Pareto Bank Asa · OSL:PARB
Pareto Bank Asa — Q4 2025 Earnings Presentation
42 slides from Pareto Bank Asa's earnings presentation, Jan 29, 2026
Slide 1: Pareto Bank Financial Results – Fourth Quarter 2025
PARETO BANK Financial Results – Fourth Quarter 2025
Slide 2: Highlights
Highlights Financials Business Area Update & Outlook 2
Slide 3: Negative growth and impairments weigh on 2025
NEGATIVE GROWTH AND IMPAIRMENTS WEIGH ON 2025 Profit after tax (NOKm) * 687.3 675.6 • Profit after tax of NOK 676m (NOK 687m), down 2% y/y, 605.5 555.5 driven by negative lending growth of 9% y/y and high 504.5 397.6 428.4 impairments. 330.8 • Return on equity after tax (ROE) 12.4 % (13.6 %), impact
Slide 4: Annual profits
ANNUAL PROFITS Profit after tax (NOKm) * 687.3 675.6 605.5 555.5 504.5 428.4 397.6 330.8 312.6 247.3 154.2 166.4 109.7 67.7 47.6 8.6 12.4 22.5 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 4 *) Profit after tax before AT1 interest costs.
Slide 5: Dividend for 2025
DIVIDEND FOR 2025 Proposed dividend of NOK 8.0 per share 8.50 98.4 % 100.0 % 8.00 7.50 80.0 % 7.00 6.50 6.00 60.0 % 5.50 50.1 % 50.1 % 52.9 % 50.0 % 49.4 % 5.00 40.0 % 4.50 4.00 8.00 3.50 20.0 % 3.00 2.50 0.0 % 2.00 3.86 3.90 4.15 3.50 1.50 3.00 -20.0 % 1.00 0.50 0.00 -40.0 % 2020 2021 2022 2023 202
Slide 6: Book value and dividend per share
BOOK VALUE AND DIVIDEND PER SHARE Cumulative since 2008 (NOK) 94.5 90.5 78.1 74.9 26.9 26.9 66.8 22.7 59.2 18.8 14.9 52.2 11.4 45.8 8.4 41.2 6.4 35.3 5.7 31.1 27.9 4.1 63.6 67.6 24.2 3.1 56.1 59.3 21.0 3.1 51.9 17.5 17.8 18.3 19.4 2.5 43.8 47.8 1.9 39.4 35.4 28.0 31.1 21.6 24.7 17.5 17.6 17.6 18.1 1
Slide 7: Fourth quarter 2025 highlights
FOURTH QUARTER 2025 Highlights • Profit after tax NOK 119.7m (NOK 159.8m in Q4-24). • Return on equity after tax 8.3% (12.1%). • Net interest income down to NOK 293.0m (NOK 311.4m). • Lending at the end of the quarter stood at NOK 18,774m (NOK 20,713m). Average lending was up 0.4% q/q. • Total impai
Slide 8: Financials
Highlights Financials Business Area Update & Outlook 8
Slide 9: Key figures
KEY FIGURES Profit after tax (NOKm) Return on Equity * CET1 ratio 200.7 21.3% 178.5 176.8 19.9% 20.2% 159.8 15.1% 13.5% 13.0% 119.7 12.1% 17.2% 17.1% 8.3% Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Net interest income (NOKm) Cost/Income ratio Loss ratio
Slide 10: Income statement
INCOME STATEMENT P&L (NOKm) Q4-25 Q4-24 2025 2024 • Interest income in the quarter down with average Net interest income 293.0 311.4 1,214.5 1,227.3 lending volumes down 4% y/y. Net other operating income 21.4 8.9 80.9 25.9 Total net income 314.3 320.4 1,295.4 1,253.2 • Net interest margin weakened
Slide 11: Change in quarterly net interest income
CHANGE IN QUARTERLY NET INTEREST INCOME (NOKm) 10.5 9.7 3.6 4.8 293.0 - 12.7 - 287.2 1.4 - 11.5 Q3-25 Lending volume Fee income Deposit volume Market funding Surplus liquidity Lending rate Deposit rate Interest days Q4-25 11
Slide 12: Change in annual net interest income
CHANGE IN ANNUAL NET INTEREST INCOME (NOKm) 50.6 29.4 50.5 26.1 1,227.3 1,214.5 - 57.1 - 94.8 - 17.5 - 2024 Lending volume Fee income Deposit volume Market funding Surplus liquidity Lending rate Depost rate 2025 12
Slide 13: Interest margins
INTEREST MARGINS Lending and deposit margin 5.7% 5.8% 5.7% 5.6% 5.6 % 4.7% 4.6% 4.6% 4.5% 4.2% 0.4% 0.2% 0.2% -0.1% 0.0% Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Lending margin Deposit margin Net interest margin 13 Note: Lending and deposit margins relative to average 3M NIBOR. Net interest margin is total net
Slide 14: Quarterly change in stage 2, 3 and impairments
QUARTERLY CHANGE IN STAGE 2, 3 AND IMPAIRMENTS Stage 2 and 3 and provisions for stage 3 lending (NOKm) Impairments and losses on loans and guarantees (NOKm) 105.5 722 626 55.3 739 643 761 37.1 1,322 1,138 17.1 940 1,033 975 15.1 343 224 255 272 195 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Stage 3 Stage 2 Stage
Slide 15: Solidity and capital requirements
SOLIDITY AND CAPITAL REQUIREMENTS Per cent 2200.00% • Long-term CET1 target of 21.3 0.2 16.0%, in line with the 2100.00% NFSA expectation. - 0.5 20.2 0.5 • Pareto Bank holds a buffer 2000.00% above this target. -1.3 1900.00% • Even in Q4 retained profits 18.2 add 24 bps to CET1. 1800.00% • Exposure
Slide 16: ROE and leverage ratio
ROE AND LEVERAGE RATIO Profitability with increasing solidity 16.0 % 15.9 % 16.0 % 15.6 % 14.8 % 15.0 % 25.0 % 14.3 % 14.6 % 14.0 % 14.0 % 13.8 % 13.6 % 12.7 % 13.0 % 12.4 % 12.0 % 20.0 % 18.2 % 18.2 % 17.1 % 17.1 % 16.5 % 10.0 % 15.7 % 16.3 % 16.0 % 14.3 % 14.6 % 15.0 % 8.6 % 13.7 % 8.0 % 12.4 % 11
Slide 17: Business Area Update & Outlook
Highlights Financials Business Area Update & Outlook 17
Slide 18: A niche player financing medium-sized enterprises
A NICHE PLAYER FINANCING MEDIUM-SIZED ENTERPRISES Exposure (NOKm) SHIP FINANCING NOK 1,379m 6% RESIDENTIAL FINANCING NOK 4,727m 20% 34% COMMERCIAL PROPERTY RESIDENTIAL DEVELOPMENT FINANCING FINANCING NOK 3,366m NOK 8,131m 14% 27% CORPORATE FINANCING NOK 6,587m 18
Slide 19: Quarterly exposure per business area
QUARTERLY EXPOSURE PER BUSINESS AREA (NOKbn) 10.9 11.0 9.9 8.1 7.7 7.3 7.1 6.6 6.6 6.6 4.7 4.7 3.7 3.3 3.4 3.0 3.0 2.8 2.9 2.7 2.0 1.8 1.4 1.3 1.4 Residential development financing Residential financing Commercial property financing Corporate financing Ship financing Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 19
Slide 20: Residential property financing
RESIDENTIAL PROPERTY FINANCING Residential property exposure (NOKm) Total NOK 12,858m LOW LENDING GROWTH EXPECTED IN Q1-26. 489 Land w/ houses • Difficult to predict volume development. • The new-build market is expected to remain soft. 1,349 Land wo/ houses • Market signals are mixed. The Oslo mark
Slide 21: Commercial property financing
COMMERCIAL PROPERTY FINANCING Commercial property exposure (NOKm) Total NOK 3,366m FLAT TO DECREASING VOLUME IN Q1-26. • Continued low activity in the transaction market as long-term rate outlook remain high. • Low risk appetite and financing demand. 3 366 Commercial Q4-25 Q3-25 21
Slide 22: Corporate financing
CORPORATE FINANCING Corporate exposure (NOKm) Total NOK 6,587m (Q3-25: NOK 6,591m) 8% FLAT VOLUME EXPECTED FOR Q1-26. 3% Real Estate 3% 4% Investment Company 5% IT/Telecommunications • Loan redemptions higher than expected in Q4-25 8% 45% Retail primarily due acquisitions of some customers. Health S
Slide 23: Ship financing
SHIP FINANCING Exposure (NOKm) Total NOK 1,379m (Q3-25: NOK 1,262m) FLAT VOLUME EXPECTED FOR Q1-26. Ind. Shipping 325 LTV 56%* Offshore Accommodation 252 LTV 5%* • Deal flow and activity have picked up in recent months, but competition between banks persists. Offshore Supply 204 LTV 35% • Utilizatio
Slide 24: Long-term ambitions
LONG-TERM AMBITIONS ROE Dividend 15% min. 50% 14.63% 13.99% 98.4% 13.75% 13.56% 12.41% 52.9% 49.4% 50.1% 50.0% 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 24
Slide 25: Total return
TOTAL RETURN Price Annual Equity Total Return Change Return Pareto 353 % 640 % 18 % Bank OSEBX 217 % 217 % 10 % Index 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 OSEBX PARB 25 Bloomberg as of 05.01.2026.
Slide 26: Appendix
APPENDIX (Pareto bank
Slide 27: Lending growth
LENDING GROWTH Per business area (NOKm) 25,000 20,000 Ship Financing Corporate Financing * 15,000 Commercial Residential Financing ** 10,000 Commercial Property Financing 5,000 Residential Property Financing - 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Slide 28: Largest shareholders
LARGEST SHAREHOLDERS 31 Desember 2025 Name Shares % Total • The Company has 76,782,423 shares outstanding. One class 1 Pareto AS 15.356.484 20,00 % of shares where each share carries one voting right. 2 Société Générale 6.156.149 8,02 % • Diversified investor base with 4,333 shareholders. 3 AWC AS 5
Slide 29: The share
THE SHARE Earnings per share (NOK) Book value per share (NOK) 2.44 2.16 2.13 67.60 1.91 66.21 65.79 1.39 64.07 63.64 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 29
Slide 30: Quarterly income statement
QUARTERLY INCOME STATEMENT P&L (NOKm) Q4-25 Q3-25 Q2-25 Q1-25 Q4-24 Net interest income 293.0 287.2 319.0 315.4 311.4 Net other operating income 21.4 18.4 24.3 16.9 8.9 Total net income 314.3 305.6 343.2 332.3 320.4 Total operating expenses 54.0 59.2 62.9 61.5 55.7 Operating profit before 260.3 246.
Slide 31: Quarterly balance sheet
QUARTERLY BALANCE SHEET (NOKm) Q4-25 Q3-25 Q2-25 Q1-25 Q4-24 Loans to credit institutions 1,589 1,841 3,214 2,144 2,640 Loans to customers 18,774 18,983 19,249 20,864 20,713 Bonds and other securities 4,668 5,692 4,897 5,158 3,659 Shareholdings in associated companies 33 34 34 34 34 Other assets 273
Slide 32: Margins and interest contribution
MARGINS AND INTEREST CONTRIBUTION Margins per business area Interest contribution per business area Estimated annualized margins including commissions, excluding front and back-end fees over 3M NOKm, estimated interest contribution including commissions, excluding front and back-end fees over 3M Nib
Slide 33: Real estate financing exposure
REAL ESTATE FINANCING EXPOSURE Geographical residential property exposure Total NOK 12,858m* Geographical commercial property exposure Total NOK 3,366m* 11% 15% 4% 5% 6% 36% Oslo Sweden Akershus Oslo 9% 46% 6% Vestfold Akershus Sweden Buskerud Buskerud Vestfold 6% Others Others 26% 31% 33 *) Residen
Slide 34: Sweden
SWEDEN Exposure in Sweden (NOKm) Total NOK 4,135m 4,135 STRONG DEAL FLOW AND EXPOSURE GROWTH • High focus on expanding our network and customer base throughout 2025. 2,778 • Especially strong deal flow in the second half of 2025, resulting in solid exposure growth in Q4-25. • Further exposure growth
Slide 35: Liquidity buffer
LIQUIDITY BUFFER Low credit and market risk (NOKm) Comments • Cash on hand. • Highly liquid bonds. 1,552 • Low credit risk. • No interest rate or foreign exchange risk. Cash (Norges Bank & DNB) • Access to central bank Bonds issued by government & PSEs facilities and repo market. 3,297 Covered bonds
Slide 36: Funding
FUNDING Sources (NOKm) Deposits & senior debt NOKm, Deposits 11,674 Percent customer deposits of net lending to customers Senior debt 6,743 71.2% 68.7% 69.7% AT1 & T2 debt 1,250 64.0% 62.2% 7,336 Other debt 478 7,348 7,347 6,737 Equity capital 5,191 6,743 Key funding and liquidity ratios 14,324 13,7
Slide 37: Customer deposits
CUSTOMER DEPOSITS Deposits by size (NOKm) Deposits by product (NOKm) > NOK 20m 2,441 130 NOK 10 - 20m 833 248 167 NOK 5 - 10m 761 305 Floating rate retail 187 NOK 2 - 5m 1,164 2,091 2,912 NOK 0 - 2m 1,142 2,402 Floating rate corporate 1,680 - 1,000 2,000 3,000 4,000 Floating rate Fixed rate 4,101 Sa
Slide 38: Market funding
MARKET FUNDING Market funding maturities (NOKm) * Cost of new market funding ** 250 124 111 575 94 120 300 82 72 62 2,000 0 46 1,400 1,400 42 1,250 34 32 32 750 24 2026 2027 2028 2029 2030 3M 6M 12M 2Y 3Y 5Y Senior Call on Subordinated Capital 30.09.2025 31.12.2025 *) Net of own holdings as of 31.12
Slide 39: Commitments by size
COMMITMENTS BY SIZE Commitment size per customer (NOKm) Distribution of commitments by size (NOKm) 500 2% < 10 458 18% 4,888 10 - 50 27% 4,393 5,092 50 - 100 < 10 4,368 10 - 50 2,712 50 - 100 100 - 150 2,780 100 - 150 150 - 200 3,772 150 - 200 18% 200 - 250 3,908 8% > 250 2,434 200 - 250 2,046 6,215
Slide 40: Commitments by risk classification
COMMITMENTS BY RISK CLASSIFICATION Risk classification (NOKm) * Risk classification 6% 4,902 Low risk 8% 20% 4,864 15,732 Moderate risk 16,213 Low risk Moderate risk High risk 1,914 High risk Impaired 2,063 975 Impaired 1,379 66% Q3-25 Q4-25 40 *) Risk classification of credit exposure according to
Slide 41: Proven track record for credit quality
PROVEN TRACK RECORD FOR CREDIT QUALITY • No losses from 2008 to 2012. 2008 0.00% 2009 0.00% • Total confirmed losses limited to NOK 233m during 18 years of 2010 0.00% operation. 2011 0.00% • Accumulated lending amounted to approx. NOK 193 billion during 2012 0.00% Commercial the past 18 years. Total
Slide 42: Pareto Bank
( Pareto bank