Zagrebačka banka Group unaudited financial results Q3 2025

1. Management report for the period from 1 January to 30 September 2025

2. Statement of the persons responsible for the preparation of the financial statements

3. Financial statements (TFI-KI statements)

   1. General data as at 30 September 2025

   2. Balance sheet as at 30 September 2025

   3. Income statement for the period from 1 January to 30 September 2025

   4. Cash flow statement for the period from 1 January to 30 September 2025

   5. Statement of changes in equity for the period from 31 September 2024 to 30 September 2025

   6. Notes to the financial statements

We have continued achieving good results. Operating income is stable, costs demonstrate operational excellence. Capital and liquidity positions are strong, credit portfolio is adequately covered by provisions.

We are strongly connected with our community, providing support to the economy and the society in which we operate. We are doing this by financing most loans in the market, by investing in optimal user experiences as well as in the security of our solutions, by maintaining the robust payment infrastructure and offering the wide scale of services to companies and citizens.

We are transforming our culture, working on simplification and digitalization of our organization and processes to assure sustainability. We continue to progress on our ESG ambition and are committed to activities that have an overall positive impact considering environmental, social and governance factors.

We are striving to be the best employer possible, by supporting our employees through work-life balance and wellbeing initiatives.

Major contributors to Group result are Zagrebačka banka dd, UniCredit Bank dd Mostar and UniCredit Leasing Croatia doo.

• Operating income: EUR 789 million
• Operating expenses: EUR 257 million
• Profit before impairment and other provisions: EUR 525 million
• Impairment and other provisions: EUR 1 million
• Loans and advances to customers : EUR 15,280 million
• Deposits from customers : EUR 21,768 million

1. Management report for the period from 1 January to 30 September 2025 (continued) Operating income amounted to EUR 789 million, increased by EUR 6 million (+0.8%) Y/Y:

   • Net interes t income amounted to EUR 519 million, the decrease was EUR 25 million (-4.6%).

   • Net fee and commis s ion income amounted to EUR 194 million, increased by EUR 21 million (+12.1%).

   • Net trading and other income and expens es amounted to EUR 76 million, increased by EUR 10 million (+15.2%).

     Operating expens es amounted to EUR 257 million, at the same level as in first nine months of 2024. Cost to income ratio equals to 32.57%. Profit before impairment and other provisions amounted to EUR 525 million, increased by EUR 5 million (+1.0%), as a result of the previously described movements in Operating income and Operating expenses. Impairment and other provisions write back amounted to EUR 1 million. Total assets of the Group amounted to EUR 28,236 million, higher by EUR 2,290 million (+8.8%) BoY.
     • Net loans and advances to customers amounted to EUR 15,280 million, increased by EUR 1,611 million (+11.8%) in retail and corporate lending.
     • Deposits from customers remain the key source of funding, reaching EUR 21,768 million. The increase of EUR 1,022 million (+4.9%) was primarily driven by the growth in retail deposits, confirming customer trust and the stability of the funding base.
     • Deposits from credit institutions at EUR 1,478 million, higher by EUR 647 million (+77.9%).

       Zagrebačka banka Group			Δ 3Q 2025 vs 3Q 2024
       Income s tatement (EURm)	3Q 2025	3Q 2024	EURm	%
       	1	2	3 (1-2)	4 (3/2)
       Interest income	672	718	(46)	(6.4 %)
       Interest expense	(153)	(174)	21	(12.1 %)
       Net interes t income	519	544	(25)	(4.6 %)
       Fee and commission income	236	211	25	11.8 %
       Fee and commission expense	(42)	(38)	(4)	10.5 %
       Net fee and commission income	194	173	21	12.1 %
       Net trading and other income and expenses	76	66	10	15.2 %
       Operating income	789	783	6	0.8 %
       Operating expenses	(257)	(257)	-	0.0 %
       Cash contributions to resolution funds and deposit guarantee schemes	(7)	(6)	(1)	16.7 %
       Profit before impairment and other provisions	525	520	5	1.0 %
       Impairment and other provisions	1	24	(23)	(95.8 %)
       Profit from operations	526	544	(18)	(3.3 %)
       Share of profit from associates	4	4	-	-
       Profit before tax	530	548	(18)	(3.3 %)
       Income tax	(87)	(92)	5	(5.4 %)
       Net profit	443	456	(13)	(2.9 %)
       Attributable to equity holders of the Bank	442	455	(13)	(2.9 %)
       Attributable to non-controlling interests	1	1	-	-
       Net profit	443	456	(13)	(2.9 %)

       Zagrebačka banka Group			Δ 2025 vs. 2024
       Balance sheet (EURm)	30 Sep 2025	31 Dec 2024	EURm	%
       	1	2	3 (1-2)	4 (3/2)
       Cash, cash balances at central banks and other demand deposits	4,116	4,878	(762)	(15.6 %)
       Financial assets at fair value through profit or loss	152	149	3	2.0 %
       Fair value changes of the hedged items in portfolio hedge of interest rate risk	(16)	19	(35)	(184.2 %)
       Non-trading financial assets mandatorily at fair value through profit or loss	141	123	18	14.9 %
       Financial assets at fair value through other comprehensive income	1,911	1,063	848	79.8 %
       Financial assets at amortised cost:	21,335	19,095	2,240	11.7 %
       Debt securities	2,890	1,917	973	50.8 %
       Loans and advances to credit institutions	3,165	3,509	(344)	(9.8 %)
       Loans and advances to customers	15,280	13,669	1,611	11.8 %
       Tangible and intangible assets	417	415	2	0.5 %
       Investments in subsidiaries. joint ventures and associates	14	17	(3)	(17.6 %)
       Other assets	166	187	(21)	(11.2 %)
       Total assets	28,236	25,946	2,290	8.8 %
       Financial liabilities held for trading	308	333	(24)	(7.2 %)
       Fair value changes of the hedged items in portfolio hedge of interest rate risk	(9)	7	(16)	(228.6 %)
       Financial liabilities measured at amortised cost:	24,607	22,242	2,365	10.6 %
       Debt securities issued	1,296	594	702	118.2 %
       Deposits from credit institutions	1,478	831	647	77.9 %
       Deposits from customers	21,768	20,746	1,022	4.9 %
       Other financial liabilities	65	71	(6)	(8.5 %)
       Provisions for risks and charges	205	241	(36)	(14.9 %)
       Other liabilities	297	304	(7)	(2.3 %)
       Total liabilities	25,408	23,126	2,282	9.9 %
       Equity	2,828	2,820	8	0.3 %
       Total equity and liabilities	28,236	25,946	2,290	8.8 %

       Zagreb, 21 October 2025

       Significant events and transactions

       Geopolitical tensions and market uncertainties

       At the end of September 2025, the Group's assets were not significantly directly impacted by the geopolitical tensions. Our operations remain indirectly affected, as the overall macro-economic scenario evolves. The market environment continues to be uncertain.

       The impacts of uncertainties continue to evolve as of the date of this report. As such, it is fluctuant as to the full magnitude that they will have on the macro-economic scenario and consequentially on the Group's future financial condition and results of operations.

       The Group continues to support our clients, while it adequately assesses their creditworthiness, carefully considering the risk classification as well as the related impact on financial reporting.

       
       
       
       
       
       
       
       
       
       
       
       
       
       
       

       While having a strong capital and liquidity position, as well as the assets covered by prudent loan provisions, the Group is actively monitoring the situation and assessing its impact on operations, financial performance, capital position and cash-flows.

       Dalibor Ćubela

       Chief Executive Officer, Chairman of the Management Board

       Jasna Mandac		Ivana Lonjak Dam
       Member of the Management Board		Member of the Management Board

       
       
       

       Aleksandra Rašić		Stefano Gison
       Member of the Management Board		Member of the Management Board

       Slaven Rukavina

       Member of the Management Board

2. Statement of the persons responsible for the preparation of financial statements

   Pursuant to the provisions of the Capital Market Act, to the best of our knowledge:

   1. the set of financial statements of Zagrebačka banka Group, prepared in accordance with International Financial Reporting Standards (IFRS) as adopted in the European Union, gives a true and fair view of the assets and liabilities, profit and loss, financial position and business operations of Zagrebačka banka Group.

      
      
      

   2. the Management Report includes a fair overview of the development and results of operations and of the position of Zagrebačka banka Group.

   Jasna Mandac

   Member of the Management Board

   Additional info:

   Public Relations

   e-mail: PR@unicreditgroup.zaba.hr https://www.zaba.hr

3. Financial statements (TFI-KI statements)

1. General data as at 30 September 20251

   Annex 1

   ISSUER'S GENERAL DATA

   Reporting period:

   to

   Year:

   Quarter:

   Quarterly financial statements

   egis tration number (MB):

   Issuer's home Member State code:

   Entity's registration number (MBS):

   Pers onal identification

   number (OIB):

   LEI:

   Ins titution

   code:

   Name of the is s uer: Zagrebačka banka d.d.

   Pos tcode and town:

   Zagreb

   treet and hous e number: Trg bana Josipa Jelačića 10

   E-m ail addres s :zaba@unicreditgroup.zaba.hr

   Web addres s :https://www.zaba.hr

   Number of employees (end of the reporting

   Cons olidated report:

   (KN-not cons olidated/KD-cons olidated)

   Audited:

   (RN-not audited/RD-audited)

   Names of s ubs idiaries (according to IFRS):

   Regis tered office:

   MB:

   UniCredit Leas ing Croatia d.o.o.

   Samobors ka ces ta 145, 10000 Zagreb 1329162

   UniCredit Bank d.d.

   Kardinala Stepinca bb, 88000 Mos tar 7700822

   Allianz ZB d.o.o., Zagreb

   Heinzelova 70, 10000 Zagreb 1581864

   ZB eplus

   Samobors ka ces ta 145, 10000 Zagreb 1500937

   Bookkeeping firm:

   (Yes /No)

   (nam e of the bookkeeping firm)

   Contact pers on: Ferizović Antica

   (only name and s urname of the contact pers on)

   Telephone:

   E-m ail addres s :antica.ferizović@unicreditgroup.zaba.hr

   Audit firm: KPMG d.o.o.

   (nam e of the audit firm)

   Certified auditor:

   (nam e and s urname)

   No

   RN

   KD

   4383

   10000

   307

   PRNXTNXHBI0TSY1V8P17

   92963223473

   80000014

   HR

   3234495

   3

   2025

   30.9.2025

   1.1.2025

   
   
   

   ‌1 Average number of employees in head office and branch network of Zagrebačka banka dd in 3Q 2025 amounts to 4,440.

2. Balance sheet as at 30 September 2025

   
   
   

3. Income statement for the period from 1 January to 30 September 2025

   
   
   

4. Cash flow statement for the period from 1 January to 30 September 2025

   in EUR
   Submitter: Zagrebačka banka d.d.
   Item	ADP code	Sam e period of the previous year	At the reporting date of the current period
   1	2	3	4
   Operating activities - direct method
   Interes t received and s imilar receipts	001	0	0
   Fees and commis s ions received	002	0	0
   (Interes t paid and s imilar expenditures )	003	0	0
   (Fees and commis s ions paid)	004	0	0
   (Operating expens es paid)	005	0	0
   Net gains /los s es from financial ins truments at fair value through s tatement of profit or los s	006	0	0
   Other receipts	007	0	0
   (Other expenditures )	008	0	0
   Operating activities - indirect method
   Profit/(los s ) before tax	009	547,861,458	529,840,098
   Adjus tments :		0	0
   Impairment and provis ions	010	-24,624,515	-1,132,102
   Depreciation	011	45,672,520	46,954,556
   Net unrealis ed (gains )/los s es on financial as s ets and liabilities at fair value through s tatement of profit or los s	012	3,339,529	-875,046
   (Profit)/los s from the s ale of tangible as s ets	013	57,404,100	-1,311,203
   Other non-cas h items	014	-540,920,306	-514,256,158
   Changes in as s ets and liabilities from operating activities
   Depos its with the Croatian National Bank	015	-1,157,853,789	1,162,079,988
   Depos its with financial ins titutions and loans to financial	016	-269,558,050	-802,913,894
   Loans and advances to other clients	017	-883,792,926	-1,628,741,441
   Securities and other financial ins truments at fair value through other comprehens ive income	018	-71,194,818	-807,604,177
   Securities and other financial ins truments held for trading	019	-315,047	-82,750
   Securities and other financial ins truments at fair value through s tatement of profit or los s , not traded	020	-37,616,710	-5,442,492
   Securities and other financial ins truments mandatorily at fair value through s tatement of profit or los s	021	0	-28,136,799
   Securities and other financial ins truments at amortis ed cos t	022	-29,728,434	-979,865,685
   Other as s ets from operating activities	023	-15,426,640	6,904,032
   Depos its from financial ins titutions	024	96,054,193	133,638,493
   Trans action accounts of other clients	025	321,717,882	735,068,605
   Savings depos its of other clients	026	-303,755,301	27,455,892
   Time depos its of other clients	027	355,900,442	270,400,335
   Derivative financial liabilities and other liabilities held for trading	028	0	0
   Other liabilities from operating activities	029	-141,432,024	-28,950,733
   Interes t received from operating activities [indirect method]	030	687,899,570	628,577,973
   Dividends received from operating activities [indirect method]	031	0	0
   Interes t paid from operating activities [indirect method]	032	-157,851,123	-151,934,068
   (Incom e tax paid)	033	-80,011,347	-75,388,531
   Net cas h flow from operating activities (from 1 to 33)	034	-1,598,231,336	-1,485,715,107
   Inves ting activities
   Cas h receipts from the s ale / payments for the purchas e of tangible and intangible as s ets	035	-93,359,300	-50,062,785
   Cas h receipts from the s ale / payments for the purchas e of inves tments in branches , as s ociates and joint ventures	036	-351,137	3,328,000
   Cas h receipts from the s ale / payments for the purchas e of s ecurities and other financial ins truments held to maturity	037	0	0
   Dividends received from inves ting activities	038	155,043	4,313,028
   Other receipts /paym ents from inves ting activities	039	0	0
   Net cas h flow from inves ting activities (from 35 to 39)	040	-93,555,394	-42,421,757
   Financing activities
   Net increas e/(decreas e) in loans received from financing activities	041	12,088,325	542,770,839
   Net increas e/(decreas e) in debt s ecurities is s ued	042	447,341,231	701,178,136
   Net increas e/(decreas e) in Tier 2 capital ins truments	043	0	0
   Increas e in s hare capital	044	0	0
   (Dividends paid)	045	-447,770,907	-448,319,920
   Other receipts /(paym ents ) from financing activities	046	0	0
   Net cas h flow from financing activities (from 41 to 46)	047	11,658,649	795,629,055
   Net increas e/(decreas e) of cas h and cas h equivalents (34 + 40 + 47)	048	-1,680,128,081	-732,507,809
   Cas h and cas h equivalents at the beginning of period	049	6,202,080,797	4,877,694,428
   Effect of exchange rate fluctuations on cas h and cas h equivalents	050	-4,484,171	-29,121,349
   Cas h and cas h equivalents at the end of period (48 + 49 + 50)	051	4,517,468,545	4,116,065,270

   
   
   
   1. Financial statements (TFI-KI statements) (continued)

5. Statement of changes in equity for the period from 31 December 2024 to 30 September 2025

   		for the period from 31.12.2024	to 30.9.2025												in EUR
   Sources of equity changes	ADP code	Attributable to owners of the parent											Non-controlling interes t		Total
   		Equity	Share prem ium	Equity ins trum en ts is s ued other than capital	Other equity	Accum ulat ed other com prehe ns ive incom e	Retained profit	Revaluation reserves	Other reserves	( ) Treasury shares	Profit or ( - ) loss attributable to owners of the parent	(-) Interim dividends	Accum ulate d other com prehen s ive incom e	Other item s
   1	2	3	4	5	6	7	8	9	10	11	12	13	14	15	16
   Opening balance [before res tatem ent]	001	850,068,233	465,253,748	0	1,996,305	-9,685,310	892,447,355	0	61,175,022	-268,443	555,106,299	0	361,576	3,635,084	2,820,089,869
   Effects of error corrections	002	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Effects of changes in accounting policies	003	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Opening balance [current period] (1 + 2 + 3)	004	850,068,233	465,253,748	0	1,996,305	-9,685,310	892,447,355	0	61,175,022	-268,443	555,106,299	0	361,576	3,635,084	2,820,089,869
   Ordinary shares is sue	005	0	197,967	0	0	0	0	0	0	0	0	0	0	0	197,967
   Preference shares is sue	006	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Is sue of other equity instruments	007	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Exercis e or expiration of other equity ins trum ents is s ued	008	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Conversion of receviables to equity instruments	009	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Capital reduction	010	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Dividends	011	0	0	0	0	0	-448,338,737	0	0	0	0	0	0	0	-448,338,737
   Purchase of treasury shares	012	0	0	0	0	0	0	0	0	-687,500	0	0	0	0	-687,500
   Sale or cancellation of treasury shares	013	0	0	0	0	0	0	0	0	773,048	0	0	0	0	773,048
   Reclassification of financial instruments from equity to liability	014	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Reclassification of financial instruments from liability to equity	015	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Trans fers am ong com ponents of equity	016	0	0	0	0	0	555,106,299	0	0	0	-555,106,299	0	0	0	0
   Equity increas e or ( - ) decreas e res ulting from bus ines s com binations	017	0	0	0	0	0	0	0	0	0	0	0	0	0	0
   Share bas ed paym ents	018	0	0	0	-971,014	0	0	0	0	0	0	0	0	0	-971,014
   Other increas e or (-) decreas e in equity	019	0	0	0	0	29,028	354,013	0	0	0	-2	0	0	5,084	388,123
   Total com prehens ive incom e for the current year	020	0	0	0	0	14,026,323	0	0	0	0	442,040,676	0	25,479	583,036	456,675,514
   Clos ing balance [current period] (from 4 to 20)	021	850,068,233	465,451,715	0	1,025,291	4,370,041	999,568,930	0	61,175,022	-182,895	442,040,674	0	387,055	4,223,204	2,828,127,270

6. Notes to the condens ed interim financial statements

Fair values are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation techniques, as follows:

• Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities,

• Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices),

• Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The Group recognises transfers between levels of the fair value hierarchy at the end of the reporting period during which the change has occurred. More information about the assumptions applied in measuring fair values is disclosed in the last annual financial statements.

1. Measurement of fair values (continued)
   1. Financial instruments measured at fair value - fair value hierarchy

      EUR million
      		30 September 2025				31 December 2024
      	Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
      Financial as s ets at fair value through profit or loss
      Debt securities held for trading	-	-	-	-	-	-	-	-
      Equity securities held for trading	-	1	-	1	-	1	-	1
      Financial assets mandatorily at fair value	-	9	2	11	115	5	3	123
      Derivative financial instruments	-	46	-	46	-	49	-	49
      Hedge accounting	-	106	-	106	-	99	-	99
      Fair value changes of the hedged items in portfolio hedge of interest rate risk	-	(16)		(16)	-	(19)	-	(19)
      	-	146	2	148	115	135	3	253
      Financial as s ets at fair value through other comprehensive income
      Debt securities at fair value through other comprehensive income	1.034	695	80	1.909	301	594	167	1,062
      Equity securities at fair value through other comprehensive income	-	-	1	1	-	-	1	1
      	1.034	695	81	1.910	301	594	168	1,063
      Total financial assets measured at fair value	1.034	841	83	2.058	416	729	171	1,316
      Financial liabilities at fair value through profit or loss
      Derivative financial instruments	-	42	-	42	-	47	-	47
      Hedge accounting	-	143	-	143	-	160	-	160
      Fair value changes of the hedged items in portfolio hedge of interest rate risk	-	(9)	-	(9)	-	7	-	7
      Financial liabilities measured at fair value	-	123	-	123	-	126	-	126
      Total financial liabilities measured at fair value	-	299	-	299	-	340	-	340

   2. Fair value of financial instruments not measured at fair value

      EUR million
      Fair value
      	Book value	Total	Level 1	Level 2	Level 3
      30 September 2025
      Financial assets at amortised cost	21,335	21,324	1,553	8,876	10,895
      Financial liabilities at amortised cost	24,607	24,595	-	262	24,333

      31 December 2024
      Financial assets at amortised cost	19,095	18,417	939	6,530	10,948
      Financial liabilities at amortised cost	22,242	21,579	-	568	21,011

      Assumptions used in estimates and measurement of fair values are based on requirements of IFRS 13.

2. Commitments and contingencies

   EUR million
   			30 September 2025				31 December 2024
   	Stage 1	Stage 2	Stage 3	Total	Stage 1	Stage 2	Stage 3	Total
   Gross carrying amount
   Loan commitments given	3,390	225	47	3,663	2,781	352	3	3,136
   Financial guarantees given	381	64	2	447	394	35	10	439
   Commercial guarantees given	1,144	114	25	1,282	1,026	110	25	1,161
   Other commitments given	21	2	0	23	41	3	-	44
   Total	4,936	405	74	5,415	4,242	500	38	4,780

   EUR million
   			30 September 2025				31 December 2024
   Stage 1		Stage 2	Stage 3	Total	Stage 1	Stage 2	Stage 3	Total
   ECL allowance
   Loan commitments given	(15)	(14)	(4)	(33)	(12)	(17)	(2)	(31)
   Financial guarantees given	(2)	(5)	(1)	(8)	(3)	(2)	(7)	(12)
   Commercial guarantees given	(7)	(2)	(10)	(19)	(14)	(7)	(12)	(33)
   Other commitments given	-	-	-	-	(1)	-	-	(1)
   Total	(24)	(21)	(15)	(60)	(30)	(26)	(21)	(77)

3. Events after the reporting period

There were no significant reportable events after the reporting period.