Profit for the fourth quarter ended at NOK 1,247m after tax, with a return on
equity of 18.3 per cent. This brings a preliminary net profit of NOK 3,688m for
2023. The board of directors recommends a cash dividend of NOK 12 per equity
certificate and a community dividend of NOK 860m. 

The good fourth quarter profit performance reflects high revenue from strong net
interest income, along with a gain of NOK 414m related to SpareBank 1 Markets'
amalgamation with the capital markets units of SpareBank 1 SR-Bank and SpareBank
1 Nord-Norge. Return on equity was 14.4 per cent for the full year, compared
with a target of 13 per cent. The CET1 ratio now stands at 18.8 per cent. 

"The year in which the bank turned 200 years old was one of high activity. We
merged with SpareBank 1 Søre Sunnmøre, increased our commitment to private
banking, established a presence in Oslo and strengthened many of our finance
centres in Mid-Norway. In addition, we entered agreements to establish closer
collaboration with the Eika banks as regards our insurance and credit
businesses. The investment lays a good foundation for further development and
profitable growth, at the same time as we are sufficiently robust to cope with
upturns and downturns," says CEO Jan-Frode Janson.

Lending has risen by NOK 25.1m and deposits by NOK 10.9bn in the in the last 12
months. This includes the merger with SpareBank 1 Søre Sunnmøre. SpareBank 1 SMN
has outstanding loans totalling NOK 236.3bn, and deposits totalling NOK 132.9bn.
With overall losses of NOK 20m on loans and guarantees in the fourth quarter,
losses remain at a low level. 

High activity and a solid trend are noted in all business lines across the
group. Despite higher mortgage rates and decreasing activity in the housing
market, EiendomsMegler 1 Midt-Norge is compensating through increased market
shares. SpareBank 1 Regnskapshuset SMN acquired 1,000 new customers through
acquisitions and strong organic growth over the course of 2023.

The profit performance is negatively impacted by increased costs and by
SpareBank 1 Gruppen's write-down of its shareholding in Kredinor. Group costs
came to NOK 866m in the fourth quarter compared with NOK 646m in the same
quarter of 2022. The increase is mainly attributable to merger costs,
acquisitions by SpareBank 1 Regnskapshuset SMN, staff increases required by
greater commitment and resource inputs at a number of divisions and regulatory
requirements. 

Earnings per equity certificate were NOK 16.88 for the full year. The bank is
solidly capitalised and has good prospects for profitable operations. The board
of directors accordingly recommends a cash dividend of NOK 12, corresponding to
a dividend payout ratio of 71 per cent. NOK 860m is returned to non-profit
causes in Mid-Norway through the allocation to community dividend. 

"When the region prospers, so too does the bank. And when the bank prospers,
local communities and the voluntary sector benefit through the allocations made
to community dividend. Being able to contribute almost NOK 1m of our net profit
back to the regional community in our anniversary year is of historical
significance," says Group CEO Jan-Frode Janson. 

Over the last five years SpareBank 1 SMN's net profit has supplied local
communities in Mid-Norway with dividend worth more than NOK 2.6bn. Of this sum,
more than NOK 1bn has been distributed to non-profit causes large and small,
mainly under voluntary sector auspices.

In 2024 public health is in focus as one of the major social challenges to which
priority is given in the bank's management of community dividend. The board of
directors has resolved to allocate NOK 50m of the bank's community dividend to
support neuroscience research at the Kavli Institute in Trondheim. 

"Nobel laureates Edvard and May Britt Moser have together founded a
world-leading research institute to investigate the brain and higher neural
functions at NTNU. We believe the answer to the mystery behind the chronic
disease Alzheimer's which leads to dementia lies here. We are therefore granting
a historically high amount of our community dividend to this cause," says
executive vice president, Communication and Brand, Rolf Jarle Brøske.

Preliminary results for the year 2023:
(Consolidated figures. Figures in parenthesis refer to the same period of 2022
unless otherwise stated)

Profit after tax: NOK 3,688m (2,785m)
Return on equity: 14.4% (12.3%)
CET1 ratio: 18.8% (18.9%)
Growth in lending: 11.9% (8.1%) 
Growth in deposits: (8.9% (9.6%)
Losses on loans and guarantees: NOK 14m (net recovery 7m)
Earnings per equity certificate: NOK 16.88 (12.82)
Recommended cash dividend: NOK 12 (6.50)
Recommended community dividend: NOK 860m (474m)


Contact:
CFO Trond Søraas on +47 922 36 803
Executive vice president Rolf Jarle Brøske on +47 911 12 475


quarterlyreport.smn.no


The above information is disclosable pursuant to Section 5-12 of the Norwegian
Securities Trading Act.