Halyk Bank of Kazakhstan (HSBK) investor relations material

Executive summary

• Net income for 1H 2026 declined by 15.3% year-over-year to KZT 447.6 billion, impacted by higher reserve requirements, tighter retail lending regulation, and increased interest expense.

• Strong digital engagement with 8.6 million monthly active users and 11.5 million active B2C clients in the SuperApp ecosystem as of July 2026.

• Maintained #1 market position in net income, assets, loans, and deposits across Kazakhstan as of 1H 2026.

• Total assets rose 5.4% year-to-date, reaching KZT 22,036 billion as of 30 June 2026.

• Comprehensive B2B and B2C platforms are driving growth in both retail and corporate segments.

Financial highlights

• Net interest income rose 2.6% year-on-year to KZT 657.6 billion; net fee and commission income fell 19.6% year-on-year.

• Net interest margin decreased to 6.8% from 7.3% year-on-year, mainly due to new reserve requirements.

• Operating expenses rose 5.5% year-on-year, driven by salary indexation, IT costs, and VAT.

• Cost-to-income ratio increased to 19.2% from 17.2% year-on-year.

• Total assets grew to KZT 22.0 trillion; customer deposits reached KZT 14.9 trillion as of June 2026.

Outlook and guidance

• 2026 guidance: net retail loan growth 8–10%, corporate & SME loan growth 10–13%, total net loan portfolio growth 9–12%.

• Net income expected around KZT 1 trillion for 2026; ROAE guidance at 29%.

• Net interest margin expected at 6.8%; cost-to-income ratio guided at 18–20%.

• Cost of risk projected at 1.4%–1.5% for the year.

• Management continues to monitor economic and political developments, including inflationary risks and geopolitical tensions.