Piraeus Finl Hldgs Sa

Ladies and gentlemen, thank you for standing by. I am Mina, your Chorus Call Operator. Welcome and thank you for joining the Paris Financial Holdings Conference Call and Live Webcast to present and discuss Paris' first quarter 2025 financial results. At this time, I go back to turn the conference over to Paris Financial Holdings CEO, Mr. Christos Megalou. Mr. Megalou, you may now proceed.

Good afternoon, ladies and gentlemen, and good morning to those joining us from the U.S. Today, we will cover our first quarter 2025 financial results. This is Christos Megalou, Chief Executive Officer, and I'm joined today by our CFO, Theo Gnardelis, Chrysanthi Berbati, and Xenophon Damalas. Paereus. started the year strongly, delivering a solid set of financial results in the first quarter, confirming its good progress towards achieving or surpassing its full-year targets. I am proud of our results and thankful to our people for their hard work. Before going into more detail on the group's performance, I'd like to comment briefly on the current macroeconomic environment. As you can see in slide four, the Greek economy is well positioned to navigate the uncertainty of the global macro landscape. In 2024, the Greek economy sustained its growth momentum with GDP increasing by 2.3%, significantly exceeding the Eurozone average of 0.9%, with one of the highest primary surpluses in the EU at 4.8% of GDP. GDP growth is expected to be maintained at similar levels in 2025, driven by investments and the next generation EU funds. The low reliance of Greek exports to the US implies manageable impact from tariffs. Importantly, The Greek sovereign has regained the investment grade rating by all major credit rating agencies with further upgrades taking place inside the investment grade status. Let's now move on with slide five for the key achievements of the first quarter of 2025. We generated net profit of euros 284 million, up 22% year on year, corresponding to earnings per share of 22 euro cents. With our strong first quarter performance, we are in light to meet or exceed are guidance for earnings per share of approximately 80 euro cents for 2025. On the back of our solid financial performance, Paereus annual general meeting of shareholders in April has approved a cash dividend amounting to euros 373 million for 2024 results, which will be paid on 10th of June 2025. This is almost €30 per share, up from €6 last year. In the first quarter of 2025, we accrued for a 50% distribution out of the quarterly profits. This is an annualized run rate of €44 per share, or 9% distribution yield. We have expanded our loan book by €5 billion in five quarters, 16% year-on-year to €35 billion. During the first quarter, our loan book grew by €1.1 billion continuing the strong momentum of 2024. We achieved return on average tangible book value of 14.7% above the 2025 target of approximately 4%. We delivered 10% net revenue growth in the first quarter, supported by the strong performance of net fee income. Fees increased by 10% year-on-year, while net interest income retreated by 7% annually, reflecting the material drop of interest rates. Our revenue diversifying efforts are reflected on our net fees over net revenue at 25%, while fees over assets reached 80 basis points, and both metrics are best in class in Greece. Following this, we are confident to upgrade our net fee income target for 2025 to approximately €650 million from €600 million previously. Our cost-to-core income ratio stood at 35% among the best in the European banking market, confirming our cost-disciplined approach. Asset quality dynamics remain solid with NPE ratio at 2.6%. Importantly, cost of risk landed at the historic low level of 35 basis points below our target of approximately 50 basis points for 2025. We increased our assets under management to 12.5 billion during the first quarter, 25% year-on-year, already exceeding the 2025 target of above 12 billion. The strong performance was mainly driven by mutual funds, which grew by 39% year-on-year. Furthermore, deposits rose by 5% annually and are now at EUR 61.4 billion. Our CET1 ratio reached 14.4% on the back of solid organic capital generation while at the same time absorbing the 50% distribution accrual, approximately 90 million DTC amortization, the Euros 1 billion loan growth, and the transitional impact from Basel IV that kicked in in January 2025. Slide 6 presents the details of our first quarter operating results. a clean performance without one-offs. We sustainably grow our tangible book value per share now at €6 per share. On slide 7-9, we present the dynamics of our performing loan book. Credit expansion has been strong. with performing loans rising by euros 1.1 billion in the first quarter, supported by all business lending segments. Importantly, loan origination dynamics remain positive and our total financing of RRF projects has reached euros 2.2 billion, fueling

7 billion euros investments.