Bankinter S A : Results presentation (1H25 Presentacion Resultados EN)

About this update from Bankinter Sa

Earnings Presentation 1H2025 24 th of July 2025 Highlights Geographies & Businesses Results & Solvency Closing Remarks .1 Highlights Accelerated growth & earnings momentum. Margins hold strong. Resilience in margins vs 1H24 Uplift in customer volumes 1H25 vs 1H24 +6% CUSTOMER LENDING 2,73% CUSTOMER MARGIN +9% 1H25 Net profit €542M ROTE 19,5% Last 12 months CUSTOMER VOLUMES 1 RETAIL DEPOSITS +6% +6% +18% AUMs 1,83% NIM Strength in fee & revenue results -5% NII GROSS OPERATING INCOME +11% NET FEES Best-in-class management ratios 1H25 36% COST-TO-INCOME RATIO 2,14% NPL RATIO .1 + 9% +€19Bn vs jun-24 Highlights Strong customer volume trends Commercial ambition continues to drive long-term growth By category € billion, % variation vs jun-24 By geography % customer volumes, % variation vs jun-24 By new origination % YTD, % variation vs jun-24 AUMs +18% Retail deposits +6% Customer lending +6% 212 221 53 58 62 81 83 86 79 80 83 231 Spain +8% Portugal +15% Ireland +20% 2% Mortgages +21% Consumer -10% Corp & SME +15% 10% 88% 27% 59% 14% jun-24 dec-24 jun-25 01. .1 Highlights Earnings inflection point. Net interest income increases 4%. Fees supporting income growth Net interest income € million Core revenues € million Gross operating income +6% € million -1% +2% +4% 1.160 1.101 380 342 1.502 1.481 1.410 1.494 550 541 560 4Q24 1Q25 2Q25 1H24 1H25 NII Net Fees 1H24 1H25 01. .1 Highlights Digital transformation driving efficiency: IA and Cloud catalysts for scalability & productivity improvements Productivity by employee Costs to customer volumes Customer volumes / Employees (€ million) Operating expenses / Customer volumes (€ million for each € billion) 31 33 35 4,8 € 4,8 € 4,6 € dec-23 dec-24 jun-25 dec-23 dec-24 jun-25 Cloud platform for IA models AI GEN Cases New deployment, multiplying AI models' commercial productivity, prioritizing Technological & customer migration from EVO to Bankinter completed. Economies of scale initiatives that promote scalability and better governance. +20 new cases this year, with tangible impact on operational and commercial efficiency, implemented in business segments and corporate services. .1 Highlights 19,5% ROTE Record profitability, strengthened by efficiency and asset quality levels Cost-to-income ratio European peers 1 Cost-to-income ratio: 47,8% NPL & Coverage ratios ROE 69% 70% 65% 12-month periods 17,9% 17,1% 4º quartile out of +100 European SIs 18,4% 37,3% 36,3% 35,9% European SIs out of +100 1 st quartile 0, 2023 2024 1H25 2,1% 2,1% 2,1% 2023 2024 1H25 NPL ratio Coverage ratio European Peers 1 ROE: 12,2% 2023 2024 1H25 1 4Q24 aggregated data from ECB Data Portal. Supervisory data Business model Diversified Lenders includes 30 European Peers. Table T02 and T04.05. Quartile data, Significant Institutions (SIs). 10 10 .2 Results & Solvency Solid P&L results Bankinter Group € million 1H25 1H24 Dif. € Dif. % Net interest income 1.101 1.160 -59 -5% Net fees 380 342 +38 +11% Other income / expenses 13 -92 +105 n.a. Gross operating income 1.494 1.410 +84 +6% Operating expenses -536 -481 -55 +11% Pre-provision profit 958 929 +29 +3% Cost of risk & other provisions -193 -214 +21 -10% Profit before taxes 766 715 +50 +7% Net profit 542 473 +68 +14% .2 Results & Solvency Increasing NII driven by significant reduction in cost of deposits Net interest income € million Customer margin & NIM quarterly in % Cost of deposits 4,14 3,95 3,71 +4% vs 1Q25 -23bps vs 1Q25 4,41 4,33 583 568 550 541 560 3,01 2,86 2,74 2,74 2,73 2,06 1,92 1,87 1,84 1,83 1,40 1,47 1,40 1,21 0,98 2Q24 3Q24 4Q24 1Q25 2Q25 2Q24 3Q24 4Q24 1Q25 2Q25 Customer credit yield Customer deposit cost Customer margin NIM .2 Results & Solvency ALCO bond portfolio continues to support NII momentum as of jun-25 HTC FV Total YoY Difference ALCO Portfolio Size +16% vs jun-24 € billion 12,7 13,9 14,1 14,7 Amount (€Bn) 14,2 0,5 14,7 +2,0 Duration (years) 5,1 1,5 4,9 -0,2 Avg. maturity (years) 9,6 1,7 9,3 +0,5 Yield (%) 2,5 1,4 2,5 +0,0 Unrealised Capital gains (€M) -110 -9 -119 +485 jun-24 dic-24 mar-25 jun-25 ALCO Portfolio / Equity 2,4x ALCO Portfolio / Total Assets 11% .2 Results & Solvency Continued strength in fee dynamics Net fees € million Gross fees received vs 1H24, € million +11% Net Fees vs 1H24 53% % Fees received Management & Brokerage 249 +13% 380 303 342 Transactional 192 +2% 40% Insurance 1 33 +6% 7% 1H23 1H24 1H25 1 Including additional income from the insurance JV, +13% vs 1H24 .2 Results & Solvency Other income & expenses Bankinter Group € million 1H25 1H24 Dif. € Dif. % Equity method 21 12 +9 +77% Trade income/losses & Dividends 37 30 +7 24% Regulatory charges -16 -111 +95 n.a. o/w banking tax 0 -95 +95 n.a. Other operational income/losses -29 -22 -7 +25% Total 13 -92 +105 n.a. 36% Cost-to- income ratio 1H25 .2 Results & Solvency Reduced seasonality and stability in operating expenses Operating expenses 309 232 249 263 269 267 €263M 2024 quarterly average +2% / +€4M vs 2024 quarterly average € million 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Operating expenses Average quarterly expenses in the year 02. .2 Results & Solvency Operating expenses breakdown By geography % vs 1H24, € million By type % vs 1H24, € million 59 26 536M € +11% 451 +15% +15% +4% +1% 44 175 536M € +19% 316 Spain Portugal Ireland Personnel expenses Admin expenses Amortization .2 Results & Solvency Improvements in cost of risk and provisions Credit risk % of eligible risk, columns in € million Other provisions % of eligible risk, columns in € million 0,38% 0,40% 0,32% 155 176 150 0,11% 0,09% 0,08% 46 37 37 1H23 1H24 1H25 1H23 1H24 1H25 Provisions and other impairments Annualized cost 1. Calculations based on end of period data and excluding extraordinaries .2 Results & Solvency Return to historical quarterly profits Profit before taxes € million Net profit € million ~ 0% vs 2Q24 ~ 0% vs 2Q24 273 258 222 270 272 389 367 378 387 277 2Q24 3Q24 4Q24 1Q25 2Q25 2Q24 3Q24 4Q24 1Q25 2Q25 .2 Results & Solvency Credit risk and asset quality NPLs, NPL ratio & coverage ratio € billion and in % Asset quality 1 NPL by region vs last sector data -3bps NPL ratio vs. +6% eligible risk vs jun-24 68% 69% 70% 3,2% 2,4% 2,4% 1,3% 1,0% 0,3% 2,17% 2,11% 2,14% 1,90 1,88 1,98 jun-24 dec-24 jun-25 NPLs NPL ratio Coverage ratio Bk Spain Bk Portugal Bk Ireland Bankinter Sector 1 Sector NPL data based on the last available data published by each national bank as of July 2025 02. .2 Results & Solvency Solid liquidity metrics Liquidity gap € billion Wholesale funding maturities € million -4,5 -4,8 -3,9 jun-24 dec-24 jun-25 Loan to Deposits 94,7% In % 4.550 1.100 1.024 1.632 HQLAs 12M average €21,1Bn Liquid Assets €35,9Bn 2025 2026 2027 2028 2029 ≥2030 95,6% 97,3% Issuance Capacity €5,3Bn LCR 12M average 193% jun-24 dec-24 jun-25 .2 2025 Capital Pillar II (P2R) Capital R equiremen t 1,30% 4º lowest out of 110 European entities Results & Solvency Strong capital & solvency ratios CET1 12,57% Buffer +4,63% Regulatory Min. 7,94% CET1 ratio % -0,34 -0,08 -0,14 +25pbs organic generation Leverage ratio 5,1% Total Capital ratio 17,3% 12,41 0,59 12,58 0,13 12,57 dec-24 Retained Business Intangible & % CET1 pre Valuation CRR3 Impact jun-25 earnings (RWAs) others CRR3 & adjustments valuation adj. 03. .3 Geographies & Businesses Robust commercial activity and revenues across regions Customer volumes % customer volumes, % variation vs jun-24 Gross operating income % contribution, % variation vs 1H24 +11% +3% 4% 12% +6% 84% +15% 2% 10% +8% 88% +20% Spain Portugal Ireland Spain Portugal Ireland 03. .3 Geographies & Businesses Spain Business KPIs P&L € million Net interest income 1H25 904 1H24 972 Dif. % -7% Net fees 337 300 +12% Other income / expenses 20 -85 n.a. Gross operating income 1.261 1.187 +6% Operating expenses -451 -408 +11% Pre-provision profit 809 779 +4% Cost of risk & other provisions -169 -187 -9% Profit before tax 640 593 +8% €68 Bn Customer lending +4% YoY Retail Banking €34bn +4% Corp. & SME banking €33bn +6% €78 Bn Retail deposits +5% YoY €133 Bn 1 +15% YoY AUM €57Bn AUC €76Bn +18% YoY +13% YoY Cost-to- income ratio 36% +1% Costs 2Q vs '24 quarterly average Spain includes corporate center and consolidation adjustments 25 1 Assets under Management:+ Assets under Custody .3 Geographies & Businesses Portugal Business KPIs P&L €11 Bn Customer lending +11% YoY Retail Banking €7,2Bn +12% Corp. & SME Banking €3,5Bn +8% €10 Bn 1 Customer deposits+20% YoY €10 Bn 2 +13% YoY AUM €5Bn AUC €5Bn +17% YoY +8% YoY Cost-to- income ratio 33% +6% Costs 2Q vs '24 quarterly average € million 1H25 1H24 Dif. % Net interest income 142 140 +1% Net fees 39 37 +4% Other income / expenses -3 -4 -40% Gross operating income 178 173 +3% Operating expenses -59 -51 +15% Pre-provision profit 120 122 -2% Cost of risk & other provisions -15 -20 -24% Profit before tax 104 102 +2% Includes wholesale customer deposits Assets under Management + Assets under Custody .3 Geographies & Businesses Ireland €4 Bn Customer lending +20% YoY Mortgages €3Bn +22% Consumer €1Bn +13% 0,3% NPL ratio Cost-to- income ratio 47% +6% Costs 2Q vs '24 quarterly average Business KPIs P&L € million Net interest income 1H25 55 1H24 48 Dif. % +15% Net fees 5 5 +5% Other income / expenses -5 -3 +74% Gross operating income 55 50 +11% Operating expenses -26 -23 +15% Pre-provision profit 29 28 +7% Cost of risk & other provisions -9 -7 +19% Profit before tax 21 20 +2% .3 Geographies & Businesses Corporate & SME banking growth acceleration Customer lending € billion International Business segment size & growth (Spain) +6% vs jun-24 New origination % of origination YTD Customer lending % of total, % increase vs jun-24 37% 63% + 14% 32% 68% +2% 36 34 35 Domestic International Business Customer lending growth (Spain) jun-25 vs jun-24 +3% Sector 1 +6% BKT Spain jun-24 dec-24 jun-25 1 Data BoS May 25. Table 19.16 .3 +€9Bn Incremental wealth In 2025 ~ 50% Net new money ~ 50% Market effect Geographies & Businesses Wealth Management: growth reflects the high-quality customer base Customer wealth 1 € billion 122 129 138 61 53 57 68 72 77 +13% / +€16Bn jun-24 dec-24 jun-25 Private Banking Retail Banking 1 Customer wealth includes accounts, deposits, AUMs y AUCs .3 Geographies & Businesses Retail Banking: increased trends in mortgage activity and strong account gathering Salary & 100% Digital accounts Portugal +11% Ireland +22% Thousand of accounts New mortgage origination Market share Spain 1 6% Portugal 2 6% Ireland 3 ,1 6% € billion Mortgage Backbook +3% Spain Sector 4 +2% Sector 2 +6% € billion 709 692 665 +7% 1,6 1,3 1,8 1,6 ~80% Fixed / Mixed +6% vs jun-24 +21% vs 1H24 2,8 3,4 jun-24 dec-24 jun-25 30 1H24 1H25 37,7 36,5 35,6 1Q 2Q 1 INE April 25.Market share in Spain in the last 12 months. 2 Bank of Portugal April 25, last twelve months. jun-24 dec-24 jun-25 3 Bank of Ireland, May 25, YTD 4 BoS Table 19.16. May 25, last twelve months. Attention : This is an excerpt of the original content. To continue reading it, access the original document here .

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