KRAFT BANK (KRAB) investor relations material

Executive summary

• Focuses on refinancing for customers with financial challenges, aiming to improve their economic situation and help them return to mainstream banking.

• Only Norwegian bank dedicated exclusively to this customer segment, emphasizing social responsibility and preventing forced home sales.

• Since 2018, 2,710 customers have been rehabilitated, with 147 in the last quarter.

• Net profit after tax reached NOK 18.7 million, up 47% year-over-year from NOK 12.7 million.

• Return on equity after tax was 14.7%, compared to 11.1% in Q1 2025.

Financial highlights

• Net profit after tax was NOK 18.7 million, up from NOK 12.7 million in the same period in 2025, a 47% increase year-over-year.

• Net interest margin rose to 4.3% from 2.9% year-over-year.

• Net interest income was NOK 50.1 million, up from NOK 33.3 million.

• Cost-to-income ratio improved to 42% from 50% year-over-year.

• Deposits increased by NOK 497 million in the quarter, reaching NOK 4,314 million.

Outlook and guidance

• Expects return on equity above 15% for 2026, assuming stable interest rates.

• Loan portfolio at year-end 2026 projected to be NOK 3.8–3.9 billion.

• Normal cost development anticipated, in line with inflation and wage growth, with continued investments in IT and operations.

• No changes expected in capital and buffer requirements for 2025.