Q3 Interim report 2025

KLP Banken Group

Interim Financial Statements 3/2025

Main features by third quarter:

Increased net interest income
Strong lending growth in public sector market
Moderate P&L developement

The KLP Banken Group finances mortgages and other credit in the retail market, as well as lending to municipalities, county authorities and companies carrying out public sector assignments. Additionally, the KLP Banken Group manages a lending portfolio on behalf of its parent company Kommunal Landspensjonskasse (KLP). The Group manages a lending total of NOK 132 (124) billion. The lending business is nationwide and divided into the business areas of the retail market and the public sector market.

In the retail market, the bank offers products and services on competitive terms to help make employers who have chosen KLP as their pension provider more attractive to employees.

In the public sector lending market, KLP Kommunekreditt AS, together with KLP, aims to promote competition and thereby ensure that the sector has access to favorable long-term financing.

KLP Banken AS is wholly owned by KLP. KLP Banken AS has two wholly owned subsidiaries, KLP Kommunekreditt AS and KLP Boligkreditt AS. The head office is in Trondheim.

Income statement

The KLP Banken Group's operating profit before tax at the end of the third quarter was NOK 268.5 (254.7) million. The result for the third quarter alone was NOK 84.4 (87.7) million. The development in profit is primarily due to an increase in net interest income compared to the previous year. On the other hand, rising costs have contributed to only moderate profit growth.

Segmented profit before tax shows NOK 202.4 (192.1) million in the retail market and NOK 66.1 (62.6) million in the public sector market. After tax and estimate deviations, the Group's total comprehensive income was NOK 269.1 (262.3) million.

Net interest income in the KLP Banken Group as of the third quarter amounted to NOK 403.4 (385.8) million. The increase is mainly due to slightly lower funding costs, which have improved margins between lending and financing in the retail market. Strong growth in deposits from personal customers compared to last year has also contributed.

At the end of the quarter, the income statement includes a net gain on changes in value of financial instruments of NOK 10.2 (5.8) million. This effect is mainly related to buybacks of the bank’s own issued debt and changes in the market value of the bank’s liquidity placements.

Net fee and commission income amounted to NOK 26.9 (24.3) million as of the third quarter.

The banking group manages mortgages and public sector loans financed by the parent company (KLP). The management fee for this assignment amounted to NOK 46.9 (46.9) million at the end of the third quarter.

Operating expenses and depreciation have been recorded at NOK -219.5 (-208.0) million so far this year. Most of the increase is due to price inflation on external services, with IT operating costs in particular rising significantly compared to last year. Other operating expenses also include reimbursements to customers due to fraud, amounting to NOK -0.8 (-1.3) million.

Credit losses and loss provisions so far in 2025 amount to NOK 0.7 (-0.1) million in the retail market. The change from the same period last year is mainly due to the reversal of historical loss provisions. KLP Banken does not see any significant increase in losses or provisions on mortgages and credit cards this year. No losses have been recorded on public sector loans so far in 2025.

Lending and credits

KLP Banken manages loans on its own balance sheet as well as loans financed by KLP, totaling NOK 132 (124) billion. As of 30 September 2025, the KLP Banken Group had customer loans of NOK 45.6 (42.2) billion on its own balance sheet. The distribution between the retail market and public sector loans was NOK 25.0 (24.2) billion and NOK 20.6 (18.0) billion, respectively.

Growth in outstanding mortgages so far this year is NOK 0.7 (0.4) billion. New mortgage disbursements as of the third quarter amounted to NOK 6.5 (5.8) billion. The bank’s primary target group for mortgages is members of the pension schemes in KLP.

Mortgages totaling NOK 2.8 (2.9) billion have been sold from KLP Banken AS to the credit institution KLP Boligkreditt AS so far this year. The volume of mortgages managed on behalf of KLP remains relatively stable at NOK 3.3 billion at the end of the quarter.

The KLP Banken Group’s lending volume in the public sector market has increased by NOK 1.9 (-1.0) billion so far this year. Loans to public sector borrowers managed on behalf of KLP have increased by NOK 0.3 (1.5) billion. New disbursements to public sector borrowers as of the third quarter amounted to NOK 8.0 (6.3) billion for KLP and the KLP Banken Group combined.

Liquidity investments

Available liquidity is placed in other banks and interest-bearing securities. At the end of the third quarter, the KLP Banken Group’s placements in credit institutions amounted to NOK 1.8 (1.6) billion. The book value of interest-bearing securities measured at fair value was NOK 5.9 (7.8) billion.

Changes in market value of interest-bearing securities have contributed to a profit effect of NOK 16.0 (14.6) million so far this year.

Funding

The KLP Banken Group’s external funding consists of deposits and bonds. At the reporting date, deposits from individuals and businesses amounted to NOK 16.9 (15.7) billion. KLP Banken’s focus on attractive deposit products has resulted in strong growth in new deposits and new retail customers.

Debt incurred through the issuance of securities in the KLP Banken Group amounted to NOK 32.8 (32.5) billion at the end of the third quarter. Of this, covered bonds (OMF) issued by KLP Kommunekreditt AS accounted for NOK 19.7 (21.2) billion, and by KLP Boligkreditt AS NOK 12.1 (10.5) billion. All covered bond issuances have achieved an Aaa rating. The bond debt in KLP Banken AS was NOK 1.0 (0.8) billion.

The profit effect of realized and unrealized value changes from buybacks of the bank’s own bond issuances was NOK -7.2 (-11.3) million as of the third quarter.

Risk and capital adequacy

KLP Banken Group is exposed to various types of risk and has established a risk management framework to ensure that risks are identified, analysed, and managed through guidelines, limits, procedures, and instructions.

The bank is to maintain a conservative risk profile, and earnings should primarily result from lending and deposit activities as well as liquidity management. This implies that the business should have low market risk, and that interest rate risk arising from lending and borrowing activities is mitigated by using derivatives.

KLP Banken Group and its subsidiaries must maintain sound long-term funding in accordance with regulatory requirements, and limits have been established to ensure this objective is met.

Credit risk in the bank is low, with lending primarily limited to loans with municipal risk and loans secured by real estate. The bank’s liquidity is managed through placements in other banks and in securities that meet specified credit quality requirements in line with board-approved credit lines.

As of the end of the third quarter of 2025, eligible capital under the capital adequacy rules amounted to NOK 3,344 (3,086) million. The capital consists solely of core capital. Loans are risk-weighted in accordance with the capital requirements regulation. The KLP Banken Group had a capital adequacy ratio and core capital ratio of 25.8 (20.6) percent at the reporting date. The applicable capital requirements, including buffer requirements, are 15.1 percent for core capital and 18.9 percent for total capital. The leverage ratio was 6.1 (5.8) percent, compared to the requirement of 3.0 percent.

Outlook

The KLP Banken Group’s target group in the retail market consists of KLP’s members, employees by KLP’s owner - customers and pensioners. This represents a significant portion of the population, and the foundation for further developing the Group’s position among this group is considered strong. The KLP Banken Group will continue to work on developing favorable and relevant products and services for its members.

In September 2025, KLP Banken entered into an agreement with the Norwegian Nurses Organization (NSF) for retail banking services. The agreement takes effect in 2026 and is expected to result in significant growth in the bank’s mortgage and deposit volumes from this customer segment in the coming years.

In recent years, macroeconomic uncertainty has affected Norwegian households.

Particularly inflation and high interest rates have dampened consumption and investment. Interest rates are now trending downward, and KLP Banken is currently experiencing a strong increase in inquiries about refinancing loans from other banks. KLP’s members mainly public sector employees and their households are more shielded from employment-related risks due to their positions in municipalities and health enterprises. The KLP Banken Group therefore assumes that the risk of defaults and losses will remain limited in the future. The bank maintains its growth ambitions for deposits, primarily by attracting more deposit customers.

Household debt is subject to strict regulatory requirements for credit issuance in the retail market. The KLP Banken Group sees this as a solid foundation for further development of its banking products and services in the retail market. The Group will continue to apply conservative credit approval practices to maintain low risk in its lending portfolios, while also supporting customers facing challenges during difficult times to the extent possible.

The banking sector is at the forefront of technological development, and customer expectations for simple and digital solutions are increasing. The KLP Banken Group aims to leverage proven technology to offer relevant, user-friendly, and efficient services. This entails a continued need for IT investments to achieve the bank’s goals for growth and profitability.

Norwegian municipalities have developed a strong and comprehensive service offering for the population. Increased life expectancy, demographic changes, income development, and climate risk suggest a continued high level of investment in the public sector in the years ahead. Higher costs due to increased interest rates do not appear to have reduced lending growth compared to recent years. In its annual budget survey, KS (the Norwegian Association of Local and Regional Authorities) indicates that investment and borrowing levels are expected to remain high going forward. Demand for loans to projects that support climate adaptation is also likely to continue increasing in the coming years.

KLP Kommunekreditt AS is the only credit institution in Norway that issues covered bonds secured by loans to the public sector. The presence of KLP Kommunekreditt AS, together with KLP, in the public lending market contributes to competition and ensures that the public sector has stable access to long-term financing on favorable terms.

KLP Banken AS has strong financial solidity and an equity position that meets all regulatory requirements. Combined with low credit risk in its lending operations, this provides a solid foundation for accessing the best possible funding in the capital markets.

The Capital Requirements Regulation (CRR3) came into effect in Norway on 1 April 2025. The new rules have reduced capital requirements for mortgages for banks using the standardised approach to calculate capital requirements, such as the KLP Banken Group. These changes will help level the playing field between standardised approach banks and IRB (Internal Ratings-Based) banks.

KLP Banken is well positioned for further development and growth.

Trondheim, 5 November 2025

SVERRE THORNES
Chair

AAGE E. SCHAANNING
Deputy Chair

JANICKE E. FALKENBERG

ANNE BJERTNÆS

PER KRISTIAN VAREIDE

JONAS V. KÅRSTAD
Elected by and from
employees

ELLEN WINGE LER
Elected by and from
employees

MARIANNE SEVALDSEN
Managing Director

Income statementKLP Banken Group

NOTES	NOK THOUSANDS	Q3 2025	Q3 2024	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
	Interest income, effective interest method	610 598	606 039	1 825 912	1 801 724	2 401 323
	Other interest income	105 668	113 568	341 414	306 542	447 209
3	Total interest income	716 265	719 607	2 167 326	2 108 266	2 848 532
	Interest expense, effective interest method	-544 091	-552 056	-1 650 053	-1 616 981	-2 186 588
	Other interest expense	-39 721	-36 366	-113 832	-105 533	-141 716
3	Total interest costs	-583 812	-588 422	-1 763 885	-1 722 514	-2 328 304
3	Net interest income	132 454	131 185	403 441	385 752	520 228
	Commision income and income from banking services	10 855	9 911	29 457	26 426	36 160
	Commision cost and cost from banking services	-816	-717	-2 589	-2 120	-2 929
	Net charges and commission income	10 040	9 194	26 868	24 306	33 231
	Other fee income	15 632	15 632	46 897	46 897	62 529
16	Net gain/ (loss) financial instruments	1 083	-121	10 171	5 808	-6 953
	Total other operating income	16 716	15 511	57 068	52 705	55 576
	Salaries and administrative costs	-26 606	-26 385	-71 014	-69 199	-97 239
	Depreciation	-543	-808	-1 739	-2 424	-3 249
	Other operating expenses	-47 659	-40 845	-146 794	-136 370	-182 165
14	Net loan losses	-31	-115	711	-85	-1 009
	Total operating expenses	-74 838	-68 153	-218 836	-208 078	-283 662
	Operating profit/loss before tax	84 370	87 738	268 540	254 684	325 373
	Tax ordinary income	-904	-4 216	-6 416	-10 308	-10 418
	Profit/loss for the period	83 466	83 522	262 125	244 377	314 955
	Estimate differences, pensions for own employees	15 096	-5 812	9 292	10 523	23 019
	Tax on estimate changes related to defined-benefit pension schemes	-3 774	1 453	-2 323	-2 631	-5 755
	Other income and expenses that will not be reclassified to profit/loss	11 322	-4 359	6 969	7 892	17 264
	Changes in value of assets recognised at fair value through other income and expenses	0	0	0	0	0
	Tax on changes in fair value of available for sale financial assets	0	0	0	0	0
	Other income and expenses that may be reclassified to profit/loss	0	0	0	0	0
	Total other income and expenses	11 322	-4 359	6 969	7 892	17 264
	Comprehensive income for the period	94 788	79 163	269 093	252 269	332 220

Balance sheetKLP Banken Group

NOTES	NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
	ASSETS
5	Claims on central banks	76 596	75 596	76 375
5	Loans to credit institutions	1 783 704	1 635 361	1 196 476
4,5	Loans to customers	45 614 102	42 227 563	42 836 270
5,6,13	Fixed-income securities	5 938 512	7 836 977	7 579 182
5,6	Shareholdings	12 381	1 852	1 853
5,6,8	Financial derivatives	110 683	119 877	83 852
	Intangible assets	12 533	12 922	12 869
17	Right-of-use assets	11 222	13 092	12 625
	Fixed assets	436	436	436
10	Other assets	31 554	6 961	2 677
	Total assets	53 591 724	51 930 636	51 802 615
	LIABILITIES AND OWNERS EQUITY
	LIABILITIES
5,7	Debt securities issued	32 769 340	32 542 552	32 334 498
5	Deposits and borrowings from the public	16 899 412	15 684 807	15 800 651
5,6,8	Financial derivatives	20 032	23 170	38 057
	Deferred tax liabilities	4 885	4 165	71 880
17	Lease liabilities	12 112	13 864	13 433
11	Other liabilities	223 345	253 446	66 982
11	Provision for accrued costs and liabilities	31 110	49 630	38 162
	Total liabilities	49 960 237	48 571 634	48 363 664
	EQUITY
	Share capital	1 140 000	1 140 000	1 140 000
	Share premium	1 050 000	1 050 000	1 050 000
	Other accrued equity	1 172 393	916 733	1 248 952
	Profit for the period	269 093	252 269	0
	Total equity	3 631 487	3 359 002	3 438 952
	Total liabilities and equity	53 591 724	51 930 636	51 802 615

Statement of changes in equityKLP Banken Group

2025 NOK THOUSANDS	Share capital	Share premium	Other accrued equity	Total owners’ equity
Equity 1 January 2025	1 140 000	1 050 000	1 248 952	3 438 952
Profit for the period	0	0	262 125	262 125
Other income and expenses	0	0	6 969	6 969
Total comprehensive income for the period	0	0	269 093	269 093
Group contribution received during the period	0	0	244 884	244 884
Group contribution paid during the period	0	0	-321 441	-321 441
Total transactions with the owners	0	0	-76 557	-76 557
Equity 30 September 2025	1 140 000	1 050 000	1 441 487	3 631 487

2024 NOK THOUSANDS	Share capital	Share premium	Other accrued equity	Total owners’ equity
Equity 1 January 2024	1 140 000	1 050 000	983 931	3 173 931
Profit for the period	0	0	244 377	244 377
Other income and expenses	0	0	7 892	7 892
Total comprehensive income for the period	0	0	252 269	252 269
Group contribution received during the period	0	0	214 756	214 756
Group contribution paid during the period	0	0	-281 954	-281 954
Total transactions with the owners	0	0	-67 198	-67 198
Equity 30 September 2024	1 140 000	1 050 000	1 169 002	3 359 002

2024 NOK THOUSANDS	Share capital	Share premium	Other accrued equity	Total owners’ equity
Equity 1 January 2024	1 140 000	1 050 000	983 931	3 173 931
Income for the year	0	0	314 955	314 955
Other income and expenses	0	0	17 264	17 264
Comprehensive income for the year	0	0	332 220	332 220
Group contribution received during the period	0	0	214 756	214 756
Group contribution paid during the period	0	0	-281 954	-281 954
Total transactions with the owners	0	0	-67 198	-67 198
Equity 31 December 2024	1 140 000	1 050 000	1 248 952	3 438 952

Statement of cash flowKLP Banken Group

NOK THOUSANDS	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
OPERATING ACTIVITIES
Payments received from customers – interest	1 713 652	1 736 617	2 328 908
Payments received from customers – commission and charges	29 457	26 426	36 160
Payments to customers – interest	-502 988	-443 841	-602 364
Payments to customers – commission and charges	-2 589	-2 120	-2 929
Payments made on issuance of loans to customers	-9 416 537	-6 266 347	-9 768 310
Receipts related to repayment and redemption of loans to customers	6 744 849	6 876 290	9 765 901
Net receipt of customer deposits, Bank	1 098 868	1 624 471	1 740 138
Receipts on loans	6 003 400	7 600 000	7 600 000
Repayments and redemption of securities debt	-7 393 000	-7 950 000	-7 950 000
Change in securities debt, own funds	1 722 871	1 421 993	1 277 543
Net payment of interest on loans	-1 120 520	-1 112 827	-1 565 256
Payments on the purchase of securities	-5 220 756	-5 676 527	-6 514 698
Receipts on the sale of securities	6 827 297	2 198 279	3 235 716
Receipts of interest from securities	228 504	172 670	273 146
Disbursements on operations	-139 147	-142 128	-187 672
Payments to staff, pension schemes, employer's social security contrib.etc.	-77 116	-75 986	-97 864
Interest investment accounts	63 526	60 934	91 587
Net receipts/disbursements from operating activities	98 537	51 702	64 650
Net cash flow from operating activities	658 309	99 605	-275 344
INVESTMENT ACTIVITIES
Payments on the purchase of tangible fixed assets	0	0	-305
Net cash flow from investment activities	0	0	-305
FINANCING ACTIVITIES
Payment of lease liabilities	-1 320	-1 267	-1 698
Group contributions paid	-76 559	-67 198	-67 198
Net cash flows from financing activities	-77 879	-68 465	-68 896
Net cash flow during the period	580 431	31 138	-344 545
Cash and cash equivalents at the start of the period	1 239 224	1 583 769	1 583 769
Cash and cash equivalents at the end of the period	1 819 654	1 614 907	1 239 224
Net receipts/disbursements (-) of cash	580 431	31 138	-344 545
Liquidity holdings comprise:
Claims on central banks	76 596	75 596	76 375
Deposits with and receivables from banks with no agreed term	1 743 058	1 539 311	1 162 849
Total liquidity holdings at the end of the reporting period	1 819 654	1 614 907	1 239 224
Total interest received	2 005 682	1 970 221	2 693 641
Total interest paid	-1 623 507	-1 556 668	-2 167 620

Notes to the financial statementKLP Banken Group

Note 1 General information

KLP Banken AS was formed 25 February 2009. KLP Banken AS owns all the shares in KLP Kommunekreditt AS and KLP Boligkreditt AS. These companies together form the KLP Banken Group. KLP Banken Group offers loans to Norwegian municipalities and county authorities, as well as to companies with public sector guarantee. The lending activities are principally financed by issuance of covered bonds. In addition, The Group, offers standard banking products to private customers. KLP Banken AS is registered and domiciled in Norway. Its head office is at Beddingen 8 in Trondheim. The company has a branch office in Dronning Eufemiasgate 10, Oslo.

The company, KLP Banken AS, is a wholly owned subsidiary of Kommunal Landspensjonskasse (KLP). KLP is a mutual insurance company.

Note 2 Accounting principles

The interim report includes the interim Financial Statements of KLP Banken Group for the period 1 January 2025 – 30 September 2025. The interim Financial Statements has not been audited.

The financial statements have been prepared in accordance with IFRS Accounting Standards®) as adopted by the EU with some additions that follow The Norwegian Accounting Act and the Regulations concerning annual accounts for banks, mortgage firms and finance companies (the Accounting Regulations). The interim financial statements have been prepared in accordance with IAS 34 "Interim Financial Reporting".

Other accounting principles and calculations are the same in the interim financial statement as in the annual report for 2024, please see the annual report for further information.

Note 3 Net interest income

NOK THOUSANDS	Q3 2025	Q3 2024	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
Interest income on loans to customers	589 960	581 401	1 753 055	1 734 255	2 309 736
Interest income on loans to credit institutions	20 637	24 638	72 856	67 469	91 586
Total interest income, effective interest method	610 598	606 039	1 825 912	1 801 724	2 401 323
Interest income on interest-bearing securities	60 907	75 195	220 614	193 616	294 139
Other interest income	44 760	38 373	120 800	112 926	153 071
Total other interest income	105 668	113 568	341 414	306 542	447 209
Total interest income	716 265	719 607	2 167 326	2 108 266	2 848 532
Interest expenses on deposits to KLP Banken	-164 518	-154 296	-492 355	-433 845	-589 067
Interest expenses on issued securities	-379 574	-397 760	-1 157 698	-1 183 136	-1 597 521
Total interest expense, effective interest method	-544 091	-552 056	-1 650 053	-1 616 981	-2 186 588
Other interest expenses	-36 118	-32 975	-103 020	-95 358	-128 152
Interest expense lease liabilities	-58	-66	-179	-203	-267
Interest expenses on deposits to customers	-3 544	-3 324	-10 633	-9 972	-13 296
Total other interest expense	-39 721	-36 366	-113 832	-105 533	-141 716
Total interest expense	-583 812	-588 422	-1 763 885	-1 722 514	-2 328 304
Net interest income	132 454	131 185	403 441	385 752	520 228

Note 4 Loans to customers

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Principal on loans to customers	45 372 107	42 023 044	42 659 516
Credit portfolio	46 177	41 703	45 428
Overdraft current account	454	162	200
Write-downs step 1 and 2	-1 257	-1 550	-1 480
Write-downs step 3	-2 981	-2 344	-3 736
Loans to customers after write-downs	45 414 499	42 061 012	42 699 925
Accrued interest	257 791	235 127	218 328
Fair value hedging	-58 189	-68 577	-81 984
Loans to customers	45 614 102	42 227 563	42 836 270

Note 5 Categories of financial instruments

NOK THOUSANDS	30.09.2025		30.09.2024		31.12.2024
	Capitalized value	Fair value	Capitalized value	Fair value	Capitalized value	Fair value
FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT AND LOSS
Fixed-income securities	5 938 512	5 938 512	7 836 977	7 836 977	7 579 182	7 579 182
Financial derivatives	110 683	110 683	119 877	119 877	83 852	83 852
Shares and holdings	12 381	12 381	1 852	1 852	1 853	1 853
Total financial assets at fair value through profit and loss	6 061 576	6 061 576	7 958 705	7 958 705	7 664 887	7 664 887
FINANCIAL ASSETS FAIR VALUE HEDGING AT AMORTIZED COST
Loans to and receivables from customers	2 123 260	2 141 684	1 881 709	1 893 232	1 921 836	1 936 594
Total financial assets fair value hedging amortized cost	2 123 260	2 141 684	1 881 709	1 893 232	1 921 836	1 936 594
FINANCIAL ASSETS AT AMORTIZED COST
Loans to and receivables from credit institutions	76 596	76 596	75 596	75 596	76 375	76 375
Loans to and receivables from central banks	1 783 704	1 783 704	1 635 361	1 635 361	1 196 476	1 196 476
Loans to and receivables from customers	43 490 842	43 490 842	40 345 854	40 345 854	40 914 435	40 914 435
Total financial assets at amortized cost	45 351 142	45 351 142	42 056 811	42 056 811	42 187 285	42 187 285
Total financial assets	53 535 978	53 554 402	51 897 225	51 908 748	51 774 008	51 788 766
FINANCIAL LIABILITIES AT FAIR VALUE THROUGH PROFIT AND LOSS
Financial derivatives	20 032	20 032	23 170	23 170	38 057	38 057
Total financial liabilities at fair value through profit and loss	20 032	20 032	23 170	23 170	38 057	38 057
FINANCIAL LIABILITIES FAIR VALUE HEDGING AT AMORTIZED COST
Liabilities created on issuance of securities	2 268 681	2 267 448	1 744 803	1 760 513	1 679 351	1 691 807
Total financial liabilities fair value hedging at amortized cost	2 268 681	2 267 448	1 744 803	1 760 513	1 679 351	1 691 807
FINANCIAL LIABILITIES AT AMORTIZED COST
Deposits from customers	16 899 412	16 899 412	30 797 749	30 910 819	15 800 651	15 800 651
Liabilities created on issuance of securities	30 500 659	30 610 659	15 684 807	15 684 807	30 655 147	30 722 615
Total financial liabilities at amortized cost	47 400 072	47 510 071	46 482 556	46 595 626	46 455 798	46 523 267
Total financial liabilities	49 688 784	49 797 551	48 250 530	48 379 310	48 173 207	48 253 132

Fair value shall be a representative price based on what a corresponding asset or liability would have been traded for on the balance sheet date. A financial instrument is considered to be listed in an active market if the listed price is simply and regularly available from a stock market, dealer, broker, industry grouping, price setting service or regulatory authority, and these prices represent actual and regularly occurring transactions at arm’s length. If the market for the security is not active, or the security is not listed on a stock market or similar, valuation techniques are used to set fair value. These are based for example on information on recently completed transactions carried out on business terms and conditions, reference to trading in similar instruments and pricing using externally collected yield curves and yield spread curves. As far as possible the estimates are based on externally observable market data and to the leaste extent possible on company-specific information.

The different financial instruments are thus priced in the following way:

Fixed-income securities - government

Nordic Bond Pricing is used as a source for pricing Norwegian government bonds.

Fixed-income securities - other than government

Norwegian fixed-income securities are generally priced based on rates from Nordic Bond Pricing. Securities not covered by Nordic Bond Pricing are priced theoretically. The theoretical price should be based on the discounted value of the security's future cash flows. Discounting is done using a swap curve adjusted for credit spread and liquidity spread. The credit spread should, to the extent possible, be based on a comparable bond from the same issuer. Liquidity spread is determined at the discretion of the evaluator.

Financial derivatives

These transactions are valued based on the applicable swap curve at the time of valuation. Derivative contracts are to be used only to hedge balance amounts and to enable payments obligations to be met. Derivative contracts may be struck only with counterparties with high credit quality.

Shares (unlisted)

For liquid shares and units, the closing price on the balance sheet date is used as the basis for measurement at fair value. If the prices are not quoted, the last price traded is used. Illiquid shares are priced on the basis of the Oslo Stock Exchange’s index algorithm based on the last traded prices. If the pricing information is outdated, a derived valuation is produced from relevant stock indices or other similar securities. If this is also considered unsatisfactory, a discretionary valuation is made. This may be based on fundamental analysis, broker assessment, or adjustments for risk or liquidity considerations in relation to the price.

Fair value of loans to retail customers

The fair value through profit/loss is calculated by discounting contractual cash flows to present values. The discount rate is determined as the market rate, including a suitable risk margin. For loans measured at fair value through other comprehensive income, the fair value is calculated as the recognised principal minus estimated loss provisions on loans classified in Stage 2 and 3 (see note 14 Loan losses provision).

Fair value of loans to Norwegian local administrations

The fair value of these loans is considered to be virtually the same as the book value, as the contract terms are constantly adjusted in line with market interest rates. The fair value of fixed rate loans is calculated by discounting contractual cash flows by market interest rates including a suitable risk margin at the end of the reporting period. This is valued at Level 2 in the valuation hierarchy, cf. Note 6.

Fair value of deposits

The fair value of floating rate deposits is taken to be approximately equal to the deposit amount including accrued interest. The fair value of fixed rate deposits is calculated by discounting contractual cash flows by market interest rates including a suitable risk margin. Discounting contractual cash flows by market interest rates including a suitable risk margin.

Fair value of loans to and receivables from credit institutions

All receivables from credit institutions (bank deposits) are at variable interest rates. The fair value of these is considered to be virtually the same as the book value, as the contract terms are continuously changed in step with change in market interest rates. This is valued at Level 2 in the valuation hierarchy, cf. Note 6.

Liabilities created on issuance of securities

Fair value in this category is determined on the basis of internal valuation models based on external observable data. This is valued in Level 2 in the valuation hierarchy, cf. Note 6.

Note 6 Fair value hierarchy

30.09.2025 NOK THOUSANDS	Level 1	Level 2	Level 3	Total
ASSETS BOOKED AT FAIR VALUE
Fixed-income securities	663 390	5 275 122	0	5 938 512
Financial derivatives	0	110 683	0	110 683
Shareholdings	0	0	12 381	12 381
Total assets at fair value	663 390	5 385 806	12 381	6 061 576
LIABILITIES BOOKED AT FAIR VALUE
Financial derivatives (liabilities)	0	20 032	0	20 032
Total financial liabilities at fair value	0	20 032	0	20 032

30.09.2024 NOK THOUSANDS	Level 1	Level 2	Level 3	Total
ASSETS BOOKED AT FAIR VALUE
Fixed-income securities	630 831	7 206 146	0	7 836 977
Shareholdings	0	0	1 852	1 852
Financial derivatives	0	119 877	0	119 877
Total assets at fair value	630 831	7 326 023	1 852	7 958 705
LIABILITIES BOOKED AT FAIR VALUE
Financial derivatives (liabilities)	0	23 170	0	23 170
Total financial liabilities at fair value	0	23 170	0	23 170

31.12.2024 NOK THOUSANDS	Level 1	Level 2	Level 3	Total
ASSETS BOOKED AT FAIR VALUE
Fixed-income securities	629 300	6 949 882	0	7 579 182
Financial derivatives	0	83 852	0	83 852
Shareholdings	0	0	1 853	1 853
Total assets at fair value	629 300	7 033 734	1 853	7 664 887
LIABILITIES BOOKED AT FAIR VALUE
Financial derivatives (liabilities)	0	38 057	0	38 057
Total financial liabilities at fair value	0	38 057	0	38 057

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
CHANGES IN LEVEL 3 UNLISTED SHARES
Opening balance	1 853	1 897	1 897
Additions/purchases of shares	11 895	0	1
Unrealized changes	-1 367	-45	-45
Closing balance	12 381	1 852	1 853
Realized gains/losses	0	0	0

LEVEL 1: Instruments at this level obtain fair value from listed prices in an active market for identical assets or liabilities to which the entity has access at the reporting date. Examples of instruments in Level 1 are stock market listed securities.

LEVEL 2: Instruments at this level obtain fair value from observable market data. This includes prices based on identical instruments, but where the instrument does not maintain a high enough trading frequency and is therefore not considered to be traded in an active market, as well as prices based on corresponding assets and price-leading indicators that can be confirmed from market information. Example instruments at Level 2 are fixed-income securities priced on the basis of interest rate paths.

LEVEL 3: Instruments at Level 3 contain non-observable market data or are traded in markets considered to be inactive. The price is based generally on discrete calculations where the actual fair value may deviate if the instrument were to be traded.

Note 5 discloses the fair value of financial assets and financial liabilities that are recognized at amortized cost and according to the rules on hedge accounting. Financial assets measured at amortized cost and hedge accounting comprise lending to and due to credit institutions, Norwegian municipalities and retail customers. The stated fair value of these assets is determined on terms qualifying for level 2. Financial liabilities recognized at amortized cost and hedge accounting consist of debt securities issued and deposits. The stated fair value of these liabilities is determined by methods qualifying for level 2.

There have been no transfers between level 1 and level 2.

Note 7 Debt securities issued - stock exchange listed covered bonds and certificates

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Bond debt, nominal amount	32 910 400	34 303 457	34 302 426
Adjustments	-8 256	-17 726	-47 355
Accrued interest	282 196	280 820	243 427
Own holdings, nominal amount	-415 000	-2 024 000	-2 164 000
Total debt securities issued	32 769 340	32 542 552	32 334 498
Interest rate on borrowings through the issuance of securities at the reporting date:	4.73%	5.14%	5.09%
The interest rate is calculated as a weighted average of the act/360 basis. It includes interest rate effects and amortization costs.

NOK THOUSANDS	Balance sheet 31.12.2024	Issued	Matured/ redeemed	Other adjustements	Balance sheet 30.09.2025
Changes in debt securities issued - stock exchange listed covered bonds and cerftificates
Bond debt, nominal amount	34 302 426	6 003 400	-7 393 000	-2 426	32 910 400
Adjustments	-47 355	0	0	39 099	-8 256
Accrued interest	243 427	0	0	38 769	282 196
Own holdings, nominal amount	-2 164 000	0	1 749 000	0	-415 000
Total debt securities issued	32 334 498	6 003 400	-5 644 000	75 442	32 769 340

Note 8 Financial assets and liabilities subject to net settlement

ASSETS
30.09.2025 NOK THOUSANDS		Related amounts not presented net
	Gross financial assets/ liabilities	Financial instruments	Security in cash	Net amount
Financial derivatives	110 683	-20 032	0	90 652
Total	110 683	-20 032	0	90 652
LIABILITIES
Financial derivatives	20 032	-20 032	0	0
Total	20 032	-20 032	0	0

ASSETS
30.09.2024 NOK THOUSANDS		Related sums that are not presented net
	Gross financial assets/ liabilites	Financial instruments	Security in cash	Net recognised value
Financial derivatives	119 877	-23 170	0	96 706
Total	119 877	-23 170	0	96 706
LIABILITIES
Financial derivatives	23 170	-23 170	0	0
Total	23 170	-23 170	0	0

ASSETS
31.12.2024 NOK THOUSANDS		Related amounts not presented net
	Gross financial assets/ liabilities	Financial instruments	Security in cash	Net amount
Financial derivatives	83 852	-38 057	0	45 794
Total	83 852	-38 057	0	45 794
LIABILITIES
Financial derivatives	38 057	-38 057	0	0
Total	38 057	-38 057	0	0
The purpose of the note is to show the potential effect of netting agreements at the KLP Banken Group. The note shows derivative positions in the financial position statement.

Note 9 Transactions with related parties

30.09.2025 NOK THOUSANDS
	KLP	Other group companies
Interest incomes	3 796	5 967
Fee income	46 897	0
Purchase of administrative services	-62 838	0
Pension costs	-11 073	0
Buy other services	-3 733	-2 176
Other assets	0	1 967
Other liabilities	-45 294	0

30.09.2024 NOK THOUSANDS
	KLP	Other group companies
Interest incomes	3 755	6 686
Fee income	46 897	0
Purchase of administrative services	-60 828	0
Pension costs	-11 567	0
Buy other services	-2 406	-2 114
Other assets	0	2 074
Other liabilities	-35 953	0

31.12.2024 NOK THOUSANDS
	KLP	Other group companies
Interest incomes	4 858	8 741
Fee income	62 529	0
Purchase of administrative services	-79 008	0
Pension costs	-15 350	0
Buy other services	-3 265	-3 001
Other assets	997	1 203
Other liabilities	-11 667	-187

Transactions with related parties are carried out at general market terms, with the exception of the company's share of common functions, which are allocated at cost. Allocation is based on actual use. All internal receivables are settled as they arise.

Note 10 Other assets

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Intercompany receivables	1 967	2 074	2 200
Short-term receivable securities trading	24 736	0	454
Prepaid expenses	4 851	4 886	23
Total other assets	31 554	6 961	2 677

Note 11 Other liabilities and provision for accrued costs

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Creditors	4 748	762	1 159
Intercompany payables	45 294	35 953	11 854
Short-term balances with credit institutions	94 100	98 896	46 513
Other liabilities	79 203	117 836	7 455
Total other liabilities	223 345	253 446	66 982
Withholding tax	2 170	2 048	3 793
Social security contributions	1 611	1 708	3 174
Capital activity tax	583	588	1 019
Holiday pay	5 402	5 376	7 322
Pension obligations	12 582	33 311	21 575
VAT	1 108	822	0
Provisioned costs	7 655	5 776	1 280
Total accrued costs and liabilities	31 110	49 630	38 162

Note 12 Capital adequacy

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Share capital and share premium fund	2 190 000	2 190 000	2 190 000
Other owners' equity	1 172 393	916 733	1 248 952
Total owners' equity	3 362 394	3 106 733	3 438 952
Adjustments due to requirements for proper valuation	-5 939	-7 837	-7 579
Deduction goodwill and other intangible assets	-12 533	-12 922	-12 869
Core capital/Tier 1 capital	3 343 922	3 085 974	3 418 503
Supplementary capital/Tier 2 capital	0	0	0
Supplementary capital/Tier 2 capital	0	0	0
Total eligible own funds (Tier 1 and Tier 2 capital)	3 343 922	3 085 974	3 418 503
Capital requirement	1 037 169	1 196 542	1 206 130
Surplus of own funds (Tier 1 and Tier 2 capital)	2 306 752	1 889 433	2 212 372
Estimate basis credit risk:
Institutions	363 665	334 039	245 919
Retail	2 080 888	879 090	892 084
Local and regional authorities (incl. municipalities/county administations)	4 269 143	3 761 897	3 890 649
Investments with mortgage security in real estate	4 823 605	8 402 512	8 331 891
Investments fallen due	70 664	68 600	71 129
Covered bonds	457 261	640 253	618 724
Other items	57 582	23 671	18 973
Calculation basis credit risk	12 122 808	14 110 061	14 069 369
Credit risk	969 825	1 128 805	1 125 550
Operating risk	66 700	65 852	78 833
Credit valuation adjustments (CVA)	644	1 885	1 748
Total capital requirement assets	1 037 169	1 196 542	1 206 130
Core capital adequacy ratio	25.79 %	20.63 %	22.67 %
Supplementary capital ratio	0.00 %	0.00 %	0.00 %
Capital adequacy ratio	25.79 %	20.63 %	22.67 %
Leverage ratio	6.08 %	5.84 %	6.49 %

CAPITAL REQUIREMENT PER 30.09.2025	Core capital/Tier 1 capital	Supplementary capital/Tier 2 capital	Own funds
Minimum requirement excl. buffers	4.50 %	3.50 %	8.00 %
Protective buffer	2.50 %	0.00 %	2.50 %
Systemic risk buffer	4.50 %	0.00 %	4.50 %
Counter-cyclical capital buffer	2.50 %	0.00 %	2.50 %
Pilar 2-requirement	1.05 %	0.35 %	1.40 %
Current capital requirement incl. buffers	15.05 %	3.85 %	18.90 %
Capital requirement leverage ratio	3.00 %	0.00 %	3.00 %

Note 13 Fixed-income securities

NOK THOUSANDS	30.09.2025		30.09.2024		31.12.2023
	Acquisition cost	Market value	Acquisition cost	Market value	Acquisition cost	Market value
Certificates	356 492	357 146	237 486	237 813	237 420	237 846
Bonds	5 558 249	5 581 367	7 568 629	7 599 164	7 316 761	7 341 336
Total fixed-income securities	5 914 741	5 938 512	7 806 115	7 836 977	7 554 181	7 579 182
Fixed income securities are brought to account at market value, including accrued but not due interests.

Note 14 Loan loss provision

There has not been done any changes in the model for calculation of the expected loss provisions in the third quarter.
The total loan loss provisions have decreased by four precentage for KLP Banken Group from the last quarter.
Refer to Note 10 and Note 2 in the annual report for more details of the model.

Expected credit loss (ECL) loans to customers – all segments

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	2 299	1 546	3 814	7 659	6 207	6 207
Transfer to stage 1	517	-420	-97	0	0	0
Transfer to stage 2	-17	98	-81	0	0	0
Transfer to stage 3	-2	-161	163	0	0	0
Net changes	-636	183	170	-283	170	537
New losses	273	52	179	504	559	1 676
Write-offs	-71	-45	-1 092	-1 208	-104	-148
Change in risk model	0	0	0	0	-592	-613
Closing balance ECL	2 364	1 252	3 056	6 673	6 240	7 659
Changes 01.01-30.09./31.12.	65	-294	-758	-987	33	1 452
This includes provisions for losses on loans and receivables - unused credit	1 714	646	75	2 435	2 346	2 443

Expected credit loss (ECL) loans to customers – mortgage

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	147	284	2 290	2 722	1 508	1 508
Transfer to stage 1	25	-24	-1	0	0	0
Transfer to stage 2	-5	63	-58	0	0	0
Transfer to stage 3	0	-96	96	0	0	0
Net changes	-106	-57	-158	-321	-119	259
New losses	91	34	0	124	149	1 096
Write-offs	-8	-4	0	-12	-8	-10
Change in risk model	0	0	0	0	-111	-131
Closing balance ECL	144	200	2 170	2 514	1 417	2 722
Changes 01.01-30.09./31.12.	-3	-84	-121	-208	-90	1 214
This includes provisions for losses on loans and receivables - unused credit on mortgages	14	0	0	14	8	4

Expected credit loss (ECL) – public lending

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	177	0	0	177	180	180
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net changes	-6	0	0	-6	-6	-11
New losses	38	0	0	38	8	24
Write-offs	-14	0	0	-14	-11	-16
Closing balance ECL	195	0	0	195	170	177
Changes 01.01-30.09./31.12.	18	0	0	18	-10	-3

Expected credit loss (ECL) – credit card

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	1 942	1 262	347	3 551	4 372	4 372
Transfer to stage 1	492	-396	-96	0	0	0
Transfer to stage 2	-11	35	-23	0	0	0
Transfer to stage 3	-2	-65	67	0	0	0
Net changes	-565	199	-8	-375	-781	-853
New losses	121	19	0	139	393	515
Change in risk model	0	0	0	0	-478	-484
Closing balance ECL	1 977	1 052	286	3 315	3 506	3 551
Changes 01.01-30.09./31.12.	35	-209	-61	-235	-866	-822
This includes provisions for losses on loans and receivables - unused credit on credit card	1 699	645	75	2 420	2 338	2 439

Expected credit loss (ECL) - loan without collateral

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	7	0	0	7	0	0
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net changes	-7	0	0	-7	0	-5
New losses	19	0	0	19	0	7
Change in risk model	0	0	0	0	0	5
Closing balance ECL	19	0	0	19	0	7
Changes 01.01-30.09./31.12.	12	0	0	12	0	7

Expected credit loss (ECL) loans to customers – senior loans

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	25	0	874	899	24	25
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net changes	-1	0	-874	-874	873	873
New losses	4	0	0	4	0	4
Change in risk model	0	0	0	0	0	-3
Closing balance ECL	28	0	0	29	897	899
Changes 01.01-30.09./31.12.	3	0	-874	-870	874	874
This includes provisions for losses on loans and receivables - unused credit on senior loans	1	0	0	1	0	1

Expected credit loss (ECL) loans to customers – overdrafts deposit accounts

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Opening balance ECL 01.01.	0	0	305	305	124	124
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net changes	0	0	118	118	120	151
New losses	0	0	179	179	6	30
Closing balance ECL	0	0	602	602	250	305
Changes 01.01-30.09./31.12.	0	0	297	297	126	181

Book value of loans and receivables from customers – all segments

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	42 211 152	648 394	63 924	42 923 470	42 946 094	42 946 094
Transfer to stage 1	172 372	-166 345	-6 027	0	0	0
Transfer to stage 2	-205 503	212 132	-6 629	0	0	0
Transfer to stage 3	-584	-22 336	22 919	0	0	0
Net changes	-991 610	-9 629	989	-1 000 250	-1 035 511	-1 660 257
New losses	10 819 287	116 491	5 287	10 941 065	6 997 725	10 067 569
Write-offs	-7 021 161	-147 764	-18 830	-7 187 755	-6 608 272	-8 429 936
Lending	44 983 952	630 944	61 633	45 676 529	42 300 036	42 923 470
Fair value hedging	-58 189	0	0	-58 189	-68 577	-81 984
Recognised loan loss provisions	-675	-582	-2 981	-4 238	-3 895	-5 216
Book value of loans to and receivables on customers	44 925 088	630 362	58 652	45 614 102	42 227 563	42 836 270

Book value of loans and receivables from customers – mortgages

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	21 003 463	646 105	62 013	21 711 580	21 738 128	21 738 128
Transfer to stage 1	171 146	-165 424	-5 722	0	0	0
Transfer to stage 2	-204 771	211 314	-6 543	0	0	0
Transfer to stage 3	-299	-22 129	22 428	0	0	0
Net change	-3 420 971	-96 304	-17 280	-3 534 555	-3 445 369	-4 176 311
New lending	6 371 855	116 490	5 037	6 493 382	5 885 432	7 127 858
Write-offs	-2 351 492	-60 747	0	-2 412 239	-2 293 447	-2 978 095
Lending	21 568 932	629 304	59 932	22 258 169	21 884 744	21 711 580
Recognised loan loss provisions	-101	-175	-2 169	-2 445	-1 411	-2 718
Book value of loans to mortgages	21 568 831	629 129	57 763	22 255 723	21 883 333	21 708 862

Book value of loans and receivables from customers – public lending

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	18 770 141	0	0	18 770 141	19 087 958	19 087 958
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net change	-625 525	0	0	-625 525	-626 122	-1 167 223
New lending	4 075 731	0	0	4 075 731	831 534	2 529 768
Write-offs	-1 527 127	0	0	-1 527 127	-1 218 760	-1 680 362
Lending	20 693 220	0	0	20 693 220	18 074 611	18 770 141
Fair value hedging	-58 189	0	0	-58 189	-68 577	-81 984
Recognised loan loss provisions	-195	0	0	-195	-170	-177
Book value of loans to public lending	20 634 836	0	0	20 634 836	18 005 864	18 687 981

Book value of loans and receivables from customers – credit card

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	42 041	2 289	1 098	45 428	42 393	42 393
Transfer to stage 1	1 226	-921	-305	0	0	0
Transfer to stage 2	-732	818	-86	0	0	0
Transfer to stage 3	-215	-206	421	0	0	0
Net change	-1 411	-342	-266	-2 018	473	-2 955
New lending	2 765	2	0	2 767	-1 163	5 990
Lending	43 674	1 640	863	46 177	41 703	45 428
Recognised loan loss provisions	-278	-407	-211	-895	-1 168	-1 112
Book value of loans to credit card	43 396	1 233	653	45 281	40 535	44 316

Book value of loans to receivables from customers – senior loans

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	2 394 745	0	389	2 395 134	2 077 541	2 077 541
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	0
Net change	-85 580	0	-389	-85 969	-54 031	-85 702
New lending	367 278	0	0	367 278	275 449	403 296
Lending	2 676 443	0	0	2 676 443	2 298 959	2 395 134
Recognised loan loss provisions	-28	0	0	-28	-896	-898
Book value of senior loans	2 676 416	0	0	2 676 416	2 298 061	2 394 236

Book value of loans to and receivables from customers - lending without collateral

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	589	0	0	589	0	0
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	0	0	0	0	0	10
Net change	-589	0	0	-589	0	580
New lending	1 606	0	0	1 606	0	0
Lending	1 606	0	0	1 606	0	589
Recognised loan loss provisions	-19	0	0	-19	0	-7
Book value of loans	1 587	0	0	1 587	0	582

Book value of loans to receivables from customers – overdraft deposit accounts

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	173	0	424	597	73	73
Transfer to stage 1	0	0	0	0	0	0
Transfer to stage 2	0	0	0	0	0	0
Transfer to stage 3	-70	0	70	0	0	0
Net change	-131	0	94	-37	-99	447
New lending	51	0	250	300	46	77
Lending	23	0	838	861	20	597
Recognised loan loss provisions	0	0	-602	-602	-250	-305
Book value of overdraft deposit accounts	23	0	236	259	-230	292

Exposure - unused credit

NOK THOUSANDS	12 months ECL	Lifetime ECL (not credit impaired)	Lifetime ECL (credit impaired)	30.09.2025	30.09.2024	31.12.2024
	stage 1	stage 2	stage 3	Total stage 1-3	Total stage 1-3	Total stage 1-3
Lending 01.01.	1 946 025	45 497	362	1 991 884	1 824 120	1 824 120
Transfer to stage 1	5 453	-5 366	-87	0	0	0
Transfer to stage 2	-3 123	3 133	-10	0	0	0
Transfer to stage 3	-86	-56	141	0	0	0
Net change	593 697	-203	-57	593 437	-8 509	-54 350
New lending	1 715 679	290	0	1 715 969	1 091 186	688 443
Write-offs	-465 274	-26 813	-42	-492 129	-401 472	-466 328
Lending	3 792 373	16 482	307	3 809 162	2 505 325	1 991 884

Losses recognised in the profit and loss account consist of:

NOK THOUSANDS	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
Change in loss provisions in stage 1, 2 and 3	881	-288	-1 463
Established losses	-709	-312	-458
Recovery for previously established losses	539	515	913
Total losses in the income statement	711	-85	-1 009

Note 15 Contingent liabilites

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Credit facilities for lending not utilized	1 348 952	1 263 869	1 276 291
Credit facilities issued credit card	282 906	276 332	278 099
Loan promise	2 212 236	1 665 897	1 090 343
Total contingent liabilities	3 844 094	3 206 098	2 644 733

Credit facilities for lending not utilized: The 'Fleksilån' product is included here; this is a credit facility which allows the customer to borrow up to a specified credit limit.

Credit facitities issued credit card: Customers' credit card limits are a contingent liabilitiy for the Bank, where the customer can choose to utilise the credit up to the allocated credit limit.

Loan commitment: The Bank issues funding certificates that customers can use in bidding procedures for home purchases. This also includes other loans that have been granted but not disbursed.

Note 16 Net gain/(loss) on financial instruments

NOK THOUSANDS	Q3 2025	Q3 2024	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
Net gain/(loss) on fixed-income securities	2 713	1 375	15 969	14 553	1 431
Net gain/(loss) financial derivatives and realized amortization linked to lending	0	-60	-92	-285	-326
Net gain/(loss) financial derivatives and realized repurchase of own debt	-1 847	-2 396	-7 176	-11 339	-11 550
Net accrual of over/under rates borrowings and securities	537	1 381	2 426	4 141	5 172
Other financial income and expenses	-319	-420	-957	-1 261	-1 680
Total net gain/(loss) on financial instruments	1 083	-121	10 171	5 808	-6 953

Note 17 Leases

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
	Property
RIGHT-OF-USE ASSETS
Opening balance 01.01.	12 625	14 495	14 495
Depreciation	-1 403	-1 403	-1 870
Closing balance	11 222	13 092	12 625
LEASE LIABILITIES
Opening balance 01.01.	13 433	15 131	15 131
Repayments	-1 321	-1 267	-1 698
Closing balance	12 112	13 864	13 433

NOK THOUSANDS	Q3 2025	Q3 2024	01.01.2025 -30.09.2025	01.01.2024 -30.09.2024	01.01.2024 -31.12.2024
			Property
Interest expense lease liabilities	58	66	179	203	267
Interest expense lease liabilities	58	66	179	203	267

Note 18 Pension obligations - own employees

NOK THOUSANDS	30.09.2025	30.09.2024	31.12.2024
Capitalized net liability	21 575	43 999	43 999
Pension costs taken to profit/loss	10 795	11 328	15 110
Finance costs taken to profit/loss	957	1 261	1 679
Actuarial gains and losses incl. social security contributions	-9 292	-10 523	-23 019
Premiums/supplement paid-in including admin	-11 453	-12 754	-16 195
Capitalized net liability	12 582	33 312	21 575

ASSUMPTIONS	30.09.2025	30.09.2024	31.12.2024
Discount rate	4.00%	3.25%	3.90%
Salary growth	4.00%	3.50%	4.00%
The National Insurance basic amount (G)	3.75%	3.25%	3.75%
Pension increases	2.70%	2.80%	3.00%
Social security contribution	14.10%	14.10%	14.10%
Capital activity tax	5.00%	5.00%	5.00%
The effect of changes in the assumptions is a decrease of the obligation by NOK 9.2 million as of 30.09.2025. The change is recognized in "Total other income and expenses that will not be reclassified to profit or loss".

Quarterly earnings trend

NOK MILLIONS	Q3 2025	Q2 2025	Q1 2025	Q4 2024	Q3 2024
Interest income	716.3	725.2	725.9	740.3	719.6
Interest expense	-583.8	-587.2	-592.9	-605.8	-588.4
Net interest income	132.5	138.0	133.0	134.5	131.2
Commision income and income from banking services	10.9	9.8	8.8	9.7	9.9
Commision cost and cost from banking services	-0.8	-0.8	-0.9	-0.8	-0.7
Net charges and commission income	10.0	9.0	7.9	8.9	9.2
Other fee income	15.6	15.6	15.6	15.6	15.6
Net gain/(loss) financial instruments	1.1	7.8	1.3	-12.8	-0.1
Total other operating income	16.7	23.4	16.9	2.9	15.5
Salaries and administrative costs	-26.6	-18.1	-26.3	-28.0	-26.4
Depreciation	-0.5	-0.6	-0.6	-0.8	-0.8
Other operating expenses	-47.7	-43.7	-55.5	-45.8	-40.8
Net loan losses	0.0	-0.5	1.2	-0.9	-0.1
Total operating expenses	-74.8	-62.8	-81.2	-75.6	-68.2
Operating profit/loss before tax	84.4	107.5	76.6	70.7	87.7
Tax ordinary income	-0.9	-6.6	1.1	-0.1	-4.2
Profit/loss for the period	83.5	101.0	77.7	70.6	83.5
Other comprehensive income	15.1	-5.7	-0.1	12.5	-5.8
Tax on other comprehensive income	-3.8	1.4	0.0	-3.1	1.5
Other comprehensive income for the period	11.3	-4.3	-0.1	9.4	-4.4
Comprehensive income for the period	94.8	96.7	77.6	80.0	79.2

Key figures – accumulated

NOK MILLIONS	Q3 2025	Q2 2025	Q1 2025	Q4 2024	Q3 2024
Pre-tax income	268.5	184.2	76.6	325.4	254.7
Net interest income	403.4	271.0	133.0	520.2	385.8
Other operating income	73.8	48.1	23.5	95.8	71.2
Other operating cost and depreciation	-218.8	-144.0	-81.2	-283.7	-208.1
Net gain/(loss) financial instruments	10.2	9.1	1.3	-7.0	5.8
Deposits	16 899.4	17 151.3	16 756.6	15 800.7	15 684.8
Lending customers	24 979.3	24 452.7	24 300.9	24 148.3	24 221.7
Lending with public sector guarantee	20 634.8	19 750.6	19 419.2	18 688.0	18 005.9
Non-performing loans	58.7	73.7	66.7	63.9	57.9
Total liabilities created on issuance of securities	32 769.3	30 156.9	32 283.7	32 334.5	32 542.6
Other borrowing	0.0	0.0	0.0	0.0	0.0
Total assets	53 591.7	51 134.0	52 710.9	51 802.6	51 930.6
Average total assets	52 697.2	51 468.3	52 256.7	50 365.4	50 429.4
Equity	3 631.5	3 536.7	3 440.0	3 439.0	3 359.0
Interest net	0.77 %	0.53 %	0.25 %	1.03 %	0.76 %
Profit/loss from ordinary operation before taxes	0.51 %	0.36 %	0.15 %	0.65 %	0.51 %
Return on equity	10.41 %	10.71 %	8.91 %	10.25 %	10.70 %
Capital adequacy ratio	25.8 %	26.9 %	21.7 %	22.7 %	20.6 %
Liquidity coverage ratio (LCR)	356 %	478 %	341 %	300 %	401 %

Contact information

KLP BANKEN AS

Beddingen 8
7042 Trondheim

Organization number: 993 821 837

Visitors address, Trondheim:
Beddingen 8

Visitors address, Oslo:
Dronning Eufemias gate 10

Klp.no/bank

Phone: +47 55 54 85 00

klpbanken@klp.no

Q3 Interim report 2025KLP Banken Group