Sparebank 1 Sor-norge Asa · OSL:SB1NO
Sparebank 1 Sor-norge Asa — SpareBank 1 SR-Bank — Debt Investor Presentation (2022)
78 slides from Sparebank 1 Sor-norge Asa's debt investor presentation, 2022
Slide 1: Quarterly presentation 2022 Q2
Quarterly presentation 2022 Q2 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 Banks Market share • Second largest Norwegian bank 1 DNB Bank ASA 37.1% • Market cap: NOK 34.3 Billion 2 SpareBank 1 SR-Bank ASA 4.0% • Total assets: NOK 318.3 Billion • Total lending: NOK 233.6 Billion 3 SpareBank 1 SMN 3.4% • Total deposits: NOK 142.0 Billion 4 SpareBank 1 Østl
Slide 5: Finance group for South of Norway
Finance group for South of Norway Åsane Lending volume in NOK billion. Askøy Bergen Sotra Fana +1% 137 Nydalen 135 Oslo 134 Skøyen Ensjø Husnes Stord +17% 40 Ølen 36 34 +68% 33 Tysvær Haugesund Kopervik Åkrehamn +14% 25 23 21 Jørpeland 20 20 Randaberg Stavanger* Sola Sandnes 0% Gjesdal Bryne 10 10 1
Slide 6: Moody's affirms SpareBank 1 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 7: A good result characterised by growth, increased income and reversals
A good result characterised by growth, increased income and reversals of impairment provisions Result 2. quarter 2022 Result 30 June 2022 11.8% 7.6% 17.9% 12.0% Return on equity after tax Return on equity after tax Pre-tax profit MNOK 1,942 12 months lending growth Retail market Corporate market 6.1
Slide 8: Key figures and financial targets
Key figures and financial targets Return on equity CET 1 capital ratio Cost to income ratio Dividend share 17.88% 12.6% 17.39% > 12.0% 42.3% 11.8% 16.85% 50.0% 49.8% 40.2% < 40.0% 2021 30.06.2022 Target 2021 30.06.2022 Target 2021 30.06.2022 Target 2021 Estimate 8 SR-Bank SR-Boligkreditt
Slide 9: Key figures – annual development
Key figures – annual development Return on equity CET 1 capital ratio Cost to income ratio Earnings per share (NOK) 12,1 12,1 14.0% 42.3% 12.6% 18.3% 11.8% 17.9% 40.9% 9,0 11.3% 17.4% 40.2% 17.0% 5,9 5,9 38.3% 37.9% Return on equity 14.7% 6.4% Earn 2018 2019 2020 2021 30.06.22 2018 2019 2020 2021 30
Slide 10: Income statement
Income statement Group Income Statement (MNOK) 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Net interest income 2,115 2,002 1,101 1,014 1,005 989 1,001 Net commission and other income 896 856 466 430 455 406 454 Net income on investment securities 291 453 104 187 344 234 243 Total i
Slide 11: Change in profit 30.06.2021 - 30.06.2022
Change in profit 30.06.2021 - 30.06.2022 (NOK million) 40 113 215 1,942 1,839 -162 -103 30.06.2021 Net interest income Other income Net income on Total operating expenses Impairments on loans and 30.06.2022 investment securities financial commitments 11 SR-Bank SR-Boligkreditt
Slide 12: Lending and deposit margins
Lending and deposit margins Corporate market SME and Agriculture Retail market Lending margins Deposit margins 3,23% 0.95% 3,07% 0.85% 3,10% 2,99% 0.64% 2,92% 2,94% 0.54% 0.56% 2,93% 2,84% 2,83% 2,77% 0.19% 0.26% 0.21% 0.20% 0.11% 0.30% 2,70% 0.10% 2,62% 2,66% 2,72% 2,67% -0.24% -0.19% -0.07% 2,66%
Slide 13: Lending volume and 12 months growth
Lending volume and 12 months growth Volume in NOK billion 12 months growth % Retail market Corporate market SME and Agriculture 17.4% 8.2% 6.6% 8.5% 6.1% 7.4% 4.9% 4.6% 3.6% 10.7% 3.1% 151.5 1.6% 6.4% 4.5% 145.6 -1.3% 139.2 74.3 68.3 65.0 64.2 62.3 17.2 130.6 16.2 15.4 15.7 124.6 14.3 2018 2019 2020
Slide 14: Loan portfolio as at 30 June 2022
Loan portfolio as at 30 June 2022 • Gross loans increased to NOK 242.9 billion Agriculture / forestry / aquaculture 3.7% 3.9% from NOK 225.8 billion 1.9% Supply and construction year-over-year 2.1% Industry, Power-/water supply 2.3% 2.2% • 12-month growth in Retail trade, hotels and restaurants 1.4%
Slide 15: Deposit volume and 12 months growth
Deposit volume and 12 months growth Volume in NOK Billion 12 months growth % Retail market Corporate market SME and Agriculture 9.6% 26.7% 8.9% 9.0% 21.1% 5.5% 3.3% 69.1 0.6% 20.4% 6.0% 63.3 58.2 60.7 10.7% 3.0% 59.1 10.1% 10.1% 16.8 53.1 16.0 5.5% 50.0 14.5 46.7 12.0 10.9 38.3 38.5 2018 2019 2020 2
Slide 16: Net commission and other income
Net commission and other income MNOK 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Payment facilities 143 111 73 70 70 64 56 Savings/placements 71 114 40 31 52 50 61 Insurance products 131 112 68 63 61 60 56 Commission income EiendomsMegler 1 208 242 120 88 96 101 132 74 Guarantee co
Slide 17: Net income on investment securities
Net income on investment securities MNOK 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Dividends 35 9 16 19 21 0 9 Investment income, associates 156 302 82 74 223 151 193 Securities gains/losses -82 132 -91 9 56 4 26 - of which capital change in shares and certificates 26 173 -21 47
Slide 18: Operating expenses
Operating expenses MNOK 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Total personnel expenses 882 805 438 445 485 432 423 IT expenses 193 189 96 97 99 93 97 Marketing 46 37 25 21 26 18 19 Administrative expenses 45 28 27 18 21 17 15 Operating expenses from real estate 23 17 12 11 10
Slide 19: Changes in operating expenses 30.06.2021 - 30.06.2022
Changes in operating expenses 30.06.2021 - 30.06.2022 (NOK million) 1.5% 1,396 19 4.3% 5.0% -20 56 -1.5% -17 65 -1.3% 1,293 Operating expenses ForretningsPartner SR-Forvaltning* EiendomsMegler 1 Personnel Other expenses Operating expenses 30.06.2021 expenses 30.06.2022 * SR-Forvaltning AS was acquir
Slide 20: 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 21: Impairments on loans and financial commitments
Impairments on loans and financial commitments Impairments on loans and financial commitments in the income statement (MNOK) 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Corporate market -46 167 -73 27 26 35 52 SME and Agriculture -3 13 8 -11 -21 11 7 Retail market 13 -1 14 -1 -29 -
Slide 22: Funding
Funding • NSFR* 126% • LCR** 151% • NOK 21.1 billion net refinancing need over the next 12 months • Deposit to loans ratio 60.0% • MREL requirement 34.4% Annual funding maturity 30 28 26 24 22 20 NOK Billion 18 16 14 12 10 8 6 4 2 0 2022 2023 2024 2025 2026 2027 2028 2029+ Funding ex CB Covered Bond
Slide 23: Solid capital ratio
Solid capital ratio • The authorities’ minimum requirement for the CET 1 capital ratio ROE ROE ROE is 15.85% at the end of second quarter of 2022 6.4% 12.6% 11.8% • The group’s CET 1 capital ratio target is minimum 16.85% incl. 21.7% CET 1 1.25% in management buffer and maximum countercyclical buffe
Slide 24: Key figures
Key figures 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Return on equity after tax (%) 11.8 12.4 12.0 11.4 14.0 11.7 13.2 Net interest margin (%) 1.37 1.38 1.40 1.33 1.32 1.31 1.36 Impairments on loans in % of gross loans -0.03 0.16 -0.09 0.03 -0.04 0.07 0.10 Loans and financial co
Slide 25: SR-Boligkreditt
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 26: 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. • Loans are transferred to SR-Boligkreditt as true sale on a non-recourse basis. • Rated Aaa
Slide 27: 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 28: Cover pool characteristics (nominal values)
Cover pool characteristics (nominal values) Assets/status • 100 % mortgages on Norwegian private residential properties • 100 % performing loans Cover pool • NOK 101.8 bn: Residential mortgages 99.6 (97.8%), Substitute assets 2.2 bn (2.2%) Mortgages and rate • 50,104 loans at a weighted average inte
Slide 29: Cover pool characteristics
Cover pool characteristics Current LTV Loan performance 25,6 % 0% 0% 20,7 % 18,6 % 18,6 % 15,3 % Performing loans 100 % Delinquent loans (arrears 31 to 90 days) 0,6 % 0,7 % Gross non performing loans (arrears 90 days +) 0-40 % 40-50 % 50-60 % 60-70 % 70-80 % 80-100 % 100 % + Geography Property type
Slide 30: Norwegian economy
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 31: 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 2,2 2,0 -2,3 4,1 3,7 2,7 2,0 1,5 Household consumption, annual change (%) 3,5 2,8 2,1 2,7 1,1 2,2 1,6 1,1 -6,6 4,9 7,5 3,1
Slide 32: Housing market
Housing market House prices (Index des Index change 12 month (%) Prices by City per Square 2013=100) 130 Meter (EUR) 205 125 8.155 120 185 115 165 110 4.756 4.571 145 105 3.702 3.408 100 125 95 105 90 85 85 jun.18 mar.20 mai.21 jul.15 sep.16 okt.20 nov.17 des.21 feb.16 des.14 jan.19 aug.19 apr.17 au
Slide 33: Norwegian house prices have increased by 6% last 12 months
Norwegian house prices have increased by 6% last 12 months Still high activity in the housing market and muted supply House prices. NOK per sqm. Average all homes. Monthly 100.000 120% 90.000 100% 80.000 70.000 80% 60.000 50.000 60% 40.000 40% 30.000 20.000 20% 10.000 0 0% 2009 2011 2013 2015 2017 2
Slide 34: Unemployment has fallen to a low level
Unemployment has fallen to a low level – more stable recently 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 Oslo Rogaland Vestland Agder Norway Norway, broader measure (SSB AKU)
Slide 35: Employment and GDP by sector
Employment and GDP by sector 40% 40% 35% 35% 30% 30% Norway employment Norway GDP per sector 25% 25% 20% 20% 15% 15% 10% 10% 5% 5% 0% 0% Source: Statistics Norway. 35 SR-Bank SR-Boligkreditt
Slide 36: Lower growth in Norwegian retail trade due to reopening
Lower growth in Norwegian retail trade due to reopening The beginning of the year was affected by Omicron Retail sales (excl. auto), change in turn-over from same 2-month period previous year. Last obs: jan-feb 2022 20,0% 16,0% 12,0% 8,0% 4,0% 0,0% -4,0% 2009 2010 2011 2012 2013 2014 2015 2016 2017
Slide 37: Stable petroleum activity in Norway – higher towards 2025
Stable petroleum activity in Norway – higher towards 2025 The tax package (June 2020) and higher prices supports the outlook Petroleum activity on Norwegian Continental Shelf. BNOK (2022 NOK). Source: NPD 13 January 2022 400 356 362 350 323 313 300 269 274 269 260 263 255 259 258 245 250 242 244 233
Slide 38: Petroleum activity in Norway
Petroleum activity in Norway Petroleum activity on Norwegian Global primary energy Continental Shelf. BNOK (2022 NOK). Break-even consumption Source: NPD 13 January 2022 160 31% 400 356362 140 27% 350 323 313 25% 120 300 274 269 263 269 260 259 258 245 250255 244 100 242 250 233239 80 BNOK 200 60 15
Slide 39: Hydro dominates power generation in Norway, but wind is increasing
Hydro dominates power generation in Norway, but wind is increasing Electricity production (GWh) dominated by hydro and increasing wind power share 180.000 8% 160.000 7% 140.000 6% 120.000 5% 100.000 4% 80.000 3% 60.000 40.000 2% 20.000 1% 0 0% -20.000 -1% Net export Electricity production Hydro powe
Slide 40: Government finances and the sovereign wealth fund
Government finances and the sovereign wealth fund Norwegian current account and Norwegian oil fund and GDP (BNOK), quarterly figures 400.000 gov't budget (BNOK), quarterly figures 14.000.000 400% 350.000 300.000 12.000.000 350% 250.000 300% 10.000.000 200.000 250% 150.000 8.000.000 100.000 200% 50.0
Slide 41: 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 42: 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 43: 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 44: Financing sustainable activities
Financing sustainable activities Goal: Finance and facilitate NOK 50 billion in sustainable activities by the end of 2030 Goal: NOK 50 billion 16.8% NOK 0 billion NOK 5 billion NOK 10 billion NOK 15 billion NOK 20 billion NOK 25 billion NOK 30 billion NOK 35 billion NOK 40 billion NOK 45 billion NOK
Slide 45: 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 46: Sector specific ESG Due Diligence at loan origination
Sector specific ESG Due Diligence at loan origination • For corporate clients with an exposure larger than NOK 5 million, we have developed an ESG due diligence questionnaire, which must be completed prior to any credit being granted • The assessment includes questions that directly target a custome
Slide 47: ESG ratings
ESG ratings CDP B Sustainalytics 16.1 (low risk) ISS C- (2nd decile) MSCI AA In ISS’s latest ESG assessment of SR-Bank they awarded a score of In July 2021, Sustainalytics rated SR-Bank's Overall ESG Score In December 2021, MSCI rated SR-Bank's Overall ESG Score at C- at 16.1 AA an improvement from
Slide 48: 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 49: 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 49 SR-Bank SR-Boligkred
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 – Q1 2022
Allocation Report – Q1 2022 *EURNOK 31 December 2021 55 SR-Bank SR-Boligkreditt
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: CBI Certification – Inaugural Green Covered Bond
CBI Certification – Inaugural Green Covered Bond SR-Boligkreditt’s Inaugural Green Covered Bond is certified in line with the Low Carbon Building Criteria of the Climate Bond Standards Sustainalytics assisted in verifying against the CBI’s criteria 60 SR-Bank SR-Boligkreditt
Slide 61: Appendix
1 SR-Bank 2 SR-Boligkreditt 3 Norwegian economy 4 Sustainability and Green Bond framework 5 Appendix SR-Bank SR-Boligkreditt
Slide 62: Lending to commercial real estate
Lending to commercial real estate 13.2% (NOK 35.5 billion) of total EAD* is related to commercial real estate • Commercial real estate for lease Real estate ‐ EAD NOK 23.3 billion, 8.6% of the bank’s total EAD management and housing cooperatives; ‐ The portfolio is characterised by lending to commer
Slide 63: Lending to retail trade, hotels and restaurants
Lending to retail trade, hotels and restaurants 1.5% (NOK 4.0 billion) of total EAD* is related to retail trade, hotels and restaurants • Retail trade ‐ EAD NOK 3.0 billion, 1.1% of the bank's total EAD Tourism; MNOK 22 • Operation of hotels and restaurants Operation of ‐ EAD NOK 1.0 billion, 0.4% o
Slide 64: Reduced exposure to the offshore sector
Reduced exposure to the offshore sector Offshore NOK billion Share of EAD Offshore • EAD NOK 6.1 billion, 2.2% of the bank’s total EAD* • Exposure primarily to industrial oriented shipping companies with integrated organization (Offshore service vessels, Rig and Seismic vessels) 5.0% 4.9% 4.5% 4.0%
Slide 65: Lending to shipping
Lending to shipping 2.5% (NOK 6.7 billion) of total EAD* is related to shipping • Product tank • EAD NOK 1.1 billion, 0.4% of the bank's total EAD Product tank; • Chemical tank Other shipping; MNOK 1,153 MNOK 1,100 • EAD NOK 1.7 billion, 0.6% of the bank's total EAD • Dry-bulk • EAD NOK 2.0 billion,
Slide 66: 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. 65.3% 65.9% • The loan portfolio consists mainly of small and medium- sized loans
Slide 67: 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% 1.8% 1.5% 13.9% 14.6% 14.2% 14.0% 14.1% 13.4% 14.6% 14.6% 13.1% 13,8 % 14,4 % 14,8 % 43.1% 43.1% 44.6% 58.4% 54.9% 54.7% 84.3% 83.6% 84.3% 42.9% 4
Slide 68: 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 • Increased share of volume with LTV below 70% is due to increased • RWA on home mortgages reflects a solid portfolio with a market values of collateral (housing). moderate loan-t
Slide 69: Impairments per quarter
Impairments per quarter • The group’s net impairments on loans and financial liabilities were reduced with NOK 215 million (-0.03% of 831 gross lending) from 30 June 2021 to 30 June 2022 • In order to reduce unsystematic risk and improve the group’s robustness to withstand any new challenging situat
Slide 70: Subsidiaries
Subsidiaries Company MNOK 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 SR-Boligkreditt AS Operating profit before tax 663 254 210 453 274 311 144 SpareBank 1 SR-Bank Operating profit before tax 14 18 11 3 4 12 7 Forretningspartner AS* Number of sales 3,477 4,096 1,972 1,505 1,558 1,
Slide 71: Ownership interests
Ownership interests Company MNOK 30.06.2022 30.06.2021 Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 SpareBank 1 Gruppen AS Interest ownership (%) 19.5 19.5 19.5 19.5 19.5 19.5 19.5 Profitshare after tax 29 215 16 13 173 83 148 Adj. profit contribution previous year 1 0 1 0 0 0 0 BN Bank ASA Interest owne
Slide 72: SpareBank 1 SR-Bank ASA
SpareBank 1 SR-Bank ASA Business divisions Fully owned companies Partly owned companies Retail market 464 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 73: Organizational structure
Organizational structure CEO Benedicte Schilbred Fasmer Group strategy CFO and projects Inge Reinertsen Jan Friestad People, Sustainability Compliance and Communications Signe Helliesen Nina Moi Edvardsen Risk Management Frode Bø Retail market (incl. SME and Corporate market Capital markets private
Slide 74: 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 75: Balance sheet
Balance sheet Balance sheet (MNOK) 30.06.2022 30.06.2021 Cash and balances with central banks 77 137 Balances with credit institutions 1,319 9,588 Net loans to customers 241,223 223,457 Certificates and bonds 51,684 50,997 Financial derivatives 14,067 5,396 Shares, ownership stakes and other securit
Slide 76: SRBNK share
SRBNK share • International Development in Price/Book Relative share price development ownership is 22.4% per 140 1,5 200 2. quarter 2022 180 Index 100 = jun 30th 2021 130 1,4 120 1,3 160 • Total market value at 110 1,2 140 2. quarter 2022 is NOK 100 1,1 NOK 120 p/B 90 1,0 27.3 billion 80 0,9 100 Pr
Slide 77: 20 largest shareholders as at 30 June 2022
20 largest shareholders as at 30 June 2022 Investor Number Stake • Ownership interests: Sparebankstiftelsen SR-Bank 72,419,305 28.3% • From Rogaland, Agder, Vestland, Folketrygdfondet 18,261,130 7.1% Oslo and Viken: 65.7% (65.5%) SpareBank 1-stiftinga Kvinnherad 6,226,583 2.4% • International: 22.4%
Slide 78: SR-Bank as at 30 June 2022
SR-Bank as at 30 June 2022 • Number of shares SpareBank 1 SR-Bank share 30.06.2022 2021 2020 2019 2018 2017 issued 255.75 million • Trading volume in Q2 Share price 106.70 133.20 91.00 100.00 89.20 87.00 2022: 5.2% (5.5%) • On 1 June 2017, the SR- Stock value (MNOK) 27,289 34,066 23,273 25,575 22,81
SpareBank 1 SR-Bank — Debt Investor Presentation (2022) on 6ix