BPER Banca (BPE) investor relations material

Executive summary

• Net profit for 1H25 reached €903.5m, up 29.5% half-on-half, marking a record result driven by higher revenues and lower costs.

• Completed BPSO/BIPSO public tender and exchange offer, acquiring ~80.7% stake, enabling integration by 1H26 and targeting €290m pre-tax annual synergies.

• Asset quality among the best in Italy, with gross NPE ratio at 2.5%, net at 1.1%, and NPE coverage at 55.6%.

• Business plan initiatives fully launched, with strong lending growth, digital, ESG, and operational efficiency progress.

• Strengthened position as Italy's 3rd largest bank by market share in TFA, loans, deposits, and branches.

Financial highlights

• Total revenues in 1H25 reached €2.9bn (+3.4% H/H), with core revenues stable at €2.7bn.

• Net interest income was €1.63bn, down 3.4% half-on-half; net commission income up 4.8% to €1.06bn.

• Operating costs fell 4.9% half-on-half to €1.33bn; cost/income ratio improved to 46.6%.

• Net loans to customers increased to €92.7bn, up 4.2% year-over-year; direct deposits at €120.8bn.

• EPS as of 30 June 2025 was €0.638.

Outlook and guidance

• FY25 total revenues guidance raised to ~€5.5bn, cost/income ratio at ~50%, and CET1 ratio above 15.5%.

• Net interest income expected to decline mid-single digit, net commission income to rise mid-single digit.

• Cost of risk forecasted below 40bps; business plan update post-integration planned for 1H26.

• CET1 ratio target raised to >15.5% for FY25, with combined entity projected at ~15% by December 2025.

• Macroeconomic environment remains uncertain, with global GDP growth revised down and ongoing geopolitical risks.