SpareBank 1 Østlandet (SPOL): Good growth in a challenging market

SpareBank 1 Østlandet’s consolidated profit after tax for the second quarter of 2026 was NOK 853 (917) million. The return on equity was 13.3 (14.9) per cent.

Net interest income including commissions from covered bond companies amounted to NOK 1,159 million, representing a decline of 4.4 per cent compared with the previous quarter.

“Several factors contributed to the development, but it is clear that intense market competition is impacting margins negatively. Competition benefits customers and we will continue to fight for both new customers and to retain existing customers”, says Klara-Lise Aasen, Group CEO of SpareBank 1 Østlandet.

Activity in the retail market was good in the second quarter, and the bank’s lending is growing particularly strongly in the Greater Oslo region. Lending growth in the corporate market portfolio was also good in the second quarter, despite many companies remaining cautious. Potential interest rate hikes from Norges Bank may continue to affect investment appetite going forward.

The good development in commission income continued in the second quarter, with growth of 8.3 per cent compared with last year (excluding commissions from covered bond companies).

“For many years, the bank has seen good development in the insurance area, a trend that has strengthened over the past year. We are now also seeing very good development in customers’ mutual fund savings through the bank. Savings have increased in both assisted and self-service channels, driven by strong advisory work and competitive product solutions through the SpareBank 1 Alliance”, says Aasen.

In the second quarter, there were also solid result contributions from our jointly owned companies, including good profitability in the insurance company Fremtind. This contributed to net income from financial assets and liabilities of NOK 327 (248) million.

To preserve and strengthen competitiveness, improved cost efficiency is becoming even more important. The Board of Directors of SpareBank 1 Østlandet has adopted a long-term target of a cost ratio below 40 per cent for the group, excluding merger-related costs. At the same time, our target is that group’s costs in 2027 do not exceed costs in 2025, again excluding merger-related costs. So far in 2026, cost growth is 2.0 per cent, adjusted for certain non-recurring items.

“The bank has previously decided to reduce the number of full-time equivalents by 70 from the end of 2025 to 2027. The combination of severance agreements in the first half of the year and the hiring freeze is expected to produce visible effects in the third and fourth quarters of the current year. At the same time, we are continuously working on other cost-reducing measures. Technological enhancements and investments in new expertise will continue to be important going forward, while we will continuously assess various operational adjustments to further strengthen efficiency”, says Aasen.

In June, the bank successfully completed the technical merger with Totens Sparebank, thereby completing the merger. “The merger has progressed very well, and the bank has delivered well on all targets in the ambition to carry out a merger that sets a benchmark. The project also appears to be landing well within previously communicated cost estimates”, says the Group CEO.

The bank’s loan loss provisions were NOK 77 million in the second quarter, driven by realised losses. The quality of the lending portfolio remains solid. Nevertheless, it cannot be ruled out that certain customers may experience financial challenges, which the bank’s loan loss provisions in recent years have also reflected. In such situations, competent advice and a bank with strong local knowledge are especially valuable to customers. The bank will provide good solutions for its customers, including those experiencing difficult times.

“This year’s customer relationship survey shows good figures. In the retail market, the bank maintains its strong customer relationships, above the SpareBank 1 Alliance overall and clearly higher than the industry average. In the corporate market, customer relationships have improved compared with the previous survey, also above the SpareBank 1 Alliance overall. The results show that customers value the expertise, availability and relationships they encounter with us”, concludes Aasen.

2Q 2026 (Consolidated figures. Figures in brackets concern the corresponding period in 2025) • Profit after tax: NOK 853 (917) million • Return on equity: 13.3 (14.9) per cent • Earnings per equity capital certificate: NOK 4.38 (4.71) • Net interest income: NOK 1,095 (1,159) million • Net commissions and other operating income: NOK 491 (519) million • Net income from financial assets and liabilities was NOK 327 (248) million. • Total operating expenses: NOK 783 (785) million • Net loan loss provisions were NOK 77 (1) million • Lending growth in the last quarter, including mortgages transferred to the covered bond companies: 1.4 (1.4) per cent • Deposit growth in the last quarter: 4.1 (5.4) per cent • Common Equity Tier 1 capital ratio: 17.8 (18.3) per cent

Contact information: Klara-Lise Aasen, Group CEO, Tel.: +47 476 35 583 Geir-Egil Bolstad, CFO, Tel.: +47 918 82 071 Bjørn-Erik Orskaug, Head of Investor Relations, Tel.: +47 922 39 185

This information must be disclosed pursuant to section 5-12 of the Securities Trading Act.

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679556_SPOL_20262Q_ENG_Quarterly presentation.pdf 679556_SPOL_2026Q2_ENG_quartely report.pdf