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Presentation of Spar Nord’s financial results for H1 2025 13 August 2025
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Retained financial guidance for 2025 Due to the recognition of total restructuring provisions of DKK 350 million, Spar Nord now forecasts a profit before impairment charges at the low end of the DKK 2.2-2.6 billion range At the same time, persistently strong credit quality among the Bank’s customers means that the Bank’s full-year guidance for profit after tax is unchanged at DKK 1.6-1.9 billion Profit after tax of DKK 707 million and ROE of 10.0% ● Net interest income declines 13% (y/y) on the back of the lower level of interest rates and thus a drop in return on the bank's surplus liquidity ● Satisfactory activity within housing market and asset under management contributes to a 3% (y/y) increase in net fee income ● Satisfactory market-value adjustments from customer activity and business volume ● Costs increase 32% (y/y) due to costs related to Nykredit’s take-over ● Provisions for restructuring amount to DKK 350 million related to staff costs and operating expenses ● Calculated excluding all items regarding Nykredit’s acquisition, costs were 2% higher ● Continued strong credit quality results in net reversal of impairment charges on loans, advances and guarantees ● Growth in bank loans and leasing of DKK 7.1 billion, corresponding 12% (y/y) and an increase in total business volume of DKK 8.6 billion to a total of DKK 380 billion ● Unchanged strong liquidity and capital position Headlines from the income statement 2 SPAR NORD BANK Rea lized Rea lized Rea lized Rea lized DKKm YTD 2025 YTD 2024 Index Q2 2025 Q1 2025 Index Net int erest income 1 ,564 1 ,795 87 781 783 1 00 Net fees, cha rges a nd commissions 804 780 1 03 373 430 87 Ma rket -va lue a djust ment s a nd dividends 238 248 96 99 1 39 71 Ot her income 1 03 1 01 1 02 60 43 1 39 Core income 2,708 2,924 93 1 ,31 3 1 ,395 94 St a ff cost s 1 ,1 48 81 3 1 41 708 440 1 61 Opera t ing expenses 672 565 119 369 303 1 22 Costs a nd expenses 1 ,820 1 ,379 1 32 1 ,077 742 1 45 Profit before impa irment cha rges 888 1 ,545 57 235 653 36 Impa irment s of loa ns a nd a dva nces -6 -37 - -1 5 9 - Profit before ta x 895 1 ,582 57 251 644 39 Ta x 1 88 366 51 35 1 53 23 Profit a fter ta x 707 1 ,21 5 58 21 5 491 44
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3 Net interest income down by 13% Interest margin Loans / Deposits ● NII amounted to DKK 1.564 million versus DKK 1.795 million in H1 2024 ● Net interest income relating to the placement of the Bank’s excess liquidity reduced by DKK 308 million due to lower market rates ● Net interest income from loans and deposits decreased DKK 8 million due to lower average interest margin, but conversely also higher deposit and lending volumes ● Interest margin of 4.09% in Q2 2025 was 85 bp. lower compared to Q2 2024 – and 24 bp. lower compared to Q1 2025 ● Lending growth of DKK 7.1 billion – y/y increase of 12% ● Lending to private customers up by DKK 3.3 billion (YTD: DKK 1.6 billion) ● Growth in bank mortgage loans of DKK 1.2 billion (YTD: DKK 0.9 billion) ● Lending to corporates and SMEs up by DKK 3.6 billion (YTD: DKK 1.3 billion) ● Leasing business has grown DKK 1.1 billion (YTD: DKK 0.7 billion) ● Lending to public-sector customers up by DKK 0.1 billion (YTD: DKK -0.1 billion) DKKm Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Int erest income on loa ns 858 849 827 763 733 Int erest expenses for deposit s 259 249 226 1 58 1 26 Net interest income, deposits a nd loa ns 599 600 601 605 607 Int erest income from fina ncia l it ems 348 337 31 5 238 220 Ot her net int erest income 1 00 86 88 64 66 Net interest income, liquidity surplus 448 423 403 302 287 Int erest expenses for ca pit a l ma rket issues 1 60 1 46 1 53 1 24 112 Tota l net interest income 887 876 851 783 781 1 ,795 1 ,564 229 308 221 85 1 ,000 1 ,250 1 ,500 1 ,750 2,000 H1 2024 Int erest income on loa ns Int erest expenses for deposit s Int erest income from fina ncia l it ems Int erest expenses for ca pit a l ma rket issues H1 2025 DKKm 1 .1 8 1 .1 3 1 .03 0.69 0.54 6.1 2 5.87 5.50 5.02 4.64 4.94 4.73 4.47 4.33 4.09 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Int erest ra t e (Deposit s) Int erest ra t e (Loa ns) Int erest ma rgin Pct. point 57.5 59.6 61 .7 63.0 64.675.5 75.3 77.2 77.8 82.7 0 20 40 60 80 1 00 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Lending, ba nking a nd lea sing a ct ivit ies Deposit s, ba nking a ct ivit ies DKKb
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4 Net fee income up 3% Other fees Securities trading and asset managementMortgage Other transactions fees ● Net fee income amounted to DKK 804 million versus DKK 780 million in H1 2024 ● Increasing level of activity in the housing market, which resulted in improvements within mortgage fees as well as loan transaction fees ● Satisfactory level of activity within asset management, primarily due to the inflow of new funds under asset management ● Other fees declined by DKK 11 million, primarily due to non-recurring income in 2024. Underlying, H1 2025 was positively affected by persistently satisfactory activity in payment services and cards as well as insurance and pension Trend in net fee income 780 804 1112 12 12 600 700 800 900 H1 2024 Mort ga ge Ot her t ra nsa ct ions fees Securit ies t ra ding a nd a sset s ma na gement Ot her fees H1 2025 DKKm Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 YTD 24 YTD 25 Y/Y: 5 % 0 50 1 00 1 50 200 250 300 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 YTD 24 YTD 25 Y/Y: 5 %DKKm Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 YTD 24 YTD 25 Y/Y: 35 % Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 YTD 24 YTD 25 Y/Y: -4 %
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Market value adjustments from customer activity and business volume 5 Trading Division, equities and bonds ● Market-value adjustments and dividends amounted to DKK 238 million versus DKK 248 million in H1 2024 ● Market value adjustments from customer activity and business volume of DKK 219 million ● Market value adjustments and dividends on the portfolio of strategic shares in the financial sector of DKK 168 million – DKK 60 million higher than in H1 2024 ● The higher income was mainly attributable to higher market value adjustments regarding Spar Nord’s shareholdings in BI Holding (BankInvest), among other things as a result of a changed valuation principle adopted by the board of directors of BI Holding ● Market value adjustments from currency and currency trading amounted to DKK 51 million ● Market value adjustments on equities and bonds were DKK 19 million - exclusively related to the bond portfolio ● Primarily related to narrowing credit spreads at the start of period ● Entire bond portfolio is recognised at fair value Satisfactory market value adjustments from customer activity and business volume 74 74 87 1 09 110 0 50 1 00 1 50 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 DKKm 19 29 -45 31 -11 -50 0 50 1 00 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 DKKm DKKm Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Ta ngible a sset s incl. dividends 48 49 56 83 84 Currency a nd currency t ra ding 26 25 30 25 26 Ma rket va lue a djustments from customer a ctivity a nd business volume 74 74 87 1 09 110 Ma rket va lue a djust ment s, equit ies 5 5 -2 0 4 Ma rket va lue a djust ment s, bonds, et c. 14 25 -42 30 -1 5 Ma rket va lue a djustments in Tra ding Division 19 29 -45 31 -1 1 Tota l ma rket va lue a dj. a nd dividends 93 1 03 42 1 39 99
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6 Costs/income ratio at 67 Breakdown on cost types Trend in costs ● Total costs amounted to DKK 1.820 million versus DKK 1.379 million in H1 2024 (32%) ● Calculated excluding all items regarding Nykredit’s acquisition, costs were 2% higher ● Staff costs increases by DKK 335 million (41%) ● The increase in staff costs was to a large extent driven by restructuring provisions and costs relating to severance payment ● Employed staff was on average 6 higher in H1 2025 compared to the same period last year ● 1,666 employees (FTE) by end of H1 2025, which was 84 fewer than at year-end 2024 ● Operating expenses up by DKK 106 million (19%) ● The increase in operating expenses was to a large extent driven by restructuring provisions ● One-off costs for advisory services in connection with Nykredit’s take-over offer of DKK 21 million 1 ,379 1 ,820 334 42 64 1 1 ,200 1 ,400 1 ,600 1 ,800 2,000 H1 2024 St a ff cost s IT expenses Ot her a dminist ra t ive expenses Deprecia t ion H1 2025 DKKm Opera ting expenses (DKKm) YTD 2025 YTD 2024 Cha nge St a ff-rela t ed expenses 27 36 -9 Tra vel expenses 9 9 -1 Ma rket ing cost s 39 39 0 IT expenses 387 345 42 Cost of premises 96 25 71 Ot her a dminist ra t ive expenses 69 66 2 Deprecia t ion 46 45 1 Opera ting expenses 672 565 1 06
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● Loan impairments amounted to DKK -6 million against DKK -37 million in H1 2024 ● The positive profit impact in H1 2025 underlined an unchanged strong credit quality among the Bank’s retail and business customers ● At end Q2 2025, impairments in stage 3 accounts for 36% of the Bank’s total impairments ● Compared to year-end 2024, the share of impairments in stage 3 has decreased by 2 percentage points ● At the end of Q2 2025, total management estimate was reduced by DKK 26 million to a total of DKK 658 million ● Fall in management estimate was primarily attributable to lower management estimates related to valuation of commercial real estate 7 Net reversal of impairment charges Impairments by type (DKKm) Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Ma na gement est ima t es 699 709 684 671 658 Impa irment s in St a ge 1 a nd 2 322 327 337 364 396 Impa irments in Sta ge 1 a nd 2 + Estima tes 1 ,021 1 ,036 1 ,022 1 ,035 1 ,054 Impa irment s in St a ge 3 626 61 2 630 61 7 590 Tota l impa irments 1 ,647 1 ,648 1 ,652 1 ,652 1 ,644 DKKm / pct. Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 - Impa irment s, priva t e -47 21 -49 3 -1 4 - Impa irment s, corpora t e 42 -23 62 6 -1 Impa irments of loa ns a nd a dva nces -4 -2 13 9 -1 5 Impa irment ra tio 0.0 0.0 0.0 0.0 0.0 DKKm Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Cyclica l downt urn 407 41 8 398 41 1 392 Commercia l rea l est a t e 1 77 1 78 1 81 1 59 1 60 ESG 88 86 88 88 90 Model uncert a int y et c. 27 28 17 14 16 Tota l ma na gement estima tes 699 709 684 671 658 Hera f Priva t kunder 1 65 1 77 1 33 1 34 1 38 Hera f Erhvervskunder 534 532 552 537 520
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8 Bank- and leasing lending Mortgage loans Bank deposits Asset under management Growth in total business volume of 2% ● End of Q2 2025, total business volume amounts to DKK 380.0 billion – DKK 8.6 billion (2%) higher than end of H1 2024 ● Very satisfactory growth in both bank and leasing lending and bank deposits ● Bank and leasing lending were up by DKK 7.1 billion (Private: DKK 3.3 billion / Corporate: DKK 3.7 billion) ● Bank deposits grew DKK 7.3 billion (Private: DKK 5.9 billion / Corporate: DKK 1.4 billion) ● Increase in mortgage loans of DKK 3.0 billion to DKK 108.2 billion at end H1 2025 ● Asset under management down by DKK 1.0 billion ● Underlying, there was a positive contribution from inflow of new funds, while customers’ sale of Spar Nord shares and negative value adjustments due to the financial market turbulence had the opposite effect ● Pensions, life annuities and guarantees contribute positively overall by DKK 1.4 billion, while other customers’ custodian accounts fall DKK 9.1 billion Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24/Q2 25: 12 %DKKb Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24/Q2 25: 10 % DKKb Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Lending, ba nking a nd lea sing a ct ivit ies 57.5 59.6 61 .7 63.0 64.6 Deposit s, ba nking a ct ivit ies 75.5 75.3 77.2 77.8 82.7 Mort ga ge loa n fa cilit a t ion 1 05.2 1 05.4 1 05.9 1 07.3 1 08.2 Asset under ma na gement 76.7 76.6 79.4 76.5 75.7 Ot her cust omers’ cust odia nship 40.9 39.0 38.2 35.6 31 .8 Pension, life a nnuit ies 5.4 5.5 5.7 5.7 5.9 Gua ra nt ees, et c. 1 0.3 1 0.7 1 1 .0 1 1 .7 1 1 .1 Tota l business volume 371 .4 372.0 379.2 377.7 380.0 0 10 20 30 40 50 60 70 80 90 1 00 110 1 20 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24/Q2 25: 3 %Mia. kr. Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q2 24/Q2 25: -1 %
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Pct. / DKKm Q2 2025 Q1 2025 2024 2023 Common equity Tier 1 ca pita l ra tio 1 9.2 1 9.1 1 8.8 1 7.7 Addit iona l Tier 1 1 .3 1 .3 1 .8 1 .9 Tier 1 ca pita l ra tio 20.5 20.3 20.6 1 9.7 Tier 2 ca pit a l 2.4 2.4 2.4 2.6 Own funds ra tio 22.9 22.7 22.9 22.3 Tota l Risk Exposure 66,1 52 66,1 54 66,600 60,369 Of wihich Credit Risk 55,71 6 55,568 54,223 49,563 Of wihich Ma rket Risk 3,61 7 3,766 4,296 3,958 Of wihich Opera t ionel Risk 6,820 6,820 8,081 6,848 9 Strong capital position Capital ratios● Capital ratios ● CET1: 19.2 (strategic target: 13.5) ● Own funds ratio: 22.9 (strategic target: 17.5) ● Individual solvency requirement of 9.5% and combined buffer requirement of 7.5% ● Compared with the end of Q1 2025, the Bank’s SIFI buffer increased from 1.0 percentage point to 2.0 percentage points as a result of Spar Nord’s consolidation into the Nykredit group ● Excess coverage of 5.9 percentage points or DKK 3.9 billion ● Compared with Q1 2025, the Bank’s CET1 ratio increased by 0.1 percentage points, while own funds ratio was a 0.2 percentage points higher ● The Bank’s own funds increased by DKK 97 billion, primarily due to developments in the Bank’s capital deductions ● Profit less provisions for expected dividends concerning Q2 2025 was not recognised in own funds ● Total risk exposure was roughly unchanged compared to Q1 2025 - DKK 0.2 billion was attributable to an increase in risk exposure for credit risk, which mainly was related to the lending growth for the period, while the cancellation of 6% guarantees for Totalkredit had the opposite effect - DKK 0.2 billion was attributable to a fall in risk exposure for market risk due to a reduction in the gross holding of bonds and a reduced equity portfolio Maturity profile for subordinated debt 0 5 10 15 20 25 2021 2022 2023 2024 YTD 25 Own funds ra t io Common equit y Tier 1 ca pit a l ra t io Pct. 500 600 500 600 250 0 200 400 600 800 1 ,000 1 ,200 2025 2026 2027 2028 2029 -> Addit iona l Tier 1 Subordina t ed loa n ca pit a l DKKm
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10 Reduced coverage for MREL requirement MREL requirement and -coverage MREL and combined buffer percentage Maturity profile for MREL capital* ● MREL and combined buffer percentage was 36.0% which is 0.9 percentage points lower than at Q1 2025 ● The drop in MREL and combined buffer percentage was attributable to the decrease in MREL-eligible liabilities, as the total risk exposure was rouhly unchanged compared to end Q1 2025 ● Excess coverage against MREL and combined buffer requirement of 4.5 percentage points by H1 2025 ● Increase in MREL and combined buffer requirement due to increase in the Bank’s SIFI buffer as a result of Spar Nord’s consolidation into the Nykredit group ● The Bank still expects that, going forward, the MREL requirement will lead to a total need for issuing MREL capital of around DKK 9 billion ● Based on the Bank’s capital ratios at the end of H1 2025, Spar Nord does not expect to have an issuance requirement of capital market funding in the second half of 2025 * MREL capital is shown with a minimum of 1 year to contractual maturity 0 5 10 15 20 25 30 35 40 2021 2022 2023 2024 YTD 25 Pct. 891 2,320 2,1 67 505 2,534 282 0 400 800 1 ,200 1 ,600 2,000 2,400 2,800 2025 2026 2027 2028 2029 2030 2031 DKKm DKKb Q2 2025 Q1 2025 2024 2023 Own funds 1 5.1 1 5.0 1 5.3 1 3.4 MREL ca pit a l 8.7 9.4 9.1 8.8 Deduct ion – sepa ra t e combined buffer requirement -5.0 -4.3 -4.3 -3.6 Tota l MREL-eligible lia bilities 1 8.8 20.1 20.1 1 8.7 Pct. MREL a nd combined buffer percent a ge 36.0 36.9 36.6 36.9 MREL a nd combined buffer requirement 31 .5 29.7 29.6 29.0 Excess covera ge, MREL requirement 4.5 7.1 7.1 7.8
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11 Solid liquidity and funding position Liquidity Coverage Ratio Net Stable Funding RatioFunding profile ● End of H1 2025, LCR stood at 459% ● Statutory requirement at 100% / Bank’s own target at 125% ● End of H1 2025, NSFR stood at 120% ● Statutory requirement at 100% / Bank’s own target at 105% ● End of H1 2025, deposits excluding pooled schemes amounted to DKK 82.8 billion or 75 % of the Bank’s total funding ● 68% of the deposits excluding pooled schemes were covered by the Guarantee Fund ● The sum of the 20 largest deposits accounted for 4% of the Bank’s total deposits excluding pooled schemes 0% 50% 1 00% 1 50% 200% 250% 300% 350% 400% 450% 500% Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 LCR LCR, Ta rget Pct. 0% 25% 50% 75% 1 00% 1 25% 1 50% Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 NSFR NSFR, Ta rget Pct. DKKb Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Money ma rket funding 4.4 5.1 6.8 6.9 2.3 Deposit s excluding pooled schemes 75.5 75.3 77.3 77.9 82.8 Issued bonds 9.1 9.1 9.1 9.4 8.7 Tier 2 ca pit a l a nd AT1 ca pit a l 2.8 2.8 2.8 2.8 2.5 Sha reholders ’ equit y 1 2.6 1 3.1 1 3.4 1 4.0 1 4.2 Tota l funding 1 04.4 1 05.4 1 09.4 1 1 1 .0 1 1 0.5
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● Profit after tax expected to be in the DKK 1.6-1.9 billion range ● Corresponding to a ROE after tax in the 11-13% range ● Core income expectations ● Net interest income is expected to be reduced due to pressure on the lending margin, a lower deposit margin and lower interest on the Bank’s excess liquidity because of rate cuts carried out by Danmarks Nationalbank ● Increase in net fee income due to higher volumes in assets under management and a higher level of activity in the housing market because of expectations of additional rate cuts during 2025 ● Market value adjustments and dividends are expected to be in line with 2024 ● Other income is expected to be significantly positively affected by contributions from Forenet Kredit related to the Bank’s expenses for customer benefits (ForeningsFordele) ● Cost expectations ● Payroll costs are expected to rise due to pay rises under collective agreements, while the average number of employees is expected to fall in 2025. In addition, there are restructuring provisions and severance payment ● Operating expenses are generally expected to be on a level with 2024, exclusive of one-off costs. In addition, there are restructuring provisions ● Profit before impairment charges expected to be in the DKK 2.2-2.6 billion range ● Due to the recognition of total restructuring provisions of DKK 350 million, the result is expected at the low end of the range ● Profit impact from impairment charges expected around DKK 0 million ● On the basis of an unchanged strong credit quality among the Bank’s retail and business customers Financial guidance for 2025 12 5-year trend DKKm 2024 2023 2022 2021 2020 Profit before impa irment cha rges 2,881 3,1 08 1 ,808 1 ,581 1 ,227 Impa irment s of loa ns a nd a dva nces -25 -33 78 -1 20 309 Profit a fter ta x 2,222 2,421 1 ,41 7 1 ,368 737 ROE a ft er t a x (pct .) 1 6.6 1 9.7 1 2.5 1 2.9 7.4