Q2 and H1 2026 Results
Continued organic earnings growth and MedMera Bank acquisition completed.
Why invest in Morrow Bank
Performance per Q1 2026
18.0 billion
Gross loans: SEK 18.0 billion, up 19% year on year²27.7%
Cost/income ratio, excluding one-offs, vs 25.8% in Q2 2025, temporarily elevated by preparations for the MedMera integration²0.31
Earnings per share: SEK 0.31, vs SEK 0.27 in Q2 2025²16.3%
Return on target equity (ROTE): 16.3%, vs 12.2% in Q2 2025² ⁴Key value drivers
Organic growth in a large, resilient market. The bank focuses on creditworthy Nordic consumers with stable employment and strong repayment profiles, in a resilient SEK 600 billion market for unsecured lending. Morrow Bank has doubled its share of this market since 2022, to approximately 3 per cent in 2025, offering consumer loans, no-fee credit cards and guaranteed savings accounts, with automated credit decisions and risk-based pricing. Gross loans grew 19 per cent year on year in Q2 2026, with substantial room for continued organic growth.
A competitive cost structure that compounds with scale.Centralised operations and automated processes let the loan book grow faster than costs. Since 2022 the loan book has more than doubled, while the cost/income ratio excluding non-recurring items has fallen from above 40 per cent to approximately 25 per cent in 2025, compared to 33 per cent on average for the bank's listed peers⁵. With SEK 150 million in fully realised synergies from the MedMera integration, the cost/income ratio is expected to reach approximately 20 per cent by year-end 2028.
M&A consolidation playbook with four completed deals. Qliro, Lunar, Moank and MedMera have accelerated the profitable growth. The three portfolio acquisitions added close to SEK 3 billion of performing loans. MedMera Bank, completed on 1 July 2026 at 1.06x book value and approximately 11x 2025 earnings before synergies, brings the loan book to approximately SEK 30 billion and makes Morrow Bank one of the three largest listed Nordic consumer finance banks¹. Further M&As remains a core part of the strategy, pursued when transactions meet the bank's return requirements, enabled by the scalable platform and the bank's stock as acquisition currency.
Accelerating capital generation with a clear allocation frameworkThe redomiciliation to Sweden placed Morrow Bank on a level regulatory playing field with its Swedish-listed peers: the total capital requirement fell from 18.4 per cent under Norwegian rules at year-end 2025 to 14.4 per cent under Swedish rules, accelerating capital generation on the same underwriting framework. The bank targets a total capital ratio of approximately 17 per cent by year-end 2026. Excess capital is allocated where it generates the highest long-term shareholder return: organic growth, accretive M&A, and returning capital to shareholders.
Footnotes
- EPS CAGR from 2022 to Q2 2026 and peer comparisons as published in the Q2 2026 interim report. Peers include Instabank, NOBA Bank, Avarda, Lea Bank and Norion Bank.
- Comparison figures for Q2 2025 refer to the former entity, Morrow Bank ASA, converted from NOK to SEK based on Sveriges Riksbank's published exchange rates.
- 2025 earnings per share as reported for Morrow Bank as a standalone entity.
- ROTE is the periodic net profit, adjusted for interest expense on Additional Tier 1 (AT1) capital instruments, divided by average equity adjusted for optimal financing and capital structure, measured in percentage points.
- Morrow Bank figure refers to full-year 2025. Peer average cost/income ratio based on peers' latest reported figures as of 13 August 2026. Peers include Instabank, NOBA Bank, Avarda, Lea Bank and Norion Bank.