Quálitas Controladora S.A.B (Q) investor relations material

Executive summary

• 2026 is a transition year with intensified competition, regulatory VAT changes, and stagnant GDP growth in Mexico, but resilience and operational discipline are evident.

• Written premiums for 2Q26 were $17,329 million, down 0.5% year-over-year, but up 3.4% excluding a one-time shift; YTD written premiums grew 7.7% to $39,022 million.

• Leadership in the Mexican auto insurance market is maintained, with a 34.2% share in written premiums and strong profitability.

• Strategic focus remains on disciplined growth, cost control, and service excellence, with continued investment in international and new business segments.

• Insured units reached 6.1 million, up 119,000 year-over-year and 50,000 sequentially, despite aggressive pricing competition.

Financial highlights

• Earned premiums rose 4.4% year-over-year to $17,392 million for the quarter and 8.0% YTD to $36,192 million.

• Net income reached $1,389 million for the quarter (down 1.3% YoY) and $2,944 million YTD (down 17.1%), with net margins of 8% and 7.5%, respectively.

• Comprehensive financial income decreased 4.7% for the quarter and 15.1% YTD due to lower interest rates; investment portfolio ROI was 7.4%.

• 12-month ROE stands at 18.3%, with Q2 ROE at 21.4%.

• Acquisition cost ratio increased to 25.1% for the quarter, mainly due to portfolio mix and higher commissions in the financial institutions segment.

Outlook and guidance

• Top-line growth for 2026 is expected in the mid to high single digits, with continued aggressive pricing in the market.

• Combined ratio guidance remains at or slightly above the 92%-94% target, with ROE expected close to 20%.

• No further large one-time coverage shifts are anticipated.

• Loss ratio is expected to remain within the 62%-65% range for the full year, despite seasonal and regulatory pressures.

• Capital allocation will focus on strengthening leadership in Mexico, accelerating subsidiary growth, and expanding into new insurance business lines.