Erste Group Bank (EBS) investor relations material

Executive summary

• Central and Eastern Europe (CEE) and Central Europe are key growth engines for Europe, with strong productivity, entrepreneurial activity, and high GDP per capita growth outpacing the eurozone.

• The acquisition and integration of Erste Bank Polska significantly expanded the group's footprint, adding 6 million clients, EUR 70 billion in assets, and boosting diversification and performance.

• Net profit for H1 2026 reached EUR 1,975 million, up 18.6% year-over-year, driven by strong loan growth and the Polish consolidation.

• Operating income rose 40.4% to EUR 7,959 million, with Poland contributing EUR 1,821 million.

• The group emphasizes balanced growth across corporate, retail, and industry segments, focusing on diversification and risk management.

Financial highlights

• Customer loans grew by 21.9% year-over-year to €282.7bn as of June 2026, with a €41.4bn contribution from Erste Bank Polska.

• Customer deposits increased by 27.9% year-over-year to €323.7bn, with €59.3bn from Erste Bank Polska.

• Operating result increased 49.3% to EUR 4,422 million; cost/income ratio improved to 44.4% from 47.7%.

• CET1 ratio at 15.2% post-Poland acquisition, reflecting strong capitalization.

• NPL ratio stands at 2.3% group-wide, with Romania slightly below 3% due to portfolio management.

Outlook and guidance

• Raised 2026 outlook: ROTE expected above 20%, EPS to increase by more than 20% year-over-year.

• Loan volume growth projected at 6-8%; net interest income to exceed EUR 11 billion, fee income around EUR 4 billion.

• New loan volume target for 2026 set at €290bn, supporting regional growth and infrastructure investment.

• Cost/income ratio forecast to improve to less than 45% in 2026.

• Risk costs expected at 25-30 basis points, adjusted for one-off ECL provision from Poland.