OTP Bank (OTP) investor relations material

Executive summary

• Achieved 15% FX-adjusted loan growth in 2025, with 74% of growth since 2014 being organic and ROE at 21.6% for the year.

• Net income/profit after tax reached HUF 1,146 billion, up 7% year-over-year, with operating profit growing 8-10%.

• Stage 3 ratio improved to 3.5%, indicating stable portfolio quality despite strong loan growth.

• Foreign subsidiaries contributed significantly to consolidated profit, with strong results in Serbia, Ukraine, and Bulgaria.

• MSCI ESG rating upgraded by two notches to 'A' in November 2025.

Financial highlights

• CET1 ratio at 18.1%, leverage ratio at 10.8-11%, and net loan-to-deposit ratio at 77%.

• Net interest income grew 9% year-over-year, with net interest margin at 4.34%.

• Operating expenses increased 12-14% year-over-year, partly due to wage inflation and a major donation.

• Wholesale funding reduced to 7% of total assets, down from 25% in 2008.

• Total risk cost rose to HUF 197 billion, with Russia accounting for HUF 119 billion.

Outlook and guidance

• Management expects 2026 loan growth around 15%, with stable net interest margin (4.34%) and portfolio quality.

• Slightly higher cost-to-income ratio and slightly lower ROE anticipated due to equity accumulation and leverage reduction.

• Dividend proposal of HUF 300 billion (HUF 1,071 per share), representing 26% of 2025 net income.

• Continued focus on organic growth and selective acquisitions, especially in Central and Eastern Europe and Central Asia.

• Continued issuance of MREL-eligible instruments and covered bonds planned.