
Slide 41: Corporate market
Corporate market* Lending volume Deposit volume Margins v *Corporate market include SME and Agriculture and Corporate market. Definition margins: Average customer rate measured against money market rates. 41 SB1NO/SRBANK SR-Boligkreditt
Slide 42: Net income on financial investments
Net income on financial investments Change from previous quarter (MNOK) Income from ownership interests Increased profits from SpareBank 1 Gruppen and SB1 Markets 1 Income from ownership interests Change from Q4 2024 0 0 5 0 5 (MNOK) Income from financial instruments Negative value change on basissw
Slide 43: 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 orporate ar et and agriculture etail
Slide 44: Impairment ratio
Impairment ratio 0. 5% 0.50% 0. % 0. % 0. % 0. % 0. % 0. 0% 0.1 % 0.1 % 0.1 % 0.0 % 0.0 % 0.1 % 0.11% 0.1 % 0.01% 0.00% 0.0 % 0.1 % 00 00 00 00 010 011 01 01 01 015 01 01 01 01 0 0 0 1 0 0 0 0 5 pair ent ratio *Data prior to 2024 relates to SpareBank 1 SR-Bank ASA 44 SB1NO/SRBANK SR-Boligkreditt
Slide 45: 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 46: Significant synergies
Significant synergies Personnel synergies The organisational changes are expected to release additional The Group is on track in realisation of funding, operational 50 full-time equivalents related to management, staff and and personnel synergies. support functions. The FTE reduction has been revise
Slide 47: Balance sheet
Balance sheet 47 SB1NO/SRBANK SR-Boligkreditt
Slide 48: SB1NO
SB1NO • International ownership Development in Price/Book Relative share price development is 17.2% per 200 1,5 4. quarter 2025 190 200 1,4 180 180 • Total market value at Index 100 = dec 31th 2024 1,3 160 170 1,2 4. quarter 2025 is NOK 160 1,1 140 NOK p/B 150 120 74,5 billion 140 1,0 100 130 0,9 Pr
Slide 49: SB1NO
SB1NO • Number of shares issued 375.46 million • Trading volume in Q4 2025: 3.0% (4.2%) Figures in parentheses as at 31 December 2024. 49 SB1NO/SRBANK SR-Boligkreditt
Slide 50: 20 largest shareholders as at 31 December 2025
20 largest shareholders as at 31 December 2025 • Ownership interests: • International: 17.2% (17.4%) • 10 largest: 55.0% (53.1%) • 20 largest: 62.9% (62.4%) • Number of shareholders: 22.538 (23.524) • Employees owning 1.5% (1.5%) as at 31 December 2025 Figures in parentheses as at 31 December 2024.
Slide 51: Disclaimer
Disclaimer This presentation contains forward looking statements that reflect anage ent’s current vie s ith respect to certain future events and potential financial performance. Although SpareBank 1 Sør-Norge believes that the expectations reflected in such forward looking statements are reasonable,
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