morrowbank.com

Company presentation

Morrow Bank ASA – 25 February 2025

Disclaimer morrowbank.com

ABOUT THIS PRESENTATION

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 persons"). Any person who is not a relevant person should not act or rely on the presentation or any of its contents. This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in Morrow Bank. The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions. The presentation and the conclusions contained herein are necessarily based on economic, market and other conditions, as in effect on, and the information available to Morrow Bank as of, its date. The presentation does not purport to contain a complete description of Morrow Bank or the markets in which the Bank operates.

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Scalable banking platform positioned for significant value creation

Built a highly scalable banking platform

31% loan balance growth in 2024, opex reduced
65% y-o-y pre-tax profit growth in Q4 2024

Strong value drivers in place for 2025-2026

Macro improving, loan losses declining
Increasingly generating excess capital

Attractive shareholder value creation potential

Currently trading at ~35% discount to Swedish peers
Redomiciliation could bring ROTE to ~20% from current ~11%

ROTE (Q4 2024)	Cost/income (Q4 2024)	Loan loss ratio (Q4 2024)	Market cap
10.6%	25.9%	4.6%	BNOK 2.1
vs. 7.1% in Q4 2023	vs 28.0% in Q4 2023	vs 5.4% in Q4 2023	Price/book (P/B) of 0.9x

Highly scalable banking platform

Product: Convenient consumer financing to creditworthy individuals in the Nordics

Flexible consumer loans NOK 10,000-500,000 without collateral

No-fees credit cards

1-4% bonus on all transactions

Guaranteed deposit accounts

Unlimited withdrawals, free of charges

Typical loan customer: 30-50 years old, owns a home and earns above average

Male

69% of our loan customers are men

Homeowner

59% homeownership

Middle aged

Above average annual income NOK ~600k

Solid payer

✓ Zero payment remarks
✓ Permanent employment

2022-2024: Built a scalable banking platform

From Q4-21 presentation

Outperforming peers on growth and efficiency

Growth last two years¹ Annualised per 24Q4

1% 10% 10% 18% 20% 27% *

Cost/income ratio²

Morrow Bank

* 24Q3 (24Q4 not yet disclosed)

Gross loans. 2. Total operating expense / total income

Source: Company data, Bloomberg, Pitchbook. Peer group includes TF Bank, Resurs Bank, Norion Bank, Lea Bank and Instabank

Strong value drivers in place

Total income continues to grow – all-time-high in Q4

Total income (MNOK)

Total income growth of 24% year-on-year
Driven by organic growth and the acquisition of performing Swedish loan portfolios
- Full P&L effect from Q4 2024
Loan growth to continue to drive total income

Portfolio acquisitions demonstrating scalability

Cost/income

(M ) ne off Cost in ome ratio ( )

Cost/income ratio improved to 25.9% from 28.0% in Q4 2023
Stable underlying OPEX despite continued loan growth, including portfolio acquisitions
Cost efficiency to continue to improve

Loan loss ratio continuing to improve

Loan losses

Increase in nominal losses driven by a larger loan balance, including portfolio acquisitions
Overall loan loss ratio continued to decline in the quarter to 4.6% (Q4 2023: 5.4%)
Trend expected to continue driven by tightened credit policies in 2023 and 2024, a maturing loan book and improving Nordic macro

Profitability increasing – proposed dividend morrowbank.com

Profit (MNOK)

Q4 2024 profit before tax up 65% year-on-year, driven by increase in total income at stable costs
Return on target equity improved for five consecutive quarters, ending at 10.6%
Board to propose dividend of up to 50% of 2024 profits available for distribution, NOK 0.4 per share
Outlook for increased profitability driven by:
- Continued loan balance growth
- Stable cost base
- Declining loan loss ratios and increasing riskadjusted margins

Capital situation provides room for growth and dividends morrowbank.com

Capital adequacy - CET1

C T1 headroom C T1 re uirement

CET1 requirement reduced in Q4; headroom to target NOK 445 million
Once implemented in EEA, CRR3 to give further capital requirement relief
Dividend policy to distribute excess capital not allocated to growth to shareholders
As a consequence, ROE set to improve

Please see Appendix for total capital situation

Attractive value creation potential

2025-2026: Strong value drivers in place

Nordic macro improving Supporting growth and margins

Declining loan loss ratio

Increasingly generating excess capital Enabling growing dividend/M&A

Continuing to pursue structural opportunities, including Swedish redomiciliation and potential M&A

Generating capital

rowth T

Key milestones of Swedish redomiciliation

~140% shareholder return in 2024 – still trading at a discount to Swedish peers

Significantly outperformed Swedish peers' TSR in 2024... …but trading at ~3 discount to Swedish peers' P/B

Source: Company data, Bloomberg. Peer group includes TF Bank, Resurs Bank, Norion Bank, Lea Bank (transferred from Euronext Oslo to Nasdaq Stockholm 9 Jan 2025) and Hoist Finance

Scalable banking platform in place, positioned for continued growth and value creation

Highly scalable banking platform	▪ Grew loan balance by BNOK 3.6 in 2024 with no impact on cost levels ▪ Delivering industry leading cost-efficiency ▪ 65% y-o-y pre-tax profit growth in Q4 2024
Strong value drivers in place	▪ Improving risk-adjusted margins and returns ▪ Proposed first dividend since turnaround started; excess capital set to grow ▪ Platform enables further M&A and structural opportunities
Attractive value creation potential	▪ Targeting 5% annualized organic growth and ~12-14% ROTE by year-end 2026 ▪ Redomiciliation to Sweden could bring ROTE to ~20% from ~11% ▪ Currently trading at a P/B of ~0.9x, ~35% discount to average Swedish peers

Q&A