Slides
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KBC KBC Group Analysts ' presentation 2Q 2026 The webinar link is available on www.kbc.com More information : www.kbc.com KBC Group - Investor Relations Office : IR4U@kbc.be → Kate KBC
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2 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Net result of 1,152m EUR over 2Q26• KBC Group is well-positioned being an integrated bank-insurer with tailored AM business that has a highly diversified income • In this quarter, again, all commercial bank-insurance franchises performed excellently • Customer loans and customer deposits increased q-o-q in all our core countries (on a comparable basis). Core customer money inflow of 6.0bn EUR in 2Q26 • Excellent net interest income, leading to increased FY26 NII guidance (from initial ‘at least 6,725m EUR’ to ‘approximately 7.05bn EUR’) • Higher net fee and commission income. Good net inflows in direct client money (1.4bn EUR) • Q-o-q higher net result from financial instruments at fair value & IFIE, net other income in line with the normal run rate • Higher sales of non-life insurance y-o-y, sales of life insurance down q-o-q and up y-o-y • FY26 total income guidance increased to approximately +11.0% y-o-y (from initial guidance of at least +9.9% y-o-y) • Costs down q-o-q due entirely to lower bank & insurance taxes and the one- off profit bonus in 1Q26. YTD cost evolution is in line with FY26 guidance • Lower net loan loss impairment charges. Excellent credit cost ratio. Higher impairments on ‘other’ • Solid solvency and liquidity position • Interim dividend of 1 EUR per share in November 2026 • We will extend the usual conference call regarding the 4Q26/FY26 results with a topical event on Thursday 11 February 2027, providing more insights into the digital transformation of KBC Group leading to new financial and non-financial guidance Highlights Return on tangible equity 18%* Cost-income ratio excluding bank & insurance taxes 40% Combined ratio 85% (vs below 91% guided) Credit cost ratio 0.11%** (vs well below TTC of 25-30bps guided) CET1 ratio 14.4%*** (B4, DC, unfloored fully loaded) Leverage ratio 5.6% (fully loaded) NSFR 133% & LCR 158% YTD ratios NET RESULT in m EUR * When bank & insurance taxes are evenly spread throughout the year and excluding one -offs. Return on equity = 16% ** Like-for-like (excluding 365.bank) without ECL & management overlay for geopolitical & macroeconomic uncertainties *** Unfloored fully loaded CET1 ratio = fully loaded Basel 4 CET1 ratio excluding output floor impact 546 557 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 1,018 1,002 1,003 1,152
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3 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Looking forward Looking forward Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Wrap-up | Digital-first, data-driven and AI-led integrated bank-insurer with tailored AM 49% 51% 50% 50% 48% 51% 49% 50% 50% 52% 2022 2023 2024 2025 1H26 NII Non-NII Well-diversified, both geographically and from a business point of view KBC Group topline diversification: roughly 50% NII and 50% non-NII in % • geographically … • Mature markets (BE, CZ) combined with growth markets (SK, HU, BG) • Robust market position in all key markets & strong trends in loan and deposit growth • Wealth levels are and will continue to gradually converge towards Western European standards • … and from a business point of view • Unique integrated, digital-first, data-driven and AI-led bank-insurer with a strongly developed & tailored AM business • Unique selling proposition: in-depth knowledge of local markets and profound relationships with clients • Our fully integrated distribution model and increasingly straight-through processes allow for sustainable efficiency gains in tandem with a full range of products and services that go beyond banking and insurance through ecospheres • Global recognition for our digital-first approach through Kate, fueled by the number 1 banking app worldwide in 2025 • CAGR25-28 NII of at least +8.6% • Longer average duration of the replication portfolio will generate a further NII increase, even when (policy) rates are stabilising • The negative impact from the State Note in Belgium has disappeared • Shifts from TD to CASA will continue to happen, albeit at a slower pace Successful digital-first approach through KATE • Implicit CAGR25-28 non-NII of roughly +7% • Insurance revenues (before reinsurance) CAGR25-28 of at least +7.5% • Sustained fee income growth, propelled by strong net sales year after year thanks to success of Regular Investment Plans and the gradual convergence of wealth levels in Central Europe towards Western European standards • Negative impact from SRT coupon costs following our securitisation program
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4 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Looking forward Looking forward BU view BU view Company profile Company profile KBC Strategy KBC Strategy Sustainability Sustainability Asset quality Asset quality MREL Funding MREL & Funding 945 Banking activities 203 Insurance Activities Strategic focus | Sia Partners again ranked KBC Mobile the N°1 mobile banking app worldwide • We offer an integrated response to our clients’ banking and insurance needs. Our organisation is similarly integrated, operating as a single business and a digital-first, data-driven and AI- led bank-insurer. • Our integrated model offers our clients the benefit of a comprehensive, one-stop, relevant and personalised financial service that allows them to choose from a wider, complementary and optimised range of products and services, which go beyond pure bank-insurance. • For ourselves, it offers benefits in terms of income and risk diversification, additional sales potential through intensive co-operation between the bank and insurance distribution channels, significant cost-savings and synergies, and heightened interaction opportunities with and a more complete understanding of our clients. Unique integrated bank- insurance model 18% of the 1,152m EUR Group Net result* originates from Insurance activities Firmly embedded sustainability strategy • As a company that aims to support the transition to a more sustainable and climate- proof society, we have made sustainability integral to our overall business strategy and integrated it into our day-to-day business operations and the products and services we provide. • Our sustainability strategy consists of three cornerstones: encouraging responsible behaviour on the part of all our employees, increasing our positive impact on society and limiting any adverse impact we might have see slides 51-54 Successful digital-first approach through KATE • Our digital interaction with clients forms the basis of our business model in our strategy, not only in terms of sales and advice, but also in E2E digital process and product development. • Artificial intelligence and data analysis play an important part in digital sales and advice. Kate, our AI-powered personal digital assistant, features prominently in this regard. • Kate has recently been further upgraded in Belgium and the Czech Republic to enable even more natural and intuitive conversations (Kate 2.0 using LLM), which further boosts autonomy and customer usage • The independent international consulting firm Sia Partners again ranked KBC Mobile the N°1 mobile banking app worldwide in 2025: a clear recognition of a decade of innovation, development and listening closely to our clients. KATE autonomy 77% BE 75% CZ * Difference between the net result of KBC Group and the sum of the banking and insurance contributions is accounted for by the holding-company/group items 6.2 million users in contact with Kate
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5 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Strategic focus | The reference Profitability Solvency Sustainability Digitalisation With a Return on Tangible Equity of 18% in 1H26 KBC is one of the most profitable EU financial institutions With an unfloored fully loaded CET1 ratio of 14.4% at end 1H26 KBC is amongst the better capitalised EU banks Sustainalytics ranks KBC in the 3rd percentile of 214 diversified banks assessed (last full update September 23, 2025) “KBC Mobile is a high-performance and efficient banking app for everyday needs and one of the most innovative with some interesting extras. The app surprises clients with its wide range of functionalities and the virtual assistance by Kate.” Sia Partners ranks KBC Mobile as N°1 banking app worldwide At KBC it is our ambition to be the reference for bank-insurance in all our core markets
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6 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Main exceptional items 2Q26 1Q26 2Q25 BE BU Opex – Exceptional profit bonus for employees -7m EUR Total Exceptional items BU Belgium -7m EUR CZ BU Opex – Exceptional profit bonus for employees -6m EUR Total Exceptional items BU Czech Republic -6m EUR IM BU Opex – Exceptional profit bonus for employees -6m EUR SK – Opex – Integration costs 365.bank and Business Lease -3m EUR -2m EUR HU – NII – Loan interest subsidy correction +4m EUR -10m EUR HU – NII – Legal case +4m EUR HU – NOI – Legal case +29m EUR HU – BK & INS TAX – Temporary extra (windfall/DGS) bank and insurance tax -134m EUR +7m EUR HU – Impairments – Modification losses -42m EUR* -4m EUR BG – Opex – Integration costs Raiffeisenbank Bulgaria -2m EUR Total Exceptional items BU International Markets -41m EUR -119m EUR +1m EUR GC BU Opex – Exceptional profit bonus for employees -4m EUR Opex – Integration costs 365.bank and Business Lease -2m EUR -2m EUR Total Exceptional items BU Group Centre -2m EUR -6m EUR Total Exceptional items -43m EUR -138m EUR +1m EUR Total Exceptional items (post-tax) -38m EUR -122m EUR +1m EUR * -42m EUR modification losses, related to the current uncertainty regarding the lifetime extension of the interest cap regulation in Hungary (of which part might be recovered in the coming quarters)
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7 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Excellent net interest income, leading to increased FY26 guidance (see slide 19) • NII increased by 8% q-o-q and by 20% y-o-y (+17% y-o-y excluding the acquisitions of 365.bank and Business Lease) • +8% q-o-q was driven primarily by: • Higher commercial transformation result (due to continued increasing reinvestment yields and higher benchmarked deposit volumes) • Higher lending income, as organic loan volume growth and a 4m positive one-off in Hungary (partial reversal of loan interest subsidy correction of -10m EUR in 1Q26) was largely offset by lower loan margins in most core markets • Sharply higher NII on inflation-linked bonds (+57m EUR q-o-q, from -12m EUR in 1Q26 to +45m EUR in 2Q26) • Higher number of days (+9m EUR q-o-q) partly offset by: • Higher wholesale funding costs • +20% y-o-y was driven primarily by significantly higher commercial transformation result, higher lending income, higher NII on inflation-linked bonds, higher dealing room NII and NII from short-term cash management, lower costs on the minimum required reserves held with the central banks and higher NII on term deposits • Rose by 6 bps q-o-q and by 15 bps y-o-y (+13 bps y-o-y excluding 365.bank and Business Lease) for the reasons mentioned on net interest income and an increase in the interest-bearing assets (denominator), both q-o-q and y-o-y 142 102 1Q25 121 2Q25 112 3Q25 116 4Q25 109 1Q26 2Q26 Insurance Banking (incl. Holding) 1,421 1,509 1,527 1,608 1,672 1,805 1,319 1,388 1,415 1,493 1,563 1,663 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 2.05% 2.08% 2.05% 2.11% 2.17% 2.23% ORGANIC VOLUME TREND * Non-annualised ** Loans to customers, excluding reverse repos *** Customer deposits, excluding debt certificates and repos, but including customer savings certificates. Excluding the volatility in the foreign branches of KBC Bank (included in BE BU), core customer deposits rose by 2% q-o-q and by 4% y-o-y Growth figures are excluding FX, consolidation adjustments and reclassifications. Total loans** o/w retail mortgages Customer deposits*** Volume 222bn 89bn 251bn Growth q-o-q* +3% +2% +1% Growth y-o-y +7% +6% +4% NET INTEREST INCOME in m EUR NET INTEREST MARGIN* in %, calculated excluding dealing room, ALM FX swaps & repos
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8 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Inflow of core customer money CUSTOMER MONEY DYNAMIC OVER 2Q26 in bn EUR • 2Q26 saw an inflow of core customer money of +6.0bn EUR (+7.5bn EUR incl. FX impact) 31MAR26 -1.1bn EUR foreign branches +1.5bn EUR FX impact +2.3bn EUR current accounts +0.8bn EUR savings accounts +1.6bn EUR term deposits +1.4bn EUR mutual funds 30JUN26 +6.0bn EUR 31DEC25 +4.3bn EUR foreign branches +0.9bn EUR FX impact +2.9bn EUR current accounts +1.4bn EUR savings accounts +4.1bn EUR term deposits +3.0bn EUR mutual funds 30JUN26 +11.4bn EUR CUSTOMER MONEY DYNAMIC OVER 1H26 in bn EUR • 1H26 saw an inflow of core customer money of +11.4bn EUR (+12.3bn EUR incl. FX impact)
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9 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Higher net fee and commission income Good net inflows in direct client money • Up by 4% q-o-q and by 14% y-o-y (+11% y-o-y excluding the acquisitions of 365.bank and Business Lease) • +4% q-o-q was driven primarily by: • Net F&C income from Asset Management Services increased by 4% q-o-q due mainly to higher management & entry fees and higher distribution fees received linked to mutual funds • Net F&C income from banking services rose by 4% q-o-q due chiefly to higher fees from payment services, higher network income, higher fees from credit files & bank guarantees and higher securities-related fees • Higher distribution fees linked to insurance • +14% y-o-y was mainly the result of: • Net F&C income from Asset Management Services rose by 20% y-o-y due mainly to higher management & entry fees • Net F&C income from banking services increased by 6% y-o-y due mainly to higher fees from payment services, higher securities-related fees, higher network income and higher fees from credit files & bank guarantees, partly offset by the SRT coupon cost and higher distribution commissions paid for banking products • Higher distribution fees linked to insurance NET FEE & COMMISSION INCOME in m EUR ASSETS UNDER MANAGEMENT in bn EUR 379 364 389 416 419 437 299 291 305 292 297 308 12 1Q25 13 2Q25 12 3Q25 16 4Q25 13 1Q26 14 2Q26 Other Banking services Asset management services 690 667 707 725 729 758 115 118 124 127 127 141 76 77 80 82 80 88 62 63 66 68 67 75 21 1Q25 22 2Q25 22 3Q25 23 4Q25 23 1Q26* 24 2Q26* Investment advice Fund-of-Funds Group assets & Pension fund Direct Client Money 273 280 292 300 297 328 • Increased by 10% q-o-q due to net inflows (+1%) and positive market performance (+10%) • Increased by 17% y-o-y due to net inflows (+4%) and positive market performance (+13%) • The mutual fund business has seen good net inflows this quarter, both in higher- margin direct client money (1.4bn EUR in 2Q26 versus 1.6bn EUR in 1Q26 and 1.5bn in 2Q25) as well as in lower-margin assets * As of 1Q26, AuM of 365.bank are included
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10 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Non-life sales up y-o-y, life sales down q-o-q and up y-o-y • Up by 10% y-o-y, with growth in all countries and all main classes, due to a combination of volume and tariff increases NON-LIFE SALES in m EUR LIFE SALES in m EUR • Decreased by 30% q-o-q due to lower sales of unit-linked products (after a very strong 1Q26 as the result of a successful launch of structured emissions and commercial actions in Belgium and a single-premium campaign in Bulgaria, partly offset by an increase in Hungary in 2Q26 due mainly to a single-premium campaign), lower sales of guaranteed-interest products (due chiefly to traditionally higher volumes in tax-incentivized pension savings products in Belgium during 1Q and 4Q) as well as lower sales of hybrid products • Increased by 24% y-o-y due to higher sales of unit-linked products and guaranteed- interest products, partly offset by lower sales of hybrid products • Sales of guaranteed-interest products and unit-linked products accounted for 40% and 53% of total life insurance sales in 2Q26 respectively, with hybrid products (mainly in Belgium and the Czech Republic) accounting for the remainder • Life sales in 1H26 rose by 18% y-o-y 792 671 653 654 850 739 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 • Non-life combined ratio for 1H26 amounted to an excellent 85% (85% in 1H25). This is mainly the result of: • 9% y-o-y higher insurance revenues before reinsurance • 8% y-o-y higher insurance service expenses before reinsurance, impacted mainly by some hailstorms in Belgium and some industrial fires (mainly in the Czech Republic and Belgium) • Lower net result from reinsurance contracts held (down by 18m EUR y-o-y) COMBINED RATIO (NON-LIFE) in % 86% 85% 87% 87%84% 85% 1Q 1H 9M FY 2025 2026 615 285 420 481 678 430 333 299 362 507 423 326 64 1Q25 71 2Q25 61 3Q25 77 4Q25 60 1Q26 58 2Q26 Hybrid products Guaranteed- Interest products Unit-Linked products 1,013 655 843 1,065 1,161 813
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11 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view FIFV & IFIE result up q-o-q and net other income in line with the normal run rate • FIFV & IFIE result up q-o-q, attributable mainly to: • Positive change in ‘ALM derivatives and other’ due mainly to hedge accounting ineffectiveness partly offset by: • Lower dealing room result • More negative credit, funding and market value adjustments, mainly the result of decreased long-term interest rates (EUR, CZK and HUF) and decreased KBC funding spreads, partly offset by decreased counterparty credit spreads • Slightly more negative IFIE due to strong growth in insurance • Net other income: in line with the normal run rate of 50m EUR per quarter FIFV & IFIE in m EUR NET OTHER INCOME in m EUR 67 77 47 39 89 50 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 Dealing room 77 60 53 56 30 22 MVA/CVA/FVA -1 0 5 -6 -1 -8 IFIE – mainly interest accretion -67 -67 -69 -72 -76 -77 M2M ALM derivatives and other -55 -27 -51 1 -71 -29 FIFV & IFIE -45 -34 -62 -22 -118 -92
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12 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Costs excluding bank & insurance taxes slightly down q-o-q 539 549 1Q25 27 2Q25 49 3Q25 51 4Q25 1Q26 64 2Q26 Bank & insurance taxes Operating expenses 1,646 1,152 1,192 1,275 1,763 1,273 1,106 1,125 1,143 1,224 1,214 1,209 * See glossary for the exact definition OPERATING EXPENSES (INCLUDING COSTS DIRECTLY ATTRIBUTABLE TO INSURANCE) in m EUR • Regarding bank & insurance taxes in 2Q26: • +53m EUR additional national bank taxes in Hungary • +5m EUR additional national bank taxes in Slovakia • +6m EUR additional contribution to the Deposit Guarantee Scheme (+3m EUR in Belgium, +1m in Hungary and +1m EUR in Bulgaria) • Total bank & insurance taxes are expected to increase by 10% y-o-y to 730m EUR in 2026 (666m EUR in 2025) BANK AND INSURANCE TAX SPREAD 2026 (preliminary) in m EUR Total Upfront Spread out over the year 2Q26 1Q26 2Q26 1Q26 2Q26 3Q26e 4Q26e BE BU 3 289 3 0 0 0 0 CZ BU 0 22 0 1 0 1 1 Hungary 54 171 0 45 54 54 54 Slovakia 5 2 0 5 5 4 4 Bulgaria 1 15 1 0 0 0 0 Group Centre 0 0 0 0 0 0 0 Total 64 499 4 50 59 58 58 • Operating expenses excluding bank & insurance taxes: • Slightly down q-o-q (-1% q-o-q excl. FX effect) and +7% y-o-y (+6% y-o-y excl. FX effect and +5% y-o-y excl. acquisitions of 365.bank and Business Lease) • The q-o-q decrease was due mainly to the 23m EUR one-off profit bonus in 1Q26, largely offset by higher staff costs (mainly the impact of wage inflation), seasonally higher marketing & professional fee expenses, higher ICT costs, higher facility expenses and higher depreciations • The y-o-y increase was due to, amongst others, higher staff costs (mainly the impact of wage inflation and acquisitions), higher ICT costs, higher marketing costs, higher professional fee expenses and higher depreciations • Excluding FX, the one-off profit bonus and the acquisitions of 365.bank and Business Lease, the like-for-like operating expenses excluding bank & insurance taxes rose by 3.4% y-o-y in 1H26, exactly in line with the guidance • 1H26 cost/income ratio • 43% when excluding certain non-operating items* (46% in FY25) • 40% excluding all bank & insurance taxes (41% in FY25)
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13 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Overview of bank & insurance taxes* 153 31 48 50 235 61 2 1Q25 0 2Q25 0 3Q25 0 4Q25 2 1Q26 0 2Q26 Resolution Fund contribution Common bank & insur. taxes 155 31 48 50 237 60 356 289 0 1Q25 00 2Q25 00 3Q25 00 4Q25 0 1Q26 0 2Q26 Resolution Fund contribution Common bank & insur. taxes 356 0 0 0 289 3 3 14 15 11 -5 8 1Q25 1 2Q25 01 3Q25 01 4Q25 1Q26 2Q26 Resolution Fund contribution Common bank & insur. taxes 25 -4 1 1 23 0 1-1 523 539 65 -5 17 1Q25 32 2Q25 049 3Q25 051 4Q25 10 1Q26 2Q26 Resolution Fund* contribution Common bank & insur. taxes 539 27 49 51 549 64 -1 * This refers solely to the bank & insurance taxes recognised in opex, and as such it does not take account of income tax expenses, non-recoverable VAT, etc. ** Including directly attributable costs to insurance KBC GROUP in m EUR KBC Group 613m EUR Pro rata 13.1% of 1H26 opex** BELGIUM BU in m EUR CZECH REPUBLIC BU in m EUR BU BE 292m EUR Pro rata 10.2% of 1H26 opex** BU IM 297m EUR Pro rata 28.1% of 1H26 opex** INTERNATIONAL MARKETS BU in m EURBU CZ 24m EUR Pro rata 2.4% of 1H26 opex**
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14 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view • Net loan loss impairment charges of 66m EUR in 2Q26 (compared with 164m EUR in 1Q26) due to: o 53m EUR net loan loss impairment charges (compared with 89m EUR in 1Q26), of which 9m EUR from the acquisition of 365.bank (compared with 11m EUR in 1Q26) o An increase of 13m EUR solely ECL buffer (versus an increase of 75m EUR in 1Q26, solely management overlay), driven mainly by micro- and macroeconomic indicators o Total outstanding ECL & management overlay for geopolitical & macroeconomic uncertainties now stands at 188m EUR • 69m EUR impairment on ‘other’, of which: o 42m EUR modification losses, related to the current uncertainty regarding the lifetime extension of the interest cap regulation in Hungary (of which part might be recovered in the coming quarters) o 28m EUR impairment on software (27m EUR in Belgium and 1m EUR in Bulgaria) Lower net loan loss impairment charges & excellent credit cost ratio Higher impairments on ‘other’ 83 76 55 76 89 53 40 48 75 69 0 -45 1Q25 8 2Q25 5 -9 3Q25 -3 4Q25 1 1Q26 13 2Q26 38 124 51 120 165 135 1.9% 1Q25 1.8% 2Q25 1.8% 3Q25 1.8% 4Q25 1.8% 1Q26 2Q26 1.8% 7 16 13 11 0 FY22 FY23 FY24 FY25 1H26* Other impairments ECL & mgmt. overlay for geopolitical and ME uncertainties Impairments on financial assets at AC and FVOCI • The credit cost ratio in 1H26 amounted to: • 11 bps like-for-like (excluding 365.bank) without ECL & management overlay for geopolitical & macroeconomic uncertainties (13 bps in FY25) • 17 bps with ECL & management overlay for geopolitical & macroeconomic uncertainties and including 365.bank • The impaired loans ratio amounted to 1.8% (1.0% of which over 90 days past due) ASSET IMPAIRMENT in m EUR; negative sign is a release CREDIT COST RATIO EXCL. ECL & MANAGEMENT OVERLAY FOR GEOPOLITICAL AND MACROECONOMIC UNCERTAINTIES in bps IMPAIRED LOANS RATIO in % *excluding 365.bank
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15 of 66 Highlights Highlights Profit Loss Profit & Loss Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view KBC has only limited direct exposure to current geopolitical and financial turmoil … the Middle East Direct exposure to Middle East 0.2% Direct loan exposure to the Middle East (disregarding Turkey and Egypt) amounted to 0.2% of our total outstanding loan book per end 1H26 It is mostly related to short term commercial trade finance. … vulnerable sectors Oil, gas & other fuels c. 0.8% * Private credit funds are defined as funds that have as main goal direct debt financing to firms. ** Private equity funds are investment firms that raise capital from a diverse group of institutional investors and high-net-worth individuals to acquire and actively manage non-public companies, aiming to enhance their value and achieve profitable exits through sales or public offerings. These investment companies may also hold other investments (e.g. (minority) stakes in stock-quoted companies, real estate, stakes in other funds). … Private credit and Private equity Private credit 0.05bn EUR Direct exposure to Private credit* was only 42m EUR per end 1H26, while Private equity** entailed less than 0.5% of outstanding loan exposure. Moreover, KBC’s exposure to US regional banks and hedge funds is virtually 0 Private equity <0.5% KBC’s direct exposure to… Aviation c. 0.1% Shipping c. 0.9% KBC’s outstanding loan book is very well diversified, with limited exposure to the most vulnerable sectors Software c. 0.7% Chemicals c. 1.3% Automotive c. 2.4%
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16 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Unfloored* fully loaded Basel 4 CET1 ratio from 1Q26 to 2Q26 Jan 2012 1Q26 (B4 DC****) +2.3 Volume +0.6 FX +0.7 RWA defaulted loans***** -0.7 SRT +0.6 Other****** 2Q26 (B4 DC)******* 134.5 138.1 * Fully loaded Basel 4 CET1 ratio excluding output floor impact ** The BGAAP result related to 1Q26 of 25m EUR was upstreamed in 2Q26 *** Includes the q-o-q delta in intangible fixed assets, AT1 coupon, remeasurement of defined benefit obligations, deduction pension plan assets, NPL shortfall etc. **** Includes the RWA equivalent for KBC Insurance based on DC, calculated as the historical book value of KBC Insurance multiplied by 250% under B4 ***** The RWA increase was mainly due to newly defaulted exposures with lower cover ratio vs defaulted exposures with higher cover ratio that disappeared during the quarter ****** Includes market risk, model changes, counterparty credit risk & CVA,… ******* Delta with transitional RWAs is the phased-in B4 impact and the impact of the transitional rule regarding Standardised RW for EUR sovereign exposure issued by non-EUR EU countries The unfloored fully loaded B4 common equity ratio stabilised q-o-q at 14.4% at the end of 2Q26 based on the Danish Compromise 1Q26 (B4 DC) +0.9 2Q26 net result (excl. KBC Ins. due to Danish Compr.) -0.5 Pro-rata accrual dividend +0.0 Dividend payment KBC Ins to KBC Group** +0.2 FX -0.1 Other*** 2Q26 (B4 DC) 19.3 19.9 Q-O-Q VARIANCE OF CET1 CAPITAL in bn EUR Q-O-Q VARIANCE OF RWA in bn EUR
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17 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Strong capital position with substantial buffer to MDA CET1 capital 14.4 4.5 1.1 5.3 Pillar I P2R CBR 10.9 10.9 1.9 CET1 AT1 (incl. P2R) 12.8 12.8 2.5 Tier 1 Tier 2 (incl. P2R) 15.3 14.4 1.8 Tier 1 capital CET1 AT1 16.2 14.4 1.8 2.5 Total capital CET1 AT1 Tier 2 18.7Regulatory requirement KBC Group Distance to MDA restrictions3.4% 4,750m EUR 3.4% 4,674m EUR 3.4% 4,759m EUR • P2R 1.95% (= Pillar II requirement) 1.10% to be met with CET1, 37bps eligible for AT1 and 49bps for Tier 2 • CBR 5.34% (= Combined buffer requirement) 2.50% Capital conservation buffer 1.50% O-SII buffer 1.34% Countercyclical buffer • OCR (10.94%) buffer 3.4% • MDA buffer 3.4% lowest of the buffers between available and required (i) CET1 capital, (ii) Tier 1 capital and (iii) Total capital • MDA 10.99% i.e. the net of the CET1 ratio (14.4%) and the MDA buffer (3.4%) CAPITAL REQUIREMENTS AND DISTANCE TO MAXIMUM DISTRIBUTABLE AMOUNT (MDA) RESTRICTIONS AS AT 30 June 2026 (FULLY LOADED, B4) in %
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18 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Leverage ratio, liquidity ratios and Solvency II ratio Stabilised q-o-q at 5.6% Both LCR* and NSFR** were well above the regulatory requirement of 100% * Liquidity Coverage ratio (LCR) is based on the Delegated Act requirements. From EOY2017 onwards, KBC Bank discloses 12 months average LCR in accordance with EBA guidelines on LCR disclosure. ** Net Stable Funding Ratio (NSFR) is based on KBC Bank’s interpretation of the proposal of CRR amendment. LEVERAGE RATIO | KBC GROUP fully loaded Leverage ratio 5.6% 1H26 5.6% FY25 LIQUIDITY RATIOS | KBC GROUP in % LCR 158% 1H26 159% FY25 NSFR 133% 1H26 138% FY25 SOLVENCY II RATIO | KBC INSURANCE in % Solvency II ratio 231% 1H26 227% FY25 Q-o-q stable Solvency II ratio as the positive impact of the 2Q26 IFRS P&L result and the lower EUR interest rate curve were offset by the negative impact of increasing equity markets and volume growth
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19 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Looking forward Looking forward Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward | FY26 financial guidance*** Our bank-insurance model is firing on all cylinders Note: all growth figures are based on reported 2025 figures Upgraded 2026 guidance Previous guidance Total income Approx. +11.0% y-o-y At least +9.9% y-o-y Net interest income* Approx. 7.05bn EUR At least 6,725m EUR Organic loan volume growth At least +6% y-o-y Approximately +5% y-o-y Insurance revenues (before reinsurance) Approx. +9.0% y-o-y At least +7.5% y-o-y Operating expenses (excl. bank/insurance tax) Approx. +7.7% y-o-y*** Below +7.7% y-o-y*** Organic OpEx growth (excl. bank/insurance tax) Approx. +3.4% y-o-y*** Below +3.4% y-o-y*** Jaws at least +2.2% Combined ratio below 91% Credit cost ratio well below TTC of 25-30bps Jaws approx. +3.3% Cost/income** approx. 40% * Based on market forward rates of early August ** KBC’s Cost/income ratio includes in the numerator Insurance commissions paid; for FY26, these are estimated in line wit h the Insurance revenues growth, i.e. approximately +9.0% y -o-y which corresponds to approximately 468m EUR *** This does not include the 23m EUR one-off profit bonus
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20 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Looking forward Looking forward Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward | FY28 financial guidance (as provided with FY25 results) Our bank-insurance model is firing on all cylinders Note: all growth figures are based on reported 2025 figures 2028 Total income* CAGR25-28 at least +7.7% Net interest income** CAGR25-28 at least +8.6% Insurance revenues* (before reinsurance) CAGR25-28 at least +7.5% Operating expenses* (excl. bank/insurance tax) CAGR25-28 below +4.3% Combined ratio below 91% Credit cost ratio well below TTC of 25-30bps Jaws at least +3.4% Cost/income*** below 38% * Including FX impacts and closed M&A files (365.bank and Business Lease) ** Including FX impacts and closed M&A files (365.bank and Business Lease), and based on following assumptions : (i) market forward rates of early February, (ii) no speculation on potential measures of any government and (iii) conservative pass-through rates on savings accounts *** KBC’s Cost/income ratio includes in the numerator Insurance commissions paid; for FY28, these are estimated in line with the Insurance revenues growth, i.e. at least +7.5% CAGR25 -28 which corresponds to at least 533m EUR
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21 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Looking forward Looking forward Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Wrap-up Excellent financial performance Outstanding solvency and liquidity Kate convinces customers Franchise is growing KATE autonomy 77% BE 75% CZ 6.2 million users in contact with Kate loan volumes +7% y-o-y customer deposits +4% y-o-y AM net inflows of direct client money +1.4bn 2Q26 non-life sales +10% y-o-y life sales +24% y-o-y CET1 ratio 14.4% 3.4% buffer vs MDA SII ratio 231% NSFR 133% LCR 158% net result 1,152m 2Q26 3568m FY25 return on tangible equity 18%* YTD combined ratio 85% YTD * When bank & insurance taxes are evenly spread throughout the year and excluding one-offs 484k converted Kate leads (during last 12 months)
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22 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality MREL Funding MREL & Funding Profit Loss Profit & Loss BU view BU view Sustainability Sustainability Looking forward Looking forward BU view (slide 23-36) • Belgium BU • Czech Republic BU • International Markets BU • Slovakia • Hungary • Bulgaria • Group Centre BU • Company profile • KBC strategy • Sustainability • Asset quality • MREL & funding Navigate quickly to this content by using the below tabs in the digital version of this presentation Supplemental information & disclosures Annexes (slide 37-65)
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23 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward Looking forward 281 607 589 674 317 747 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 Belgium BU (1) | Net result NET RESULT in m EUR • The quarter was marked by higher net interest income, higher net fee and commission income, lower sales of non-life and life insurance products, better net result from financial instruments at fair value & IFIE, higher dividend income, lower net other income, lower operating expenses (due almost entirely to lower bank & insurance taxes and the one-off profit bonus in 1Q26), lower insurance service expenses after reinsurance and lower net impairment charges ROAC 1H26 21% 63% of Allocated Capital
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24 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Belgium BU (2) | Net interest income 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 1.87% 1.92% 1.88% 1.98% 1.97% 2.06% * Non-annualised ** Loans to customers, excluding reverse repos *** Customer deposits, excluding debt certificates and repos, but including customer savings certificates. Excluding the volatility in the foreign branches of KBC Bank (included in BE BU), customer deposits rose by 2% both q-o-q and y-o-y Growth figures are excluding FX, consolidation adjustments and reclassifications • Increased by 9 bps q-o-q and by 14 bps y-o-y for the reasons mentioned on net interest income and an increase in the interest-bearing assets (denominator), both q-o-q and y-o-y • +11% q-o-q, due mainly to: • Higher commercial transformation result • Higher lending income (loan volume growth and positive impact of higher number of days was partly offset by margin pressure on the outstanding loan portfolio) • Sharply higher NII on inflation-linked bonds (+57m EUR q-o-q, from -12m EUR in 1Q26 to +45m EUR in 2Q26) • +18% y-o-y due mainly to sharply higher commercial transformation result, higher lending income (loan volume growth partly offset by margin pressure on the outstanding loan portfolio), higher NII on inflation-linked bonds, higher NII on term deposits, higher dealing room NII and higher NII from short-term cash management ORGANIC VOLUME TREND Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 136bn 49bn 155bn Growth q-o-q* +3% +1% +1% Growth y-o-y +6% +3% +2% NET INTEREST INCOME in m EUR NET INTEREST MARGIN in % 830 900 898 956 961 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 1,064
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25 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Belgium BU (3) | Credit margins in Belgium 0.0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 0.9 1.0 1.1 1.2 1.3 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q15 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 1Q23 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 4Q24 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 0.9 1.0 1.1 1.2 1.3 1.4 1.5 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q15 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q23 2Q25 3Q25 4Q25 1Q26 2Q26 SME and corporate loans Mortgage loans 1Q25 PRODUCT SPREAD ON CUSTOMER LOAN BOOK | OUTSTANDING in % PRODUCT SPREAD | NEW PRODUCTION in %
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26 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Belgium BU (4) | Other income lines & cross-selling NET FEE & COMMISSION INCOME in m EUR • The 2% higher q-o-q net F&C income was mainly the result of higher management & entry fees, higher securities-related fees and higher fees from credit files & bank guarantees, partly offset by lower payment- related fees and higher distribution fees paid for mutual funds • The 12% higher y-o-y net F&C income was driven chiefly by higher management & entry fees, higher network income, higher securities- related fees and higher fees from credit files & bank guarantees, partly offset by lower payment-related fees and higher distribution fees paid for mutual funds • Insurance sales: 1,081m EUR • Non-life sales (411m EUR) +6% y-o-y, due to premium growth in all classes, due to a combination of volume and tariff increases • Life sales (670m EUR) fell by 35% q-o-q and rose by 31% y-o-y o The q-o-q decrease was due mainly to sharply lower sales of unit-linked products (as the result of a successful launch of structured emissions in Belgium and commercial actions in 1Q26) and lower sales of guaranteed- interest products (due a.o to traditionally higher volumes in tax-incentivised pension savings products in 1Q and 4Q) o The y-o-y increase was driven by sharply higher sales of unit-linked products and higher sales of guaranteed-interest products • Combined ratio amounted to an excellent 83% in 1H26 (86% in 1H25) MORTGAGE-RELATED CROSS-SELLING RATIOS in % ASSETS UNDER MANAGEMENT • 288bn EUR • Increased by 10% q-o-q due to net inflows (+1%) and positive market performance (+10%) • Increased by 16% y-o-y due to net inflows (+3%) and positive market performance (+13%) INSURANCE 454 430 458 469 474 481 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 49.5% 2018 2019 2020 2021 2022 2023 2024 2025 95.5% 63.7% 87.2% 2004 1H26 Property insurance Life insurance 2017
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27 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Belgium BU (5) | Opex & impairments OPERATING EXPENSES in m EUR • Opex (including costs directly attributable to insurance, but excluding bank & insurance taxes): -1% q-o-q and +2% y-o-y • -1% q-o-q as lower staff costs (due entirely to one-off profit bonus in 1Q26) and lower professional fee expenses were only partly offset by seasonally higher marketing expenses and higher ICT costs • +2% y-o-y due chiefly to higher ICT costs, higher marketing costs and higher depreciations were only partly offset by lower staff costs and lower professional fee expenses • Cost/income ratio adjusted for specific items: 39% in 1H26 (43% in FY25) • Net loan loss impairment charges of 34m EUR in 2Q26 (compared with 111m EUR in 1Q26) due to: • 29m EUR net loan loss impairment charges (versus 51m EUR in 1Q26) • a 5m EUR net impairment charge for geopolitical & macroeconomic uncertainties (versus 60m EUR in 1Q26) • Credit cost ratio amounted to 16 bps including ECL buffer and 11 bps excluding ECL buffer in 1H26 (13 bps in FY25) • 26m EUR impairment on ‘other’ (software) • Impaired loans ratio amounted to 1.9%, 0.9% of which over 90 days past due ASSET IMPAIRMENT in m EUR 628 627 642 673 648 640 356 289 1Q25 0 2Q25 0 3Q25 0 4Q25 1Q26 2Q26 Bank & insurance taxes Operating expenses 984 627 642 673 937 643 3 67 60 53 31 51 29 17 14 60 -43 26 0 1Q25 2 2Q25 0 -7 3Q25 -3 4Q25 0 1Q26 2Q26 24 79 47 42 111 60 5 Other impairments ECL & mgmt. overlay for geopolitical and ME uncertainties Impairments on financial assets at AC and FVOCI
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28 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward Looking forward Czech Republic BU (1) | Net result • The quarter was marked by higher net interest income, higher net fee & commission income, higher sales of non-life and lower sales of life insurance products, higher net result from financial instruments at fair value & IFIE, lower net other income, lower costs (due entirely to lower bank & insurance taxes and the one-off profit bonus in 1Q26), higher insurance service expenses after reinsurance and lower impairments 207 240 244 231 223 272 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 NET RESULT in m EUR ROAC 1H26 35% 17% of Allocated Capital
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29 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Czech Republic BU (2) | Net interest income * Non-annualised ** Loans to customers, excluding reverse repos *** Customer deposits, excluding debt certificates and repos Growth figures are excluding FX, consolidation adjustments and reclassifications • Fell by 4* bps both q-o-q and y-o-y due mainly to an increase in the interest- bearing assets (denominator), both q-o-q and y-o-y • +1% q-o-q and +6% y-o-y (both excl. FX effect) • Q-o-q increase driven mainly by higher commercial transformation result and higher ALM result, partly offset by lower dealing room NII and lower NII on term deposits • Y-o-y increase, as much higher commercial transformation result, higher lending income, higher ALM result and lower costs on the minimum required reserves held with the central banks were only partly offset by lower NII on term deposits and lower dealing room NII 336 348 356 367 376 379 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 2.44% 2.44% 2.39% 2.36% 2.44% 2.41% ORGANIC VOLUME TREND Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 46bn 23bn 55bn Growth q-o-q* +3% +2% +1% Growth y-o-y +8% +6% +3% NET INTEREST INCOME in m EUR NET INTEREST MARGIN in % * rounding effect
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30 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward Czech Republic BU (3) | Other income lines & cross-selling • +5% q-o-q net F&C income excl. FX effect was mainly the result of higher payment-related fees, higher distribution fees received for mutual funds, higher network income, higher securities-related fees and higher fees from credit files & bank guarantees, partly offset by higher commissions paid linked to banking products • +15% y-o-y net F&C income excl. FX effect was mainly the result of higher distribution fees received for mutual funds, higher management & entry fees, higher payment-related fees, higher securities-related fees and higher fees from credit files & bank guarantees • Insurance sales: 219m EUR • Non-life sales (168m EUR) +10% y-o-y excl. FX, due to premium and volume growth in almost all classes • Life sales (51m EUR): o -5% q-o-q excl. FX due to lower sales of guaranteed-interest products and hybrid products o -23% y-o-y excl. FX due almost entirely to lower sales of hybrid products • An excellent combined ratio of 83% in 1H26 (83% in 1H25) • 23.9bn EUR • +9% q-o-q due to net inflows (+2%) and positive market performance (+7%) • +15% y-o-y due to net inflows (+10%) and positive market performance (+6%) 94 88 97 97 99 103 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 72% 2024 73% 2025 73% 1H26 64% 2024 63% 2025 63% 1H26 32% 2024 36% 2025 38% 1H26 Mortgage & Property Mortgage & Life risk Cons. finance & Life risk NET FEE & COMMISSION INCOME in m EUR MORTGAGE-RELATED CROSS-SELLING RATIOS* in % ASSETS UNDER MANAGEMENT INSURANCE * Restated numbers due to methodology change: external broker channels are excluded
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31 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward 231 234 249 251 256 251 25 23 1Q25 -4 2Q25 1 3Q25 1 4Q25 1Q26 0 2Q26 Bank & insurance taxes Operating expenses 256 230 250 253 280 252 Czech Republic BU (4) | Opex & impairments • Opex (incl. costs directly attributable to insurance and excl. bank & insurance taxes): -2% q-o-q and +5% y-o-y, excl. FX effect • -2% q-o-q due mainly to lower staff costs (due entirely to one-off profit bonus in 1Q26), lower ICT costs, lower professional fees and lower facility costs • +5% y-o-y was chiefly the result of higher staff costs, higher ICT costs, higher professional fee expenses, higher marketing expenses and slightly higher depreciations • Adjusted for specific items, C/I ratio amounted to 41% in 1H26 (42% in FY25) • Net loan loss impairment charges of 8m EUR in 2Q26 (compared with 33m EUR charges in 1Q26). Net loan loss impairment charges only amounted to 5m EUR (versus 12m in 1Q26), while the net impairment charge for geopolitical & macroeconomic uncertainties only amounted to 3m EUR (versus 22m EUR in 1Q26). Credit cost ratio amounted to 0.13% including ECL buffer and 0.07% excluding ECL buffer in 1H26 (0.10% in FY25) • Impaired loans ratio amounted to 1.2%, 0.7% of which over 90 days past due 14 13 19 12 5 22 3 0 6 00 1Q25 0-1 2Q25 1-1 3Q25 0 4Q25 0 1Q26 0 2Q26 14 12 0 26 33 8 Other impairments ECL & mgmt. overlay for geopolitical and ME uncertainties Impairments on financial assets at AC and FVOCI OPERATING EXPENSES in m EUR ASSET IMPAIRMENT in m EUR
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32 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward Looking forward International markets BU (1) | Highlights * Non-annualised ** Loans to customers, excluding reverse repos (and bonds). *** Customer deposits, excluding debt certificates and repos Growth figures are excluding FX, consolidation adjustments and reclassifications NET RESULT in m EUR • Higher net interest income. NIM of 3.14% in 2Q26. Excluding 365.bank and Business Lease SK, NIM amounted to 3.08% (+10 bps q-o-q and +7 bps y-o-y) • Higher net fee and commission income • Lower FIFV & IFIE result and lower net other income • Higher non-life and life insurance sales • A combined ratio of 91% in 1H26 (89% in 1H25). Excluding the significant windfall tax on insurance in Hungary, the combined ratio amounted to 87% in 1H26 (85% in 1H25) • Lower operating expenses due entirely to lower bank & insurance taxes • Higher net impairment charges Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 40bn 17bn 42bn Growth q-o-q* +3% +4% +3% Growth y-o-y +12% +15% +12% ORGANIC VOLUME TREND 34 25 31 17 45 47 35 122 112 116 84 9066 90 94 72 -30 103 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 Bulgaria Hungary Slovakia 135 237 237 205 99 240 ASSETS UNDER MANAGEMENT • 16.6bn EUR (+16% q-o-q and +44% y-o-y) HIGHLIGHTS (Q-O-Q) ROAC 1H26 20% 20% of Allocated Capital
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33 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward International markets BU (2) | Slovakia • Higher net interest income due mainly to higher commercial transformation result and higher NII on term deposits • Higher net fee & commission income driven mainly by higher distribution fees linked to insurance, higher payment-related fees and higher fees from credit files & bank guarantees • Lower FIFV & IFIE result • Higher net other income • Lower non-life insurance sales and higher life insurance sales • An improvement of the combined ratio (from 94% in 1H25 to 92% in 1H26) as higher MTPL claims (due to inflation) were offset by higher tariffs, next to a positive claims evolution in casco and SME • Lower operating expenses excluding bank & insurance taxes • 13m EUR net loan loss impairment charges in 2Q26 (8m EUR in 1Q26). Credit cost ratio of 0.26% in 1H26 (like-for-like 0.04% in 1H26 versus 0.05% in FY25) HIGHLIGHTS (Q-O-Q) • Total customer loans rose by 3% q-o-q and by 9% y-o-y (the latter due to good growth in all segments) • Total customer deposits rose by 5% q-o-q (due mainly to the corporate segment) and by 13% y-o-y (due to retail and corporate segments) 34 25 31 17 45 47 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 NET RESULT in m EUR VOLUME TREND * Non-annualised ** Loans to customers, excluding reverse repos (and bonds). *** Customer deposits, excluding debt certificates and repos Growth figures are excluding FX, consolidation adjustments and reclassifications ORGANIC VOLUME TREND Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 17bn 10bn 13bn Growth q-o-q* +3% +3% +5% Growth y-o-y +9% +8% +13% ROAC 1H26 16% 7% of Allocated Capital
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34 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward International markets BU (3) | Hungary • Higher net interest income excluding FX effect due mainly to higher commercial transformation result, higher lending income and a 4m EUR positive one-off (partial reversal of loan interest subsidy correction of -10m EUR in 1Q26) • Higher net fee and commission income excluding FX effect driven mainly by higher network income, higher fees from payment services and higher distribution fees received for mutual funds and other banking products • Stable FIFV & IFIE result • Lower net other income due mainly to a 29m EUR positive one-off as a result of a legal case in 1Q26 • Lower non-life insurance sales and higher life insurance sales (the latter due to a commercial campaign for unit-linked products) • A combined ratio of 103% in 1H26 (94% in 1H25) due mainly to windfall tax on insurance. Excluding this windfall tax, the combined ratio amounted to 93% in 1H26 (84% in 1H25) due mainly to higher MTPL and casco claims • Operating expenses excluding FX effect and bank & insurance taxes rose by 1% q-o-q due mainly to higher depreciations • Total customer loans rose by 6% q-o-q and by 15% y-o-y due to growth in all segments • Total customer deposits evolved by +2% q-o-q and +11% y-o-y (the latter due to growth in all segments) 35 122 112 116 -30 90 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 HIGHLIGHTS (Q-O-Q) NET RESULT in m EUR VOLUME TREND * Non-annualised ** Loans to customers, excluding reverse repos (and bonds) *** Customer deposits, excluding debt certificates and repos Growth figures are excluding FX, consolidation adjustments and reclassifications ORGANIC VOLUME TREND Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 9bn 3bn 12bn Growth q-o-q* +6% +7% +2% Growth y-o-y +15% +29% +11% ROAC 1H26 13% 6% of Allocated Capital • 5m EUR net loan loss impairment charges in 2Q26 (versus 12m EUR in 1Q26). Credit cost ratio of 0.31% in 1H26 (0.06% in FY25) • 42m EUR modification losses, related to the current uncertainty regarding the lifetime extension of the interest cap regulation (of which part might be recovered in the coming quarters)
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35 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity BU view BU view Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward International markets BU (4) | Bulgaria 66 90 94 72 84 103 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 • Higher net interest income due mainly to higher commercial transformation result and higher ALM result • Higher net fee and commission income driven mainly by higher payment-related fees and higher management fees • Higher net other income • Higher non-life and lower life insurance sales • An excellent combined ratio of 80% in 1H26 (83% in 1H25) • Lower operating expenses excluding bank & insurance taxes due mainly to lower staff costs (due entirely to the one-off profit bonus in 1Q26) and lower facility costs • 9m EUR net loan loss impairment charges (versus 8m EUR in 1Q26). Credit cost ratio of 0.26% in 1H26 (0.40% in FY25). • 1m EUR impairment on ‘other’ (software) • Total customer loans rose by 1% q-o-q and by 13% y-o-y (the latter due to growth in all segments) • Total customer deposits rose by 2% q-o-q (due to growth in the corporate & retail segment) and by 12% y-o-y (due to growth in the retail & SME segments) HIGHLIGHTS (Q-O-Q) NET RESULT in m EUR VOLUME TREND * Non-annualised ** Loans to customers, excluding reverse repos (and bonds) *** Customer deposits, excluding debt certificates and repos Growth figures are excluding FX, consolidation adjustments and reclassifications ORGANIC VOLUME TREND Total loans** o/w retail mortgages Customer deposits*** Volume (EUR) 13bn 4bn 16bn Growth q-o-q* +1% +6% +2% Growth y-o-y +13% +21% +12% ROAC 1H26 31% 7% of Allocated Capital
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36 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Looking forward Looking forward Group Centre BU | Highlights NET RESULT in m EUR HIGHLIGHTS (Q-O-Q) • The q-o-q more negative result of Group Centre was attributable mainly to: • Lower net interest income • Worse insurance result after reinsurance • Lower FIFV & IFIE result • Higher operating expenses excluding bank & insurance taxes • Lower impairment reversals partly offset by: • Higher dividend income -77 -65 -68 -107 -82 -106 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26
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37 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Company profile | KBC Group in a nutshell (1) Diversification Synergy Customer Centricity 47% 50% 49% 51% 50% 50% 48% 53% 50% 51% 49% 50% 50% 52% 2020 2021 2022 2023 2024 2025 1H26 Other income Net interest income Diversified and strong business performance KBC GROUP TOPLINE DIVERSIFICATION in % • geographically … • Mature markets (BE, CZ) combined with growth markets (SK, HU, BG) • Robust market position in all key markets & strong trends in loan and deposit growth • … and from a business point of view • An integrated bank-insurer • Strongly developed & tailored AM business • Strong value creator with good operational results through the cycle • Unique selling proposition: in-depth knowledge of local markets and profound relationships with clients • Integrated model creates efficiency gains and results in a complementary & optimised product offering • Broadening ‘one-stop shop’ offering to our clients • We are a leading European financial group with a focus on providing bank- insurance products and services to retail, SME and mid-cap clients, in our core countries: Belgium, Czech Republic, Slovakia, Hungary and Bulgaria • As a result of the withdrawal from Ireland, arising M&A opportunities beyond our core markets may be assessed (for approval of the Board of Directors) taking into account very strict strategic, financial, operational & risk criteria We want to be among Europe’s best performing financial institutions Firmly embedded sustainability strategy • As a company that aims to support the transition to a more sustainable and climate- proof society, we have made sustainability integral to our overall business strategy and integrated it into our day-to-day business operations and the products and services we provide • Our sustainability strategy consists of three cornerstones: encouraging responsible behaviour on the part of all our employees, increasing our positive impact on society and limiting any adverse social impact we might have
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38 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view 279 271 251 141 250 256 301 285 276 2017 2018 2019 2020* 2021 2022 2023 2024 2025 Company profile | KBC Group in a nutshell (2) * 11% when adjusted for the collective Covid-19 impairments ** When excluding the one-off items due to the pending sales transactions in Ireland *** Excluding one-offs **** When banking & insurance taxes are evenly spread throughout the year and excluding one-offs 16% 14% 8% 15% 13% 15% 14% 15% 16% 2018 2019 2020* 2021** 2022 2023*** FY24*** FY25*** 1H26**** * 202bps when adjusted for the collective Covid-19 impairments FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25* 1H26* 16.0% 17.1% 17.6% 15.5% 15.4% 15.2% 15.0% 14.9% 14.4% 10.94% Own Capital Requirement (OCR) * Adjusted for specific items NSFR 138% FY25 133% 1H26 LCR 159% FY25 158% 1H26 C/I ratio* 46% FY25 43% 1H26 combined ratio 87% FY25 85% 1H26 net result 3,568m FY25 1,709m 1H26 High profitability (IFRS 17 figures) Solid capital position RETURN ON EQUITY in % CET1 GENERATION BEFORE ANY CAPITAL DEPLOYMENT in bps CET 1 RATIO (FULLY LOADED, DANISH COMPROMISE) in % Robust liquidity * As of 2025, unfloored fully loaded CET1 ratio under Basel 4
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39 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view • Roughly 42% of KBC shares are owned by a syndicate of core shareholders, providing continuity to pursue long-term strategic goals. Committed shareholders include the Cera/KBC Ancora Group (co-operative investment company), the Belgian farmers’ association (MRBB) and a group of Belgian industrialist families • The free float is held mainly by a large variety of international institutional investors Company profile | KBC Group in a nutshell (3) KBC Ancora 4.0% Cera MRBB Other core 5.0% Treasury shares Free float 18.6% 12.4% 7.0% 53.0% The Board of Directors decided: • the dividend policy as from 2025: • A payout ratio (including AT1 coupon) between 50%-65% of consolidated profit of the accounting year. • An interim dividend of 1 EUR per share in November of each accounting year as an advance on the total dividend • the capital deployment policy as from 2025: • KBC aims to be amongst the better capitalised financial institutions in Europe • Each year (when announcing the full year results), the Board of Directors will take a decision, at its discretion, on the capital deployment. The focus will predominantly be on further organic growth and M&A • KBC sees a 13% unfloored fully loaded CET1 ratio (*) as the minimum • KBC will fill up the AT1 and Tier 2 buckets within P2R and will start using SRTs (as part of RWA optimisation program) Dividend policy & capital distribution Shareholder structure (as at end 2Q26) (*) fully loaded Basel 4 CET1 ratio excluding output floor impact
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40 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Company profile | Well-defined core markets 1.0% 2025 0.6% 2026e 1.1% 2027e GDP GROWTH in %, KBC Economics of assets clients branches 62% 4.1m 420 MARKET SHARE in %, end 2025 136bn EUR loans 155bn EUR deposits 2.7% 2025 2.1% 2026e 2.1% 2027e of assets clients branches 24% 4.3m 196 20% 23% 9% 10% loans and deposits investment funds life insurance non-life insurance 0.8% 0.6% SK 1.2% 0.4% 1.5% HU 2.5% 3.2% 2.6% BG 2.4% of assets clients* branches* 6% 0.8m 97 12% L&D 8% funds 5% life 5% non- life 17bn EUR loans 13bn EUR deposits SK of assets clients branches 4% 1.7m 188 HU of assets clients branches 5% 2.2m 170 BG 9bn EUR loans 12bn EUR deposits 13bn EUR loans 16bn EUR deposits 62% debt/GDP 75% debt/GDP 27% debt/GDP 21% 27% 13% 9% loans and deposits investment funds life insurance non-life insurance 11% L&D 11% funds 4% life 7% non- life 19% L&D 15% funds 25% life 13% non- lifeSK* HU BG* GDP GROWTH in %, KBC Economics GDP GROWTH in %, KBC Economics MARKET SHARE in %, end 2025 MARKET SHARE in %, end 2025 Belgium BU International Markets BUCzech Republic BU 107% debt-to-GDP ratio 46bn EUR loans 55bn EUR deposits 44% debt-to-GDP ratio * excl 365.bank
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41 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Strategy | S.T.E.M.: the ecosphere • We place our clients at the centre of everything we do. • We look to offer our clients a unique bank-insurance experience. • We focus on our group’s long-term development and aim to achieve sustainable and profitable growth • We assume our role in society and local economies • We implement our strategy within a strict risk, capital and liquidity management framework As part of our PEARL+ business culture, we focus on jointly developing solutions, initiatives and ideas within the group Our strategy rests on the following principles:
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42 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Strategy | Powered by PEARL ‘Why would you build exactly the same thing in your country, when you have the solution next door?’ Johan Thijs
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43 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Strategy | Bank-insurance We move beyond traditional bank-insurance towards bank-insurance, providing not only traditional bank-insurance solutions but also less traditional non-financial solutions that impact the financial wellness of retail customers or the future of their business Data driven organization: fully integrated digital first distribution approach based on a solution driven and AI enabled bank-insurance Acting as a single operational company: bank and insurance company working under unified governance, realizing commercial and non-commercial synergies Acting as a single operational company: bank and insurance company working under unified governance, realizing commercial synergies Bank branches sell insurance products from intra-group insurance companies as additional source of income Bank branches sell insurance products of third-party insurers as additional source of income
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44 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view The performance diamond defines, within the limits of the risk management framework, the targets for KBC Group and for all the business units for 4 performance dimensions: Strategy | The KBC performance diamond
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45 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Personalised & data driven The interaction between the customer and Kate will be triggered by data analysis (approval granted by customer). Kate will be trained on the basis of the customer’s profile, preferences and activities Relevant & valuable offer Kate will only propose offers where sufficient added value is shown or when she can serve the client in an important moment in the client's live At the right time Lead journeys driven by time or location are preferably taken care of by Kate, as notifications linked to a specific location or specifying moment in time are perceived as highly personal Digital first & E2E We will offer the client a frictionless End2End digital process and in doing so make bank/insurance simple and hassle free Serving: secure & frictionless Kate will help the client saving time and/or money, focusing more on the convenience factor. Kate will also serve the client regarding security and fraud Volume We want all our clients to meet Kate as much as possible. Kate will allow us to reach out to a sufficient volume of clients, in terms of transactions and in terms of number of targetable audience Kate | KBC’s hyper personalised and trusted digital assistant ‘No hassle, no friction, zero delay’ Johan Thijs
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46 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Kate | Four flavours, one Kate Kate is a personal virtual assistant that engages with our retail, self-employed and mSME customers to save them time and money. Kate engages both in a reactive way (You2Kate) and a proactive way (Kate2You). Kate is available in all KBC’s core countries*! Kate4Retail & mSME Kate also engages with our SME and corporate clients and provides them relevant support and actionable insights. Already available in BE, CZ and BG. Further roll-out planned in SK and HU. We do not build Kate for every country individually. Kate is built once at a group level and then deployed to all core countries (Kate in a box). Technically, we have set up a shared infrastructure on the cloud that allows us to share use cases, code and IT components maximally. Furthermore, KBC strives to have a common user interface and persona, so Kate looks and feels the same everywhere. Finally, this common infrastructure allows Kate to harness the power of LLM’s to interpret the user intent and deliver natural responses Kate also has an impact on our employees: Kate provides commercial steering towards our workforce, she augments them to better serve our clients and supports them in their administrative tasks. In doing so, employees can focus on providing even more added value to our client. Kate gives tools to management to better coach employees and plan ahead. Kate4Business Kate Group Platform Kate4Commercial Employees KATE autonomy 77% BE 75% CZ 6.2 million users in contact with Kate ‘KATE IN A BOX’ delivered to all core countries 484k converted Kate leads (1y) * Kate 2.0 is launched in Belgium, Kate 1.0 in the other core countries
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47 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Kate | A data-driven organisation with Kate at the core Kate is more than an interface towards customers. It also refers to the AI-enhanced software at our center: the Kate brain. The Kate brain will be the driving force behind data-driven decision making, product design and development, marketing, commercial and sales steering and much more. So, Kate is not only steering the interaction with customer-facing touchpoints (digital, physical, remote) but also the product factories and decision makers by providing relevant insights. The Kate brain is fed by our own banking and insurance data-sources but also by data sources from third party services, resulting in seamlessly integrated, instant (STP) and scalable processes. Very important in this are the feedback loops from all interactions to make sure Kate is learning and getting smarter, resulting in better decision making. The main purpose remains the same: happy customers. As a data-driven company we remain guided by our client-centric vision. Another upside of being AI-powered and solution-driven, is that we not only save time (cost reductions), not only for the customer, and we improve our sales efforts through better sales productivity.
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48 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view Kate | From basic chatbot to hyper-personal digital assistant LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 … Level 4: Kate offers hyper-personal solutions at the right time Level 3: Kate proactively offers actionable end-to-end solutions to unburden customers (to save time and earn money) Level 2: Kate reactively offers digital end-to-end solutions to customers Level 1: A chatbot answers basic questions from customers on day-to-day bank-insurance needs Basic Q&A End2end solutions Proactive & relevant Hyper- personal & contextual Sales effectiveness, operational efficiency, enhanced customer experience Powered by AI driven and automated lead life cycle management
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49 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view • No hassle, no frills, zero-delay customer experience • Proactive personalized financial solutions via DATA and AI • Re-design & automation of all processes • Bank-insurance • Digital lead management: from data driven to solution driven • Group-wide collaboration Strategy | Translating strategy into non-financial targets Maximise customer experience Customer NPS ranking Further enhance bank- insurance Bank-insurance customers Outperform on operational efficiency STP score Go for Digital First Digital sales
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50 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Looking forward Looking forward Sustainability Sustainability MREL Funding MREL & Funding BU view BU view • KBC is 3rd in customer NPS (Net Promoter Score) ranking based on weighted avg of ranking in five core countries • Target is to remain the reference (i.e. Top-2 score on group level) Strategy | KBC’s non-financial targets (2023-2026) Top-3 Top-3 Top-3 Top-2 2023 2024 2025 2026 * Based on analysis of all retail processes. The STP ratio measures how many of the services that can be offered digitally are processed without any human intervention and this from the moment of interaction by a client until the final approval by KBC. 58% 62% 65% 67% 68% 2023 2024 2025 1H26 2026 BI customers have at least 1 bank + 1 insurance product of our group. 76% 76% 76% 77% 83% 2023 2024 2025 1H26 2026 23% 23% 24% 25% 29% 2023 2024 2025 1H26 2026 Stable BI customers: at least 2 bank + 2 insurance products (Belgium: 3+3) 52% 55% 57% 60% 65% 2023 2024 2025 1H26 2026 26% 29% 30% 28% 35% 2023 2024 2025 1H26 2026 Target: Digital sales 65% of banking sales Target: Digital sales 35% of insurance sales * Based on weighted average of selected core products. Customer ranking Bank-insurance (BI) clients Straight-through processing STP SCORE* in % BI CLIENTS in % Digital sales BI STABLE CLIENTS in % DIGITAL SALES BANKING PRODUCTS* in % DIGITAL SALES INSURANCE PRODUCTS in % TARGET TARGET TARGET TARGET TARGET TARGET * *
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51 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Sustainability Sustainability Asset quality Asset quality Profit Loss Profit & Loss MREL Funding MREL & Funding Looking forward Looking forward BU view BU view KBC’s ESG ratings and indices are ahead of the curve Agency ESG rating end-of-year 2025 Position versus industry AD- • Leader in addressing climate change • CDP’s A list for Climate • B-score on Forests and Water Security • Score date: December 10, 2025 A 1000 73 • Top 9% • 91st percentile of 642 banks assessed • Score date: September 25, 2025 Negligible RiskMedium RiskSevere Risk High Risk Low Risk 10.2 • 3rd percentile of 214 diversified banks assessed • Score date: September 23, 2025
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52 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Sustainability Sustainability Asset quality Asset quality Profit Loss Profit & Loss MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Sustainability highlights (FY2025) Commitment to the environment New thematic White Papers on Water We have written two new cross-sectoral White Papers on Water Stress and Water Pollution because KBC has identified ‘water’ as a material topic. 500-million-euro Green Bond issue In 2025, KBC Group issued its fifth Green Bond to strengthen its funding base and to support projects that make a positive environmental impact – such as energy-efficient buildings, renewable energy and clean transportation. 2025 interim targets achieved In 2025, the GHG intensity of the equity and corporate bond investment portfolio of KBC Insurance consolidated was 76% below the 2019 level, significantly exceeding the ambition of a reduction by 25%. Secondly, 51% of direct client money managed by KBC Asset Management was invested in Responsible Investment funds, surpassing our interim target of 45%. 12 climate targets for our lending portfolio KBC’s Climate Dashboard shows that we are on track to meet our climate alignment benchmarks for 9 out of 12 targets. Progress on reaching the climate targets is monitored each quarter at the highest management levels, based on forecasting models, an evaluation of the volumes and, increasingly, also on the emission intensity of new loans granted. Sustainable business 100 million euros of investment by KBC Group to strengthen the Belgian start-up ecosystem through Start it @KBC Start it @KBC, in partnership with KBC Securities, helps Belgian start-ups from ideation to going public (Initial Public Offerings, IPOs), fostering innovation and entrepreneurship. 64.4 billion euros in Responsible Investing funds Responsible Investing funds include Responsible funds, ECO-themed funds and Impact Investing funds. Eco Fund Water celebrated its 25th anniversary in 2025. 34 billion euros in loans with environmental objectives In 2025, KBC financed 4.2 billion euros in renewable energy, 28.1 billion euros in mortgages for energy-efficient homes and 1.7 billion euros for low-carbon vehicles, including bikes. The volume of such loans grow faster than the overall portfolio. Expanded customer engagement through digital tool integrations We engage with our clients on a variety of topics with respect to customers’ sustainability transition. To support our business and retail clients in their journey, we offer advisory services or free tools – both as stand-alones and integrated into our KATE personal digital assistant. Social responsibility 33 000 employees participated in the 2025 Team Blue Challenge KBC employees undertook volunteer work in 1 000 non-profit organisations and gave over 3 000 blood and plasma donations. Also, approximately 18 500 employees completed certified first aid-training, demonstrating our commitment to health and safety in all our countries. Commitment to diversity and inclusion In 2025, KBC set a group-wide target to promote gender balance, aiming for at least 40% representation of the underrepresented gender in recruitment, talent pools and promotions to leadership positions (except the ExCo and Board). Integrating Just Transition considerations into sectoral White Papers We introduced a Just Transition perspective in our Transport White Paper and will include Just Transition considerations in future sectoral and thematic White Papers to better understand and address the social impacts of the transition across industries and regions. 8.25 billion euros in social sectors and tailored social targets in all our core countries In 2025, we provided 6.91 billion euros in financing to the healthcare and senior living sectors and 1.34 billion euros to the education sector. We also set social targets focusing mainly on financial health and literacy across all our core countries.
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53 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Sustainability Sustainability Asset quality Asset quality Profit Loss Profit & Loss MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Our commitment to the environment in 2025 (1) Our own environmental footprint • We have been diligently measuring our environmental footprint to better understand and mitigate our impact. Since 2015, we have been calculating the GHG emissions arising from our own operations at group level, in accordance with the GHG Protocol Corporate Accounting and Reporting Standard. These calculations provide insight into and help identify the main sources of our direct impact on climate. • Central to our strategy for our own environmental footprint is our commitment for reducing our negative impact while simultaneously enhancing our positive contributions: • We set group-wide GHG reduction targets in 2016 to reduce our negative environmental impact, and we have tightened them over the years; • We amplify our positive contributions as we aim, for instance, to make a significant positive difference through initiatives like recycling and circularity; • Since 2021, we have been offsetting own footprint emissions that cannot yet be eliminated. In this way, we aim to achieve net climate neutrality with respect to our own footprint target scope. • In 2025, 100% of our purchased electricity came from renewable sources. -70%2025 -80%Target by 2030 REDUCTION IN OUR OWN GHG EMISSIONS reduction compared to 2015 Product development and service offering • We want to contribute to environmental objectives and support our clients in their sustainability transitions through the products and services we offer. • As such, we support our clients with ‘green’ and ‘social’ loan products: • Looking at it in a broad way, 11% of our total loan portfolio is classified as ‘green’ and 4% as ‘social’. • Our 2025 Taxonomy Aligned percentage, our Green Asset Ratio (GAR) in 0.9%, compared to 0.5% in 2024. • The GAR under the new methodology (introduced by the Omnibus simplification package) would amount to 4.0% in 2025. • Several parts of our lending portfolio contribute to environmental objectives. These are not aligned with EU Taxonomy criteria but do give an accurate picture of the trends in sustainable lending in our portfolio:
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54 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Sustainability Sustainability Asset quality Asset quality Profit Loss Profit & Loss MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Our commitment to the environment in 2025 (2) Our commitment to sustainability goes beyond our direct operations. Our Sustainable Finance Programme is dedicated to addressing our indirect environmental impact, which encompasses the broader effects of our lending, investing and insurance activities. • Related to our lending activities, we have: - been estimating the financed emissions of our entire lending portfolio since 2021. Since 2024, the calculations of the financed emissions of our loan portfolio have been verified through the assurance or our Sustainability Statement in the KBC Annual Report (adhering to CSRD); - enhanced our biodiversity impact and dependency analysis by leveraging the updated ENCORE database and refining our calculation methodology; - conducted a pilot review for counterparties involved in the production of forest commodities; - set intermediate climate targets for 2030 and long-term targets for 2050 for a subset of our White Paper (sub-)sectors. The scope of our existing climate targets currently covers about 63% of our total Scope 1 and 2 emissions. Alignment indicators per scope and product line For financial year 2025, a new target baseline was set for the two Real Estate KPIs to improve data and measurement quality. KBC cannot restate the 2024 value. However, the 2030 intermediate target has been set by keeping the reduction ambition from our initial target constant (up to 2050) but applied to the new baseline. • Related to our investing activities, we aim to reduce the GHG intensity of our investment portfolios. This is true for both the investments we make on behalf of our clients and our own investments. • For our insurance business, we have again calculated the alignment of our Non-Life insurance portfolio with the EU Taxonomy criteria for climate change adaptation. Currently, 77 million euros of the gross written premium (GWP) complies with these stringent criteria (43 million euros in 2024). More details can be found in our 2025 Sustainability Report Our indirect environmental impact
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55 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Loan loss experience at KBC 1H26 FY25 FY24 FY23 FY22 FY21 FY20 FY19 AVERAGE ‘99 –’25 Belgium BU 0.16% 0.13% 0.19% 0.06% 0.03% -0.26% 0.57% 0.22% n/a Czech Republic BU 0.13% 0.10% -0.09% -0.18% 0.13% -0.42% 0.67% 0.04% n/a International Markets BU* 0.27% 0.18% -0.08% -0.06% 0.31% 0.36% 0.78% -0.07% n/a Total 0.17%* 0.13% 0.10% 0.00% 0.08% -0.18% 0.60% 0.12% 0.35% * Like-for-like (excluding 365.bank) without ECL & management overlay for geopolitical & macroeconomic uncertainties , the CCR ratio amounted to 0.11% in 1H26 CREDIT COST RATIO in %; Credit cost ratio: amount of losses incurred on troubled loans as a % of total average outstanding loan portfolio
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56 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Diversified loan portfolio • Aligned with the credit risk view of our loan portfolio outstanding as reported in the quarterly financial statements. Distribution Real Estate Finance and insurance Building & construction Authorities Agriculture, farming & fishing Automotive Food producers Electricity Metals Chemicals Machinery & heavy equipment Shipping Hotels, bars & restaurants Oil, gas & other fuels Electrotechnics Beverages Other (< 0.5% share) Services 7.5% 7.0% 6.0% 4.9% 2.8% 2.6% 2.4% 1.9% 1.9% 1.5% 1.3% 0.9% 0.9% 0.8% 0.8% 0.6% 0.5% 3.6% 10.3% 51.9% Belgium 19.1% Czech Rep. 7.4%Slovakia 5.8% Bulgaria 4.9% Hungary 8.0% Other W-Eur 0.2% Other CEE 2.7% Other Mortgages Consumer Finance 36.6% 4.7% Retail SME & Corporate 41.3% Retail 21.6% SME 37.1% Corporate Total loan portfolio outstanding 243bn EUR* Group level Total loan portfolio outstanding Total loan portfolio outstanding | by segment as % of total Group loan portfolio outstanding* Total loan portfolio outstanding | by sector as % of total Group loan portfolio outstanding* Total loan portfolio outstanding | by geography as % of total Group loan portfolio outstanding*
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57 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Loan portfolio breakdown by IFRS 9 ECL stage * Aligned with the credit risk view of our loan portfolio as reported in the quarterly financial statements 11.5% 3.3% FY20 13.6% 2.9% FY21 19.9% 2.1% FY22 17.9% 2.1% FY23 7.8% 2.0% FY24 7.6% 1.8% FY25 7.7% 1.8% 1Q26 7.2% 1.8% 2Q26 Stage 2 Stage 3 • Drop of Stage 3 ratio over the years is driven mainly by the sale of the Irish loan portfolio • The increase of Stage 2 portfolio in 2022 resulted mainly from collective transfer to Stage 2 of Stage 1 portfolios, linked to the geopolitical and macroeconomic uncertainties (in line with strict application of the general ECB guidance on staging). In 2023, the declining trend of Stage 2 exposures was driven mainly by the partial release of the collective transfer back to Stage 1 • The decrease of the Stage 2 ratio in 2024 is mainly caused by a revised staging methodology as from January 2024 (change from indicator based on 12 months probability of default to lifetime), a continuous update of staging for credits deemed vulnerable (to the geopolitical and macroeconomic uncertainties or indirectly exposed to military conflicts, such as the one in Ukraine) and for the remainder by a shift for KBC Commercial Finance exposure where the relative change in credit risk has been revisited based on the very low historical credit losses in this portfolio and the very short maturities 2.3% FY20 2.2% FY21 1.9% FY22 2.0% FY23 2.0% FY24 1.8% FY25 1.8% 1Q26 1.9% 2Q26 2.3% FY20 1.8% FY21 1.7% FY22 1.4% FY23 1.3% FY24 1.3% FY25 1.3% 1Q26 1.2% 2Q26 6.9% FY20 5.7% FY21 1.9% FY22 1.8% FY23 1.6% FY24 1.7% FY25 2.0% 1Q26 1.9% 2Q26 Total loan portfolio outstanding | by IFRS9 ECL Stage* as % of total Group loan portfolio outstanding Stage 3 ratio | Belgium BU in % Stage 3 ratio | Czech Republic BU in % Stage 3 ratio | International Markets BU in %
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58 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Cover ratios 4.8% 44.7% FY20 2.2% 47.1% FY21 1.7% 47.1% FY22 1.4% 44.7% FY23 2.1% 47.4% FY24 1.9% 48.9% FY25 2.3% 48.8% 1Q26 2.5% 47.6% 2Q26 Stage 2 Stage 3 • The increasing trend of the Stage 3 cover ratio until the end of 2025 was driven mainly by additional provisions in Belgium, mostly related to lowering the backstop shortfall for (old) non-performing loans. • The decline of the Stage 2 cover ratio as of 2021, resulted mainly from collective shifts to Stage 2 (linked to Covid and the geopolitical & macroeconomic uncertainties) with on average better PD rating than the files already part of Stage 2. As of 2024, driven by the revised staging methodology and the continuous update of the stage transfer for credits deemed vulnerable (to the geopolitical and macroeconomic uncertainties or indirectly exposed to military conflicts, such as the one in Ukraine) the Stage 2 cover ratio has gone up. This is explained by the fact that the files remaining in Stage 2 have on average higher PD ratings and therefore higher impairments 45.6% FY20 42.6% FY21 39.6% FY22 38.3% FY23 42.4% FY24 45.8% FY25 44.7% 1Q26 42.6% 2Q26 48.7% FY20 49.4% FY21 44.7% FY22 45.2% FY23 43.5% FY24 44.6% FY25 43.5% 1Q26 44.1% 2Q26 34.4% FY20 43.4% FY21 49.4% FY22 43.2% FY23 46.1% FY24 45.2% FY25 50.3% 1Q26 51.0% 2Q26 Cover ratio | by IFRS9 ECL Stage* in % Stage 3 cover ratio | Belgium BU in % Stage 3 cover ratio | Czech Republic BU in % Stage 3 cover ratio | International Markets BU in % * Aligned with the credit risk view of our loan portfolio as reported in the quarterly financial statements
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59 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Substantial and well-diversified government bond portfolio • Carrying value of 72.9bn EUR in government bonds (excl. trading book) at end of 1H26, primarily as a result of a significant excess liquidity position and the reinvestment of insurance reserves in fixed-income instruments * Carrying value is the amount at which an asset (or liability) is recognised: for those not valued at fair value this is after deducting any accumulated depreciation (amortisation) and accumulated impairment losses thereon, while carrying amount is equal to fair value when recognised at fair value 23% 20% 7% 8% 5% 9% 5% 10% Belgium Czech Rep. Hungary Slovakia Bulgaria France Spain 0%Ireland 1% Poland 2% Italy 1% Germany 1% Austria 1% Netherlands 1% Portugal Other 72.9bn EUR 1H26 GOVERNMENT BOND PORTFOLIO | CARRYING VALUE* FY25/1H26 in % 22% 22% 7% 8% 6% 10% 4% 2% 10% Belgium Czech Rep. Hungary Slovakia Bulgaria France Spain 1%Ireland 1% Poland Italy 1% Germany 1% Austria 1% Netherlands 1% Portugal Other 67.4bn EUR FY25
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60 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality MREL Funding MREL & Funding Profit Loss Profit & Loss Sustainability Sustainability Looking forward Looking forward BU view BU view Indicative view on transitional RWA evolution under Basel IV (as provided with 1Q26 results) • With regards to Basel IV implementation, • applying a static balance sheet from 31DEC25, • accounting for 365.bank and Business Lease acquisitions pro forma, and • all other parameters ceteris paribus, without mitigating actions, KBC projects by 1JAN33, a further fully loaded impact of +5.3bn EUR ▪ Note that for the fully loaded CET1 ratio, KBC continues to reference the so called unfloored fully loaded CET1 ratio which accounts for the total RWA impact from Basel IV, excluding the output floor impact 31DEC25 incl. 365.bank/BL pro forma +1.8bn EUR Phase-in impact (2026-2033) +3.5bn EUR Output floor (2033) 1JAN33 Basel IV fully loaded +5.3bn EUR INDICATIVE TRANSITIONAL RWA ESTIMATE in bn EUR
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61 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality MREL Funding MREL & Funding Profit Loss Profit & Loss Sustainability Sustainability Looking forward Looking forward BU view BU view • The resolution plan for KBC is based on a Single Point of Entry (SPE) approach at KBC Group level, with bail-in as the preferred resolution tool • In April 2026, the SRB communicated binding MREL targets (under BRRD2) applicable as from 2Q26, expressed as a percentage of Risk Weighted Assets (RWA) and Leverage Ratio Exposure Amount (LRE) • The binding MREL targets (incl. CBR on top of the MREL target in % of RWA) are: • 27.51% of RWA (including transitional CBR* of 5.26%) • 7.46% of LRE in bn EUR in % of RWA in % of LRE Above resolution requirements in terms of MREL 16.9 3.5 2.5 19.6 1H26 42.5 12.4% 2.6% 1.8% 14.3% 1H26 31.1% 4.2% 0.9% 0.6% 4.9% 1H26 HoldCo senior T2 AT1 CET1 10.6% • The MREL ratio in % of RWA increased q-o-q from 30.7% in 1Q26 to 31.1% in 1H26, driven mainly by higher available MREL (chiefly due to higher CET1 capital, higher T2 capital (as a result of the external replacement of the intragroup T2 to KBC Insurance) and the issuance of a 1.3bn EUR new HoldCo Senior instruments, partly offset by the call of a 500m EUR HoldCo Senior instrument), partly offset by increased RWA • The MREL ratio in % of LRE increased q-o-q from 10.5% in 1Q26 to 10.6% in 1H26 driven by the increase of the available MREL, partly offset by higher LRE • Combined Buffer Requirement = Conservation Buffer (2.50%) + O-SII buffer (1.50%) + Countercyclical Buffer (1.16%) + Systemic Risk Buffer (0.10%) MREL targets MREL actuals
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62 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality MREL Funding MREL & Funding Profit Loss Profit & Loss Sustainability Sustainability Looking forward Looking forward BU view BU view Total outstanding 28.7bn EUR 15% Covered bonds 13% Subordinated T2 3%Subordinated T1 9% Senior unsecured OpCo 59% Senior unsecured HoldCo Upcoming mid-term funding maturities KBC Bank has 6 solid sources of long-term funding: (i) Retail term deposits, (ii) Retail EMTN, (iii) Public benchmark transactions, (iv) Covered bonds, (v) Structured notes and covered bonds using the private placement format, and (vi) Senior unsecured, T1 and T2 capital instruments issued at KBC Group level and down-streamed to KBC Bank. Note that next to KBC Group also KBC Insurance issued an external T2 capital instrument (kept at KBC Insurance level). • In May 2026, KBC Group issued a Senior HoldCo for an amount of 750m EUR with a 7-year maturity callable after 6 years (in green bond format) • In June 2026, KBC Group issued a Senior HoldCo for an amount of 500m GBP with a 6-year maturity callable in 5 years • In June 2026, KBC Insurance issued a Tier 2 for an amount of 500m EUR with a 10- year maturity We aim to issue 1 green/social bond per year Note: any change in regulatory requirements, RWA evolutions, MREL targets or market circumstances can change the current disclosed range 4.0 2.8 Plan 2026 Realised 2026 5.5 Range 4bn-5.5bn EUR % of KBC Group B/S 0.8% 0.8% 1.4% 0.7% 1.0% 1,2% 1,2% Total outstanding | 2Q26 in % Recent deals Funding maturity buckets in m EUR 0,000 1,000 2,000 3,000 4,000 5,000 6,000 2026 2027 2028 2029 2030 2031 >=2032 Senior Unsecured - Holdco Senior Unsecured - Opco Subordinated T1 Subordinated T2 Covered Bond Funding program for 2026 | Expected MREL funding (incl. capital instruments) in bn EUR
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63 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality MREL Funding MREL & Funding Profit Loss Profit & Loss Sustainability Sustainability Looking forward Looking forward BU view BU view Strong customer funding base • KBC Bank continues to have a strong retail/mid-cap deposit base in its core markets – resulting in a stable funding mix with a significant portion of the funding attracted from core customer segments and markets • Stable % in customer funding compared to balance sheet total (but net growth in customer funding in absolute terms) 6% 8% 2% 70% FY20 13% 1% 7% 8% 2% 69% FY21 8% 3% 6% 7% 3% 73% FY22 5% 1% 8% 8% 6% 72% FY23 4% 6% 8% 7% 4% 71% FY24 4% 2% 7% 8% 7% 71% FY25 13% 2% 8% 8% 5% 72% 1H26 5% Secured Funding 1% Debt issues placed at institutional relations Total Equity Certificates of deposit Customer funding Interbank Funding 87% 10% 3% 1H26 Government and PSE Mid-cap Retail and SME FUNDING BASE in % CUSTOMER FUNDING in % Roughly 57% of total customer deposits are covered by the Deposit Guarantee Fund
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64 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view Glossary B3 / B4 Basel III / Basel IV Combined ratio (non-life insurance) Short-term non-life insurance contracts: [claims and claim related costs net of reinsurance + costs other than claims and commis sions] / [earned expected premiums received, net of reinsurance] Common equity ratio [common equity tier-1 capital] / [total weighted risks] Cost/income ratio without banking and insurance tax (group) [operating expenses of the group without banking and insurance tax + Insurance commissions paid] / [total income of the group] Cost/income ratio adjusted for specific items or C/I ratio when excluding certain non- operating items The numerator and denominator are adjusted for (exceptional) items which distort the P&L during a particular period in order to provide a better insight into the underlying business trends. Adjustments include (i) MtM ALM derivatives (fully excluded), (ii) bank & insurance taxes (including contributions to European Single Resolution Fund) are included pro rata and hence spread over all quarters of the year instead of being recognised for the most part upfront (as required by IFRIC21) and (iii) one-off items Credit cost ratio (CCR) [annualised net changes in individual and portfolio-based impairment for credit risks] / [average outstanding loan portfolio]. Note that, inter alia, government bonds are not included in this formula. EBA European Banking Authority ESMA European Securities and Markets Authority ESFR European Single Resolution Fund FICOD Financial Conglomerates Directive Impaired loans cover ratio [total specific impairments on the impaired loan portfolio (stage 3) ] / [part of the loan portfolio that is impaired (PD 10-11-12) ] Impaired loans ratio [part of the loan portfolio that is impaired (PD 10-11-12)] / [total outstanding loan portfolio] Leverage ratio [regulatory available tier-1 capital] / [total exposure measures]. The exposure measure is the total of non-risk-weighted on and off-balance sheet items, based on accounting data. The risk reducing effect of collateral, guarantees or netting is not taken into account, except for repos a nd derivatives. This ratio supplements the risk- based requirements (CAD) with a simple, non-risk-based backstop measure Liquidity coverage ratio (LCR) [stock of high-quality liquid assets] / [total net cash outflow over the next 30 calendar days] MREL Minimum requirement for own funds and eligible liabilities Net interest margin (NIM) of the group [banking group net interest income excluding dealing room, ALM FX swaps and repos] / [banking group average interest-bearing assets excluding dealing room, ALM FX swaps and repos] Net stable funding ratio (NSFR) [available amount of stable funding] / [required amount of stable funding] PD Probability of default Return on allocated capital (ROAC) for a particular business unit [result after tax, including minority interests, of a business unit, adjusted for income on allocated capital instead of real capital] / [average capital allocated to the business unit]. The capital allocated to a business unit is based on risk-weighted assets for banking and risk-weighted asset equivalents for insurance Return on (tangible) equity [result after tax, attributable to equity holders of the parent] / [average parent shareholders’ (tangible) equity] TLAC Total loss-absorbing capacity
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65 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view 7 August Equity roadshow, London 27 August Debt conference, Amsterdam 2 September Equity roadshow, London 3 September Equity roadshow, Paris 8 September Equity roadshow, NY 9 September Equity roadshow, Toronto 9 September Equity conference, Paris 23 September Equity conference, London … … 12 November Publication of 3Q26 results 13 November Equity roadshow, London … … 11 February FY26 results + Topical event Contacts / questions • Company website KBC • Quarterly Report • Table of results (Excel) Quarterly Reports • Quarterly presentation • Debt presentation Presentations Johan Thijs KBC Group CEO Bartel Puelinckx KBC Group CFO Kurt De Baenst Investor Relations General Manager direct +32 2 429 35 73 mobile +32 472 500 427 kurt.debaenst@kbc.be Wouter Hertegonne Investor Relations Manager direct +32 2 448 52 43 mobile +32 497 949 507 wouter.hertegonne@kbc.be Martijn Schelstraete Investor Relations Manager direct +32 2 429 08 12 mobile +32 474 213 535 martijn.schelstraete@kbc.be More information Upcoming events
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66 of 66 Highlights Highlights Capital Liquidity Capital & Liquidity Company profile Company profile KBC Strategy KBC Strategy Asset quality Asset quality Profit Loss Profit & Loss Sustainability Sustainability MREL Funding MREL & Funding Looking forward Looking forward BU view BU view • This presentation is provided for information purposes only. It does not constitute an offer to sell or the solicitation to buy any security issued by the KBC Group. • KBC believes that this presentation is reliable, although some information is condensed and therefore incomplete. KBC cannot be held liable for any loss or damage resulting from the use of the information. • This presentation contains non-IFRS information and forward-looking statements with respect to the strategy, earnings and capital trends of KBC, involving numerous assumptions and uncertainties. There is a risk that these statements may not be fulfilled and that future developments differ materially. Moreover, KBC does not undertake any obligation to update the presentation in line with new developments. • By reading this presentation, each investor is deemed to represent that they possess sufficient expertise to understand the risks involved. Disclaimer