Luzerner Kantonalbank Ag · SIX:LUKN
Luzerner Kantonalbank — FY2025 Earnings Presentation
51 slides from Luzerner Kantonalbank's earnings presentation, Feb 5, 2026
Slide 1: 2025 annual results
2025 annual results Media and analyst presentation 5 February 2026
Slide 2: Agenda
Agenda The 2025 financial year in brief Financial targets and results Outlook Summary
Slide 3: The 2025 financial year in brief
The 2025 financial year in brief
Slide 4: LUKB's market environment and management activities
2025 in brief LUKB's market environment and management activities Market environment LUKB management activities • Moderate economic growth: Swiss GDP growth of around 1.0 to 1.5 % • Targeted management of the balance sheet and interest rates on an annual basis, driven by services, dampened by weak e
Slide 5: Growth targets for 2025 exceeded
2025 in brief Growth targets for 2025 exceeded Target As at 30 June 2025 As at 31 December 2025 New money in advisory or asset > CHF 1 billion CHF 636 million CHF 1,093 million management mandates LUKB exceeded all growth targets for 2025 and is well > CHF 215 Non-interest income million CHF 116 mil
Slide 6: Best result ever – higher distribution – more than CHF 100 million for the Canton of Lucerne
2025 in brief Best result ever – higher distribution – more than CHF 100 million for the Canton of Lucerne Consolidated profit in 2025 • CHF 295.5 million (up CHF 8.9 million or 3.1 % on the 2024 financial year) Proposal to the AGM of 13 April 2026 for the appropriation of profit: CHF 2.70 gross per
Slide 7: Strategic financial targets 2021 to 2025
Financial targets and results Strategic financial targets 2021 to 2025
Slide 8: All financial strategic targets achieved
Financial targets and results: strategic financial targets 2021 to 2025 All financial strategic targets achieved Key financial figures Target 2021 to 2021 2022 2023 2024 2025 2025 1'371 CHF 1,260 to 1'075 Cumulative profit 498 763 1) 1,330 million* 246 44.7 45.6 46.1 46.1 LUKB is Cost-income ratio M
Slide 9: High stakeholder value with LUKB25 strategy
Financial targets and results: strategic financial targets 2021 to 2025 High stakeholder value with LUKB25 strategy Investors Employees Company • CHF 570 million in distributions since • Employer recommendation for 2025 • Around CHF 8 million for sponsorship and 2021 (payout years 2021 to 2025) 88 o
Slide 10: Income statement 2025
Financial targets and results Income statement 2025
Slide 11: Another chapter added to the long-term success story
Financial targets and results: Income statement 2025 Another chapter added to the long-term success story Consolidated profit of LUKB in CHF millions 295.5 286.6 265.4 221.4 226.6 198.4 200.4 204.9 210.9 186.6 168.3 174.3 181.8 180.1 158.6 149.9 143.3 149.4 140.6 140.7 120.0 106.3 89.2 89.6 92.1 80.
Slide 12: Active management of interest rate risk cushions the SNB's low interest rate policy
Financial targets and results: Income statement 2025 Active management of interest rate risk cushions the SNB's low interest rate policy Net result from interest business Year-on-year comparison in CHF millions • Net result from interest business: CHF 458.1 million (+3.2 % year-on-year) • Highest ne
Slide 13: Increased commission income thanks to growth in asset management and advisory mandates
Financial targets and results: Income statement 2025 Increased commission income thanks to growth in asset management and advisory mandates Net income from commission and service business Year-on-year comparison in CHF millions • Net income from commission and service business: CHF 143.2 million (+1
Slide 14: Trading income: growth with unchanged risk exposure
Financial targets and results: Income statement 2025 Trading income: growth with unchanged risk exposure Trading income Year-on-year comparison in CHF millions • Net trading income: CHF 76.0 million (+34.5 % year-on-year) 76.0 Trading activities • More client activity in foreign exchange trading inc
Slide 15: Other ordinary income slightly lower
Financial targets and results: Income statement 2025 Other ordinary income slightly lower Other ordinary income Year-on-year comparison in CHF millions • Other ordinary income: 37.1 CHF 13.7 million (-31.4 % year-on-year) Lower income from financial assets • Refraining from additional disposals of f
Slide 16: Income substantially increased and diversified
Financial targets and results: Income statement 2025 Income substantially increased and diversified Operating income by income component Operating income in 2025 +6.2 % year on year in CHF millions • Interest business: CHF 14.1 million (+3.2 %) 36.0% 33.4% 31.3% 31.8% 33.7% • Commission business: CH
Slide 17: Growth course leads to planned recruitment and expansion of ICT infrastructure
Financial targets and results: Income statement 2025 Growth course leads to planned recruitment and expansion of ICT infrastructure Operating expenses Expenses increased as planned compared to the in CHF millions previous year 326.4 • Personnel expenses: CHF 218.4 million (+4.5 %) 306.5 282.7 • Gene
Slide 18: Balance sheet / off-balance sheet 2025
Financial targets and results Balance sheet / off-balance sheet 2025
Slide 19: Relative proportion of mandates in client assets increases
Financial targets and results: Balance sheet / off-balance sheet 2025 Relative proportion of mandates in client assets increases Client assets under management Pleasing growth in 2025 in CHF billion (as at 31 December) • Client assets under management at the end of 2025: CHF 42.607 billion (+7.9 %)
Slide 20: Careful selection of risks for loans to clients
Financial targets and results: Balance sheet / off-balance sheet 2025 Careful selection of risks for loans to clients Loans to clients Targeted use of increased capital to meet demand in in CHF billion (as at 31 December) the lending business • Loans to clients at the end of 2025 CHF 46.4 billion (+
Slide 21: Reviewing further reinforcement of the capital structure
Financial targets and results: Balance sheet / off-balance sheet 2025 Reviewing further reinforcement of the capital structure in CHF millions Values as at 31 December 2025 Difference from previous year Common Equity Tier 1 (CET1) 4,091 +174 Additional Tier 1 capital (AT1) 960 +150 Tier 2 capital (T
Slide 22: Risk status 2025
Financial targets and results Risk status 2025
Slide 23: Lending portfolio continues to be of excellent quality
Financial targets and results: Risk status 2025 Lending portfolio continues to be of excellent quality Quality of the lending portfolio Conservative credit risk policy has a positive impact in CHF millions • Quality of the lending portfolio over the years is very good 0.61% 0.56% 0.55% 0.48% 0.48% T
Slide 24: Low average loan-to-value ratio for residential properties declined further
Financial targets and results: Risk status 2025 Low average loan-to-value ratio for residential properties declined further Locations of the pledged assets and loan to value in percent (as at 31 December 2025) 4.8 1.0 25.2 Locations of the pledged Loan to value (Ø 52.9 %) assets 59.6 15.2 94.2 < = 6
Slide 25: S&P Rating: AA+ stable
Financial targets and results: Risk status 2025 S&P Rating: AA+ stable 2023 2024 2025 Rating for non-current AA AA+ AA+ Outlook ‘stable’ liabilities Rating for current A-1+ A-1+ A-1+ Highest possible classification liabilities 2025 annual results 5 February 2026 25
Slide 26: Solid ESG ratings confirm LUKB's sustainability
Financial targets and results: Risk status 2025 Solid ESG ratings confirm LUKB's sustainability LUKB sustainability ratings 2023 2024 2025 MSCI ESG risk1) AA AA AA Inrate ESG impact2) B- B B Inrate Corporate governance (zRating) 3) 70 72 74 Sustainalytics (Morningstar) ESG risk4) Medium Medium Mediu
Slide 27: Detour – interest rate environment
Financial targets and results Detour – interest rate environment
Slide 28: Active interest rate and liquidity management as key success drivers
Financial targets and results: Detour – interest rate environment Active interest rate and liquidity management as key success drivers Interest rate trend until 2030: LUKB main scenario LUKB expects continuation of 2.25 low-interest-rate environment 2 1.75 1.5 1.25 Limited potential to increase inte
Slide 29: Impact of a prolonged zero-interest-rate scenario on LUKB's interest income
Financial targets and results: Detour – interest rate environment Impact of a prolonged zero-interest-rate scenario on LUKB's interest income LUKB has secured liquidity thanks to long-term funding on the liabilities side Receiver swaps entered into limit the risks of further interest rate cuts with
Slide 30: Significant potential for earnings growth in a stronger interest rate environment
Financial targets and results: Detour – interest rate environment Significant potential for earnings growth in a stronger interest rate environment Interest rate trend until 2030: alternative scenarios Ensured liquidity thanks to long-term Scenario 1: Scenario 2: borrowing of passive funds Interest
Slide 31: Key share figures
Financial targets and results Key share figures
Slide 32: LUKN: Defensive stock with attractive risk-return profile
Financial targets and results: Key share figures LUKN: Defensive stock with attractive risk-return profile 2025 annual results 5 February 2026 32
Slide 33: Key share figures
Financial targets and results: Key share figures Key share figures (split 1:5 from April 2023 also taken into account in previous years) Key figures per share in CHF 2021 2022 2023 2024 2025 Closing price (as at end of period) 83.00 82.70 72.00 63.90 92.70 Carrying amount (as at end of period) 72.64
Slide 34: Shareholder base reflects strong position in Lucerne
Financial targets and results: Key share figures Shareholder base reflects strong position in Lucerne Composition of the shareholder base Broader anchoring among institutional As at 31 December 2025 shareholders • 2021 to 2025: Targeted higher number of institutional clients results in stronger dail
Slide 35: Outlook
© Outlook Kantonalbank
Slide 36: Positive expectations for the 2026 financial year
Outlook Positive expectations for the 2026 financial year 2026 environment LUKB targets for 2026 Switzerland Net growth in advisory and asset management > CHF 1.2 billion • Moderate economic growth: GDP +1.2 % mandates (performance-adjusted) • Low inflation (+0.5 %) • Continued zero-interest-rate en
Slide 37: LUKB combines the expertise of a large bank with the accessibility of a cantonal bank
Outlook LUKB combines the expertise of a large bank with the accessibility of a cantonal bank Clients with demanding advisory needs LUKB special skills Corporate Real estate investors clients Trading and Asset Focus on High net worth structured Entrepreneurs management Switzerland private clients pr
Slide 38: Strategic investments from LUKB25 will pay off in the future
Outlook Strategic investments from ‘LUKB25’ will pay off in the future Selected projects from 2021 to 2025 ~ CHF 50 million • Hybrid advisory process harmonised across segments invested in strategy implementation since 2021 • New concept of asset management mandates (including introduction of perfor
Slide 39: The new strategy will be systematically rolled out based on the strengths of LUKB
Outlook The new strategy will be systematically rolled out based on the strengths of LUKB Based on its strengths … … LUKB aims to achieve two long-term strategic positions: Champion in the Lucerne economic region ‘We will achieve profitable growth in traditional cantonal banking business by making e
Slide 40: Planned strategic investments to further increase success in the long term
Outlook Planned strategic investments to further increase success in the long term Investing and private banking AI and data • Further development of the • Expansion of AI competence centre investment business • Digital financial assistance Further strategic • Intensification of client support and •
Slide 41: Summary
© Summary Kantonalbank
Slide 42: Strategic targets for 2030 underline LUKB's ambitions
LUKB30 Summary Strategic targets for 2030 underline LUKB's ambitions Strategic targets Targets for 2026 Targets for 2030 Net growth in advisory and asset management mandates > CHF 1.2 billion > CHF 1.8 billion (performance-adjusted) Non-interest income > CHF 240 million > CHF 310 million Net growth
Slide 43: These figures support an investment in LUKN
Summary These figures support an investment in LUKN 46.1 %46.1 cost-income ratio at % cost-income the end of 2025 ratio → operating efficiency (profitability and and costhigh earnings discipline power in 2025: plus 35 % net profit after taxes → Continuous earnings growth from 1 January 2021 to 31 De
Slide 44: Qualitative strategic thrusts of the LUKB30 strategy
Summary Qualitative strategic thrusts of the LUKB30 strategy LUKB is expanding its position as champion in the Lucerne region in the long term by 1 benefiting from privileged access to clients and a structurally growing market. LUKB is also establishing itself as the preferred partner for discerning
Slide 45: Thank you
Luzerner Kantonalbank
Slide 46: Disclaimer
Disclaimer This document qualifies as advertising within the meaning of the Swiss Financial Services Act (FinSA). It does not constitute an offer to sell or an invitation to exchange, buy or subscribe to securities of Luzerner Kantonalbank AG in any jurisdiction, and also does not constitute a prosp
Slide 47: Annex
Annex 2025 annual results 5 February 2026 47
Slide 48: Overview of consolidated results for 2025
Annex presentation annual results 2025 Overview of consolidated results for 2025 2025 in % in CHF million in CHF millions year on year year on year Consolidated profit 295.5 +3.1 +8.9 Net profit after taxes* 295.5 +5.5 +15.4 Operating income 691.0 +6.2 +40.5 • Interest income 458.1 +3.2 +14.1 •
Slide 49: Current key figures
Annex presentation annual results 2025 Current key figures Unit 2020 2021 2022 2023 2024 2025 Consolidated profit (adjusted for the creation/reversal of CHF 219 246 252 265 286 295 reserves for general banking risks) millions Net growth in advisory and asset management mandates CHF 237 372 607 667 8
Slide 50: Proposal to the Annual General Meeting of 13 April 2026
Annex presentation annual results 2025 Proposal to the Annual General Meeting of 13 April 2026 Appropriation of profit Profit for the year of the parent company CHF 290.6 million Profit carried forward from previous year CHF 0.7 million Total disposable profit in 2025 CHF 291.3 million Withdrawal fr
Slide 51: 2025: Over CHF 100 million for the canton of Lucerne
Annex presentation annual results 2025 2025: Over CHF 100 million for the canton of Lucerne The main shareholder, the canton of Lucerne, benefits from the 2025 financial year: Distribution CHF 82.3 million Compensation for state guarantee CHF 11.2 million Cantonal taxes CHF 7.3 million Total CHF 100