SpareBank 1 SMN

Investor Presentation • Aug 8, 2024

Second quarter 2024

August 8th , 2024

Q2 2024

Profitable and solid

• Return on equity 15.4% in Q2 and 15.6% first half 2024 Strong net interest income, increased commission income and solid results from ownership interests. Stable cost development and moderate loan losses
• Strong results across the group Satisfactory profitability in all business areas. Increased results from real estate brokerage and accountancy subsidiaries
• Comfortable head room to capital requirements SMN is rigged for growth with good capacity for dividends
• SMN strengthens its position as a leading finance group Growth strategy achieved across selected geographies and customer segments. Increased market share in banking, accounting and estate agency
• High activity in the SpareBank 1 Alliance Merger between Fremtind Forsikring and Eika Forsikring approved Increased ownership in Kredinor and bankruptcy in Fleks AS Deal between EU and Apple enables contactless payment with Vipps

SpareBank 1 SMN is well equipped to handle volatile markets

• Robust and diversified lending book
• High share of mortgages
• Relatively high share of government employees in the region
• Conservative loan loss provisions
• Strong liquidity and good access to funding
• Diversified deposit portfolio with a high share covered by the deposit guarantee scheme
• Good access to market funding in NOK and forex
• Low risk maturity profile
• Strong liquidity; LCR at 188 per cent and NSFR at 132 per cent
• Strong solidity
• CET1-ratio 18.5 per cent
• Leverage ratio 7.1 per cent
• Experience in navigating uncertainty
• 200-year-old tradition of handling change, with a cool head
• Local presence and sector knowledge

Faksmile: Dagens Næringsliv 05.08.2024

Market capitalisation largest savings banks

Market value as at 30.06.2024

SpareBank 1 SR-Bank 34.5 NOKbn Sparebanken Vest 33.8 NOKbn SpareBank 1 SMN 32.5 NOKbn SpareBank 1 Østlandet 22.5 NOKbn SpareBank 1 Nord-Norge 21.5 NOKbn

Collaboration in the SB1-Alliance and associated companies

SpareBank 1 has leading digital solutions and the online bank has high customer satisfaction

Share of satisfied customers (per cent)

Broad and profitable product range

Share of net commission and other income Q124 (per cent)

24 20 20 ^{18 17} 13 SMN SNN SR-Bank Østlandet DNB Vest

Associated companies that succeed against international competition

Sources: SB1 TRIM survey 2022, SB1 Alliance

Norway's most complete finance centre

Local presence, digital solutions and regional knowledge

* Market share in per cent in Trøndelag and Møre & Romsdal. Sources: SpareBank 1 SMN, Eiendomsverdi, Brønnøysundregistrene

Strong results across the group

Historical AI co-operation

CEO Jan-Frode Janson, CTO Astrid Undheim and rector at NTNU Tor Grande

Chief Communications Officer Rolf Jarle Brøske and Inga Strümke, researcher at NTNU

• SMN and NTNU have entered collaboration to strenghten the University's work with AI, where SMN will be a partner in the AI-lab
• 40 NOKm of the community dividend will go to AI research over the next five years

• The collaboration will create value for Mid-Norway, increase innovation and AI competencies through education, research and public communication

• I moved back to Trondheim due to Campus Gløshaugen. I'm staying because of the skilled masters- and PhD students, says Inga.

Group strategy 'One SMN' stands firm

Create One SMN Increase digitalisation and use of insights

Head up development of Norway's savings banks

Integrate sustainability into the business

Exploit the power in our ownership model

9

Financial Information

Second quarter 2024

Trond Søraas, CFO

Q2 2024

First half 2024

15.4 % Return on Equity

1,015 NOKm Profit after tax

18.5 % CET1-ratio Lending growth 1.5 % Retail banking 1.6 % Corporate banking 1.6 %

Deposit growth 3.9 % Retail banking 5.4 % Corporate banking 6.3 %

Operating margin subsidiaries

Regnskapshuset SMN 21.6 % Eiendomsmegler 1 Midt-Norge 28.2 % SB1 Finans Midt-Norge 13.1 % (ROE) 15.6 % Egenkapitalavkastning

2,098 NOKm Profit after tax

70 NOKm Loan losses

Financial targets

High value creation over time

Return on equity (%) Implicit market value (NOKbn)

Growth and margins in Retail Banking - quarterly

Lending volume (NOKbn) Deposit volume (NOKbn)

m

m

Margins vs NIBOR3M

Growth and margins in Corporate Banking - quarterly

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

- m

- m

-

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

Results

NOK mill	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	Change from Q1 24	Change from Q2 23
Net interest income	1,310	1,336	1,345	1,226	1,110	-26	199
Commission income and other income	698	572	498	484	561	126	138
Operating Income	2,008	1,908	1,844	1,710	1,671	100	337
Total operating expenses	818	782	866	741	683	3 7	136
Pre-loss result of core business	1,190	1,126	978	969	988	63	201
Losses on loans and guarantees	47	24	20	3 5	29	23	18
Post-loss result of core business	1,143	1,103	958	934	959	40	184
Related companies	148	194	90	-2	85	-45	64
Securities, foreign currency and derivates	5	5 7	448	64	2	-52	3
Result before tax	1,296	1,353	1,496	996	1,045	-57	251
Tax	276	273	262	278	159	4	117
Result investment held for sale	-5	3	12	22	3 7	-8	-41
Net profit	1,015	1,084	1,247	740	923	-69	92
Return on equity	15.4 %	16.0 %	18.3 %	11.1 %	15.1 %	-0.6 %	0.4 %

Income

Net interest income and other income (NOKm) Commission income

mill NOK	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	C hange fro m Q1 24	C hange fro m Q2 23
transmission income Payment	91	77	101	79	77	15	14
Credit cards	17	18	14	16	15	-1	2
Commissions savings and asset mgmt	12	11	11	10	12	1	0
Commissions insurance	65	63	61	67	65	1	0
commissions Guarantee	17	15	16	15	13	2	4
Estate agency	151	115	98	110	119	36	32
services Accountancy	228	200	152	138	182	29	46
Other commissions	37	11	23	20	22	25	15
Commissions Bolig/Næringskreditt ex.	617	510	475	455	504	107	113
Commissions Boligkreditt bonds) (cov	78	5 9	19	25	5 3	19	24
Commissions Næringskred (cov bonds)	4	4	4	4	4	0	0
commission income Total	698	572	498	484	561	126	138

Costs

Total operating expenses per quarter (NOKm) Costs per category

• Staff costs flat from previous quarter in the group. Reduction in the bank and higher in subsidiaries due to high activity levels
• Consolidation of Fleks Green Fleet 01 AS leads to increase in other operating expenses
• First quarter 2024 was affected by insurance settlement

Mill kr	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	C hange fro m Q1 24	C hange fro m Q2 23
Staff costs	484	482	476	435	383	2	101
IT costs	109	110	132	93	92	-1	17
Marketing	25	26	21	24	25	-2	0
Ordinary depreciation	44	41	47	43	35	3	9
properties real Op estate .ex.,	12	13	11	15	14	-1	-2
Purchased services	66	74	71	62	5 7	-8	9
Merger expenses	0	0	18	14	18	0	-18
Other operating expense	79	36	90	6 5	9 5	43	20
operating Total expenses	818	782	866	741	683	37	135

Broad product range and diversified income platform

Ownership interests

Profit after tax (NOKm)

Losses

Loan losses (NOKm) Distribution of losses Q2 (NOKm)

Solidity

CET 1 Leverage ratio

T ' q m c m c ET -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%

22

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

-

Development in housing prices

Source: NAV, SSB, Brønnøysundregisteret and 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

26

Growth and margins in Retail Banking - Yearly

Growth and margins in Corporate Banking - Yearly

Diversified deposit portfolio

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

LCR: Liquidity Coverage Ratio

Well diversified lending portfolio dominated by mortgages

Loans per sector

as at 30 june 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 71 % of the banks CRE exposure, mainly to retail trade, industry/storage and offices

m

E

*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

T

Granted interest-only periods

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

Problem loans

Subsidiaries

mill in share parentheses NOK SMN's ,	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	Change from Q1 24	Change from Q2 23
EiendomsMegler Midt-Norge (92 4%) 1	43	20	-7	-1	3 1	24	13
SpareBank Regnskapshuset SMN (93 3%) 1	5 4	3 5	8	11	45	18	9
Finans Midt-Norge SpareBank (56 5%) 1	76	66	12	3	43	10	3 4
SpareBank (100%) 1 SMN Invest	-13	48	66	3 7	-4	-61	-9
companies Other	5	5	4	3	4	0	1
subsidiaries Sum	165	174	8 3	53	118	-9	47

Product companies

mill in share parentheses NOK SMN's ,	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	Change from Q1 24	Change from Q2 23
SpareBank Gruppen (19 5%) 1	1	40	-51	-13	-5	-39	6
Boligkreditt SpareBank (23 7%) 1	3 5	3 3	3 0	5	29	2	6
SpareBank Næringskreditt (14 8%) 1	3	4	1	4	3	-1	1
Bank (35 0%) BN	73	84	73	64	8 5	-11	16
SpareBank Markets (39 9%) 1	26	25	19	0	0	1	26
SpareBank Kreditt (18 6%) 1	1	-4	-3	-3	-2	5	3
Betaling SpareBank (21 9%) 1	-2	-12	-8	-10	-11	10	10
SpareBank Forvaltning (21 5%) 1	13	10	12	6	8	3	5
companies Other	-3	13	16	-55	5	-16	-8
associated companies Sum	148	194	90	-2	8 5	-45	64

Return on financial investments

NOK mill	Q2 24	Q1 24	Q4 23	Q3 23	Q2 23	0	Change from Q1 24	Change from Q2 23
Net gain/(loss) on stocks	4	42	472	17	-7	0	-38	11
Net gain/(loss) on financial instruments	-17	-11	-41	12	-46	0	-6	30
Net gain/(loss) on forex	11	22	27	20	38	0	-11	-26
Net return on financial instruments	-1	54	458	48	-16	0	-55	15

Equity certificate, key figures

figures Key	Q2 24	2023	2022	2021	2020
ratio ECC	66 8 %	66 8 %	64 0 %	64 0 %	64 0 %
issued (mill) Total ECCs	144 19	144 20	129 29	129 39	129 39
price ECC	151 12	141 80	127 40	149 00	97 60
Market value (NOKm)	21 790 ,	20 448 ,	16 471 ,	19 279 ,	12 629 ,
equity capital Booked ECC per	117 31	120 48	109 86	103 48	94 71
earnings in ECC NOK Post-tax per ,	9 14	16 88	12 82	13 31	8 87
Dividend ECC per	-	12 00	6 50	7 50	4 40
P/E	8 26	8 40	9 94	11 19	11 01
Price equity capital / Booked	1 29	1 18	1 16	1 44	1 03

Balance sheet

NOKbn	30 6 24	30 6 23
receivables from Cash and central banks	1 5	0 6
Deposits with and loans credit institutions to	12 0	20 4
receivables from loans and Net to customers	172 5	165 8
Fixed-income and bonds CDs	36 2	38 1
, units equity interests Shares and other	1 1	1 1
in companies related Investment	9 0	8 0
Intangible assets	2 1	1 1
Other assets	9 8	13 7
Total assets	243 4	248 8
Deposits credit institutions from	13 9	14 7
Deposits from and debt to customers	139 7	140 2
Debt created by issue of securities	36 1	40 6
Subordinated debt (SNP)	12 9	9 1
Derivatives	6 3	10 0
Other debt	3 9	3 1
for held sale Investment	0 0	1 6
Subordinated loan capital	2 8	2 6
equity Tier Capital Total 1 ex	26 1	25 2
Additional Tier Capital 1	1 8	1 7
liabilities equity Total and	243 4	248 8

Maturity structure

NOKbn

Development in CET1 capital and capital adequacy

CET1 ratio in per cent