Deutsche Pfandbriefbank Ag · XETR:PBB
Deutsche Pfandbriefbank — Debt Investor Presentation (May 2026)
40 slides from Deutsche Pfandbriefbank's debt investor presentation, May 12, 2026
Slide 1: Debt Investor Update Results Q1/26
DEBT INVESTOR UPDATE Results Q1/26 12 May 2026 Results Q1/26 (IFRS, pbb Group, unaudited) 12 May 2026 1
Slide 2: Disclaimer
Disclaimer → This presentation is not an offer or invitation to subscribe for or purchase any securities in any jurisdiction, including any jurisdiction of the United States. Securities may not be offered or sold in the United States absent registration or pursuant to an available exemption from reg
Slide 3: Key Messages
KEY MESSAGES → Strategic transformation in execution – REIS contributing € 11 mn operating income → Deutsche Investment (DI) fully contributing to REIS segment starting January 1st, 2026 → REFS segment: new business increased by +18% y-o-y – RoTE of ~7% accretive for strategic targets → US NPL signi
Slide 4: Real Estate Finance Solutions (REFS)
RE FINANCE SOLUTIONS (REFS) New business volume up by 18% y-o-y – portfolio profitability further increased → Ongoing diversification and increase of profitability of European REFS New business volume1 New business pipeline portfolio – new business volume increased with accretive profitability (€ bn
Slide 5: US-Exit
US-EXIT NPL portfolio reduced by ~30% Portfolio development NPL Performing SRT → US portfolio down by € -0.2 bn q-o-q € bn (EaD, Basel IV) • 1 performing loan and 4 NPL repaid/partially repaid (€ -0.3 bn) – small 3.1 release of € 5 mn stage 3 LLP 2.9 -0.3 +0.1 • FX/EaD changes € 0.1 bn 1.7 5 loans 1
Slide 6: Real Estate Investment Solutions (REIS)
RE INVESTMENT SOLUTIONS (REIS) Deutsche Investment consolidated since 1st January 2026, fully contributing in 2026 → Adjusted PBT2 of € +1 mn in Q1/26 pbb invest pbb invest → RoTE accretive capital light business Fee income1 AuM pbb invest € 8 mn € 3.0 bn → Deutsche Investment (DI) consolidated from
Slide 7: Overview
OVERVIEW Income affected by SRT, costs stable and risk costs down Income statement (€ mn) Q1/25 Q4/25 Q1/26 → Operating income down q-o-q due to several effects mainly on NII and fair value result Operating income 118 106 77 Net interest and fee income 109 99 941 • NII burdened by SRT costs of € -10
Slide 8: Risk Provisioning
RISK PROVISIONING Risk provisioning down q-o-q – additions in stage 3 partly compensated by releases Net income from risk provisioning € mn (IFRS) → Stage 1&2: € 7 mn net release Stage 1&21 Stage 3 Other2 • Releases due to maturity and credit driven effects incl. releases from US management overlay
Slide 9: Loss Allowances
LOSS ALLOWANCES Loss allowances slightly down in line with reduced NPL portfolio Balance sheet loss allowances € mn Stage 1&2 € mn (IFRS, reported) Stage 3 € mn (IFRS, reported) Stage 1 Stage 2 Stage 3 USA USA (incl. Mgt. Overlay) 836 34 171 755 193 35 110 35 57 564 103 03/26 03/26 43 81 € 138 mn €
Slide 10: Business Segments
BUSINESS SEGMENTS New segment reporting as further step in the bank’s transformation process REFS REIS Corporate Center Earnings Earnings Earnings ➢ CRE lending ➢ pbb invest ➢ Investment portfolio (Non-Core & Liquidity) ➢ O&C ➢ Liability management and hedging ➢ Others Operating expenses Operating e
Slide 11: REFS – Financial Overview
REFS – FINANCIAL OVERVIEW Financial performance impacted by de-risking and portfolio transformation Operating income € mn (IFRS) → NII/NCI down q-o-q due to SRT Operating expenses € mn (IFRS) → Operating expenses down by NII/NCI Fair value result and others costs of € -10 mn and reduced Personnel No
Slide 12: European REFS Portfolio Performing
EUROPEAN REFS PORTFOLIO PERFORMING Solid portfolio quality Portfolio € bn (EaD, Basel IV) → Portfolio down by € 0.5 bn in Q1/26 Germany Continental Europe UK • Transfer to NPL € -0.2 bn • Repayments & others € -0.3 bn 24.2 23.4 22.9 → Ongoing improvement of performing portfolio KPIs 1.5 1.3 1.3 • Av
Slide 13: European NPL Portfolio
EUROPEAN NPL PORTFOLIO NPL portfolio in line with expectation NPL Portfolio € mn (EaD, Basel IV) Developments Investments → Net increase of European NPL portfolio by € 172 mn in Q1/26 • Addition of 4 European loans € 196 mn, thereof 1 loan € -94 mn repaid in 04/26 1,586 1,414 +24 -48 • FX/EaD-effect
Slide 14: REIS – Financial Overview
REIS – FINANCIAL OVERVIEW Q1/26 benefits from 1st time consolidation of Deutsche Investment (DI) Operating income € mn (IFRS) → Strong increase in operating Operating expenses € mn (IFRS) → Operating expenses up by € 6 Fee income NII income by € 9 mn q-o-q driven by Personnel Non-personnel2 mn q-o-q
Slide 15: REIS – Portfolio Development
REIS – PORTFOLIO DEVELOPMENT pbb invest: Diversified portfolio and investor base Assets under Management (AuM)1 → Deutsche Investment Group provides full value chain (360° approach), € bn combining RE Investment / Asset Management with integrated property & facility management 3.0 3.0 → Focus and ex
Slide 16: Corporate Center
CORPORATE CENTER Financials and Portfolio Income statement (€ mn) Q1/25 Q4/25 Q1/26 Investment portfolio € bn (31/03/2026, EaD, Basel IV) Product class Regions Operating income 18 13 4 Other Rest of World Austria Net interest income 13 7 3 Other Europe 9% Net income from realisation - 4 7 7% Spain 3
Slide 17: Capital
CAPITAL CET1 ratio of 13.4% in line with previous guidance Capital ratios (IFRS, F-IRBA) → CET1 ratio down q-o-q from 14.7%3 to 13.4% in line with previous guidance • Adoption of EBA position on non-equivalence of US data for computation of Pro-forma US LGD in F-IRBA6 leads to full loss of preferent
Slide 18: Funding and Liquidity
FUNDING AND LIQUIDITY Strong start to 2026 in capital markets funding Long-term Funding Issuances1 € bn Pfandbrief Unsecured → Strong start to 2026 in capital markets funding • € 1.75 bn Pfandbrief and up to one Senior Preferred benchmark issuance Spread in bp2 planned for 2026 63 62 187 50 49 131 •
Slide 19: Mortgage Cover Pool
MORTGAGE COVER POOL Diversification by countries and property types Mortgage Cover Pool Spain 2.4% Switzerland 0.2% Key metrics Austria 1.3% Italy 0.5% Mortgage cover pool (nominal) 31/03/2026 Benelux 5% Other Pfandbriefe outstanding € 15.3 bn Nordic countries 23% 8% Cover funds € 17.7 bn Over-colla
Slide 20: Funding
FUNDING Own Funds and Eligible Liabilities exceed regulatory requirements € bn SP5 SNP Other Subordinated Tier 1 CET 11 → Buffer for Senior Preferred (SP) investors due to high volume of capital instruments and Senior MREL2 Composition of Maturity profile Non-Preferred (SNP) liabilities (31/03/2026)
Slide 21: Mandated Ratings
MANDATED RATINGS Bank Ratings S&P Long-term BBB- Outlook Negative Short-term A-3 Stand-alone Rating1 bb Long Term Debt Ratings “Preferred” Senior Unsecured Debt2 BBB- “Non-preferred” Senior Unsecured Debt3 B+ Subordinated Debt B Pfandbrief Ratings Moody’s Mortgage Pfandbriefe Aa1 Public Sector Pfand
Slide 22: Appendix
APPENDIX Results Q1/26 (IFRS, pbb Group, unaudited) 12 May 2026 22
Slide 23: Market Sentiment (1/2)
MARKET SENTIMENT (1/2) CRE market recovery remains slow GDP growth outlook is challenged by Iran European CRE market recovery remains war, higher inflation and higher rates slow and uneven Transactions picking up as price Economic growth expectation discoveries conclude but activity lower due to Ira
Slide 24: Market Sentiment (2/2)
MARKET SENTIMENT (2/2) Expectation for GDP growth lowered Lower growth, higher inflation and higher ECB rates in 2026 CRE1 transaction volumes by quarter in mn € 400,000 55% 2.6 2.5 50% 350,000 45% 2.0 300,000 1.9 40% 250,000 35% 1.2 30% 200,000 0.9 25% 150,000 20% 100,000 15% 10% 50,000 5% GDP Infl
Slide 25: Guidance 2026 (2/2)
Published 05/03/2026 GUIDANCE 2026 (2/2) Overview REFS: New business volume1 € 7.5–8.5 bn Portfolio REFS: Financing volume € 27.0–28.0 bn REIS: Assets under management € 3.3–3.7 bn Operating income € 375–425 mn P&L Share of fee income2 >10% CIR3 70–75% Profitability Pre-tax profit € 30–40 mn 1. Incl
Slide 26: Outlook 2028 (1/2)
Published 05/03/2026 OUTLOOK 2028 (1/2) Strategic RoTE target of 8% confirmed but postponed to 2028 RoTE before taxes OPERATING INCOME Increasing REFS portfolio profitability and growth of REIS are expected to drive operating income to € ~600 mn towards 2028 REFS: → Declining SRT costs (€ -25 mn) →
Slide 27: Capital
CAPITAL F-IRBA model impacted by country specific eligibility for preferential LGD level CRE market dependent F-IRBA LGD levels – Country by country → The banking supervisory authority of the respective country collects and publishes the avg. CRE REFS Credit CRE market loss rate market loss rate fro
Slide 28: REF New Business
REF NEW BUSINESS New business volume up by 18%, RoTE of ~7% accretive to target Volume of REFS portfolio in € bn → REF portfolio down by re-/prepayments and selective new business approach financing volume → Avg. portfolio margin further up by ~2% q-o-q → New business volume of € 1.3 bn up by ~18% v
Slide 29: REFS New Business
REFS NEW BUSINESS Diversification supports management of the cycle As of 31/03/26 Regions Property types Mixed use/ Other Hotel 2% other <1% € 1.3 bn Nordics 3% USA 3% 9% Office 27% CEE New business 10% Commitments, incl. extensions > 1 year Logistics/ 52% 60% storage 4% 15% Germany Residential 14%
Slide 30: Portfolio
PORTFOLIO Total portfolio Regions EaD, Basel IV 31/12/2025 / Total: € 40.4 bn 31/03/2026 / Total: € 40.1 bn Italy 1% Italy 1% Other Rest of World 1% Czech Republic 1% Other Rest of World 2% Czech Republic 1% Finland 2% Hungary < 1% Finland 2% Hungary < 1% Sweden Sweden Spain 3% Spain 3% 4% 4% UK UK
Slide 31: European Office Portfolio Performing
EUROPEAN OFFICE PORTFOLIO PERFORMING Stabilisation in core locations, few selective sub-markets difficult Portfolio € bn (EaD, Basel IV) → Performing portfolio stable q-o-q • FX/EaD change of € 0.1 bn 10.9 • Transfer of 1 European office loan € -0.1 bn to NPL 10.2 10.2 → 100% of total office portfol
Slide 32: European Office Portfolio NPL
EUROPEAN OFFICE PORTFOLIO NPL Office NPL portfolio stable Non-Performing Portfolio € mn (EaD, Basel IV) → Portfolio stable q-o-q • addition of 1 office loans € 56 mn • and repayment of 2 loans € -48 mn, thereof 1 development loan € -34 mn 0 616 -48 624 +56 2 loans → 100% of the portfolio reviewed/re
Slide 33: Development Portfolio
DEVELOPMENT PORTFOLIO Development portfolio significantly de-risked – no new NPL Portfolio € bn Phase 31/03/2026 Regions 31/03/2026 Property types 31/03/2026 (EaD, Basel IV) (commitments, Basel IV) (EaD, Basel IV) (EaD, Basel IV) France Other -16% 5% 4% Other 2.0 1.9 18 loans 9 loans 16 loans 1.8 Ø-
Slide 34: NPL Portfolio
NPL PORTFOLIO Active restructuring/work-out ongoing Geographical breakdown € mn (EaD, Basel IV) Breakdown by property type € mn (EaD, Basel IV) 2,323 2,234 2,323 2,234 252 257 1,887 211 1,887 216 369 94 Others Others & Mixed Use 235 388 214 33 264 France Hotel 260 966 311 CEE 673 1,103 Logistics 267
Slide 35: Portfolio
PORTFOLIO Real Estate Finance (EaD, Basel IV) Regions Property types Czech Republic 1% Czech Republic 1% Other 2% Other 2% Sweden 4% Austria 1% Sweden 4% Austria 1% Mixed use 1% Mixed use 1% Hotel 2% Hotel 2% UK UK 1% Retail Retail Poland 5% Poland 5% 10% 10% 7% 7% USA 11% 46% Germany USA 11% 46% Ge
Slide 36: REFS Portfolio
REFS PORTFOLIO LTV development reflects market environment LTV – Regions LTV – Property types (commitments, 2024: Basel III, 2025: Basel IV) 1 (commitments, 2024: Basel III, 2025: Basel IV) 1 12/24 12/25 03/26 12/24 12/25 03/26 Avg. LTV Avg. LTV 12/24: 56% / 12/25: 57% / 03/26: 56% 12/24: 56% / 12/2
Slide 37: European REFS Portfolio
EUROPEAN REFS PORTFOLIO LTV development reflects market environment LTV – clustered LTV – layered (commitments, 2024: Basel III, 2025: Basel IV) 1 (commitments, 2024: Basel III, 2025: Basel IV) 1 12/24 12/25 03/26 12/24 12/25 03/26 Avg. LTV Exposure at risk 12/24: 55% / 12/25: 55% / 03/26: 55% 12/24
Slide 38: US-Exit
Published 05/03/2026 US-EXIT Significant Risk Transfer (SRT) as of 31/12/2025 Transaction Structure SRT: expected contractual run-down2 Expected economics on the contractual Reference (€ bn, EaD, Basel IV) run-down2 (€ mn) Tranches % Portfolio1 Net interest income SRT Costs 1.7 21 44 1.2 Senior 26 8
Slide 39: Pfandbrief Cover Pool
PFANDBRIEF COVER POOL ISC and the effect of the Mortgage Lending Value – very simplified example! Interest Service Cover Loan-to-Value Ratio (explanatory calculation for existing loans) Loan Valuation Refinancing MV € 100 mn Borrower’s Difference MV Equity e.g. 35% € 5.0 mn rent p.a. at 5% property
Slide 40: Contact Details
CONTACT DETAILS Götz Michl Silvio Bardeschi Head of Funding Funding +49 (0)619609990 2931 +49 (0)6196 9990 2934 goetz.michl@pfandbriefbank.com silvio.bardeschi@pfandbriefbank.com Website www.pfandbriefbank.com/investor-relations.html © Deutsche Pfandbriefbank AG Parkring 28, 85748 Garching/Germany +
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