Grupo Aval Acciones y Valores S A : Separate Financial Statements 4Q25

About this update from Grupo Aval Acciones Y Valores Sa

KPMG S.A.S. Calle 90 No. 19c - 74 Bogotá D.C. - Colombia Phone: +57 (601) 618 8000 +57 (601) 618 8100 https://www.kpmg.com/co (FREE TRANSLATION OF THE REPORT ISSUED IN SPANISH) STATUTORY AUDITOR'S REPORT To the Shareholders Grupo Aval Acciones y Valores S.A.: Report on the audit of the separate financial statements Opinion I have audited the separate financial statements of Grupo Aval Acciones y Valores S.A. (the Company), which comprise the separate statement of financial position as of December 31, 2025, and the separate statements of income, and other comprehensive income, changes in equity, and cash flows for the year then ended and their respective notes, which include the significant accounting policies and other explanatory information. In my opinion, the separate financial statements referred to above, prepared in accordance with the information faithfully taken from the books and attached to this report, present fairly, in all material respects, the Company's separate financial position as of December 31, 2025, the separate results of its operations, and its separate cash flows for the year then ended, in accordance with the Accounting and Financial Reporting Standards accepted in Colombia, applied on a consistent basis with the preceding year. Basis for opinion I conducted my audit in accordance with the International Standards on Auditing accepted in Colombia (ISAs). My responsibilities in accordance with those standards are described in the section "Responsibilities of the Statutory Auditor in connection with the Audit of the Separate Financial Statements" of my report. I am independent with respect to the Company, in accordance with the Code of Ethics for Accounting Professionals issued by the International Ethics Standards Board for Accountants (IESBA Code) included in the Information Assurance Standards accepted in Colombia, together with the ethical requirements that are relevant to my audit of the separate financial statements established in Colombia and I have complied with my other ethical responsibilities in accordance with these requirements and the IESBA Code mentioned. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion. Key audit matters I have determined that there are no key audit matters that need to be communicated in my report. © 2026 KPMG S.A.S., a Colombian simplified joint-stock company and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. KPMG Confidential KPMG S.A.S. Tax ID.: 860.000.846-4 Other matters The separate financial statements as of and for the year ended December 31, 2024 are presented solely for comparative purposes, they were audited by me and in my report dated March 3, 2025, I expressed an unqualified opinion thereon. Responsibility of the Company's management and those charged with corporate governance in connection with the separate financial statements Management is responsible for the preparation and fair presentation of these separate financial statements in accordance with the Accounting and Financial Information Standards accepted in Colombia. This responsibility includes: designing, implementing, and maintaining such internal control as management determines necessary to enable the preparation of separate financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies as well as establishing the accounting estimates that are reasonable in the circumstances. In preparing separate financial statements, management is responsible for assessing the Company's ability to continue as a going concern, to disclose, as applicable, matters related to going concern, and to use the accounting base's going concern, unless management intends to liquidate the Company, cease operations, or there is no more realistic alternative than to proceed in one of these ways. Those charged with corporate governance are responsible for overseeing the Company's financial reporting process. Responsibilities of the statutory auditor in connection with the audit of the separate financial statements My objectives are to obtain reasonable assurance about whether the separate financial statements, taken as a whole, are free from material misstatement, whether due to fraud or error, and to issue an audit report that includes my opinion. Reasonable assurance means a high level of assurance, but it is not a guarantee that an audit conducted in accordance with the ISAs will always detect a material misstatement when it exists. Misstatements can arise due to fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the users' economic decisions, which are taken based on these separate financial statements. As part of an audit conducted in accordance with the ISAs, I exercise my professional judgment and maintain professional skepticism during the audit. I also: Identify and assess the risks of material misstatement of the separate financial statements, whether due to fraud or error, design and perform audit procedures in response to those risks and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is greater than that arising from error, because fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the nullification or overriding of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. Conclude on the appropriateness of management's use of the going concern assumption and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may indicate significant doubt about the Company's ability to continue as a going concern. If I conclude that material uncertainty exists, I must draw attention in my report to the disclosure describing this situation in the separate financial statements or, if such disclosure is inadequate, I must modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my report. However, future events or conditions may cause the Company to cease to operate as a going concern. Evaluate the overall presentation, structure, and content of the separate financial statements, including the disclosures, and whether the separate financial statements present the underlying transactions and events to achieve a fair presentation. Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the Group's financial statements. I am responsible for the direction, supervision, and performance of the Group's audit. I remain solely responsible for my audit opinion. I communicate to those charged with governance of the Company, among other matters, the planned scope and timing of the audit, as well as the significant audit findings, including any significant deficiencies in internal control that I might identify during my audit. I also provide those charged with governance with confirmation that I have complied with relevant ethical independence requirements and that I have communicated to them all relationships and other matters that may reasonably be considered to influence my independence and, where applicable, safeguards applied. Report on other legal and regulatory requirements Based on the results of my tests, in my opinion, during 2025: The Company's accounting has been carried out in accordance with legal regulations and accounting techniques. The operations recorded in the books are in conformity with the bylaws and the decisions of the Shareholders' Assembly. The correspondence, accounting vouchers, books of minutes, and stocks registry are properly kept and maintained. There is concordance between the accompanying separate financial statements and the management report prepared by management, which includes the Management's evidence regarding the free circulation of invoices issued by sellers or vendors. The information contained in the self-assessment declarations of social security contribution, particularly that relating to members and their contribution base income, has been taken from the accounting records and supports. The Company is not in arrears for contributions to the integral social security system. Compliance with the provisions of Law 2195 of 2022 has been achieved through the internal control system. The Company has complied with the provisions of the Comprehensive System for the Prevention and Control of Money Laundering and the Financing of Terrorism as established in Chapter VII of Title I of Part III of the Basic Legal Circular of the Financial Superintendence of Colombia. In compliance with the requirements of Articles 1.2.1.2. and 1.2.1.5. of Single Regulatory Decree 2420 of 2015, in development of the Statutory Auditor's responsibilities contained in numerals 1°) and 3°) of Article 209 of the Code of Commerce, related to the evaluation whether the Society's management performance is in accordance with the bylaws and the orders or instructions of the General Shareholders' Assembly and if there are and are adequate measures of the internal control, preservation, and custody of the Society's assets or third parties' assets in its possession, I issued a separate report dated March 3, 2026. (Original signed in Spanish) Diana Alexandra Rozo Muñoz Statutory Auditor of Grupo Aval Acciones y Valores S.A. Registration No. 120741 - T Member of KPMG S.A.S. March 3, 2026 Separate Statement of Financial Position as of December 31, 2025 and 2024 (Stated in millions of Colombian pesos, except earnings per share) Note 2025 2024 Assets Current assets Cash and cash equivalents 6 Ps. 50,606 Ps. 126,156 Trading Investments 7 538 452 Non-Marketable Investments 8 40,667 38,425 Accounts receivable from related parties 9 157,926 1,324,153 Taxes paid in advance 9 27,708 12,695 Other accounts receivable 9 10 6 Other non-financial assets 10 74 100 Total current assets 277,529 1,501,987 Non-current Assets Investments in subsidiaries and associates 11 Ps. 20,416,959 Ps. 19,424,206 Non-Marketable Investments 8 101,939 - Accounts receivable from related parties 9 975,554 - Property and equipment, net 12 12,190 14,051 Deferred tax assets, net 13 418 - Total non-current Assets 21,507,060 19,438,257 Total assets Ps. 21,784,589 Ps. 20,940,244 Liabilities and shareholders' equity Current liabilities Financial obligations at amortized cost 14 Ps. 9,734 Ps. 1,197,997 Outstanding bonds at amortized cost 14 101,611 8,529 Accounts payable 16 228,277 201,250 Employee benefits 15 5,012 2,694 Tax liabilities 16 10,409 11,997 Other non-financial liabilities 16 1,214 1,231 Total current liabilities 356,257 1,423,698 Long-term liabilities Deferred tax liability 13 Ps. - Ps. 24 Financial obligations at amortized cost 14 1,372,965 347,817 Outstanding bonds at amortized cost 14 1,107,000 1,200,000 Total long-term liabilities 2,479,965 1,547,841 Total liabilities Ps. 2,836,222 Ps. 2,971,539 Equity Subscribed and paid capital 17 Ps. 23,743 Ps. 23,743 Additional paid-in capital 17 9,695,243 9,695,243 Retained earnings 17 7,921,461 7,594,021 Net income 1,735,360 999,886 Other comprehensive income (OCI) 17 (427,440) (344,188) Total shareholders' equity Ps. 18,948,367 Ps. 17,968,705 Total liabilities and shareholders' equity Ps. 21,784,589 Ps. 20,940,244 The accompanying notes are an integral part of these financial statements Separate Statement of Profit or Loss, Fiscal year ended, December 31, 2025 and 2024 (Stated in millions of Colombian pesos, except for the number of shares and net income per share) Note 2025 2024 Operating revenue Equity method income, net 19 Ps. 1,717,799 Ps. 952,207 Other revenue from ordinary activities 19 354,377 424,982 Total operating revenue Ps. 2,072,176 Ps. 1,377,189 Expenses, net Administrative expenses 20 Ps. 91,817 Ps. 81,084 Other net expenses (income) 20 (260) (345) Exchange rate loss (Gain) 20 6,314 (4,846) Operating income Ps. 1,974,305 Ps. 1,301,296 Financial expenses 20 222,419 270,781 Earnings before taxes Ps. 1,751,886 Ps. 1,030,515 Income tax expense 13 16,526 30,629 Net income Ps. 1,735,360 Ps. 999,886 Number of shares outstanding 17 23,743,475,754 23,743,475,754 Net income per share Ps. 73.09 Ps. 42.11 The accompanying notes are an integral part of these financial statements (Stated in millions of Colombian pesos) 2025 2024 Net income Ps. 1,735,360 Ps. 999,886 Other comprehensive income, net of taxes Participation in other comprehensive income reported using the equity method (84,512) 306,327 Unrealized Net Gain (Loss) on Fixed-Income Investments 1,939 - Income tax expense (679) - Comprehensive income, net Ps. 1,652,108 Ps. 1,306,213 The accompanying notes are an integral part of these financial statements GRUPO AVAL ACCIONES Y VALORES S.A. Separate Statement of Changes in Equity as of December 31, 2025 and 2024 (Stated in millions of Colombian pesos) Retained earnings (losses) Subscribed Paid-in Legal Occasional Retained Net Other Total and paid capital Capital reserve reserve earnings Income comprehensive Equity income (OCI) Balance as of December 31st 2023 Ps. 23,743 Ps. 9,695,243 Ps. 11,872 Ps. 7,220,883 Ps. 217,639 Ps. 723,038 Ps. (650,515) Ps. 17,241,903 Constitution of reserves for future distributions net income 2023 - - - 723,038 - (723,038) - - To distribute a cash dividend of $ 2.00 per share per month from April 2024 to March 2025 including those - shares as of the date of the Shareholder´s meeting. - - (569,843) - - - (569,843) Other comprehensive income from equity-method accounting. - - - - - - 306,327 306,327 Changes in subsidiaries' equity - - - - (6,845) - - (6,845) Witholding tax on dividends - - - - (2,723) - - (2,723) Net Income - - - - - 999,886 - 999,886 Balance as of December 31st 2024 Ps. 23,743 Ps. 9,695,243 Ps. 11,872 Ps. 7,374,078 Ps. 208,071 Ps. 999,886 Ps. (344,188) Ps. 17,968,705 two months, over 23.743.475.754 outstanding Constitution of reserves for future distributions net income 2024 - - - 999,886 - (999,886) - - Reserve appropriation - - - (7,604) 7,604 - - - To distribute a cash dividend of $ 2.30 per share per month from April 2025 to March 2026 including those two months, over 23.743.475.754 outstanding - - - (655,320) - - - (655,320) shares as of the date of the Shareholder´s meeting. Other comprehensive income - - - - - - (83,252) (83,252) Changes in subsidiaries' equity - - - - (12,688) - - (12,688) Witholding tax on dividends - - - - (4,438) - - (4,438) Net Income - - - - - 1,735,360 - 1,735,360 Balance as of December 31st 2025 Ps. 23,743 Ps. 9,695,243 Ps. 11,872 Ps. 7,711,040 Ps. 198,549 Ps. 1,735,360 Ps. (427,440) Ps. 18,948,367 The accompanying notes are an integral part of these financial statements + GRUPO AVAL ACCIONES Y VALORES S.A. Separate Cash Flow Statement Fiscal year ended December 31, 2025 and 2024 (Stated in millions of Colombian pesos, except for the number of shares and net income per share) Note 2025 2024 Cash flow from operating activity: Net Income Ps. 1,735,360 Ps. 999,886 Adjustments to reconcile net income with net cash provided (used) by operating activities Income tax expense 13 Ps. 16,526 Ps. 30,629 Loss on Disposal of Property, Plant and Equipment - 16 Depreciation and amortization 20 1,454 1,774 Loan Impairment 9 (424) (507) Equity method income 19 (1,717,799) (952,207) Changes in operating assets and liabilities: (Increase) in trading securities 7 Ps. (86) Ps. (196) Decrease in Accounts Receivable 12,215 - Acquisition of Investments (12,215) - Receivable Amount 9 37,845 200,000 Receivable interests 1,535 2,317 Changes in other assets and liabilities, net: prepaid taxes, prepaid expenses, taxes, accounts payable, employee liabilities, estimated liabilities and (27,251) (38,541) provisions Decrease(Increase) in interests payable 3,890 (15,995) Interest paid on lease agreements (IFRS 16) 20 (1,477) (747) Dividends received by subsidiaries 647,392 668,521 Net cash provided by operating activities Ps. 696,965 Ps. 894,950 Cash flow from investing activities: Amortized cost investments (7,858) (15,029) Available-for-Sale Investments 8 (100,000) - Acquisition of Investments (5,600) - Acquisition of property and equipment 12 (802) (1,226) Net cash used in investing activities Ps. (114,260) Ps. (16,255) Cash flow from financing activities: Dividends paid (625,826) (728,181) Acquisition of Investments 11 (50,000) (93,569) Proceeds from Loans 14 50,000 124,520 Loan paid amount 14 (37,845) (282,324) Payment of lease liabilities 14 (581) (1,192) Bonds Payment 14 - (224,520) Bonds Issuance 14 - 300,000 Net cash used in financing activities Ps. (664,252) Ps. (905,266) Effect of exchange rate difference on cash 5,997 (4,596) Change in cash and cash equivalents (75,550) (31,167) Cash and cash equivalents as of the beginning of the period 126,156 157,323 Cash and cash equivalents as of the end of the period Ps. 50,606 Ps. 126,156 Additional information: Payment of Interest Ps. 220,000 Ps. 287,966 The accompanying notes are an integral part of these financial statements Reporting Entity Grupo Aval Acciones y Valores S.A. (hereinafter referred to as the 'Company' or 'Grupo Aval') is a Stock Corporation established by Public Deed number 0043 on January 7, 1994; Its registered office is located at Carrera 13 No. 26A -47, Bogotá, D.C., Colombia. Its corporate purpose is focused on the to buy and to sell of stocks, bonds, and securities of entities belonging to the financial system and other commercial entities. As part of its activities, the Company is authorized to acquire and trade all kinds of marketable securities and securities in general freely circulating in the market; to promote the creation of all kinds of companies related to or complementary to the corporate purpose; to represent natural or legal persons engaged in similar or complementary activities, as well as those previously indicated; to lend or borrow money, with or without interest; to provide as collateral or for management its movable or immovable assets; to issue, endorse, acquire, accept, collect, protest, cancel, or pay bills of exchange, checks, promissory notes, or any other securities titles, either by accepting or providing them as payment, and generally execute or celebrate the exchange contract in all its manifestations, in all their forms, or related, parallel, and/or complementary activities. As of December 31, 2025 and 2024, we employed 127 and 119 people respectively. The duration of the Company, as established in its bylaws, is until May 24, 2044, but may be dissolved or extended before that term. The Law 1870 of 2017 aims to define, supervise, and regulate financial conglomerates to watch over the stability of the financial system. In its Article 3, it defines the scope and responsibility of financial holdings, such as Grupo Aval. This law specifies that these entities will be subject to inspection and supervision by the Financial Superintendent; therefore, all regulatory provisions related to risk management, internal control, information disclosure, conflicts of interest, and corporate governance that they must apply will be applicable. Legal and regulatory restrictions. The companies that make up Grupo Aval in Colombia are subject to the following restrictions on transferring profits or conducting transactions, in accordance with legal requirements in Colombia: Before distributing any dividends to their shareholders, Grupo Aval's subsidiaries in Colombia must allocate 10% of their profits until the legal reserve equals 50% of the paid-in capital. Grupo Aval's subsidiaries operating in the financial sector in Colombia may not grant loans to a counterparty that exceed 10% of their regulatory capital if the loan is unsecured, or 25% (of their technical equity -according to the rules of the Financial Superintendence) if such loan is granted with acceptable collateral. There is an exception to this rule that increases the maximum limit to 25% (without collateral) when the loans are granted to 4G infrastructure projects. In accordance with Article 2.1.2.1.8 of Decree 2555 of 2010, banks in Colombia are subject to a lending limit of 30% of their regulatory capital for loans granted to financial institutions. Grupo Aval's foreign subsidiaries have no restrictions on transferring dividends to the parent company. Lending operations generally face restrictions similar to those applicable to banks in Colombia, as described above. Grupo Aval and its subsidiaries do not have significant restrictions on their ability to access or use their assets and settle their liabilities, other than those arising from the supervisory frameworks under which the banking subsidiaries operate. These supervisory frameworks require the banking subsidiaries to maintain certain levels of regulatory capital and liquid assets, limit their exposure to other Grupo Aval entities and subsidiaries, and comply with additional regulatory indicators. Acquisition of shares of acciones de Aval Banca de Inversión S.A.S. In January 2025, the company AVAL Banca de Inversión SAS was incorporated, which will have within its purpose the structuring of financial operations, Project Finance advice, accompaniment to clients to obtain resources in the banking and capital markets, advice on mergers and acquisitions processes, as well as the provision of financial consulting services. Grupo Aval participated in 70% of the shareholding composition of this new Company and Corficolombiana participated in the remaining 30%. And a total share capital of Ps. 8,000 (see Note 12). Basis of presentation of separate financial statements and summary of significant accounting policies. The condensed separate interim condensed financial information of Grupo Aval Acciones y Valores S.A., have been prepared in accordance with the Accounting and Financial Reporting Standards accepted in Colombia (IFRS adopted by Colombia) and established in Law 1314 of 2009, regulated in the annex of Decree 2420 of 2015, and the other amending decrees issued by the National Government. In accordance with Colombian legislation, the Company must prepare separate and consolidated financial statements. Separate financial statements are those that serve as the basis for the distribution of dividends and other appropriations by the shareholders. The separate and consolidated financial statements are submitted to the Shareholders' Meeting for approval. The Company applies to these separate financial statements the following exceptions contemplated in Title 4 - Special Regimes of Chapter 1 of Decree 2420 of 2015 and applies the following guidelines in accordance with laws and other regulations in force in Colombia: The following exceptions established in External Circular 036 of 2014 of the Financial Superintendency of Colombia, for supervised and controlled entities: The instructions of the Financial Superintendency of Colombia related to the classification, valuation and accounting of investments, as regards their separate financial statements. Book 2 of Decree 2420 of 2015, as amended included in Decree 2496 of 2015: Article 7 - Explanatory notes (Addition of Part 2 to Book 2, Article 2.2.1) establishing that for the determination of post-employment benefits for future retirement or disability pensions, the parameters established in Decree 2783 of 2001 are used as the best market approximation, instead of the requirements determined in accordance with IAS 19. Article 11 - Validity (Amendment to Article 2.1.2 of Part 1 of Book 2) establishing that for the application of Article 35 of Law 222 of 1995, participations in subsidiaries must be recognized in the individual (separate) financial statements in accordance with the equity method, as described in IAS 28. Decree 1311 of 2021 regulating Article 50 of Decree Law 410 of 1971: - Article 1. Alternative for recognition and presentation of the deferred tax arising from the change in the income tax rate. The value of the deferred tax arising from the change in the income tax rate may be recognized in the entity's equity in the retained earnings of previous years. The main accounting policies applied in the preparation of the separate financial statements presented under IFRS adopted by Colombia as at December 31, 2025 and 2024, are as follows. Presentation Basis The Company's separate financial statements are those unconsolidated financial statements in which investments in subsidiaries are accounted for by the equity method in accordance with IAS 28. Under the equity method, investments in subsidiaries are recorded at acquisition cost and are periodically adjusted for changes in the parent company's equity interest in the net assets of the subsidiaries, less dividends received from them in cash and the effect of adjustments resulting from the homogenization to the parent company's policies, as well as the elimination of related party transactions. The Company's results for the period include its share in the results for the period of the subsidiaries, and Other Comprehensive Income includes its share in the other comprehensive income of the subsidiaries. At the end of each year-end the Company performs a qualitative and quantitative evaluation for impairment of its investments, in accordance with the parameters established in IAS 36. Functional and presentation currency Most of the Company's operations are conducted in Colombian pesos (Ps.). The Company's performance is measured and reported to its stockholders and the general public in Colombian pesos. Due to the foregoing, the Company's management believes that the Colombian peso is the currency that most faithfully represents the economic effects of the Company's underlying transactions, events and conditions and, for this reason, the accompanying financial statements are presented in millions of Colombian pesos as their functional currency and the figures have been rounded to the nearest whole number. Presentation of separate financial statements The accompanying separate financial statements were prepared to comply with the legal provisions to which the Company is subject as a legal and independent entity; some accounting principles may differ from those applied in the consolidated financial statements and, additionally, do not include the adjustments and eliminations necessary for the interpretation of the consolidated financial position and the consolidated comprehensive income of the Company and its subsidiaries. According to the Company's bylaws, Grupo Aval performed the accounting closing every six months, with the purpose of distributing profits. As of 2017, Grupo Aval performs annual account closing, in accordance with the approval of the General Shareholders' Meeting, in an extraordinary meeting held on October 25, 2016 with minute number 77. The Statement of Financial Position is presented showing current assets and liabilities as categories, a form of presentation that provides reliable information. In addition, in the development of each of the notes of financial assets and liabilities, the expected amount to be recovered or payable within the next twelve months and after twelve months is disclosed. The Statement of Income and the Statement of Other Comprehensive Income are presented separately as permitted by IAS 1; the Statement of Income is presented classified by function of expenses. The Statement of Cash Flows is presented by the indirect method, in which operating activities begin by presenting net profit, which is then modified by the effect of non-cash transactions for all types of deferred payment items and accruals that do not generate cash flows, as well as by the effect of income items that are classified as investment or financing; interest income and expense, as well as movements in investments in subsidiaries, are presented as components of operating activities. Transactions in foreign currency Transactions in foreign currency are translated into Colombian pesos using the representative market exchange rate at the transaction date. Monetary assets and liabilities in foreign currency are translated to the functional currency using the exchange rate at the reporting date of the statement of financial position. As at December 31, 2025 and 2024, the closing exchange rate was Ps. 3,757.08 and Ps. 4,409.15 per dollar, respectively. Gains or losses resulting from the translation process are included in the separate income statement. Cash and cash equivalents Cash and cash equivalents consist of cash balances, deposits and other liquid investments with original maturities of three months or less that are subject to an insignificant risk of changes in fair value and are used by the Company in the management of its short-term commitments. Financial assets Recognition and initial measurement A financial asset is any asset that is: cash; an equity instrument of another entity; a contractual right: o to receive cash or another financial asset from another entity; or o to exchange financial assets or financial liabilities with another entity under conditions that are potentially favorable to the entity; or o a contract that will or may be settled using the entity's own equity instruments. Regular purchases and sales of investments are recognized on the trade date, on which the Company and its subsidiaries commit to purchase or sell securities. Financial assets at fair value through profit or loss are initially recognized at fair value and transaction costs are expensed as incurred. Financial assets classified at amortized cost are recorded at acquisition or grant at their transaction value in the case of investments, or at their nominal value in the case of loans, which, unless there is evidence to the contrary, coincides with their fair value, plus transaction costs directly attributable to their acquisition or grant, less commissions received. Classification IFRS 9 (2014 version) contains a classification and measurement approach for financial assets that reflects the business model in which these assets are managed and their cash flow characteristics. IFRS 9 (2014 version) includes three main classification categories for financial assets: measured at amortized cost (AC), at fair value through other comprehensive income (FVTOCI), and at fair value through profit or loss (FVTPL). A financial asset is measured at amortized cost and not at fair value through profit or loss if it meets both of the following conditions: The asset is held within a business model whose objective is to hold assets in order to obtain contractual cash flows; and The contractual terms of the financial asset establish specific dates for cash flows derived solely from payments of principal and interest on the outstanding balance. A debt instrument is measured at FVTOCI only if it meets both of the following conditions and has not been designated as FVTPL: The asset is held within a business model whose objective is achieved by collecting contractual cash flows and selling these financial assets; and; The contractual terms of the financial asset establish specific dates for cash flows derived solely from payments of principal and interest on the outstanding balance. The following accounting policies apply to the subsequent measurement of financial assets. Financial assets at fair value through profit or loss (FVTPL) Financial assets at amortized cost (AC) These assets are subsequently measured at fair value. Net gains and losses, including interest or dividend income, are recognized in income. These assets are subsequently measured at amortized cost using the effective interest method. Amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. Equity investments with changes in other comprehensive income (FVOCI) These assets are subsequently measured at fair value. Dividends are recognized as income in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment. Other net gains and losses are recognized in OCI and are never reclassified to profit or loss. Reclassifications Financial assets are not reclassified after initial recognition, except in the period after the Company modifies its business model for managing financial assets. Transfers and derecognition of financial assets The accounting treatment of transfers of financial assets is conditioned by the manner in which the risks and benefits associated with the assets being transferred are transferred to third parties, such that financial assets are derecognized from the separate statement of financial position when the cash flows they generate have been extinguished or when the risks and benefits implicit in them have been substantially transferred to third parties. In the latter case, the transferred financial asset is derecognized from the separate statement of financial position, recognizing simultaneously any right or obligation retained or created as a result of the transfer. Substantially all the risks and rewards are deemed to be transferred if the risks and rewards transferred represent the majority of the total risks and rewards of the transferred assets. If substantially all the risks and/or rewards associated with the transferred financial asset are retained: The transferred financial asset is not derecognized from the statement of financial position and continues to be measured using the same criteria used before the transfer. An associated financial liability is recorded for an amount equal to the consideration received, which is subsequently measured at amortized cost. Both the income associated with the financial asset transferred (but not derecognized) and the expenses associated with the new financial liability continue to be recorded. Financial assets are derecognized from the statement of financial position only when the rights have been legally extinguished or when substantially all the risks and rewards of the asset have been transferred to third parties. Impairment IFRS 9 (2014 version) replaced the incurred loss model in IAS 39 with an expected credit loss (ECL) model. This model requires considerable judgment to be applied with respect to how changes in economic factors affect the ECL, which will be determined on a weighted average basis. The impairment model is applicable to the following financial assets that are not measured at FVTPL: Debt instruments Leases receivable Other receivables Loan portfolio Financial guarantee issued contracts; and Commitments of issued loans IFRS 9 (2014 version) requires recognizing a provision for impairment of financial assets at fair value through profit or loss in an amount equal to an expected impairment loss over a period of twelve months after the reporting date or over the remaining life of the loan. The expected loss over the remaining life of the loan is the expected loss resulting from all possible impairment events over the expected life of the financial instrument, while the expected loss over the twelve-month period is the portion of the expected loss that will result from impairment events that are possible within twelve months after the reporting date of the financial statements. Financial assets at fair value Financial assets at fair value correspond to deposits in collective investment funds on demand, which are recorded at the value of the deposits and are adjusted daily based on the variations in the value of the equity unit reported by the trust company that manages it, with charge or credit to income, as the case may be. Financial instruments that are traded in markets that are not considered active, but that are measured based on quoted market prices, price quotations from pricing vendors, or alternative pricing sources supported by observable inputs, are classified within Level 2. In accordance with IFRS 13 "Fair value measurement", the fair value is the price that would be received for the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Based on the above, fair value valuations of financial assets are performed as follows: For collective investment funds, the unit value provided by the fund management company is used, which reflects the fair value of the underlying assets. For the valuation of these assets the management company uses: For highly liquid investments, it uses the price provided by price vendors duly authorized by the Financial Superintendence of Colombia, calculated based on the average prices taken on the last trading day on the cutoff date of the financial statements. The fair value of financial assets that are not quoted in an active market is determined using valuation techniques, mainly information provided by the price vendor authorized by the Superintendency of Finance who, in accordance with the approved methodology, makes assumptions based on market conditions existing at each reporting date. The valuation techniques used include the use of recent comparable and arm's length transactions, reference to other instruments that are substantially similar, discounted cash flow analysis, option pricing models and other valuation techniques commonly used by market participants, making maximum use of market data. Financial assets at amortized cost These represent rights, investments in TD, accounts receivable such as dividends, fees to entities, advances made to employees, loans granted and suppliers, claims to insurance companies, Health Promoting Entities (EPS) reimbursements and other transactions, which are recorded at amortized cost. Property and equipment Property and equipment are measured at cost less accumulated depreciation and accumulated impairment losses. The acquisition cost includes any other costs directly attributable to the process of rendering the asset fit for its intended use. Depreciation is recognized in income based on the straight-line method over the estimated useful lives of each item of property and equipment. The Company measures the wear and tear suffered by the assets that are recognized as property and equipment, according to the following estimated useful lives: Category Lifetime Hardware - Technology Infrastructure 3 to 7 years 3 to 5 years 5 to 8 years Furniture and fixtures 3 to 10 years Fleet and transportation equipment 10 years Improvements on properties not owned 10 years PCs / Laptops / Mobiles Servers Communication Investments in subsidiaries Investments in controlled entities are called "Investments in subsidiaries" and are recognized by the equity method, which is a method of accounting whereby the investment is initially recorded at cost, in the separate financial statements, and subsequently adjusted periodically for changes in the investor's interest in the net assets of the investee. The Company's comprehensive income for the period includes its share in the investee's income for the period, and in equity includes its share in the investee's "Other Comprehensive Income" account. Investments in associates Associated companies are those entities where there is no control, but the Group does have significant influence and are accounted for by the equity method. They are presented in the financial statements as "investments in associates". Grupo Aval exercises significant influence in another entity if it owns directly or indirectly 20% or more of the voting power in the investee, unless it can be clearly demonstrated that such influence does not exist. The equity method is a method of accounting whereby the investment is initially recorded at cost, and subsequently adjusted periodically for changes in the net assets of the investee in proportion to the Group's interest. The Company's comprehensive income for the period includes its share in the income for the period of the investee and in the "Other comprehensive income of the investor" account, and in equity includes its share in the "Other comprehensive income" account of the investee. Financial liabilities A financial liability is any contractual obligation of the Company to deliver cash or another financial asset to another entity or person, or to exchange financial assets or liabilities under conditions that are potentially unfavorable to the Company, or a contract that will or may be settled using the entity's own equity instruments. Financial liabilities are initially recorded at their transaction value, which, unless otherwise determined, is similar to their fair value less transaction costs that are directly attributable to their issuance. Subsequently, such financial liabilities are measured at amortized cost and their interest is recognized in accordance with the effective interest rate method determined at the initial moment, and its variations are charged or credited to income as financial expenses. The Company's financial liabilities include short-term and long-term financial obligations, outstanding bonds and accounts payable. Financial liabilities are only derecognized from the statement of financial position when the obligations they give rise to have been extinguished or when the obligations have been settled. The obligations they generate have been extinguished or when they are exchanged (either with the intention of acquiring them or placing them again). Employee benefits In accordance with International Accounting Standard IAS 19 "Employee Benefits", the accounting recognition includes all forms of consideration granted by the Company in exchange for services rendered by employees. Short-term benefits In accordance with Colombian labor standards, such benefits correspond to salaries, legal and extra-legal bonuses, vacations, severance, and parafiscal contributions to State entities that are paid in the corresponding period for each of the concepts. These benefits are accrued by the accrual system and charged to income. Post-employment benefits These are benefits paid by the Company to its employees at the time of retirement or after completing their period of employment, other than severance payments. These benefits, in accordance with Colombian labor regulations, correspond to retirement pensions assumed directly by the Company, severance pay pay payable to employees who continue in the labor regime prior to Law 50 of 1990, and certain extra-legal benefits or benefits agreed in collective bargaining agreements. The Company does not have post-employment benefits. Taxes Income tax Income tax expense comprises current and deferred tax. It is recognized in profit or loss, except to the extent that it relates to a business combination, or items recognized directly in equity or other comprehensive income. The Company has determined that interest and penalties related to income taxes, including uncertain tax treatments, do not meet the definition of income taxes and therefore accounted for them under IAS 37 Provisions, liabilities and contingent assets. Current Taxes The current tax is the amount to be paid or to be recovered for the current income tax and supplementary taxes. It is calculated based on the tax laws enacted on the date of the statement of financial position. Management periodically evaluates the position taken on tax returns, with respect to situations in which tax laws are subject to interpretation and, if necessary, makes provisions on the amounts it expects to be paid to the tax authorities. To determine the provision for income tax and supplementary taxes, the Company makes its calculation based on the higher of taxable income or presumptive income (minimum return on net equity of the previous year that the law presumes to establish income tax). The Company only offsets assets and liabilities for current income taxes if there is a legal right before the tax authorities and the Company intends to settle the resulting debts for their net amount, or to realize the assets and settle the debts simultaneously. Deferred Taxes Deferred tax is recognized using the liability method, determined on the basis of temporary differences between the tax basis and the carrying amount of the assets and liabilities included in the financial statements. Deferred tax liabilities are the amounts payable in the future as income tax related to taxable temporary differences, while deferred tax assets are the amounts to be recovered as income tax due to the existence of deductible temporary differences, offsetting negative tax basis or deductions pending application. A temporary difference is defined as the difference between the carrying amount of assets and liabilities and their tax base. Recognition of taxable temporary differences Deferred tax liabilities arising from taxable temporary differences are recognized in all cases, except those that: Arise from the initial recognition of goodwill or an asset or liability in a transaction that is not treated as a business combination for accountability purposes and the date of the transaction does not affect the accounting result or the taxable income; The differences associated with investments in subsidiaries, associates and joint ventures over which the Company has the ability to control at the time of their reversal and are not likely to occur in the foreseeable future. Recognition of Deductible Temporary Differences Deferred tax assets arising from deductible temporary differences are recognized provided that: It is likely that there will be sufficient future tax gains to offset them, except in cases where the differences arise from the initial recognition of assets or liabilities in a transaction that is not a business combination and at the date of the transaction do not affect the accounting result or the tax base; It corresponds to temporary differences associated to investments in subsidiaries, associates and joint ventures to the extent that the temporary differences will be reversed in the foreseeable future and are expected to generate positive future tax gains to offset those differences.; Deferred tax assets that do not meet the above conditions are not recognized in the separate statement of financial position. The Company reconsiders at year-end whether the conditions for recognizing deferred tax assets that had not previously been recognized are met. Tax planning opportunities are only considered in the assessment of the recovery of deferred tax assets if the Company intends to adopt them or is likely to adopt them. Measurement Deferred tax assets and liabilities are measured using the tax rates that apply in the years in which the assets are expected to be realized or the liabilities are expected to be paid, based on the regulations approved or about to be approved, and after considering the tax consequences that will arise from the manner in which the Company expects to recover the assets or settle the liabilities. At the end of the year, the Company reviews the carrying amount of deferred tax assets in order to reduce this value, to the extent that it is unlikely that there will be sufficient future positive tax basis to offset them. The Company's non-monetary assets and liabilities are measured in terms of its functional currency. If tax gains or losses are calculated in a different currency, the exchange rate changes result in temporary differences and the recognition of a deferred tax liability or asset, and the resulting effect will be charged or credited to profit or loss for the period. Compensation & Classification The Company only offsets deferred income tax assets and liabilities if there is a legal right to offset before the tax authorities and such assets and liabilities correspond to the same tax authority, and the same taxpayer, or to different taxpayers who intend to settle or realize current tax assets and liabilities for their net amount or realize the assets and settle the liabilities simultaneously, in each of the future periods in which significant amounts of deferred tax assets or liabilities are expected to be settled or recovered. Deferred tax assets and liabilities are recognized in the separate statement of financial position as non-current assets or liabilities, regardless of the expected realization or settlement date. Contingent levies The recognition, measurement and disclosure of contingent levies is made in accordance with IAS 37 and IFRIC 21. Industry and Commerce tax (ICA) As from 2023 taxable year, in application of Law 2277 of 2022, the expense for Industry and Commerce tax (ICA) in the determination of net income can only be treated as a deduction and was recognized as an expense for accounting purposes. Preferred shares without voting rights In accordance with IAS 32 "Financial Instruments: Presentation", the issuer of a non-derivative financial instrument must evaluate the terms of the instrument to determine whether it contains liability and equity components. These components are classified separately as financial liabilities or equity instruments for the issuer. Accordingly, the Company has evaluated this requirement in relation to the non-voting preferred shares issued as at December 31, 2025 and has concluded that such shares do not meet the conditions to be recorded as liabilities and therefore are recorded in shareholders' equity. Revenue recognition The Company recognizes revenue mainly from the application of the equity method, interest and rendering of services, when the amount of these can be measured reliably, it is probable that future economic benefits will flow to the entity and when the specific criteria for each of the activities have been met. In accordance with the following: Equity method income The Company's main income arises from the recognition of the equity in the profits of subsidiaries in accordance with International Accounting Standard IAS 27 "Separate Financial Statements" and IAS 28 "Investments in Associates and Joint Ventures". Interest Income Interest income is recognized when it is probable that the economic benefits associated with the financial asset will be received and can be measured reliably. Revenue from the rendering of services Revenue from the rendering of services is recognized in the accounting period in which the services are rendered. When services are rendered through an indeterminate number of acts, over a specified period, revenue from ordinary activities is recognized on a straight-line basis over the agreed time interval. Net income per share To determine net income per share, the Company divides net income for the year by the weighted average number of shares outstanding during the period. During the periods ended December 31, 2025 and 2024, net income per share was Ps. 73.09 and Ps. 42.11, respectively, both years on 23,743,475,754 shares. The Company has a simple capital structure and does not grant shares to executives and/or employees. New accounting standards pronouncements Decree 1271 of October 2024 contains the most recent amendment to the Single Regulatory Decree on accounting matters in Colombia - Decree 2420 of 2015, and through this decree the technical appendix containing International Financial Reporting Standard IFRS 17 Insurance Contracts was added to the financial reporting technical framework. It establishes a transitional regime for IFRS 17 for Group 1 as from January 1, 2027, and instructs the Colombian Financial Superintendency to issue the corresponding guidelines for compliance with the standard. Likewise, it repeals International Financial Reporting Standard IFRS 4 as from January 1, 2027, which is included in the comprehensive and updated technical appendix 1-2019 of the financial reporting standards. New or revised standard Standard title Effective for annual periods beginning on or after Forthcoming requirements Forthcoming standards and requirements IFRS 17 Adoption - Insurance Contracts January 1, 2027 Grupo Aval has conducted a preliminary assessment of the impacts of adopting the new or amended standards detailed above, concluding that no significant impact is expected on Grupo Aval's current or future period financial statements. Business Combination and Goodwill Business combinations are accounted for using the acquisition method when control is transferred to the acquiring entity. The consideration transferred in the acquisition is generally measured at fair value, as are the identifiable net assets acquired. Goodwill is measured as the excess of the aggregate of the consideration transferred, the amount of any previously held interest, and the identifiable assets acquired and liabilities assumed at the acquisition date. Goodwill acquired in a business combination is allocated to each of the cash-generating unit groups from which benefits are expected as a result of the acquisition. Goodwill is not subsequently amortized; however, it is subject to an annual impairment assessment of the cash-generating unit to which the goodwill has been allocated, from which benefits are expected to arise from the synergies of the business combination. An impairment loss recognized on goodwill cannot be reversed in subsequent periods. Critical accounting judgments and estimates in the application of accounting policies The Company's management makes estimates and assumptions that affect the amounts recognized in the separate financial statements and the carrying amounts of assets and liabilities within the next financial year. Judgments and estimates are continually evaluated and are based on management's experience and other factors, including the expectation of future events that are believed to be reasonable under the circumstances. Management also makes certain judgments other than those involving estimates in the process of applying accounting policies. Judgments that have the most significant effects on the amounts recognized in the separate financial statements and estimates that may cause a material adjustment to the carrying amounts of assets and liabilities in the following year include: Deferred Income Tax The Company assesses the realization over time of the deferred income tax asset. Deferred tax asset represents income taxes recoverable through future deductions from taxable profits and it is recorded in the statement of financial position. Deferred tax asset is recoverable to the extent that the realization of the relative tax benefits is likely. Future tax revenues and the amount of tax benefits that are likely in the future are based on medium-term plans prepared by management. The business plan is based on management's expectations that are considered reasonable under the circumstances. As at December 31, 2025 and 2024, the Company estimates that the deferred tax asset items would be recoverable based on its estimates of future taxable earnings. Deferred tax liability is provided on taxable temporary differences that arise, except for the deferred tax liability on investments, when the opportunity for reversal of the temporary differences is controlled by Grupo Aval and it is likely that the temporary difference will not be reversed in the foreseeable future. Generally, the Company has the ability to control the reversal of temporary differences for investments in its subsidiaries and associates. See note 13. Initial recognition of related party transactions In the ordinary course of business the Company has transactions with related parties. Judgment is applied in determining whether transactions are carried out at market values of interest rates when there is no active market for such transactions. The basis of the judgement is a valuation of similar transactions with unrelated parties and an analysis of effective interest rates. The terms and conditions of related party transactions are disclosed in note 21. Contingency estimate The Company estimates and records contingencies, in order to cover possible losses from labor cases, civil and commercial lawsuits, and tax or other reliefs according to the circumstances that, based on the opinion of internal and external legal advisors, are considered probable losses and can be reasonably quantified. Due to the nature of many of the claims, cases and/or proceedings, it is sometimes not possible to make an accurate forecast or quantify a reasonable amount of loss, so that the actual amount of disbursements actually made for the claims, cases and/or proceedings is different from the amounts originally estimated and provisioned, and such differences are recognized in the year in which they are identified. Risk management and administration The Corporate Vice-Presidency of Risk and Compliance is responsible for establishing and overseeing Grupo Aval's risk management policies. These policies are defined for the risk management frameworks to which Grupo Aval is directly exposed, as well as for the risk management systems applicable to its financial subsidiaries. The Corporate Vice-Presidency reports periodically to Senior Management, the Risk Committee, and the Audit Committee on its oversight activities. The risk management policies of Grupo Aval are established to identify, analyze, and monitor the risks they face and their compliance. Both the policies and the risk management systems are subject to periodic reviews to incorporate regulatory changes according to Grupo Aval's inherent activities and its subsidiaries, or market situations that merit such changes. Through instructions or guidelines, they seek to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations. Additionally, Internal Audit conducts regular reviews of risk management controls and procedures, with the results reported to the Presidency and the Company's Audit Committee. Regarding risk management in the Grupo Aval Holding, the following considerations are made: Grupo Aval manages risks in accordance with the applicable regulations, its organizational nature, and its internal policies. Grupo Aval is exposed to changes in the prices of financial products it has acquired, as well as to operational risk, money-laundering risk, terrorist financing risk, and legal risks. Objectives, Policies, and Processes for Risk Management Considering the positions assumed during its operations, some of the risks faced by the entity include: Interest Rate: The interest rate risk corresponds to changes in the value of financial assets and liabilities, income, and expenses due to variations in interest rates and their effect on the company's net financial cost. Exchange Rate: Group Aval is exposed to foreign exchange risk primarily because it guarantees its overseas subsidiary in bond placements in dollars in international markets, aiming to obtain funds to leverage its subsidiaries. To mitigate currency risk exposure, the subsidiary maintains part of these resources invested in foreign currency assets. Price Risk of Investments and Mutual Fund Assets: As a Financial Holding Company, Group Aval is exposed to price risk in mutual fund assets. Additionally, it holds proprietary investments whose values depend on the application of the participation method, see Note 2. Market risk Market risk refers to the possibility of incurring losses in the treasury as a result of changes in the prices of stocks, interest rates, exchange rates, and other indicators whose values are fixed in a public market. Interest rate risk of the bank book refers to the probability of unexpected changes in net interest income and economic value of equity as a result of a change in market interest rates. The risk can be mitigated through hedging or other products (assets/liabilities or derivatives). In the development of its businesses, Grupo Aval maintains resources in open collective investment funds, which are characterized by allowing the redemption of their shares at any time, without prejudice to agreeing on a permanence; and in money market funds, which are characterized by being open funds of high liquidity with investments in securities in the national currency and registered in the RNVE. The funds in which Grupo Aval maintains in the Fourth quarter of 2025 are characterized by having an investment-grade rating and making investments in products that allow for high liquidity, mostly fixed-income assets. The portfolio of these investment funds is made up of securities in the national currency or units representing the national currency, registered in the RNVE, of fixed income, such as TES, Certificates of Deposit, securitization bonds, and bonds that must maintain minimum investment-grade ratings. The valuation of these investment funds is daily in order to reflect the conditions of the financial markets. It is expressed in pesos and units that represent the share of the net asset value of the Fund. This valuation is carried out in accordance with the methodology and instructions established by the Financial Superintendence of Colombia (Basic Accounting and Financial Circular, 1995, Chapter XI) and is the responsibility of the respective fund administrator. The variations in the value of the unit are an acceptable risk given that the nature of the investment is to guarantee the availability of resources to meet obligations. Through periodic reports, the respective fund administrator informs Grupo Aval about everything relevant to the work performed, including the composition of the portfolio, the balance sheet, the levels of exposure, and the income statement of the fund. The fund administrator ensures that the quantification of the risks inherent in the management of the fund portfolio is carried out under the standards established in the corresponding regulations, and its results can be corroborated in the reports provided in the accountability of the funds. The Board of Directors of the fund administrator is the body responsible for guiding decisions, procedures, guidelines, measures, manuals, or policies, as the case may be, on each aspect inherent to the managed funds (Article 3.1.5.1.1 of Decree 2555 of 2010), as well as being responsible for maintaining an organizational structure that allows for the proper functioning of these. The manager or administrator is responsible for observing compliance with the policies and guidelines defined for each fund, identifying the risks inherent in the investments, informing investors of the results of the management, and ensuring compliance with regulatory requirements regarding concentration limits, governance, duty of administration, among others. During the fourth quarter of 2025, the global economy showed signs of recovery driven by the growth of the United States and the dynamism of emerging economies, particularly China and India, which consolidated their position as key engines of global expansion. In contrast, the European Union continued to face prolonged stagnation, remaining resistant to reactivation despite interest rate easing and moderating inflation. At the international level, high public indebtedness represents the main threat to the sustainability of growth and increases the risk of a renewed inflationary surge. The evolution of fiscal deficits and the measures adopted by governments to preserve the stability of supply chains and production will be key determinants of global economic performance. In this context, the technology sector-particularly activities related to the development of artificial intelligence-attracted record investment flows, consolidating itself as the primary driver of economic activity. At the local level, inflation stood at 5.1%, driven mainly by a decline in the prices of perishable food products. GDP recorded an annual growth rate of 3.4% in the third quarter (seasonally adjusted series), explained by the strength of domestic demand, led by total consumption, which expanded by 5.6%. The unemployment rate fell to historic lows, resulting in a favorable economic environment. In this context, the monetary authority decided to maintain the policy rate at 9.25% in its final meeting of 2025. The decision was based on the assessment that expansionary fiscal policy and the increase in both public and private consumption have driven domestic demand above productive capacity, generating a positive output gap. This imbalance is reflected in a widening current account deficit and persistent inflationary pressures. The central bank cautioned that the combination of a less restrictive monetary policy with a strong-demand environment could exacerbate macroeconomic imbalances and hinder the convergence of inflation toward the target within the projected horizon. Exchange rate risk Grupo Aval is exposed to the exchange rate risk mainly because it is the guarantor of its subsidiary abroad in the placement of bonds in dollars in international markets, with the purpose of obtaining resources to leverage its subsidiaries. In order to reduce the exposure to exchange rate risk, the subsidiary maintains part of these resources invested in foreign currency assets. The foreign exchange risk arises mainly from assets and liabilities recognized in investments in subsidiaries and branches abroad, in credit portfolios, in foreign currency obligations, and in future commercial transactions also in foreign currency. The country's terms of trade are affected by the relative value of the Colombian peso compared with the currencies of the nations with which it maintains an ongoing exchange of goods and services. The U.S. dollar is the currency against which the value of any other currency is measured globally. Therefore, changes in the value of currencies relative to the dollar are driven by interest rates and macroeconomic conditions in both countries, as well as by foreign-exchange inflows and outflows. During 2025, the USD/COP exchange rate fluctuated between Ps.3,706.94 and Ps.4,416.69, posting an annual decrease of Ps.652 and an accumulated appreciation of 14.79% as of December 31. As of December 31, 2025 and 2024, the representative market rate (TRM) stood at Ps.3,757.08 and Ps.4,409.15 per U.S. dollar, respectively. The following is the detail of foreign currency assets and liabilities as at December 31, 2025 and 2024: December 31st, 2025 American dollars Colombian pesos Assets in foreign currency Cash and equivalents USD 474 Ps. 2 Investments in equity instruments 1 - Amortized cost investments 10,724,381 40,292 Accounts receivable from related parties (1) 261,523,028 982,563 Total foreign currency assets USD 272,247,884 Ps. 1,022,857 Foreign currency liabilities Long-term loans from third parties 261,018,630 980,668 Other liabilities 741,694 2,787 Total foreign currency liabilities 261,760,324 983,455 Net position (Liabilities) USD 10,487,560 Ps. 39,402 December 31st, 2024 American dollars Colombian pesos Assets in foreign currency Cash and equivalents USD 959 Ps. 4 Investments in equity instruments 1 - Amortized cost investments 8,714,855 38,425 Accounts receivable from related parties (1) 271,732,327 1,198,109 Total foreign currency assets USD 280,448,142 Ps. 1,236,538 Foreign currency liabilities Long-term loans from third parties 271,256,174 1,196,009 Other liabilities 48,762 215 Total foreign currency liabilities 271,304,936 1,196,224 Net position (Liabilities) USD 9,143,206 Ps. 40,314 (1) Corresponds to the loan granted by Grupo Aval to its related party Esadinco S.A. for Ps.1,198,109 indexed to US dollars, with a term of 24 months, an interest rate of SOFR 3M + 3.5%, and quarterly interest payments. On May 24, 2023, the assignment of the debtor's contractual position to Endor Capital Assets, S.R.L. was executed for the loans granted to Esadinco, and the agreement entered into between Grupo Aval and Esadinco S.A. was amended accordingly. On December 1, 2025, Endor Capital Assets, S.R.L. made a payment on the loan maturing on December 2, 2025, in the amount of USD$10 million, and the parties agreed, through a service offer, to modify the terms related to the maturity and outstanding balance. A new maturity date of December 1, 2027 was established. In accordance with the requirements of IFRS 9, this modification constitutes a substantial change in the contractual terms; consequently, the original financial asset was derecognized and a new loan was recognized under the revised conditions.. If the exchange rate in Colombian pesos/US dollars had increased by 50 basis points, the expected effect as at December 31, 2025, would have been an increase of Ps.5,114 in assets and Ps.4,917 in liabilities. In contrast, the results obtained as at December 31, 2024, show that with a 50 basis points increase in the exchange rate, there would have been an increase of Ps.6,183 in assets and Ps.5,981 in liabilities. In both cases, if the exchange rates had decreased by the same magnitude as at December 31, 2025 and 2024, there would have been a decrease in assets and liabilities by the same amounts. Interest Rate Risk The Company is exposed to the effects of fluctuations in the interest rate market that impact capital and earnings, as they modify the present value and future cash flows of assets, liabilities, and off-balance-sheet items, thereby affecting the Company's net financial cost. As at December 31, 2025, the Company had financial assets in U.S. dollars at variable interest rates denominated in Colombian pesos of Ps.1,022,855 of which Ps.1,017,026 corresponds to principal and Ps.5,829 to interest. Which includes: A foreign currency loan granted at SOFR 3M + 3.5% interest rate, for USD 261,5 million, of which USD 260 million corresponds to principal and USD 1,5 million to interest. Four Term Deposit Certificates (CDT) with Banco de Occidente Panama in US dollars; for a total of USD10,70 million with a term between 181 and 1182 days with a rate of 4.45%, 4.60% and 4.80%. If prevailing interest rates had increased by 50 basis points for financial assets in Colombian pesos at December 31, 2025 and 2024, the Company's financial yield would have increased by Ps. 5,121 and Ps. 6,004, respectively. On the other hand, if the aforementioned interest rates had decreased by the same basis points for these periods, the financial yield at December 31, 2025 and 2024 would have decreased by Ps. 4,925 and Ps. 6,025, respectively. At December 31, 2025 the Company has financial liabilities at variable interest rates denominated in Colombian pesos of Ps.1,599,450 of which Ps.1,525,602 correspond to principal and Ps.13,848 to interest. Likewise, there is a financial liability in U.S. dollars obtained at a SOFR 3M + 1.95% interest rate, for a total amount of USD 261.02 million, of which USD 260 million correspond to principal and USD 1.02 million to interest. If current interest rates had increased by 50 basis points for financial liabilities in Colombian pesos at December 31, 2025 and 2024, the Company's financial cost would have increased by Ps. 7,230 and Ps. 7,419, respectively. On the other hand, if the aforementioned interest rates had decreased by the same basis points for these periods, the financial cost at December 31, 2025 and 2024 would have decreased by Ps. 7,270 and Ps. 7,7448, respectively. If the interest rates in effect for financial liabilities in U.S. dollars had increased by 50 basis points for financial liabilities in Colombian pesos at December 31, 2025 and 2024, the Company's interest cost would have increased by the equivalent in pesos of Ps. 5,166 and Ps. 5,234, respectively. On the other hand, if it had been agreed to decrease the aforementioned interest rates by the same basis points for these periods, the financial cost as of December 31, 2025 and 2024 would have decreased by Ps. 5,184 and Ps. 5,252, respectively. Liquidity risk Liquidity risk is understood as the inability to fully and timely meet payment obligations on their due dates due to insufficient liquid resources and/or the need to assume excessive funding costs. Liquidity management has always been a fundamental pillar of Grupo Aval's business strategy, along with capital, to support the solidity of its balance sheet. Grupo Aval's management has established policies, procedures, and authority limits that govern the Treasury function. The Company's Treasury is responsible for ensuring liquidity and managing working capital to guarantee debt service and fund operating costs and expenses. The Treasury prepares and reviews an annual cash budget, a monthly cash projection, and payment projections at different time intervals to maintain the necessary cash level available and plan the investment of surpluses. As of December 31, 2025 and 2024, the Company presents a negative and positive working capital, respectively (current assets minus current liabilities). The Company has conducted an analysis of maturities for financial assets and liabilities, illustrating the remaining undiscounted contractual cash flows as shown below: December 31st, 2025 Less than 1 month 1-6 months 6-12 months More than 1 year Total Book Value Financial assets Cash and cash equivalents Ps. 50,606 Ps. - Ps. - Ps. - Ps. 50,606 Ps. 50,606 Trading securities 538 - - - 538 538 Non-Marketable Investments 1,248 2,720.00 3,264.00 156,471.00 163,703 102,314 Amortized cost investments - - 40,292 - 40,292 40,292 Accounts receivable from related parties - 17,758 55,025 1,050,207.80 1,122,991 981,276 Accounts receivable 50,745 101,469 - - 152,214 152,214 Financial assets Ps. 103,137 Ps. 121,947 Ps. 98,581 Ps. 1,206,679 Ps. 1,530,344 Ps. 1,327,240 Financial liabilities Borrowings at amortized cost 5,795 Ps. 44,492 Ps. 51,063 Ps. 1,459,930 Ps. 1,561,280 Ps. 1,371,507 Bonds - 55,753 149,359 2,352,190 2,557,302 1,208,611 Other accounts payable 74,412 165,488 - - 239,900 239,900 Total Financial liabilities Ps. 80,207 Ps. 265,733 Ps. 200,422 Ps. 3,812,120 Ps. 4,358,482 Ps. 2,820,018 December 31st, 2024 Less than 1 month 1-6 months 6-12 months More than 1 year Total Book Value Financial assets Cash and cash equivalents Ps. 126,156 Ps. - Ps. - Ps. - Ps. 126,156 Ps. 126,156 Trading securities 452 - - - 452 452 Amortized cost investments - - 38,425 - 38,425 38,425 Accounts receivable from related parties - 23,704 1,263,949 0 1,287,653 1,196,398 Accounts receivable 42,585 85,176 - - 127,761 127,761 Financial assets Ps. 169,193 Ps. 108,880 Ps. 1,302,374 Ps. 0 Ps. 1,580,447 Ps. 1,489,192 Financial liabilities Borrowings at amortized cost 2,486 Ps. 51,740 Ps. 1,252,173 Ps. 351,503 Ps. 1,657,902 Ps. 1,532,806 Bonds - 52,290 43,086 2,035,052 2,130,428 1,208,529 Other accounts payable 66,970 147,508 0 - 214,478 214,478 Total Financial liabilities Ps. 69,456 Ps. 251,538 Ps. 1,295,259 Ps. 2,386,555 Ps. 4,002,808 Ps. 2,955,813 Credit risk Grupo Aval is exposed to credit risk, which is the risk of financial loss resulting from the debtor's failure to fulfill its contractual obligations in financial transactions in a timely and complete manner. Grupo Aval's exposure to credit risk is reflected in the financial assets presented in Grupo Aval's statement of financial position as of December 31, 2025 and 2024, as follows: December 31st, 2025 Credit Capital Interest Impairment Total Promissory 1 - Endor Capital (1) Ps. 976,841 Ps. 5,722 Ps. (1,287) Ps. 981,276 Total Ps. 976,841 Ps. 5,722 Ps. (1,287) Ps. 981,276 December 31st, 2024 Credit Capital Interest Impairment Total Promissory 1 - Esadinco S.A. (1) Ps. 1,190,471 Ps. 7,368 Ps. (1,711) Ps. 1,196,128 Total Ps. 1,190,471 Ps. 7,368 Ps. (1,711) Ps. 1,196,128 (1) On December 1, 2025, Endor Capital Assets, S.R.L. made a payment of USD $10 million toward the loan with Grupo Aval. Additionally, the parties agreed to modify the loan term through a service offer. As a result of this modification, the new maturity date of the loan was set for December 1, 2027. On May 24, 2023, the debtor's contractual position was assigned to Endor Capital Assets, S.R.L. for the loans granted to Esadinco and the agreement signed between Grupo Aval Acciones y Valores and Esadinco S.A. was amended. On December 2, 2022, a loan granted by Grupo Aval to Esadinco S.A. (Promissory Note 1) was subscribed in Colombian pesos equivalent to USD 270 million, for a term of 36 months with a rate of SOFR 3M + 3.5% and quarterly interest payments. On December 2, 2022, a loan granted by Grupo Aval to Esadinco S.A. (Promissory Note 2) was subscribed in the amount of Ps.200,000, for a term of 24 months with a rate of IBR 3M + 4.5% and quarterly interest payments. The maximum exposure to credit risk with respect to guarantees and commitments is the amount of the commitment. The maximum authority for this operation is the Shareholders' Assembly, in accordance with the Conflict of Interest policy of the Aval Financial Conglomerate. For the approval of the operation, certain considerations were taken into account, including, but not limited to, the probability of default, the percentage of recovery of the guarantees received, the exposure, the term and analysis of compliance with the policy for Exposure and Concentration of risk among the entities comprising Aval Financial Conglomerate and its related parties; Endor Capital Assets, S.R.L. being related to the Financial Conglomerate. Operational risk The Operational Risk is the risk of losses derived from deficiencies, failures, or inadequate functioning of processes, human resources, infrastructure, technology, and external events. Grupo Aval maintains an Operational Risk Management System (SARO) developing its management under the reference framework of Chapter XXXI - SIAR of the Basic Accounting and Financial Circular of the Financial Superintendence of Colombia. This system develops its stages of identification, measurement, control and monitoring of the relevant business processes, with policies, roles and responsibilities documented in its corresponding manual, which is disclosed to all personnel. As at December 31, 2025, there were no reported operational risk events that impacted the Company's financial results. Grupo Aval has an adequate maturity level of the Business Continuity Management System, which reflects the commitment of the management with its stakeholders. As part of the resilience culture, critical processes have contingency solutions that allow, at levels considered acceptable, to continue providing services, thus strengthening the confidence of our investors and stakeholders in the event of events that interrupt the normal operation of the Company. Management of Money Laundering Risk Grupo Aval Acciones y Valores S.A., acting as a securities issuer, complies with the provisions of Part 3, Title I, Chapter VII of the Basic Legal Circular of the Colombian Superintendence of Finance regarding prevention and control of money laundering and terrorist financing, called SIPLAFT (Sistema Integral para la Prevención de Lavado de Activos y la Financiación del Terrorismo). For the above, the Board of Directors of Grupo Aval has approved the policies for the Prevention and Control of Money Laundering and Financing of Terrorism. Grupo Aval's Integral System for the Prevention of Money Laundering and Financing of Terrorism (SIPLAFT) complies with the regulations in force and the policies and methodologies adopted by the Board of Directors. These policies involve, among others: Appointing a Compliance Officer for purposes of AML (Integrated Anti-Money Laundering (AML) Prevention System). Strictly complying with all legal regulations established in Colombia for controlling and preventing this type of crimes. Prohibiting conducting commercial transactions with any natural or legal person involved in illicit activities. Continuous improvement, along with training all Grupo Aval collaborators concerning laws, regulations, policies, procedures, and guidelines contributing to the prevention and control of criminal activities. Adhering to identifying unusual and suspicious operations establishing respective procedures while timely reporting them to the UIAF when necessary, ensuring always confidentiality of the reported information. Following up reports submitted by internal and external audit entities to address recommendations aiming at optimizing the system. The Company has contracted with the Central Securities Depository of Colombia - DECEVAL, as a service provider, for the comprehensive administration of the Company's shares, the shareholders' registry, and the issuance of fixed-income securities. In accordance with its contractual obligations, this entity has policies, controls, and procedures for the prevention and control of money laundering, including the verification of the Company's shareholders and investors against restrictive lists. The Securities Depository informs Grupo Aval monthly about the effective, efficient, and timely functioning of the measures adopted for the prevention and control of money laundering and terrorist financing, as well as the existence or non-existence of unusual and/or suspicious transactions by Grupo Aval's investors during the month and the corresponding reports to the UIAF. Management of Risks within Financial Conglomerates As part of the regulation of Law 1870 of 2017 - Financial Conglomerates Law, which came into effect on February 6, 2019, and its regulatory decrees, significant changes were introduced in the structure of the Colombian financial system, particularly regarding companies that act as financial holdings of their conglomerates. The aforementioned law defined Financial Conglomerates as a set of local and foreign entities with a common controller that includes two or more entities, exercising activities of entities supervised by the SFC (Superintendencia financiera de Colombia) and/or vehicles through which it exercises control, and Financial Holding as a legal entity or investment vehicle that exercises the first level of control or significant influence over the entities that make up the Financial Conglomerate. Through Resolution No. 0155 of February 6, 2019, the Financial Superintendence identified Grupo Aval Acciones as the Financial Holding and the entities that make up the AVAL Financial Conglomerate. Likewise, the Colombian Financial Superintendence, through Chapter XXX of the Basic Accounting and Financial Circular, External Circular 100 of 1995, ordered Financial Holdings to design and implement a Risk Management Framework (RMF) that allows them to manage the risks specific to the Financial Conglomerate, i.e., Concentration Risk, Contagion Risk, and Strategic Risk. Concentration Risk: Corresponds to the risk that an exposure to the same counterparty has the ability to: (i) generate losses that compromise the financial stability and solidity of the financial conglomerate or the normal development of its businesses; or (ii) generate a material change in the risk profile of the financial conglomerate. For these purposes, possible concentration in service providers or other contractual counterparties must be taken into account. Concentration risk must be evaluated at least by lines of business, geographical location, economic sector, and counterparties. It must also consider the existence of service providers and shared service centers and the eventual occurrence of natural disasters, among other aspects. Contagion Risk: Corresponds to the probability of being compromised by the deterioration of conditions of one or several of the entities that constitute the financial conglomerate, thus affecting its own stability or that of some of its members. To evaluate this risk, factors such as relationships and exposures between the entities that constitute the financial conglomerate and those linked to it, as well as the impact caused by the realization of reputation risk should be considered. Reputation risk refers to the possibility of loss experienced by an entity due to discredit, negative image, unfavorable publicity, certain or not, regarding the institution and its business practices, causing customer loss, reduction of income or legal processes. Strategic Risk: Arises from the insufficient consideration of risks in the process of strategic planning of the financial holding and its implementation, as well as the inability to adapt to changes or evolution of economies and markets where the financial conglomerate operates. This risk can also appear when the financial conglomerate enters new markets. The identification of risks derived from acquisitions or creation of new entities should be done prior to. Among other duties and responsibilities, Grupo Aval, as the Holding of the AVAL Financial Conglomerate, is responsible for complying with Chapter 2 of Decree 1486 of 2018, which establishes that the financial holding, through its Board of Directors ,(…) "will define a policy for exposures between the entities that make it up and a policy for exposures between these and their related parties.". Risk Management Framework In compliance with the regulation of Law 1870 of 2017, in 2021 Group Aval implemented the Financial Conglomerate Risk Management Framework called MGR (Marco de gestión de riesgos), which enables managing the risks of concentration, contagion, and strategic nature and provides a general understanding of the risks faced by the entities that make up the Financial Conglomerate. For this purpose, methodologies, governance bodies and reports that adequately meet regulatory requirements were established. As part of the management of such risks, during 2025, the Risk Committee of the Board of Directors of Grupo Aval met eleven times in which, among other issues, the annual review of the general analysis of the structure of the Aval Financial Conglomerate, the Report on compliance with the Risk Exposure and Concentration Policy among the entities that make up the AVAL Financial Conglomerate and between them and their related parties, as well as the analysis of the material risks associated with the exposures among entities of the FC and the exposures with their related parties, were discussed. Followed up on the progress in the implementation of the standards associated with Large Exposures and Interest Rate Risk, Credit Risk management, management of corporate risks of Market, Liquidity, Interest Rate of the Banking Book, Operational risk, Transactional External Fraud risk management, Business Continuity Sarlaft, ABAC, Cybersecurity and Information Security and the results of the application of the methodology for the management of MGR risks, for the March, June and September 2025 cuts, which includes the follow-up of the conglomerate's own risk dashboards and the knowledge of the results of the main entities that make up the conglomerate. Derived from the follow-up of the conglomerate's own risks, it was evidenced that these remained within the levels approved by the Board of Directors. Additionally, the Risk Committee presented to the Board of Directors the effectiveness report of the Risk Management Framework (MGR) for the period from January 1 to December 31, 2024. The update to the Risk Appetite Statement (RAS) was presented and submitted for approval to the Board of Directors on April 9, 2025. Policy for exposures between the entities that make up the Financial Conglomerate and between these and their related parties. In accordance with the provisions of Decree 1486 dated August 6, 2018, the Board of Directors of Grupo Aval approved the Policy for exposures between the entities that make up the Financial Conglomerate and between these and their related parties, which includes identifying material risks, transactions between entities of the financial conglomerate and between these and their related parties, responsibilities and obligations of managers and governing bodies, setting quantitative limits and early warning schemes, as well as revealing mechanisms. Group Aval established mechanisms for interaction through which exposures between the entities that make up the Financial Conglomerate AVAL and between these and their Related Parties are measured, controlled, and monitored using procedures, risk management guidelines, and communication schemes applicable both to the entities that make up the Financial Conglomerate AVAL and to the Financial Holding. Through the reports established inside Grupo Aval, quarterly follow-up was made on the compliance of consumption levels and during the year 2025, no exposures that attracted attention or found themselves near the alert thresholds defined were identified. Each follow-up presentation took place before the Board of Directors of Grupo Aval. Below are the principal levels of exposure identified during the year 2025: Type of exposure Date (end of month) Limit consumption level Limit March 1.04% Financial conglomerate entities June 1.16% 30% September 11.97% December 7.87% 25% (2) March 2.82% Linked to the Financial Conglomerate (1) June 2.82% 10% (2) September 4.15% December 4.04% 25% (1) This corresponds to the lower limit established for unsecured operations, in accordance with the risk-concentration limit framework set out in Titles 2 and 3 of Book 1, Part 2 of Decree 2555 of 2010, which remained in effect until August 3, 2025. (2) This corresponds to the new limit established in the Policy on Exposure and Concentration of Risks among the entities of the Conglomerate and between these entities and their related parties, as approved by Grupo Aval's Board of Directors on July 2 and December 17, 2025. In July 2025, the Board of Directors approved the update of the Policy on exposure and concentration of risks among the entities that make up the Financial Conglomerate and between these entities and their related parties, with the aim of aligning the limits with the new regulatory requirements applicable to the credit institutions within the Financial Conglomerate, as well as with the computable transactions resulting from the enactment of Decrees 1533 of 2022 and 573 of 2025. Additionally, in compliance with Circular Externa 041 of 2020 issued by the Colombian Financial Superintendence, the Financial Holding made quarterly transmissions of the corresponding Formats 406 - "Report of Related Parties to the Financial Conglomerate and Operations for the control of aggregate exposure limits" and 403 - "Report of exposure limits and risk concentration between entities of the financial conglomerate and their related parties" within the deadlines established by the regulatory entity. In compliance with the policy, a review of the material risks associated with the exposures between entities of the Financial Conglomerate and the exposures with its related parties was carried out, and it was identified that these are mitigated mainly through compliance with the investment policies, internal procedures and protocols for granting credit established within the entities and which apply to all the entities of the Financial Conglomerate. Fair Value Estimation The fair value of financial assets and liabilities traded in active markets (such as financial assets in debt and equity securities and actively traded derivatives on stock exchanges or interbank markets) is based on 'dirty' prices provided by an official price provider authorized by the called SFC (Superintendencia Financiera de Colombia). These prices are determined through weighted averages of transactions occurring during the trading day. An active market is a market in which transactions for assets or liabilities take place with sufficient frequency and volume to provide continuous price information. A "dirty" price is one includes accrued and pending interest on the security from the issuance date or the last interest payment until the settlement date of the purchase or sale transaction. The fair value of financial assets and liabilities not traded in an active market is determined using valuation techniques established by the price provider or Grupo Aval entities' management. Valuation techniques for non-standardized financial instruments, such as options, currency swaps, and over-the-counter derivatives, include the use of interest rate or currency valuation curves constructed by price providers from market data and extrapolated to the specific conditions of the instrument being valued. Other valuation methods involve discounted cash flow analysis, option pricing models, and commonly used techniques by market participants. These techniques emphasize maximizing the use of market data and minimizing reliance on entity-specific data. The Company may use internally developed models for financial instruments that do not have active markets. These models are generally based on methods and valuation techniques that are commonly standardized in the financial sector. Some inputs for these models may not be observable in the market, and therefore, they are estimated based on assumptions. The output of a model is always an estimate or approximation of a value that cannot be determined with certainty, and the valuation techniques employed may not fully reflect all factors relevant to the Company's positions. Therefore, valuations are adjusted, where necessary, to allow for additional factors, including country risk, liquidity risks and counterparty risks. The fair value hierarchy has the following levels: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date. Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: Unobservable inputs for the asset or liability. The level in the fair value hierarchy within which the fair value measurement is classified in its entirety is determined based on the lowest-level input that is significant for the fair value measurement as a whole. The importance of an input is assessed in relation to the fair value measurement as a whole. Financial instruments quoted in markets that are not considered active but are valued based on quoted market prices, quotes from price providers, or alternative pricing sources supported by observable inputs, are classified in Level 2. If a fair value measurement uses observables inputs that require significant adjustments based on unobservable inputs, it is categorized as a Level 3 measurement. The assessment of the significance of a particular input to the fair value measurement as a whole requires judgment, considering specific factors related to the asset or liability. The determination of what constitutes "observable" requires significant judgment by the Company. Observable data refers to market data that is already available, regularly distributed or updated by the price provider, reliable and verifiable, without proprietary rights, and provided by independent sources actively participating in the relevant market. Fair value measurements on a recurring basis Fair value measurements on a recurring basis are those required or allowed by IFRS accounting standards in the financial statements at the end of each accounting period. Tradable investments are carried at fair value using the unit value provided by the fund's management company, which reflects the fair value of the underlying assets, incorporating all the risks to which the assets are exposed, in accordance with IFRS 13. The management company, based on observable market data, accounts for the credit risk associated with the asset; therefore, the Company does not analyze or monitor impairment indicators. The fair value of underlying assets is calculated based on inputs observable by the market, either directly or indirectly, which can be substantially corroborated with observable market data. For this reason, these investments have been classified as Level 2. The fair value of investments primarily reflects changes in market conditions, primarily due to changes in interest rates and other economic conditions in the country where the investment is held. As at December 31, 2025 and 2024 the Company believes that there have been no significant losses in the fair value of investments due to impairment of credit risk conditions for these assets. The following table analyzes, within the fair value hierarchy, the Company's financial assets and liabilities (by class) measured at fair value as at December 31, 2025 and 2024, on a recurring basis: December 31st, 2025 Level 1 Level 2 Level 3 Total Assets Negotiable investments Ps. - 538 - 538 Investments available for sale (1) y (2) - 102,314 - 102,314 Total recurring fair value assets Ps. - 102,852 - 102,852 Negotiable investments at fair value Ps. - Ps. 452 Ps. - Ps. 452 Assets December 31st, 2024 Level 1 Level 2 Level 3 Total Total recurring fair value assets Ps. - Ps. 452 Ps. - Ps. 452 (1) It corresponds to investment in bonds issued by Banco Popular SA (Ps. 50,000) and Banco Av Villas S.A. (Ps.50,000), taken in August and September 2025 respectively. (2) For the calculation of the fair value of the bonds, Precia prices were used for the december 2025 cutoff, calculated with estimated price, which corresponds to the 'dirty' price obtained as the present value of the cash flows of a security, discounted with the reference rate and the corresponding margin. Fair value information for financial assets and liabilities recorded at amortized cost determined solely for disclosure purposes. The following is the breakdown of how financial assets and liabilities recorded at amortized cost and valued at fair value solely for the purpose of this disclosure were assessed. Financial assets The following table analyzes, within the fair value hierarchy, the financial assets, investments at amortized cost and loans granted by Grupo Aval to Endor Capital Assets S.R.L. as at December 31, 2025 and 2024, measured on a recurring basis:

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