Sparebank 1 Sor-norge Asa · OSL:SB1NO
Sparebank 1 Sor-norge Asa — SpareBank 1 SR-Bank — Debt Investor Presentation (January 2023)
82 slides from Sparebank 1 Sor-norge Asa's debt investor presentation, January 2023
Slide 1: Quarterly presentation 2022 Q4
Quarterly presentation 2022 Q4 SR-Bank SR-Boligkreditt
Slide 2: Agenda
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 3: Disclaimer
Disclaimer This presentation contains forward looking statements that reflect management’s current views with respect to certain future events and potential financial performance. Although SpareBank 1 SR Bank believes that the expectations reflected in such forward looking statements are reasonable,
Slide 4: SR-Bank at a glance
SR-Bank at a glance Second largest Norwegian bank SR-Bank’s market area Public Limited company (“limited liability savings bank”) ‐ Savings bank, but without the constraints of equity certificates • Rating: A1 (positive outlook) • Market cap: NOK 30.9 Billion • Total assets: NOK 345.9 Billion • Tota
Slide 5: Finance group for South of Norway
Finance group for South of Norway Åsane Lending volume in NOK billion. Askøy Bergen Sotra Fana +4% 140 Nydalen Oslo Skøyen Ensjø 134 134 Husnes Stord +19% 41 Ølen 38 +67% 37 Tysvær 35 Haugesund Kopervik Åkrehamn +13% 27 24 Jørpeland 22 22 Randaberg Stavanger* 21 Sola Sandnes Gjesdal +54% Bryne 11 Va
Slide 6: Increase in profit driven by growth and solid underlying operations
Increase in profit driven by growth and solid underlying operations Result 4. quarter 2022 Result 31 December 2022 12.6% 9.8% 17.4% 14.6% Return on equity after tax Return on equity after tax Pre-tax profit MNOK 4,211 12 months lending growth Retail market Corporate market 7.4% 14.3% CET 1 capital r
Slide 7: Financial targets
Financial targets The long-term target for return on equity is raised > 13 % Return on equity Customer growth in southern Norway Growth in other income Joint effort in the SpareBank 1 Alliance Diversified portfolio > 16.85 % < 40 % ~ 50 % CET 1 Cost to income Dividend share Capital ratio 7 SR-Bank S
Slide 8: Key figures – yearly development
Key figures – yearly development Return on equity CET 1 capital ratio Cost to income ratio Earnings per share (NOK) 14.0% 18.30% 12.9 17.39% 17.42% 40.9% 12.1 12.1 16.96% 12.6% 12.6% 40.2% 40.1% 11.3% 14.70% 9.0 38.3% 6.4% 37.9% 5.9 2018 2019 2020 2021 2022 2018 2019 2020 2021 2022 2018 2019 2020 20
Slide 9: Income statement
Income statement Group Income Statement (MNOK) 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Net interest income 4,516 4,001 1,286 1,115 1,101 1,014 1,007 Net commission and other income 1,770 1,717 453 421 466 430 455 Net income on financial investments 756 1,026 274 191 104 187 342
Slide 10: Change in profit 31.12.2021 - 31.12.2022
Change in profit 31.12.2021 - 31.12.2022 (MNOK) 53 515 187 4,211 -270 -111 3,838 31.12.2021 Net interest income Net commission Net income on Total operating Impairments on loans and 31.12.2022 and other income financial investments expenses financial commitments 10 SR-Bank SR-Boligkreditt
Slide 11: Operating expenses
Operating expenses MNOK 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Total personnel expenses 1,788 1,722 477 429 438 444 484 IT expenses 395 381 102 99 96 97 99 Marketing 87 81 22 18 25 21 27 Administrative expenses 101 65 30 25 27 18 20 Operating expenses from real estate 54 37 18
Slide 12: Changes in operating expenses 31.12.2021 - 31.12.2022
Changes in operating expenses 31.12.2021 - 31.12.2022 (NOK million) 1.2% 2,825 34 3.1% 1.7% -43 46 84 -1.6% -10 -0.4% 2,714 Operating expenses ForretningsPartner SR-Forvaltning* EiendomsMegler 1 Personnel Other expenses Operating expenses 31.12.2021 expenses 31.12.2022 *SR-Forvaltning AS was acquire
Slide 13: Group
Group Lending volume Volume in NOK billion 12 months growth % Deposit volume Volume in NOK billion 12 months growth % Margin in customer Lending margin Deposit margin segments Combined 9.8% 16.5% 7.7% 14.6% 4.9% 5.1% 3.7% 7.6% 2.12% 4.3% 1.83% 1.90% 3.9% 253.0 148.1 1.36% 230.3 137.7 1.36% 219.2 1.3
Slide 14: Retail market
Retail market Volume in NOK billion Volume in NOK billion Lending volume* 12 months growth % Deposit volume 12 months growth % Margins Lending margin Deposit margin Combined 9.6% 8.9% 7.4% 6.6% 4.6% 4.9% 1.61% 3.6% 6.0% 1.40% 1.27% 5.1%** 1.10% 1.12% 156.4 1.05% 0.98% 0.81% 0.50% 145.6 3.0% 66.6 63.
Slide 15: Corporate market
Corporate market Lending volume Volume in NOK billion 12 months growth % Deposit volume Volume in NOK billion 12 months growth % SME and Agriculture Lending margin Deposit margin Combined 26.7% 17.4% 21.1% 14.3%* 5.5% -1.8% 0.6% 2.93% 6.4% 2.73% 2.75% 4.5% 2.53% 1.65% 1.68% 1.35% 1.33% -1.3% 78.1 59
Slide 16: SME and Agriculture
SME and Agriculture Volume in NOK billion Volume in NOK billion Lending volume 12 months growth % Deposit volume 12 months growth % Margins Lending margin Deposit margin Combined 26.1%* 15.8% 20.4% 3.02% 2.66% 2.83% 8.2% 2.43% 7.4% 3.1% 1.92% 1.95% 1.6% 10.7% 1.79% 10.1% 1.58% 1.48% 5.5% 18.7 0.94%
Slide 17: Loan portfolio as at 31 December 2022
Loan portfolio as at 31 December 2022 • Gross loans increased to NOK 253.0 billion from NOK Agriculture / forestry / aquaculture 3.9% 4.0% 230.3 billion year over year 2.1% Supply and construction 1.8% 2.3% • 12-month growth in loans Industry, Power-/water supply 2.2% of 9.8% Retail trade, hotels an
Slide 18: Reduced exposure to the offshore sector
Reduced exposure to the offshore sector Offshore • EAD NOK 5.8 billion, 2.0% of the bank’s total EAD* • Exposure primarily to industrial oriented shipping companies with integrated organization (Offshore service vessels, Rig and Seismic vessels) Offshore NOK billion 5.0% 4.7% Share of EAD 4.1% 3.5%
Slide 19: Development in credits and applications for interest-only
Development in credits and applications for interest- only Corporate market – Drawn amount on credit facilities Avg. 2019 42,8 % Avg. 2022 37,6 % Avg. 2020 33,8 % Avg. 2021 32,3 % Retail market – Number of applications for interest-only Avg. 2020 (1.194) Avg. 2019 (739) Avg. 2022 (775) Avg. 2021 (66
Slide 20: Lending to commercial real estate
Lending to commercial real estate 14.1% (NOK 39.7 billion) of total EAD* is related to commercial real estate • Commercial real estate for lease Real estate management and ‐ EAD NOK 30.2 billion, 10.8% of the bank’s total EAD housing cooperatives; MNOK ‐ The portfolio is characterised by lending to
Slide 21: Commercial real estate for lease
Commercial real estate for lease (Exposures larger than NOK 0.60 billion ~ 2/3 of total EAD) Loan portfolio distributed by region Loan portfolio distributed by size of loan 8.3 8.5 EAD NOK billion EAD NOK billion 5.5 5.3 6.3 3.0 2.5 1.1 Rogaland Vestland Oslo and Viken Agder < 250 mnok 250-500 mnok
Slide 22: 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 • Stable volume with LTV below 70%. • RWA on home mortgages reflects a solid portfolio with a moderate loan-to-value ratio and low potential loss. • 94.7% of the exposure is withi
Slide 23: Impairments on loans and financial commitments / Stage 3
Impairments on loans and financial commitments / Loans and financial commitments defined as Stage 3 Impairment in % of average Stage 3 in % of gross loans and Impairments on loans and gross loans Changes in gross loans financial commitments financial commitments Impairments on loans and and financia
Slide 24: Solid capital ratio
Solid capital ratio • The authorities’ minimum requirement for the CET 1 capital ROE ROE ROE ratio is 16.85% at the end of fourth quarter of 2022 6.4% 12.6% 12.6% CET 1 CET 1 • The group’s CET 1 capital ratio target is minimum 16.85% incl. 21.72% 16.85% 16.85% 1.25% in management buffer and maximum
Slide 25: Funding
Funding • NSFR* 130% • LCR** 176% • NOK 19.7 billion net refinancing needs over the next 12 months • Deposit to loans ratio 58.5% • MREL-requirement 35.2%, MREL-subordination requirement 26,2% Annual funding maturity 28 26 24 22 20 18 16 14 NOK Billion 12 10 8 6 4 2 0 2023 2024 2025 2026 2027 2028 2
Slide 26: Moody's affirms SR-Bank's A1 deposit ratings; outlook positive
Moody's affirms SpareBank 1 SR-Bank's A1 deposit ratings; outlook changed to positive Stockholm, September 26, 2022 Moody's Investors Service ("Moody's) has today affirmed SpareBank 1 SR-BanK ASA's (SR-Bank) A1/Prime- 1 (P-1) deposit and A1 senior unsecured debt ratings. Furthermore, the rating agen
Slide 27: Key figures
Key figures 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Return on equity after tax (%) 12.6 12.6 14.6 12.5 12.0 11.4 14.0 Net interest margin (%) 1.41 1.35 1.51 1.37 1.40 1.33 1.32 Impairments on loans in % of gross loans 0.00 0.09 0.06 0.01 -0.09 0.03 -0.04 Loans and financial com
Slide 28: SR-Boligkreditt
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 29: Overview SR-Boligkreditt
Overview SR-Boligkreditt • SR-Boligkreditt is a wholly owned subsidiary of SR-Bank 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 true sale on a
Slide 30: 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-let“ (mortgages to individuals owning more than 3 properties) Collateral • LTV-limits a
Slide 31: Cover pool characteristics
Cover pool characteristics Assets/status • 100 % mortgages on Norwegian private residential properties • 100 % performing loans Cover pool • NOK 112.8 bn: Residential mortgages 104.2 (92.4%), Substitute assets 8.6 bn (7.6%) Mortgages and rate • 53,498 loans at a weighted average interest rate of 4.0
Slide 32: Cover pool characteristics
Cover pool characteristics Current LTV Loan performance 24,5 % 0% 19,9 % 20,2 % 17,4 % Performing loans 15,8 % 100 % Delinquent loans (arrears 31 to 90 days) 2,0 % Gross non performing loans 0,3 % (arrears 90 days +) 0-40 % 40-50 % 50-60 % 60-70 % 70-80 % 80-100 % 100 % + Geography Property type 2%
Slide 33: Norwegian economy
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 34: Key economic indicators
Key economic indicators Economic Indicators (%) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022E 2023P 2024P 2025P GDP mainland, annual change (%) 3.7 2.3 2.2 1.4 0.9 2.0 1.9 2.3 -2.8 4.1 3.8 1.2 1.6 1.2 Household consumption, annual change (%) 3.5 2.8 2.1 2.7 1.1 2.2 1.4 1.0 -6.2 4.5 6.8 0.8
Slide 35: Macro in Southern Norway
Macro in Southern Norway House price development Unemployment rate (SSB AKU) • Norwegian house prices have increased by 1,5% as at 31 December 2022 Dec-20 Dec-21 Dec-22 6.8 59% 39% 4.5 4.2 4.2 3.9 28% 3.3 20% 2.6 2.4 2.4 2.5 2.4 1.9 1.9 2.2 1.9 1% 2015 2022 Stavanger region Bergen Kristiansand Oslo
Slide 36: Housing market
Housing market - house price increase of 1.5% in 2022 House prices (Index des 2013=100) Index change 12 month (%) Prices by City per Square Meter (EUR) 210 130 8,279 200 125 190 180 120 170 115 160 150 110 4,698 4,516 140 4,034 105 130 3,323 100 120 110 95 100 90 90 2013 2014 2015 2016 2017 2018 201
Slide 37: Unemployment continues at a low level
Unemployment continues at a low level Norwegian unemployment rate, %, registered (NAV), seasonal adj., monthly 11 10 9 8 7 6 5 4 3 2 1 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Norway Rogaland Vestland Agder Oslo Norway, broader measure (SSB AKU) Source: NAV, SSB. 37 SR
Slide 38: Government finances and the sovereign wealth fund
Government finances and the sovereign wealth fund Norwegian current account and gov't budget (BNOK), Norwegian oil fund and GDP (BNOK), quarterly figures quarterly figures 350,000 13,000,000 400% 300,000 12,000,000 11,000,000 250,000 10,000,000 300% 200,000 9,000,000 150,000 8,000,000 7,000,000 100,
Slide 39: Sustainability and Green Bond framework
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 40: Sustainability within SR-Bank
Sustainability within SR-Bank Sustainability incorporated into the group’s strategy Sustainability strategy General guidelines for sustainability Guidelines for Guidelines for sustainability responsible Guidelines for Guidelines for Other in the investments Code of products and suppliers and strateg
Slide 41: SpareBank 1 SR-Bank's sustainability targets
SpareBank 1 SR-Bank’s sustainability targets A pro-active ally to our clients in the transition to a more sustainable society 4 f Combat Emission 5 Equality and 3 i Transition financia reductions diversity crime Financing and facilitation * Gender balance (40/60) on all of NOK 50 billion in ender ba
Slide 42: Lending volume and financing sustainable activities
Lending volume and financing sustainable activities Goal: Finance and facilitate NOK 50 billion in Sustainable lending volume is 16.7% of total sustainable activities by the end of 2030 lending volume Goal: NOK 50 billion Sustainable loans* 31 % 42 bill 0 5 10 15 20 25 30 35 40 45 50 bill bill bill
Slide 43: Sustainability means better services for our customers
Sustainability means better services for our customers ESG risk-model for Maintenance First sustainability- Adaptations and corporate market – calendar linked loan paid out follow-up – The EAD>50 million in CM Transparency Act Funds with a focus Legal services on sustainability New ESG risk-model EU
Slide 44: Green product offerings & initiatives
Green product offerings & initiatives Green Mortgage Product & Renovation Product Launch of “My carbon footprint” • The Green mortgage product was launched in 2021. A Green mortgage is secured by energy • The bank recently launched a mobile CO2 monitoring efficient housing with favorable loan intere
Slide 45: NOK 179 million for our local communities in 2022
COMMUNITY DIVIDENDS NOK 179 million for our local communities in 2022 • The savings bank model ensures that the value created benefits local communities • The green transition is increasing the need for attractive, sustainable and adaptable regions • The proposed dividend for 2022 will give NOK 525
Slide 46: One of the Nordic region's best banks
ESG100 One of the Nordic region’s best banks • Best practice reporting on sustainability • Clear strategy and measurable ambitions • Good corporate sustainability structure A 46 SR-Bank SR-Boligkreditt
Slide 47: ESG ratings
ESG ratings CDP B Sustainalytics 14.5 (low risk) ISS C (1st decile) MSCI AA Last update Jan 23, 2023 47 SR-Bank 4 7 SR-Boligkreditt
Slide 48: Initiatives and frameworks SR-Bank is affiliated with
Initiatives and frameworks that SpareBank 1 SR-Bank is affiliated with Responsible Ship Recycling Standards (RSRS) Norwegian State Pension Fund All SpareBank 1 SR-Bank’s sustainability related initiatives, frameworks, guidelines etc. can be found in our Sustainability Library 48 SR-Bank SR-Boligkred
Slide 49: Leading by example: our new Headquarters
Leading by example: our new Headquarters • Finansparken in Bjergsted is the new head office for SR-Bank in Stavanger with employees being moved in during January 2020. It is currently one of Europe's largest commercial buildings made of wood. • Finansparken achieved accordance with BREEAM NOR receiv
Slide 50: Green Bond Framework Highlights
Green Bond Framework Highlights Projects Manage- Use of Evaluation External ment of Reporting Proceeds and Review Proceeds Selection The Green Bonds proceeds Green Bond committee established. SR-Bank intends to make and keep Sustainalytics has issued a Green buildings, renewable Evaluation and selec
Slide 51: Use of Proceeds overview
Use of Proceeds overview SR-Boligkreditt SR-Bank Green Covered Bonds Green Senior Bonds Green buildings Green buildings Renewable Energy Clean Transportation • Loans aiming at financing the • Loans aiming at financing or • Loans to finance or refinance • Loans to finance or refinance equipment, deve
Slide 52: Management of Proceeds
Management of Proceeds • The Green Bond Proceeds will be managed in a portfolio approach • SR-Bank intends to allocate the proceeds from the Green Bonds to a portfolio of loans that meet the use of proceeds eligibility criteria • SR-Bank will strive, over time, to achieve a level of allocation for t
Slide 53: Sustainalytics' second party opinion
Sustainalytics’ second party opinion Sustainalytics has issued a Second Party Opinion on SR-Bank Green Bond Framework Use of Proceeds: The eligible categories – residential green buildings, commercial green buildings, renewable energy, and clean transportation – are aligned with those recognized by
Slide 54: EU Taxonomy: TSC, DNSH & MS – high level assessment
EU Taxonomy: TSC, DNSH & MS – high level assessment ➢ High-level (non-accredited) EU Taxonomy alignment assessment: 96.3% aligned (NOK 38.3bn aligned out of NOK 39.8bn total portfolio1) 54 SR-Bank SR-Boligkreditt
Slide 55: Allocation Report
Allocation Report Eligible Green Loan Portfolio (Q1-2022) Green Funding* Amount Instument Instrument Issuance Due Amount (NOK m) (Type / Crncy) (ISIN) Date Date (NOK m) Green Residential Buidlings 34,249 € Covered XS2063288190 Okt.19 Okt.26 5,256 Jul.27 SR Bank 12,287 € Senior Non-Preferred XS236398
Slide 56: Impact Report – Q1 2022
Impact Report – Q1 2022 56 SR-Bank SR-Boligkreditt
Slide 57: Green Buildings - Allocation & Impact
Green Buildings - Allocation & Impact Eligible Portfolio - Residential Buildings Eligible Portfolio – Commercial Buildings Green Residential Buildings Portfolio [m2] Green Commercial Buildings portfolio [m2] 21% 18% 45% 29,700 tons CO2 / year saved 35% (vs. Norwegian average) 2% 79% Office buildings
Slide 58: Clean Transportation - Allocation & Impact
Clean Transportation - Allocation & Impact Eligible Portfolio – Clean Transport Total Portfolio of EV vehicles emissions Category Number of vehicles Portfolio Value (NOK m) Sum km / year avoided Passenger vehicles 718 6.31 mill. 6.31 mill. (vs. average vehicle with tailpipe emissions) Impact assessm
Slide 59: Renewable Energy - Allocation & Impact
Renewable Energy - Allocation & Impact Eligible Portfolio – Renewable Energy Portfolio of Hydro Assets Estimated Expected Category Capacity [MW] production production [GWh / yr] [GWh / yr] Run-of-river (HPP) 0.1 – 25 636 509 Medium (HPP) 90 305 305 Total 941 814 Impact assessment Reduced CO2- Produc
Slide 60: Appendix
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 61: Key figures – quarterly development
Key figures – quarterly development Return on equity CET 1 capital ratio Cost to income ratio Earnings per share (NOK) 14.6% 42.6% 14.0% 17.90% 17.82% 41.9% 42.0% 17.60% 3.81 12.5% 17.39% 17.42% 12.0% 3.41 11.4% 3.16 3.03 39.2% 2.87 37.3% Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q
Slide 62: Group
Group Lending volume Volume in NOK billion Deposit volume Volume in NOK billion Margins in customer- Lending margin 12 months growth % 12 months growth % Deposit margin segments Combined 22.5 % 21.4 % 9.8 % 9.4 % 16.8 % 14.6 % 16.5 % 7.6 % 10.8 % 1.98% 1.98% 2.03% 5.6 % 1.89% 8.8 % 5.1 % 6.9 % 7.6 %
Slide 63: Retail market
Retail market Lending volume* Volume in NOK billion 12 months growth % Deposit volume Volume in NOK billion Margins Lending margin Deposit margin 12 months growth % Combined 10.5 % 1.79% 9.6 % 8.9 % 9.0 % 1.52% 1.58% 1.44% 1.44% 8.2 % 7.3 % 7.5 % 7.4 % 1.42% 6.6 % 6.9 % 7.4 % 1.14% 5.9 % 5.8 % 6.1 %
Slide 64: Corporate market
Corporate market Volume in NOK billion Volume in NOK billion Lending volume 12 months growth % Deposit volume 12 months growth % Margins Lending margin Deposit margin Combined 14.8 % 46.6 % 14.3 %* 43.2 % 10.7 % 28.2 % 2.94% 21.1 % 26.7 % 2.72% 2.77% 2.66% 2.70% 2.62% 2.60% 2.37% 2.47% 6.4 % 9.2 % 5
Slide 65: SME and Agriculture
SME and Agriculture Lending volume Volume in NOK billion Deposit volume Volume in NOK billion Margins Lending margin 12 months growth % 12 months growth % Deposit margin Combined 26.1 % 15.8 % 11.4 % 2.92% 2.99% 20.4 % 19.5 % 20.0 % 2.84% 2.83% 8.5 % 2.66% 2.67% 2.60% 15.4 % 5.0 % 2.27% 2.19% 2.25%
Slide 66: Lending to oil and offshore
Lending to oil and offshore 3.5% (NOK 9.7 billion) of total EAD* is related to oil operations • Oil services ‐ EAD NOK 2.8 billion, 1.0% of the bank's total EAD Oil and gas; MNOK 1,156 ‐ Funding of operating capital through current and fixed assets, as well as guarantees Oil services; MNOK 2,816 • E
Slide 67: Lending to shipping
Lending to shipping 2.5% (NOK 7.1 billion) of total EAD* is related to shipping • Product tank ‐ EAD NOK 1.0 billion, 0.4% of the bank's total EAD Product tank; MNOK 1,024 • Chemical tank Other shipping; MNOK 1,830 ‐ EAD NOK 1.7 billion, 0.6% of the bank's total EAD • Dry-bulk ‐ EAD NOK 1.9 billion,
Slide 68: Profile of the loan portfolio
Profile of the loan portfolio • SpareBank 1 SR-Bank has a solid loan portfolio. The portfolio Loan portfolio distributed Loan portfolio distributed quality has improved over the by risk class by size of loan last year. 65.4% 63.6% • The loan portfolio consists mainly of small and medium- sized loans
Slide 69: Risk profile – Lending in Retail, SME & Agriculture and Corporate
Risk profile – Lending in Retail, SME & Agriculture and Corporate Customers - Portfolio distributed by risk class Retail SME & Agriculture Corporate 1.8% 1.5% 1.8% 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% 83.6% 84.4% 83.0% 42.7% 4
Slide 70: Net commission and other income
Net commission and other income MNOK 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Payment facilities 324 245 93 88 73 70 70 Savings/placements 126 219 27 28 40 31 53 Insurance products 271 231 72 68 68 63 61 Commission income EiendomsMegler 1 383 439 83 92 120 88 96 74 Guarantee com
Slide 71: Change in net commission and other income 31.12.2021 - 31.12.2022
Change in net commission and other income 31.12.2021 - 31.12.2022 (mill kr) 148 74 54 1,770 -93 1,717 -56 Net commission and Provision and Savings/ Commission income Commission income Net commission and other income 31.12.2021 other income placements EiendomsMegler 1 ForretningsPartner other income
Slide 72: Net income on financial investments
Net income on financial investments MNOK 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Dividends 70 30 26 9 16 19 21 Investment income, associates 453 676 211 85 82 74 223 Securities gains/losses -14 192 129 -61 -91 10 56 • of which capital change in shares and 156 296 125 5 -21 47 9
Slide 73: Subsidiaries
Subsidiaries Company MNOK 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 SR-Boligkreditt AS Operating profit before tax 900 839 -326 562 210 453 274 SpareBank 1 SR-Bank Operating profit before tax 17 35 2 1 11 3 4 Forretningspartner AS* Number of sales 6,233 7,367 1,271 1,485 1,972 1,
Slide 74: Ownership interests
Ownership interests Company MNOK 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 SpareBank 1 Gruppen AS Interest ownership (%) 19.5 19.5 19.5 19.5 19.5 19.5 19.5 Profitshare after tax 175 471 128 17 17 13 173 BN Bank ASA Interest ownership (%) 35.0 35.0 35.0 35.0 35.0 35.0 35.0 Profits
Slide 75: Impairments on loans and financial commitments
Impairments on loans and financial commitments Impairments on loans and financial commitments in the income statement (MNOK) 31.12.2022 31.12.2021 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Q4 2021 Corporate market -50 228 10 -13 -74 27 26 SME and Agriculture 59 3 35 27 8 -11 -21 Retail market -4 -39 -9 -8 14
Slide 76: Balance sheet
Balance sheet Balance sheet (MNOK) 31.12.2022 31.12.2021 Cash and balances with central banks 76 78 Balances with credit institutions 11,939 5,366 Loans to customers 251,272 228,578 Certificates and bonds 53,989 56,266 Financial derivatives 18,612 5,053 Shares, ownership stakes and other securities
Slide 77: Broad product range in the SpareBank 1 alliance
Broad product range in the SpareBank 1 alliance Ownership interests Profitshare after tax from ownership interests MARKETS 676 667 FORSIKRING KREDITT 453 FACTORING FORVALTNING 2020 2021 2022 77 SR-Bank SR-Boligkreditt
Slide 78: SpareBank 1 SR-Bank ASA
SpareBank 1 SR-Bank ASA Business divisions Fully owned companies Partly owned companies Retail market 479 EiendomsMegler 1 SR-Boligkreditt BN Bank SpareBank 1 Leading real estate Covered Bond Funding Commercial Gruppen broker bank located in Holding company 35.0% 19.5% Corporate market Oslo and for
Slide 79: SpareBank 1 Alliance
SpareBank 1 Alliance SpareBank 1 SpareBank 1 SpareBank 1 Samarbeidende SpareBank 1 LO SR-Bank SMN Nord Norge Sparebanker AS Østlandet 19.5% 19.5% 19.5% 19.5% 12.4% 9.6% Products, commissions, dividends Sales, loan portfolios, capital Companies where SR-Bank has direct ownership SpareBank 1 Gruppen A
Slide 80: SRBNK share
SRBNK share • International ownership Development in Price/Book Relative share price development is 22.8% per 140 1,5 4. quarter 2022 200 Index 100 = dec 31st 2021 130 1,4 180 120 1,3 • Total market value at 110 1,2 160 140 4. quarter 2022 is NOK 100 1,1 NOK p/B 90 1,0 120 30.9 billion 80 0,9 100 70
Slide 81: 20 largest shareholders as at 31 December 2022
20 largest shareholders as at 31 December 2022 Investor Number Stake • Ownership interests: Sparebankstiftelsen SR-Bank 72.976,815 29.3% • From Rogaland, Agder, Vestland, Folketrygdfondet 17,532,719 6.9% Oslo and Viken: 63.7% (65.7%) SpareBank 1-stiftinga Kvinnherad 6,226,583 2.4% • International: 2
Slide 82: SR-Bank as at 31 December 2022
SR-Bank as at 31 December 2022 • Number of shares SpareBank 1 SR-Bank share 2022 2021 2020 2019 2018 2017 issued 255.75 million • Trading volume in Q4 Share price 120.7 133.20 91.00 100.00 89.20 87.00 2022: 5.5% (5.0%) • On 1 June 2017, the SR- Stock value (MNOK) 30,869 34,066 23,273 25,575 22,813 2
SpareBank 1 SR-Bank — Debt Investor Presentation (January 2023) on 6ix