Enity (ENITY) investor relations material

Executive summary

• Portfolio and lending to the public grew 9.5% year-over-year, driven by the Uno Finans acquisition and strong performance in Norway and Finland, despite weak housing markets and geopolitical uncertainty.

• Uno Finans acquisition completed and fully consolidated from March, contributing SEK 116 million revaluation gain and SEK 10 million operating profit in March.

• Net profit reached SEK 187 million, up 135% quarter-on-quarter and 282% year-on-year, mainly due to Uno revaluation gain.

• Operating profit surged 156% year-over-year to SEK 208 million, with earnings per share rising to SEK 3.63.

• Net interest income was pressured by timing effects and higher deposit costs but is expected to improve in Q2.

Financial highlights

• Adjusted operating profit was SEK 113 million, down 7% quarter-on-quarter and 12% year-over-year, reflecting higher credit losses and operating expenses.

• Net interest income decreased 4% year-over-year to SEK 288 million, with net interest margin at 3.7%.

• Credit losses at 24 basis points for the quarter, down from 26 bps in Q4, but expected to remain elevated.

• Adjusted cost/income ratio at 57.6%, up from 47.1% in Q1 2025.

• Lending to the public grew 5% sequentially and 16% year-over-year to SEK 32,090 million.

Outlook and guidance

• Net interest income expected to turn positive in Q2 due to reversal of timing effects, full-quarter Uno contribution, and favorable calendar effects.

• Credit losses anticipated to remain elevated through 2026 due to subdued housing markets, macro uncertainty, and external factors.

• Growth in Sweden expected to pick up gradually through 2026, supported by new mortgage regulations and product launches.

• Margin expected to gradually decrease by about 10 bps per annum in near-prime segment.

• Cost-income ratio guidance of 40-42% remains unchanged for the coming years.