Morrow Bank Ab · OMXSTO:MORROW
Morrow Bank Ab — Q2 2025 Earnings Presentation
27 slides from Morrow Bank Ab's earnings presentation, Aug 14, 2025
Slide 1: Q2 2025 results
morrowbank.com Q2 2025 results Morrow Bank ASA
Slide 2: Disclaimer
Disclaimer morrowbank.com This presentation has been prepared solely for information purposes by Morrow Bank ASA (the “Company”, the “Bank” or “Morrow Bank”). This presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated ("relevant p
Slide 3: Providing financial flexibility to Nordic consumers
Providing financial flexibility to Nordic consumers morrowbank.com Offering convenient consumer financing… …to creditworthy individuals… …across the Nordics Flexible consumer loans NOK ~600k customer average annual income NOK ~160k average loan amount BNOK No-fees credit cards ~600 ~60% market homeo
Slide 4: Scalable and efficient consumer banking platform
Scalable and efficient consumer banking platform morrowbank.com Well-diversified Nordic loan book ▪ Q2 profits before tax of NOK 91 million, up 35% vs Q2 24 ▪ Solid loan growth – launched new refinancing product in Norway 17% 36% ▪ Higher net interest margin, lower cost/income ratio, stable loan los
Slide 5: Morrow to become a Swedish bank early 2026
Morrow to become a Swedish bank early 2026 morrowbank.com - Granted banking license 1 April and initiated transfer to Nasdaq Stockholm Q1-Q3 2024 Q4 2024 2025 From 2026 Establishment of Swedish Assessment of potential Start of Swedish banking legal entity (AB) Q2: SFSA decision redomiciliation optio
Slide 6: Profits up and returns improving
Profits up and returns improving morrowbank.com Loan balance Cost/income ratio Loan loss ratio Return on target equity BNOK % % % oan loss ratio ( ) ~17% . . . . . . . . . . . 4-4.5% Mid-term ROTE target of ~17% by year-end 2026, reflecting Swedish capital requirements 6
Slide 7: Outperforming peers on growth and efficiency
Outperforming peers on growth and efficiency morrowbank.com Growth last three years1 Cost/income ratio2 Return on equity (ROE) Annualised per 25Q2 25Q2 25Q2 31% 26% 22% 21% * 30% 15% 20% 36% * 11% 20% * 38% 10% * 7% 46% * 8% 4% 50% 6% * Morrow Bank Targeting long-term ROTE of >20%, in line with best
Slide 8: Financial review
Financial review
Slide 9: Building scale by growing in the most profitable markets
Building scale by growing in the most profitable markets morrowbank.com Total gross loans (MNOK) ~ , , , , , ▪ 4% organic loan growth in Q2 – Capital allocated to most attractive market, Finland , key driver (up NOK 633 million) ▪ Gross loans at NOK 16 billion, up 28% year-on-year incl. acquisitions
Slide 10: Total income continues to grow
Total income continues to grow morrowbank.com Total income (MNOK) ▪ Total income growth of 15% compared to Q2 last year ▪ Driven by organic growth and acquisition of performing Swedish loan portfolios ▪ Higher net interest margin as lower deposit rates towards the end of Q1 had full effect in Q2 ▪ N
Slide 11: Improving net interest margins
Improving net interest margins morrowbank.com Yields, performing loans and deposits eposits oans and redit ards . . . . . ▪ Net loan - deposit margin increasing to 10.9% in Q2 10.9% (10.5% in Q1) 10.5% ▪ Margin expansion driven by yield on deposits going from 3.7% in Q2 2024 to 2.6% in Q2 2025 . . ▪
Slide 12: Loan loss ratio stable at target levels
Loan loss ratio stable at target levels morrowbank.com Loan losses oan losses (M ) oan loss ratio ▪ Loan loss ratio stabilising after declining for five quarters in a row to 4.3% (5.1% in Q2 2024) ▪ Decrease year-on-year driven by stricter policies and maturing loan book 4.0-4.5% ▪ Current level exp
Slide 13: Flat underlying cost base
Flat underlying cost base morrowbank.com Cost/income (M ) ne off Cost in ome ratio ( ) ▪ Stable underlying OPEX despite continued loan growth, including portfolio acquisitions ▪ Cost/income ratio at 25.8% ▪ MNOK 6 in redomiciliation related one-offs . . . . . ~23% . ▪ Further costs related to redomi
Slide 14: Profitability increasing
Profitability increasing morrowbank.com Profit (MNOK) rofit after ta rofit before ta eturn on Target uity ( T ) 91 ▪ Profit before tax increased by 35% to NOK 91.1 million in Q2 ~17% ▪ Return on target equity (ROTE) at 12.2% – improved for seven consecutive quarters . ▪ End-2026 ROTE target increase
Slide 15: Strong balance sheet – room for growth and dividends
Strong balance sheet – room for growth and dividends morrowbank.com Capital adequacy - CET1 C T headroom C T re uirement ▪ Capital requirement relief effective in Q2– operational risk exposure reduced from MNOK 1,566 to MNOK 570 . ▪ Headroom to CET1 requirement/target of MNOK 710/470 as of 30 June 2
Slide 16: Summary and outlook
Summary and outlook @ex*
Slide 17: Redomiciliation and scalability enabling ROTE >20%
Redomiciliation and scalability enabling ROTE >20% morrowbank.com Illustrative ~ ▪ Redomiciliation – Lower capital requirements in Sweden compared to Norway ~ – 12.2% ROTE in Q2 2025 would have been 15.5% as a Swedish bank ~ ▪ Scalability – 31% average loan growth last three years, costs reduced by
Slide 18: Attractive value-creation potential
Attractive value-creation potential morrowbank.com Today Towards end-2026 Longer-term A scalable banking platform Excess capital growing Driving returns ▪ Proved scalability and industry ▪ Level playing field with Swedish ▪ Allocate capital to where it creates leading cost-efficiency peers to increa
Slide 19: morrowbank.com
morrowbank.com
Slide 20: Q&A
Q&A
Slide 21: Appendix
MORROW morrowbank.com APPENDIX
Slide 22: Profit and loss
Profit and loss morrowbank.com Amounts in MNOK Q2 2025 Q1 2025 2024 2023 Net interest margin* (%) Interest income 449.7 450.1 1,762.7 1,380.0 Interest expenses -119.0 -134.4 -552.2 -359.8 Net interest income 330.7 315.8 1,210.5 1,020.2 8.5 % 8.5 % 8.7 % 8.5 % 8.0 % Commission income and fees 17.4 25
Slide 23: Balance sheet
Balance sheet morrowbank.com 30 Jun. 31 Mar. 31 Dec. 31 Dec. Amounts in MNOK 2025 2025 2023 2022 Liquidity and funding Assets Loans and deposits with credit 687% 686% 1,369.6 1,791.4 1,530.0 807.8 660% institutions Net loans to customers 14,275.9 13,768.4 11,076.0 9,110.7 528% Certificates and bonds
Slide 24: Shareholder overview
Shareholder overview morrowbank.com Largest 20 shareholders Management and members of the Board of Directors Shares Shares Share options* Warrants # Shareholder % Role Name (thousand) (thousand) (thousand) (thousand) 1 Kistefos AS 47,787 20.7% CFO Eirik Holtedahl 2,642 287 800 2 UBS AG 13,165 5.7%
Slide 25: Strong balance sheet – room for growth and dividends
Strong balance sheet – room for growth and dividends morrowbank.com Capital adequacy - CET1 C T headroom C T re uirement ▪ Capital requirement relief effective in Q2– operational risk exposure reduced from MNOK 1,566 to MNOK 570 . ▪ Headroom to CET1 requirement/target of MNOK 710/470 as of 30 June 2
Slide 26: Headroom to capital requirements
Headroom to capital requirements morrowbank.com 24Q2 capital adequacy 25Q2 capital adequacy C T headroom C T re uirement Tier (T ) C T headroom C T re uirement Tier (T ) Additional Tier (AT ) Common uity Tier (C T ) Additional Tier (AT ) Common uity Tier (C T ) 22.3% . . . . . . . . . . Capital rati
Slide 27: Macro outlook: Attractive risk/reward in the Nordics
Macro outlook: Attractive risk/reward in the Nordics morrowbank.com GDP growth (%) Unemployment (%) Inflation (%) 3 10 NO SE FI 10 9 9 8 8 7 7 2 6 6 5 5 4 4 1 3 3 2 2 1 1 0 0 0 2024 2025 2026 2024 2025 2026 2024 2025 2026 ▪ GDP growth to support demand for ▪ Unemployment outlook remains stable, ▪ In