Regional S.A.B (RA) investor relations material

Executive summary

• Net income for 2Q26 was $1,526 million pesos, down 7% year-over-year, with ROE/ROAE at 17.7% for the last twelve months.

• Total loans grew 11% year-over-year to $203,172 million pesos, with strong momentum in Mexico City and commercial/personal segments.

• Core deposits increased 16% year-over-year to $202,142 million pesos; time deposits rose 20%.

• Efficiency ratio increased to 43.5%, up 264 bps year-over-year, reflecting higher operating expenses.

• Financial margin rose 4% year-over-year to $3,968 million pesos.

Financial highlights

• Net interest margin (NIM) for 2Q26 was 6.0%, down 48 bps year-over-year; adjusted NIM net of provisions remains solid.

• Non-performing loan (NPL) ratio improved to 1.4%, down 16 bps year-over-year; coverage ratio at 1.4x.

• Net fees grew 9% year-over-year, led by cards and merchant fees; non-financial income up 3%.

• Operating expenses rose 7% year-over-year, mainly due to technology and geographic expansion.

• Total assets reached $293,341 million pesos, up 11% year-over-year; shareholders' equity increased 10%.

Outlook and guidance

• NIM guidance revised to 5.6%-6% due to margin pressure; net income growth for 2026 now expected at -5% to 0%, with ROE guidance at 16.5%-17.5%.

• Loan and core deposit growth guidance maintained at 5%-10%; NPL ratio expected at 1.8%; cost of risk between 0.8%-1%; efficiency ratio around 42%.

• For 2027, loan demand expected to increase post-U.S. elections and USMCA reviews, especially in industrial sectors.

• Future results are subject to risks including economic, political, and regulatory changes.

• Loan portfolio growth driven by commercial and consumer segments, with continued focus on SMEs and individuals.