Slide 1: 1H2024 Earnings Presentation
18 July 2024 1H2024 Earnings Presentation 1H24 Earnings
Slide 2: Regulatory framework disclaimer
Introduction Regulatory framework disclaimer Bankinter advises that this presentation may contain forward-looking statements. These can be found in various parts of this document and Bankinter presents its quarterly financial statements in accordance include, without limitation, statements concernin
Slide 3: Highlights, Results & Solvency, Geographies & Businesses, Closing Remarks
Highlights Results & Solvency 3 1H24 Earnings Geographies & Closing Businesses Remarks
Slide 4: Highlights
Highlights bankinter.
Slide 5: Sustainable solid results, consistent growth strategy
Highlights 01. Sustainable Solid Results, while delivering on a consistent Growth Strategy vs.1H23 Business volumes diversified growth +5% +4% +20% LOAN BOOK RETAIL DEPOSITS OFF BALANCE SHEET vs. 1H23 Increasing revenue streams, with +9% +13% stable customer margins NII FEES 5 1H24 Earnings 1H24 Imp
Slide 6: Gaining market share in a sustainable and diversified manner
Highlights 01. Gaining market share, in a sustainable and diversified manner Base 100, since 2019 Loan Book Spain1 Retail Deposits Spain1 +26p.p. 50% +26p.p. Over the Over the industry since industry since 4Q19 4Q19 24% 24% 6 -2% 1H24 Earnings Loan Book Portugal2 +52p.p. Retail Mortgage Book Ireland
Slide 7: Solid growth in diversified business volumes
Highlights €212bn 01. Solid Growth in diversified business volumes in the group Business Volumes Jun 24 vs. Jun 23, in billion of euros +8% / +€16bn vs. Jun23 Loan Book Retail Deposits Off Balance Sheet +€4bn +€3bn +€9bn 7 +5% +4% +20% 1H24 Earnings 75 79 78 78 81 72 53 40 44 Jun. 22 Jun. 23 Jun. 24
Slide 8: Business volume growth driving diversified fee growth
Highlights +7,4% 01. Business volume growth driving diversified & sustainable fee growth CAGR 40% / 60% Evolution of business volumes and net annual fees Transactional vs. Management and Brokerage Fees in billion of euros +43% 212.236 22 0.0 00 1. 400 Business Volumes Jun-24 vs. Dec-19 20 0.0 00 1.
Slide 9: Long-term value creation, profitability and shareholder remuneration
Highlights 01. Long-term Value Creation, increasing Profitability and Shareholder Renumeration Tangible Book Value Results + Dividends paid in the period ROE € million € per share %, Last 12M 6,4% 18,8% Dividend ROTE Yield +75% +17% +11% 17,7 +13% 17,1 9 473 6,16 0,22 418 5,54 1H24 Earnings 5,19 0,1
Slide 10: Q2 decisions align with long-term diversified growth
Highlights 01. Q2 Decisions align with aspirations for long-term diversified growth 10 1H24 Earnings Broaden our business strategy by Adopting a new approach to Technology investment in Portugal /01 establishing a branch in Ireland /02 promote digital banking /03 to improve customer experience
Slide 11: Results & Solvency
102 Results & Solvency
Slide 12: 1H24 Group Profit & Loss Summary
Results & Solvency 02. 1H24 Group Profit & Loss Summary Bankinter Group 1H24 1H23 Dif. € Dif. % € million Net Interest Income 1.160 1.068 92 9% Net Fees and Commissions 342 303 39 13% Other Income/Expenses -92 -94 2 -2% 12 Gross Operating Income 1.410 1.278 133 10% 1H24 Earnings Operating Expenses -
Slide 13: 2Q24 Group Profit & Loss Summary
Results & Solvency 02. 1H24 Group Profit & Loss Summary Bankinter Group € million 2Q24 1Q24 Dif. € Dif. % 2Q23 Dif. € Dif. % Net Interest Income 583 578 5 1% 546 37 7% Net Fees & Commissions 176 166 10 6% 151 25 17% Other Income/Expenses -7 -85 78 -92% -35 28 -80% 13 Gross Operating Income 752 659 9
Slide 14: Group Net Interest Income
Results & Solvency 02. Group Net Interest Income Quarterly Evolution Customer Margin € millions In % +7% +1% 2,08% Net interest vs. 2Q23 vs. 1Q24 Margin 1H24 4,38 4,38 4,41 4,12 14 3,26 3,73 2,99 3,03 3,01 2,98 3,01 2,96 1H24 Earnings 575 578 583 570 546 Δ Δ 1,37 1,40 1,40 1,09 0,74 0,30 2Q23 3Q23 4
Slide 15: Fee Income
Results & Solvency +13% 02. Fee Income vs. 1H23 24% Gross Income Contribution Breakdown of Fees Received 1H24 Evolution of Net Fees vs. 1H23, € million € million +17% +6% Asset Management 114 +20% 15 vs. 2Q23 vs. 1Q24 Payments & Collections 95 +7% 67 +8% 1H24 Earnings Brokerage & Custody Risk Transa
Slide 16: Other Income / Expenses
Results & Solvency 02. Other Income / Expenses Bankinter Group 1H24 1H23 Dif. € Dif. % € million Equity Method 12 16 -4 -28% 16 Trading Income/Losses & Dividends 30 48 -18 -38% Regulatory Charges -111 -138 27 -20% 1H24 Earnings Banking Tax -95 -77 -18 23% Other Operating Income/Expenses -22 -19 -2 1
Slide 17: Total Operating Income
Results & Solvency Operating 02. Total Operating Income Income 1H24 +10% / +€133m Group Operating Income Quarterly evolution in € million 17 1H24 Earnings 727 752 662 655 659 616 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24
Slide 18: Group Operating Expenses
Results & Solvency Cost-to- 02. Group Operating Expenses Income 1H24 34,1% Operating Expenses Cost-to-Income Ratio +6% € million and variations in % Last 12 months rolling in % vs. 1H23 +8% +8% +4% +15% +8% 18 43 45,7% 23 34 51 173 1H24 Earnings 39,3% €481M €481M 36,6% +5% +6% 265 373 Personnel Expe
Slide 19: Cost of Risk & Other Provisions
Results & Solvency 02. Cost of Risk & Other Provisions Cost of Credit Risk Other Provisions In % of total risk exposure and € million In % of total risk exposure and € million 14 0 0,5 2% 20 0 12 0 18 0 176 0,5 0% 0,4 2% 16 0 155 0,4 5% 10 0 19 14 0 0,3 2% 116 0,4 0% 80 12 0 0,40% 0,38% 1H24 Earning
Slide 20: Total Group Profit
Results & Solvency 02. Total Group Profit Profit before Tax Total Group Net Income € million +14% € million +13% vs. 1H23 vs. 1H23 20 1H24 Earnings 715 625 418 473 374 271 1H22 1H23 1H24 1H22 1H23 1H24
Slide 21: Group Credit Risk
Results & Solvency 02. Group Credit Risk Coverage Spanish Non-Performing Loans Ratio NPL Ratios in Spain Industry* In € billion and ratio in % In % 68% 3,6% Bankinter Bankinter 21 1,90 2Q24 2Q23 1,85 1,81 1H24 Earnings Households 1,8% 1,9% Corporates/SMEs 3,0% 3,0% 2,22% 2,11% 2,17% Total BKT Spain
Slide 22: Liquidity
Results & Solvency 02. Liquidity Liquidity gap Wholesale funding maturities In € billion In € million 2.250 Jun. 23 Dec. 23 Jun. 24 -4,4 1.632 0,1 -4,5 1.100 1.000 949 22 -5,2 1H24 Earnings Loan to Deposits 0 In % 2024 2025 2026 2027 2028 ≥2030 94,8% 95,6% HQLAs 12M average €18,7bn Liquid Assets €27
Slide 23: Capital and Solvency
02. Results & Solvency Stress Test Capital and Solvency 165pbs Ranked 1st in Spain & 5th in Europe 2023 Ratio CET1 “fully loaded” In % CET1 12,44% Buffer +4,59% Regulatory min. 7,85% 0,66 P2R 1,39% (4th lowest of 12,30 12,40 0,16 12,44 23 108 European entities) -0,46 -0,10 -0,12 +10pbs organic 1H24
Slide 24: Geographies & Businesses
103 Geographies & Businesses
Slide 25: Bankinter Spain
Geographies & Businesses 03. Bankinter Spain* Business Indicators P&L € million 1H24 1H23 Dif. % €62Bn Net Interest Income 930 876 6% Loan book +2,5% YoY 25 Net Fees & Commissions 297 262 13% Retail banking Corporate/SME banking €29Bn 0% €31Bn +6% Other Income/Expenses 13 -8 n.a. 1H24 Earnings NPL r
Slide 26: Bankinter Portugal
Geographies & Businesses 03. Bankinter Portugal Business Indicators P&L € million 1H24 1H23 Dif. % €10Bn Net Interest Income 140 118 19% Loan book +12% YoY 26 Net Fees & Commissions 37 34 11% Retail Banking Corporate/SME banking €6,1bn +6% €3,3Bn +25% Other Income/Expenses -4 -4 8% 1H24 Earnings NPL
Slide 27: Bankinter Ireland
Geographies & Businesses 03. Bankinter Ireland Business Indicators P&L € million 1H24 1H23 Dif. % €3,5Bn Net Interest Income 48 44 8% Loan book +41% vs. 2Q23 27 Net Fees & Commissions 5 4 5% Mortgages Consumer Credit €2,6Bn +51% €0,9Bn +19% Other Income/Expenses -3 -3 -5% 1H24 Earnings New productio
Slide 28: Corporate & SME Banking (Total Group)
Geographies & Businesses 03. Corporate & SME Banking (Total Group) Loan book International Segment € billion +7% vs. 1H23 Loan book International Supply Chain Next Gen. EU Banking Finance Funds €9,8Bn €268M €590M 28 +17% vs. 1H23 x4 vs. 1H23 +75% vs. 1H23 1H24 Earnings Loan Book Growth 33,5 As of Ap
Slide 29: Wealth Management & Retail Banking: Customer Wealth
03. Geographies & Businesses Wealth Management & Retail Banking (Total Group) +€14Bn Increase in Wealth Sustainable Growth in Customer Wealth € billion +12% vs. Jun 23 Jun-23 59,4 48,9 108 29 1H24 Earnings Jun-24 68,3 53,4 122 Wealth Management Retail banking vs. Dec 23 +€9Bn vs. Dec 23 Increase in
Slide 30: Customer Off-Balance Funds
Geographies & Businesses 03. Wealth Management & Retail Banking(Total Group) Customer Off-Balance Funds € billion vs. June 23 +8,9Bn€ +20% +18% 52,8 47,2 43,9 4,7 +36% 30 4,5 7,3 4,0 6,1 4,2 +14% 1H24 Earnings 5,3 3,9 3,7 22,3 18,6 19,6 +20% 12,2 13,0 14,4 +17% Jun. 23 Dec. 23 Jun. 24 Alternative In
Slide 31: Salary Accounts and Mortgage Production
Geographies & Businesses 03. Wealth Management & Retail Banking (Total Group) Salary Accounts New Mortgage Production Mortgage Back Book In thousands of accounts € billion € billions, growth vs. 1H23 Share in Share in Share in BKT Spain1 Portugal2 Ireland3 +0,1% Industry4 -2,3% Spain 6,7% 5,6% 9,0%
Slide 32: Closing Remarks
i ° 104 <4 ioe ai Closing Remarks —_ el ®
Slide 33: Delivering on a Consistent & Long-Term Value Strategy
Closing Remarks 04. Delivering on a Consistent & Long-Term Value Strategy /01 Growing above market average in every business and geography /02 Managing customer margins, in line with interest rate movements 33 /03 Maintaining efficiency levels 1H24 Earnings /04 Improving the risk profile /05 Deliver
Slide 34: Summary 1H24
Closing Remarks 04. Summary 1H24 Business Volumes vs. Jun 23 Results vs. 1H23 Loan Retail Off-Balance Total Pre-Provision Net Book Deposits Sheet Income Profit Income €79Bn €81Bn €53Bn €1,410M €929M €473M +5% +4% +20% +10% +13% +13% NII Fees 34 +9% +13% 1H24 Earnings Ratios Valor CET1 NPL Cost-to-In
Slide 35: Thank you / Q&A
Thank you Q&A 1H24 Earnings 18 July 2024
Slide 36: Glossary
Glossary In addition to financial information prepared in accordance with IFRS Standards, this document includes alternative performance measures (‘APMs’), based on the Guidelines on Alternative Performance Measures published by the European Securities and Markets Authority on 30 July 2015 (ESMA/201
Slide 37: Appendix: ALCO, MREL, Businesses
ALCO MREL 37 1H24 Earnings Businesses
Slide 38: ALCO Portfolio
Appendix A1. ALCO Portfolio HTC FV Total Var. vs.Dec.23 Amount (€bn) 11,8 0,9 12,7 +1,6 Duration (years) 5,4 1,6 5,1 +0,8 38 Avg. maturity (years) 9,3 2,0 8,8 -0,2 1H24 Earnings Yield (%) 2,5 1,9 2,5 +0,3 Unrealised Capital gains (€million) -573 -31 -604 -156 ALCO Portfolio / Total Assets 10,7% ALCO
Slide 39: ALCO Portfolio breakdown and maturities
Appendix A1. ALCO Portfolio ALCO breakdown (as of Jun.24) Maturities (as of Jun.24) In % In million of euros 7.807 18% 39 €12,7Bn 1H24 Earnings 22% 61% 1.639 954 810 545 591 255 2024 2025 2026 2027 2028 2029 ≥2030 Spanish Sovereign Other Sovereign Other
Slide 40: Minimum Requirement for own funds and Eligible Liabilities
Appendix A2. Minimum Requirement for own funds and Eligible Liabilities MREL ratio % RWAs (TREA) 21,95% 22,83% 1,30% 1,66% 18,29% + CBR* 4,96% 4,05% 40 2,52% January 2024 Subordination Subordination 2,24% Requirement 20,29% 21,52% 1,75% 1,60% 1H24 Earnings 16,27% + CBR* 12,25% 12,44% June 2024 Subor
Slide 41: Consumer Finance Business
Appendix A3. Consumer Finance Business (Total group) Breakdown by Product Type as of June 2024 Gross Operating Income +2% € billion and as a % difference vs. 1H23 € million vs. 1H23 0,4 -5% 194 198 41 3,3 1S23 1S24 +11% 1,1 +13% 4,8 Bn€ 1H24 Earnings Loan book +10% vs. 1H23 Cost of Risk 3,8% Revolvi
Slide 42: EVO Banco
Appendix A3. EVO Banco Retail Deposits Loan Book Operating Income € million € million € million +18% +15% +36% vs. 2Q23 vs. 2Q23 vs. 1H23 42 3.637 3.165 1H24 Earnings 4.411 3.851 3.738 2.295 42 31 18 Jun. 22 Jun. 23 Jun. 24 Jun. 22 Jun. 23 Jun. 24 1H22 1H23 1H24
Slide 43: 1H2024 Earnings Presentation
18 July 2024 1H2024 Earnings Presentation 1H24 Earnings