SpareBank 1 SMN

Investor Presentation • Oct 31, 2024

Third quarter 2024

31st of October 2024

Jan-Frode Janson CEO

Q3 2024 Profitable and solid

• Return on equity at 21.0 %

The result is driven by growth, strong net interest income and financial profit following merger between Fremtind and Eika Insurance

• Seasonal variations from accounting and real estate This results in somewhat lower commission income in third quarter
• Loss of 75 NOKm in the quarter

Robust and diversified lending portfolio with strong credit quality

• CET 1 well above regulatory requirements Outlook for further growth and good dividend capacity
• Leading finance centre in Mid-Norway

Complete financial service offering with physical presence, digital solutions and regional knowledge as the foundation

High value creation over time

High activity within retail banking

Pre-tax profit (NOKm)

Renewed agreement between SpareBank SMN and LO

As the preferred main bank, SMN will further develop the cooperation w h w ' z – with the customer at the center.

Strengthened position within the corporate market

Pre-tax profit (NOKm)

32 % Increased income from advisory services in the last year

900 New customers to Regnskapshuset in the last year

Increased share of newly established companies with banking relations at SpareBank 1 SMN since 2020

3 %

Joint service concept «Bank in Accounting» for comprehensive follow-up of SME customers

Change of pace in saving and investing

«One SMN 2.0» – a new step in the same direction

Create One SMN Increase digitalisation and use of insights

Head up the development of Norway's savings banks

Integrate sustainability into the business

Exploit the power in our ownership model

New organisational structure

The leading finance centre, physically and digitally

SMN builds structure proactively, whilst also believing in alliances and cooperation

• SMN has critical mass and is large enough to be independent
• We actively invite mergers in Central Norway and the expansion of the region, and have a strong value proposition for potential partners
• We have valuable merger experience:
  • SpareBank 1 Søre Sunnmøre
  • Acquisition of several accounting firms
  • Company mergers in SpareBank 1 Gruppen
• We believe in the SpareBank 1 alliance and will lead the further development of both the alliance and other collaborations

The road to the 2025 World Championship

We cheer for good public health, mental health, and small and big heroes, and of course for the celebration during the World Championship in Trondheim 2025

Såkorn 1 Midt

Såkorn 1 Midthas made its first investment in Ably Medical, a health technology company in Ålesund

Talent Mid-Norway

Together with Talent Norge, we have established a unique offer to give more ambitious young artists the opportunity to pursue their careers from and in the Central Norway region.

Financial Information

Trond Søraas CFO

Q3 2024

YTD 2024

21.0% Return on Equity

1,441 mill Profit after tax

18.2 % CET1-ratio Lending growth 2.2 % Retail banking 1.3 % Corporate banking 4.6 %

Deposit growth - 1.2 % Retail banking - 0.9 % Corporate banking - 0.8 %

17.4 % Return on Equity

3,540 NOKm Profit after tax

146 NOKm Loan losses

Operating margin subsidiaries Regnskapshuset SMN -4.4 %

Eiendomsmegler 1 Midt-Norge 6.6 % SB1 Finans Midt-Norge 12.0 % (ROE)

Financial targets

Growth and margins in Retail Banking - quarterly

Lending volume (NOKbn) Deposit volume (NOKbn)

w h

• w h

Margins vs NIBOR3M

-

Growth and margins in Corporate Banking - quarterly

Lending volume (NOKbn) Deposit volume (NOKbn) Margins vs NIBOR3M

w h

• w h

-

* Lending margin for Q4 23 is adjusted for previously unrecognised interest due to redemption of an exposure previously acquired at a discount

Results

mill NOK	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	Change from Q2 24	Change from Q3 23
interest income Net	355 1 ,	310 1 ,	336 1 ,	345 1 ,	226 1 ,	45	129
Commission income income and other	553	680	579	498	484	-128	69
Operating Income	908 1 ,	990 1 ,	915 1 ,	844 1 ,	710 1 ,	-82	198
operating Total expenses	810	801	789	866	741	9	69
business Pre-loss result of core	1 098 ,	1 190 ,	1 126 ,	978	969	-91	129
loans and Losses guarantees on	7 5	47	24	20	3 5	28	40
business of Post-loss result core	1 023 ,	1 143 ,	1 103 ,	958	934	-120	8 8
Related companies	685	148	194	90	-2	536	686
Securities foreign derivates and currency ,	-14	5	5 7	448	64	-19	-78
Result before tax	1 693 ,	1 296 ,	1 353 ,	1 496 ,	996	397	697
Tax	252	276	273	262	278	-24	-25
investment for Result held sale	0	-5	3	12	22	5	-21
profit Net	1 441 ,	015 1 ,	084 1 ,	247 1 ,	740	426	701
equity Return on	21 0 %	15 4 %	16 0 %	18 3 %	11 1 %	5 6 %	9 9 %

Income

Net interest income and other income (NOKm) Commission income

mill NOK	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	C hange fro m Q2 24	C hange fro m Q3 23
transmission income Payment	79	91	77	101	79	-12	0
Credit cards	18	17	18	14	16	1	2
Commissions savings and asset mgmt	13	12	11	11	10	1	3
Commissions insurance	67	65	63	61	67	2	0
commissions Guarantee	16	17	15	16	15	0	1
Estate agency	127	151	115	98	110	-24	18
services Accountancy	145	228	200	152	138	-83	7
Other commissions	13	19	11	23	20	-6	-7
Commissions ex. Bolig/Næringskreditt	479	599	510	475	455	-120	23
Commissions Boligkreditt (cov bonds)	71	78	5 9	19	25	-7	46
Commissions Næringskred (cov bonds)	3	4	4	4	4	0	0
commission income Total	553	680	572	498	484	-127	69

Costs

Total operating expenses per quarter (NOKm) Costs per category

• Increase in staff related costs in the bank
• Lower costs from Regnskapshuset
• Otherwise, minor changes from the previous quarter

NOKm	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	C hange fro m Q2 24	C hange fro m Q3 23
Staff costs	498	484	482	476	435	13	63
IT costs	108	109	110	132	93	-1	15
Marketing	23	25	26	21	24	-2	-1
Ordinary depreciation	44	44	41	47	43	0	1
properties real Op estate .ex.,	14	12	13	11	15	3	-1
services Purchased	61	66	74	71	62	-5	-1
Merger expenses	0	0	0	18	14	0	-14
operating Other expense	62	62	36	90	5 6	0	6
operating Total expenses	810	801	782	866	741	9	69

Broad product range and a diversified income platform

Profit after tax (NOKm)

Losses

Loan losses (NOKm) Distribution of losses Q3 (NOKm)

Solidity

CET 1 Leverage ratio

h ' wh -capital. The bank is subject to a provisional add-on of 0.7 per cent to its Pillar 2 requirement. Until the application for adjustment of IRB models has been processed the CET1 requirement is 16.95%

23

SpareBank 1 MING

Focus on long-term profitability

efficient operations with synergies in the group, solidly capitalized and shareholder-friendly dividend policy

Leading finance centre in Mid-Norway

sustainable growth in an attractive region, diversified customer portfolio and income platform

Strong brand with development potential

ownership model and local presence gives customer loyalty

Substantial underlying value

through ownership positions in and outside the SpareBank 1 Alliance

Well positioned in regards to consolidation

amongst Norwegian savings banks and through the SpareBank 1 Alliance

Disclaimer

This presentation contains certain forward-looking statements relating to the business, financial performance and results of SpareBank 1 SMN and/or the industry in which it operates. Forward- looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions.

The forward-looking statements contained in this presentation, including assumptions, opinions and views of SpareBank 1 SMN, or cited from third party sources, are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. Important factors that may cause such a difference for SpareBank 1 SMN are but not limited to: (i) the macroeconomic development, (ii) change in the competitive climate, (iii) change in the regulatory environment and other government actions and (iv) change in interest rate and foreign exchange rate levels.

SpareBank 1 SMN do not provide any assurance that the assumptions underlying such forward-looking statements are free from errors and do not accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecasted developments. SpareBank 1 SMN assumes no obligation, except as required by law, to update any forward-looking statements or to conform these forward-looking statements to our actual results.

Appendix

Macro in Mid-Norway

Unemployment

Wholly unemployed as a percentage of the labor force

Housing market dynamics

w

Development in housing prices

- w h w h

Source: NAV, SSB Boligpriser, Brønnøysundregisteret og Eiendomsverdi

Number of bankruptcies in Trøndelag, Møre & Romsdal

Profitable and solid

Return on equity

CET1 ratio

Result per ECC Loan losses in per cent of total lending

Growth and margins in Retail Banking - Yearly

Growth and margins in Corporate Banking - Yearly

Lending volume (NOKbn) Deposit volume (NOKbn)

• h w h

Margins vs NIBOR3M

-

Diversified deposit portfolio

Public deposits are not covered by the guarantee scheme, but are mostly bound by contractual obligations

Well diversified lending portfolio dominated by mortgages

Loans per sector

as at 30th of September 2024 and change last 12 months (NOKbn)

Commercial property, construction, building

Share of commercial real estate exposure in the corporate lending book*

Rental properties make up 75 % of the banks CRE exposure, mainly to retail trade, industry/storage and offices

*Gross lending to commercial real estate as a share of corporate lending.. National data from SSB. Data for individual banks are based on reported numbers as at Q1 2024

Robust mortgage portfolio

Loan-to-value ratio in the mortgage portfolio Share of mortgages by LTV

Granted interest-only periods

Number of loans granted interest-only periods in the Retail Banking portfolio

h h h

Problem loans

Subsidiaries

mill in share parentheses NOK SMN's ,	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	Change from Q2 24	Change from Q3 23
EiendomsMegler Midt-Norge (92 4%) 1	8	43	20	-7	-1	-35	10
SpareBank Regnskapshuset SMN (93 3%) 1	-7	5 4	3 5	8	11	-61	-18
Finans Midt-Norge SpareBank (56 5%) 1	68	76	66	12	3	-8	65
SpareBank (100%) 1 SMN Invest	-12	-13	48	66	3 7	0	-49
companies Other	3	5	5	4	3	-2	-0
subsidiaries Sum	59	165	174	8 3	53	-106	7

Product companies

mill in share parentheses NOK SMN's ,	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	Change from Q2 24	Change from Q3 23
SpareBank (19 5%) 1 Gruppen	86	1	40	-51	-13	85	99
Profit insurance Fremtind/Eika from merger	452					452	452
Boligkreditt SpareBank (23 7%) 1	3 7	3 5	3 3	3 0	5	1	3 2
SpareBank Næringskreditt (14 8%) 1	3	3	4	1	4	-1	-1
Bank (35 0%) BN	77	73	84	73	64	4	12
SpareBank Markets (39 9%) 1	20	26	25	19	0	-6	20
Kreditt SpareBank (18 6%) 1	-3	1	-4	-3	-3	-4	0
Betaling SpareBank (21 9%) 1	-1	-2	-12	-8	-10	1	9
SpareBank Forvaltning (21 5%) 1	13	13	10	12	6	0	7
companies Other	1	-3	13	16	-55	4	5 5
associated companies Sum	685	148	194	90	-2	536	686

Return on financial investments

mill NOK	Q3 24	Q2 24	Q1 24	Q4 23	Q3 23	0	Change from Q2 24	Change from Q3 23
gain/(loss) stocks Net on	-1	4	42	472	17	0	-5	-17
gain/(loss) financial instruments Net on	-45	-17	-11	-41	12	0	-29	-57
gain/(loss) forex Net on	24	11	22	27	20	0	13	4
financial instruments Net return on	-22	-1	54	458	48	0	-20	-70

Equity certificate, key figures

figures Key	Q3 24	2023	2022	2021	2020
ratio ECC	66 8 %	66 8 %	64 0 %	64 0 %	64 0 %
issued (mill) Total ECCs	21 144	20 144	129 29	129 39	129 39
price ECC	153 46	141 80	127 40	149 00	97 60
Market value (NOKm)	22 130 ,	20 448 ,	16 471 ,	19 279 ,	12 629 ,
equity capital Booked ECC per	124 05	120 48	109 86	103 48	94 71
earnings in Post-tax ECC NOK per ,	15 57	16 88	12 82	13 31	8 87
Dividend ECC per	-	12 00	6 50	50 7	40 4
P/E	7 28	8 40	9 94	11 19	11 01
Price / Booked equity capital	24 1	18 1	16 1	1 44	03 1

Balance

NOKbn	30 9 24	30 9 23
receivables Cash and from central banks	1 1	2 1
Deposits with credit institutions and loans to	8 1	13 0
receivables loans and from Net to customers	178 6	167 9
Fixed-income and bonds CDs	36 0	36 6
Shares , units and other equity interests	0 9	1 0
in companies related Investment	9 7	8 1
Intangible assets	1 2	1 1
Other assets	10 2	14 7
Total assets	246 0	243 5
Deposits from credit institutions	11 9	12 9
Deposits from and debt to customers	138 0	138 2
issue of securities Debt created by	37 8	34 0
Subordinated debt (SNP)	13 2	12 0
Derivatives	5 6	9 8
Other debt	6 9	5 2
held for sale Investment	0 0	6 1
Subordinated capital loan	2 9	2 4
Total equity Tier Capital 1 ex	27 6	26 0
Additional Tier Capital 1	2 1	1 5
liabilities equity Total and	246 0	243 5

Maturity structure

NOKbn

Development in CET1 capital and capital adequacy

CET1 ratio in per cent