Lloyds Banking Group Plc · LSE:LLOY
Lloyds Banking — Retail Investor ShareSoc Webinar September 2025
20 slides from Lloyds Banking's conference presentation, Sep 22, 2025
Slide 1: Share Soc Webinar
2024 Results Lloyds Banking Group 20th February 2025 Share Soc Webinar Lloyds Banking Group September 2025 1
Slide 2: Welcome and introduction to LBG
Welcome and introduction to LBG Douglas Radcliffe, Group Investor Relations Director Sarah Robson, Senior Manager, Investor Relations
Slide 3: Leading UK digital bank and integrated financial services provider
Leading UK digital bank and integrated financial services provider Lloyds Banking Group Plc 3 core divisions Retail Retail Commercial Insurance Consumer Pensions & Insurance Relationships Investments Corporate & Pensions & Consumer Consumer Small and Medium Investments Business units Institutional R
Slide 4: Our competitive advantages
Our competitive advantag Leading UK customer franchise Operating at scale with cost discipline Financial strength and with deep customer insight Our scale and efficiency enable us to robust risk management 28 million customers with extensive operate and invest more effectively. Strong capital positi
Slide 5: Purpose-driven strategy Helping Britain Prosper
Purpose-driven strategy Helping Britain Prosper …supported by a clear strategic plan… Grow Focus Change Drive revenue growth and diversification Strengthen cost and capital efficiency Maximise the potential of people, tech and data …driving competitive advantage… Market leader Proven cost leader Dig
Slide 6: Higher, more sustainable returns and capital generation
Higher, more sustainable returns and capital generation Confident in 2026 outlook >£1.5bn Additional revenues from strategic initiatives Growing and diversifying revenues… 50:50 NII:OOI split across strategic revenues …enhancing cost and capital <50% Cost:Income ratio efficiency… c.13.0% CET1 ratio
Slide 7: Successfully delivering for all stakeholders
Successfully delivering for all stakeholders Clear purpose >£8bn >£1bn c.£9bn driving growth Lending to first time buyers in H1 Funding support to Social Group sustainable financing in H1 Housing sector in H1 Positive business 14% 20% >4pp Increase in gross new mortgage Protection take-up rate for I
Slide 8: Financial update
Financial update
Slide 9: Sustained strength in financial performance
Sustained strength in financial performance Financial performance (£m) H1 H1 YoY 2025 2024 % Net interest income 6,655 6,338 5 Other income 2,969 2,734 9 Operating lease depreciation (710) (679) (5) Net income 8,914 8,393 6 • Statutory PAT of £2.5bn in H1; RoTE 14.1% Operating costs (4,874) (4,700)
Slide 10: Strong growth in lending and deposits
Strong growth in lending and deposits Q2 lending change (£bn) Q2 deposit change (£bn) Retail Commercial Retail Commercial +£3.1bn/+1% +£0.9bn/+1% +£1.0bn/0% +£5.3bn/+3% • Lending £471.0bn, up £4.8bn or 1% in Q2; up 3% YTD o Mortgages up £0.8bn QoQ 0.8 5.3 o Good growth across Cards, Loans and Motor
Slide 11: Continued growth in net interest income
Continued growth in net interest income Net interest income and banking net interest margin (£bn, bps) £3.29bn £3.36bn 7 - (3) 303 304 (3) • H1 NII £6.7bn, up 5% YoY, Q2 up 2% QoQ • H1 NIM 304bps; Q2 NIM 304bps up 1bp QoQ Q1 2025 Deposits Structural hedge Mortgages Funding, capital & other Q2 2025 o
Slide 12: Momentum in other income
Momentum in other income Divisional other income (£m) YoY 2,969 9% 2,863 2,734 78 • OOI £3.0bn in H1, £1.5bn in Q2; both up 9% YoY 126 689 6% • Broad based other income momentum in H1 649 643 o Retail: Motor leasing strength and current account fees o Commercial: Growth in transaction banking offset
Slide 13: Continued discipline on costs
Continued discipline on costs Operating costs (£m) +4% (2% ex severance) 144 117 147 4,874 (234) 4,700 • H1 operating costs £4.9bn, up 4% YoY or 2% ex. severance, in line with FY guidance • Q2 operating costs £2.3bn, down 9% QoQ 1 H1 2024 Cost savings Pay & inflation Investment, Other H1 2025 deprec
Slide 14: Motor finance commissions update
Motor finance commissions update Motor finance commissions provision (£m) Total provision £1,150m • Total motor finance provision £1,150m • Provision includes estimate for operational costs and potential redress, based on multiple scenarios • Post Supreme Court ruling 1st Aug 25, currently believe t
Slide 15: Robust asset quality
Robust asset quality Impairment (£m) H1 H1 YoY 2025 2024 £m Charge (credit) pre updated MES1 451 425 26 • Robust asset quality, reflecting prudent lending and Retail 426 463 (37) healthy customer behaviours Commercial Banking 25 (28) 53 Other - (10) 10 o Arrears low and stable / falling across our p
Slide 16: Continued growth in capital distributions
Continued growth in capital distributions Dividend per share (p) YoY 3.17 2.00 2.76 2.40 2.00 2.11 1.84 1.60 • Strong capital generation enables continued growth in 1.33 shareholder distributions 1.06 1.22 15% 0.67 0.80 0.92 • Interim dividend of 1.22p, 15% higher YoY, in line with guidance for a pr
Slide 17: Sustained strength and reaffirmed guidance
Sustained strength and reaffirmed guidance Sustained strength in financial performance, supporting higher interim dividend Reaffirmed 2025 guidance Confident in 2026 expectations Purpose 2025 2026 Helping Net interest income c.£13.5bn Britain Operating costs Asset quality c.£9.7bn c.25bps <50% CIR P
Slide 18: Q&A
Q&A
Slide 19: Investor Relations contacts
Investor Relations contacts Douglas Radcliffe Sarah Robson Group Investor Relations Director Senior Manager, Investor Relations +44 (0)20 7356 1571 +44 (0)7494 513 983 Douglas.Radcliffe@lloydsbanking.com Sarah.Robson2@lloydsbanking.com Nora Thoden Tom Grantham Director, Investor Relations – ESG Seni
Slide 20: Disclaimer
Disclaimer Important notice The information, statements, views and opinions contained in this document and accompanying discussion (“this Presentation”) are for informational and reference purposes only. This Presentation has been provided by the Group (defined below). This Presentation does not pur
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