Bank Of Cyprus Holdings Plc · CSECY:BOCH
Bank Of Cyprus — Investor Presentation (March 2026)
76 slides from Bank Of Cyprus's investor presentation, Mar 3, 2026
Slide 1: Bank of Cyprus Group Investor Update
Bank of Cyprus Group INVESTOR UPDATE 3 March 2026
Slide 2: Contents
01 Executive Summary 02 Cyprus Macroeconomic Outlook & Banking Sector 03 Contents Strategy Update 04 Conclusion 05 Appendix 2
Slide 3: Executive summary
Executive summary
Slide 4: Introduction to Bank of Cyprus
Introduction to Bank of Cyprus Panicos Nicolaou Chief Executive Officer 4
Slide 5: Our Investment Case
Our Investment Case Supportive Macro Leading Position in Banking and • Positive outlook with c.3% p.a. economic Broader Financial Services growth • #1-2 positions across banking, insurance • Cyprus is a business and tech hub in the and payment solutions in Cyprus region • Operating in a highly liqui
Slide 6: Our Universal offering
Our Universal offering • #1 Retail bank in Cyprus Retail & Wealth • Supporting deposit franchise; c.60% of deposit book • Wealth proposition for Affluent customers • #1 in Corporate & SME in Cyprus Wholesale • Well-diversified loan book by sector • #1 in servicing international customers in Cyprus I
Slide 7: Leading position for banking and financial services in Cyprus
Leading position for banking and financial services in Cyprus… Leading #1 in Life /#2 in Non-Life #1 Payments banking position insurance business provider in Cyprus Domestic Market shares1 Loans Deposits Life insurance Non-Life insurance Payments solutions 47% 39% c.33% 23% 79% 29% c.16% 16% 11% c.2
Slide 8: …with the leading mobile bank
…with the leading mobile bank Digital Housing Loans • Banking for minors (age 6-17) • Digital application with instant decision QuickLoans Enhanced 18-25 offering • Instant decision digital lending for • Digital account for ages 18-25 with added personal, car, credit card and overdraft benefits faci
Slide 9: What we have achieved since 2023
What we have achieved since 2023 9
Slide 10: Delivered on our 2023 promises with strong execution
Delivered on our 2023 promises with strong execution… 2023 Investor Update Priorities set in the 2023 Investor Update event event 2023 - 2025 2025 Targets: 24.8% 21.4% 18.6% ROTE Generate high, sustainable profitability >13% ROTE Payout1 30% 50% 70% Normalise distributions, building an attractive sh
Slide 11: Unpacking our journey to strong profitability
Unpacking our journey to strong profitability Managed successfully net Managing the rate cycle through volume growth Ongoing cost discipline interest income as rates and hedging Cost to income ratio1 normalised 59% Average ECB -0.4% 3.3% 2.3% depo rate 792 37% Maintained cost discipline, 731 31% man
Slide 12: Leading to strong capital generation and rapid capital build-up
Leading to strong capital generation and rapid capital build-up Significant capital generation over last 3 years reflects consistently Capital generation capacity well above EU peers1 high profitability (bps) Organic capital generation (bps) 445 445 436 436 300 299 265 229 Greek peers Italian peers
Slide 13: Delivered high total shareholder returns
Delivered high total shareholder returns Consistent growth of tangible book value with strong Cumulative cash dividends 2022-2025 out of Share price appreciation2 distribution capacity December 2022 market cap1 December 2022-February 2026 (€ mn) 2,658 98% 305 4.7x 4.3x 87% 3.2x +7% CAGR 2.1x 1,645 3
Slide 14: Cyprus Macroeconomic Outlook & Banking sector
Cyprus Macroeconomic Outlook & Banking sector
Slide 15: Introduction and overview
Introduction and overview Political system: Presidential democracy Legislature: House of Representatives Cyprus Population: c.980k1 Currency: Euro International memberships including: EU member state since 2004 and Euro Area (EA) since 2008, Council of Europe, United Nations, IMF Macro snapshot: • S
Slide 16: Small, open economy growing faster than the Euro Area
Small, open economy growing faster than the Euro Area Resilient economy, quick crisis recovery. Positive outlook expected Real GDP (yoy % change) GDP growing faster than Euro area 6.0 5.0 3.9 3.8 3.6 4.0 3.1 3.0 Broad based economic growth in 2025, mainly 3.0 2.0 0.9 1.5 1.2 1.4 supported by informa
Slide 17: Macro environment enablers
Macro environment enablers Inflation to remain under control in the medium term Low unemployment rate HICP1 index (yoy% change) Unemployment rate 2.5% 2.5% 2.1% 2.0% 1.8% 1.9% 8.4% 8.0% 6.8% 6.4% 6.2% 6.3% 6.1% 8.2% 7.6% 6.3% 4.9% 4.6% 4.6% 4.6% Average 2015-2025 2026e 2 2027e 2 2016 2017 2018 2019
Slide 18: Cyprus as a growing business and tech hub in the region
Cyprus as a growing business and tech hub in the region Cyprus is a fast-growing business hub – keeps on attracting new people Period: 2022-2025 >2,600 #27,000 50% >2x increase in the number companies relocated work permits granted; tax break for foreigners of people applying for the to Cyprus, many
Slide 19: Strong fiscal position, debt-to-GDP below 60%
Strong fiscal position, debt–to-GDP below 60% Budget surplus on positive Strong public debt to GDP outpacing euro area average… …declining since 2014 peak momentum since 2022 and As at 30 September 2025 expected to continue going forward 150% 80% 138% 71% 118% 63% 103% 98% 57% 89% 51% Impact from th
Slide 20: Housing market developments
Housing market developments Housing market recovered House prices back at 2010 levels… in 2025, returning to price (House price index) levels of 2010 100.0 104,7 91.4 Household affordability 75.2 dynamics improved since 2010; • House price to GDP 1Q2013 1Q2015 4Q2025 1Q2018 1Q2010 1Q2012 1Q2007 1Q20
Slide 21: Lending in Cyprus recovering
Lending in Cyprus recovering Gross performing loans up 14% since 2022 …with private sector debt to GDP down to 55%... (€ bn) 350% 243% 29.0 300% 28.0 28.3 250% 27.0 26.0 200% 25.1 25.0 150% 24.0 23.2 100% 71% 23.0 22.1 55% 22.0 50% 21.0 0% 20.0 2024 2020 2015 2025 2018 2023 2021 2016 2019 2014 2022
Slide 22: Highly liquid, consolidated banking sector
Highly liquid, consolidated banking sector Ample liquidity demonstrated by a low Loan to Deposit ratio1 2 largest banks representing c.80% of the banking sector 31 December 2025 LCR 59% of resident deposits (€ bn) 58.7 held by households 157% 164% 168% 172% 281% 207% 313% Loans to Deposits ratio 102
Slide 23: Investment grade since 2018; 3 notches above investment grade
Investment grade since 2018; 3 notches above investment grade Current ratings S&P Credit rating: Outlook: AA 19 AA AA- A+ 17 A+ A3 Stable A A- 15 A- BBB+ BBB+ BBB 13 BBB A- Positive BBB- Investment grade BB+ 11 BB 9 A- Positive 7 Mar 21 Jun 21 Sep 21 Dec 21 Mar 23 Jun 23 Sep 23 Dec 23 Mar 25 Jun 25
Slide 24: Strategy update
Strategy update
Slide 25: Continuation of our strategy, upscaling our ambitions
Continuation of our strategy, upscaling our ambitions STRATEGIC Sustainable Attractive and sustainable PRIORITIES and resilient profitability shareholder returns SUPPORTED BY Strong macro Strong franchise Leading technology International contribution 25
Slide 26: Our financial targets
Our financial targets 2025 2026 2027 - 2028 ROTE 18.6% Mid-teens Mid-teens ROTE ON 15% CET1 RATIO 26.4% >20% >20% DISTRIBUTIONS PAYOUT1 Ordinary 70% 70% 70% p.a. Top-up Up to 20%2 Up to 30%2 p.a. ORGANIC 436 bps 350-400 bps p.a. CAPITALGENERATION3 Supported by: c.40% At lower end of Cost to income n
Slide 27: Responding to the external environment
Responding to the external environment Ready to adapt - our opportunities: • Protect domestic position Small domestic market • Expand international lending Domestic growth in line with economy • Expand non traditional banking services Increasing domestic competition • Strong customer engagement Mark
Slide 28: Building blocks towards maintaining attractive profitability
Building blocks towards maintaining attractive profitability STRONG CAPITAL GENERATE HIGH QUALITY MAINTAIN SUSTAINABLE & GENERATION, UPSCALED REVENUE GROWTH RESILIENT PROFITABILITY DISTRIBUTIONS • Retail and corporate domestic • Maintain low cost to income • Maintain high organic capital loan growth
Slide 29: Loan expansion continuing at c.4% CAGR
Loan expansion continuing at c.4% CAGR Gross performing loans Loan book to grow by >5% yoy in 2026 and c.4% CAGR (€ bn) CAGR +4% CAGR for 2026-2028 +4% >5% 10.9 9.7 9.7 10.1 1.4 Only focused on high quality volume growth, that 4.8 meets risk adjusted pricing and returns on capital criteria 4.7 Domes
Slide 30: Deposit franchise strength is a competitive advantage and a profitability lever
Deposit franchise strength is a competitive advantage and a profitability lever Sticky deposit base that has consistently grown since 2022 Maintain a strong deposit base Broadly flat c.60% of total deposits is retail 22.2 at 2025 levels 20.5 (€bn) 19.0 19.3 Deposit pricing contained through the 70%
Slide 31: Loyal and increasingly digitally engaged customer base
Loyal and increasingly digitally engaged customer base Uniquely positioned to serve of which customers across their life c.670k 70% 504k 1/3rd cycle Servicing three quarters of population in Cyprus Customer Primary Bank Active login to digital base % of customer base1 digital users channels daily 75
Slide 32: Continue to grow capital light recurring non-NII by c.4% CAGR
Continue to grow capital light recurring non-NII by c.4% CAGR Non-NII is a significant contributor to Group’s Recurring non-NII to grow with a CAGR of c.4% revenues (€ mn) CAGR +4% yoy +4% Recurring non-NII mainly comprising: 240 250 • Net insurance result • Net fee and commission income • FX custom
Slide 33: Generating high quality revenue growth
Generating high quality revenue growth Risk adjusted revenues1/ RWAs (FY2025) High quality revenues 9.1% CAGR +3% 981 7.4% 7.3% 7.2% 6.3% Irish peers Italian peers Domestic Greek peers 2025 2028 Spanish peers Risk adjusted revenues at >900 bps, higher than peers driven by: High quality revenues expe
Slide 34: Low execution risk
Low execution risk Sustainability of profitability and returns are Maintain a lean operating model in a normalised rate environment enabled by strong lines of defence 49% c.40% 37% 34% Maintain low cost to income ratio , whilst C/I ratio 1 continuing to invest in the business 2022 2024 2025 2026-202
Slide 35: Peer leading organic capital generation
Peer leading organic capital generation Strong organic capital generation1 expected to continue FY2025 (bps) 436 350-400 p.a. 300 299 265 229 Greek peers Italian peers Irish peers Spanish peers 2026-2028 Strong organic capital generation1 driven by: • High, sustainable profitability • Peer leading r
Slide 36: Clear priorities for disciplined capital deployment
Clear priorities for disciplined capital deployment Sustainable profitability enables: Attractive ordinary Investment Organic growth distributions c.15% in the business (70% payout) CET1 Ratio Target High capital ratios provide optionality for: (Medium-term) Additional Disciplined shareholder return
Slide 37: Our distribution ambitions
Our distribution ambitions 2025 2026 2027 - 2028 ORDINARY 50-70% payout ratio policy 70% 70% 70% DISTRIBUTIONS reiterated1 Up to 20% Up to 30% TOP-UP DIVIDENDS To be assessed annually when CET1 ratio sustainably >15% Attractive shareholders’ returns €305 mn Up to 100%2 TOTAL DISTRIBUTIONS of which €
Slide 38: Optionality with potential selective bolt-on M&A
Optionality with potential selective bolt-on M&A Criteria for bolt-on M&A Strategic rationale • Accelerate organic delivery Acquisition of Ethniki Insurance Cyprus (July 2025) • Selective acquisitions targeting further diversification of the Group’s business model and income composition including: c
Slide 39: Financial Outlook
Financial Outlook Eliza Livadiotou Executive Director Finance 39
Slide 40: Our financial targets
Our financial targets 2025 2026 2027 - 2028 ROTE 18.6% Mid-teens Mid-teens ROTE ON 15% CET1 RATIO 26.4% >20% >20% DISTRIBUTIONS PAYOUT1 Ordinary 70% 70% 70% p.a. Top-up Up to 20%2 Up to 30%2 p.a. ORGANIC 436 bps 350-400 bps p.a. CAPITALGENERATION3 Supported by: c.40% At lower end of Cost to income n
Slide 41: Highly liquid and simple balance sheet
Highly liquid and simple balance sheet Total assets Total liabilities & equity (€ bn) 28.6 28.6 Other assets 2.0 Other 1.7 REMU repossessed 0.4 properties Equity (incl AT1) 2.9 10% • 44% linked with Euribor • 21% linked with Bank’s base rate1 Wholesale 1.4 Due to banks 0.4 (‘natural hedging’ of time
Slide 42: Net interest income stabilising in 2026, reverting to growth from 2027
Net interest income stabilising in 2026, reverting to growth from 2027 Absorbed the bulk of interest rate reductions by 4Q2025 NII demonstrated resilience on lower rates, supported by volumes and hedging NII stabilisation into 2026 Overall, c.3% CAGR NII growth by 2028 Average ECB 2.8% 2.3% 2.0% 2.0
Slide 43: Optimise management of interest earning assets to support margins
Optimise management of interest earning assets to support margins Changing asset mix to support margins Interest earning assets 26.1 Gradual change in the composition of interest (€ bn) 22.5 earning assets from liquid assets to loans and 10.2 fixed income portfolio to represent c.70% by 10.0 2028 5.
Slide 44: Loan growth supported by domestic demand
Loan growth supported by domestic demand… Domestic loan book to grow by low-mid single Domestic loan growth with a CAGR of c.3% digit, in line with the economy (Gross performing loans € mn) • GDP expected to grow by c.2.5% • Maintain leading market share with pricing CAGR discipline despite competit
Slide 45: And selective expansion of international loan portfolio
… And selective expansion of international loan portfolio Expansion of international loan book International loan book expected to % of total loan portfolio (€ bn) build-up to c.€2.0 bn by end-2028 10% 12% c.16% • Strict underwriting standards c.2.0 International Corporate 1.4 c.0.2 p.a. 1.0 0.4 • E
Slide 46: Strong deposit base and well-managed cost of deposits
Strong deposit base and well-managed cost of deposits Strong deposit base to remain to approximately 2025 levels % yoy growth 2% 6% 8% Sticky deposit base, mainly retail-funded 22.2 20.5 (€ bn) 19.0 19.3 30% Time & 33% Seasonal deposit growth in 4Q2025, up 3% on 29% 32% Notice prior quarter Current
Slide 47: Careful expansion of fixed income portfolio, subject to market conditions
Careful expansion of fixed income portfolio, subject to market conditions Fixed income securities– NBV Maintain low-risk, diversified fixed income % portfolio, to support NII growth 11% 14% 16% 18% To increase to 22% assets by 20281 5.1 Fixed income portfolio to reach c.22% of total (€ bn) 4.2 asset
Slide 48: Structural hedging to be sustained
Structural hedging to be sustained As at December 2025: €12.1 bn hedging covering 47% of average interest Hedging earning assets (€ bn) Dec 24 Dec 25 Existing IRSs hedging NMDs at €5.0 bn with an Receive fixed IRSs1 on non-maturing deposits (NMDs) 2.91 5.04 average duration of 3 years 4Q2025 Average
Slide 49: Focused on growing high quality, recurring non-NII
Focused on growing high quality, recurring non-NII Non-NII is a significant source of Group’s revenue (€ mn) Capital-light, sustainable and diversified 2024 240 32 272 recurring non- NII Net fee and commission income growth 2025 250 44 15 309 supported by: Recurring non-NII Other non-NII Non-recurri
Slide 50: Net insurance income to grow by high single digit
Net insurance income to grow by high single digit Growth in the business from both life and non-life Net insurance result1 (€ mn) Initiatives to support growth via: CAGR High single digit Strengthen further bancassurance model to 54 49 continue to capitalise on existing BOC clientele Enhance further
Slide 51: Jinius and JCC contributing to recurring non-NII growth
Jinius and JCC contributing to recurring non-NII growth c.1,800 +127% yoy Companies Active offers subscribed1 through Jinius marketplace Money Exchanged through Jinius Business Incremental Non-NII through: Net fee and commission income (€ mn) 2,600 (€ mn) CAGR • Transactional fees +7% One-stop shop,
Slide 52: Efficiency actions undertaken to support a lean operating model
Efficiency actions undertaken to support a lean operating model Substantial streamline of workforce and branch network Digital transformation, started in 2017 Active digital users # Employees # Branches offering alternative channels for customers to carry out their +79% -31% -48% transactions 504k 4
Slide 53: Maintain efficiency focus whilst continuing IT investments
Maintain efficiency focus whilst continuing IT investments Incremental investment in IT IT investment to support strategic initiatives Maintain a lean operating model (including AI) to achieve: Cumulative OPEX in a normalised rate environment • Automations and centralisations (€ mn) C/I ratio1 • Mod
Slide 54: Resilient profitability thanks to strong asset quality and normalised cost of risk
Resilient profitability thanks to strong asset quality and normalised cost of risk Sustainability of returns and profitability is Cost of risk normalising, with NPE coverage exceeding 100% enabled by: 30% 1.2% • Strong asset quality and coverage 160% 1.40% buffers 140% 1.12% 139% 1.20% 120% 1.00% 10
Slide 55: Asset quality to remain robust at broadly current state
Asset quality to remain robust at broadly current state NPE ratio plateaued; sustaining at broadly Normalised cost of risk reiterated at 40-50 current state bps Preserve NPE ratio at broadly current levels throughout the 3-year horizon NPE coverage 82% 139% (bps) 12.4% 57 Normalised cost of risk rei
Slide 56: CET1 medium-term target at c.15%
CET1 medium-term target at c.15% CET1 ratio target of c.15% 21.0% (medium-term) c.600 bps Management buffer of 280 c.15% 2.8% Mgt 12.2% bps, in line with peers 1.5% CCyB buffer 2.3% O-SII Significant excess capital of 2.5% CCB 12.2% 1.4% c.600 bps (c. €625 mn) as OCR Pillar 2R at 31 December 2025 4.
Slide 57: Roadmap to 2028 continues to deliver significant excess capital
Roadmap to 2028 continues to deliver significant excess capital Beyond 2028 • Focus on organic growth +c.3% RWA • Strategic optionality for growth CAGR disciplined bolt-on M&A 21.0% • Continued excess distributions + c.350 -400 bps p.a. c.15% CET1 ratio Organic capital Organic growth- AT1 coupon Dis
Slide 58: Organic growth leads to RWA expansion
Organic growth leads to RWA expansion Loan expansion with a CAGR of c.4% and... c.4% (€ bn) CAGR 10.1 10.9 Blended balance sheet movement to drive RWA growth CAGR of c.3% including: Gross performing loan book Organic growth in loan volumes Dec 24 Dec 25 Dec 28 • Growth of housing loans with a CAGR c
Slide 59: Committed to deliver attractive shareholder returns
Committed to deliver attractive shareholder returns Attractive shareholder’s Payout ratio returns expected to Distribution 2% 9% 12% 9% continue beyond 2028 Up to Yield 100%1 p.a. Up to Ordinary and top-up 90%1 Distributions distributions to be made (€ mn) 305 mainly in cash format; 70% 241 87 buyba
Slide 60: Our distribution ambitions
Our distribution ambitions 2025 2026 2027 - 2028 ORDINARY 50-70% payout ratio policy 70% 70% 70% DISTRIBUTIONS reiterated1 Up to 20% Up to 30% TOP-UP DIVIDENDS To be assessed annually when CET1 ratio sustainably >15% Attractive shareholders’ returns €305 mn TOTAL DISTRIBUTIONS over 3-year horizon, o
Slide 61: Conclusion
Conclusion
Slide 62: Our Investment Case
Our Investment Case Supportive Macro Leading Position in Banking and • Positive outlook with c.3% p.a. economic Broader Financial Services growth • #1-2 positions across banking, insurance • Cyprus is a business and tech hub in the and payment solutions in Cyprus region • Operating in a highly liqui
Slide 63: We will deliver sustainable shareholder value
We will deliver sustainable shareholder value Remain highly profitable with mid- Strong organic capital generation1 Upscale our distribution ambitions teens ROTE expected to continue ROTE on 15% 27.6% Organic capital generation 26.4% >20% CET1 ratio (bps) Up to 100%2 p.a. 2 Up to 90% 21.4% 445 436 1
Slide 64: Distributions, capital and residual valuation of franchise, 2023 and 2026
Distributions, capital and residual valuation of franchise, 2023 and 2026 Highly profitable, capital generative franchise €4.1 bn Targeted ROTE>20% on 15% Profitable franchise CET1 ratio delivering ROTE >20% Residual P/E c.5-6x €2.7 bn Targeted payout ratio of up to 90%1 for 2026 and up to 100%1 p.a
Slide 65: Appendix
Appendix
Slide 66: Business plan assumptions
Business plan assumptions Market forward curves1 Solid GDP growth at c.2.5%for 2026-2028 3.7% 3.7% 3.9% 3.6% 3.8% 2.4% 2.6% 3.3% 3.5% 2.3% 2.2% 2.6% 2.4% 2.2% 0.7% 2.2% 2.1% 2.4% 2.0% 0.1% 2022 2023 2024 2025 2026e 2027e 2028e ECB depo rate 6M Euribor 2023 2024 2025 2026e 2027e 2028e Unemployment ra
Slide 67: Beyond banking – ESG key highlights
Beyond banking – ESG key highlights Environment Social Governance 27% BOC Oncology Centre 36% reduction in Scope 1 and Scope 2 emissions Female representation on the Board of Directors from 2021 >€70 mn cumulative investment from 1998 to 2025 • carbon neutral interim target of 42% 38% reduction by 2
Slide 68: Footnotes, Glossary and Definitions
Appendix Footnotes, Glossary and Definitions 68
Slide 69: Footnotes
Footnotes 1) As at 31 December 2025. For loans and deposits market shares are based on residents in Cyprus. Insurance market shares are based on preliminary statistics of the Insurance Slide 7 - Leading position for banking and Association of Cyprus (https://www.iac.org.cy/en/statistics/iac-statisti
Slide 70: Footnotes
Footnotes Slide 22- Highly liquid, consolidated banking 1) As per ECB as at 30 September 2025 sector 1) On adjusted recurring profitability 2) Subject to market conditions as well as the outcome of the Group’s ongoing capital and liquidity planning strategy at the time Slide 26- Our financial target
Slide 71: Footnotes
Footnotes 1) Interest Rate Swaps Slide 48 - Structural hedging to be sustained 2) Collateralised lending agreements between banks with initial maturity > 1 year 3) Based on key assumptions, refer to slide 73 1) FY2024: relates to insurance reimbursement and release of lease liability of €3 mn and th
Slide 72: Glossary & Definitions
Glossary & Definitions The Group’s profit after tax (attributable to the owners of the Company) as reported, adjusted for the results of certain one-off items (e.g. capital gains, certain write-downs/write-ups relating to certain re-organisation activities and/or legacy related, as well as material
Slide 73: Glossary & Definitions
Glossary & Definitions Loan credit losses (PL) (previously Loan credit losses comprise: (i) credit losses to cover credit risk on loans and advances to customers, (ii) net gains on derecognition of financial assets measured at amortised cost relating to ‘Provision charge’) loans and advances to cust
Slide 74: Glossary & Definitions
Glossary & Definitions As per the European Banking Authorities (EBA) standards and European Central Bank’s (ECB) Guidance to Banks on Non-Performing Loans (which was published in March 2017), non-performing exposures (NPEs) are defined as those exposures that satisfy one of the following conditions:
Slide 75: Glossary & Definitions
Glossary & Definitions Qoq Quarter on quarter change. REMU Real Estate Management Unit Return on Tangible Equity (ROTE) is calculated as Profit/(loss) after tax (attributable to the owners of the Company) (as defined) (annualised - (based on year - to - date days)), divided by Return on Tangible equ
Slide 76: Disclaimer
Disclaimer The financial information included in this presentation is not audited by the Group’s external Examples of forward-looking statements include, but are not limited to, statements relating auditors. This financial information is presented in Euro (€) and all amounts are rounded as to the Gr
Bank of Cyprus Group — Investor Presentation (March 2026) on 6ix