SPAREBANK 1 NORDMØRE (SNOR) Q2 2025 earnings summary

Executive summary

• Pre-tax profit reached NOK 318 million for H1 2025, up from NOK 246 million year-over-year, with return on equity at 12.7% versus 8.3% or 10.7% last year.

• Net interest income for H1 was NOK 350 million, with a net interest margin of 2.49%.

• Strong lending growth and high customer satisfaction reported, with stable operations supported by low unemployment.

• Macroeconomic and geopolitical uncertainty persists, but regional economic indicators and business optimism remain positive.

• The bank operates primarily in Møre og Romsdal, offering a full suite of financial services.

Financial highlights

• Profit before tax YTD reached NOK 318 million, up from NOK 246 million at the same point last year.

• Net interest income YTD increased to NOK 350 million from NOK 297 million last year.

• Net commission and other income totaled NOK 141 million, up from NOK 122 million year-over-year.

• Net return on financial investments was NOK 74 million, a significant increase from NOK 24 million last year.

• Operating expenses rose to NOK 224 million, mainly due to wage and price growth and tech investments.

Outlook and guidance

• Regional businesses expect continued growth in Q3 2025, with increased investments in defense and aquaculture.

• Wage growth is estimated at 4.5% for 2025 and 4.0% for 2026.

• Management targets a return on equity of 10–12% and a cost/income ratio of 40%.

• Cost-to-income ratio is expected to remain around 39.6% for the year.

• Loan losses are projected to be lower in 2025 than in 2024.