Grupo Financiero Banorte (GFNORTEO) Banking Virtual Investor Conference summary

Macro environment and economic outlook

• Political continuity and focus on healthy fiscal policies support investment and public-private partnerships.

• GDP growth expected at 1%, with possible revision based on US-Mexico trade negotiations.

• Inflation projected to trend down to 4% by end of 2025; reference rate expected to reach 8.5%.

• Strong employment and wage growth continue to drive internal consumption.

• Regional economic growth varies, with manufacturing hubs in the north and center outperforming.

Business model and strategic evolution

• Operates solely in Mexico with a global, diversified shareholder base and listings in multiple markets.

• Evolved from a regional bank to one of the three largest and most liquid in Mexico, with a $22B+ market cap.

• Transformation included major investments in technology, analytics, and customer experience.

• Shifted to a hyper-personalization, customer-driven model to increase lifetime value.

• IT investments grew 3.4x since 2016, driving flat operating expenses and tripling net income.

Financial performance and portfolio management

• Net income increased 7% year-over-year, with ROE at 22.4%.

• Majority of revenue from core banking, with strong fee growth due to omnichannel strategy.

• Holds 50% market share in loans, ranking as the second largest franchise in Mexico.

• Loan portfolio grew 14% YoY, with increased focus on consumer, commercial, corporate, and mortgage segments.

• Asset quality is market-leading, with lowest NPL ratios and normalized cost of risk.