Erste Bank Polska (SPL) investor relations material

Executive summary

• Q1 2026 marked the completion of rebranding and integration into Erste Group, following the acquisition of a 49% stake by Erste Group Bank AG from Santander Group, making Erste Group the main shareholder.

• Net profit for Q1 2026 was PLN 1.028 billion, down 39% year-over-year, mainly due to higher CIT, regulatory costs, and legal risk provisions.

• Gross profit declined 18% YoY to PLN 1.8 billion, with total income up 1% YoY to nearly PLN 4 billion.

• Achieved strong growth in digital customers, new accounts, and lending volumes, with digital customers up 5% YoY.

• Dividend of PLN 49.98 per share approved, with a total payout of PLN 5.1 billion, record date 13 May 2026, payout date 20 May 2026.

Financial highlights

• Net interest income: PLN 3.06 billion (-3.6% YoY); net fee and commission income: PLN 772 million (+6% YoY, record high).

• Total income: nearly PLN 4 billion, slightly higher year-on-year despite lower interest rates.

• Operating expenses: PLN 1.7 billion (+23% YoY), impacted by one-off costs (integration, rebranding, BFG contributions).

• Cost/income ratio increased to 42.2% from 34.5% YoY.

• Cost of risk: 0.37%; NPL ratio improved to 3.6% from 4% a year ago.

• ROE: 19.9%; net interest margin: 4.53% (down 0.41 p.p. YoY).

• Total capital ratio: 18.72%; liquidity coverage ratio (LCR): >200%.

• Earnings per share: PLN 10.06 (down from PLN 16.47 YoY).

Outlook and guidance

• Macroeconomic outlook and guidance remain unchanged; expect loan and deposit growth around 7%.

• Net fee income expected to maintain single-digit growth; net interest income sensitive to rate cuts but offset by balance sheet growth.

• CET1 ratio expected to rise in Q2 2026 due to recognition of 2025 undistributed profit.

• Continued focus on digital transformation, customer acquisition, and green financing.

• External risks include ongoing geopolitical tensions, inflation trajectory, interest rate changes, and fiscal policy uncertainty.