SpareBank 1 SR-Bank ASA's profit before tax for the fourth quarter of 2023 was
NOK 1,815 million. A clear improvement compared with the same period in 2022.
The return on equity after tax for the quarter came to 19.7%.

Lending growth, with increased net interest income, good operations and income
recognition of losses contributed to the improvement in the results. An NOK 421
million one-off gain from the sale of SR-Markets to SpareBank 1 Markets also
made a positive contribution. The group's operating profit before tax of NOK
1,815 million represents an increase of NOK 590 million compared with the fourth
quarter of 2022.

Net interest income amounted to NOK 1,715 million for the fourth quarter of
2023, an increase of NOK 429 million compared with the same quarter in 2022.
SpareBank 1 SR-Bank is capturing market share and had seen total lending growth
of 7.5% in the past 12 months as at the end of December.

The quality of the loan portfolio is good, with low defaults and low risk of
losses. In the fourth quarter, impairments on loans and financial liabilities
amounting to income recognition of NOK 91 million were recognised, compared with
impairment provisions of NOK 36 million in the same quarter in 2022. This is the
third quarter in a row that the group has recognised income in relation to
losses.

"Since autumn 2021, Norwegian households and businesses have experienced a
fourteenfold increase in Norges Bank's policy rate. Customers have been able to
adapt in spite of interest rate hikes and increasing costs. As a bank, we
reflect developments in the Norwegian economy, and I am pleased to present
results that show that the majority of customers fared well through 2023," says
CEO Benedicte Schilbred Fasmer.

Operating costs amounted to NOK 935 million in the fourth quarter of 2023, up
NOK 183 million from the fourth quarter of 2022. The increase was mainly due to
a high level of activity in the group, increased personnel costs, and other
one-off costs in the quarter. 

SpareBank 1 SR-Bank owns in a 19.5% stake SpareBank 1 Gruppen AS. The profit
contribution from the company was NOK -51 million for the quarter. The negative
contribution was mainly due to a write-down of the shares in Kredinor AS in
December. 

Significant improvement in results in 2023

As at 31.12.2023, the group's operating profit before tax amounted to NOK 5,677
million, an increase of NOK 1,466 million from the same period last year. The
return on equity after tax was 15.3%. The board is proposing a dividend of NOK
7.50 per share for 2023.

Gross loans amounted to NOK 272.0 billion at the end of the fourth quarter of
2023. In the past 12 months, Retail Market, SME & Agriculture and Corporate
Market have seen lending growth of 5.2%, 15.4% and 10.2%, respectively.

The loan growth was a significant driver of the increase in net interest income,
which rose by NOK 1,620 million in 2023 compared to 2022. Increases in net
commissions and other operating income also had a positive effect on the
operating profit. Less income from financial investments and higher costs had a
negative effect on the operating profit. 

Underlying losses were back to a normalized level in 2023. Due to reversals of
impairment provisions on loans and financial liabilities, the group recorded an
income of 232 million Norwegian kroner for the year, an improvement of 237
million kroner from 2022.

The profit contribution from SpareBank 1 Gruppen AS was NOK -41 million for
2023, compared with NOK 175 million in 2022. Write-downs in Kredinor AS, in
addition to negative contributions from financial items and a challenging year
for Fremtind Forsikring AS, contributed to the result.

"We can see that the growth in debt is slowing, that the Norwegian economy is
cooling down and that competition for customers is intensifying. SpareBank 1
SR-Bank is well positioned to capture further market shares. In 2024, we also
expect Rogaland, our largest market area, to fare better than other parts of the
country due to the high level of activity in the energy industry. This could
have a positive impact on the housing market and the prospects of companies in
the region," says Benedicte Schilbred Fasmer.

On 26.10.2023, SpareBank 1 SR-Bank ASA and SpareBank 1 Sørøst-Norge announced
plans for the merger of the two groups, with a view to completion on 1.7.2024.

"Due to capacity constraints on the part of external partners, suppliers and
internally, we believe it makes sense to give the process more time. Therefore,
we have decided to complete the legal merger on 1.10.2024," says Benedicte
Schilbred Fasmer.

This assumes that the group has received the necessary approvals from the
authorities.

Q4 2023

o Profit before tax: NOK 1,815 million (NOK 1,225 million)
o Profit after tax: NOK 1,503 million (NOK 1,000 million)
o Return on equity after tax: 19.7% (14.5%)
o Earnings per share: NOK 5.48 (NOK 3.81)
o Net interest income: NOK 1,715 million (NOK 1,286 million)
o Net commissions and other income: NOK 465 million (NOK 453 million)
o Net income from financial investments: NOK 478 million (NOK 274 million)
o Operating costs: NOK 935 million (NOK 752 million)
o Impairment provisions on loans and financial liabilities: NOK -91 million (NOK
36 million)
(Q4 2022 in brackets)

Preliminary annual results for 2023

o Profit before tax: NOK 5,677 million (NOK 4,211 million)
o Profit after tax: NOK 4,475 million (NOK 3,378 million)
o Return on equity after tax: 15.3% (12.6%)
o Earnings per share: NOK 16.27 (NOK 12.88)
o Net interest income: NOK 6,136 million (NOK 4,516 million)
o Net commissions and other income: NOK 1,939 million (NOK 1,770 million)
o Net income from financial investments: NOK 669 million (NOK 756 million)
o Operating costs: NOK 3,299 million (NOK 2,825 million)
o Impairment provisions on loans and financial liabilities: NOK -232 million
(NOK 5 million)
o Total lending growth in the past 12 months: 7.5% (9.8%)
o Growth in deposits in the past 12 months: 0.7% (7.6%)
o Deposit growth in the past 12 months, excl. public sector: 7.5% (12.7%)
o Common Equity Tier 1 capital ratio: 17.61% (17.42%)
o Capital ratio: 21.58% (20.31%)
o The board is proposing a dividend of NOK 7.50 per share for the 2023 financial
year (NOK 7.00)
(As at 31.12.2022 in brackets)

The full interim report is available for download from www.sr-bank.no.

Stavanger, 8.2.2024.

Contact people:

Benedicte Schilbred Fasmer, CEO, Tel. +47 950 60 034
Inge Reinertsen, CFO, Tel. +47 909 95 033
Morten Forgaard, financial director, Tel. +47 916 21 425
Øyvind Knoph Askeland, communications director, Tel. +47 922 32 639

This information is disclosed in compliance with section 5-1 of the Securities
Trading Act.

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