Sparebanken More · OSL:MORG
Sparebanken More — Sparebanken Møre — Q1 2025 Earnings Presentation
44 slides from Sparebanken More's earnings presentation, Apr 30, 2025
Slide 1: Presentation 1st quarter 2025
Presentation 1st quarter 2025 Trond Lars Nydal CEO John Arne Winsnes CFO Ålesund (webcast) 30 April 2025 1
Slide 2: Todays review
Todays review Key figures per Q1 2025 The quarter in figures and illustrations Activity and future outlook 2
Slide 3: Key figures per Q1
Key figures per Q1 Good Net Interest Low loan growth Income losses Loans: 6.6 % In NOK: 13 million In NOK: 485 million Deposits: 6.4 % In per cent: 0.05 In per cent: 1.87 (Last 12 months) (loans and guarantees) Profitability Strong Strong liquidity Efficiency and solidity ROE: 11.2 % C/I: 44.5 % Dep
Slide 4: Quarterly results
Quarterly results Profit after taxes Return On Equity - in MNOK 254 232 207 13.1 170 163 11.0 11.2 10.2 9.3 Q1-21 Q1-22 Q1-23 Q1-24 Q1-25 Q1-21 Q1-22 Q1-23 Q1-24 Q1-25 Result per equity certificate in the 1st quarter of 2025 is NOK 2.13 (Group) against NOK 2.41 (Group) in the 1st quarter of 2024 4
Slide 5: Result development
Result development Profit after tax compared with Q1 2024 13 4 9 1 23 24 254 232 Q1 2024 Net Interest Income Other Income excl. Financial Expenses Losses Taxes Q1 2025 Financial Instruments instruments 5 5
Slide 6: 1st quarter 2025
1st quarter 2025 • 6 6
Slide 7: Quarterly result
Quarterly result Return on Equity - quarterly Profit after tax - in MNOK 15.1 13.8 301 13.1 12.2 280 11.2 254 251 232 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Profit per EC - in NOK (Group figures) 2.85 2.66 2.41 2.03 2.13 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 202
Slide 8: Income in the quarter
Income in the quarter Total Income Total Income - in per cent of Average Assets - NOK million Net Interest Income Other Income 2.48 2.49 626 608 578 589 2.35 567 2.30 90 103 70 67 82 2.19 508 518 523 522 485 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 8
Slide 9: Lending growth
Lending growth retail market - NOK billion and annual growth Lending growth 57.9 58.4 53.8 50.8 47.6 Loans • MNOK 5,510 in lending growth last 12 months (net lending) 100.000 0.250 5.9 % 7.2 % 4.3 % 6.9 % 7.6 % 88.8 90.000 86.9 81.6 2021 2022 2023 2024 Q1-25 80.000 76.1 0.200 69.9 Lending growth in
Slide 10: Deposits
Deposits – retail market - NOK billion and annual growth Deposits 30.1 30.8 29.2 26.3 24.7 Deposits • Deposit growth in the last 12 months: MNOK 3,071 51.3 49.6 47.4 10.9 % 5.6 % 6.8 % 3,6 % 43.9 3.2 % 41.9 2021 2022 2023 2024 Q1-25 Deposit growth in the last 12 months: MNOK 1,061 Deposits – corpora
Slide 11: Other Income
Other Income Customer relateted other income Financial Instruments - MNOK - MNOK 80 83 20 23 70 67 16 15 54 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 -16 0.46 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 0.38 0.34 0.29 0.24 4.kv. 1.kv. 2.kv. 3.kv. 4.kv. 2022 2023 2023 2023 2023 11
Slide 12: Expenses
Expenses Cost/Income ratio - Annually 44.5 Operating expenses in the 42.2 42.5 39.8 Operating expenses in the 39.2 quarter quarter - NOK million - in per cent of Average Assets 2021 2022 2023 2024 Q1-25 1.02 0.98 249 252 0.93 0.96 0.92 243 235 228 - Quarterly 44.5 39.5 41.0 38.7 40.0 Q1-24 Q2-24 Q3-
Slide 13: Losses and portfolio quality
Losses and portfolio quality Losses on loans and Credit-impaired guarantees commitments (net) - in per cent of Average Assets - in per cent of loans and guarantees Losses on loans and guarantees 1.16 1.19 0.07 0.07 0.08 - NOK million 0.05 0.39 0.45 0.32 -0.14 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 2021 2022
Slide 14: Corporate lending
Loans by sector Corporate lending Other 10.8 % (9.5 %) • Quarterly growth of NOK 1.3 bn CRE 11.0 % • The bank has a stable share of (10.8 %) exposure to the corporate sector Services 5.1 % (5.6 %) • There is good industry risk Retail Supply/Offshore 65.6 % (65.5 %) diversification 1.2 % (2.0 %) • Lo
Slide 15: Exposure towards CRE
Exposure towards CRE • Stable and well-diversified property portfolio • 74 per cent of the portfolio within our county Møre and Romsdal, offices and hotel properties in Oslo make up 20 per cent • 93 per cent of the portfolio is in the low and medium risk category Sub-segments Geographical distributi
Slide 16: Good quality in our retail portfolio
Good quality in our Loans to retail customers Loan-to-Value – retail loans - In per cent of total loans (LTV) retail portfolio 55.6 % • 94 per cent of the loans within 85 per cent LTV • Few customers with payment challenges • Low losses 66.4 17.0 % 13.6 % 7.9 % • Possibility of 90 per cent 2.4 %1.8
Slide 17: House price development
House price development Indexed development Price per square meter - January 2015 = 100 - January 2015 – March 2025 Based on pre-owned dwellings sold, 190 Oslo 100000 Norwegian seasonal adjusted house Oslo prices increased by 0.1 percent in 160 Norway 80000 March 2025. Ålesund M&R 60000 130 Norway O
Slide 18: Good market access and financing
Good market access and Strong rating and long-term financing financing 57.6 % A1 • Moody’s rating • Deposit to loan ratio • Stable outlook Covered Bonds 23,465 Green Covered 39.6 bn • Net market financing Aaa • Covered Bonds Bonds 5,138 Deposits 51,262 Senior Loans 6.6 bn 2.87 year • Remaining durat
Slide 19: Robust capital and good prospects
Robust capital and CET1- status and requirements (per cent) good prospects 18.2 16.15 • The bank has a long-term target 17.2 17.0 1.25 P2G for CET1 capital which must at 0.90 2.50 least be the sum of Pillar 1, Pillar P2R 2 (P2R) and P2G 4.50 Countercyclical Buffer • The implementation of CRR3 in Sys
Slide 20: MORG pricing
MORG pricing Total Return in Q1 MORG – price and Price/Book (P/B) value* - Equity, price and P/B Equity per MORG Price MORG P/B 500 2.00 444 450 1.80 400 1.60 350 350 1.40 1.27 1.23 300 1.19 1.20 1.13 250 1.04 1.00 200 0.80 150 0.60 97 102.8 100 74.8 84.4 80.7 84.0 81.5 83.8 0.40 50 0.20 0 0.00 2021
Slide 21: The bank has been a contributor for regional development for more than 180 years
The bank has been a contributor for regional development for more than 180 years «Activity begets activity» Local business Households People Infrastructure Sustainability Our history Our culture Natural prerequisites Long term 21
Slide 22: The bank is solid and has capacity to contribute to further growth and development
The bank is solid and has capacity to contribute to further growth and development Total assets 104.3 102.3 96.7 +2,0 bn 89.5 Growth Q1 2025 82.8 79.5 86.9 88.8 74.9 81.6 71.0 66.5 76.1 61.8 69.9 60.1 54.6 56.0 64.0 66.9 Loans 51.6 60.3 48.4 56.9 40.9 41.4 44.7 49.0 51.3 51.8 49.6 51.3 +1,9 bn 46.1
Slide 23: Børs og Bacalao #18
Børs og Bacalao #18 Approx. 600 participants A meeting place for investors and the business community Topic: Energy 23 23
Slide 24: Startup programme #8
Startup programme #8 24
Slide 25: New framework agreement «Full brems i antall bedrifter»
New framework agreement «Full brems i antall bedrifter» The Growth Guarantee • Strengthens access to bank financing for innovative and fast-growing small and medium sized businesses • Pilot bank in 2019 – has entered into a framework agreement number 3 with Innovation Norway • Has more than 50 custo
Slide 26: We continue to build competence in the business community
We continue to build competence in the business community Focus on specific actions with practical examples from businesses The Sustainable Businesses Conference was held for the fourth time «Sustainability in the board room and reporting as a strategic tool» 26 26 Photo: Stine Lise Hattestad Bratts
Slide 27: Sustainability report 2024
Sustainability report 2024 Transition report • The Sustainability report for 2024 is delivered according to the ESRS standard • The regulations do not apply to us yet • Our first report according to the CSRD framework is a transition report • The investment is taken – the process is good and gives u
Slide 28: Sparebanken Møre and the foundations
Sparebanken Møre and the foundations Establishment of the foundation Stiftelsen TEFT Møre • The need for accruing gift funds without impacting the ownership fraction • Provides the possibility of managing projects over several years The savings bank foundation Sparebankstiftelsen Sparebanken Møre Sp
Slide 29: Future outlook – international development
Future outlook – international development US trade policy creates great uncertainty about global growth prospects Global uncertainty Large fluctuations Uncertainty may persist • The newsfeed from Washington drives the • It may take time for the US and China to find a development in equities, curren
Slide 30: Future outlook – Norway and our region, Nordvestlandet
Future outlook – Norway and our region, Nordvestlandet The starting point for the Norwegian economy is good • Global uncertainty also affects Norway and Omarbeidet Nordvestlandet • Export-oriented industries, in particular, may be affected • EU is by far our most important trading partner BUT: • The
Slide 31: Long term financial targets and dividend policy
Long term financial targets Dividend policy Return on Equity • Sparebanken Møre aims to achieve (ROE) financial results providing a good and stable > 13.0% return on the bank’s equity capital • Sparebanken Møre's profit allocation must ensure that all equity owners are guaranteed equal treatment C/I
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Slide 33: Contact
Contact R Trond Lars Nydal John Arne Winsnes CEO CFO +47 95 17 99 77 +47 46 28 09 99 [email protected] [email protected] sbm.no facebook.com/sbm.no @sbmno engasjert.sbm.no Disclaimer This presentation has been prepared solely for promotion purposes of Sparebanken Møre. The presentation is intended as gene
Slide 34: Attachments
¢ Attachments
Slide 35: Results per Q1 2025
Results per Q1 2025 Key figures in Q1 2025 and 2024 Q1 2025 Q1 2024 Changes Results (NOK million and %) MNOK % MNOK % MNOK p.p. % Net Interest Income 485 1.87 508 2.07 -23 -0.20 -4.5 Gains/losses liquidity portfolio 10 0.04 5 0.02 5 0.02 100.0 Gains/losses on shares 1 0.00 0 0.00 1 0.00 0.0 Net Inco
Slide 36: Balance sheet and key figures
Balance sheet and key Key figures Q1 2025 and Q1 2024 figures 31.03.25 31.03.24 Changes Balance in NOK million MNOK % Total Assets 104 345 99 372 4 973 5.0 Loans to customers 88 770 83 260 5 510 6.6 Deposits from customers 51 262 48 191 3 071 6.4 Net Equity and Subordinated Loans 8 674 8 676 -2 0.0
Slide 37: Specification of Other Income
Specification of Other Q1 2025 and Q1 2024 Income (NOK million) Q1 2025 Q1 2024 Changes y/y Guarantee commission 7 7 0 Income from the sale of insurance services (non-life/personal) 8 7 1 Income from the sale of shares in unit trusts/securities 5 2 3 Income from Discretionary Portfolio Management 16
Slide 38: Specification of expences
Specification of Q1 2025 and Q1 2024 expences (NOK million) Q1 2025 Q1 2024 Changes y/y Wages 96 91 5 Pension expenses 9 8 1 Employers’ social security contribution and Financial activity tax 21 19 2 Other personnel expenses 11 6 5 Wages. salaries. etc. 137 124 13 Depreciations 15 13 2 Operating exp
Slide 39: Credit-impaired commitments
Credit-impaired Total credit-impaired commitments Total credit-impaired commitments - in NOK million - in % of commitments commitments • The overview shows non- performing commitments in default above 90 days and 762 770 3.12 2.86 other credit-impaired commitments 1.16 1.19 236 0.77 155 152175 159 1
Slide 40: Losses by sector
Losses by sector Losses on loans and guarantees - NOK million 13 9 4 1 -1 40
Slide 41: Expected credit losses
Expected credit losses Expected credit losses Expected credit losses - in NOK million - in % of commitments ECL Individually assessed impairments ECL Individually assessed impairments 368 341 266 272 263 0.51 180 253 73 0.45 67 69 0.32 0.35 0.24 0.29 0.30 0.08 0.09 0.09 199 194 199 161 115 0.21 0.24
Slide 42: Recognized losses
Recognized losses Losses on loans and guarantees Losses on loans and guarantees - NOK million - In % of Average Assets 49 0.06 0.05 20 13 0.02 0.00 -4 -53 -0.06 2021 2022 2023 2024 Q1-25 2021 2022 2023 2024 Q1-25 42
Slide 43: EC capital in Sparebanken Møre
EC capital in Sparebanken Møre The largest owners (1-10) of EC holder Number of ECs EC capital 31.03.25 31.12.24 Sparebankstiftelsen Tingvoll 4,839,094 4,837,394 Verdipapirfondet Eika egenkapital 2,476,424 2,447,968 Spesialfondet Borea Utbytte 2,451,891 2,064,668 Wenaasgruppen 2,200,000 2,200,000 MP
Slide 44: EC capital in Sparebanken Møre
EC capital in Sparebanken Møre The largest owners (11-20) of EC-holder Number of ECs EC capital 31.03.25 31.12.24 J.P. Morgan SE (nominee) 659,187 1,687,199 Lapas AS 634,384 627,000 BKK Pensjonskasse 470,888 470,888 Forsvarets personellservice 461,000 461,000 Sparebankstiftelsen Sparebanken Møre 360