Interim report
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Consolidated Financial Statements of Alior Bank Spółka Akcyjna Group for the year ended 31 December 2025 This version of our report is a translation from the original, which was prepared in Polish language. All possible care has been taken to ensure that the translation is an accurate representation of the original. However, in all matters of interpretation o f information, views or opinions, the original language version of our report takes precedence over this translation.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0 ) 2 Table of Contents Consolidated income statement ........................................................................................................................................................................................................................................ 3 Consolidated statement of comprehensive income .................................................................................................................................................................................................... 3 Consolidated statement of financial position ................................................................................................................................................................................................................ 4 Consolidated statement of changes in equity .............................................................................................................................................................................................................. 5 Consolidated statement of cash flow .............................................................................................................................................................................................................................. 6 Notes to the consolidated financial statements ........................................................................................................................................................................................................... 7 1 Information about the Bank and the Group .................................................................................................................................................................................... 7 2 Basis of preparation of the financial statements ........................................................................................................................................................................11 3 Description of the material accounting policy informartion ....................................................................................................................................................11 4 Changes in accounting principles .....................................................................................................................................................................................................16 5 Operating segments ..............................................................................................................................................................................................................................18 Notes to consolidated income statement .....................................................................................................................................................................................................................20 6 Net interest income ................................................................................................................................................................................................................................20 7 Net fee and commission income .......................................................................................................................................................................................................23 8 The result on financial assets measured at fair value through profit or loss and FX result .......................................................................................26 9 The result on derecognition of financial instruments not measured at fair value through profit or loss ..............................................................26 10 Other operating income and expenses ...........................................................................................................................................................................................27 11 General administrative expenses .....................................................................................................................................................................................................27 12 Net expected credit losses ..................................................................................................................................................................................................................28 13 The result on impairment of non-financial assets ......................................................................................................................................................................29 14 Cost of legal risk of FX mortgage loans .........................................................................................................................................................................................30 15 Banking Tax ..............................................................................................................................................................................................................................................31 16 Income tax .................................................................................................................................................................................................................................................31 17 Earnings per share ..................................................................................................................................................................................................................................35 Additional information to the statement of financial position ..............................................................................................................................................................................35 18 Cash and cash equivalents ..................................................................................................................................................................................................................35 19 Amounts due from banks ....................................................................................................................................................................................................................36 20 Securities and derivatives ....................................................................................................................................................................................................................37 21 Hedge accounting ...................................................................................................................................................................................................................................44 22 Loans and advances to customers ...................................................................................................................................................................................................52 23 Tangible fixed assets and intangible assets .................................................................................................................................................................................73 24 Other assets ..............................................................................................................................................................................................................................................79 25 Assets pledged as colleteral ..............................................................................................................................................................................................................81 26 Amounts due to banks ..........................................................................................................................................................................................................................81 27 Amounts due to customers .................................................................................................................................................................................................................82 28 Financial liabilities held for trading ..................................................................................................................................................................................................83 29 Provisions ..................................................................................................................................................................................................................................................84 30 Other liabilities.........................................................................................................................................................................................................................................87 31 Debt securities issued ...........................................................................................................................................................................................................................88 32 Equity ..........................................................................................................................................................................................................................................................89 Other additional information .............................................................................................................................................................................................................................................92 33 Off-balance sheet items .......................................................................................................................................................................................................................92 34 Additional information to the cash flow statement ...................................................................................................................................................................96 35 Fair value ....................................................................................................................................................................................................................................................97 36 Transactions with related entities ................................................................................................................................................................................................. 104 37 Benefits for the for senior executives ........................................................................................................................................................................................... 108 38 Offsetting of financial assets and liabilities ............................................................................................................................................................................... 111 39 Legal claims ........................................................................................................................................................................................................................................... 112 40 Contigent liability................................................................................................................................................................................................................................. 116 Explanatory notes concerning risk ............................................................................................................................................................................................................................... 119 41 Credit Risk .............................................................................................................................................................................................................................................. 122 42 Interest rate risk ................................................................................................................................................................................................................................... 138 43 Foreign exchange risk (FX risk) ....................................................................................................................................................................................................... 142 44 Liquidity risk ........................................................................................................................................................................................................................................... 145 45 Operational Risk ................................................................................................................................................................................................................................... 152 46 Capital Management .......................................................................................................................................................................................................................... 154 Other……………….. ................................................................................................................................................................................................................................................................... 157 47 Events significant to the business operations of the Bank’s Group .................................................................................................................................. 157 48 Significant events after the end of the reporting period ....................................................................................................................................................... 158
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 3 Consolidated income statement Note number 01.01.2025 –31.12.2025 01.01.2024 –31.12.2024 Interest income calculated using the effective interest method 6 401 128 6 663 692 Income of a similar nature 516 622 570 025 Interest expense -1 782 859 -2 050 006 Net interest income 6 5 134 891 5 183 711 Fee and commission income 1 218 214 1 352 300 Fee and commission expense -312 492 -485 291 Net fee and commission income 7 905 722 867 009 Dividend income 89 322 The result on financial assets measured at fair value through profit or loss and FX result 8 30 520 33 998 The result on derecognition of financial instruments not measured at fair value through profit or loss 9 19 664 27 477 measured at fair value through other comprehensive income 18 062 26 889 measured at amortized cost 1 602 588 Other operating income 10 105 325 110 184 Other operating expenses 10 -185 366 -162 664 General administrative expenses 11 -2 295 428 -2 117 647 Net expected credit losses 12 -328 098 -403 762 The result on impairment of non-financial assets 13 -13 928 -1 729 Cost of legal risk of FX mortgage loans 14 -151 119 -59 355 Banking tax 15 -285 877 -279 667 Gross profit 2 936 395 3 197 877 Income tax 16 -569 347 -752 855 Net profit 2 367 048 2 445 022 Net profit attributable to equity holders of the parent 2 367 048 2 445 022 Weighted average number of ordinary shares 130 553 991 130 553 991 Basic/diluted earnings per ordinary share (in PLN) 17 18.13 18.73 Consolidated statement of comprehensive income Note number 01.01.2025 –31.12.2025 01.01.2024 –31.12.2024 Net profit 2 367 048 2 445 022 Other comprehensive net income, that may be reclassified to the income statement once the relevant conditions have been met 604 550 92 279 Exchange rate differences from the conversion of entities operating abroad -256 -1 996 Results of the measurement of financial assets (net) 247 990 -10 323 Gain/loss from fair value measurement 20 262 620 11 457 Gain/loss reclassified to profit or loss after derecognition -14 630 -21 780 Results on the measurement of hedging instruments (net) 356 816 104 598 Gain/loss from fair value measurement of financial instruments hedging cash flows in the part constituting an effective hedge 21 154 577 -243 391 Gain/loss on financial instruments hedging cash flows reclassified to profit or loss 202 239 347 989 Total comprehensive income, net 2 971 598 2 537 301 - attributable to shareholders of the parent company 2 971 598 2 537 301
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 4 Consolidated statement of financial position ASSETS Note number 31.12.2025 31.12.2024 Cash and cash equivalents 18 4 062 914 2 123 351 Amounts due from banks 19 2 203 109 1 821 581 Securities and derivatives 20 26 509 328 23 602 885 measured at fair value through other comprehensive income 22 542 955 21 204 007 measured at fair value through profit or loss 370 637 240 942 measured at amortized cost 3 595 736 2 157 936 Derivative hedging instruments 21 659 589 274 711 Loans and advances to customers 22 65 451 458 62 735 968 Assets pledged as collateral 25 0 18 029 Property, plant and equipment 23 829 108 697 757 Intangible assets 23 550 991 471 899 Income tax asset 16 724 098 823 185 current income tax asset 45 812 0 deferred income tax asset 678 286 823 185 Other assets 24 784 410 724 121 TOTAL ASSETS 101 775 005 93 293 487 LIABILITIES AND EQUITY Note number 31.12.2025 31.12.2024 Amounts due to banks 26 589 204 160 125 Amounts due to customers 27 82 620 585 76 936 600 Financial liabilities held for trading 28 327 124 196 450 Derivative hedging instruments 21 69 034 450 383 Change in fair value measurement of hedged items in hedged portfolio against interest rate risk 21 202 118 -53 015 Provisions 29 403 967 321 794 Other liabilities 30 2 039 704 1 708 435 Income tax liabilities 16 218 422 278 980 current income tax liabilities 216 884 277 359 deferred income tax liabilities 1 538 1 621 Debt securities issued 31 2 321 870 2 087 016 Total liabilities 88 792 028 82 086 768 Share capital 1 305 540 1 305 540 Supplementary capital 8 655 257 7 438 105 Revaluation reserve 407 642 -197 164 Other reserves 161 792 161 792 Foreign currency translation differences 0 256 Accumulated losses 85 698 53 168 Profit for the period 2 367 048 2 445 022 Equity 32 12 982 977 11 206 719 TOTAL LIABILITIES AND EQUITY 101 775 005 93 293 487
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 5 Consolidated statement of changes in equity 01.01.2025 - 31.12.2025 Share capital Supplementary capital Other reserves Revaluation reserve Exchange differences on revaluation of foreign units Retained earnings Total equity As at 1 January 2025 1 305 540 7 438 105 161 792 -197 164 256 2 498 190 11 206 719 Dividend paid 0 0 0 0 0 -1 199 791 -1 199 791 Transfer of last year's profit 0 1 217 152 0 0 0 -1 217 152 0 Comprehensive income incl. 0 0 0 604 806 -256 2 367 048 2 971 598 net profit 0 0 0 0 0 2 367 048 2 367 048 other comprehensive income 0 0 0 604 806 -256 0 604 550 Other changes in equity 0 0 0 0 0 4 451 4 451 As at 31 December 2025 1 305 540 8 655 257 161 792 407 642 0 2 452 746 12 982 977 01.01.2024 - 31.12.2024 Share capital Supplementary capital Other reserves Revaluation reserve Exchange differences on revaluation of foreign units Retained earnings Total equity As at 1 January 2024 1 305 540 6 027 552 161 792 -291 439 2 252 2 043 893 9 249 590 Dividend paid 0 0 0 0 0 -577 048 -577 048 Transfer of last year's profit 0 1 410 553 0 0 0 -1 410 553 0 Comprehensive income incl. 0 0 0 94 275 -1 996 2 445 022 2 537 301 net profit 0 0 0 0 0 2 445 022 2 445 022 other comprehensive income 0 0 0 94 275 -1 996 0 92 279 Other changes in equity 0 0 0 0 0 -3 124 -3 124 As at 31 December 2024 1 305 540 7 438 105 161 792 -197 164 256 2 498 190 11 206 719
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 6 Consolidated statement of cash flow Note number 01.01.2025- 31.12.2025 01.01.2024- 31.12.2024 Operating activities Profit before tax for the year 2 936 395 3 197 877 Adjustments: Unrealized foreign exchange gains/losses -256 -1 996 Amortization/depreciation of property, plant and equipment and intangible assets 23 254 786 270 449 Change in property, plant and equipment and intangible assets impairment write-down 13 928 1 729 Net interest income -5 134 891 -5 183 711 Change in loans and receivables 34.2 -2 997 935 1 213 088 Change in financial assets measured at fair value through other comprehensive income -892 013 -5 793 899 Change in financial assets measured at fair value through profit or loss -129 695 182 197 Change in assets pledged as collateral 18 029 28 865 Change in other assets -60 289 -52 770 Change in deposits 5 701 633 3 856 674 Change in own issue -221 907 -956 347 Change in financial liabilities 130 674 -80 013 Change in hedging derivative -119 476 -32 538 Change in other liabilities 34.2 672 509 -867 252 Change in provisions 82 173 11 818 Short-term lease contracts 1 954 1 575 Interest received 6 642 543 6 973 504 Interest paid -1 769 282 -2 152 279 Dividends -89 -322 Income tax paid -618 649 -595 232 Net cash flow from operating activities 4 510 142 21 417 Investing activities Outflows: -2 157 030 -1 357 511 Purchase of property, plant and equipment -138 237 -90 456 Purchase of intangible assets -100 390 -98 903 Acquisition of assets measured at amortized cost -1 918 403 -1 168 152 Inflows: 554 942 1 942 960 Disposal of property, plant and equipment 17 474 12 547 Redemption of assets measured at amortized cost 537 468 1 930 413 Net cash flow from investing activities -1 602 088 585 449 Financing activities Outflows: -1 818 491 -1 972 774 Prniciple payments - subordinated and long-term lliabilities -400 000 -1 141 700 Interest payments – subordinated and long-term lliabilities -132 556 -168 517 Prniciple payments - lease liabilities -77 237 -75 872 Interest payments - lease liabilities -8 907 -9 637 Dividend payment -1 199 791 -577 048 Inflows: 850 000 950 000 Issue of debt securities - long-term liabilities 850 000 950 000 Net cash flow from financing activities -968 491 -1 022 774 Total net cash flow 1 939 563 -415 908 including: change in cash position due to exchange rate differences -36 959 -1 256 Balance sheet change in cash and cash equivalents 1 939 563 -415 908 Cash and cash equivalents, opening balance 2 123 351 2 539 259 Cash and cash equivalents, closing balance 18 4 062 914 2 123 351
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 7 Notes to the consolidated financial statements 1 Information about the Bank and the Group 1.1 General information, duration, and the scope of business of Alior Bank SA Alior Bank Spółka Akcyjna ("Bank", "parent company") is the parent company in the Alior Bank Spółka Akcyjna Group ("Group", "Capital Group"). The Bank with its registered office in Warsaw, Poland, ul. Chmielna 69, was entered to the register of entrepreneurs maintained by the District Court for the Capital City of Warsaw, Poland, 13th Commercial Division of the National Court Register under KRS number: 0000305178. The Bank was assigned the tax identification number NIP: 107-001-07-31 and the statistical number REGON: 141387142. Since 14 December 2012 the Bank has been listed on the Warsaw Stock Exchange (ISIN number: PLALIOR00045). Alior Bank is a universal deposit and credit bank, providing services to natural and legal persons, and other entities that are domestic and foreign persons. The Bank's core business covers maintenance of bank accounts, granting loans, issue of bank securi ties, and purchase and sale of foreign currencies. The Bank is also involved in stock broking activity, financial advisory, and intermediation services, and provides other financial services. Information on the companies in the Group is detailed in Note 1. 2 of this chapter. In accordance with the provisions of its Articles of Association, Alior Bank has been operating in the territory of the Republic of Poland and the European Economic Area. The Bank provides its services primarily to customers from Poland. The number of foreign customers in the overall number of the Bank's customers is negligible. 1.2 Composition of the Group and its scope of business In accordance with IFRS 10 "Consolidated Financial Statements", the parent entity of Alior Bank SA is Powszechny Zakład Ubezpieczeń SA, for which the controlling entity is the State Treasury, which holds 34.2% of PZU SA shares, entitling it to 34.2% of votes at the PZU SA General Meeting. Through PZU SA, the Bank is indirectly controlled by the State Treasury. The Bank's shareholding structure is described in detail in Note 32.3. Details of the Bank's shareholding structure are described in Note 32.3. 1.2.1 Operations of the companies in the Group of Alior Bank SA As at 31 December 2025, the Alior Bank SA Group comprised of: Alior Bank SA, as the parent entity, and the subsidiary companies in which th e Bank holds majority interests . During the reporting period, the structure of the Alior Bank SA Capital Group hasn’t changed: Subsidaries The Bank assessed its control according to IFRS 10 and defined its status as the parent entity in relation to the below entities. All subsidiaries are fully consolidated. The description of the accounting consolidation principles relating to subsidiaries is provided in Note 3.2. Company name Business description Alior Services sp. z o.o. The company operates as an insurance agent for 7 insurance companies (contract administration).
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 8 Company name Business description Alior Leasing sp. z o.o. The company provides fixed asset financing through operational and financial leasing, as well as lease loans. The company has its own sales network of Leasing Advisors responsible for servicing Alior Bank clients and collaborating with external partners – vehicle, machinery, and equipment dealers. The company's strategic goal is to expand its cooperation with Alior Bank in the corporate client segment, continue its dynamic growth among SME and sole proprietorship clients, and increase its presence among machinery and equipment dealers by tailoring its offerings to the needs of clients in the industrial and medical sectors. The Alior Leasing Capital Group also includes: • AL Finance sp.z o.o., which specializes in property and motor insurance for clients with lease or lease loan agreements • Alior Leasing Individual sp. z o.o., which was established to implement Alior Leasing's strategy for consumer -facing products. Currently, it provides consumer leasing/car rental services on a subscription basis through the internal channels of PZU Group companies and is dedicated to Group employees. Ultimately, the scope of its operations will also include the rental of consumer electronics and household appliances, including consumer electronics, IT equipment, household appliances, and smartphones. Upon broad market entry, distribution will take place through Alior Bank's Trading Partners. This activity will be carried out in close cooperation with Alior Leasing and Alior Bank and will expand the Group's product portfolio. Meritum Services ICB SA The company conducts service activities in the field of information and computer technologies and provides IT software services. Alior TFI SA The company's core business is asset management. The bank's collaboration with its subsidiary, Alior TFI, primarily involves the distribution of ALIOR SFIO units. The company continues to hold a license to manage portfolios comprising one or more financial instruments. Corsham sp. z o.o. A company dedicated to implementing venture capital investments. Pursuant to Resolution No. 434/2023 of the Bank's Management Board dated 13 December 2023, the Bank's Management Board decided to discontinue further investment activities. RBL_VC sp. z o.o. A company dedicated to managing companies making venture capital investments has been entered into the register of Alternative Investment Company Managers (ZASI). RBL_VC sp z o.o. ASI spółka komandytowo-akcyjna It is an investment vehicle used by Alior Bank SA to make venture capital investments. Pursuant to Resolution No. 434/2023 of the Bank's Management Board dated 13 December 2023, the Bank's Management Board decided to discontinue further investment activities. By Resolution No. 469/2025 of 16 December 2025, the Bank's Management Board granted directional consent to the liquidation of the company as part of the simplification of the structure of the Bank's Capital Group. Composition of the Group of Alior Bank SA as at 31 December 2025 and 31 December 2024. Name of company – subsidiaries 31.12.2024 31.12.2023 Alior Services sp. z o.o. 100% 100% Alior Leasing sp. z o.o. 100% 100% - AL Finance sp. z o.o. 100% 100% - Alior Leasing Individual sp. z o.o. 100% - Alior Leasing sp.z o.o. 90% - Alior Leasing sp.z o.o. 10% - AL Finance sp. z o.o Meritum Services ICB SA 100% 100% Alior TFI SA 100% 100% Corsham sp. z o.o. 100% 100% RBL_VC sp. z o.o. 100% 100% RBL_VC sp z o.o. ASI spółka komandytowo-akcyjna 100% 100% *On 30 January 2025, AL Finance sp. z o.o. sold its shares in Alior Leasing Individual sp. z o.o. to Alior Leasing sp. z o.o.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 9 1.2.2 Key financial figures of the Group entities as at 31.12.2025 Company name Balance sheet total Net profit Alior Services sp. z o.o. 8 717 2 272 Alior Leasing sp. z o.o.* 7 506 289 40 334 Meritum Services ICB SA 38 329 2 404 Alior TFI SA 23 382 5 000 Corsham sp. z o.o. 12 692 -58 RBL_VC sp. z o.o. 352 104 RBL_VC sp z o.o. ASI spółka komandytowo-akcyjna 4 011 -288 *with AL Finance sp. z o.o. and Alior Leasing Individual sp. z o.o. 1.3 Information on the composition of the Bank’s Management Board and the Bank’s Supervisory Board Compared to the previous reporting period ended on 31 December 202 4, there were changes in the composition of the Bank's Management Board. Compared to the previous reporting period ended on 31 December 202 4, there were changes in the composition of the Bank's Management Board. On 22 April 2025, the Supervisory Board of the Bank appointed Ms. Beata Stawiarska to the Management Board of the Bank for the three -year 6th joint term of office, which began on 1 January 2024, with effect from 5 May 2025, as Vice President of the Management Board of the Bank. Composition of the Bank's Management Board as at 31 December 2025 First and last name Function Piotr Żabski President of the Management Board Marcin Ciszewski Vice President of the Management Board Jacek Iljin Vice President of the Management Board Wojciech Przybył Vice President of the Management Board Beata Stawiarska Vice President of the Management Board Zdzisław Wojtera Vice President of the Management Board Composition of the Bank's Management Board as at 31 December 2024 First and last name Function Piotr Żabski Vice-President of the Bank's Management Board, managing the work of the Bank's Management Board Artur Chołody Member of the Bank's Supervisory Board delegated to temporarily perform the duties of the Vice-President of the Bank's Management Board Marcin Ciszewski Vice President of the Management Board Jacek Iljin Vice President of the Management Board Wojciech Przybył Vice President of the Management Board Zdzisław Wojtera Vice President of the Management Board There were changes in the composition of the Bank's Supervisory Board compared to the previous reporting period ended 31 December 2024.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 10 On 12 February 2025, Mr. Artur Chołody, resigned from the position of Member of the Supervisory Board delegated to temporarily perform the duties of Vice President of the Bank's Management Board and from the position of Member of the Bank's Supervisory Board. On 13 February 2025, Mr Paweł Wajda resigned from further performance of the function of Chairman of the Supervisory Board of the Bank and from further performance of the function of Member of the Supervisory Board of the Bank and from the mandate of Membe r of the Supervisory Board of the Bank. The resignation was submitted with legal effect at the end of the day on 25 February 2025 (i.e. at midnight). On 25 February 2025, Mr. Rafał Janczura resigned from the position of Member of the Supervisory Board of the Bank with effect at the end of 4 March 2025. On 26 February 2025, the Extraordinary General Meeting of the Bank appointed the following persons to the Supervisory Board of the Bank: • Mr. Tomasz Kulik from 5 March 2025, • Mr. Waldemar Maj from 5 March 2025, subject to the condition of submitting effective resignations from the functions performed, listed in the statement of Mr. Waldemar Maj dated 20 February 2025. • Mr. Wojciech Kostrzewa from 5 March 2025, subject to the condition of submitting effective resignations from the functions performed, listed in the statement of Mr. Wojciech Kostrzewa dated 19 February 2025. On 3 July 2025, Mr. Tomasz Kulik resigned from the position of Member of the Supervisory Board of the Bank with effect at the end of 6 July 2025. The Annual General Meeting convened on 16 June 2025,continued on 7 July 2025 taking into account the assessment of compliance with the requirements of adequacy, appointed Ms. Agata Mazurowska - Rozdeiczer to the composition of the Bank’s Supervisory Board. The composition of the Bank’s Supervisory Board as at 31 December 2025 First and last name Function Wojciech Kostrzewa Chairperson of the Supervisory Board Jan Zimowicz Deputy Chairperson of the Supervisory Board Radosław Grabowski Member of the Supervisory Board Maciej Gutowski Member of the Supervisory Board Artur Kucharski Member of the Supervisory Board Waldemar Maj Member of the Supervisory Board Agata Mazurowska - Rozdeiczer Member of the Supervisory Board Robert Pusz Member of the Supervisory Board The composition of the Bank’s Supervisory Board as at 31 December 2024 First and last name Function Paweł Wajda Chairperson of the Supervisory Board Jan Zimowicz Deputy Chairperson of the Supervisory Board Artur Chołody Member of the Supervisory Board Radosław Grabowski Member of the Supervisory Board
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 11 First and last name Function Maciej Gutowski Member of the Supervisory Board Rafał Janczura Member of the Supervisory Board Artur Kucharski Member of the Supervisory Board Robert Pusz Member of the Supervisory Board 2 Basis of preparation of the financial statements 2.1 Coverage and comparable data These consolidated financial statements cover the year ended 31 December 20 25 and contain comparable data for the year ended 31 December 20 24. The consolidated financial statements were prepared in PLN and all the numbers presented herein are in PLN thousand, unless specified otherwise. 2.2 Compliance statement These consolidated financial statements of the Alior Bank Spółka Akcyjna Capital Group have been prepared in accordance with the International Financial Reporting Standards (IFRS) adopted by the European Union as at 31 December 2025. 2.3 Going concern The Group’s financial statements for the period from 1 January 202 5 to 31 December 202 5 have been prepared on a going concern basis on the assumption that the Group will continue its business operations substantially unchanged in scope for a period of at least 12 months from the date of preparation. As at the date of approval of this report, the Bank's Management Board does not identify any circumstances that would indicate a threat to the Group's continued operations in the foreseeable future. 2.4 Presentation of the financial statements In its consolidated statement of financial position, the Group discloses assets and liabilities according to the liquidity criterion. The principles of ne tting off financial assets and liabilities are described in Note 3 8.1 the Bank does not set off income and expenses, unless so required by law or permitted by accounting standards or interpretation. 2.5 Approval of the financial statements These consolidated financial statements of the Group of Alior Bank SA were approved for publication by the Bank’s Management Board on 20 February 2026. 3 Description of the material accounting policy informartion The most important accounting policy informartion, as well as estimates and judgements applied in the preparation of these financial statements are presented in the Notes and below. The principles were applied on a continuous basis in all presented years . Below is a specification of accounting policy informartion and major estimates and judgements for the specific items of the consolidated income statement and the consolidated statement of financial position.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 12 Income statement Note number Accounting policies* Interest income and expense 6 Y Fee and commission income and expense 7 Y The result on financial assets measured at fair value through profit or loss and FX result 8 Y The result on derecognition of financial assets and liabilities not measured at fair value through profit or loss 9 Y Other operating income and expenses 10 Y General administrative expenses 11 Y Net expected credit losses, 12 Y The result on impairment of non-financial assets 13 Y Cost of legal risk of FX mortgage loans 14 Y Income tax 16 Y Statement of financial position Note number Accounting policies* Major estimates and assessments* Cash and cash equivalents 18 Y Amounts due from banks 19 Y Inwestment financial assets and derivatives 20 Y Derivative hedging instruments 21 Y Loans and advances to customers 22 Y Y Property, plant & equipment 23 Y Intangible assets 23 Y Other assets 24 Y Assets hedging liabilities 25 Y Income tax assets 16 Y Amounts due to banks 26 Y Amounts due to customers 27 Y Financial liabilities held for trading 28 Y Change in fair value measurement of hedged items in portfolio hedge against interest rate risk 21 Y Provisions 29 Y Y Other liabilities 30 Y Debt securities issued 31 The Bank’s equity and shareholding structure 32 Y * The letter Y means that the notes to the Financial Statements contain significant information regarding the selected accounting policy and significant estimates. 3.1 Transactions in foreign currencies Functional currency and reporting currency The consolidated financial statements were prepared in PLN which is the functional currency of the Bank and the subsidiaries. Foreign currency denominated transactions and balances Foreign currency denominated transactions are initially recognised in the functional currency at the exchange rate of the National Bank of Poland prevailing on the transactional date. On the last day of each reporting period, the Bank translates:
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 13 • foreign currency denominated monetary assets and liabilities at NBP's mid exchange rate prevailing on that date, • non-monetary items measured a t historical cost in foreign currencies at the exchange rates effective as at the date the transaction was initially recognised, • non-monetary items measured at fair value in foreign currency at the exchange rate effective as at the date of fair value determination. Foreign exchange gains and losses resulting from the settlement of transactions and from the year -end translation of monetary assets and liabilities denominated in foreign currencies are recognized in the income statement. 3.2 Business combination and consolidation rules Subsidiary entities Subsidiary companies are entities (including entities that are not commercial companies like civil partnerships or special purpose vehicles) controlled by the parent entity which means that the parent entity: • has power over the entity, • has exposure, or rights, to variable returns from its involvement with the entity , and • has the ability to use its power over the entity to affect the amount of its returns. Subsidiaries are consolidated from the date on which the Bank assumes control. Deconsolidation t akes place when control no longer exists. Consolidation The consolidation process of the financial statements of subsidiaries with the full method consists in summing up individual items in the statement of financial position, the profit and loss account, and other comprehensive income of the parent entity and the subsidiaries in full amounts and making appropriate consolidation adjustments and exclusions. The exclusions apply to the carrying value of the interests held by the Bank in subsidiaries and equity of the entities at the acquisition date. Complete ex clusions apply to: • mutual receivables and payables and other similar settlements of the consolidated entities, • income and expenses of economic operations between the consolidated entities, • profit or loss resulting from economic operations between the consolidated entities, included in the value of assets of the consolidated entities, with the exception of losses that indicate impairment, • dividend accrued or disbursed by subsidiaries to the parent entity and other consolidated entities, • mutual cash flows in the statement of cash flows. The financial statements of subsidiaries are prepared for the same reporting period as those of the parent entity. In order to eliminate any discrepancies in the accounting principles applied by the Bank and its subsidiary entities, consolidation adjustments are made. All entities of the of Alior Bank SA Group are consolidated with the full method.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 14 Acquisition method Acquisitions of subsidiaries by the Group are recognised with the acquisition method in compliance with IFRS 3. 3.3 Recognition of financial assets and liabilities in books The Group recognises financial assets or liabilities in its statement of financial position, when it becomes a party to a contract covering such instrument. Standard purchase and sale transactions of financial assets (securities) are recognised as at the settlement date. At the initial recognition, all financial instruments are measured at fair value. The Group classifies financial assets and liabilities at the initial recognition, subject to the purpose, characteristics, and intention vis-a-vis the acquired financial instrument. Financial assets are classified by the Group on the date of acquisition or arising to the following categories: financial assets measured at fai r value through profit and loss , financial assets measured at fair value through comprehensive income , financial assets measured at amortised cost. F inancial liabilities are measured at amortised cost and at fair value through profit and loss. Detailed for the classification and measurement rules of financial instruments are described in Note 20.1. 3.4 Derecognition of financial assets and liabilities from the statement of financial position Financial assets The Group derecognises financial assets from the statement of financial position when: • contractual rights expire to cash flows from such financial assets, • such financial assets are transferred to another entity, • the financial asset is transfered to off -balance sheet records without resigning from future repayment. When transferring financial assets, the Group assesses to what extent it retains the risks and benefits related to holding such financial assets. In such case: • if it transfers basically all risks and all benefits related to holding such financial assets, the Group derecognises such financial assets from its statement of financial position, • if it retains basically all risks and benefits related to holding such financial assets, the Group continues to recognise such financial assets in its statement of financial position , • if it neither transfers nor retains basically all risks and benefits related to holding such financial assets, the Group determines if it continues to control such financial assets; when control is retained, such financial assets continue to be recognised in the balance sheet, and when there is no control, such financial assets are derecognised from the statement of financial position in the amount resulting from the retained exposure. The decision to stop recognizing a financial asset and transfering the receivables to off -balance sheet records until their repayment, sold, write-off due to irrecoverability, limitation or redemption may be taken, if: • there are no reasonable prospects of recovering the financial asset in whole or in part , • the Group does not identify sources of debt repayment that it could effectively meet.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 15 The decision to write off a claim as irrecoverable may be made in a situation where the claim is fully due and its non-recoverability has been documented in accordance with the provisions of the Act on Corporate Income Tax (writing off with documentation of irrecoverability), i.e.: • a decision on irrecoverability recognized by the Group as being in line with the factual state issued by the competent enforcement authority, • court decision to close bankruptcy proceedings involving the liquidation of assets , • a court decision dismissing an application for declaration of bankruptcy or discontinuing bankruptcy proceedings, when the assets of an insolvent Debtor are insufficient to satisfy the costs of bankruptcy proceedings, • a protocol prepared by the substantive unit , which shows that the expected legal and enforcement costs would be equal or higher than the amount of receivables obtained. Financial liabilities The Group derecognises financial liabilities (in whole or in part) from the statement of financial position if a contractual duty has been discharged or redeemed or has expired. Modification The modification of a financial asset measured at amortized cost or at fair value through other comprehensive income and financial liabilities at measured amortized cost is a change in the contractual terms affecting the change in the amount of financing, currency and date of payment, and in the case of assets - also a change in the debtor. Change in cash flows without changing the contractual terms is not a modification (the change is made on the basis of the originally binding contract). A significance assessment is carried out for each modification. If the modification is substantial, the carrying amount of the instrument is derecognised . For the new financial asset or financial liability a new effective interest rate should be set or effective interest rate adjusted for credit risk (CAEIR) if the new financial assets recognized as a result of a s ubstantial modification is impaired and. The income or expense arising as at the date of determining the effects of a substantial modification is recognized in the profit and loss account under the item Net interest income. The modification of a financial asset deemed no n- substantial does not result in the exclusion from the statement of financial position and gains or losses from this modification are calculated. The result from an insignificant modification is presented in the note Net interest income. All costs incurred and fees adjust the carrying amount of the modified financial asset and are depreciated in the period remaining until the maturity date of the modified financial asset using the original interest rate. In order to judge the significance of the modification, the Bank apllied quality criteria, such as : • change of the financing currency, • change of the debtor, • introduction of provisions into the contract resulting in the failure to pass the cash flow characteristics test (SPPI test), including (i) the multiplier in the interest rate formula, (ii) making the interest rate dependent on the price of goods, securiti es or similar (iii) limiting the debtor's contractual liability to selected assets, • change of legal form, including consolidation of two or more loans into one, • change of the type of financial instrument.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 16 The Bank also uses quantitative criteria to assess the significance of the modification: 1. for revolving receivables: • significant increase in the exposure amount, • significant extension/shortening of the financing period, • change in the margin. The Bank assumes a 20% change in the exposure amount or margin or extension/shortening of the crediting period by 365 days as the materiality level. 2. for non-revolving receivables (for scheduled receivables) - 10% test. The 10% test for financial assets involves comparing cash flows before and after the modification, discounted at the original effective interest rate. If the difference is equal to or exceeds 10%, the modification is considered material. A material modification of a financial liability is identified if the discounted present value of the cash flows resulting from the new terms, including any fees paid, net of fees received and discounted using the original effective interest rate, differs by no less than 10% from the discounted present value of the remaining cash flows from the original financial liability. A modification of a financial liability that is not considered a material modification is an insignificant modification. 4 Changes in accounting principles 4.1 Changes in accounting standards New standards and interpretations and modifications to the existing accounting standards and interpretations that became effective on 1 January 2025 Change Impact on the Group's report Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability These changes specify how an entity should assess whether a currency is convertible into another currency and how it should determine the spot exchange rate if it cannot be converted. The change did not have impact on the Group's financial statements. Published standards and interpretations that which were not in force as at 31 December 202 5 and were not previously applied by the Group Change Impact on the Group's report IFRS 18 Presentation and Disclosure in Financial Statements The standard is intended to replace IAS 1 – Presentation of Financial Statements. The new standard will be effective from 1 January 2027. The new standard includes: the result of taking into account the voice of investors in the work, who indicated that fi nancial statements still do not have a uniform form and often do not present significant information needed to make investment decisions. In connection with the new IFRS 18 standard, changes to other standards are also planned to harmonize disclosure requirements. The above changes will not affect the Group's net result, only the presentation of individual items in the profit and loss account.The Group is currently analysing the impact of the standard on the presentation of financial statements.. IFRS 19 Subsidiaries without Public Accountability: Disclosures IFRS 19 allows eligible entities to elect to apply IFRS 19’s reduced disclosure requirements while still applying the recognition,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 17 Change Impact on the Group's report measurement and presentation requirements in other IFRS accounting standards. An entity may elect to apply this Standard in its consolidated or separate financial statements if, and only if, at the end of the reporting period: (a) it is a subsidiary, (b) it does not have public accountability, and (c) it has an ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with IFRS Accounting Standards. These changes will not have an impact on the Group's financial statements. Amendments to the Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7) The amendments clarify that a financial liability is derecognised on the ‘settlement date’ and introduce an accounting policy choice to derecognise financial liabilities settled using an electronic payment system before the settlement date. Other clarifications include the classification of financial assets with ESG linked features via additional guidance on the assessment of contingent features. Clarifications have been made to non -recourse loans and contractually linked instruments. Additional disclosures are introduced for financial instruments with contingent features and equity instruments classified at fair value through OCI. The implementation of the changes will not have a material impact on the Group's financial statements. Annual Improvements IFRS Volume 11 The document contains clarifications, simplifications, corrections and changes aimed at improving the consistency of a number of accounting standards (IFRS 1, IFRS 7 and the accompanying "Guidance on the implementation of IFRS 7"; IFRS 9, IFRS 10 and IAS 7 ). In the Group's opinion, the implementation of the changes will not impact the Group's financial statements. Amendments to IFRS 9 and IFRS 7 Contracts Referencing Nature- dependent Electricity Amendments allow companies to better reflect in the financial statements, the financial effects of nature -dependent electricity contracts, which are often structured as power purchase agreements (PPAs). The amendments include: • clarifying the application of the ‘own-use’ requirements, • permitting hedge accounting if these contracts are used as hedging instruments, • adding new disclosure requirements to enable investors to understand the effect of these contracts on a company’s financial performance and cash flows. The implementation of the changes will not have an impact on the Group's financial statements. 4.2 Restatement of comparative data and explanation of differences in relation to previously published financial statements Compared to the financial statements prepared as at 31 December 2024, the Group change a presentation in the Statement of Cash Flows, transferring the item: Dividend payment from operating activities to financing activities. This change is consistent with and dictated by the new requirements of IFRS 18: "Presentation and Disclosure in Financial Statements", which will become effective on 1 January 2027. Cash flow statement items Published 01.01.2024-31.12.2024 change Restated 01.01.2024-31.12.2024 Change in other liabilities -1 444 300 577 048 -867 252 Net cash flow from operating activities -555 631 577 048 21 417 Dividend payment 0 -577 048 -577 048 Net cash flow from financing activities -445 726 -577 048 -1 022 774
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 18 5 Operating segments Segment description Alior Bank Group pursues its business activity within segments offering specific products and services addressed to specified customer groups. The split of business segments provides for consistency with the sale management model and for providing customers with a compre hensive product offer, covering both traditional banking products and more complex investment products. Banking operations cover three core business segments: • retail segment, • corporate segment, • treasury activities. The core products for retail segment are as follows: • credit products: cash loans, credit cards, current account overdraft facilities, mortgage loans , • deposit products: term deposits, savings deposits, • brokerage products and investment funds, • personal accounts, • transactional services: cash deposits and withdrawals, transfers, • currency exchange transactions. The core products for corporate segments are as follows: • credit products: overdraft limits in current accounts, working capital loans, investment loans, credit cards, • deposit products: term deposits, • current and subsidiary accounts, • transactional services: cash deposits and withdrawals, transfers, • treasury products: FX exchange transactions (also term FX transactions), derivative instruments; • leasing and factoring. The analysis covers the profitability of the retail and corporate segments. Profitability covers: • net interest income including internal transfer rates of funds between the bank's units and the Bank's Treasury Department, • net fee and commission income, • the result of treasury transactions and FX transactions by customers, • other operating income and expenses. Income of the retail segment cover s also income from sales of brokerage products (e.g. income for the maintenance of brokerage accounts, brokerage services in securities trading and income from distribution of investment fund units). The item Treasury activity covers management effects of the global position – liquidity and FX position, resulting from the activity of the Group's units.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 19 The measure of the profit of a given segment is the gross profit. Results and volumes split by segment for the year ended on 31 December 2025 Retail customers Corporate customers Treasury Total operating segments Unallocated items Total External interest income 2 722 527 1 431 388 980 976 5 134 891 0 5 134 891 external income 3 575 678 1 305 374 1 520 076 6 401 128 0 6 401 128 income of a similar nature 0 412 032 104 590 516 622 0 516 622 external expense -853 151 -286 018 -643 690 -1 782 859 0 -1 782 859 Internal interest income 249 561 -164 742 -84 819 0 0 0 internal income 2 490 854 990 825 3 396 860 6 878 539 0 6 878 539 internal expense -2 241 293 -1 155 567 -3 481 679 -6 878 539 0 -6 878 539 Net interest income 2 972 088 1 266 646 896 157 5 134 891 0 5 134 891 Fee and commission income 566 667 648 170 3 377 1 218 214 0 1 218 214 Fee and commission expense -264 350 -40 808 -7 334 -312 492 0 -312 492 Net fee and commission income 302 317 607 362 -3 957 905 722 0 905 722 Dividend income 0 0 89 89 0 89 The result on financial assets measured at fair value through profit or loss and FX result 74 19 692 10 754 30 520 0 30 520 The result on derecognition of financial assets and liabilities not measured at fair value through profit or loss 0 0 19 664 19 664 0 19 664 measured at fair value through other comprehensive income 0 0 18 062 18 062 0 18 062 measured at amortized cost 0 0 1 602 1 602 0 1 602 Other operating income 71 419 33 906 0 105 325 0 105 325 Other operating expenses -147 764 -37 602 0 -185 366 0 -185 366 Net expected credit losses -105 260 -222 838 0 -328 098 0 -328 098 The result on impairment of non- financial assets -9 796 -4 132 0 -13 928 0 -13 928 Cost of legal risk of FX mortgage loans -151 119 0 0 -151 119 0 -151 119 General administrative expenses -1 730 067 -851 238 0 -2 581 305 0 -2 581 305 Gross profit 1 201 892 811 796 922 707 2 936 395 0 2 936 395 Income tax 0 0 0 0 -569 347 -569 347 Net profit 1 201 892 811 796 922 707 2 936 395 -569 347 2 367 048 Assets 67 649 200 33 401 707 0 101 050 907 724 098 101 775 005 Liabilities 63 267 800 25 305 806 0 88 573 606 218 422 88 792 028
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 20 Results and volumes split by segment for the year ended on 31 December 2024 Retail customers Corporate customers Treasury Total operating segments Unallocated items Total Group External interest income 2 830 009 1 599 836 753 866 5 183 711 0 5 183 711 external income 3 671 894 1 500 141 1 491 657 6 663 692 0 6 663 692 income of a similar nature 0 432 847 137 178 570 025 0 570 025 external expense -841 885 -333 152 -874 969 -2 050 006 0 -2 050 006 Internal interest income 302 531 -271 310 -31 221 0 0 0 internal income 2 654 258 1 054 604 3 677 641 7 386 503 0 7 386 503 internal expense -2 351 727 -1 325 914 -3 708 862 -7 386 503 0 -7 386 503 Net interest income 3 132 540 1 328 526 722 645 5 183 711 0 5 183 711 Fee and commission income 524 487 829 760 -1 947 1 352 300 0 1 352 300 Fee and commission expense -262 969 -215 185 -7 137 -485 291 0 -485 291 Net fee and commission income 261 518 614 575 -9 084 867 009 0 867 009 Dividend income 0 0 322 322 0 322 The result on financial assets measured at fair value through profit or loss and FX result -9 803 19 479 24 322 33 998 0 33 998 The result on derecognition of financial assets and liabilities not measured at fair value through profit or loss 0 0 27 477 27 477 0 27 477 measured at fair value through other comprehensive income 0 0 26 889 26 889 0 26 889 measured at amortized cost 0 0 588 588 0 588 Other operating income 73 544 36 640 0 110 184 0 110 184 Other operating expenses -126 822 -35 842 0 -162 664 0 -162 664 Net expected credit losses -128 161 -275 601 0 -403 762 0 -403 762 The result on impairment of non- financial assets -1 217 -512 0 -1 729 0 -1 729 Cost of legal risk of FX mortgage loans -59 355 0 0 -59 355 0 -59 355 General administrative expenses -1 674 229 -723 085 0 -2 397 314 0 -2 397 314 Gross loss 1 468 015 964 180 765 682 3 197 877 0 3 197 877 Income tax 0 0 0 0 -752 855 -752 855 Net loss 1 468 015 964 180 765 682 3 197 877 -752 855 2 445 022 Assets 61 583 981 30 886 321 0 92 470 302 823 185 93 293 487 Liabilities 58 166 307 23 641 481 0 81 807 788 278 980 82 086 768 Notes to consolidated income statement 6 Net interest income 6.1 Accounting policy information Interest income and expenses include interest on financial instruments measured at amortized cost and instruments measured at fair value through other comprehensive income. Net interest also includes fees and commissions directly related to the origination of financial instruments (both income, including the portion of fees received from insurance companies for distribution of insurance, and costs, including external and internal incremental costs) constituting the integral part of the effective interest ra te.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 21 The effective interest rate method consists in accruing the amortised cost of financial assets or financial liabilities and allocation of interest income or expense. The effective interest rate is the interest rate at which estimated future cash payments or receipts over the expected life of the financial asset or financial liability are exactly discounted to the gross carrying amount of the financial asset or to the amortized cost of the financial liability. When calculating the effective interest rate, the Group estimates the expected cash flows considering all contractual terms of a given financial instrument, without taking into account the expected credit losses. This calculation includes all commissions and fees paid or received between the parties, which are an integral part of the effective interest rate, as well as transaction costs and all other bonuses or discounts. The Group calculates interest income using the effective interest rate to the gross carrying amount of the financial asset, except for the financial assets which are affected by the impairment due to credit risk. When a financial asset or a group of similar financi al assets is reclassified to Stage 3, interest income is accrued on the net value of the financial asset and is shown at the effective interest rate at which future cash flows were discounted for the purposes of measuring impairment. The Group recognizes interest income from derivatives and loans measured at fair value through profit or loss, as well as interest income from finance lease, under income of a similar nature. Interest expense on derivatives measured at fair value through profit or loss is included in interest expense. 6.2 Financial data 01.01.2025– 31.12.2025 01.01.2024 – 31.12.2024 Interest income calculated using the effective interest method 6 401 128 6 663 692 term deposits 6 142 14 985 loans measured at amortized cost 4 779 571 5 065 540 securities measured at amortized cost 97 519 88 660 securities measured at fair value through other comprehensive income 1 122 772 1 086 166 receivables acquired 23 487 29 638 repo transactions in securities 126 973 91 795 current accounts 159 359 178 544 overnight deposits 4 299 8 475 other 81 006 99 889 Income of a similar nature 516 622 570 025 derivatives instruments 104 590 136 687 leasing 412 032 432 847 loans measured at fair value through profit and loss 0 491 Interest expense -1 782 859 -2 050 006 term deposits -755 554 -810 548 own issue -144 832 -185 923 repo transactions in securities -93 520 -108 464 cash deposits -16 863 -5 747 leasing -8 907 -9 637 other -2 912 -10 626 current deposits -393 495 -370 797 derivatives -366 776 -548 264 Net interest income 5 134 891 5 183 711 In 2025 and 2024 the amount of interest income on loans with recognised impairment amounted to PLN 252 266 thousand and PLN 363 499 thousand.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 22 6.3 Significant estimates and judgements Recognition of bancassurance income The Group allocates the received remuneration for distribution of insurance products related to the sale of loans – in accordance with the economic content of the transaction – as remuneration constituting: • an integral part of the remuneration received for the offered financial instruments , • remuneration for agency services, • remuneration for the provision of additional activities performed during the insurance contract (recognised by the Group over a period when the services are provided). The economic title of the received remuneration determines the way it is disclosed in the Bank's books. The model of “relative fair value” is applied to determine the split of the remuneration related to insurance offered in connection with cash and mortgage loans and insurance sold without any relationship to financial instruments (in terms of provision for customer resigns and administrative costs). The “relative fair value” model approved by the Group consists in estimating the fair value of each element of the overall service of loan sale with insurance in order to determine the proportion of fair value of both services. In accordance with such proportion of fair value, remuneration under the joint loan and insurance transaction is allocated to each component. Additionally, in order to determine the correct amount of income to be recognised over time as interest income, the model provides for the establishment and update of provisions for remuneration refund for insurance agency services when the customer resigns from insurance. The provision due to the uncertainty related to the customers’ option to resign from the insurance cover at any time during the term of the contract is verified periodically by each credit product group. The Group's remuneration for insurance distribution is reduced by uncertain income related to estimated refunds due to the customers’ resignation from insurance. The remuneration for sale of insurance products offered to the Group's customers in combination with credit products in line with the periodically updated “loan relative fair value” model is recognised after deferral of a part of the remuneration to cover the anticipated refunds of remuneration due to the customers resigning or withdrawing from insurance contracts. Additionally, the Group acting as an agent, provides customers with the insurance cover under other insurance products than related to credit products, including accident insurance, motor, housing, travel insurance and investment products (insurance capital funds). Revenue from the sale of insurance not linked to the sale of banking products is recognized according to principles analogous to those described for insurance linked to the sale of banking products, excluding the element of estimating the fair value of the financial instrument. In particular: • in the portion relating to insurance intermediation – the insurance fee is recognized in the income statement on a one-off basis, after adjusting for the deferred portion up to the amount of expected reimbursements, • in the portion relating to administrative activities during the insurance term – the fee is recognized on a straight-line basis in net fee and commission income.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 23 6.4 Sensitivity analysis of significant estimates and judgements Bancassurance In 202 5 and 202 4, the Group used a method of settling the amount of remuneration from insurance offered in connection with cash and mortgage loans over time, based on the "relative fair value" model reflecting the economic content of the transaction. Details in note 6.3. An estimated sensitivity analysis of changes of the income recognised by the Bank in 2025 with reference to bancassurance is as follows: Type of scenario 2025 2024 increased provision for resignations by 5pp MPLN-8.94 reduced net interest MPLN-9.66 reduced net interest decreased provision for resignations by 5pp MPLN +8.94 increased net interest MPLN +9.66 increased net interest 7 Net fee and commission income 7.1 Accounting policy information Fee and commission income arises from the provision of financial services offered by the Bank and includes i.a. fees for granting loans without defined repayment schedules , loan commitment fees, card issue fees, cash management services, brokerage services, insurance product services and asset management services. Commission income also includes margins on currency exchange transactions, i.e. margins on currency purchase/sale transactions with delivery on the spot value date. Revenue generated as part of the provision of custody activities is also an element of commission income. The corresponding customer assets are not part of the Bank's assets and therefore are not recognized in the statement of financial position. Fees and commissions (both income and costs) directly related to the creation of financial assets with specific repayment schedules are recognized in the income statement as an element of the effective interest rate and are part of interest income. The Bank includes among others the commissions adjusting the effective interest rate: • commissions for granting a loan • commissions for changing the terms of the loan agreement • commissions for changing the form of financing • loan restructuring commissions • commissions for intermediation in granting credits and loans Fees and commissions (both revenues and costs) related to the creation of assets with undefined schedules of future cash flows are settled on a straight -line basis over the term of the contract and are presented as fee and commission income or expenses. In come settled over time using the straight -line method includes, in particular, commissions received on overdrafts, revolving loans, liabilities granted (guarantees, credit lines), such as: • commissions for limit granting/extension • commissions for increasing the limit • commission for processing a loan application in the case of a positive decision
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 24 Commitment fees for loans that are likely to be incurred are deferred and accounted for as an element of the effective interest rate or on a straight-line basis when a financial asset arises. Other fees and commissions related to financial services, not related to the creation of assets, are recognized in such a way as to reflect the transfer of promised goods and services to the customer in the amount reflecting the remuneration to which the B ank will be entitled in exchange for these goods and services, in accordance with 5 - stepwise revenue recognition model. Based on the analyzes carried out, the Bank recognizes commission and fee income: • at the time the service is performed, if the obligation to perform the service is fulfilled at a specific time by transferring the promised good or service to the customer, i.e. when the customer obtains control over it, and these are: transaction fees from securities transactions, payment services, margins on currency exchange transactions, i.e. margins on currency purchase/sale transactions with delivery on the spot value date, brokerage services, investment advisory services, financial planning, investment banking services • over time, in order to reflect the degree of fulfillment of this obligation, if the provision of services is performed in a specific period of time, these fees and commissions include, among others, commissions for maintaining accounts, servicing insurance , which are received/paid periodically, in periods monthly or quarterly, commissions/fees for cash management services performed as well as fees and commissions related to loans granted, which are not part of the effective interest rate ( ESP), i.e. adminis trative commissions and fees for servicing the loan, commissions for commitment charged on funds unused by clients The accounting principles regarding the recognition of commission income from the sale of insurance products linked to loans and advances are described in the note "Net interest income". 7.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Fee and commission income 1 218 214 1 352 300 payment and credit cards service 163 365 327 179 transaction margin on currency exchange transactions 317 877 310 804 maintaining bank accounts 107 768 105 175 brokerage commissions 95 403 77 817 revenue from bancassurance activity 93 441 99 333 loans and advances 142 519 149 348 transfers 63 968 60 590 cash operations 33 833 34 802 guarantees, letters of credit, collection, commitments 17 830 14 337 receivables acquired 4 318 4 318 for custody services 10 759 8 134 repayment of seizure 10 260 9 888 from leasing activities 83 397 86 127 other commissions 73 476 64 448 Fee and commission expenses -312 492 -485 291
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 25 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 costs of card and ATM transactions, including costs of cards issued -83 990 -264 959 commissions paid to agents -58 250 -53 181 insurance of bank products -21 097 -20 651 costs of awards for customers -34 698 -26 998 commissions for access to ATMs -28 347 -27 595 commissions paid under contracts for performing specific operations -24 626 -28 319 brokerage commissions -5 680 -5 051 for custody services -4 715 -4 062 transfers -26 771 -25 418 other commissions -24 318 -29 057 Net fee and commission income 905 722 867 009 01.01.2025 – 31.12.2025 Retail customers Business customers Treasury Total Fee and commission income 566 667 648 170 3 377 1 218 214 payment and credit cards service 122 082 41 283 0 163 365 transaction margin on currency exchange transactions 189 545 124 955 3 377 317 877 maintaining bank accounts 49 807 57 961 0 107 768 brokerage commissions 95 403 0 0 95 403 revenue from bancassurance activity 35 809 57 632 0 93 441 loans and advances 21 479 121 040 0 142 519 transfers 20 183 43 785 0 63 968 cash operations 16 456 17 377 0 33 833 guarantees, letters of credit, collection, commitments 0 17 830 0 17 830 receivables acquired 0 4 318 0 4 318 custody services 0 10 759 0 10 759 repayment of seizure 0 10 260 0 10 260 commissions from leasing activities 0 83 397 0 83 397 other commissions 15 903 57 573 0 73 476 01.01.2024–31.12.2024 Retail customers Business customers Treasury Total Fee and commission income 524 487 829 760 -1 947 1 352 300 payment and credit cards service 118 859 208 320 0 327 179 transaction margin on currency exchange transactions 167 534 145 217 -1 947 310 804 maintaining bank accounts 49 575 55 600 0 105 175 brokerage commissions 77 817 0 0 77 817 revenue from bancassurance activity 42 765 56 568 0 99 333 loans and advances 20 187 129 161 0 149 348 transfers 19 423 41 167 0 60 590 cash operations 15 989 18 813 0 34 802 guarantees, letters of credit, collection, commitments 0 14 337 0 14 337 receivables acquired 0 4 318 0 4 318 custody services 0 8 134 0 8 134 repayment of seizure 0 9 888 0 9 888 from leasing activities 0 86 127 0 86 127
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 26 01.01.2024–31.12.2024 Retail customers Business customers Treasury Total other commissions 12 338 52 110 0 64 448 8 The result on financial assets measured at fair value through profit or loss and FX result 8.1 Accounting policy information The result on financial assets measured at fair value through profit or loss and FX result includes gains and losses arising from the sale and changes in the fair value of assets and liabilities measured and designated for measurement at fair value through the profit and loss account upon initial recognition. This result also includes foreign exchange gains and losses, both realized and unrealized, resulting from the valuation of currency assets and liabilities. Additionally, this note presents the result from fair value hedge accounting and the amount of ineffectiveness of cash flow hedging. 8.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 FX result and net income on currency derivatives, including: 42 993 43 068 FX result 61 073 -58 313 currency derivatives -18 080 101 381 Interest rate derivatives result -25 018 -28 871 Ineffective part of hedge accounting -157 3 490 Change in fair value measurement for the hedged risk 5 490 17 805 Net income from other financial instruments 7 212 -1 494 The result on financial assets measured at fair value through profit or loss and FX result 30 520 33 998 9 The result on derecognition of financial instruments not measured at fair value through profit or loss 9.1 Accounting policy information The result on derecognition of financial instruments not measured at fair value through profit or loss includes gains and losses arising on the sale of debt securities valued at fair value through other comprehensive income, measured at amortized cost and gains and losses resulting from the repurchase of own issue. 9.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Financial assets measured at fair value through other comprehensive income 18 062 26 889 Financial assets measured at amortized cost 1 602 588 The result on derecognition of financial assets and liabilities not measured at fair value through profit or loss 19 664 27 477
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 27 10 Other operating income and expenses 10.1 Accounting policy information The other operating income and expenses include income and expenses not related directl y to core business activities. The other operating income covers primarily income from managing third party assets, damages received, penalties and fines, remuneration under contracts with various counterparties, refunded costs rela ted to pursuance of claims. Other operating costs consist mainly of the costs of provisions created for legal claims, also primarily costs of incidents related to the operational risk, pursuant of claims and third-party asset management. 10.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 income from contracts with business partners 4 062 6 327 reimbursement of costs of claim enforcement 30 680 32 995 received compensations, recoveries, penalties and fines 1 046 1 111 management of third-party assets 19 364 16 481 from license fees from Partners 2 846 3 049 due to VAT settlement 151 153 reversal of impairment losses on other assets 2 209 2 705 other 44 967 47 363 Total other operating income: 105 325 110 184 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 fees and costs of claim enforcement -40 511 -49 233 provision for legal claims -65 580 -54 655 paid compensations, fines, and penalties -7 310 -3 853 management of third-party assets -1 780 -1 640 recognition of complaints -3 382 -3 356 impairment losses on other assets -4 025 -5 476 due to VAT settlement -2 418 -149 other -60 360 -44 302 Other operating expenses: -185 366 -162 664 11 General administrative expenses 11.1 Accounting principles Cost type Description Employee benefits Apart from salaries and social insurance (including premiums for retirement insurance as detailed in the note on “Provisions”), employee benefits cover the costs of variable components of remuneration for persons in managerial positions with a part being recognised as a payment liability in shares settled in cash in compliance with IFRS 2. Additionally, the Group establishes a provision for future damages and severance pay due to employees whose employment contracts are terminated for reasons not attributab le to employees, as well as periodic recognition of costs falling for the current period, including bonuses and unutilised annual leaves, including all outstanding holiday days. General and administrative costs This item covers the following: maintenance and rental costs of fixed assets, (from 2019 due to contracts that have not been classified in accordance with IFRS 16 as lease contracts), IT and telecommunications service costs, administrative expenses, promotion and advertising costs, security services and training costs.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 28 Cost type Description Leasing payments in the short-term lease period are recognized on a straight -line basis as costs in the profit and loss account. Costs of Banking Guarantee Fund This item includes mandatory payments to the BFG, including: to the resolution fund and to the bank guarantee fund. Amortisation/depr eciation Depreciation/amortisation of fixed assets, right-of-use assets and intangible assets accrues with a straight -line method at the approved amortisation/depreciation rates over their anticipated economic life and in the case of the right to use, for th e shorter of the economic useful lives or the lease period. The amount subject to amortisation/depreciation shall be understood as the purchase price or manufacturing cost of the asset, net of its residual value. Every year the useful economic life is updated, depreciation rates and the residual value of depreciated fixed assets . Taxes and charges The following items are included: real estate tax, municipal and administrative fees and non-deductible VAT. 11.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Payroll costs -1 263 434 -1 238 418 salaries and other benefits for employees -1 030 396 -1 010 908 social security -204 163 -196 490 costs of bonus for senior executives settled in phantom shares -2 873 -7 082 other -26 002 -23 938 General and administrative costs -741 988 -577 535 building maintenance expenses -94 664 -86 704 costs of Banking Guarantee Fund -107 442 -40 644 IT costs -236 709 -191 227 marketing costs -109 644 -92 733 cost of advisory services -45 479 -28 338 external services -39 427 -36 237 training costs -13 782 -14 748 costs of telecommunications services -24 287 -24 649 other -70 554 -62 255 Amortization and depreciation -254 787 -270 449 property, plant and equipment -97 747 -91 936 intangible assets -77 094 -98 188 right to use the asset -79 946 -80 325 Taxes and fees -35 219 -31 245 General administrative expenses -2 295 428 -2 117 647 12 Net expected credit losses 12.1 Accounting principles The net expected credit losses result consists of the creation and release of write -downs on financial assets, including mainly credit receivables, other receivables from customers, debt securities and provisions for off-balance sheet liabilities and guarantees subject to the requirement to estimate expected credit losses in accordance with IFRS 9. Recoveries, i.e. amounts received on financial assets previously written off the balance sheet to off-balance sheet records, are also presented here.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 29 Detailed accounting policies for impairment and the concept of expected credit losses are described in Note 22. 12.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Expected credit losses Stage 3 -605 138 -736 631 retail customers -281 389 -349 184 business customers -323 749 -387 447 Expected credit losses Stage 1 and 2(ECL) 63 716 128 521 Stage 2 -14 852 140 776 retail customers -46 906 86 262 business customers 32 054 54 514 Stage 1 78 568 -12 255 retail customers 65 666 21 055 business customers 12 902 -33 310 POCI -71 630 -91 589 Recoveries 281 590 267 447 Investment securities -2 842 -2 840 Off-balance provisions 6 206 31 330 Net expected credit losses -328 098 -403 762 The result on the net expected credit losses in 2025 and 2024 was affected a.o. by the sale of the NPL portfolio. Information about sales of balance sheet receivables is presented in Note 22. In 2025, the Group recognized a significant difference in the result of allowances for Stage 2 compared to 2024, resulting from the introduction in 2025 of a conservative approach to the level of the significant deterioration threshold affecting the reclassification of assets to Stage 2, which resulted in an increase in its level and generated costs. 13 The result on impairment of non-financial assets 13.1 Accounting policy information Pursuant to IAS 36, the Group is obliged, if there are indications of possible impairment, to make revaluation write-offs of the value of assets aimed at bringing the value of a given asset, which results from entries in the accounting books, to the level of the recoverable value. The recoverable amount is one of the two following values, depending on which of them is higher: the fair value of a given asset or cash- generating unit, less costs to sell or the value in use determined for individual assets. As defined in IAS 36.6, value in use is the present value of the estimated future cash flows that is expected to be obtained from the continued use of an asset or a cash-generating unit. The occurrence of premises indicating the possible impairment of an asset imposes an obligation on the Group to conduct an impairment test. The Group performs a test for impairment of non -financial assets, and in the case of goodwill, the test is carried out at least once a year. As part of the impairment test, the Bank estimates the recoverable amount of a given asset or cash -generating unit (CGU) to which a given asset is assigned, e.g. goodwill. If the carrying amount of a given asset or CGU exceeds its recoverable amount, its impairment is recognized, and a write-down is made to the level of its recoverable amount.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 30 13.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Tangible fixed assets -10 497 -1 031 Intangible assets -3 431 -698 The result on impairment of non-financial assets -13 928 -1 729 14 Cost of legal risk of FX mortgage loans 14.1 Accounting policy information The Group identified the legal risk that the planned cash flows from the foreign currency indexed mortgage loan portfolio may not be fully recoverable. In connection with the above, the Group estimated the costs of legal risk and applied the provisions of IFRS 9.B.5.4.6 to its recognition - it treated this estimate as an adjustment to the gross carrying amount of the portfolio of mortgage loans indexed with foreign currencies or created provisions in accordance with the requirements of IAS 37. In accordance with IFRS 9.B.5.4.6, when an entity changes its estimate of payments or receipts the gross carrying amount of the asset or group of financial instruments so that it reflects the actual and changed estimated cash flows under the contract. This estimations includes both an adjustment in relation to the existing court cases to which the Bank is a party, as well as an estimated portfolio adjustment in relation to foreign currency mortgage loan agreements, which are subject to legal risk related to the nature of these agreements. If the estimated amount of legal risk costs exceeds the gross carrying amount of the credit exposure or the estimated amount concerns repaid foreign currency mortgage loans or when the estimated amount relates to expected legal claims (costs of legal repre sentation and interest), it is recognized in the Provisions item. For additional information on the legal risk of mortgage loans denominated in foreign currencies, see Note 39 Legal claims. 14.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Loans and advances to customers - adjustment decreasing the gross carrying amount of loans -91 461 -36 305 Provisions -63 241 -23 562 Other 3 583 512 Cost of legal risk of FX mortgage loans -151 119 -59 355 14.3 Significant estimates and judgements Legal risk costs constituting an adjustment to the gross carrying amount and provisions were estimated based on: • the pace of the inflow of disputes regarding the legal risk of mortgage loans in foreign currencies and the estimated percentage of the portfolio of FX mortgage loans that will be the subject of litigation, observed so far and forecast by the Bank in future periods,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 31 • statistics of the value of the subject matter of the dispute in previous lawsuits. The number of disputed cases so far is 436, i.e. 4.5% of all foreign currency loans granted (including those repaid as at the balance sheet date), including 278 cases related to disputes that are still pending as at 31.12.2025. The cost of legal risk of FX mortgage loans were estimated assuming that disputes will cover 60.9% of the portfolio of loans denominated in CHF and 9.1% of the portfolio of loans denominated in EUR and 2.7% of the portfolio of loans denominated in other currencies and based on assumptions regarding possible court ruling scenarios. The current level of provisions covers 115.9% of the gross value of the portfolio of loans denominated in CHF and 9.5% of the gross value of the remaining portfolio of loans denominated in other currencies. 14.4 Sensitivity analysis of significant estimates and judgements The Group conducted a sensitivity analysis of significant assumptions constituting the basis for calculating the adjustment of the gross carrying amount, where a change in the level of the parameter indicated below would have the following impact on the amount of legal risk costs of foreign currency mortgage loans: 31.12.2025 31.12.2024 increase in the scale of legal claims by 10% in relation to the estimates adopted by the Group -36 819 -21 267 15 Banking Tax The Act on Tax from Certain Financial Institutions of 15 January 2016 became effective on 1 February 2016 – the Act applies to banks and insurance companies. The tax accrues on the surplus of assets in excess of PLN 4 billion as detailed in trial balances as at the end of each month. Banks are entitled to reduce the tax base by, among others, the value of own funds, the value of assets in the form of Treasury securities, the value of assets in the form of securities guaranteed by the State Treasury, the value of assets acquired from the NBP, constituting security for a refinancing loan granted by the NBP. The tax is payable monthly (the monthly rate is 0.0366%) by the 25th day of the month following the month to which it applies and is recognised in the profit and loss account in the period to which it applies. Pursuant to the Act of 6 November 2025 amending the Corporate Income Tax Act and the Act on Tax on Certain Financial Institutions (Journal of Laws of 2025, item 1658), the monthly tax rate in 2027 will be 0.0329% and from 2028 – 0.0293%. 16 Income tax 16.1 Accounting policy information Income tax covers current tax and deferred tax. Income tax is recognised in the profit and loss account, unless the tax is related to: • transactions recognised in other comprehensive income or directly in equity, • combination of entities.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 32 Current tax Liabilities (receivables) under current income tax for the current and prior periods are measured at the amount expected to be paid to tax authorities (or to refunded from tax authorities at the tax rates (and tax laws) enacted or substantively enacted at the end of the reporting period. Deferred income tax Deferred income tax is calculated as a balance sheet liability based on identification of time differences between the tax value and the carrying value of assets and liabilities. The Group establishe a deferred income tax provision with reference to all positive temporary differences with the exception of the following: • when the deferred income tax provision results from the initial recognition of goodwill or initial recognition of an asset or liability coming from a transaction which is not a combination of entities and when the transaction is executed, it does not affect the gross financial profit or taxable income (tax loss), • the parent entity, investor, or partner in a joint venture are able to control reversal dates of temporary differences and it is likely that the temporary differences are not reversed in the foreseeable future. With reference to all negative temporary differences, the deferred tax asset is recognised in the amount of probable taxable income which will allow for a set -off of negative temporary differences, with the exception of the following: • when the deferred income tax results from the initial recognition of an asset or liability coming from a transaction which is not a combination of entities and when the transaction is executed, it does not affect the gross financial profit or taxable income (tax loss), • when negative temporary differences result from investments in subsidiaries, branches, affiliated entities, and joint ventures outside the extent when it is probable that they will be reversed in the foreseeable future and taxable income will be generated from which such temporary differences can be deducted. The carrying value of the deferred income tax asset is verified at the end of each reporting period. The Bank reduces its carrying value to the extent it is not probable to generate taxable income sufficient to have it realised in full or in part. A deferred income tax asset and a deferred income tax provision are measured according to the tax rates which will be applicable when the asset is realised or provision reversed, assuming the tax rates (and tax laws) legally or actually effective as at the end of the reporting period. Current and deferred income tax is recognised directly in other comprehensive income, if it applies to items that have been recognised in other comprehensive income in the same or another period. A deferred income tax asset and a deferred income tax provision are offset, if a legally enforceable right exists to set off the current income tax receivables or payables and the deferred income tax relates to the same taxable entity and the same taxation authority.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 33 16.2 Financial data 16.2.1 Tax charge disclosed in the profit and loss account 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Current tax 596 056 615 642 Deferred income tax -26 709 137 213 Income tax 569 347 752 855 16.2.2 Effective tax rate calculation 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Gross profit 2 936 395 3 197 877 Income tax at 19% 557 915 607 597 Non-tax-deductible expenses (tax effect) 138 383 160 678 Allowances for expected credit losses, written-off receivables 26 027 73 177 Prudential fee to BGF 20 414 7 722 Tax on Certain Financial Institutions 54 317 53 118 Cost of legal risk of FX mortgage loans 28 713 11 277 Other 8 912 15 384 Non-taxable income (tax effect) -3 325 -7 080 Deferred tax income related to changes in tax rates -94 615 0 Other -29 011 -8 340 Income tax recognized in the income statement 569 347 752 855 Effective tax rate 19.39% 23.54% On 1 January 2026, the Act of 6 November 2025, amending the Corporate Income Tax Act and the Act on Tax on Certain Financial Institutions (Journal of Laws of 2025, item 1658), entered into force, which changes the corporate income tax rate for banks. The Act increases the corporate income tax rate for banks (excluding taxpayers who are cooperative banks) in 2026 from the current 19% to 30%. In 2027, the corporate income tax rate will be 26%, and starting from 2028, it will be 23%. Therefore, in accordance with IAS 12.48, the Bank measured deferred income tax receivables (assets) and liabilities (provisions) as at 31 December 2025 using the amended rates. The total impact on the net profit of 2025 on this account amounted to PLN 94.6 million (increase). 16.2.3 Deferred tax asset and liability Deferred tax asset 31.12.2024 Changes recognised in financial result Changes recognised in other comprehensive income Other changes 31.12.2025 Commissions collected in advance 80 341 -16 609 0 0 63 732 Interest accrued on deposits 25 610 12 128 0 0 37 738 Interest / discount accrued on securities 33 455 38 236 0 0 71 691 Negative valuation of securities 16 434 -992 -14 031 0 1 411 Interest accrued on derivative instruments 64 430 46 385 0 0 110 815 Negative valuation of derivative instruments 110 743 13 658 -54 665 0 69 736 Premium on options 2 046 -1 376 0 0 670 Provision for deferred expenses 102 726 70 046 0 -603 172 169 Impairment allowances on credit receivables 567 389 95 779 0 0 663 168 Lease principal receivables 184 173 -10 058 0 0 174 115
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 34 Deferred tax asset 31.12.2024 Changes recognised in financial result Changes recognised in other comprehensive income Other changes 31.12.2025 Tax loss 304 8 713 0 0 9 017 Other 36 388 7 105 0 6 43 499 Deferred tax asset 1 224 039 263 015 -68 696 -597 1 417 761 Deferred tax liability 31.12.2024 Changes recognised in financial result Changes recognised in other comprehensive income Other changes 31.12.2025 Interest accrued on loans, deposits and operations with the Central Bank -118 592 -55 713 0 0 -174 305 Interest / discount accrued on securities -45 299 -81 579 0 0 -126 878 Positive valuation of securities -26 146 -1 165 -64 499 -9 -91 819 Interest accrued on derivative instruments -90 675 -81 107 0 0 -171 782 Positive valuation of derivative instruments -65 480 -6 396 -37 724 0 -109 600 Difference between balance and tax depreciation -44 305 -6 119 0 0 -50 424 Accrued not received income -11 978 -4 227 0 0 -16 205 Deferred income tax provisions -402 475 -236 306 -102 223 -9 -741 013 Total effect of temporary differences 821 564 26 709 -170 919 -606 676 748 Deferred tax asset 31.12.2023 Changes recognised in financial result Changes recognised in other comprehensive income Other changes 31.12.2024 Commissions collected in advance 141 650 -61 309 0 0 80 341 Interest accrued on deposits 49 806 -24 196 0 0 25 610 Interest / discount accrued on securities 18 918 14 537 0 0 33 455 Negative valuation of securities 7 716 2 311 6 407 0 16 434 Interest accrued on derivative instruments 52 686 11 744 0 0 64 430 Negative valuation of derivative instruments 158 452 329 -48 038 0 110 743 Premium on options 3 367 -1 321 0 0 2 046 Provision for deferred expenses 97 993 362 0 4 371 102 726 Impairment allowances on credit receivables 633 554 -66 165 0 567 389 Lease principal receivables 161 252 22 921 0 0 184 173 Tax loss 359 8 0 -63 304 Other 66 936 -30 910 0 362 36 388 Deferred tax asset 1 392 689 -131 689 -41 631 4 670 1 224 039 Deferred tax liability 31.12.2023 Changes recognised in financial result Changes recognised in other comprehensive income Other changes 31.12.2024 Interest accrued on loans, deposits and operations with the Central Bank -135 109 16 534 0 -17 -118 592 Interest / discount accrued on securities -37 245 -8 054 0 0 -45 299 Positive valuation of securities -22 719 590 -3 988 -29 -26 146 Interest accrued on derivative instruments -67 159 -23 516 0 0 -90 675 Positive valuation of derivative instruments -99 066 10 066 23 503 17 -65 480 Difference between balance and tax depreciation -43 637 -668 0 0 -44 305 Accrued not received income -7 130 -476 0 -4 372 -11 978 Deferred income tax provisions -412 065 -5 524 19 515 -4 401 -402 475 Total effect of temporary differences 980 624 -137 213 -22 116 269 821 564
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 35 17 Earnings per share 17.1 Accounting policy information In compliance with IAS 33, basic earnings per share are calculated by dividing the net profit attributable to equity holders of the Bank by the weighted average number of the ordinary shares outstanding during the period. Diluted earnings per share are calculated by dividing the net profit attributable to equity holders of the Bank by the weighted caverage number of the ordinary shares outstanding during the given period adjusted for all potential dilution of ordinary shares. As at 31 December 2025 and 31 December 2024 the Bank did not have any diluting instruments. 17.2 Financial data 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Net profit 2 367 048 2 445 022 Weighted average number of ordinary shares 130 553 991 130 553 991 Basic/diluted earnings per ordinary share (PLN) 18.13 18.73 Additional information to the statement of financial position 18 Cash and cash equivalents 18.1 Accounting policy information Cash and cash equivalents consist of cash, cash in banks in nostro accounts and in term accounts with a maturity of up to 3 months from the date of acquisition, and are valued at amortized cost. Classification is based on the entity’s business model for managing the financial assets and the characteristics regarding the contractual cash flows referred to in Note 20.1. 18.2 Financial data Structure by type 31.12.2025 31.12.2024 Current account with the central bank 2 979 614 1 397 492 Cash 430 738 434 835 Current accounts in other banks 652 504 291 004 Term deposits in other banks 98 42 Gross carrying amount 4 062 954 2 123 373 Expected credit losses -40 -22 Carrying amount 4 062 914 2 123 351 By currency structure 31.12.2025 31.12.2024 PLN 3 046 509 1 497 809 EUR 329 078 193 258
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 36 By currency structure 31.12.2025 31.12.2024 USD 397 709 174 941 CHF 48 072 31 672 Other currencies 241 586 225 693 Gross carrying amount 4 062 954 2 123 373 Expected credit losses -40 -22 Carrying amount 4 062 914 2 123 351 The Bank maintains a mandatory reserve on the current account with the National Bank of Poland. During the day the Bank may use funds in the mandatory reserve account for current cash settlements on the basis of instructions placed with the National Bank of Poland, however, the Bank has to maintain an average monthly balance in the account equivalent to the declared mandatory reserve. The level of the mandatory reserve is determined by the Monetary Policy Council. The mandatory reserve rate has been at: • 3.5 percent for deposits in PLN and foreign currencies and for funds from issuing securities with a maturity of less than two years, • 0.0 percent for funds from repo and sell-buy-back transactions acquired for at least 2 years. The entities that calculate the mandatory reserve deduct the calculated amount by equivalent of EUR 500 thousand. As at 31 December 2025 the interest rate on the mandatory reserve was 4.0% and as at 31 December 2024 was 5.75%. 19 Amounts due from banks 19.1 Accounting principles Classification is based on the entity’s business model for managing the financial assets and the characteristics regarding the contractual cash flows referred to in Note 20.1. 19.2 Financial data Structure by type 31.12.2025 31.12.2024 Reverse Repo 1 325 770 971 908 Deposits as derivative transactions (ISDA) collateral 753 864 725 785 Other 123 492 123 892 Gross carrying amount 2 203 126 1 821 585 Expected credit losses -17 -4 Carrying amount 2 203 109 1 821 581 By maturity 31.12.2025 31.12.2024 up to 1 month 2 161 581 1 782 742 from 1 month to 3 months 41 545 38 843 Gross carrying amount 2 203 126 1 821 585 Expected credit losses -17 -4 Carrying amount 2 203 109 1 821 581
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 37 By currency structure 31.12.2025 31.12.2024 PLN 1 367 816 1 182 486 EUR 775 551 583 815 USD 58 176 54 808 Other currencies 1 583 476 Gross carrying amount 2 203 126 1 821 585 Expected credit losses -17 -4 Carrying amount 2 203 109 1 821 581 The margin deposits refer to security provided to other banks under CSA agreement (Credit Support Annex). 20 Securities and derivatives 20.1 Accounting principles According to IFRS 9, upon initial recognition, financial assets are classified to the following measurement categories: • financial assets measured at amortized cost, • financial assets measured at fair value through other comprehensive income, • financial assets measured at fair value through profit or loss. Financial capital assets are measured at fair value through profit or loss, unless the Group, at the date of first recognition, decides to value other comprehensive income. The classification of debt financial assets depends on the business model under which the financial instrument is managed and on the characteristics of contractual cash flows. The business model is a method for financial assets management. When assessing the business model, Alior Bank Group follows the following criteria: (i) the adopted investment strategy, (ii) frequency of sale of receivables from the portfolio of homogeneous assets, (iii) risk profile and measurement. Business models identified at Alior Bank Group: • in the corporate client and retail client segments, including Kasa Mieszkaniowa: a business model whose objective is to hold financial assets in order to collect contractual cash flows, exposure sales are allowed due to credit risk, • in the portfolio of the Treasury: (i) a business model whose objective is to hold financial assets in order to collect contractual cash flows, (ii) a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and (iii) other business model than business model whose objective is to hold financial assets in order to collect contractual cash flows and business model whose objective is achieved by both collecting contractual cash flows and selling financial assets. • with regard to the portfolio of the Brokerage House: (i)a business model whose objective is to hold financial assets in order to collect contractual cash flows and (ii) other business model than business model whose objective is to hold financial assets in order to collect contractual cash
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 38 flows and business model whose objective is achieved by both collecting contractual cash flows and selling financial assets. The product is assigned to the business model in the Alior Bank Group at the product analysis level. In the case of realization of cash flows as a result of sales, the motive for which the sale is undertaken is also important for the assessment of the business model. A distinction is made between the sale of financial assets with impaired credit quality d ue to credit risk management, the sale of assets for the purposes of financial liquidity and financial risk management, and sales undertaken to generate financial profits. Sale of impaired quality assets does not exclude classification to the cash flow model in accordance with contractual terms. The purpose of the contractual cash flow characteristics assessment of a financial asset is whether the terms of the contract realise cash flows according to schedule, which are only repayment of the principal and interest on the principal amount still to be repaid (the so -called SPPI criterion - solely payments of principal and interest). The main amount for the purposes of the SPPI test is the fair value of the financial asset at the moment of initial recognition. The interest on the principal amount includes payment for the time value of money, remuneration for the credit risk incurred and other basic risks and costs associated with granting loans, as well as a profit margin. Financial assets whose cash flows have the characteristics of solely the repayment of the principal and interest on the principal are classified to the following categories of measurement: • according to amortized cost, if they are maintained in a business model whose purpose is to realize cash flows in accordance with contractual terms, • at fair value through other comprehensive income if they are maintained in a business model whose purpose is to realize cash flows in accordance with contractual terms or through sale. Financial assets whose cash flows are modified in such a way that they have features other than solely repayment of the principal and interest on the principal are classified to the category of measurement at fair value through profit or loss regardless of the business model. This category also classifies financial assets managed in accordance with the business model which involves the sale of assets to generate financial profits, assessment of results based on changes in fair value and sales results. This category also always includes derivative instruments that are not hedging instruments. 20.2 Financial data 31.12.2025 31.12.2024 Securities and derivatives 26 509 328 23 602 885 measured at fair value through other comprehensive income 22 542 955 21 204 007 measured at fair value through profit or loss 370 637 240 942 measured at amortized cost 3 595 736 2 157 936
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 39 20.2.1 Securities and derivatives by type Measured at fair value through other comprehensive income 31.12.2025 31.12.2024 Debt instruments 22 342 211 21 064 006 Issued by the central governments 19 991 337 16 846 832 T-bonds 19 046 261 16 633 632 T-bills 945 076 213 200 Issued by monetary institutions 2 350 874 4 217 174 eurobonds 679 701 251 781 money bills 1 099 389 3 398 372 bonds 571 784 567 021 Equity instruments 200 744 140 001 Total 22 542 955 21 204 007 Measured at fair value through profit or loss 31.12.2025 31.12.2024 Debt instruments 103 328 1 982 Issued by the central governments 103 324 1 978 T-bonds 103 324 1 978 Issued by other financial institutions 4 4 bonds 4 4 Equity instruments 19 218 26 090 Derivative financial instruments 248 091 212 870 Interest rate transactions 156 801 135 874 SWAP 155 724 134 884 Cap Floor Options 485 786 FRA 577 197 Forward 15 7 Foreign exchange transactions 59 368 70 431 FX Swap 16 386 35 852 FX forward 34 285 8 447 CIRS 1 058 8 092 FX options 7 639 18 040 Other options 146 0 Other instruments 31 776 6 565 Total 370 637 240 942 Measured at amortized cost 31.12.2025 31.12.2024 Debt instruments 3 595 736 2 157 936 Issued by the central governments 3 595 675 2 056 853 T-bonds 3 595 675 2 056 853 Issued by other financial companies 61 101 083 bonds 61 101 083 Total 3 595 736 2 157 936
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 40 Expected credit losses for financial assets - debt instruments 31.12.2025 31.12.2024 Carrying amount / Gross carrying amount Expected credit losses Carrying amount / Gross carrying amount Expected credit losses Measured at fair value through other comprehensive income 22 342 211 10 242* 21 064 006 8 382* Measured at amortized cost 3 597 631 1 895 2 158 971 1 035 *An ECL of debt securities measured at fair value through other comprehensiwve income is included in the “Revaluation reserv e” item and does not reduce the carrying amount Debt instruments measured at amortized cost Stage 1 Stage 2 Stage 3 POCI Total Gross carrying amount Gross carrying amount as at 01.01.2025 2 158 834 0 77 60 2 158 971 New / purchased / granted financial assets 1 918 403 0 0 0 1 918 403 Changes due to the sale or expiry of the instrument -514 579 0 0 0 -514 579 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences 34 836 0 0 0 34 836 Gross carrying amount as at 31.12.2025 3 597 494 0 77 60 3 597 631 Expected credit losses 0 Expected credit losses as at 01.01.2025 958 0 77 0 1 035 New / purchased / granted financial assets 1 098 0 0 0 1 098 Changes due to the sale or expiry of the instrument -196 0 0 0 -196 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences -42 0 0 0 -42 Expected credit lossesas at 31.12.2025 1 818 0 77 0 1 895 Net carrying amount as at 31.12.2025 3 595 676 0 0 60 3 595 736 Debt instruments measured at amortized cost Stage 1 Stage 2 Stage 3 POCI Total Gross carrying amount Gross carrying amount as at 01.01.2024 2 926 462 0 77 60 2 926 599 New / purchased / granted financial assets 1 168 152 0 0 0 1 168 152 Changes due to the sale or expiry of the instrument -1 955 496 0 0 0 -1 955 496 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences 19 716 0 0 0 19 716 Gross carrying amount as at 31.12.2024 2 158 834 0 77 60 2 158 971 Expected credit losses 0 Expected credit losses as at 01.01.2024 844 0 77 0 921 New / purchased / granted financial assets 519 0 0 0 519 Changes due to the sale or expiry of the instrument -329 0 0 0 -329 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 41 Debt instruments measured at amortized cost Stage 1 Stage 2 Stage 3 POCI Total Other changes, including exchange differences -76 0 0 0 -76 Expected credit lossesas at 31.12.2024 958 0 77 0 1 035 Net carrying amount as at 31.12.2024 2 157 876 0 0 60 2 157 936 Debt instruments measured at fair value through other comprehensive income Stage 1 Stage 2 Stage 3 POCI Total Carrying amount As at 01.01.2025 21 064 006 0 0 0 21 064 006 New / purchased / granted financial assets 181 788 437 0 0 0 181 788 437 Changes due to the sale or expiry of the instrument -180 594 333 0 0 0 -180 594 333 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences 84 101 0 0 0 84 101 As at 31.12.2025 22 342 211 0 0 0 22 342 211 Expected credit losses* As at 01.01.2025 8 382 0 0 0 8 382 New / purchased / granted financial assets 3 365 0 0 0 3 365 Changes due to the sale or expiry of the instrument -1 531 0 0 0 -1 531 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences 26 0 0 0 26 As at 31.12.2025 10 242 0 0 0 10 242 *An ECL of debt securities measured at fair value through other comprehensiwve income is included in the “Revaluation reserve ” item and does not reduce the carrying amount Debt instruments measured at fair value through other comprehensive income Stage 1 Stage 2 Stage 3 POCI Total Carrying amount As at 01.01.2024 15 352 460 0 0 0 15 352 460 New / purchased / granted financial assets 201 041 787 0 0 0 201 041 787 Changes due to the sale or expiry of the instrument -195 544 224 0 0 0 -195 544 224 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0 Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences 213 983 0 0 0 213 983 As at 31.12.2024 21 064 006 0 0 0 21 064 006 Expected credit losses* As at 01.01.2024 5 632 0 0 0 5 632 New / purchased / granted financial assets 5 394 0 0 0 5 394 Changes due to the sale or expiry of the instrument -2 345 0 0 0 -2 345 Financial assets written off 0 0 0 0 0 Transfer to Stage 1 0 0 0 0 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 42 Debt instruments measured at fair value through other comprehensive income Stage 1 Stage 2 Stage 3 POCI Total Transfer to Stage 2 0 0 0 0 0 Transfer to Stage 3 0 0 0 0 0 Other changes, including exchange differences -299 0 0 0 -299 As at 31.12.2024 8 382 0 0 0 8 382 *An ECL of debt securities measured at fair value through other comprehensiwve income is included in the “Revaluation reserve ” item and does not reduce the carrying amount 20.2.2 Securities and derivatives by maturity Measured at fair value through other comprehensive income 31.12.2025 31.12.2024 no specified maturity 200 744 140 001 up to 1 month 1 898 009 3 651 932 from 1 month to 3 months 618 462 425 469 from 3 months to 1 year 798 969 0 from 1 year to 5 years 17 080 126 14 866 159 more than 5 years 1 946 645 2 120 446 Total 22 542 955 21 204 007 Measured at fair value through profit or loss 31.12.2025 31.12.2024 no specified maturity 19 218 26 090 up to 1 month 40 989 33 071 from 1 month to 3 months 29 132 34 422 from 3 months to 1 year 24 448 32 119 from 1 year to 5 years 127 684 93 995 more than 5 years 129 166 21 245 Total 370 637 240 942 Measured at amortized cost 31.12.2025 31.12.2024 up to 1 month 49 876 72 832 from 1 month to 3 months 0 101 022 from 3 months to 1 year 536 135 302 from 1 year to 5 years 2 988 429 1 457 472 more than 5 years 21 296 526 308 Total 3 595 736 2 157 936 20.2.3 Derivative instruments (nominal value) Derivative transactions are executed for trading purposes and to manage the market risk. The Group enters into the following types of derivative transactions: FX -Forward, FX -Swap, IRS, CIRS, FRA, commodity Futures, commodity Forward, term transactions in securities , EUA futures transactions. Every day the Group measures derivative instruments applying the discounted cash flows model. The Group also enters into option transactions that are measured with option measurement models. The valuation
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 43 of derivatives is presented in financial assets at fair value through profit or loss (positive valuation) and financial liabilities (negative valuation) of the Bank's statement of financial position. 31.12.2025 Derivative instruments (nominal value) Fair value measurement ASSETS Fair value measurement LIABILITIES Interest rate transactions 12 740 959 156 801 191 538 SWAP 8 940 083 155 724 190 160 Cap floor options 660 088 485 485 FRA 3 120 000 577 893 Forward 20 788 15 0 FX transactions 7 488 423 59 368 46 327 FX Swap 4 045 682 16 386 21 290 FX forward 2 030 499 34 285 8 908 CIRS 134 347 1 058 6 104 FX options 1 277 895 7 639 10 025 Other options 107 713 146 146 Other instruments 880 517 31 776 29 891 Total 21 217 612 248 091 267 902 31.12.2024 Derivative instruments (nominal value) Fair value measurement ASSETS Fair value measurement LIABILITIES Interest rate transactions 8 606 291 135 874 138 634 SWAP 6 985 500 134 884 136 642 Cap floor options 450 587 786 786 FRA 1 160 000 197 1 206 Forwrd 10 204 7 0 FX transactions 8 510 084 70 431 51 592 FX Swap 3 341 193 35 852 15 516 FX forward 755 652 8 447 13 366 CIRS 232 111 8 092 2 383 FX options 4 181 128 18 040 20 327 Other options 186 371 0 0 Other instruments 399 636 6 565 6 224 Total 17 702 382 212 870 196 450 BCVA adjustments In its measurement of derivative instruments, Alior Bank SA Group applies adjustments for the counterparty's credit risk. The amount of the adjustment reflects the risk of insolvency of each party to the transaction (Bilateral Credit Value Adjustment). The adjustment is calculated on the basis of estimates of the following parameters: bilateral likelihood of default, PD (Probability of Default), LGD (Loss Given Default), anticipated positive and negative exposure under transaction (EE and NEE). PD indicators are estimated based on the Bank's internal ratings using market quotations of credit risk. The counterparty’s exposure is calculated at the present valuation and its projection calculated on the basis anticipated changes to market conditions.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 44 The total amount of the BCVA adjustment consisted of the CVA adjustment (reflecting the exclusion of the contractor's insolvency risk) and the DVA adjustment (reflecting the Bank's insolvency risk). BCVA adjustment 31.12.2025 31.12.2024 CVA DVA CVA DVA Amount of individual adjustments -846 249 -1 662 174 Total -597 -1 488 21 Hedge accounting 21.1 Accounting policy information Hedge accounting is applied for symmetrical recognition in the profit and loss account of compensating changes to the fair value of the hedging instruments and the hedged item. For the purposes of hedge accounting, the Group designates hedging instruments so that changes to their fair value or cash flows covered in whole or in part the changes to the fair value or future cash flows of the hedged item. According to IFRS 9 7.2.21, the Group decided to continue to apply the principles of hedge accounting in accordance with IAS 39. In accordance with IAS 39.88, hedge accounting may be applied if all the following conditions are met: • when the hedge is established, formal documentation is made of the hedging relationship specifying the hedging purpose and strategy, the type and identification of the hedged and hedging instrument, the nature of the hedged risk and the assessment method o f hedging effectiveness, • high hedging effectiveness is expected – high efficiency in compensating changes to the fair value or cash flows, in line with the documented risk management strategy concerning the specific hedging relationship, • it is possible to reliably assess the hedging effectiveness – reliable measurement of the fair value or cash flows of both the hedged item and the hedging item, • in the case cash flows, a high likelihood occurs that a hedged transaction occurs that is exposed to the risk of changing cash flows affecting the profit and loss account, • the hedging is assessed on an ongoing basis and its high effectiveness is confirmed in all reporting periods for which the hedging has been established. 21.2 Types of hedge strategies 21.2.1 Cash flow hedge accounting Cash flow hedges are hedges securing future cash flows fluctuations which can be attributed to a particular kind of risk connected with a given item of assets or liabilities or with a highly probable contemplated transaction, affecting the profit and loss account. Cash flow hedges are recognised in the books as follows: a) a part of profit or loss related to the hedging instrument constituting effective hedge is recognised in other comprehensive income in the lower amount of the following (absolute values) ,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 45 • cumulated until the profit or loss hedge is established on the hedging instrument , • cumulated until the establishment of a hedge to fair value changes (present value) of the anticipated future cash flows, resulting from the hedger item, b) an ineffective part of profit or loss related to the hedging instrument is recognised in the profit and loss account. The effective part of the hedge is transferred to the profit and loss account in the period or in periods when the hedged contemplated transaction affects the profit and loss account. The Group discontinues to apply hedge accounting when at least one of the following events occurs: • the hedging instrument is sold, expires, is terminated or exercised, • the above requirements of hedge accounting have not been complied with , • the Group cancels the hedge relationship, • future cash flows are no longer treated as probable. In the case any of the above events occurs, the result on the hedging instrument when the hedge has been effective – continues to be recognised in the revaluation reserve until the contemplated transaction occurs and it is recognised in the profit and loss account. The hedging strategy is aimed at hedging the interest rate risk resulting from changing cash flows from assets with variable interest rates using IRS /FRA transactions. In the established hedging relationships, the hedged items are cash flows from the portfolio of loans, advances and bonds with a variable interest rate, while the hedging items are IRS/FRA transactions under which the Group receives fixed interest based on a fixed rate and pays interest based on a floating rate . The hedged items are measure d at the amortised cost, while the hedging items at fair value through other comprehensive income, and as interest accrues to the hedged item, the relevant part of the valuation is transferred from other comprehensive income to the income statement. In established hedging relationships, hedged items also include cash flows from floating -rate bonds issued by the bank, and hedging items from IRS transactions under which the Group receives interest based on a variable rate and pays interest based on a fixed rate. Group, by establishing hedging links, identifies groups of loans or advances or bonds with the same parameters as hedging transactions, i.e. currency, maturity date, reference index for interest payments and the date of its revaluation. As part of the preliminary assessment of hedge effectiveness through qualitative assessment, the Group expects a high adjustment of the changes in the valuation of expected interest flows of the secured layer of loans, advances or bonds and the corresponding IRS /FRA hedging leg due to matching the key parameters of these transactions. The Group expects a small ineffectiveness of collateral, which may result from the mismatch of the frequency of interest payments from the hedged loan portfolio or bonds and the IRS/FRA hedging transaction. In addition, the poor ineffectiveness of held hedging relationships may be affected by unmatched re -measurement dates of the reference portfolios of the hedged portfolio and part of the IRS/FRA transaction variable. The Group analyzes the effectiveness of hedges on a monthly basis on the basis of the accumulated change in the present value of expected interest payments from the secured loan portfolio and interest payments on hedging transactions, using to measure effectiveness the concept of hypothetical derivative.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 46 21.2.2 Fair Value hedge accounting The Group hedges the risk of changes in the fair value of purchased debt securities with a fixed interest rate measured at fair value through other comprehensive income and measured at amortized cost due to changes in the interest rate swap curve. As part of the above strategy, the Group creates hedging relationships in which the hedged instrument are fixed coupon debt securities denominated in a given currency, and the hedging instrument is interest rate swaps (IRS) in the same currency. The Group hedges the risk a rising from changes in the interest rate swap curve (risk of volatility in market swap interest rates), excluding other effects that affect the change in valuation (including asset swap spread). The effectiveness of hedging relationships is tested on a monthly basis as part of prospective and retrospective tests. The effectiveness tests are based on the valuation of the hedging transaction less the value of accrued interest in a given interest period. The Group expects that the hedging relationship will be highly effective if all of the following criteria are met: • based on a comparison of the basic parameters of the hedged and hedging transactions, it can be expected that the effectiveness of the hedge will be high, • the ratio of the change in fair value of the hedged item and the hedging instrument is in the range [80%, 125% ] or the share of the ineffectiveness amount in the nominal value of the hedging transaction is in the range [-1%, 1%], • in each reporting period, the simulation of the hedge effectiveness ratio in the assumed scenarios of market interest rate evolution ranges from [80%, 125%]. The Group identifies potential sources of inefficiency: • impact of the counterparty credit risk and own credit risk on the fair value of the hedging transaction - minimized by requiring the counterparty to pay a margin and by clearing derivative transactions involving central clearing houses (CCPs), • different maturities of the hedging transaction and the debt security, • differences in the dates of revaluation and payment of interest coupons of the IRS hedging transaction and the debt security. In addition, the Group hedges changes in the fair value of deposits (current accounts, savings accounts without a clearly defined revaluation date) due to risks arising from changes in the interest rate curve (risk of market interest rate volatility), excluding other effects affecting the change in valuation (including asset swap spread). As part of the above strategy, the Group creates hedging relationships in which the hedged instrument is a layer of deposits specified in amount with a security horizon defined in the document establishing the hedging relationship, and the hedging instrument is an IRS/OIS float-to-fixed transaction. To define the deposit layer, the interest rate revaluation replication profile is used, determined in accordance with the methodology used to refine the measurement of interest rate risk in the banking book. The fair value of modeled deposits is subject to change due to changes in the market forward interest rate curve. In order to verify the validity of the established connections, retrospective and prospective effectiveness tests are carried out. The effectiveness of hedging relationships is tested on a monthly basis as part of
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 47 prospective (ex-ante) and retrospective (ex-post) tests. Effectiveness tests are based on the valuation of the hedging transaction less the value of accrued interest in a given interest period. The Group tests the effectiveness retrospectively (ex -post) as part of a two -stage procedure. In the first step, the Group uses the direct compensation method to test effectiveness. If, based on the procedure carried out in the first step, high effectivene ss in compensating changes in the valuation of the hedging instrument and the hedged item cannot be established, an additional procedure using linear regression is performed. The ex -ante test includes verification of linear regression and the significance of maximum valuation changes for this regression. The link passes the ex -ante test if the ex-ante regression test is passed or if the measurement of maximum valuation changes included in the regression is not significant. The ex-ante regression test and the ex -post regression test are passed if all of the following conditions are met for each test: • the value of the slope coefficient of the linear regression equation is in the range [ -1.25; -0.8], • the value of the coefficient of determination R^2 of the linear regression equation is >= 0.8, • the value of the F test examining the significance of explanatory variables is > 0.05. The Group has adopted the following principles: • amortization of the fair value adjustment resulting from the hedged risk begins on the date the adjustment to the hedged item ceases – in the case of portfolio hedges, • amortization of the fair value adjustment resulting from the hedged risk begins on the date the adjustment is made – in the case of hedges of financial assets. In both cases, they are amortized on a straight-line basis to the maturity date of the hedged item specified for this relationship. 21.3 Assessment of the impact of the IBOR reform on hedge accounting As at 31 December 2025, the Group maintained cash flow hedging relationships, in which the hedged item is interest flows on loans, the amount of which depends on the WIBOR ind ex. The hedging position in the above relationships by IRS interest rate exchange transactions, for which the variable legs are based on WIBOR. The nominal value of cash flow hedging transactions dependent on the WIBOR ind ex as at 31 December 202 5 was PLN 17.755 billion and as at 31 December 2024 was PLN 15.95 billion respectively. For relations related to the WIBOR indicator, the Bank identifies uncertainty related to the IBOR reform, however, it assesses the risk of failure to meet effectiveness tests due to changes in the contractual conditions of the hedged item and hedging transactions as low. 21.4 Financial data 31.12.2025 31.12.2024 Assets Liabilities Assets Liabilities Cash flow hedging instruments 381 003 56 962 238 954 394 016 Fair value hedging instruments 278 586 12 072 35 757 56 367 Total 659 589 69 034 274 711 450 383
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 48 The table below presents fair values and nominal values of hedging instruments and hedged instruments in cash flow hedge accounting (CFH). Interest rate CFH Loans / Bonds 31.12.2025 31.12.2024 Hedging instruments Nominal value 18 410 139 16 761 870 Carrying amount - assets 381 003 238 954 Carrying amount - liabilities 56 962 394 016 The line in the balance sheet in which the hedging instrument was presented Derivative hedge instruments Derivative hedge instruments Changes in the fair value of the hedging instrument being the basis for determining the amount of hedge ineffectiveness 173 207 -218 524 Changes in the fair value of the hedging instrument recognized in other comprehensive income 199 527 -300 483 Amount transferred in the period from comprehensive income to profit and loss account 249 678 429 616 Defered tax -92 389 -24 535 The amount of hedge ineffectiveness recognized in the profit and loss statement -157 3 490 The profit and loss account line in which the amount of hedge ineffectiveness, as described above, was recognized The result on financial assets measured at fair value through profit or loss and FX result The result on financial assets measured at fair value through profit or loss and FX result Hedged items The amount of change in the fair value of a hypothetical derivative representing the hedged item, which change is the basis for estimating the ineffectiveness of the hedge in a given period -168 183 234 418 CFH equity balance for relationships for which hedge accounting will continue beyond the end of the reporting period 128 350 113 960 Balances remaining in the cash flow hedge reserve for hedging relationships for which hedge accounting has been discontinued -2 229 -9 362 Hedging instruments (nominal value) 31.12.2025 31.12.2024 Interest rate transactions 18 410 139 16 761 870 Total 18 410 139 16 761 870 Distribution profile over time of the notional amounts and the corresponding average interest rates of the hedging instruments 31.12.2025 the nominal value of instruments with a remaining maturity under 1 year from 1 year to 3 years from 3 to 5 years over 5 years nominal (PLN) average % nominal (PLN) average % nominal (PLN) average % nominal (PLN) average % Interest rate swaps (IRS\FRA PLN) 12 495 000 2,99% 4 135 000 5,71% 325 000 4,91% 800 000 4,47% Interest rate swaps (IRS\FRA EUR) 169 068 -0,28% 486 071 3,03% 0 0,00% 0 0,00%
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 49 31.12.2024 the nominal value of instruments with a remaining maturity under 1 year from 1 year to 3 years from 3 to 5 years over 5 years nominal (PLN) average % nominal (PLN) average % nominal (PLN) average % nominal (PLN) average % Interest rate swaps (IRS PLN) 4 560 000 3.70 8 980 000 3.20 1 415 000 5.13 995 000 4.84 Interest rate swaps (IRS EUR) 149 555 3.58 448 665 1.81 213 650 2.95 0 0.00 Financial assets– hedging instruments 31.12.2025 31.12.2024 Level 2 381 003 238 954 Interest rate transactions 381 003 238 954 Total 381 003 238 954 By maturity 31.12.2025 31.12.2024 from 1 month to 3 months 44 244 2 420 from 3 months to 1 year 25 617 46 976 from 1 year to 5 years 257 035 177 462 over 5 years 54 107 12 096 Total 381 003 238 954 Financial liabilities – hedging instruments 31.12.2025 31.12.2024 Level 2 56 962 394 016 Interest rate transactions 56 962 394 016 Total 56 962 394 016 By maturity 31.12.2025 31.12.2024 up to 1 month 10 721 0 from 1 month to 3 months 5 565 0 from 3 months to 1 year 40 676 74 644 from 1 year to 5 years 0 310 554 over 5 years 0 8 818 Total 56 962 394 016 Other comprehensive income as regards cash flow hedges 01.01.2025- 31.12.2025 01.01.2024- 31.12.2024 Other gross comprehensive income at the beginning of period -284 809 -413 942 Gains/losses transferred to other comprehensive income in the period 199 527 -300 483 Amount transferred in the period from comprehensive income to profit and loss account, including: 249 678 429 616 - net interest income -249 678 -429 616 Accumulated other gross comprehensive income at the end of period 164 396 -284 809 Tax effect -38 275 54 114 Accumulated other net comprehensive income at the end of period 126 121 -230 695
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 50 Other comprehensive income as regards cash flow hedges 01.01.2025- 31.12.2025 01.01.2024- 31.12.2024 Ineffective part of cash flow hedges recognised in the profit and loss account in position the result on financial assets measured at fair value through profit or loss and trading result -157 3 490 Impact of other gross comprehensive income in the period 449 205 129 133 Deferred tax under cash flow hedges -92 389 -24 535 Impact of other net comprehensive income in the period 356 816 104 598 The table below presents fair values and nominal values of hedging instruments and hedged instruments in fair value hedge accounting. FVH IRS BONDS - hedging securities measured at fair value through other comprehensive income 31.12.2025 fair value through other comprehensive income 31.12.2024 Hedging instruments Nominal value 1 110 365 1 176 762 Carrying amount - assets 18 044 17 885 Carrying amount - liabilities 871 5 077 The line in the balance sheet in which the hedging instrument was presented Derivative hedge instruments Derivative hedge instruments The amount of change in the fair value of the hedging instrument 15 233 5 069 The profit and loss account line in which the change in the fair value of the hedging instrument was recognized The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk Hedged items Carrying amount - assets 1 004 041 1 101 039 Cumulative amount of the adjustment to the fair value of the hedged item included in the carrying amount of the hedged item recognized in the balance sheet - assets 0 0 The line in the balance sheet in which the hedged item is presented Securities measured at fair value through other comprehensive income Securities measured at fair value through other comprehensive income The amount of change in the fair value of the hedged item 13 321 2 078 The profit and loss account line in which the change in the fair value of the hedged item was recognized The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk Hedging instruments (nominal value) 31.12.2025 31.12.2024 Interest rate transactions 1 110 365 1 176 762 Total 1 110 365 1 176 762 Financial assets– hedging instruments 31.12.2025 31.12.2024 Level 2 18 044 17 885 Interest rate transactions 18 044 17 885 Total 18 044 17 885
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 51 By maturity 31.12.2025 31.12.2024 from 3 months to 1 year 5 478 2 211 from 1 year to 5 years 5 547 7 240 over 5 years 7 019 8 434 Total 18 044 17 885 Financial liabilities – hedging instruments 31.12.2025 31.12.2024 Level 2 871 5 077 Interest rate transactions 871 5 077 Total 871 5 077 By maturity 31.12.2025 31.12.2024 over 5 years 871 5 077 Total 871 5 077 FVH IRS DEPOSITS 31.12.2025 31.12.2024 Hedging instruments Nominal value 11 986 184 6 558 300 Carrying amount - assets 260 542 17 872 Carrying amount - liabilities 11 201 51 290 The line in the balance sheet in which the hedging instrument was presented Derivative hedge instruments Derivative hedge instruments The amount of change in the fair value of the hedging instrument 232 065 -42 129 The profit and loss account line in which the change in the fair value of the hedging instrument was recognized The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk Hedged items Carrying amount - liabilities 11 986 184 6 558 300 The line in the balance sheet in which the hedged item is presented Amounts due to customers Amounts due to customers The amount of change in the fair value of the hedged item - liabilities 202 118 -53 015 The name of the line in the balance sheet presenting changes in the fair value measurement of the hedged item Change in fair value measurement of hedged items in hedged portfolio against interest rate risk Change in fair value measurement of hedged items in hedged portfolio against interest rate risk The amount of change in the fair value of the hedged item -255 129 52 787 The profit and loss account line in which the change in the fair value of the hedged item was recognized The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk The result on financial assets measured at fair value through profit or loss and FX result, change in fair value measurement for the hedged risk Hedging instruments (nominal value) 31.12.2025 31.12.2024 Interest rate transactions 11 986 184 6 558 300 Total 11 986 184 6 558 300
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 52 Financial assets– hedging instruments 31.12.2025 31.12.2024 Level 2 260 542 17 872 Interest rate transactions 260 542 17 872 Total 260 542 17 872 By maturity 31.12.2025 31.12.2024 from 1 month to 3 months 232 0 from 3 months to 1 year 3 059 14 536 from 1 year to 5 years 39 505 3 235 over 5 years 217 746 101 Total 260 542 17 872 Financial assets– hedging instruments 31.12.2025 31.12.2024 Level 2 11 201 51 290 Interest rate transactions 11 201 51 290 Total 11 201 51 290 By maturity 31.12.2025 31.12.2024 from 3 months to 1 year 279 5 082 from 1 year to 5 years 599 4 155 over 5 years 10 323 42 053 Total 11 201 51 290 22 Loans and advances to customers 22.1 Accounting principles On 31 December 2025 and 31 December 2024 in that category the Group held receivables under loans, purchased receivables and other receivables from customers. In addition, the Group also presents under this item sell -buy transactions in securities, guided by the economic substance of the transaction . The assessment covers if the securities purchase/sale transaction is combined with transfer of risks and benefits under the security. In the transactions so far entered into by the Group, basically all risks and benefits are retained by the seller of the securities since the risk of change of the present value of net assets is not materially changed as a result of such transfer. This means that both reverse repo and buy - sell-back transactions, as well as repo and sell-buy-back transactions are disclosed in the Group's balance sheet as: securities placed with the securities buyer or deposits received from the securities buyer. Securities subject to a sale with a repurchase agreement are not derecognised from the statement of financial position and are subject to valuation in accordance with the principles set out for individual securities portfolios. A difference between the sale price and the repurchase price is recognised as interest expense or income respectively.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 53 Loans and advances to customers are measured at amortized cost because they are maintained in a business model whose purpose is to realize cash flows in ac cordance with contractual terms and contractual cash flows include only repayment of the principal and interest. Detailed of accounting principles regarding the classification of financial assets are described in Note 20.1. The classification and estimation of expected credit losses made by the Group take into account the requirements of: • IFRS 9 "Financial Instruments", • Recommendation R of the Polish Financial Supervision Authority on the principles of credit exposure classification, estimation and recognition of expected credit losses and credit risk management issued in April 2021, • EU Regulation No. 575/2013, Art. 178 and EBA / GL / 2016/07 guidelines on the application of the definition of default and the Regulation of the Minister of Finance, Investments and Development of 3/10/2019 on the materiality level of an overdue credit obl igation and EU Regulation No. 2021/451, Annex V. Classification of receivables from customers According to the expected credit loss model the Group estimates impairment allowance. Principles of estimating expected credit loss include the division the loans and advances to customers into three categories (stages) of quality which influences method and horizon of estimating loss allowance: • Stage 1, receivables without indications of impairment and without a significant increase of credit risk from the moment of initial recognition, • Stage 2, receivables without indications of impairment but with a significant increase of credit risk from the moment of initial recognition, • Stage 3, receivables with indications of impairment. The horizon for estimating the expected credit losses Expected credit losses of receivables classified into Stage 1 are estimated at a 12-month horizon. Losses of r eceivables classified into Stage 2 and Stage 3 are estimated at the life -time horizon (life -time estimated horizon of expectancy life of receivables). The life-time horizon is also always applied to exposures that were impaired due to credit risk (so -called purchased or originated credit impaired, POCI) as at the acquisition or creation date, regardless of their credit quality as at the valuation date. Moreover the Group distinguishes a low credit risk group, which are excluded from the assessment of significant credit risk deterioration and are subject to valuation in the horizon of 12 months (or maturity, if shorter). The Group qualifies for this group: State Treasury exposures (Ministry of Finance, National Bank of Poland, BGK, etc.). Definition of a loss allowances The loss allowances are the difference between the gross exposure value and expected recoveries after taking into account the status / probability of default in the given horizon. For POCI exposures, a loss
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 54 allowances is a positive or negative difference between their cumulative on estimation date of expected credit losses and the cumulative level set at the acquisition/creation date of the exposure. If financial assets are proven to be uncollectible, the Group writes-off the receivables or parts thereof against the impairment allowance. The amounts of such written-off receivables that may be recovered in the future reduce the value of the impairment allowances in the income statement. Detailed are described in Note 3.4. 22.2 Principles of classification credit quality (stages) The Group assesses the credit quality of receivables and classifies them into the appropriate risk categories (stages) at each balance sheet date. Stage 3, receivables with triggers of impairment The Group defines the impairment triggers based on supervisory regulations and guidelines : • EU Regulation No. 575/2013, Art. 178 and the EBA/GL/2016/07 guidelines on the application of the definition of default and the Regulation of the Minister of Finance, Investment and Development of 3.10.2019 on the materiality level of overdue credit obligat ions and EU Regulation No. 2021/451, • Recommendation R of the Polish Financial Supervision Authority regarding the rules for classifying credit exposures, estimating and recognizing expected credit losses and credit risk management issued in April 2021, and taking into account its own experience related to credit risk management. The Group applies the default definition in line with the definition of credit -impaired exposures (Stage 3) and the definition of non-performing exposures.. The Group, in accordance with Art. 178 sec. 1, second paragraph of Regulation (EU) No . 575/2013: • for retail exposures, it applies the default definition at the level of individual credit instruments (including contagion in the case of significant arrears for the entire relationship), • for non-retail exposures, the definition of default is applied at the obligor level. . Key impairment triggers are as follows: • a significant delay in payment, understood as a delay in repayment exists for over 90 days, while the overdue amount meets the materiality criterion of the outstanding amount (i.e. PLN 400 for retail clients and PLN 2 thousand for commercial clients and 1% of the outstanding amount to the total exposure), • a major deterioration of the customer’s economic and financial condition (including significant deterioration of internal scoring/rating) that can affect that client's is not able to realise contractual terms regarding the liabilities towards the Bank, • restructuring understood as an improvement granted in terms of financing as a result of significant financial difficulties of the borrower, if among others it reduces the NPV of the asset above 1%, introduces a balloon installment or significantly postpones the servicing of capital installments , • business application for restructuring, bankruptcy and liquidation proceedings, • effective termination of the contract, • individual consumer bankruptcy,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 55 • death of an individual customer (taking into account the impact on debt service threat in the case of common obligations of many debtors), • lack of information about the whereabouts of an individual client, if it has a negative impact on the timely handling of the engagement, • loss of retail client work (recognized on the basis of an assessment of the customer's inability to pay the debt due to job loss), • initiation of court or enforcement proceedings, • challenging exposure by the debtor, • frauds, • cessation of activities, • writing off / sale at a loss, • implementation of guarantees, • default of an individual client as a result of recognizing a default in his sole proprietorship . The above mentioned list of indicators is an open set. In the case of an event that could be a sign for impairment, not covered by the above mentioned the catalog assesses its significance for the risk of the client defaulting on the basis of the original contractual terms and, if it is reasonable should determing the impairment's indicators. The Group reviews all client's credit exposures in terms of identifying objective premises for impairment on a daily basis in terms of quantitative and procedural premises and, according to the most recent data on the date of the assessment, in terms of pr emises relating to the assessment of the client's financial condition. The process of identifying defaults is carried out in a dedicated, centralized system where all debtors of the Bank and the Capital Group are assessed according to uniform criteria. In 2025, despite the occurrence of significant negative external phenomena (post -pandemic period, war in Ukraine, environment of high interest rates and other macroeconomic challenges), the Group did not identify the validity of the introduction any changes to the rules for recognizing impairment triggers. Stage 2, without triggers of impairment, with a significant deterioration from the initial recognition As at each balance date, Group assesses whether the credit risk related to a given financial instrument has significantly increased since the day of its initial recognition. In order to make such an assessment, the Group compares the estimated life-time default risk for a given financial instrument determined as at the reporting date with the risk of default of that financial instrument in the same period as at the initial recognition date. Starting 31 December 2021, the Group introduced the requirements of Recommendation R of the Polish Financial Supervision Authority as regards the rules for identifying exposures with a significant deterioration in credit risk. The rules for identifying a significant increase in credit risk from the initial recognition are based on: • qualitative criterias and • quantitative criterias.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 56 The Group includes as qualitative criteria: • occurrence of overdue exceeding 30 days, • classification of the client on the higher risk list ("watch list"), • forbearance (if customer staying in the post-restructuring period probation), • identification of significant risk (industry, sector or customer group), • no initial or ongoing scoring, • achieving the current scoring or rating above the established masterscale levels, • occurrence of an overdue period exceeding 90 days, which due to insignificance does not constitute a premise for default, • procedural phenomena / events which are not accompanied by arrears/overdue , which do not result in default classification (including e.g loss of job, lack of information about the debtor's whereabouts), • default on another retail customer account. The Group includes as quantitative criteria: • increase above the defined materiality thresholds, the cumulative probability of default in the period to maturity as at the measurement date as compared to the corresponding determination at the date of commitment, where the cumulative probability of defa ult is determined using life - time PD models. In determining the significance of the deterioration of credit risk, the Bank applies a relative threshold. Relative materiality thresholds for credit risk deterioration are defined at the moment of exposure and assume a fixed level, which is diversified according to the original credit quality described by the master rating scale, separately for the segment of retail and corporate customers. The deterioration significance thresholds tend to decrease with increasing initial risk levels, where the lowest threshold level (for exposures with the highest initial risk levels) is 1.2, illustrating the scale of deterioration in the cumulative probability of default by maturity established on the valuation date relative to the same measure and period established on the origination date. In the process of defining the relative materiality thresholds, the Group uses a wide range of analyzes, which generally include: minimization of classification errors, distribution of credit risk assessments, default rate, concentration of credit risk ass essments, migration of credit risk assessments, quality of models used to assess credit risk, return on assets, dependence of the default rate on macroeconomic factors, reference to the supervisory backstop, benchmark of the credit risk deterioration mater iality thresholds applied by other banks. Exposures classified to Stage 2 are reclassified to Stage 1 if all events classifying them to Stage 2 have ceased. Observation periods adequate for a given phenomenon are applied for particular types of indications, including e.g. "classification of the client on the high-risk list" periods confirming the stable disappearance of the causes of the event . In particular, after the “restructuring” condition for impairment has expired, the exposure for at least 24 months is classified as forbe arance, which results in this period being classified into Stage 2. Identification of premises for a significant deterioration of credit risk is performed on the level of a single exposure.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 57 Stage 1, without indications of impairment, without significant deterioration from the initial recognition Credit exposures of customers for which impairment triggers are not identified and for which the Group has not identified a significant credit quality deterioration from the initial recognition are classified in Stage 1. Classification forbearance Exposures with facilities granted to clients due to a deteriorated financial situation are classified as forbearance exposures. For the purposes of classification for forbearance, the Group considers a deteriorated financial situation of the customer when the following occurs at the time of granting the facility: • during three months before the date of granting the facility, the overdue period on the restructured client's account exceeded 30 days or • on the client's restructured account, the quality assessment indicated the occurrence of a deterioration in credit risk since initial recognition within three months before the facility was granted or, • the client was on a watch list in the three months prior to granting the facility. For the purposes of classifying a forbearance exposure as non -performing (resulting in the identification of an impairment trigger), the Group recognizes an event when at the time of granting the facility at least the following are present: • the exposure is considered non-performing (ie there are other indications of impairment) or • as a result of the application of the facility, the financial liabilities are reduced by the redemption of a significant part of the exposure or the granted facility reduces the NPV of the restructured exposure by more than 1%, or • the applied repayment plan is not based on credible macroeconomic assumptions and the borrower's assessment of the borrower's ability and readiness to repay, or • the amended contract contains significant deferrals as regards the commencement of repayment (for principal over 2 years) or • the amended contract provides for a large lump sum (balloon) payment at the end of the amended repayment schedule. Forbearance exposures are classified to Stage 2, non-performing forbearance exposures constituting a default premise are classified to Stage 3. Rules for classifying exposures covered by key statutory customer support instruments The key statutory customer support tools available, inter alia, due to the macroeconomic situation, include: • Borrowers Support Fund, • moratoriums available to customers who have lost their source of income, • moratoriums for customers affected by flooding. Exposures covered by the Borrowers Support Fund and exposures covered by moratoriums for customers who have lost their source of income are classified by the Bank to forbearance and, consequently, to Stage 2 (unless they meet the impairment / default criteria, which would result in classification to Stage 3).
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 58 22.3 Material estimates and judgments - allowances for expected impairment losses In accordance with IFRS 9, for all financial instruments measured at amortized cost or at fair value through other comprehensive income, as well as financial guarantees and commitments to provide financing and for lease receivables , the Group estimates allowances for expected credit losses. Principles of estimating loss allowances for exposures without triggers of impairment (Stage 1 and Stage 2) Exposures with no identified impairment indications are grouped in homogeneous groups in terms of the risk profile and a provision is recognised for such group of exposures to cover expected losses (ECL). The estimated expected credit loss for exposures designated for Stage 1 or Stage 2 are based on: • estimated exposure value at the time of default (EAD model), • estimated distribution of risk of default within the life -time of the exposure (life -time PD model based on scoring and rating models), • estimated level of loss in case of default of the client (LGD model). The EAD model shows the expected distribution of exposure of a given financial assets in the period to maturity. The model for products with repayment schedules is based on contractual cash flows adjusted for the effects of prepayment / underpayment. For products without repayment schedules, the model is based on the average expected use of the credit limit in the period until maturity, and for products without defined maturity, additionally on the average expected use of the limit over the behavioral life-time. The life-time PD illustrates the expected, in the life-time horizon, default probability distribution of each exposure. The model uses the following sources of information: • the rating grade determined in the rating system adequate for the client, which is the best estimate of his current standing, • information about the segment / product group, • risk factors that provide information on the timing of exposure over the life cycle. These three sources of information are used to determine homogeneous pools for which the default probability distribution is estimated. The model is used both to determine the initial level of expected credit losses when the asset is initially recognized and to estimate the current level of risk. The LGD model illustrates the expected level of loss from the exposure where the customer defaults. As part of the construction of LGD models, the Group aims to cover the portfolio of non -working exposures as fully as possible with advanced statistical models that enable the forecast of recovery for individual exposures. The final LGD value takes into account risk factors specific to the exposure risk profile, determining the expected result of the recovery process, taking into account the value of collater al for each transaction . The Bank applies the so -called minimum level of loss (LGD floor), preventing the occurrence of zero write-offs. The estimation of particular parameters is made at the same level of homogeneous groups of exposures indicating common features in the described range. The estimate horizon covers the period of the next 12 months (or the maturity if shorter) for Stage 1 and the estimated horizon covers the period up to the expected maturity for Stage 2.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 59 Principles of estimating impairment allowance for exposures with identified impairment triggers (Stage 3). Impaired exposures are split into those that are measured individually or in groups (collectively). For the purposes of collective measurement, groups are identified with similar credit risk features that are assessed collectively for impairment. Group measurements based on LGD models takes into account, inter alia, behavioral behavior in the field of debt servicing and the time the exposure remains default, and takes into account the specificity of a given group in terms of expected recoveries and the individual value of collateral for each exposure. Depending on the LGD model used by the Group, the loss allowance parameters are determined: • individually as a recovery level for each account, based on its individual characteristics resulting from historical payments on the account, debt collection process, customer history at the Group, customer history at BIK and the structure of premises or • pooled based on information on the product segment / duration of the exposure in the state of impairment. The methodology and assumptions of LGD models used to estimate future cash flows are regularly analyzed, calibrated and validated in order to reduce the discrepancy between expected and actual losses. Individual measurement applies to exposures of corporate customers threatened with impairment exceeding the threshold of a total commitment of PLN 3 million. Individual measurement is also allowed to other exposures that may be impaired with respect to which the Group is not able to identify a group of assets with similar credit risk features or does not have an adequate sample to assess group parameters. Individual assessments are based on an analysis of scenarios. Each scenario has an assigned the likelihood of occurrence and anticipated recoveries reflecting restructuring and debt recovery strategies conducted towards the client. Exposures covered by an individual or group method of estimation for which the Group does not identify a individual loss, they are grouped into homogeneous populations for which the Group sets a minimum level of loss (the so-called LGD floor). 22.4 Future macroeconomic factors in the assessment of credit quality and impairment allowances estimation Principles of taking macroeconomic factors In accordance with IFRS 9, the assessment of significant credit quality deterioration and the estimation of write-offs, apart from reflecting the current quality of the loan portfolio, take into account the expected macro-economic factors (FLI, forward-looking-information) that will occur in the future. The Group ensures that future macroeconomic factors are taken into account in all significant components of the estimation of expected credit losses. FLI adjustments developed for individual risk parameters ensure adjustment of the risk parameter estimates to future macroeconomic factors and are taken into account at the level of individual exposures. As part of individual models of expected loss parameters, the Group developed econometric solutions and sensitivity analyzes enabling the assessment of the im pact of macroeconomic scenarios on the behavior of the loan portfolio.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 60 The Group uses econometric models describing changes in DR (default rate) and LGD (loss given default) parameters depending on macroeconomic scenarios. In particular, in terms of the methodology used for the PD parameter, the Group uses: • for the retail customer segment, econometric models making the evolution of the DR level dependent on macroeconomic factors in individual scenarios, • for the corporate client segment that does not keep full accounting, an econometric model forecasting the level of DR depending on macro factors, • for the corporate client segment maintaining full accounting, industry models enabling the simulation of the client's rating assessment, fed with current information on changes in the macroeconomic environment, taking into account the current levels of sales revenues and margin levels. In the area of the LGD parameter, a solution is used that makes the level of healing dependent on the dynamics of changes in macroeconomic factors such as Gross Domestic Product, remuneration, NBP base rate (the scope and sensitivity to a given factor were adjusted depending on the model segment). As regards collaterals included in the valuation of credit exposures for impairment, the Group takes into account the risk of negative future macroeconomic factors affecting the value of collaterals and applies an additional haircut over current market valuations and estimated recovery rates illustrating the economic recoverability of collaterals. The models used in the area of the PD parameter assume the influence of factors such as GDP dynamics, real wage dynamics, reference rate, unemployment rate and EUR /PLN exchange rate on the disposable income of households. In addition, CPI inflation may affect other macroeconomic variables, e.g. interest rates. Interdependencies between macroeconomic variables are taken into account at the stage of creating scenarios. Macroeconomic scenarios In order to take into account changes in the business environment, the Group uses macroeconomic scenarios showing possible trajectories of the economic situation. The scenarios used by the Group are developed internally by the Macroeconomic Analysis Depart ment and consistent with those taken into account in the financing planning process. As at 31 December 2025, the Group adopts 3 scenarios of the future macroeconomic situation: • base, with a probability of 50%, • negative, with a probability of 25%, • optimistic, with a probability of 25%. The number of scenarios and weightings remain unchanged from 31 December 2024. The scenario probabilities were selected by the Department of Macroeconomic Analyzes so that their weights correspond to the probability of achieving the state of the economy expressed by all the macroeconomic factors included in the scenarios.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 61 As at 31 December 2025, the Group adopted the following macroeconomic scenarios: 2026 2027 Base scenario GDP growth rate (annual average) 3.8% 3.3% Private consumption (annual average) 3.4% 3.1% NBP base rate (end of period) 3.3% 3.3% Unemployment rate (annual average) 5.8% 5.7% CPI inflation (annual average) 2.6% 2.3% EUR/PLN exchange rate (annual average) 4.25 4.26 Wage growth in the national economy (annual average) 6.6% 5.9% Negative scenario GDP growth rate (annual average) 2.3% 1.8% Private consumption (annual average) 1.4% 1.5% NBP base rate (end of period) 4.5% 4.0% Unemployment rate (annual average) 6.2% 6.3% CPI inflation (annual average) 4.1% 3.1% EUR/PLN exchange rate (annual average) 4.52 4.54 Wage growth in the national economy (annual average) 5.5% 4.6% Optimistic scenario GDP growth rate (annual average) 5.2% 4.8% Private consumption (annual average) 4.8% 4.8% NBP base rate (end of period) 2.5% 2.5% Unemployment rate (annual average) 5.6% 5.4% CPI inflation (annual average) 2.0% 1.9% EUR/PLN exchange rate (annual average) 4.19 4.15 Wage growth in the national economy (annual average) 8.1% 8.0% As at 31 December 2024, the Group adopted the following macroeconomic scenarios: 2025 2026 Base scenario GDP growth rate (annual average) 3.7% 3.6% Private consumption (annual average) 3.6% 3.4% NBP base rate (end of period) 5.0% 3.5% Unemployment rate (annual average) 5.3% 5.4% CPI inflation (annual average) 4.5% 3.2% EUR/PLN exchange rate (annual average) 4.25 4.26 Wage growth in the national economy (annual average) 7.7% 7.2% Negative scenario GDP growth rate (annual average) 1.7% 2.2% Private consumption (annual average) 0.5% 1.3% NBP base rate (end of period) 6.3% 4.3% Unemployment rate (annual average) 5.6% 6.0% CPI inflation (annual average) 6.9% 4.8% EUR/PLN exchange rate (annual average) 4.54 4.62 Wage growth in the national economy (annual average) 6.0% 4.9% Optimistic scenario GDP growth rate (annual average) 5.1% 5.3% Private consumption (annual average) 5.3% 5.5% NBP base rate (end of period) 4.3% 3.0%
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 62 2025 2026 Unemployment rate (annual average) 4.8% 4.7% CPI inflation (annual average) 3.4% 2.5% EUR/PLN exchange rate (annual average) 4.23 4.17 Wage growth in the national economy (annual average) 11.5% 9.5% Key macroeconomic factors for the portfolio The Group currently considers significant, unprecedented changes in the macroeconomic environment (changes in interest rates, inflation, exchange rates, energy prices) as key risk areas, resulting from the long-term effects of the pandemic and other global challenges, as well as the effect of the war in Ukraine. As at 31 December 202 5, the above risk areas – taking into account future expected macroeconomic factors – did not have a significant impact on the deterioration of the quality of credit portfolios. 22.5 Quality and and structure of the loan portfolio Key credit portfolio quality indicators as at 31 December 2025 As at 31 December 2025, despite the negative macroeconomic environment, the Group does not observe any negative impact on the quality of the loan portfolio. The share of 30-day overdue loans in the regular portfolio as at 31 December 2025 was 0.33% compared to 0.35% observed as at 31 December 2024. In the Group's opinion, this situation is largely due to: • insignificant, negative transmission of high interest rates on debt servicing capacity,debt, • insignificant impact on the quality of the loan portfolio of the armed conflict in Ukraine, • the scale of support clients receive in terms of payment moratoriums and the borrowers' support fund. The Group adapts its lending policies and processes to the current macroeconomic situation and the resulting threats (both in terms of adapting the lending policy and processes to the pandemic environment, high interest rate environment and the geopolitica l and economic effects of the war in Ukraine). The changes are aimed at supporting customers (including in the scope of business activities conducted by corporate customers) while at the same time focusing on minimizing the Group's credit losses. Thanks to all the above circumstances and actions, the quality of the loan portfolio has so far remained resilient to the effects of the current macroeconomic and geopolitical environment. The level of allowance for exposures classified to Stage 1 and Stage 2 as at 31 December 2025 amounts to approx. PLN 881 million and represents a decrease of approx. 7% compared to the level maintained as at 31 December 202 4. The key credit parameters of the regular portfolio are presented below (non- default): *according to the EBA definition Date DPD 30+* PD LGD Stage 2 share in the regular portfolio Coverage of regular portfolio write-offs 31.12.2024 0.35% 2.5% 29.8% 12.5% 1.5% 31.12.2025 0.33% 2.03% 29.0% 12.9% 1.4%
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 63 As at 31 December 202 5 and 31 December 202 4, the structure of the portfolio with evidence of impairment, together with the structure of the recoverable amount of collateral, was as follows (in MPLN): Date individual portfolio collective portfolio exposure value % of collateral coverage* % coverage with write-offs exposure value % of collateral coverage* % coverage with write-offs 31.12.2024 1 328 47% 48% 2 945 34% 54% 31.12.2025 1 135 45% 49% 2 484 33% 54% *expressed at the economic recoverable amount In 2025 the Group realized a significant reduction of the collective portfolio with evidence of impairment due to significant NPL portfolio sale processes (which was possible due to the significant demand and favorable price conditions on the market in this regard in 2025) and derecognition processes. The scale of expert judgement In determining the expected credit losses, the Group aims to make the fullest possible use of statistical solutions that objectify the impact of current and future conditions on the values of credit risk parameters. Expert judgment is used as a tool supporting model management in situations of increased mar ket volatility. Regardless of the scale of application of expert judgment, it is managed in a standardized manner in accordance with the Model Risk Management Policy adopted by the Bank and subject to independent validation. Decisions based on expert judgm ent are approved at dedicated decision -making levels in the form of the Model Risk Committee and the Bank's Management Board. Parameter changes In 202 5, the Group made changes in parameters, which included calibration to the current profile of customer behavior in terms of payment trends and recoverability trends, as well as adaptation to updated assumptions regarding the future macroeconomic environment and calibration to the adopted scenarios. As a result of changes in parameters, taking into account essentially the effect of assumptions regarding future macroeconomic scenarios, due to the recalibration of the PD, LGD and EAD models, the Group released provisions for the regular portfolio in the amount of PLN 47 million, due to the conservation of the SICR component, the Group created provisions for the regular portfolio in the amount of PLN 62 million and also released provisions for the default portfolio in the amount of PLN 16 million. 22.6 Financial data Loans and advances granted to customers 31.12.2025 31.12.2024 Retail segment 43 866 251 41 083 887 Consumer loans 20 862 061 20 545 323 Mortgage loans 23 004 190 20 538 564 Corporate segment 24 383 541 24 847 907 Finance lease receivables 6 292 815 5 833 675 Other loans and advances 18 090 726 19 014 232 Gross carrying amount 68 249 792 65 931 794 Expected credit losses -2 798 334 -3 195 826 Carrying amount 65 451 458 62 735 968
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 64 Loans and advances granted to customers 31.12.2025 Stage 1 Stage 2 Stage 3 POCI Total Retail segment 39 428 926 3 423 401 1 001 015 12 909 43 866 251 Consumer loans 17 938 288 2 116 225 796 694 10 854 20 862 061 Mortgage loans 21 490 638 1 307 176 204 321 2 055 23 004 190 Corporate segment 16 651 724 4 856 218 2 617 835 257 764 24 383 541 Finance lease receivables 5 381 750 591 291 319 774 0 6 292 815 Other loans and advances 11 269 974 4 264 927 2 298 061 257 764 18 090 726 Gross carrying amount 56 080 650 8 279 619 3 618 850 270 673 68 249 792 Expected credit losses -325 895 -555 403 -1 901 689 -15 347 -2 798 334 Carrying amount 55 754 755 7 724 216 1 717 161 255 326 65 451 458 Loans and advances granted to customers 31.12.2024 Stage 1 Stage 2 Stage 3 POCI Total Retail segment 37 236 339 2 649 477 1 175 673 22 398 41 083 887 Consumer loans 17 943 094 1 663 438 920 082 18 709 20 545 323 Mortgage loans 19 293 245 986 039 255 591 3 689 20 538 564 Corporate segment 16 509 247 4 998 708 3 097 073 242 879 24 847 907 Finance lease receivables 5 016 586 481 977 335 112 0 5 833 675 Other loans and advances 11 492 661 4 516 731 2 761 961 242 879 19 014 232 Gross carrying amount 53 745 586 7 648 185 4 272 746 265 277 65 931 794 Expected credit losses -402 948 -541 367 -2 217 542 -33 969 -3 195 826 Carrying amount 53 342 638 7 106 818 2 055 204 231 308 62 735 968 In 2025 the Group sold loans with a total gross value amounting to PLN 435 903 thousand, while the impairment allowance recorded for this portfolio amounted to PLN 299 537 thousand. The impact of debt sales on the cost of risk in 2025 amounted to PLN (+) 46 765 thousand (profit). In 2024 the Group sold loans with a total gross value amounting to PLN 569 111 thousand, while the impairment allowance recorded for this portfolio amounted to PLN 385 352 thousand. The impact of debt sales on the cost of risk in 2024 amounted to PLN (+) 63 124 thousand (profit). All risks and benefits related with these receivables have been transferred to the purchaser and there is no further involvement of the Group in these assets. In 2025 the Group wrote off the financial assets amounted to PLN 863 769 thousand. The financial assets that are written off concerned both the loan portfolio of retail and corporate customers. In 2024 the Group wrote off the financial assets amounted to PLN 1 428 66 7 thousand. The financial assets that are written off concerned both the loan portfolio of retail and corporate customers. Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Retail segment Consumer loans Gross carrying amount As at 01.01.2025 17 943 094 1 663 438 920 082 18 709 20 545 323 New / purchased / granted financial assets 10 016 605 0 0 1 846 10 018 451 Changes due to the sale or expiry of the instrument -5 650 664 -230 919 -272 000 -4 037 -6 157 620 Transfer to Stage 1 192 875 -185 048 -7 827 0 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 65 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Transfer to Stage 2 -1 186 465 1 245 700 -59 235 0 0 Transfer to Stage 3 -276 274 -180 072 456 346 0 0 Valuation changes including partial repayments -3 100 481 -197 106 -47 143 -3 910 -3 348 640 Assets written off the balance sheet 0 0 -193 421 -1 754 -195 175 Other changes, including exchange differences -402 232 -108 0 -278 As at 31.12.2025 17 938 288 2 116 225 796 694 10 854 20 862 061 Expected credit losses As at 01.01.2025 271 944 232 658 596 776 -543 1 100 835 New / purchased / granted financial assets 190 175 0 0 5 206 195 381 Changes due to the sale or expiry of the instrument -84 591 -33 535 -183 176 -4 928 -306 230 Transfer to Stage 1 36 892 -32 921 -3 971 0 0 Transfer to Stage 2 -70 907 98 109 -27 202 0 0 Transfer to Stage 3 -39 323 -38 395 77 718 0 0 Change in the estimate of expected credit losses* -89 077 35 987 405 185 5 519 357 614 Net expected credit losses in the income statement -56 831 29 245 268 554 5 797 246 765 Assets written off the balance sheet 0 0 -193 421 -1 754 -195 175 Fair value evaluation at the moment of initial recognition 0 0 0 -6 211 -6 211 Other changes, including exchange differences 1 395 -12 -143 390 -1 626 -143 633 As at 31.12.2025 216 508 261 891 528 519 -4 337 1 002 581 Carrying amount as at 31.12.2025 17 721 780 1 854 334 268 175 15 191 19 859 480 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Retail segment Consumer loans Gross carrying amount As at 01.01.2024 17 881 785 1 854 685 1 404 457 25 222 21 166 149 New / purchased / granted financial assets 8 827 144 0 0 7 213 8 834 357 Changes due to the sale or expiry of the instrument -5 046 619 -270 635 -266 015 -6 443 -5 589 712 Transfer to Stage 1 301 961 -288 973 -12 988 0 0 Transfer to Stage 2 -718 276 797 699 -79 423 0 0 Transfer to Stage 3 -233 879 -192 048 425 927 0 0 Valuation changes including partial repayments -2 989 291 -219 636 -56 942 -3 340 -3 269 209 Assets written off the balance sheet 0 0 -483 957 -3 855 -487 812 Other changes, including exchange differences -79 731 -17 654 -10 977 -88 -108 450 As at 31.12.2024 17 943 094 1 663 438 920 082 18 709 20 545 323 Expected credit losses As at 01.01.2024 284 009 345 675 908 104 1 264 1 539 052 New / purchased / granted financial assets 183 844 0 0 9 203 193 047 Changes due to the sale or expiry of the instrument -79 565 -57 955 -247 689 -7 347 -392 556 Transfer to Stage 1 77 706 -71 569 -6 137 0 0 Transfer to Stage 2 -49 221 83 881 -34 660 0 0 Transfer to Stage 3 -35 045 -51 006 86 051 0 0 Change in the estimate of expected credit losses* -107 436 -11 999 531 193 13 442 425 200 Net expected credit losses in the income statement -9 717 -108 648 328 758 15 298 225 691 Assets written off the balance sheet 0 0 -483 957 -3 855 -487 812 Fair value evaluation at the moment of initial recognition 0 0 0 -11 335 -11 335 Other changes, including exchange differences -2 348 -4 369 -156 129 -1 915 -164 761 As at 31.12.2024 271 944 232 658 596 776 -543 1 100 835
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 66 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Carrying amount as at 31.12.2024 17 671 150 1 430 780 323 306 19 252 19 444 488 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Retail segment Mortgage loans Gross carrying amount As at 01.01.2025 19 293 245 986 039 255 591 3 689 20 538 564 New / purchased / granted financial assets 4 349 523 0 0 479 4 350 002 Changes due to the sale or expiry of the instrument -1 095 615 -62 045 -90 949 -1 840 -1 250 449 Transfer to Stage 1 176 443 -171 706 -4 737 0 0 Transfer to Stage 2 -614 641 631 200 -16 559 0 0 Transfer to Stage 3 -59 007 -35 418 94 425 0 0 Valuation changes including partial repayments -511 489 -39 126 -4 312 -199 -555 126 Assets written off the balance sheet 0 0 -28 824 -59 -28 883 Other changes, including exchange differences -47 821 -1 768 -314 -15 -49 918 As at 31.12.2025 21 490 638 1 307 176 204 321 2 055 23 004 190 Expected credit losses 0 As at 01.01.2025 20 399 45 113 111 019 92 176 623 New / purchased / granted financial assets 3 716 0 0 190 3 906 Changes due to the sale or expiry of the instrument -1 877 -4 000 -66 258 -2 095 -74 230 Transfer to Stage 1 7 290 -6 167 -1 123 0 0 Transfer to Stage 2 -6 688 11 053 -4 365 0 0 Transfer to Stage 3 -1 280 -3 268 4 548 0 0 Change in the estimate of expected credit losses* -9 996 20 043 80 033 1 888 91 968 Net expected credit losses in the income statement -8 835 17 661 12 835 -17 21 644 Assets written off the balance sheet 0 0 -28 824 -59 -28 883 Fair value evaluation at the moment of initial recognition 0 0 0 -252 -252 Other changes, including exchange differences -57 -120 -24 282 -21 -24 480 As at 31.12.2025 11 507 62 654 70 748 -257 144 652 Carrying amount as at 31.12.2025 21 479 131 1 244 522 133 573 2 312 22 859 538 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Retail segment Mortgage loans Gross carrying amount As at 01.01.2024 17 340 908 901 058 303 506 6 774 18 552 246 New / purchased / granted financial assets 3 288 740 0 0 1 842 3 290 582 Changes due to the sale or expiry of the instrument -852 824 -44 071 -91 889 -4 233 -993 017 Transfer to Stage 1 295 863 -287 656 -8 207 0 0 Transfer to Stage 2 -471 250 488 953 -17 703 0 0 Transfer to Stage 3 -53 869 -38 092 91 961 0 0 Valuation changes including partial repayments -224 146 -32 264 -5 322 -207 -261 939 Assets written off the balance sheet 0 0 -16 191 -498 -16 689 Other changes, including exchange differences -30 177 -1 889 -564 11 -32 619 As at 31.12.2024 19 293 245 986 039 255 591 3 689 20 538 564 Expected credit losses
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 67 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total As at 01.01.2024 31 777 22 815 129 309 -308 183 593 New / purchased / granted financial assets 2 913 0 0 768 3 681 Changes due to the sale or expiry of the instrument -2 688 -2 043 -62 708 -2 681 -70 120 Transfer to Stage 1 7 386 -5 395 -1 991 0 0 Transfer to Stage 2 -4 489 9 022 -4 533 0 0 Transfer to Stage 3 -1 006 -2 157 3 163 0 0 Change in the estimate of expected credit losses* -13 454 22 957 86 495 4 486 100 484 Net expected credit losses in the income statement -11 338 22 384 20 426 2 573 34 045 Assets written off the balance sheet 0 0 -16 191 -498 -16 689 Fair value evaluation at the moment of initial recognition 0 0 0 -830 -830 Other changes, including exchange differences -40 -86 -22 525 -845 -23 496 As at 31.12.2024 20 399 45 113 111 019 92 176 623 Carrying amount as at 31.12.2024 19 272 846 940 926 144 572 3 597 20 361 941 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Corporate segment Finance lease receivables Gross carrying amount As at 01.01.2025 5 016 586 481 977 335 112 0 5 833 675 New / purchased / granted financial assets 2 687 549 0 0 0 2 687 549 Changes due to the sale or expiry of the instrument -557 208 -49 453 -57 663 0 -664 324 Transfer to Stage 1 73 376 -70 440 -2 936 0 0 Transfer to Stage 2 -535 196 552 878 -17 682 0 0 Transfer to Stage 3 -124 956 -106 508 231 464 0 0 Valuation changes including partial repayments -1 179 543 -60 964 -61 978 0 -1 302 485 Assets written off the balance sheet 0 0 -36 050 0 -36 050 Other changes, including exchange differences 1 142 -156 199 -70 493 0 -225 550 As at 31.12.2025 5 381 750 591 291 319 774 0 6 292 815 Expected credit losses As at 01.01.2025 25 920 26 552 131 745 0 184 217 New / purchased / granted financial assets 34 593 0 0 0 34 593 Changes due to the sale or expiry of the instrument -2 201 -1 226 -11 990 0 -15 417 Transfer to Stage 1 482 -388 -94 0 0 Transfer to Stage 2 -13 351 14 337 -986 0 0 Transfer to Stage 3 -6 004 -8 444 14 448 0 0 Change in the estimate of expected credit losses* -11 691 831 51 471 0 40 611 Net expected credit losses in the income statement 1 828 5 110 52 849 0 59 787 Assets written off the balance sheet 0 0 -36 050 0 -36 050 Other changes, including exchange differences 50 -71 -23 152 0 -23 173 As at 31.12.2025 27 798 31 591 125 392 0 184 781 Carrying amount as at 31.12.2025 5 353 952 559 700 194 382 0 6 108 034 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Corporate segment Finance lease receivables Gross carrying amount
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 68 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total As at 01.01.2024 4 526 911 541 859 433 023 0 5 501 793 New / purchased / granted financial assets 2 499 387 0 0 0 2 499 387 Changes due to the sale or expiry of the instrument -593 306 -75 202 -66 215 0 -734 723 Transfer to Stage 1 124 655 -110 883 -13 772 0 0 Transfer to Stage 2 -393 698 412 804 -19 106 0 0 Transfer to Stage 3 -133 200 -101 644 234 844 0 0 Valuation changes including partial repayments -999 164 -59 569 -57 750 0 -1 116 483 Assets written off the balance sheet 0 0 -101 563 0 -101 563 Other changes, including exchange differences -14 999 -125 388 -74 349 0 -214 736 As at 31.12.2024 5 016 586 481 977 335 112 0 5 833 675 Expected credit losses As at 01.01.2024 23 874 27 318 203 136 0 254 328 New / purchased / granted financial assets 28 221 0 0 0 28 221 Changes due to the sale or expiry of the instrument -3 161 -1 936 -14 327 0 -19 424 Transfer to Stage 1 629 -383 -246 0 0 Transfer to Stage 2 -11 590 12 334 -744 0 0 Transfer to Stage 3 -5 489 -7 463 12 952 0 0 Change in the estimate of expected credit losses* -6 502 -3 244 54 498 0 44 752 Net expected credit losses in the income statement 2 108 -692 52 133 0 53 549 Assets written off the balance sheet 0 0 -101 562 0 -101 562 Other changes, including exchange differences -62 -74 -21 962 0 -22 098 As at 31.12.2024 25 920 26 552 131 745 0 184 217 Carrying amount as at 31.12.2024 4 990 666 455 425 203 367 0 5 649 458 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Corporate segment Other loans and advances Gross carrying amount As at 01.01.2025 11 492 661 4 516 731 2 761 961 242 879 19 014 232 New / purchased / granted financial assets 4 911 243 0 0 61 012 4 972 255 Changes due to the sale or expiry of the instrument -2 967 802 -977 504 -297 169 -3 511 -4 245 986 Transfer to Stage 1 355 853 -352 732 -3 121 0 0 Transfer to Stage 2 -2 003 529 2 051 526 -47 997 0 0 Transfer to Stage 3 -251 260 -422 631 673 891 0 0 Valuation changes including partial repayments -250 361 -523 396 -176 568 -26 987 -977 312 Assets written off the balance sheet 0 0 -589 352 -14 308 -603 660 Other changes, including exchange differences -16 831 -27 067 -23 584 -1 321 -68 803 As at 31.12.2025 11 269 974 4 264 927 2 298 061 257 764 18 090 726 Expected credit losses As at 01.01.2025 84 685 237 044 1 378 002 34 420 1 734 151 New / purchased / granted financial assets 107 931 0 0 53 825 161 756 Changes due to the sale or expiry of the instrument -24 496 -40 108 -280 935 -4 250 -349 789 Transfer to Stage 1 11 323 -11 072 -251 0 0 Transfer to Stage 2 -41 102 50 406 -9 304 0 0 Transfer to Stage 3 -46 900 -49 447 96 347 0 0 Change in the estimate of expected credit losses* -21 486 13 057 465 043 16 275 472 889 Net expected credit losses in the income statement -14 730 -37 164 270 900 65 850 284 856 Assets written off the balance sheet 0 0 -589 353 -14 308 -603 661
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 69 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Fair value evaluation at the moment of initial recognition 0 0 0 -55 020 -55 020 Other changes, including exchange differences 127 -613 117 481 -11 001 105 994 As at 31.12.2025 70 082 199 267 1 177 030 19 941 1 466 320 Carrying amount as at 31.12.2025 11 199 892 4 065 660 1 121 031 237 823 16 624 406 Loans and advances to customers Stage 1 Stage 2 Stage 3 POCI Total Corporate segment Other loans and advances Gross carrying amount As at 01.01.2024 12 009 221 4 387 970 3 159 654 282 923 19 839 768 New / purchased / granted financial assets 4 769 441 0 0 53 559 4 823 000 Changes due to the sale or expiry of the instrument -2 977 025 -665 557 -195 102 -9 197 -3 846 881 Transfer to Stage 1 299 263 -289 639 -9 624 0 0 Transfer to Stage 2 -2 038 360 2 129 605 -91 245 0 0 Transfer to Stage 3 -350 981 -563 211 914 192 0 0 Valuation changes including partial repayments -204 327 -455 236 -219 222 -33 311 -912 096 Assets written off the balance sheet 0 0 -810 304 -12 300 -822 604 Other changes, including exchange differences -14 571 -27 201 13 612 -38 795 -66 955 As at 31.12.2024 11 492 661 4 516 731 2 761 961 242 879 19 014 232 Expected credit losses As at 01.01.2024 53 525 293 136 1 757 034 14 191 2 117 886 New / purchased / granted financial assets 135 676 0 0 37 476 173 152 Changes due to the sale or expiry of the instrument -13 465 -30 077 -222 288 -8 364 -274 194 Transfer to Stage 1 8 069 -6 996 -1 073 0 0 Transfer to Stage 2 -48 582 91 903 -43 321 0 0 Transfer to Stage 3 -59 784 -69 704 129 488 0 0 Change in the estimate of expected credit losses* 9 288 -38 946 472 508 44 606 487 456 Net expected credit losses in the income statement 31 202 -53 820 335 314 73 718 386 414 Assets written off the balance sheet 0 0 -810 304 -12 300 -822 604 Fair value evaluation at the moment of initial recognition 0 0 0 -35 077 -35 077 Other changes, including exchange differences -42 -2 272 95 958 -6 112 87 532 As at 31.12.2024 84 685 237 044 1 378 002 34 420 1 734 151 Carrying amount as at 31.12.2024 11 407 976 4 279 687 1 383 959 208 459 17 280 081 *The change in the estimate of expected losses includes changes in the level of credit risk By maturity 31.12.2025 31.12.2024 up to 1 month 8 063 158 8 299 023 from 1 month to 3 months 2 685 343 2 537 876 from 3 months to 1 year 9 141 458 8 834 081 from 1 year to 5 years 23 152 233 22 574 141 more than 5 years 25 207 600 23 686 673 Gross carrying amount 68 249 792 65 931 794 Expected credit losses -2 798 334 -3 195 826 Carrying amount 65 451 458 62 735 968
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 70 By currency 31.12.2025 31.12.2024 PLN 59 866 335 57 570 921 EUR 7 919 470 7 700 253 USD 210 590 314 559 CHF 6 991 39 437 Other 246 406 306 624 Gross carrying amount 68 249 792 65 931 794 Expected credit losses -2 798 334 -3 195 826 Carrying amount 65 451 458 62 735 968 22.7 The Group as lessor The Group performs leasing operations via its Group company – Alior Leasing sp. z o.o. Alior Leasing Sp. z o.o., established in April 2015 and has been operating since October 2015. The company's core business is providing financing for the purchase of mov able property through leasing and providing loans to businesses. The company also offers ancillary services related to its core business. The company's mission is to support the development of entrepreneurs by providing the best solutions that meet the expectations of modern companies seeking a comprehensive leasing offer tailored to their individual needs. Alior Leasing offers companies the most popular forms of financing for fixed assets, primarily vehicles, essential for operation and development. Products such as operating and financial leasing, as well as leasing loans, provide entrepreneurs with easy and quick access to vehicles, machinery, and equipment. Alior Leasing has a large sales network and collaborates with an extensive network of business par tners, dealers, and vendors, as well as with the Alior Bank sales network. The company primarily works with sole proprietors and SMEs, but its clients also include large companies. In line with its strategy, the Company is also expanding its operations int o the consumer market. Therefore, at the end of 2023, the Company established a subsidiary, Alior Leasing Individual Sp. z o.o. In the case of financial lease contracts, the Group as the lessor recognises receivables in amounts equal to the present value of contractual lease payments, determined at the beginning of the lease contract. The receivables are disclosed as “Loans granted to customers”. Financial lease payments are split into interest income and a reduction of receivables so that a fixed interest rate is achieved in the outstanding receivables. In the case of operational leases, the initial costs incurred at negotiation of operational lease contracts are added to the carrying value of the leased asset and recognised throughout the lease contract on the same basis as income. Conditional lease fees are recognised as income in the period they are due and payable. Lease payments due under contracts that do not meet the requirements of financial lease contracts (operational lease contracts) are recognised as income in the profit and loss account throughout the lease term. The amount of gross lease investments and minimum lease payments due on financial lease contracts as at 31 December 2025 was as follows: The amount of net lease investments and minimum lease fees receivable Net lease investment Present value of minimum lease fees: Unrealised income Gross lease receivables: up to 1 year 2 428 498 2 831 175 402 677
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 71 The amount of net lease investments and minimum lease fees receivable Net lease investment Present value of minimum lease fees: Unrealised income from 1 to 2 years 1 668 606 1 911 340 242 734 from 2 to 3 years 1 171 519 1 295 912 124 393 from 3 to 4 years 640 948 693 102 52 154 from 4 to 5 years 303 934 319 573 15 639 above 5 years 79 310 84 036 4 726 Total gross 6 292 815 7 135 138 842 323 Expected credit losses -184 781 -184 781 0 Total net 6 108 034 6 950 357 842 323 The amount of lease investments and minimum lease payments due on financial lease contracts as at 31 December 2024 was as follows: The amount of net lease investments and minimum lease fees receivable Net lease investment Present value of minimum lease fees: Unrealised income Gross lease receivables: up to 1 year 2 244 513 2 695 432 450 919 from 1 to 2 years 1 578 555 1 851 279 272 724 from 2 to 3 years 1 088 948 1 227 779 138 831 from 3 to 4 years 600 061 657 352 57 291 from 4 to 5 years 263 736 279 610 15 874 above 5 years 57 862 61 991 4 129 Total gross 5 833 675 6 773 443 939 768 Expected credit losses -184 217 -184 217 0 Total net 5 649 458 6 589 226 939 768 As at 31 December 2025 and 31 December 2024, there are no unguaranteed residual values attributable to the lessor. 22.8 Sensitivity analysis of material estimates and judgements Estimation of the expected credit losses under IFRS 9 due to the life-time horizon and using of scenarios, are generally characterized by significant sensitivity. The tables below indicate the main areas at sensitivity with their impact on the level of allowances. • Sensitivity of results to macroeconomic assumptions Estimation of the expected credit losses in the IFRS 9 regime due to the long forecast horizon (life -time) and the dependence of the calculations on macroeconomic scenarios is characterized by a significant sensitivity to the assumptions made. If one of the considered scenarios becomes more probable, the estimates are updated. In particular, the trajector y of changes in the Gross Domestic Product , the impact of interest rates on debt service by clients and the prospects of the labor market will be of key importance for the variability of the estimate. The Group estimates credit losses based on 3 scenarios of the future macroeconomic environment, where the baseline scenario assumes a 50% probability, and the optimistic and pessimistic scenarios each have a 25% probability.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 72 Below is presented the sensitivity (in relation to the base scenario) of the estimated losses expected for the portfolio of credit exposures, in the case of assuming the implementation of stress scenarios ( MPLN) as at 31.12.2025 and 31.12.2024: Changing the probability of scenarios 31.12.2025 Difference in the share of Stage 2 in the regular portfolio Impact on expected credit losses due to: PD LGD for non- default portfolio LGD for the default portfolio Change in expected losses in the case of the pessimistic scenario with 100% probability +0,27 pp +70 +3 +3 Change in expected losses in the case of the optimistic scenario with 100% probability -0,20 pp -46 -6 -4 Changing the probability of scenarios 31.12.2024 Difference in the share of Stage 2 in the regular portfolio Impact on expected credit losses due to: PD LGD dla portfela regularnego PD Change in expected losses in the case of the pessimistic scenario with 100% probability +0,27 pp +117 +4 +9 Change in expected losses in the case of the optimistic scenario with 100% probability -0,20 pp -64 -5 -9 • Sensitivity of results to assumptions / estimates Estimation of expected credit losses reflecting the future behavior of credit portfolios (both in terms of customer behavior and the potential of recoverability processes ) is subject to uncertainty resulting from the limitations of future modeling. The sensitivity of the expected credit losses estimates for individual components / parameters based on a hypothetical 10% change/deviation in assumptions is presented below. Impact of increasing/decreasing the ECL level in the event of a hypothetical change in PD or LGD risk parameters for the regular portfolio, taking into account the impact on individual stages (in MPLN): 31.12.2025 31.12.2024 Change Change -/+10% -/+10% Estimated change in the impairment of loans and advances due to a change in the probability of default by +/- 10% or LGD by +/- 10% - Stage 1 +/-30 +/-37 Estimated change in the impairment of loans and advances due to a change in the probability of default by +/- 10% or LGD by +/- 10% - Stage 2 +/-49 +/-50 The impact of increased/decreased cash flows (including flows from execution of collateral) on impairment of the loan portfolio classified into Stage 3 and measured by the Group with the individual method is presented in the table below (in MPLN): 31.12.2025 31.12.2024 Change Change -/+10% -/+10% The estimated change to the impairment of loans as a result of a changed present value of the estimated cash flows under loans measured by the Group with the individual method +59/-52 +76/-70
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 73 The impact of increased/decreased cash flows (including flows from execution of collateral) on impairment of the loan portfolio classified into Stage 3 and measured by the Group with the portfolio method is presented in the table below (in MPLN): 31.12.2025 31.12.2024 Change Change -/+10% -/+10% The estimated change to the impairment of loans as a result of a changed present value of the estimated cash flows under loans measured by the Group with the group method +128/-116 +147/-135 23 Tangible fixed assets and intangible assets 23.1 Accounting policy information Tangible fixed assets Property, plant and equipment cover assets with the anticipated useful life of over one year, complete and use for service provision. They are initially measured according to their purchase price or construction cost. Following the initial recognition, property, plant and equipment are carried at the purchase cost or construction cost, less any accumulated depreciation and any cumulated impairment allowances. Outlays incurred after the initial recognition of property, plant and equipment are recognised as assets only when they increase future economic benefits from the asset. Otherwise, the outlays are recognised in profit and loss as expenses when incurred. The Group evaluates tangible assets in terms of the existence of premises indicating their impairment. If the carrying amount of a given asset exceeds its recoverable amount, it is considered impaired and an impairment loss is made to the level of its recoverable amount. The Group also includes property, plant and equipment in relation to which it holds the right to use, in accordance with IFRS 16. Intangible assets Intangible assets with a defined useful economic life, including those manufactured internally, following the initial recognition are disclosed at the purchase price or construction cost, less depreciation and impairment allowances. The Group reviews assets for impairment indications. Should such indications exist, the Group formally assesses the recoverable value. If the carrying value of an asset is higher than its recoverable value, an impairment is recognised, and an impairment allowance is made to the recoverable value. Goodwill is a surplus of the purchase cost over the fair value of the acquired net assets in a business combination transaction. Following the initial recognition, the goodwill is recognised at the purchase cost, less all accumulated impairment allowances. In the case of sale of a subsidiary entity, the goodwill recognised at acquisition is included in the financial result settling the sale. With reference to goodwill, impairment allowances are determined on the basis of an estimated value of each cash generating centre to which the goodwill has been allocated. When the recoverable value of a cash generating centre is lower than it is carrying value, an impairment allowance is recognised. The
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 74 impairment identified in tests is not reversed in subsequent periods. Goodwill is analysed for impairment as at each balance sheet date ending each financial year or more frequently – if impairment indications have been identified. The other intangible assets are identifiable assets without tangible form. Initially, they are measured according to their purchase price or construction cost. The Group capitalises: • expenses incurred in for the purchase of licences for software and development of licences or modules for the acquired licence, • internal manufacturing costs of assets covering all outlays, including costs of employee benefits that may directly attributed to the manufacturing and preparation of the asset for use in line with its intended use. The cost of an intangible asset acquired under a separate transaction cover: • purchase price, including import duties and non -deductible purchase taxes, reduced by commercial rebates and discounts, • outlays directly related to the preparation of an asset for use in line with its intended use. Outlays incurred after the initial recognition of intangible assets are recognised as assets only when they increase future economic benefits from an asset. Internal development costs of a licence or an additional module include all outlays which may be di rectly attributed to creation, production, and adaptation of an asset for the use intended by the management. Otherwise, they are recognised through profit and loss. Depreciation Depreciation accrues on all fixed assets with a determined useful life, with a straight -line method over the estimated useful life of the asset. The approved depreciation method and useful life are verified at least annually. Property, plant and equipment and intangible assets begin to be depreciated/amortised from the first day of the month following the month when such asset has been brought for use, and it ends not later than: • when the depreciation/amortisation charges equal the initial value of the asset, or • when the asset is to be liquidated or • when it is sold or • when it is found missing or • when as a result of verification, it is found that a residual value of the asset is higher than it ’s carrying value (net) subject to the residual value of the asset anticipated at liquidation – the net amount that the Group expects to obtain at the end of use, net of the anticipated sales costs. Useful time of tangible fixed assets and intangible assets Item Use period in years Property, Plant & Equipment Premises 5-40 Parking, elevation 1-10 Asset due to the right to use land 5-95
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 75 Item Use period in years Improvements in third-party buildings or structures (economic useful life but not longer than the lease period) 5–16.5 Plant and machinery 4–10 Equipment 2–15 Means of transport 2.5–7 Intangible assets Licenses 2–12.5 Software of IT systems 2–10 Development Costs 2–12.5 Copyright and other intangible assets 2–10 Impairment allowances Impairment occurs when the carrying value of an asset is hig her than its realisable value. The resultant impairment allowance is recognised in profit and loss. The realisable value is the higher of fair value reduced by sales costs and the value in use of the asset. The value in use is determined with a discount of the estimated future cash flows for the asset, at the discount rate before taxes. For assets that do not generate cash flows on their own, the Group determines their realisable value at the level of the cash generating unit that owns a specific asset. Impairment allowances may be reversed through profit and loss to the level at which the book value of the assets is not higher than the book value of the asset, assuming that no impairment allowance has been recognised. Impairment allowances relating to goodwill may not be reversed. Otherwise, the allowance may be reversed as long as a change has occurred to the estimates used to determine the realisable value. 23.2 Financial data Tangible fixed assets 31.12.2025 Plant and machinery (including IT hardware) Means of transport Fixed assets under construction Owned buildings Leasehold improvements Other Total Value at the purchase price as at 01.01.2025 526 029 29 792 20 032 740 435 231 836 86 864 1 634 989 Gross value of right-of-use assets as at 01.01.2025 0 11 167 0 572 522 0 0 583 689 Change, due to: 17 860 30 143 21 726 132 471 -22 594 420 180 027 Purchases 749 35 655 101 534 0 85 213 138 237 Increases / decreases in right-of-use assets 0 -195 0 107 216 0 0 107 021 Sale and liquidation -37 605 -4 975 -288 -3 454 -20 116 -7 548 -73 986 Reclassifications 55 000 0 -88 901 28 709 -2 563 7 754 0 Other changes -284 -342 9 381 0 0 0 8 755 Value at the purchase price as at 31.12.2025 543 889 59 936 41 758 872 907 209 242 87 284 1 815 015 Cumulated depreciation as at 01.01.2025 353 438 10 091 0 406 953 101 387 47 330 919 200
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 76 31.12.2025 Plant and machinery (including IT hardware) Means of transport Fixed assets under construction Owned buildings Leasehold improvements Other Total Cumulative depreciation of right- of-use assets as at 01.01.2025 0 8 242 0 365 098 0 0 373 340 Change, due to: 17 952 -1 611 0 18 643 2 632 1 237 38 852 Depreciation 53 145 4 532 0 6 392 26 374 7 304 97 747 Depreciation in relation to right-of- use assets 0 2 200 0 77 746 0 0 79 946 Sale and liquidation -37 448 -8 098 0 -65 685 -19 990 -7 316 -138 536 Other changes 2 255 -246 0 189 -3 752 1 249 -305 Cumulated depreciation as at 31.12.2025 371 390 8 479 0 425 596 104 019 48 568 958 052 Impairment allowance as at 01.01.2025 5 067 47 285 1 419 8 118 3 095 18 031 Change, due to: 3 045 -47 -212 17 5 381 1 640 9 824 Changes to allowances 3 140 0 76 17 5 488 1 776 10 497 Other changes -95 -47 -288 0 -107 -136 -673 Impairment allowances as at 31.12.2025 8 112 0 73 1 436 13 499 4 735 27 855 Net value as at 01.01.2025 167 523 19 655 19 747 332 063 122 331 36 438 697 757 Net value as at 31.12.2025 incl: 164 386 51 456 41 685 445 875 91 725 33 981 829 108 Net value of right-of-use assets 0 530 0 299 807 0 0 300 337 31.12.2024 Plant and machinery (including IT hardware) Means of transport Fixed assets under construction Owned buildings Leasehold improvements Other Total Value at the purchase price as at 01.01.2024 507 082 22 996 40 372 706 762 240 084 97 298 1 614 594 Gross value of right-of-use assets as at 01.01.2024 0 14 947 0 540 200 0 0 555 147 Change, due to: 18 946 6 797 -20 340 33 674 -8 248 -10 434 20 395 Purchases 842 16 322 72 745 99 448 90 456 Increases / decreases in right-of-use assets -3 781 32 322 28 541 Sale and liquidation -29 725 -5 744 -6 -1 519 -28 842 -13 677 -79 514 Reclassifications 47 905 -74 060 2 865 20 495 2 795 0 Other changes -76 -19 019 6 0 0 -19 089 Value at the purchase price as at 31.12.2024 526 029 29 792 20 032 740 435 231 836 86 864 1 634 989 Cumulated depreciation as at 01.01.2024 331 367 8 485 0 353 991 104 413 54 198 852 454 Cumulative depreciation of right- of-use assets as at 01.01.2024 0 8 485 0 316 680 0 0 325 165 Change, due to: 22 071 1 606 0 52 963 -3 026 -6 868 66 745 Depreciation 51 583 3 511 0 5 122 24 987 6 733 91 936 Depreciation in relation to right-of- use assets 0 2 880 0 77 445 0 0 80 325 Sale and liquidation -29 443 -4 641 0 -29 690 -28 022 -13 601 -105 397 Other changes -69 -144 0 86 9 0 -118
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 77 31.12.2024 Plant and machinery (including IT hardware) Means of transport Fixed assets under construction Owned buildings Leasehold improvements Other Total Cumulated depreciation as at 31.12.2024 353 438 10 091 0 406 953 101 387 47 330 919 200 Impairment allowance as at 01.01.2024 5 477 47 59 1 418 8 559 3 082 18 642 Change, due to: -410 0 226 1 -441 13 -611 Changes to allowances -104 232 501 378 24 1 031 Other changes -306 -6 -500 -819 -11 -1 642 Impairment allowances as at 31.12.2024 5 067 47 285 1 419 8 118 3 095 18 031 Net value as at 01.01.2024 170 238 14 464 40 313 351 353 127 112 40 018 743 497 Net value as at 31.12.2024 incl: 167 523 19 655 19 747 332 063 122 331 36 438 697 757 Net value of right-of-use assets 0 2 878 0 205 908 0 0 208 786 The Group as a lessee Right to use premises perpetual usufruct fees / annual fees parkings elevations means of transport total Value at the purchase price as at 01.01.2025 522 897 26 006 21 470 2 150 11 167 583 689 Change, due to: 91 868 1 215 13 985 148 -195 107 021 Increase* 153 381 1 509 17 451 148 7 172 179 661 Decrease* -61 513 -294 -3 466 0 -7 367 -72 640 Value at the purchase price as at 31.12.2025 614 765 27 221 35 455 2 298 10 972 690 710 Cumulative depreciation as at 01.01.2025 345 075 3 413 15 359 1 251 8 242 373 340 Depreciation 73 532 772 3 183 259 2 200 79 946 Other changes -60 994 -32 -3 403 0 0 -64 429 Cumulated depreciation as at 31.12.2025 357 613 4 153 15 139 1 510 10 442 388 857 Impairment allowance as at 01.01.2025 1 516 0 0 0 47 1 563 Changes to allowances 0 0 0 0 -47 -47 Impairment allowances as at 31.12.2025 1 516 0 0 0 0 1 516 Net value as at 31.12.2025 255 636 23 068 20 315 788 530 300 337 Right to use premises perpetual usufruct fees / annual fees parkings elevations means of transport total Value at the purchase price as at 01.01.2024 492 255 26 077 20 157 1 712 14 947 555 147 Change, due to: 30 642 -71 1 313 438 -3 780 28 542 Increase* 58 455 2 686 1 638 642 995 64 416 Decrease* -27 813 -2 757 -325 -204 -4 775 -35 874 Value at the purchase price as at 31.12.2024 522 897 26 006 21 470 2 150 11 167 583 689 Cumulative depreciation as at 01.01.2024 297 264 5 441 12 771 1 204 8 485 325 165 Depreciation 73 596 714 2 885 250 2 880 80 325 Other changes -25 785 -2 742 -297 -203 -3 123 -32 150 Cumulated depreciation as at 31.12.2024 345 075 3 413 15 359 1 251 8 242 373 340 Impairment allowance as at 01.01.2024 1 516 0 0 0 47 1 563 Changes to allowances 0 0 0 0 0 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 78 Right to use premises perpetual usufruct fees / annual fees parkings elevations means of transport total Impairment allowances as at 31.12.2024 1 516 0 0 0 47 1 563 Net value as at 31.12.2024 176 306 22 593 6 110 899 2 878 208 786 * The "increase" item includes new contracts and modifications. The item "decrease" includes modifications, write-offs. The balance of liabilities due to lease agreements are disclosed in Note 30.2 "Other liabilities - financial data". Interest costs of liabilities due to leasing agreements are disclosed in Note 6.2 "Net interest income - financial data". Costs related to short -term leasing contracts and contracts with low value objects are recognized as general administrative expenses in the profit and loss account. In 2025 and 2024, the Group incurred costs for short-term contracts and for low -value contracts in the amount of PLN 1 954 thousand and PLN 1 575 thousand respectively. The Group did not identify variable leasing payments that would not be part of the measurement of lease liabilities. Information on cash flows related to lease contracts is explicitly included in the cash flow statement. Intangible assets 31.12.2025 Goodwill Capital expenditure Software, licences, R&D works Trademark Other Total Value at the purchase price as at 01.01.2025 117 264 254 270 673 080 43 49 939 1 094 595 Changes to intangible assets due to: 0 -11 456 169 653 0 0 158 197 Purchases 0 99 929 461 0 0 100 390 Reclassifications 0 -171 070 171 070 0 0 0 Capitalised construction costs 0 41 777 0 0 0 41 777 Liquidations 0 -1 194 -1 878 0 0 -3 072 Other changes 0 19 102 0 0 0 19 102 Value at the purchase price as at 31.12.2025 117 264 242 814 842 733 43 49 939 1 252 792 Cumulated depreciation as at 01.01.2025 0 0 412 708 0 49 114 461 822 Depreciation 0 0 77 077 0 17 77 094 Other changes 0 0 262 0 0 262 Cumulated depreciation as at 31.12.2025 0 0 490 047 0 49 131 539 178 Impairment allowance as at 01.01.2025 116 288 18 415 26 172 0 0 160 875 Changes to allowances 0 2 089 1 342 0 0 3 431 Other changes 0 -1 194 -488 0 0 -1 682 Impairment allowances as at 31.12.2025 116 288 19 310 27 026 0 0 162 624 Net value as at 01.01.2025 976 235 855 234 200 43 824 471 899 Net value as at 31.12.2025 976 223 504 325 660 43 807 550 991
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 79 According to the best state of knowledge and the assumptions adopted at the end of 2025, there is no basis to assume that the incurred expenditures, which have not yet been recorded in the accounting books as settled, show impairment triggers and require an impairment allowances. 31.12.2024 Goodwill Capital expenditure Software, licences, R&D works Trademark Other Total Value at the purchase price as at 01.01.2024 117 264 150 035 702 537 3 681 50 421 1 023 938 Changes to intangible assets due to: 0 104 235 -29 457 -3 638 -482 70 658 Purchases 0 98 393 510 0 0 98 903 Reclassifications 0 -39 586 39 586 0 0 0 Capitalised construction costs 0 32 277 0 0 0 32 277 Liquidations 0 -636 -69 553 -3 638 -482 -74 309 Other changes 0 13 787 0 0 0 13 787 Value at the purchase price as at 31.12.2024 117 264 254 270 673 080 43 49 939 1 094 595 Cumulated depreciation as at 01.01.2024 0 0 378 283 14 49 552 427 849 Depreciation 0 0 98 144 0 44 98 188 Other changes 0 0 -63 720 -14 -482 -64 216 Cumulated depreciation as at 31.12.2024 0 0 412 708 0 49 114 461 822 Impairment allowance as at 01.01.2024 116 288 17 289 47 075 3 367 0 184 019 Changes to allowances 0 95 345 258 0 698 Other changes 0 1 031 -21 248 -3 625 0 -23 842 Impairment allowances as at 31.12.2024 116 288 18 415 26 172 0 0 160 875 Net value as at 01.01.2024 976 132 746 277 179 300 868 412 070 Net value as at 31.12.2024 976 235 855 234 200 43 824 471 899 23.3 Material estimates and judgements Accounting estimates are made on the basis of a judgment, based on reliable information, and using methods of estimation appropriate in the given conditions. The subject of the estimate are the useful lives of the following: fixed assets and intangible assets as well as their recoverable amount. In accordance with IAS 36, the Group assesses non -current assets in terms of the existence of premises indicating their impairment. If there is such evidence, the Group estimates the asset's recoverable amount. When the carrying amount of a given asset exceeds its recoverable amount, its impairment is recognized, and a write-off is made to adjust its value to the level of its recoverable amount. 24 Other assets 24.1 Accounting policy information Financial assets in th is item are include trade receivables, including remuneration from insurance companies for the service of insurance and other receivables. The Group applied a simplified approach to estimating the allowance for expected credit losses and recognizes an allowance in the amount equal to
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 80 the expected credit losses over the life -time of the receivable. The level of the allowance is periodically verified. The current applicable rates for each overdue level are presented below: Bank Brokerage Office current - 1 % current - 1 % 1 - 30 days - 20 % 1 - 30 days - 4 % 31 - 60 days - 30 % 31 - 60 days - 5 % 61 - 90 days - 40 % 61 - 90 days - 8 % 91 - 180 days - 100 % 91 - 180 days - 100 % Non-financial assets are costs settled in time and relate to individual types of expenses, with an initial value exceeding PLN 4 thousand, the settlement of which will be charged to the profit and loss account according to the passage of time in future reporting periods. The components of costs settled over time are mainly: maintenance and support costs of IT systems as well as the Group's property insurance costs and rents paid in advance (unless they are within the scope of IFRS 16). 24.2 Financial data 31.12.2025 31.12.2024 Sundry debtors 651 519 647 989 Other settlements 291 480 309 554 Receivables related to sales of services (including insurance) 26 790 18 709 Guarantee deposits 25 144 21 988 Settlements due to cash in ATMs 308 105 297 738 Costs recognised over time 105 410 93 968 Maintenance and support of systems, servicing of plant and equipment 73 282 62 881 Other deferred costs 32 128 31 087 VAT settlements 69 095 34 826 Other assets (gross) 826 024 776 783 Allowance -41 614 -52 662 Other assets (carring amount) 784 410 724 121 including financial assets (gross) 651 519 647 989 Change in allowances on other financial assets 31.12.2025 31.12.2024 Value at the beginning of the period 52 662 66 574 allowances recorded 4 025 5 476 allowances released -2 209 -2 705 assets written off from the balance sheet -12 509 -16 728 other changes -355 45 Value at the end of the period 41 614 52 662
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 81 25 Assets pledged as colleteral 25.1 Accounting policy information Those assets that secure liabilities the Group is disclosed separately in the statement of financial position when the receiving party may sell or exchange the assets for other security. 25.2 Financial data 31.12.2025 31.12.2024 Financial assets pledged as colleteral in the EIB loan 0 18 029 Total 0 18 029 The Bank had a loan agreement with the European Investment Bank (EIB) with its seat in Luxembourg to support the financing of corporate customers activities. In connection with the above, it had established a pledge on securities in order to secure the repayment of this liability. In 2025, the Bank repaid the loan and therefore no longer has any assets pledged as colleteral. Apart from assets that secure liabilities that are disclosed separately in the statement of financial position, the Grupa additionally held the following collateral for the liabilities that did not meet the criterion of separate presentation in accordance with IFRS 9: presentation in the statement of financial position 31.12.2025 31.12.2024 Treasury bonds blocked with BFG Securities and derivatives 266 829 394 681 Deposits as derivative transactions (ISDA) collateral Amounts due from bank 753 864 725 785 Deposit as collateral of transactions performed in Alior Trader Loans and advances to customers 0 2 Total 1 020 693 1 120 468 26 Amounts due to banks 26.1 Accounting policy information The liabilities due to banks are measured at amortised cost with the effective interest rate. 26.2 Financial data Structure by type 31.12.2025 31.12.2024 Current deposits 0 582 Received loans 0 118 534 Other liabilities* 589 204 41 009 Total 589 204 160 125 *In this item, the deposits received at the end of 2025 amounted to PLN 583 million and at the end of 2024 – PLN 35 million. By maturity 31.12.2025 31.12.2024 up to 1 month 589 204 48 556 1 month to 3 months 0 12 486 3 months to 1 year 0 56 757
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 82 By maturity 31.12.2025 31.12.2024 from 1 year to 5 years 0 42 326 Total 589 204 160 125 By currency structure 31.12.2025 31.12.2024 PLN 554 396 124 706 EUR 24 719 21 579 USD 10 089 13 840 Total 589 204 160 125 27 Amounts due to customers 27.1 Accounting policy information Amounts due to customers are measured at amortised cost at the effective interest rate. 27.2 Financial data Structure by type and customer segment 31.12.2025 31.12.2024 Retail segment 59 112 643 54 171 904 Current deposits 43 137 688 38 776 717 Term deposits 15 678 809 15 100 510 Other liabilities 296 146 294 677 Corporate segment 23 507 942 22 764 696 Current deposits 15 636 326 15 016 295 Term deposits 7 535 674 7 390 257 Other liabilities 335 942 358 144 Total 82 620 585 76 936 600 By maturity 31.12.2025 31.12.2024 up to 1 month 69 068 866 63 523 782 from 1 month to 3 months 8 445 589 8 092 260 from 3 months to 1 year 5 037 125 5 256 943 from 1 year to 5 years 67 442 62 637 more than 5 years 1 563 978 Total 82 620 585 76 936 600 By currency structure 31.12.2025 31.12.2024 PLN 67 600 771 61 926 171 EUR 8 879 180 9 144 603 USD 4 194 508 3 896 164 CHF 492 065 460 504 Other 1 454 061 1 509 158 Total 82 620 585 76 936 600
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 83 28 Financial liabilities held for trading 28.1 Accounting policy information The Group classified derivative instruments and and financial liabilities due to short sales as financial liabilities as at 31 December 2025 and 31 December 2024. Those instruments are measured at fair value through the profit and loss account. Derivative transactions are executed for trading purposes and to manage the market risk. The Group enters into the following types of derivative transactions: FX -Forward, FX -Swap, IRS, CIRS, FRA, commodity Futures, commodity Forward, term transactions in securities and EUA, EUAE futures transactions. Every day the Group measures derivative instruments applying the discounted cash flows model. The Group also enters into option transactions that are measured with option measurement models. 28.2 Financial data 31.12.2025 31.12.2024 Short sale of T-bonds 59 222 0 Interest rate transactions 191 538 138 634 SWAP 190 160 136 642 Cap Floor Options 485 786 FRA 893 1 206 Foreign exchange transactions 46 327 51 592 FX Swap 21 290 15 516 FX forward 8 908 13 366 CIRS 6 104 2 383 FX options 10 025 20 327 Other options 146 0 Other instruments 29 891 6 224 Total 327 124 196 450 By maturity 31.12.2025 31.12.2024 up to 1 month 21 362 28 484 from 1 month to 3 months 26 127 13 580 from 3 months to 1 year 28 305 25 445 from 1 year to 5 years 209 964 98 431 more than 5 years 41 366 30 510 Total 327 124 196 450
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 84 29 Provisions 29.1 Accounting principles Provisions are liabilities with an uncertain payment date or an uncertain amount. The Group establishes provisions when the entity is charged with a (legal or customary) obligation relating to past events, and when it is likely that satisfaction of such obligation shall result in a necessity of an outflow of funds containing economic benefits an d the amount of such obligation may be reliably estimated. If the above conditions are not satisfied, no provision is established. Provisions for retirement benefits Provisions for retirement benefits are set up individually for each employee on the basis of actuarial valuation made by an independent actuarial company. The provision is determined on the basis of the anticipated amount of a retirement benefit that the Group shall pay in line with the remuneration regulations. In compliance with IAS 19, the discount rate to calculate the provisions has been set on the basis of market rates of return on Treasury bonds in the currency and with maturity are congruent with the currency and close to the disbursement of such retirement benefit. Provisions for legal claims This is a provision for disputes with employees, counterparties, customers and external institutions which is created due to the high probability of losing the court case by the Group. Details are specified in Note 39. Provisions for disputes are established in the amounts of the anticipated outflows of economic benefits. Provisions for granted financial and guarantee obligations The provision for off -balance sheet credit exposures is created in accordance with IFRS 9. Detailed principles of risk assessment are described in Note 22. Off-balance sheet provisions are created based on the EAD model (describing the estimated use of the exposure on the default date), and cover the risk of exposure constituting a surplus of EAD over the balance sheet exposure. In the process of valuation of provisions, the Group applies risk parameters and estimation principles identical with the valuation of amounts due to customers. Restructuring provision The restructuring provision is established for disbursement of statutory severance pay for termination of employment contracts as a result of group lay -offs and for so -called additional damages resulting from an agreement with the trade unions and a provis ion for restructuring costs of the branch network and abandonment of franchise outlets located too close (the provision covers the costs of damages and expenses related to abandoning of the branch and its restoration to the original condition). Provision for reimbursement of commissions and fees related to the loan prepayment - judgment of the Court of Justice of the European Union ('CJEU') of 11 September 2019 On 11 September 2019, the Court of Justice of the European Union judgment in case C-383/18 (so-called Lexitor case) was published. In deciding the case, the CJEU ruled that Article 16 (1) 1 of Directive 2008/48
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 85 / EC of the European Parliament and of the Council of 23 April 2008 on consumer credit agreements and repealing Council Directive 87/102 / EEC should be interpreted as meaning that the consumer's right to reduce the total cost of credit in the event of an earlier loan repayment includes all costs that have been imposed on the consumer. On the basis of the legal interpretations held, the Bank's Management Board appl ies a linear formula for settling loan costs with borrowers, which proportionality refers to the period between the actual loan repayment date and the repayment date specified in the contract and requires an equal division of the one-off cost into individual payment dates. In the case of prepayments of consumer and mortgage loans made before the date of the CJEU judgment, the Group estimates the amount of expected payments in accordance with IAS 37 and creates a provision for this purpose, which is charged to other operating costs. The provision takes into account the Group’s expected future inflow of customer orders for reimbursement of prepaid loan costs before the date of the CJEU judgment and was estimated based on the historically observed trend of loan reimbursement based on orders submitted by customers. 29.2 Financial data Provisions for legal claims Provisions for retirement benefits Provisions for off- balance sheet liabilities granted Provision for reimbursement of credit costs (TSUE) Total provisions As at 01.01.2025 216 126 9 510 42 419 53 739 321 794 Established provisions 144 744 27 819 112 074 1 017 285 654 Reversal of provisions -15 923 -11 555 -118 280 -399 -146 157 Utilized provisions -30 646 -11 759 0 -14 728 -57 133 Other changes -98 0 -93 0 -191 As at 31.12.2025 314 203 14 015 36 120 39 629 403 967 Provisions for disputes Provisions for retirement benefits Provisions for off-balance sheet liabilities granted Restructuring provision Provision for reimbursement of credit costs (CJEU) Total provisions As at 01.01.2024 157 197 8 362 73 878 894 69 645 309 976 Established provisions 99 640 17 977 104 766 4 574 8 385 235 342 Reversal of provisions -21 423 -8 926 -136 096 -382 -5 019 -171 846 Utilized provisions -19 291 -7 903 0 -5 086 -19 272 -51 552 Other changes 3 0 -129 0 0 -126 As at 31.12.2024 216 126 9 510 42 419 0 53 739 321 794 29.3 Material estimates and judgements Actuarial provision Provisions for employee benefits are measured with actuarial techniques and assumptions. The calculation covers all retirement benefits potentially disbursable in the future. The provision has been established on the basis of a list of persons with all the required personal data, including seniority, age, and gender. The accrued provisions are equal to the discounted payments to be made in the future subject to staff rotation. The provision is updated annually.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 86 Provision for reimbursement of commissions and fees related to the loan prepayment - judgment of the Court of Justice of the European Union ('CJEU') of 11 September 2019 The estimation of the provision for the reimbursement of loan costs required the Group to adopt a number of expert assumptions as to the future inflow of complaints, which are associated with a significant uncertainty resulting from the risk of changes in customer behavior compared to the historical trend as well as the possible evolution of market practice or the position of the regulator . The amount of the provision was estimated assuming the continuation of the existing trend of declining returns. The amount of the provision will be updated in subsequent periods depending on the trend in the amount of returns. 29.4 Sensitivity analysis of material estimates and judgements Actuarial provision The Group updated the estimates as at 31 December 2025 using calculations performed by an external independent actuary. An important element influencing the amount of the provision is the adopted financial discount rate, which was adopted by the Group in 202 5 at the level of 5.0% and in 202 4 respectively 5.6%. The impact of an increased/decreased discount rate and the fundamental actuarial assumptions by 1 pp on the increase/decrease of the retirement provision as at 31 December 20 25 and as at 31 December 2024 is presented in the tables below. Estimated change of provision as at 31.12.2025 Financial discount rate Planned growth of basis Scenario +1pp Scenario -1pp Scenario +1pp Scenario -1pp Provisions for retirement benefits -12 604 +15 258 +15 249 -12 589 Estimated change of provision as at 31.12.2024 Financial discount rate Planned growth of basis Scenario +1pp Scenario -1pp Scenario +1pp Scenario -1pp Provisions for retirement benefits - 8 556 +10 209 +10 227 -8 529 Provision for reimbursement of commissions and fees related to the loan prepayment - judgment of the Court of Justice of the European Union ('CJEU') of 11 September 2019 Significant assumptions adopted by the Group to estimate the provision for reimbursement of credit costs as at 31 December 2025 and 31 December 2024 include: • a change in the pace of decline in the amounts of reimbursement. The table below contains information on how much the balance of the provision for future reimbursement would change if the Bank assumed in its estimates that the historically observed downward trend in returns, on which the Bank's estimates are based, would deepen or weaken by 10%. Change in the pace of decline in the amount of reimbursement 2025 2024 +10% -10% +10% -10% The impact of the change in the rate of decline on the amount of the provision MPLN -0.5 MPLN +0.5 MPLN -1.2 MPLN +1.3
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 87 30 Other liabilities 30.1 Accounting policy informations The liabilities in this item are accruals, revenues collected in advance and provisions for future payments. Provisions for future payments are measured at the justified, reliably estimated value necessary to fulfill the present obligation at the end of the reporting period. Contract liabilities are measured at the amount of probable liabilities for the current reporting period, resulting from: • services provided for the benefit of the Group by the Group's counterparties, if the liability amount can be reliably estimated, • performance obligations related to day-to-day business operations, the amount of which can be estimated, although the date when the obligation arises is not yet known. Income charged in advance comprises mainly commissions settled on a straight -line basis and other income charged in advance which will be settled in the profit and loss account in future reporting periods. 30.2 Financial data 31.12.2025 31.12.2024 Interbank settlements 505 686 450 117 Settlements of payment cards 266 245 Liability for reimbursement of credit costs 45 257 39 325 Liabilities due to lease agreements 322 737 226 371 Taxes, customs duty, social and health insurance payables and other public settlements 82 086 65 087 Settlements of issues of bank certificates of deposits 375 236 Liabilities due to contributions to the Bank Guarantee Fund 236 491 204 259 Accrued expenses 233 118 187 636 Income received in advance 49 455 51 124 Provision for bancassurance resignations 30 636 52 132 Provision for bonuses 153 287 138 365 Provision for unutilised annual leaves 31 680 27 048 Provision for bonuse settled in phantom shares 21 268 18 395 Other employee provisions 11 642 15 114 Other liabilities 315 720 232 981 Total 2 039 704 1 708 435 Change in lease liabilities 31.12.2025 31.12.2024 Value at the beginning of the period 226 371 252 938 Changes resulting from cash flows -86 144 -85 509 Increases 179 661 64 416 Exchange rate differences 0 1 153 Other changes 2 849 -6 627 Value at the end of the period 322 737 226 371
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 88 31 Debt securities issued 31.1 Accounting policy information Debt securities issued are measured at amortized cost using the effective interest rate method. 31.2 Financial data Structure by type 31.12.2025 31.12.2024 Bonds issued liabilities 2 268 934 1 809 233 Bank securities issued liabilities("BPW") 0 277 783 Bank structured securities issued liabilities(“BPP”) 52 936 0 Total 2 321 870 2 087 016 By maturity 31.12.2025 31.12.2024 up to 1 month 0 63 548 from 1 month to 3 months 0 146 420 from 3 months to 1 year 0 67 815 from 1 year to 5 years 2 321 870 1 809 233 Total 2 321 870 2 087 016 By currency structure 31.12.2025 31.12.2024 PLN 2 321 870 2 001 478 EUR 0 43 491 USD 0 42 047 Total 2 321 870 2 087 016 Nominal value in the currency 31.12.2025 Nominal value in the currency 31.12.2024 Currency Term Interest Status of liabilities 31.12.2025 31.12.2024 Series M Bonds 0 400 000 PLN 26.06.2023- 26.06.2026 WIBOR6M +3.10 0 400 584 Series N Bonds 450 000 450 000 PLN 20.12.2023- 15.06.2027 WIBOR6M +2.81 451 415 451 800 Series O Bonds 550 000 550 000 PLN 27.06.2024- 09.06.2028 WIBOR6M +1.99 552 066 552 693 Series P Bonds 400 000 400 000 PLN 14.11.2024- 14.04.2028 WIBOR6M +2.07 405 653 404 156 Series R Bonds 400 000 0 PLN 17.06.2025- 17.04.2029 WIBOR6M +1.95 405 280 0 Series S Bonds 450 000 0 PLN 30.10.2025- 19.10.2029 WIBOR6M +1.50 454 520 0 BPW 0 9 950 EUR 12.2022 – 02.2025 The interest rate is calculated by the BPW Issuer according to the formula described in the final terms and conditions of a given series. The payment and interest rate may be fixed, variable or dependent on the conditions of the valuation of the underlying instrument, such as a stock exchange 0 43 491 BPW 0 182 407 PLN 07.2021-04.2025 0 192 245 BPW 0 9 884 USD 07.2021-04.2025 0 42 047
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 89 Nominal value in the currency 31.12.2025 Nominal value in the currency 31.12.2024 Currency Term Interest Status of liabilities 31.12.2025 31.12.2024 index or the valuation of company shares. BPP 52 620 0 PLN 03.2025-05.2027 The amount of the benefit is calculated by the BPP Issuer according to the formula described in the final terms of a given series. The payment and amount of the benefit depend on the conditions of the valuation of the underlying instrument, such as a stock exchange index, valuation of company shares. 52 936 0 Total 2 321 870 2 087 016 Issues in the reporting periods 01.01.2025-31.12.2025 Currency Issues - original currency Issues - in PLN Redemptions - original currency Redemptions – in PLN Series M Bonds PLN 0 0 400 000 400 000 Series R Bonds PLN 400 000 400 000 0 0 Series S Bonds PLN 450 000 450 000 0 0 BPP PLN 53 238 53 238 618 618 BPW PLN 0 0 140 140 BPW USD 0 0 55 228 Total 903 238 400 986 01.01.2024-31.12.2024 Currency Issues - original currency Issues - in PLN Redemptions - original currency Redemptions – in PLN Series O Bonds PLN 550 000 550 000 0 0 Series P Bonds PLN 400 000 400 000 0 0 BPW EUR 9 950 42 956 0 0 BPW PLN 28 256 28 256 8 294 8 294 BPW USD 0 0 115 453 Total 1 021 212 8 747 On 26 June 2025, the Bank made an early redemption of series M bonds. 32 Equity 32.1 Accounting principles Equity is composed of the share capital, the supplementary capital, the revaluation reserves, other reserves and profit for the current year and retained profit. Share capital The share capital is disclosed at its nominal value in line with the Articles of Association and the entry to the National Court Register.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 90 Supplementary capital The supplementary capital is established from profit allocations, pursuant to resolutions of the General Meeting. The supplementary capital also includes the share issue agio, net of the issue costs. The supplementary capital may be applied to cover balanc e sheet losses that may result from the Bank's operations. Revaluation reserve The revaluation reserve is established as a result of measurement of: • financial instruments measured at fair value through other comprehensive income, • the effective part of hedge for cash flow hedge accounting programme, • deferred income tax related to the above items. The revaluation reserve is not subject to distribution. Other reserves The other reserves are established from profit allocations. They may be used for the purposes specified in the Bank's Articles of Association or in applicable regulations. Current profit and retained profit Net profit attributable to the parent entity is gross profit in the profit and loss account of the current year adjusted with income tax and the profit attributable to non-controlling holdings. On 16 June 2025, the Ordinary General Meeting of the Bank adopted resolution No. 7/2025 on the method of dividing the Bank's profit for the financial year 2024. In accordance with the resolution, the Bank's net profit from operations in the financial year 2024, in the total amount of PLN 2 417 499 553.87, was allocated as follows: • part of the profit in the amount of PLN 1 199 791 177.29 to the payment of dividend, • remaining part of the profit in the amount of PLN 1 217 708 376.58 to supplementary capital, including the non-distributable profit achieved on the activities of the Housing Fund in the amount of PLN 17 136 562.53. The dividend amount per share was PLN 9.19. Dividend A dividend for the year, approved by the General Meeting, not disbursed until the balance sheet date, is disclosed as a dividend liability in other liabilities. 32.2 Financial data Equity 31.12.2025 31.12.2024 Share capital 1 305 540 1 305 540 Supplementary capital 8 655 257 7 438 105 Revaluation reserve 407 642 -197 164 financial assets measured at fair value through other comprehensive income 281 521 33 531 from measurement of hedging instruments 126 121 -230 695 Other reserves 161 792 161 792
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 91 Equity 31.12.2025 31.12.2024 Exchange rate differences on revaluation of foreign entities 0 256 Retained profit/loss 85 698 53 168 Current year profit/loss 2 367 048 2 445 022 Total 12 982 977 11 206 719 Revaluation reserve 31.12.2025 31.12.2024 Valuation of financial assets measured at fair value through other comprehensive income 281 521 33 531 Treasury bonds 213 081 -48 779 Other debt instruments -9 162 -13 066 Equity instruments 163 986 103 230 Deferred income tax -86 384 -7 854 Valuation of hedging derivatives 126 121 -230 695 IRS/FRA 164 396 -284 809 deferred income tax -38 275 54 114 Total 407 642 -197 164 32.3 Shareholders of Alior Bank Spółka Akcyjna As at 31 December 202 5, the shareholders holding 5% or more of the overall number of votes at the General Meeting were as follows Shareholder Number of shares Nominal value of shares [PLN] Percentage in the share capital Number of votes Number of votes in the total number of votes 31.12.2025 PZU SA Group* 41 658 850 416 588 500 31.91% 41 658 850 31.91% Nationale-Nederlanden OFE (with DFE)** 12 915 615 129 156 150 9.89% 12 915 615 9.89% Allianz OFE** 11 526 440 115 264 400 8.83% 11 526 440 8.83% Generali OFE (with DFE)** 6 692 039 66 920 390 5.13% 6 692 039 5.13% Other shareholders 57 761 047 577 610 470 44.24% 57 761 047 44.24% Total 130 553 991 1 305 539 910 100% 130 553 991 100% *The PZU Group includes entities that have concluded a written agreement regarding the purchase or sale of the Bank's shares and the consistent exercise of voting rights at the Bank's general meetings, i.e.: Powszechny Zakład Ubezpieczeń SA, Powszechny Zak ład Ubezpieczeń Na Życie SA, PZU Specjalistyczny Fundusz Inwestycyjny Otwarty UNIVERSUM, PZU Fundusz Inwestycyjny Closed Non -Public Assets BIS 1 and PZU Closed -End Investment Fund for Non-Public Assets BIS 2. On the conclusion of the above-mentioned agreement, the Bank informed in current report no. 21/2017. **Information regarding the number of shares and votes held at the General Meeting of the Bank by entities managed by Nationa le – Nederlanden PTE, Generali PTE and Allianz PTE was provided on the basis of reports published by these entities on the structur e of OFE and DFE assets as at 31 December 2025.. As at 31 December 20 24 and as at the date of preparation of financial statements , the shareholders holding 5% or more of the overall number of votes at the General Meeting were as follows: Shareholder Number of shares Nominal value of shares [PLN] Percentage in the share capital Number of votes Number of votes in the total number of votes 31.12.2024 PZU SA Group* 41 658 850 416 588 500 31.91% 41 658 850 31.91% Nationale-Nederlanden** 12 841 601 128 416 010 9.84% 12 841 601 9.84% Allianz OFE*** 11 526 440 115 264 400 8.83% 11 526 440 8.83% Other shareholders 64 527 100 645 271 000 49.42% 64 527 100 49.42%
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 92 Shareholder Number of shares Nominal value of shares [PLN] Percentage in the share capital Number of votes Number of votes in the total number of votes Total 130 553 991 1 305 539 910 100% 130 553 991 100% *The PZU Group includes entities that have concluded a written agreement regarding the purchase or sale of the Bank's shares and the consistent exercise of voting rights at the Bank's general meetings, i.e.: Powszechny Zakład Ubezpieczeń SA, Powszechny Zak ład Ubezpieczeń Na Życie SA, PZU Specjalistyczny Fundusz Inwestycyjny Otwarty UNIVERSUM, PZU Fundusz Inwestycyjny Closed Non -Public Assets BIS 1 and PZU Closed -End Investment Fund for Non-Public Assets BIS 2. On the conclusion of the above-mentioned agreement, the Bank informed in current report no. 21/2017. **Information on the number of shares and votes held at the Bank's General Meeting by managed entites by Nationale – Nederlanden PTE has been updated based on the Bank's Shareholder Identification Report as at 31 December 2024. ***Based on the Bank's Shareholder Identification Report as of 31 December 2024. 32.4 Share capital structure Series Type of shares Number of shares Number of shares Nominal value of shares Series value at nominal prices (PLN) 31.12.2025 31.12.2024 31.12.2025 31.12.2024 Series A Ordinary 50 000 000 50 000 000 10 500 000 000 500 000 000 Series B Ordinary 1 250 000 1 250 000 10 12 500 000 12 500 000 Series C Ordinary 12 332 965 12 332 965 10 123 329 650 123 329 650 Series D Ordinary 863 827 863 827 10 8 638 270 8 638 270 Series E Ordinary 524 404 524 404 10 5 244 040 5 244 040 Series F Ordinary 318 701 318 701 10 3 187 010 3 187 010 Series G Ordinary 6 358 296 6 358 296 10 63 582 960 63 582 960 Series H Ordinary 2 355 498 2 355 498 10 23 554 980 23 554 980 Series I Ordinary 56 550 249 56 550 249 10 565 502 490 565 502 490 Series J Ordinary 51 51 10 510 510 Total 130 553 991 130 553 991 1 305 539 910 1 305 539 910 As at 31 December 2025 and 31 December 2024, the Bank did not have any preference shares. Other additional information 33 Off-balance sheet items 33.1 Accounting principles In this item, the Group presents financing and guarantee commitments. In the item of financial liabilities, the Group has commitments to grant loans. These commitments include approved loans, credit card limits and overdraft limits. In this item, the Group did not present liabilities resulting from positive credit decisions constituting a unilateral offer of the Bank, of an irrevocable nature, concerning the financing of mortgage loans, which as at 31 December 2025 amounted to PLN 293 million and as at 31 December 2024 - PLN 267 million. In the guarantee position, guarantees are presented which secure the performance of the Group's clients with their obligations towards third parties. The Group charges commissions for liabilities granted, which are accounted for in accordance with the characteristics of the instrument. The guarantee values as specified in the table above reflect the maximum potential loss that would be disclosed on the balance sheet date if all customers defaulted.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 93 33.2 Financial data Off-balance sheet liabilities granted to customers 31.12.2025 31.12.2024 Granted off-balance liabilities 14 509 631 12 640 995 Concerning financing 13 659 580 11 683 706 Guarantees 850 051 957 289 Performance guarantees 280 740 354 471 Financial guarantees 569 311 602 818 By maturity – concerning financing 31.12.2025 31.12.2024 up to 1 month 5 229 734 5 559 239 from 1 month to 3 months 175 207 273 152 from 3 months to 1 years 1 530 489 893 943 from 1 year to 5 years 5 511 485 4 213 628 more than 5 years 1 212 665 743 744 Total 13 659 580 11 683 706 By maturity – guarantees 31.12.2025 31.12.2024 up to 1 month 51 858 13 179 from 1 month to 3 months 64 146 138 148 from 3 months to 1 years 235 375 327 745 from 1 year to 5 years 412 591 382 427 more than 5 years 86 081 95 790 Total 850 051 957 289 31.12.2025 Nominal amount Provision Stage 1 Stage 2 Stage 3 Stage 1 Stage 2 Stage 3 Concerning financing 11 627 517 1 971 330 60 733 19 246 16 112 0 Guarantees 703 209 139 192 7 650 166 123 473 Total 12 330 726 2 110 522 68 383 19 412 16 235 473 31.12.2024 Nominal amount Provision Stage 1 Stage 2 Stage 3 Stage 1 Stage 2 Stage 3 Concerning financing 10 306 661 1 319 895 57 150 18 324 14 196 0 Guarantees 744 767 196 046 16 476 150 462 9 287 Total 11 051 428 1 515 941 73 626 18 474 14 658 9 287 Reconciliations between the opening balance and the closing balance of off -balance sheet liabilities granted to customers and arrangements regarding the value of provisions created in this respect are presented below.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 94 Change in off-balance sheet liabilities concerning financing (nominal value) Stage 1 Stage 2 Stage 3 Total As at 01.01.2025 10 306 661 1 319 895 57 150 11 683 706 New / purchased / granted financial assets 5 886 532 0 0 5 886 532 Changes due to the sale or expiry of the instrument -2 621 774 -342 934 -46 437 -3 011 145 Transfer to Stage 1 182 887 -182 804 -83 0 Transfer to Stage 2 -1 170 919 1 171 489 -570 0 Transfer to Stage 3 -10 010 -36 201 46 211 0 Changing commitment -941 125 42 784 4 462 -893 879 Other changes, including exchange rate differences -4 735 -899 0 -5 634 As at 31.12.2025 11 627 517 1 971 330 60 733 13 659 580 Change in off-balance sheet liabilities guarantees (nominal value) Stage 1 Stage 2 Stage 3 Total As at 01.01.2025 744 767 196 046 16 476 957 289 New / purchased / granted financial assets 298 766 0 0 298 766 Changes due to the sale or expiry of the instrument -313 120 -59 489 -12 075 -384 684 Transfer to Stage 1 40 922 -40 922 0 0 Transfer to Stage 2 -64 470 64 470 0 0 Transfer to Stage 3 -514 -216 730 0 Changing commitment -2 998 -20 536 2 542 -20 992 Other changes, including exchange rate differences -144 -161 -23 -328 As at 31.12.2025 703 209 139 192 7 650 850 051 Change in off-balance sheet liabilities concerning financing (nominal value)) Stage 1 Stage 2 Stage 3 Total As at 01.01.2024 10 203 297 1 268 205 152 765 11 624 267 New / purchased / granted financial assets 5 201 527 0 0 5 201 527 Changes due to the sale or expiry of the instrument -3 303 514 -472 160 -101 712 -3 877 386 Transfer to Stage 1 111 900 -109 637 -2 263 0 Transfer to Stage 2 -802 162 831 927 -29 765 0 Transfer to Stage 3 -6 993 -23 445 30 438 0 Changing commitment -1 094 009 -174 140 6 938 -1 261 211 Other changes, including exchange rate differences -3 385 -855 749 -3 491 As at 31.12.2024 10 306 661 1 319 895 57 150 11 683 706 Change in off-balance sheet liabilities guarantees (nominal value) Stage 1 Stage 2 Stage 3 Total As at 01.01.2024 621 161 148 711 53 561 823 433 New / purchased / granted financial assets 416 607 0 0 416 607 Changes due to the sale or expiry of the instrument -155 432 -53 968 -40 553 -249 953 Transfer to Stage 1 12 985 -12 985 0 0 Transfer to Stage 2 -115 570 115 707 -137 0 Transfer to Stage 3 -1 232 0 1 232 0 Changing commitment -33 369 -1 099 2 486 -31 982 Other changes, including exchange rate differences -383 -320 -113 -816 As at 31.12.2024 744 767 196 046 16 476 957 289
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 95 Change in the provision for off-balance sheet liabilities concerning financing Stage 1 Stage 2 Stage 3 Total As at 01.01.2025 18 324 14 196 0 32 520 New / purchased / granted financial assets 33 989 0 0 33 989 Changes due to the sale or expiry of the instrument -11 284 -13 919 0 -25 203 Transfer to Stage 1 1 237 -1 237 0 0 Transfer to Stage 2 -10 920 10 920 0 0 Transfer to Stage 3 -28 -2 303 2 331 0 Change in the estimate of the provision for off-balance sheet liabilities -12 042 8 504 -2 331 -5 869 Other changes, including exchange rate differences -30 -49 0 -79 As at 31.12.2025 19 246 16 112 0 35 358 Change in the provision for off-balance sheet liabilities guarantees Stage 1 Stage 2 Stage 3 Total As at 01.01.2025 150 462 9 287 9 899 New / purchased / granted financial assets 599 0 0 599 Changes due to the sale or expiry of the instrument -101 -216 -9 336 -9 653 Transfer to Stage 1 42 -42 0 0 Transfer to Stage 2 -242 242 0 0 Transfer to Stage 3 -231 -1 232 0 Change in the estimate of the provision for off-balance sheet liabilities -50 -322 303 -69 Other changes, including exchange rate differences -1 0 -13 -14 As at 31.12.2025 166 123 473 762 Change in the provision for off-balance sheet liabilities concerning financing Stage 1 Stage 2 Stage 3 Total As at 01.01.2024 13 246 25 700 1 825 40 771 New / purchased / granted financial assets 21 620 0 0 21 620 Changes due to the sale or expiry of the instrument -12 708 -31 487 -3 354 -47 549 Transfer to Stage 1 1 985 -1 971 -14 0 Transfer to Stage 2 -13 697 14 765 -1 068 0 Transfer to Stage 3 -57 -2 941 2 998 0 Change in the estimate of the provision for off-balance sheet liabilities 3 373 15 175 -795 17 753 Other changes, including exchange rate differences 4 562 -5 045 408 -75 As at 31.12.2024 18 324 14 196 0 32 520 Change in the provision for off-balance sheet liabilities guarantees Stage 1 Stage 2 Stage 3 Total As at 01.01.2024 192 324 32 591 33 107 New / purchased / granted financial assets 1 630 0 0 1 630 Changes due to the sale or expiry of the instrument -42 -181 -31 202 -31 425 Transfer to Stage 1 4 -4 0 0 Transfer to Stage 2 -404 779 -375 0 Transfer to Stage 3 -1 347 0 1 347 0 Change in the estimate of the provision for off -balance sheet liabilities -133 -205 6 979 6 641 Other changes, including exchange rate differences 250 -251 -53 -54 As at 31.12.2024 150 462 9 287 9 899
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 96 The distribution of off-balance sheet liabilities granted to customers according to the aggregated PD scale is presented below. Concerning financing 31.12.2025 31.12.2024 Stage 1 Stage 2 Total Stage 1 Stage 2 Total < 0.28% 2 319 844 354 182 2 674 026 1 991 588 126 469 2 118 057 0.28% - 0.44% 706 956 79 638 786 594 791 808 128 970 920 778 0.44% - 0.85% 1 911 382 150 456 2 061 838 1 341 118 180 500 1 521 618 0.85% - 1.33% 3 564 608 183 766 3 748 374 2 254 411 138 966 2 393 377 1.33% - 2.06% 1 636 262 451 775 2 088 037 2 149 653 136 323 2 285 976 2.06% - 3.94% 1 067 311 325 649 1 392 960 1 157 875 272 842 1 430 717 3.94% - 9.1% 331 996 275 080 607 076 474 892 217 111 692 003 > 9.1% 60 374 80 791 141 165 116 362 118 714 235 076 No scoring 28 784 69 993 98 777 28 954 0 28 954 Total 11 627 517 1 971 330 13 598 847 10 306 661 1 319 895 11 626 556 Guarantees 31.12.2025 31.12.2024 Stage 1 Stage 2 Total Stage 1 Stage 2 Total < 0.28% 34 457 0 34 457 143 204 0 143 204 0.28% - 0.44% 131 051 112 131 163 42 876 475 43 351 0.44% - 0.85% 97 912 2 000 99 912 148 152 10 603 158 755 0.85% - 1.33% 112 821 9 445 122 266 144 313 21 733 166 046 1.33% - 2.06% 188 771 41 131 229 902 204 415 13 974 218 389 2.06% - 3.94% 85 700 16 506 102 206 46 435 69 437 115 872 3.94% - 9.1% 41 930 13 294 55 224 13 995 25 703 39 698 > 9.1% 10 567 56 704 67 271 1 377 54 121 55 498 Total 703 209 139 192 842 401 744 767 196 046 940 813 34 Additional information to the cash flow statement 34.1 Accountig principles The Group makes its statement of operating cash flows with an indirect method in which the gross profit for the reporting period is adjusted by the effects of cashless transactions and accruals concerning future or past inflows or payments of cash funds concerning operating activities. 34.2 Financial data Operating activity Cash flows from the Group's operating activities cover primarily lending, deposits, FX exchange transactions, and purchase and sale of securities. The Group in addition, include also Bank securities issued liabilities and Bank structured securities issued liabilities. Change of balances of loans and other receivables 01.01.2025– 31.12.2025 01.01.2024– 31.12.2024 Change of receivables from customers – statement of financial position -2 616 407 -1 580 751 Change of receivables from banks – statement of financial position -381 528 2 793 839
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 97 01.01.2025– 31.12.2025 01.01.2024– 31.12.2024 Total -2 997 935 1 213 088 Change of other liabilities 01.01.2025– 31.12.2025 01.01.2024– 31.12.2024 Change of other liabilities – statement of financial position 331 269 -945 465 Change of other liabilities – measured at amortised cost – statement of financial position 408 929 -11 552 Liabilities for expenses related to the acquisition of fixed assets -114 464 34 291 Liabilities for expenses related to the acquisition of intangible assets -59 227 -59 812 Other changes 106 002 115 286 Total 672 509 -867 252 Investing activities Investing activities include the acquisition and disposal of intangible assets, tangible fixed assets and equity instruments measured at fair value through other comprehensive income, as well as debt securities measured at amortized cost (excluding short-term treasury bills). Financial activity Cash flows from financing activities include inflows and outflows related to both obtaining and repayment of own and external sources of financing, as well as inflows from the issue of long -term debt financial instruments, subordinated issues and repayment of long-term liabilities, including finance lease liabilities and dividend payments to shareholders. 31.12.2024 Cash flows Non-cash changes 31.12.2025 Inflows Principal outflows Interest outflows Accrued interests Exchange rate differences Long-term liabilities 1 809 233 850 000 -400 000 -132 556 142 257 0 2 268 934 31.12.2023 Cash flows Non-cash changes 31.12.2024 Inflows Principal outflows Interest outflows Accrued interests Exchange rate differences Subordinated and long-term liabilities 2 011 857 950 000 -1 141 700 -168 517 157 593 0 1 809 233 35 Fair value 35.1 Accounting principles and estimates and judgments The fair value is a price receivable in the sale of an asset or payable for transfer of a liability in an arm’s length transaction in the principal (or most advantageous) market as at the measurement date subject to prevailing market conditions (exit price ), irrespective of the fact if such price is directly observable or estimated with another measurement technique.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 98 Depending on the classification category of financial assets and liabilities to a specific hierarchy fair value level, various methods to measure fair value are applied. Level 1: On the basis of prices quoted in the principal (or most advantageous) market Financial assets and liabilities with fair value measured directly on the basis of quoted prices (not adjusted) from active markets for identical assets or liabilities. This category includes financial and equity instruments measured at fair value for which there is an active market and for which the fair value is determined on the basis of market value: • Treasury debt securities listed on active, liquid financial markets, • debt and equity securities traded in a regulated market, including in the portfolio of the Brokerage Office, • derivative instruments that are traded in a regulated market. Level 2: On the basis of measurement techniques based on assumptions using information coming from the principal (or most advantageous) market Financial assets and liabilities whose fair value is measured with measurement models where all material input data is observable in the market directly (as prices) or indirectly (relying on prices). In that category the Group classifies financial instruments for which no active market exists: Measurement method (techniques) Material observable input data DERIVATIVE FINANCIAL INSTRUMENTS – CIRS, IRS, FRA, FX, FORWARD, FX SWAP TRANSACTIONS The model of discounted future cash flows based on profitability curves. Profitability curves are built on the basis of market rates, market data of the money market, FRA, IRS, OIS basis swap transaction market. FX instruments are measured using NBP’s fixing rates and market rates of swap points. FX OPTIONS, INTEREST RATE OPTIONS FX options and interest rate options are measured with the use of specific valuation models characteristic for a specific option. For option instruments additionally market quotations are used for market variability quotations of currency pairs and interest rates. NBP MONEY BILLS Profitability curve method. Profitability curves are developed on the basis of money market data. COMMODITY FORWARD/SWAP Commodity instruments are measured on the basis of future cash flows calculated on the basis of profitability curves characteristic for specific commodities. Profitability curves are built on the basis of quoted commodity futures contracts. Level 3: For which minimum one factor affecting the price is not observable in the market Financial assets and liabilities with the fair value measured with the measurement models where input data is not based on observable market data (non-observable input data). Such instruments include options embedded in certificates of deposit issued by the Group and options in the interbank market to hedge positions of the embedded options. The fair value is determined on the basis of market prices of those options or an internal model subject to both observable parameters (e.g. price of the base instrument, seco ndary quotations of options) and non -observable (e.g. variability, correlations between base instruments in options based on a stage). Model parameters are determined on the basis of a statistical analysis. At the end of the reporting period, the position in the above - mentioned instruments was closed on back -to-back basis, which means that the change in valuation of
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 99 options embedded in structured instruments is offset by changes in the valuation of options concluded on the interbank market. Instruments of this level also include unlisted shares held by the Group. Measurement method (techniques) Material observable input data Factor unobservable Range of unobservable factors Impact on valuation EXOTIC OPTIONS The prices of exotic options embedded in structured products are determined on the basis of market prices or measured with the internal model subject to both observable parameters (e.g. price of the base instrument, secondary quotations of options) and non - observable (e.g. variability, correlations between base instruments) The prices of exotic options embedded in structured products are acquired from the market Volatility of prices of underlying instruments, correlations of prices of underlying instruments Back-to-back closed options, changes in unobservable factors without affecting the total portfolio valuation none SHARES VISA INC C SERIES The current market value of listed ordinary shares of Visa Inc. subject to the conversion ratio and discount, considering changing prices of the shares of Visa Inc. Market value of the listed ordinary shares of Visa Inc Discount due to the illiquid nature of the securities, common stock conversion factor Discount +/ -19% ; conversion rate <- 0.047;0> +23.5%/-28.5% Shares PSP SA Fair value estimation is based on the current value of the company's forecast results Risk free rate Risk premium, financial performance forecast Risk premium +/ - 25bps. ; Financial forecasts +/- 10% +9.6%/-9.6% Fair value valuation is performed directly by the Financial Risk Management Department. It is an entity independent of the entities concluding individual transactions. The fair value valuation methodology, including changes to its parameterization, is subject to approval by the Capital, Assets and Liabilities Management Committee (CALCO). The Financial Risk Management Department assesses the adequacy and significance of risk factors in terms of assigning valuation models to the appropriate level of the fair value valuation hierarchy in accordance with the established classification principles. However, the assessment of the adequacy of valuation methods is s ubject to cyclical reviews as part of model risk management, and input data is subject to the DQM (Data Quality Management) process. Instruments are transferred between measurement levels as at the end of the reporting period. Transfers are made subject to conditions set forth in the international financial reporting standards, for instance quotation availability of instruments from an active market, availabilit y of quotations of pricing factors, or impact of non-observable data on the fair value. Alior Bank Group made an irrevocable decision to designate investments from the portfolio of equity investments available for sale as being measured at fair value through other comprehensive income. Equity investments, in relation to which the Group chose the option of fair value valuation by other comprehensive income, were acquired with the goal of long -term and strategic maintenance of their investment portfolio without intending to realize profit on sales in the short or medium time horizon.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 0 35.2 Financial data Below there are carrying values of financial assets and liabilities split into measurement categories (levels). Compared to the previous reporting period, there was no change to the classification and measurement principles of the hierarchy levels of the fair value. 31.12.2025 Level 1 Level 2 Level 3 Total Securities and derivatives 21 346 191 2 006 854 220 136 23 573 181 Securities measured at fair value through profit and loss 103 369 247 876 19 392 370 637 SWAP 0 155 724 0 155 724 Cap Floor Options 0 485 0 485 FRA 0 577 0 577 Forward 15 0 0 15 FX Swap 0 16 386 0 16 386 FX forward 0 34 285 0 34 285 CIRS 0 1 058 0 1 058 FX options 0 7 615 24 7 639 Other options 0 0 146 146 Other instruments 30 31 746 0 31 776 Financial deriatives 45 247 876 170 248 091 Treasury bonds 103 324 0 0 103 324 Other bonds 0 0 4 4 Equity instruments 0 0 19 218 19 218 Securities 103 324 0 19 222 122 546 Securities measured at fair value through other comprehensive income 21 242 822 1 099 389 200 744 22 542 955 Money bills 0 1 099 389 0 1 099 389 Treasury bonds 19 046 261 0 0 19 046 261 Treasury bills 945 076 0 0 945 076 Other bonds 1 251 485 0 0 1 251 485 Equity instruments 0 0 200 744 200 744 Derivative hedging instruments 0 659 589 0 659 589 Interest rate transactions 0 659 589 0 659 589 31.12.2024 Level 1 Level 2 Level 3 Total Securities and derivatives 17 667 648 3 885 891 166 121 21 719 660 Securities measured at fair value through profit and loss 2 014 212 808 26 120 240 942 SWAP 0 134 884 0 134 884 Cap Floor Options 0 786 0 786 FRA 0 197 0 197 Forward 7 0 0 7 FX swap 0 35 852 0 35 852 FX forward 0 8 447 0 8 447 CIRS 0 8 092 0 8 092 FX options 0 18 014 26 18 040 Other instruments 29 6 536 0 6 565 Financial deriatives 36 212 808 26 212 870 Treasury bonds 1 978 0 0 1 978 Other bonds 0 0 4 4
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 1 31.12.2024 Level 1 Level 2 Level 3 Total Equity instruments 0 0 26 090 26 090 Securities 1 978 0 26 094 28 072 Securities measured at fair value through other comprehensive income 17 665 634 3 398 372 140 001 21 204 007 Money bills 0 3 398 372 0 3 398 372 Treasury bonds 16 633 632 0 0 16 633 632 Treasury bills 213 200 0 0 213 200 Other bonds 818 802 0 0 818 802 Equity instruments 0 0 140 001 140 001 Assets pledged as collateral 18 029 0 0 18 029 Derivative hedging instruments 0 274 711 0 274 711 Interest rate transactions 0 274 711 0 274 711 Issuer Hierarchy level Fair value on 31.12.2025 Fair value on 31.12.2024 PSP SA III 197 472 136 715 SWIFT III 822 831 Other shares III 2 450 2 455 Usługi Logistyczne SA w likwidacji III 0 0 Total 200 744 140 001 31.12.2025 Level 1 Level 2 Level 3 Total Financial liabilities held for trading 59 239 267 564 321 327 124 Bonds 59 222 0 0 59 222 SWAP 0 190 160 0 190 160 Cap Floor Options 0 485 0 485 FRA 0 893 0 893 FX Swap 0 21 290 0 21 290 FX forward 0 8 908 0 8 908 CIRS 0 6 104 0 6 104 FX options 0 9 850 175 10 025 Other options 0 0 146 146 Other instruments 17 29 874 0 29 891 Derivative hedging instruments 0 69 034 0 69 034 Interest rate transactions 0 69 034 0 69 034 31.12.2024 Level 1 Level 2 Level 3 Total Financial liabilities held for trading 64 196 267 119 196 450 SWAP 0 136 642 0 136 642 Cap Floor Options 0 786 0 786 FRA 0 1 206 0 1 206 FX Swap 0 15 516 0 15 516 FX forward 0 13 366 0 13 366 CIRS 0 2 383 0 2 383 FX options 0 20 208 119 20 327 Other instruments 64 6 160 0 6 224
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 2 31.12.2024 Level 1 Level 2 Level 3 Total Derivative hedging instruments 0 450 383 0 450 383 Interest rate transactions 0 450 383 0 450 383 Reconciliation of changes at level 3 of fair value hierarchry Changes in financial assets and liabilities Assets Liabilities Equity instruments Debt instruments Derivatives Derivatives As at 01.01.2025 166 091 4 26 119 Acquisitions/Reclassfication of assets 0 0 169 321 Net changes recognized in other comprehensive income 60 757 0 0 0 Net changes recognized in profit and loss 2 940 0 0 0 Exchange rate differences -1 654 0 0 0 Settlement / redemption -8 172 0 -25 -119 As at 31.12.2025 219 962 4 170 321 Changes in financial assets and liabilities Assets Liabilities Equity instruments Debt instruments Derivatives Derivatives As at 01.01.2024 161 676 4 3 179 3 179 Acquisitions/Reclassfication of assets 0 0 26 119 Net changes recognized in other comprehensive income 20 975 0 0 0 Net changes recognized in profit and loss 7 109 0 -1 053 -1 053 Exchange rate differences 657 0 0 0 Settlement / redemption -24 326 0 -2 126 -2 126 As at 31.12.2024 166 091 4 26 119 In 2025 the Group did not reclassify financial instruments between levels of the fair value hierarchy. Below is presented the carrying value and fair value of assets and liabilities that are not disclosed in the statement of financial position at fair value. 31.12.2025 Carrying value Fair value Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents 4 062 914 430 738 3 632 176 0 4 062 914 Amount due from banks 2 203 109 0 2 203 109 0 2 203 109 Loans and advances to customers 65 451 458 0 0 67 472 605 67 472 605 Retail segment 42 719 018 0 0 44 276 349 44 276 349 Consumer loans 19 859 480 0 0 19 856 657 19 856 657 Mortgage loans 22 859 538 0 0 24 419 692 24 419 692 Corporate segment 22 732 440 0 0 23 196 256 23 196 256 Finance lease receivables 6 108 034 0 0 6 143 585 6 143 585 Other loans and advances 16 624 406 0 0 17 052 671 17 052 671 Securities measured at amortized cost 3 595 736 3 633 979 0 61 3 634 040 Liabilities Amounts due to banks 589 204 0 589 204 0 589 204 Amounts due to customers 82 620 585 0 0 82 620 585 82 620 585
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 3 31.12.2025 Carrying value Fair value Level 1 Level 2 Level 3 Total Debt securities issued 2 321 870 0 0 2 321 640 2 321 640 31.12.2024 Carrying value Fair value Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents 2 123 351 434 835 1 688 516 0 2 123 351 Amount due from banks 1 821 581 0 1 821 581 0 1 821 581 Loans and advances to customers 62 735 968 0 0 62 574 329 62 574 329 Retail segment 39 806 429 0 0 39 450 565 39 450 565 Consumer loans 19 444 488 0 0 19 421 327 19 421 327 Mortgage loans 20 361 941 0 0 20 029 238 20 029 238 Corporate segment 22 929 539 0 0 23 123 764 23 123 764 Finance lease receivables 5 649 458 0 0 5 391 039 5 391 039 Other loans and advances 17 280 081 0 0 17 732 725 17 732 725 Securities measured at amortized cost 2 157 936 2 151 387 0 61 2 151 448 Liabilities Amounts due to banks 160 125 0 160 124 0 160 124 Amounts due to customers 76 936 600 0 0 76 936 600 76 936 600 Debt securities issued 2 087 016 0 0 2 086 957 2 086 957 For many instruments, market values are not available, therefore the fair value is estimated with a number of measurement techniques. Measurement of the fair value of financial instruments has been made with a model based on estimates of the present value of future cash flows by discounting cash flows at appropriate discount rates. All model calculations contain certain simplifications and are sensitive to the underlying assumptions. Below there is a summary of core methods and assumptions used to estimate the fair value of financial instruments that are not measured at fair value. Receivables from customers In the method applied by the Group to calculate the fair value of receivables from customers (without overdraft facilities), the Group compares the margins generated on newly granted loans (in the quarter preceding the reporting date) with the margin on the total loan portfolio. If the margins on newly granted loans are higher than the margins on the portfolio, the fair value of the loan is lower than it’s carrying value. In the opposite situation, i.e. if the margins on newly granted loans are lower than the margins on the existing portfolio, the fair value of the loans is higher than their carrying value. In the case of receivables from customers based on a fixed rate or a periodically fixed rate, in the method of calculating their fair value, in addition to the component based on margins, the Group also uses a component that takes into account changes in the level of market interest rates. Amounts d ue from customers were fully classified to level 3 of the fair value hierarchy due to the application of a measurement model with material non -observable input data or current margins generated on newly granted loans.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 4 Financial liabilities measured at amortised cost Deposits are accounted for in the fair value estimate using a contractual approach, with sight deposits and savings accounts being short-term deposits available on demand. Term deposits are accounted for at their contractual maturity date. Virtually all term deposits from individual customers mature in up to 6 months, while those from business customers mature in up to 1 year, with a predominant concentration of maturities up to 6 months. Deposits are accepted as part of the bank's ongoing operations on a daily basis, so their terms are similar to the current market conditions for identical transactions. The time to maturity of these items is short, so there is no significant difference between their carrying amount and their fair value. Furthermore, the Bank assumed that the fair value of bank deposits and other financial liabilities with maturities of up to 1 year is also approximately equal to their carrying amount. For disclosure purposes, the Group determines the fair value of financial liabilities with residual maturities (or repricing of the variable rate) in excess of 1 year. That group of liabilities includes the own issues and subordinated loans. Determining the fair value of that group of liab ilities, the Group determines the present value on anticipated payments on the basis of present percentage curves and the original spread of the issue. Other financial assets and liabilities For other financial assets and liabilities, the Group assumes that the carrying value is close to fair value. 36 Transactions with related entities In accordance with IFRS 10 "Consolidated Financial Statements", the parent entity of Alior Bank SA is Powszechny Zakład Ubezpieczeń SA, of which the State Treasury is a 34.2% shareholder. Related entities include: PZU SA and entities related to it and entities related to members of the Bank's Management Board and Supervisory Board. Via PZU SA, the Bank is indirectly controlled by the State Treasury. The tables below present the type and values of transactions with related entities. Transactions between the Bank and its subsidiaries that are its related parties have been eliminated as a result of consolidation and are not disclosed in this note. Nature of transactions with related entities All transactions with related entities are performed in line with relevant regulations concerning banking products and at market rates. Parent company 31.12.2025 31.12.2024 Other assets 4 892 7 455 Total assets 4 892 7 455 Amounts due to customers 1 059 4 122 Other liabilities 1 806 641 Total liabilities 2 865 4 763 Subsidiaries of the parent company 31.12.2025 31.12.2024 Cash and cash equivalents 1 128 358
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 5 Subsidiaries of the parent company 31.12.2025 31.12.2024 Loans and advances to customers 67 280 52 682 Other assets 905 908 Total assets 69 313 53 948 Amounts due to customers 10 736 30 462 Provisions 0 13 Other liabilities 8 385 6 443 Total liabilities 19 121 36 918 Subsidiaries of the parent company 31.12.2025 31.12.2024 Off-balance liabilities granted to customers 15 632 33 353 Relating to financing 15 632 33 353 Joint control by persons related to the Group 31.12.2025 31.12.2024 Loans and advances to customers 1 534 4 Total assets 1 534 4 Amounts due to customers 304 11 Total liabilities 304 11 Parent company 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Interest income 22 558 22 315 Interest expences -86 -83 Fee and commission income 33 797 39 853 Fee and commission expense -16 584 -15 577 The result on financial assets measured at fair value through profit or loss and FX result -4 -10 Other operating income 76 135 Other operating expences -530 0 General administrative expenses -6 992 -5 266 Total 32 235 41 367 Subsidiaries of the parent company 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Interest income 72 062 74 189 Income of a similar nature 284 286 Interest expences -391 -2 362 Fee and commission income 31 476 23 648 Fee and commission expense -758 -1 102 The result on financial assets measured at fair value through profit or loss and FX result 518 466 Other operating income 1 41 General administrative expenses -26 405 -22 486 Net expected credit losses -67 -72 Total 76 720 72 608
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 6 Joint control by persons related to the Group 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Interest income 112 0 Interest expences -1 Fee and commission income 6 0 Net expected credit losses -1 0 Total 116 0 Transactions with the State Treasury and related entities Below there are material transactions with the State Treasury and its related entities with the exception of IAS 24.25. The Group's transactions with the State Treasury mainly concern operations on treasury securities. The remaining transactions presented in the note below concern operations with selected ten entities with the highest exposure. Transactions with the State Treasury and related entities as at 31 December 202 5 Name Loans to customers/debt instruments Interest and commission income State Treasury 18 959 083 851 703 Customer 1 668 138 200 034 Customer 2 217 554 14 127 Customer 3 161 257 11 505 Customer 4 134 146 11 969 Customer 5 95 583 4 815 Customer 6 81 165 3 414 Customer 7 68 864 6 548 Customer 8 56 324 4 156 Customer 9 42 051 7 092 Customer 10 20 158 4 517 Name Amounts due to customers Interest costs Customer 1 136 514 -4 038 Customer 2 71 474 -2 712 Customer 3 64 888 -1 608 Customer 4 45 473 -1 164 Customer 5 41 152 -1 113 Customer 6 23 905 -377 Customer 7 23 847 -2 598 Customer 8 22 942 -164 Customer 9 21 864 -1 552 Customer 10 20 968 -138 Name Off-balance sheet items Commission income Customer 1 788 856 1 386 Customer 2 200 000 0 Customer 3 178 359 0 Customer 4 102 900 0 Customer 5 85 000 0 Customer 6 60 000 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 7 Name Off-balance sheet items Commission income Customer 7 50 000 339 Customer 8 50 000 0 Customer 9 46 165 0 Customer 10 29 712 0 Transactions with the State Treasury and related entities as at 31 December 2024 Name Loans to customers/debt instruments Interest and commission income State Treasury 14 741 404 783 794 Customer 1 660 736 171 630 Customer 2 201 151 14 045 Customer 3 178 669 1 889 Customer 4 168 107 14 796 Customer 5 97 303 4 710 Customer 6 95 601 6 466 Customer 7 82 238 15 048 Customer 8 60 255 2 061 Customer 9 57 991 5 008 Customer 10 43 934 5 058 Name Amounts due to customers Interest costs Customer 1 151 229 -7 145 Customer 2 139 786 -2 632 Customer 3 81 179 -1 801 Customer 4 48 215 -1 447 Customer 5 45 951 -639 Customer 6 41 584 -643 Customer 7 34 458 -649 Customer 8 34 394 -871 Customer 9 33 580 -276 Customer 10 31 620 -26 Name Off-balance sheet items Commission income Customer 1 614 493 186 Customer 2 200 000 0 Customer 3 189 173 0 Customer 4 100 000 24 Customer 5 85 000 0 Customer 6 69 309 0 Customer 7 50 000 387 Customer 8 47 727 0 Customer 9 33 793 47 Customer 10 33 353 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 8 All transactions with the State Treasury and its related entities were concluded at arm’s length. 37 Benefits for the for senior executives 37.1 Accounting principles Short-term employee benefits are those that are accounted for within 12 months of the end of the annual reporting period in which the employees have performed work. As a short-term employee benefit, apart from the basic salary, the non -deferred part of the variable remuneration component in the form of cash was recognized. As long -term employee benefits, the Bank recognizes the non -deferred (stopped) part of variable remuneration in phantom shares and the part of variable remuneration deferred for subsequent periods, both in phantom shares and in cash. Principles applicable to the remuneration of persons in managerial positions at the Bank The Bank has a Remuneration Policy covering all employees. The Remuneration Policy is reviewed by the Nomination and Remuneration Committee and adopted by the Management Board and approved by the Supervisory Board. With respect to people who affect the risk profile, (MRT) identified on the basis of the criteria defined in the Commission Delegated Regulation (EU) No. 2021/923 of 25 March 2021, the Policy has been determined on the basis of the regulation of the Minister of Finance, Funds and Regional Policy of 8 June 2021 on the risk management system and internal control system as well as remuneration policy in banks. The main policy submissions in relation to the MRT: • the remuneration is composed of fixed remuneration and variable remuneration , • not grant MRT unidentified retirement benefits, • MRT's commitment not to use individual hedging strategies or insurance concerning the remuneration and responsibility in order to undermine the effects of risk in the remuneration system applicable to them, • maximum ratio of MRT variable remuneration to fixed remuneration: 100% , • at least 50% of the MRT’s variable remuneration is an incentive to pay special attention to the Bank's long-term good and is therefore composed of financial instruments related to the Bank's shares; the remaining part of the variable remuneration paid in cash as cash variable remuneration, • at least 40% of the variable MRT remuneration, and if the variable remuneration of the MRT amounts to a particularly high amount, at least 60% of the variable remuneration - is deferred remuneration, • variable remuneration of the Management Board is adapted to the provisions of the Act of 9 June 2016 about the principles of determining the remuneration of persons managing certain companies. 37.2 Financial data Below are presented the items of the statement of financial position, which include the balances of the Bank's transactions with the Bank's Management Board and Supervisory Board. All transactions with
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 0 9 supervising and managing persons are performed in line with the relevant regulations concerning banking products and at market rates. 31.12.2025 Supervising, managing persons Supervisory Board Bank's Management Board Amounts due to customers 1 453 237 1 216 Total liabilities 1 453 237 1 216 31.12.2024 Supervising, managing persons Supervisory Board Bank's Management Board Amounts due to customers 575 355 220 Total liabilities 575 355 220 Remuneration of the Supervisory Board and Management Board in reporting period 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 Management Board short-term employee benefits 10 761 9 761 long-term employee benefits 6 774 5 148 post-employment benefits 1 126 4 529 termination benefits 0 2 715 Management Board, total 18 661 22 153 Supervisory Board short-term employee benefits 1 521 1 092 Supervisory Board, total 1 521 1 092 The amounts in the table above include remuneration representing the cost of a given period (due or paid). At the end of the reporting period, i.e. 31 December 202 5 and as at the date of publication of the report, members of the Supervisory Board and members of the Management Board of Alior Bank did not hold the Bank's shares. Agreements of members of the Management Board in accordance with the resolution of the Extraordinary General Meeting of the Bank of 5 December 2017 regarding the regulation of remuneration principles for members of the Management Board of Alior Bank (amended by the resolution of the Extraordinary General Meeting of the Bank of 28 June 2019) and the principles adopted by the Supervisory Board: • contracts for time of performing functions, relating to the Act of 9 June 2016 about the principles of determining the remuneration of persons managing certain companies, • Management Board Member’s contract for the time of performing functions, • termination period: 1 month in case of performing Management Board member function for less than 12 months effective at the end of calendar month, 3 months in case of performing Management Board member function for at least 12 months, • severance pay in the amount of 3 times the fixed remuneration in the event of termination of the contract or termination of the contract by the Bank for reasons other than the violation of basic duties by the Management Board member, provided that the Mana gement Board member performs the function for a period of at least 12 months before the termination of the contract,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 0 • non-compete clause based on which Management Board member is obliged (assuming he performed the function for at least 3 months) not to perform any activities deemed competitive with reference to the Company for the period of 6 months since the date of contract termination. As a consequence Management Board Members are entitled to severance in the amount of six months fixeed salary. 37.3 Bonus system for senior executives Since 2016, the Management Board has been covered by the bonus system for the Management Board. The purpose of the program is to create additional incentive stimuli for its participants to effectively perform the duties entrusted to them, in particular, ma naging the Bank and making efforts aimed at the continued stable development of the Bank and its capital group, while maintaining appropriate and effective risk management at the Bank, stability of the Bank’s management personnel and realization of long-term interests of the shareholders by bringing about a stable growth of the stock exchange valuation of the Bank’s shares, while maintaining an increase in the net assets of the Bank and its companies . The Management Board's variable remuneration is granted and paid in accordance with the Remuneration Policy described above. The other members of senior executives, with particular emphasis on those having an impact on the risk profile (MRT), are covered by an annual bonus. With the exception of persons exercising control functions, the basis for determining the total amount of variable remuneration is the assessment of the MRT and organizational unit results as well as the Bank's results in the area of the person's responsibility, taking into account the results of the entire Bank. In accordance with the Remuneration Policy in force at the time of grant, the variable remuneration of the Management Board and other MRTs in the part granted in the form of phantom shares is a cash -settled programme. Number of phantom shares The average share price for the completed phantom shares Number of phantom shares The average share price for the completed phantom shares 01.01.2025 - 31.12.2025 01.01.2024 - 31.12.2024 At the beginning of the perid 118 287 - 157 092 - Granted during the period 91 540 - 28 763 - Forfeited during the period 4 863 - 0 - Realized during the period 50 735 0.01 67 568 0.01 At the end of the period 154 229 - 118 287 - Exercisable at end of period 0 0 - Phantom shares as at 31.12.2025 Phantom shares as at 31.12.2024 The fair value of the instrument at the end of the period (PLN) 110.45 85.98 The exercise price of the instrument (for instruments outstanding at the end of the period) (PLN) 0.01 0.01
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 1 Phantom shares as at 31.12.2025 Phantom shares as at 31.12.2024 The average maturity date of the instrument occurring at the end of the period 15.11.2027 28.09.2026 The carrying amount of liabilities arising from cash-settled phantom shares amounted to PLN 17.0 million as at 31 December 2025 (as at 31 December 2024 - PLN 10.2 million). The remuneration expenses for 202 5 relating to the realized phantom shares amounted to PLN 2.93 million (in 2024 - PLN 6.81 million). Deferred tranches are paid in accordance with the Remuneration Policy after confirming that there were no events causing their reduction or suspension. 38 Offsetting of financial assets and liabilities 38.1 Accounting policy information The Group offsets financial assets and liabilities and discloses them in the statement of financial position in net value if it is possible to enforce the right to set off the disclosed amounts and an intention to settle them in net amounts or the asset and liability may be realised at the same time. The Group enters into offset agreements – ISDA agreements (International Swaps and Derivatives Association Master Agreements) and GMRA agreements (Global Master Repurchase Agreement) that provide for: set-off of financial assets and liabilities (close out netting) in the case of a default by any party to the agreement. The agreements are of special importance to mitigating the risk related to derivative instruments since they provide for netting of both payable (mitigation of settlement risk) and not yet payable liabilities of the parties (mitigat ion of pre -settlement risk). However, those agreements do not meet the requirements specified in IAS 32 concerning recognition of the set -off effects in the statement of financial condition since the set-off is subject to the occurrence of a specific event in the future (events of default). The exposures under derivative instruments are additionally secured with deposts placed by the counterparties under CSA (Credit Support Annex). 38.2 Financial data Financial assets 31.12.2025 31.12.2024 Derivatives Reverse repo transactions Derivatives Reverse repo transactions Carrying amount of items from the statement of financial position 907 680 1 740 927 487 581 1 526 174 Carrying amount of items not subject to any offsetting 55 882 415 174 27 084 554 269 Net carrying amount – subject to any offsetting 851 798 1 325 753 460 497 971 905 Potential compensation amounts 829 457 1 323 380 456 607 970 187 - financial instruments (includes received collateral on securities) 275 035 1 323 380 427 453 968 528 - received cash collateral 554 422 0 29 154 1 659 Net value 22 341 2 373 3 890 1 718 Financial liabilities held for trading Carrying amount of items from the statement of financial position 336 936 0 646 833 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 2 Carrying amount of items not subject to any offsetting 17 694 0 25 967 0 Net carrying amount – subject to any offsetting 319 242 0 620 866 0 Potential compensation amounts 286 479 0 601 214 0 - financial instruments (includes received collateral on securities) 275 035 0 427 453 0 - received cash collateral 11 444 0 173 761 0 Net value 32 763 0 19 652 0 Compare to 2024, the Bank has amended the above note to better reflect the data aggregation components of this disclosure: derivatives and repurchase agreements. Furthermore, the potential offset amount also includes the market value of securities securing repurchase agreements. 39 Legal claims In the Group’s opinion, no single court, arbitration court or public administration body proceedings in progress during the 2025, and none of the proceedings jointly, could pose a threat to the Group’s financial liquidity. In accordance with IAS 37, the Group each time assesses whether a past event gave rise to a present obligation. In legal claims, the Group additionally uses expert opinions. If, based on expert judgment and taking into account all circumstances, the Group assesses that the existence of a present obligation as at the balance sheet date is more likely than not and the Group is able to reliably estimate the amount of the obligation in this respect, then it creates a provision. As at 31 December 202 5, the Group created provisions for legal claims brought against the Group's entities, which, according to the legal opinion, involve the risk of outflow of funds due to fulfillment of the obligation in the amount of PLN 314 203 thousand and as at 31 December 2024 in the amount of PLN 216 126 thousand. The proceedings which according to the opinion of the Management Board are significant are presented below. Cases related to the distribution of certificates of participation in investment funds The Bank, as part of its activities as part of a separate organizational unit - Biuro Maklerskie Alior Bank SA, in the years 2012 - 2016 conducted activities in the field of distribution of certificates of participation in investment funds: Inwestycje Roln e Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych, Inwestycje Selektywne Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych, Lasy Polskie Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych and Vivante Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych (hereinafter collectively referred to as "Funds"). The Bank distributed over 250 thousand investment certificates of the Funds. On 21 November 2017, the Polish Financial Supervision Authority ("PFSA") issued a decision to withdraw the permit to operate by FinCrea TFI SA, which is the managing body of the Funds. The Polish Financial Supervision Authority justified the issuance of a decision found in the course of administrative proceedings for gross violations of the provisions of the Act on investment funds and management of alternative investment funds. The decision was immediately enforceable. No society has decided to take over t he management of the Funds, which, pursuant to Art. 68 paragraph 2 in connection with Art. 246 paragraph 1 point 2 of the Act on Investment Funds and Management of Alternative Investment Funds was the reason for the dissolution of the Funds. The dissolution of an investment fund takes place after liquidation.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 3 Investment funds were liquidated in 2024 by Raiffeisen Bank International AG with its registered office in Vienna - the liquidator. The liquidator paid out the funds obtained from the liquidation in proportion to the number of investment certificates held by the fund participants. The payments mean the remission of investment certificates held by fund participants. Claims for payment As at 31.12.2025, the Bank is defendant in 172 cases brought by the buyers of the Fund's investment certificates for payment (compensation for damage). The total value of the dispute in these cases is PLN 55.8 million. As at 31.12.2024, the Bank is defendant in 170 cases brought by the buyers of the Fund's investment certificates for payment (compensation for damage). The total value of the dispute in these cases is PLN 56.6 million. In the Bank's opinion, each claims for payment requires an individual approach. The Bank conducted an analysis, selected cases and singled out those with specific risk factors, which the Bank took into account in its approach to the provision created on this account. The Bank has changed the estimate of the provisions held as of the b alance sheet date in connection with the cases brought against the Bank by purchasers of the Funds' investment certificates for payment and for determining liability. The Bank will analyse the judgments issued on an ongoing basis, taking into account the impact of the liquidation and payments on this account on court judgments and will shape the amount of provisions accordingly. Liability claims The Bank is the defendant in 1 collective action brought by a natural person - a representative of a group of 328 natural and legal persons, for determination of the Bank's liability for damage and in 2 individual cases for establishing the Bank's liability for damage. The class action was filed on 5 March 2018 against the Bank to determine the Bank's liability for damage caused by the Bank's improper performance of disclosure obligations towards customers and the improper performance of contracts for the provision of se rvices for accepting and transmitting orders to purchase or sell Fund investment certificates. The court decided to hear the case in group proceedings. On 8 March 2023, the District Court in Warsaw issued a decision establishing the composition of the class. Following appeals from both parties, on 4 March 2024, the Court of Appeal in Warsaw issued a decision, which, among other things, amended the composi tion of the group. Thus, the composition of the group was legally determined, with 328 group members. In 2025, the District Court in Warsaw conducted evidentiary proceedings involving the examination of witnesses. The date of the next hearing has not been set. The value of the subject of the extended claim amounts to approx. PLN 103.9 million. The lawsuits were filed to establish liability (not for payment, i.e. compensation for damage), therefore the Bank does not anticipate any outflow of cash from these proceedings, other than litigation costs, the amount of which the Bank estimates at PLN 600 thousand. The total amount of the provision as at 3 1 December 2025 amounted PLN 6 1.1 million. and as at 31 December 2024 – PLN 72.1 million. Court proceedings of FX mortgage loans According to the established case law of the Court of Justice of the European Union and common courts in Poland regarding loans indexed to foreign currencies, conversion clauses included in loan agreements are considered unlawful. Subsequent rulings have strengthened the position of borrowers, including:
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 4 • consumers are not required to submit additional declarations to benefit from protection against unfair clauses, • banks cannot demand compensation beyond the repayment of principal and default interest, • banks are not entitled to demand compensation from consumers beyond the repayment of the principal plus any default interest, which means that banks are not entitled to capital indexation if the loan agreement is found invalid, • after finding the loan agreement invalid, banks may demand the repayment of principal and interest from the date of the demand, but not an additional amount equal to the purchasing power of the currency. The Supreme Court's case law has so far held that the two -condition theory applies and that legal provisions cannot be used to fill a gap in a contract resulting from the removal of abusive clauses. Furthermore, the Supreme Court has held that the limitati on period for banks' claims for repayment of amounts paid under a loan begins on the day following the date on which the borrower contests the validity of the loan agreement. If the agreement is deemed invalid, there is no legal basis for either party to demand interest or other compensation for the use of its funds during the period from the provision of the undue benefit until the default in repayment of that benefit. However, in June 2025, the Court of Justice of the European Union issued a judgment chal lenging the two -condition theory as a basis for settling claims between the parties after a loan agreement is deemed invalid, and the Court of Justice of the European Union ruled in favor of the balance theory. However, the lack of uniform case law means t hat the CJEU judgment may not yet be widely applied by Polish courts. Additional information on the legal risk of mortgage loans in foreign currencies is described in note 14 Cost of legal risk of FX mortgage loans. As at 31 Decemberr 202 5, there were 278 court proceedings pending against the Group (as at 31 December 2024 - 168) concerning mortgage loans granted in previous years in foreign currencies with a total value of the subject matter of the dispute of PLN 232 million (as of 31 December 202 4 - PLN 149 million). The table below presents the cumulative costs of legal risk of FX mortgage loans (in MPLN). 31.12.2025 31.12.2024 Loans and advances to customers - adjustment decreasing the gross carrying amount of loans 186 133 Provisins 109 58 Total 295 191 Court proceedings regarding free credit sanction The banking sector is facing the problem of the growing number of lawsuits filed by consumers or specialized entities purchasing receivables from consumers, covering the reimbursement of consumer credit costs due to defects in the consumer credit agreement. The basic objection of the plaintiffs, present in all cases, is the allegation of the lack of possibility of crediting and charging interest (capital interest) on credit costs, in particular the arrangement fee. On 13 February 2025, the CJEU issued a judgment based on preliminary questions from a Polish court regarding the sanction of a free loan. The theses of the judgment are as follows:
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 5 • firstly, the CJEU did not rule that the interest rate on credited costs is inadmissible, according to the CJEU, the circumstance according to which the APR would turn out to be excessive does not in itself constitute a breach of the information obligation, • secondly, the CJEU stated that it is for the national court to assess to what extent the average consumer - properly informed and sufficiently observant and prudent - was able to assess, on the basis of the terms of the contract regarding the change of fee s, how the amount of his obligation may change, • thirdly, the Court emphasized that the severity of the sanction provided for in national law should be adequate to the gravity of the infringements and the general principle of proportionality, which results from EU law, should be observed (paragraph 49 of the judgment). In addition, the CJEU confirmed that the sanction of free credit may be considered disproportionate if the breach of information obligations does not affect the consumer's decision to conclude the contract. The CJEU also confirmed that the sanction of free credit cannot be applied automatically, it is up to the national court to assess the gravity of the breached obligations by the creditor and their impact on the consumer's decision to conclude the contract. In the Bank's opinion, the CJEU judgment confirms the Bank's previous position that crediting credit costs, in particular commissions, is permissible, even if deemed inadmissible (regardless of the type of sanction), and does not result in a free credit sanction. The Bank assesses that the CJEU judgment is be neficial for the sector and as such will not negatively affect the previous national case law . As at 3 1 December 2025, there were pending 4371 court proceedings against the Bank regarding the sanction of a free loan with the value of the subject matter of the dispute amounting PLN 1 95.2 million (as at 31 December 2024, 2746 proceedings with the value of the subject matter of the dispute amounting PLN 115.1 million). These proceedings are mainly initiated by customers or entities that have purchased receivables from customers and concern the pro visions of cash loan agreements. The total amount of the provision in this respect as at 31 December 2025 is PLN 104.2 million (as at 31.12.2024 – MPLN 50.6) and includes both the provision for currently pending disputes and the future inflow of disputes assumed by the Bank. Significant estimates and judgments Significant assumptions used to estimate the Bank's provision for reimbursement of consumer credit costs due to defects in the consumer credit agreement as at 31 December 2025 and 31 December 2024 include: • the rate of inflow of disputes observed to date and forecasted by the Bank in future periods, • the value of the subject matter of the dispute, • statistics of resolved cases. Sensitivity analysis of significant estimates and judgements The Bank conducted a sensitivity analysis of significant assumptions constituting the basis for calculating the provision. The table below contains information on how much the balance of the provision for future reimbursement of consumer credit costs would change if the Bank assumed in its estimates that the observed inflow of disputes, on which the Bank's estimates are based, would deepen or weaken by 10%.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 6 Change in the pace of case inflow 2025 2024 +10% -10% +10% -10% The impact of the change in the rate of case inflow on the amount of the provision MPLN +5.3 MPLN -5.3 MPLN +1.2 MPLN -1.2 40 Contigent liability According to IAS 37 contingent liability is: • a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non -occurrence of one or more uncertain future events not wholly within the control of the Group, • a present obligation that arises from past events but is not recognised because it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or the amount of the obligation cannot be measured with sufficient reliability. Therefore, a contingent liability reflects the effect of fulfilling possible obligations, because only future events will confirm whether the entity has a present obligation, the fulfillment of which could lead to an outflow of resources embodying economic benefits. The Group presents below a description of the most important proceedings conducted against the Group as of 31 December 2025, which constitute contingent liabilities. The total value of the subject matter of the disputed claims as at 31 December 2024 in court proceedings conducted against the Group is PLN 1 088 483 thousand and as at 31 December 202 4, PLN 971 024 thousand. Case claimed by a client Case claimed by a limited company for a payment of PLN 109 967 thousand in respect of compensation for damage incurred in connection with the conclusion and settlement of treasury transactions. The claim dated 27 April 2017 was brouhgt against Alior Bank SA and Bank BPH SA. In the Bank's opinion, the claim has no valid factual and legal basis therefore, the Bank did not create a provision as at 31 December 2025. Proceedings before the President of the Office of Competition and Consumer Protection (UOKiK) Proceeding on provisions of recognizing a standard contract as illegal, the so -called modification clauses On 27 September 2019, the President of the Office of Competition and Consumer Protection (UOKiK) initiated ex officio proceeding against Alior Bank SA to recognize a standard contract as illegal (reference number RPZ.611.4.2019. PG) the subject of which is 11 clauses (the so -called modification clauses) included in contract templates used by the Bank, on the basis of which the Bank made unilateral changes to contracts concluded with consumers. The President of UOKiK questioned the wording of the provisions in question, among others as imprecise and not allowing consumers to verify the occurrence of premises for the change being made. The Bank corresponds with the President of the Office of Competition and Consumer Protection in this case. In a letter dated 30 December 2025, the Office of Competition and
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 7 Consumer Protection decided to extend the deadline for completing the proceedings until 31 May 2026. As at 31 December 2025, the Bank did not create any provisions for this proceeding . The Bank is unable to make a reliable estimate of the value of the contingent liability in this respect due to the inability to estimate the potential consequences of the violation and the amount of the potential penalty that may be imposed by the Office of Competition and Consumer Protection. The maximum amount of the financ ial penalty is 10% of the Bank's turnover achieved in the financial year preceding the year in which the penalty was imposed. Proceeding regarding practices violating the collective interests of consumers regarding unauthorized payment transactions The President of the Office of Competition and Consumer Protection is conducting proceedings against the Bank regarding practices violating the collective interests of consumers (reference number: RWR.610.3.2024.KŚ) consisting of: • failure - after the consumer reports the transaction as unauthorized - to refund the amount of the unauthorized payment transaction or restore the debited payment account to the state that would have existed if the unauthorized payment transaction had not taken place in the manner and within the time limit specified in Art. 46 section 1 of the Act on Payment Services, despite the absence of any grounds entitling the Bank not to perform the above-mentioned. activities, • making a conditional refund to a consumer who is a client of the Bank of the payment transaction amount reported by the consumer as unauthorized, only for the time the Bank considers the complaint, and then, if the Bank finds in the complaint procedure tha t the transaction was authorized by the consumer or, that the consumer is liable for an unauthorized payment transaction, withdrawing a conditional refund and withdrawing this amount from the consumer's savings and current account or credit card account, excluding situations in which this amount was simultaneously returned to the consumer as part of a chargeback or the consumer withdrawn the claim, • providing consumers - in responses to their reports regarding the occurrence of unauthorized payment transactions - with information about the correct authorization of the transaction, which was confirmed only after the payment service provider verified th e correct use of the payment instrument, by using individual authentication data in a way that suggests that the Bank's demonstration that correct authentication has occurred excludes the Bank's obligation to refund the amount of the unauthorized transaction, which may mislead consumers regarding the Bank's obligations under Art. 46 section 1 of the Payment Services Act, as well as regarding the distribution of the burden of proving that the payment transaction has been authorized, • providing consumers - in responses to their reports regarding unauthorized payment transactions - with information about the correct authentication of the transaction by the user and the Bank's lack of responsibility for its execution, as it occurred as a result of the consumer's breach of the terms of the contract with the Bank, which may mislead consumers into error regarding the Bank's obligations under Art. 46 section 1 of the Payment Services Act, including the distribution of the burden of proof to th e extent that the Bank should demonstrate that the consumer led to the disputed transaction as a result of an intentional or grossly negligent breach of at least one of the obligations referred to in Art. 42 of the Payment Services Act,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 8 • providing consumers - in responses to their reports regarding the occurrence of unauthorized payment transactions - with information about the inability to consider card transactions reported after 120 days from the date of the transaction as unauthorized payment transactions and the inability to complain about more than 15 transactions, - which, in the opinion of the President of the Office of Competition and Consumer Protection, may harm the collective interests of consumers and, consequently, constitute practices violating the collective interests of consumers referred to in the Act on Competition and Consumer Protection. The maximum amount of the financial penalty is 10% of the Bank's turnover achieved in the financial year preceding the year in which the penalty was imposed. As at 31 December 2025, the Bank did not create provisions in this respect. The Bank, in response to the expectations of the President of the Office of Competition and Consumer Protection, presented a proposal to undertake specific actions aimed at ending the infringement of which the Bank is accused and removing its effects. As at 31 December 2025, the Bank had created a provision for this matter in the amount of PLN 15.5 million( as at 31.12.2024 – PLN 9.8 million). However, due to the ongoing negotiations between the Bank and the Office of Competition and Consumer Protection, the amount of the provision may change. Proceedings in the case of recognizing the provisions of the model agreement regarding the change of interest rates on bank accounts as prohibited On 03.02.2025, the President of the Office of Competition and Consumer Protection issued a decision to initiate proceedings against Alior Bank SA in the case of recognizing the provisions of the model agreement as prohibited (reference number RWR-1.611.1.2025.ZR previously RŁO-2.611.1.2025.JZ), the subject of which is the clause on the change of interest rates on bank accounts. The President of the Office of Competition and Consumer Protection questioned the wording of the provisions of paragraph 11, sections 9 and 10 of the model agreement "Regulations for savings and settlement accounts, savings and fixed-term savings deposits", among others, as giving the Bank too much freedom in terms of the rights to change the interest rate and not allowing consumers t o independently check whether the change in interest rate is in accordance with the agreement. The Bank is in correspondence with the President of the Office of Competition and Consumer Protection regarding this matter. As at 31 December 2025, the Bank did not create any provisions for this proceeding . The Bank is unable to make a reliable estimate of the value of the contingent liability in this respect due to the inability to estimate the potential consequences of the violation and the amount of the potential penalty that may be imposed by the Office of Competition and Consumer Pr otection. The maximum amount of the financial penalty is 10% of the Bank's turnover achieved in the financial year preceding the year in which the penalty was imposed. Proceedings of the Polish Financial Supervision Authority (KNF) On 8 August 2025, the Polish Financial Supervision Authority (KNF) initiated administrative proceedings concerning the application of sanctions specified in the Banking Law against the Issuer, based on a suspected violation of the provisions of the Trading Act and its implementing regulations, in connection with activities conducted pursuant to Article 70, Section 2 of the Trading in Financial Instruments Act, regarding cooperation with third parties, the provision of information to clients, the adequacy of solutions related to the acquisition of financial instruments, and the designation of a negative target group. Due to
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 1 9 the early stage of the proceedings, a reliable estimate of the potential sanctions against the Bank is not possible. On 5 September 2025, the Polish Financial Supervision Authority initiated administrative proceedings to impose an administrative penalty on Alior Bank pursuant to Article 147, point 4, letters a and b, and point 13 of the Act on Counteracting Money Laundering and Terrorism Financing, con cerning the conduct resulting from the inspection. As at 31 December 2025, the Bank created a provision in this respect in the amount of PLN 2 million. However, due to the early stage of the proceedings, the amount of the reserve may change. Affairs related to the operation of Alior Bank SA's subsidiaries In December 2021, the Bank and the leasing company received another (new) summons from the former members of the Management Board of Alior Leasing to an ad hoc arbitration court under the management program; the summons was based on the same factual and legal circumstances as the previous ones. On 1 March 2024, the Bank received a partial award in an ad hoc arbitration case between former members of the Management Board of Alior Leasing and the Bank and the leasing company, dismissing claims under the manag ement program in full. The partial judgment ends the substantive proceedings. Final judgment awarding in favor of the Bank and Alior Leasing Sp. z o. o. from the plaintiffs, the refund was due on 29 April 2024. On 10 June 2024, the Bank and Alior Leasing S p. z o. o. received information from the Court of Appeal in Warsaw that a complaint was registered to set aside the arbitration award, filed by former members of the Management Board of Alior Leasing Sp. z o. o. The Bank submitted a response to the complaint in question in due time. On 14 July 2025, the Court of Appeal in Warsaw dismissed the plaintiffs' appeal to set aside the preliminary and final arbitration awards in its entirety. The award is final and binding. The plaintiffs have the right to appeal against it as an extraordinary remedy in the form of a cassation appeal. Alior Leasing sp. z o.o identifies the possibility of claims by external entities in connection with the activities of some former employees and associates of the company. As at the date of this financial statements, claims in this respect were not reporte d. In the Group's opinion, there are no circumstances justifying the creation of a provision on this account. Explanatory notes concerning risk Objectives and principles of risk management Risk management is one of the major processes in Alior Bank Group. Risk management supports Group’s strategy and proper level of business profitability and safety of activities while assuring control of the risk level and its maintenance within the accepted risk appetite in the changing macroeconomic and legal environment. The supreme objective of the risk management strategy is to ensure early detection and adequate management of all kinds of risk inherent to the pursued activity. The objective of risk management within the adopted tolerance level is: • protection of the shareholders’ equity, • protection of customers’ deposits,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 0 • support to the Group in pursuing effective activities. Risk management at Alior Bank Group is based in particular on the following principles: • the Group manages all types of risk identified as part of its operations, • organizational structure and method of assigning functions to particular units of the Bank ensure precise division of duties and mitigate the risk of conflicts of interest, • the risk management process and methods are adequate to the scale of the Group's operations and adjusted to the materiality, scale and complexity of a given risk, • the risk management process is regularly adjusted to new factors and sources of risk as well as the changing economic and regulatory environment, • risk management methods are periodically verified and validated, • risk management is integrated with planning and controlling processes, • the level of risk is continually monitored and referred to the system of Group’s obligatory limits, and the Management Board and Supervisory Board of the Bank receive regular information on the profile and level of risk, • the Group conducts a periodical process of reviewing the risks identified as part of its operations and regularly evaluates the materiality of respective types of risk. When determining the criteria for recognizing a given type of risk, the impact of a given type of risk on the Group's activities is taken into account, and three types of risk types are distinguished: • significant risks - subject to active management, • potentially significant risks - for which significance monitoring is performed, • other undefined or non-identifiable risks (irrelevant and unmonitored). The Group presented details of managing selected risks in the following notes: Risk type Note number Credit risk 41 Market risk including interest rate risk and the FX risk* 42,43 Liquidity risk 44 Operational risk 45 * Market risk is the risk of a negative impact on the current result or the net present value of the Bank's equity as a result of changes in market factors. The Bank distinguishes the following managed market risk factors: exchange rates, interest rate indices, share / index prices , commodity prices, credit spread related to the rating of a given issuer, options volatility parameters. A detailed description of the Bank's market ri sk management can be found in the Management Report. Risk is managed within the risk management policies by the Group and covers risk identification, measurement and evaluation, monitoring, reporting and management activities. The above also applies to control of Treasury operations by determining and verifying the principles of executing, organising, and measuring such transactions. Within each function, there is a clear segregation of duties and responsibilities and the rules set forth in internal regulations. The risk management process is supervised by the Bank's Supervisory Board which is kept informed on the risk profile of the Bank and the Group and about the most important activities taken with respect to risk management. The Bank's Supervisory Board is supported by the Remuneration and Appointment Committee of the Supervisory Board, the Risk Committee of the Supervisory Board, and the Audit Committee of the Supervisory Board.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 1 With respect to risk management, the Management Board of Alior Bank SA designs, implements and ensures the operation of a coherent risk management system tailored to the risk profile at the Bank, including the rules for managing individual risk types, ensuring their consistency with the risk management strategy, and determining the risk appetite. In addition, the Management Board defines the organizational structure of the Bank, ensuring the proper division of key roles from the point of view of risk management. In risk management, the Management Board is supported by the following internal committees: • Credit Risk Committee and Business Initiatives (KRK), • Capital, Asset and Liability Committee (CALCO), • Bank’s Credit Committee (KKB), • Operational Risk Committee (KRO), • Model Risk Committee (KRM). The purpose of KRK is to support the Bank's Management Board in the effective management of the Bank's credit risk, including the credit concentration risk and ESG risk. The purpose of the CALCO Committee is to support the Bank's Management Board in the effective management of market risk, liquidity risk, counterparty risk, business risk, capital risk and excessive leverage risk. The subject of KKB's activity is making credit decisions regarding the Bank's on -balance sheet and off - balance sheet exposure up to the amount of the competence limit granted to KKB and recommending credit decisions to the Bank's Management Board for expos ures exceeding the limit granted to the committee. KRO was established to support the Bank's Management Board in the effective management of operational risk, including issues related to the maladjustment or unreliability of processes, the operation of people and systems or resulting from external threats, including significant subsidiaries. The Committee monitors the level of exposure to operational risk and assesses the situation with regard to operational risk for the entire Bank. KRM supports the Bank's Management Board in the effective management of model risk, taking into account significant subsidiaries in which model risk has been considered significant under the Internal Capital Adequacy Assessment Process (ICAAP). At the Group, exposure to the risk is formally mitigated with a system of limits, periodically updated by resolutions of the Supervisory Board or CALCO, covering all risk metrics with the levels thereof monitored and reported by the Bank's organisational units independent of business. There are three types of limits at the Group that differ in terms of coverage and functioning: core limits (approved by the Supervisory Board), supplementary limits and additional limits. Risk management is focused on potentia l changes to the economic result; with the Group's quality requirements related to the risk management process (internal control system, new product launch, analysis of the legal risk, analysis of the operational risk), non-quantifiable risks are mitigated that are related to treasury operations.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 2 41 Credit Risk 41.1 Description of the risk Definition of the credit risk The credit risk is understood as a risk of loss due to the customer's default to the Group or a risk of decreased economic value of the receivables of the Group as a result of the customer's deteriorated potential to service its debt. Objective of credit risk management The objective credit risk management is to reduce losses in the loan portfolio and to minimise the risk of occurrence of impaired credit exposures, while maintaining the anticipated profitability level and value of loan portfolio. Management of the credit risk and its maintenance at a safe level is of fundamental importance for a stable operation of the Bank and the Group. For this purpose, the Group takes actions to secure credit risk against various internal and external risk factors, including ESG risk (also related to climate), which may have a negative impact on credit risk. The credit risk is controlled by the regulations applicable at the Group, in particular loan application analysis procedures, lending methodologies and risk valuation models adapted to the customer segment, type of product and transaction, rules for monito ring customers and the loan portfolio, rules for establishing and monitoring legal collateral for loans as well as monitoring and debt recovery. The Bank takes measures to fully centralise and optimise the processes within the systemic infrastructure, while relying on available external and internal information on customers. The credit risk management system is comprehensive and integrated with the Bank's operational processes. The core stages of the credit risk management process include the following: • identification, • measurement, • control, • monitoring, • reporting. The Group has and uses the tools to quickly respond to changes in the economic environment, in particular by adapting its credit risk management processes to the current macroeconomic and legal situation, including the applied credit policies, processes of reducing the risk of default and recovery of overdue receivables. In the retail customer segment, the Group also followed the above approach in 202 5 by optimizing the credit risk of transactions based on the customer's exposure and credit risk, while maintaining the Group's competitive credit policy. In the area of corporate loans, in 2025, the Group implemented initiatives aimed at increasing the efficiency of lending processes (including a text message loan agreement signing module and remote identity confirmation). It also adapted its systems to the new classification of economic activities based on
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 3 PKD2025, enabling the opening of accounts and processing of loan applications for new clients with new PKD codes. As part of its product development, the Bank launched products and offers supporting the energy transition process, including loans co-financed in partnership with BGK. Credit risk measurement and assessment The level of the credit risk is limited in line with the restrictions set forth in external and internal regulations, rules set by the Group, in particular concerning restrictions for credit exposures to one customer, a group of customers related by capital and organisation and economic sectors. The Group analyses the risk, both on an individual and portfolio basis, and it takes actions aimed at: • minimising the level of the credit risk of a single loan with an assumed profitability level , • reducing the overall credit risk resulting from holding a specific loan portfolio by the Group. In order to minimize the level of risk of a single exposure, the Group each time grants a loan or other product carrying credit risk: • assesses credibility and creditworthiness, taking into account, among others, a detailed analysis of the exposure's repayment source, • in the field of corporate loans, each transaction involving credit risk is assessed in the context of environmental (including climate risk), social and management risk and, based on the assumptions adopted by the Group, the level of these risks is determined, • evaluates collateral, including verifying their formal, legal and economic status, taking into account, among others, adequacy of collateral LTV (loan exposure to real estate value) / LTVc (loan exposure to collateral value) adequacy. The assessment of the potential impact of ESG risks on the client is aimed at revealing possible threats resulting from them in the perspective of the assumed lending period of the transaction financed by the Bank. The process of identifying ESG risk factors begins at the stage of verification of the loan application, then appropriate procedures are applied on the risk side. A complementary step in the assessment of a business client's credit process is the analysis of ESG risk levels. In the credit process, the identification of ESG risk factors is conducted in accordance with the Bank's detailed regulations, applying proport ionality principles. Each transaction bearing credit risk is assessed, and the potential impact of ESG risk factors on the borrower's financial situation is considered in the final credit risk assessment. The ESG risk factor identification process begins at the credit application review stage, followed by appropriate risk-related procedures. To strengthen the risk control of individual exposures, the Bank periodically monitors clients and takes appropriate actions to minimize the risk. In order to mitigate the credit risk level of its portfolio, the Group: • sets and controls concentration limits, • monitors early warning signals within the EWS system, • regularly monitors the loan portfolio by controlling all relevant credit risk parameters (including PD, LTV, DTI - the ratio of expenses related to the servicing of credit obligations and financial liabilities other than credit obligations to the income of retail customers applying for retail loans,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 4 CoR - risk costs understood as the ratio of the sum of the result on provisions from the last 12 months to the average exposure value for the corresponding period of 12 months (13 points over time), LGD - expected loss level for exposures in default, NPL - receivables with identified impairment, Coverage - the ratio of the write -down value to loans with evidence of impairment to their exposure), • regularly carries regularly carries out stress tests. The Group grants credit products in line with the lending methodologies appropriate for the customer segment and product type /method of financing . The assessment of the customer's creditworthiness preceding credit decisions is performed with a system supporting the credit process, scoring or rating tools; external information (e.g. CBD DZ, CBD BR, BIK ) and internal bases of the Bank. Credit products are granted in line with the Group's operational procedures, specifying the steps to take in the lending process, the responsible units of the Bank, and the tools applied. The Group limits risks related to ESG factors, including financing projects that may have a negative impact on the climate and natural environment or are contrary to the law. The main areas of exclusion include: • funding projects involving harmful or exploitative forms of forced labour, child labour, direct discrimination or practices that prevent workers from lawfully exercising their rights of association and collective bargaining, • enterprises operating contrary to the applicable provisions of Polish law or the law of the country in which they conduct business or do not have licenses, permits or consents or authorizations that are required to conduct a given activity, • activities that have a negative impact on areas protected under national law or international conventions, habitats of rare/endangered species, as well as negatively impacting places of cultural or archaeological importance. Credit decisions are taken in accordance with the system of credit competencies in force at the Bank (competence levels adjusted to the level of risk related to the customer and the transaction). In order to regularly assess the assumed credit risk and to mitigate potential losses on the existing loan exposures, during the lending term the Group monitors the customer's condition by identifying early warning signals and periodic individual reviews of loan exposures. The Group pursues a policy of dividing the functions related to customer acquisition and sale of credit products from the functions related to the assessment of the credit risk, approving credit decisions, or monitoring of credit exposures. Credit risk monitoring and reporting Regular protection of the quality of the loan portfolio is ensured by: • ongoing monitoring of timely debt servicing, • periodic reviews, in particular of the customers’ financial and economic condition and the value of the accepted collateral.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 5 The monitoring of retail customers covers the following areas: • assessment of compliance with the terms of the contract, • assessment of the value of collateral, in particular in relation to the current amount of credit exposure, • assessment of the credibility and assessment of the economic and financial situation of selected customer groups. Monitoring of corporate customers covers in particular: • recognition of symptoms of deterioration of the customer's situation (EWS), • assessment of the client's economic and financial situation,including: • identification of evidence of permanent impairment of exposures and default, • identification of reasons for a significant increase in credit risk (watch list), • assessment of the client's formal and legal situation, • assessment of compliance with the terms of the loan agreement, • assessment of the value of collateral. All credit exposures in the corporate customer segment are additionally subject to portfolio monitoring as follows: • assessment on the basis of a dedicated model of behavioural assessment , • the identification process of early warning signals. All loan exposures of retail and corporate customers are subject to monitoring and ongoing classification to the appropriate process paths. In order to improve the monitoring and control of the operational risk, adequate solutions have been implemented in the Bank's credit systems. Systemic tools have been consolidated to ensure the effective use of the monitoring procedures. Monitoring of exposures classified as a normal and impaired is applied regularly – such exposures could intensify activities at pre-enforcement or collection proceedings. Accounts are subject to the assessment for a possibility to restructure the debt in order to mitigate the Group's losses due to loan obligations not repaid on time. The monitoring process ends with recommendations concerning the strategy of further co-operation with the customer. Monthly and quarterly reports on the credit risk are prepared at Alior Bank Group. Credit risk reporting covers periodic information on exposur es of the loan portfolio risk. Apart from the information for the Bank, the reports also contain information on the level of credit risk of the Bank's subsidiaries, in which a significant level of credit risk has been identified (Alior Leasing sp. z o.o.). Credit risk management tools The basic tool supporting credit decisions are the acceptance models of risk parameters. They are based on a wide range of information obtained as part of the loan process or processed by the Bank based on internal data. As part of the risk acceptance process, the bank uses PD parameter models, which determine the probability of default by the debtor , and LGD parameter models, which define the percentage of exposure that will be lost in the event of the obligor's default.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 6 Using of risk parameter models allow for: • assessment of compliance of the risk level of a given client / credit exposure with the adopted risk appetite, • unification of the criteria underlying credit decisions ensuring impartiality and objectivity , • shortened time of credit decisions and guarantee of more effective assessment of loan applications (increased productivity and reduced handling costs), • monitoring and projection of the loan portfolio quality, • easier assessment of the credit policy and faster modifications to decision processes serving to assess loan applications of corporate and retail customers. The Group regularly monitors the correct functioning of risk parametr models. The objective of the review is to verify if the applied models appropriately differentiate risks and the estimated risk parameters appropriately reflect the relevant aspects of the client profile. The Group aims to systematically increase the sophistication of the applied acceptance models by expanding the technological infrastructure for the processes of building and applying models, taking into account a wider range of information and the use of new algorithms. The risk parametr models applied now have been developed internally by the Bank. They are covered by a formal model risk management process, one of the elements of which is independent validation aimed at confirming the compliance of the model quality with the level of the model risk appetite. The models used in the approval processes comply with the acceptability criteria adopted by the Bank, including, inter alia, the level of accuracy of forecasts based on them. The knowledge of potential hazards related to exposure concentration at the Group supports correct asset and liability management and development of a safe structure of the loan portfolio. In order to prevent adverse events resulting from excessive concentration, the Group mitigates the concentration risk by setting limits and applying concentration standards resulting from external regulations and internal concentration standards. The Group has launched: • identification rules of areas at the concentration risk related to lending activities, • a process of limit setting and updating, • a process of limit management with a mode of procedure, if any limit level is exceeded , • a process to monitor the concentration risk, including reporting, • control over the concentration risk management process. In the process of setting and updating the concentration risk, are taken into account: • information on the credit risk level of the limited portfolio segments and their impact on compliance with the assumptions underlying the risk appetite with respect to the quality of the loan portfolio and the capital position of the Bank and the Group, • sensitivity of the limited portfolio segments to changes in the macroeconomic environment, reviewed regularly in the stress tests held, • reliable economic and market information concerning each concentration of exposures, in particular macroeconomic, sectoral ratios, information on economic trends, subject to projected interest rates, FX rates, analysis of political risk, sovereign and financial institutions ratings,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 7 • reliable information on the economic condition of entities, industries, sectors, general economic information, including the economic and political situation of countries, as well as other information required to assess the concentration risk inherent in the Group, • interactions between various risk types – credit, market, liquidity, and operational risks, • value of exposures for which ESG risk has been identified. Application of risk mitigation techniques – collateral The Group establishes collateral to the credit risk to which the Group is exposed and flexible vis -a-vis customers’ potential. No collateral releases the Group from its obligation to verify the customer's creditworthiness. Loan collateral is to secure that the Group will have the loan repaid along with interest and expenses due should the borrower fail to repay on the contractual dates and any restructuring activities fail to generate the anticipated effects. In particular, the Group accepts the following collateral: • guarantees, re-guarantees, and sureties, • blocked items, • registered pledge, • transfer of title, • assignment of receivables, • assignment of loan insurance, • bill of exchange, • mortgages, • powers of attorney to the bank account, • security deposits. Collateral is verified in the credit process for its effectiveness to secure the Group, its market value is measured as its realisable value in a potential enforcement process. The dominant collateral for the Bank's credit exposures are mortgages on commercial and residential real estate and BGK guarantees. Both these collaterals as at 31.12.2025 jointly account for over 85% of the value of all collateral for credit exposures (as at 31.12.2024 – 85%). As at 31 December 202 5, the Bank had collateral for credit exposures with an estimated recoverable amount of PLN 29.1 billion. As at 31 December 202 4, the Bank had collateral for credit exposures with an estimated recoverable amount of PLN 2 7.5 billion. The amount of the recoverable value of collateral estimated by the Group is limited to the amount of the exposure. The estimated financial effect of the adopted collateral for credit exposures (understood as the impact on the increase in allowances for expected credit losses in the no -collateral scenario) as at 31 December 2025 was PLN 1. 26 billion and concerned the regular portfolio and the portfolio with identified impairment indicators respectively; PLN 0.24 billion and PLN 1.02 billion. The collateral held concerned individual groups of assets in the following values 31.12.2025 Retail customer segment Corporate customer segment Total Stage 1 13 655 539 10 593 659 24 249 198
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 8 31.12.2025 Retail customer segment Corporate customer segment Total Stage 2 977 974 2 506 752 3 484 726 Stage 3 individual method 0 541 885 541 885 Stage 3 group method 184 980 605 345 790 325 Total 14 818 493 14 247 641 29 066 134 31.12.2024 Retail customer segment Corporate customer segment Total Stage 1 11 823 557 10 817 463 22 641 020 Stage 2 709 146 2 552 378 3 261 524 Stage 3 individual method 0 689 508 689 508 Stage 3 group method 225 643 727 814 953 457 Total 12 758 346 14 787 163 27 545 509 The distribution of LTV in particular segments of the Group's customers for the individual quarters of 2024 and 2025 is presented below. Customer’s segment 1 Q 2025 2 Q 2025 3 Q 2025 4 Q 2025 MICRO 29% 29% 28% 25% SMALL 43% 47% 42% 39% MID 51% 50% 49% 48% LARGE 57% 56% 59% 53% KB 54% 53% 55% 51% KI HIP 68% 68% 68% 66% Customer’s segment 1 Q 2024 2 Q 2024 3 Q 2024 4 Q 2024 MICRO 29% 28% 33% 31% SMALL 36% 44% 47% 48% MID 48% 48% 48% 48% LARGE 46% 47% 50% 50% KB 45% 46% 49% 49% KI HIP 68% 68% 68% 68% 41.2 Financial data Maximum credit risk exposure Items in the statement of financial position 31.12.2025 31.12.2024 Cash and cash equivalents 3 632 176 1 688 516 Securities and derivatives 26 509 328 23 602 885 measured at fair value through other comprehensive income 22 542 955 21 204 007 measured at fair value through profit or loss 370 637 240 942 measured at amortized cost 3 595 736 2 157 936 Derivative hedging instruments 659 589 274 711 Amounts due from banks 2 203 109 1 821 581 Loans and advances to customers 65 451 458 62 735 968
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 2 9 Items in the statement of financial position 31.12.2025 31.12.2024 Retail segment 42 719 018 39 806 429 Consumer loans 19 859 480 19 444 488 Mortgage loans 22 859 538 20 361 941 Corporate segment 22 732 440 22 929 539 Finance lease receivables 6 108 034 5 649 458 Other loans and advances 16 624 406 17 280 081 Assets pledged as collateral 0 18 029 Other financial assets 651 519 647 989 Granted off-balance liabilities 14 509 631 12 640 995 Total 113 616 810 103 430 674 The value that best represents the maximum credit risk exposure of the balance sheet items presented in the table above is their carrying amount. Financial assets Internal rating classes The retail customer segment is covered by a coherent scoring system. The corporate customer segment is covered by a consistent rating system. Uniform rating scales have been introduced for both systems. The scale of PD models of retail segment clients consists of 20 classes. The scale of PD models corporate segment clients consists of 25 classes. The table below presents the distribution of assets according to the above models on an aggregated PD scale, illustrating the probability of default in the next 12 months (the table does not include stage 3 assets for which PD is 100%). PD (probability of default) 31.12.2025 31.12.2024 Stage 1 Stage 2 Total Stage 1 Stage 2 Total Retail segment Consumer loans < 0.18% 2 638 900 35 904 2 674 804 1 674 207 42 599 1 716 806 0.18% - 0.28% 1 123 876 61 356 1 185 232 1 032 556 21 509 1 054 065 0.28% - 0.44% 1 013 468 51 351 1 064 819 1 078 479 28 922 1 107 401 0.44% - 0.85% 2 058 605 120 214 2 178 819 2 277 449 75 666 2 353 115 0.85% - 1.33% 2 456 333 150 751 2 607 084 2 818 097 83 984 2 902 081 1.33% - 2.06% 2 372 442 145 576 2 518 018 2 655 947 93 008 2 748 955 2.06% - 3.94% 3 710 943 289 891 4 000 834 3 152 235 178 120 3 330 355 3.94% - 9.10% 1 825 562 237 153 2 062 715 1 970 716 273 665 2 244 381 > 9.1% 701 495 1 015 407 1 716 902 1 253 404 858 523 2 111 927 No scoring 36 664 8 622 45 286 30 004 7 442 37 446 Gross carrying amount 17 938 288 2 116 225 20 054 513 17 943 094 1 663 438 19 606 532 Mortgage loans < 0.18% 16 191 903 238 336 16 430 239 15 514 650 276 088 15 790 738 0.18% - 0.28% 1 504 860 77 027 1 581 887 1 252 815 60 683 1 313 498 0.28% - 0.44% 1 699 328 161 329 1 860 657 83 210 382 83 592 0.44% - 0.85% 1 185 884 120 431 1 306 315 535 927 48 534 584 461 0.85% - 1.33% 6 141 772 6 913 489 364 50 638 540 002 1.33% - 2.06% 81 888 33 963 115 851 220 915 18 289 239 204 2.06% - 3.94% 506 033 149 437 655 470 471 859 79 084 550 943 3.94% - 9.10% 208 048 115 343 323 391 594 310 311 600 905 910 > 9.1% 106 553 410 538 517 091 129 603 139 260 268 863
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 0 PD (probability of default) 31.12.2025 31.12.2024 Stage 1 Stage 2 Total Stage 1 Stage 2 Total No scoring 0 0 0 592 1 481 2 073 Gross carrying amount 21 490 638 1 307 176 22 797 814 19 293 245 986 039 20 279 284 PD (probability of default) 31.12.2025 31.12.2024 Stage 1 Stage 2 Total Stage 1 Stage 2 Total Corporate segment Finance lease receivables < 0.28% 217 238 546 217 784 1 561 0 1 561 0.28% - 0.44% 387 296 508 387 804 0 0 0 0.44% - 0.85% 2 152 311 1 160 2 153 471 0 0 0 0.85% - 1.33% 13 593 1 036 14 629 882 388 0 882 388 1.33% - 2.06% 967 785 3 418 971 203 56 301 0 56 301 2.06% - 3.94% 1 001 173 11 204 1 012 377 1 027 488 0 1 027 488 3.94% - 9.1% 310 826 29 241 340 067 2 979 430 0 2 979 430 > 9.1% 331 528 544 178 875 706 69 418 481 977 551 395 Gross carrying amount 5 381 750 591 291 5 973 041 5 016 586 481 977 5 498 563 Other loans and advances < 0.28% 599 235 412 599 647 575 279 1 575 280 0.28% - 0.44% 275 796 46 278 322 074 355 894 29 860 385 754 0.44% - 0.85% 1 355 073 165 385 1 520 458 795 998 40 937 836 935 0.85% - 1.33% 2 281 811 209 533 2 491 344 1 605 743 201 121 1 806 864 1.33% - 2.06% 2 128 216 337 101 2 465 317 1 935 657 490 163 2 425 820 2.06% - 3.94% 2 339 989 977 992 3 317 981 1 883 421 584 729 2 468 150 3.94% - 9.1% 1 146 913 1 192 558 2 339 471 2 400 254 1 659 965 4 060 219 > 9.1% 564 759 1 333 211 1 897 970 1 229 360 1 507 507 2 736 867 No ratingu 578 182 2 457 580 639 711 055 2 448 713 503 Gross carrying amount 11 269 974 4 264 927 15 534 901 11 492 661 4 516 731 16 009 392 As at 31 December 2025 in the corporate segment - other loans and advances, the main items reported as no rating are short -term transactions, including: repurchase transactions in the amount of PLN 416 million and settlements with the National Depository for Securities (KDPW) in the amount of PLN 148 million (as at 31 December 2 024, these values amounted to PLN 554 million and PLN 144 million, respectively). The maximum risk exposure in the scope of derivative instruments is presented in Note 21.4. External rating classes AAA AA- to AA+ A- to A+ BBB- to BBB+ BB- to BB+ B- to B+ No rating 31.12.2025 Cash and cash equivalents 0 324 340 3 277 577 6 306 0 0 454 691 4 062 914 Amounts due from banks 0 1 674 2 201 435 0 0 0 0 2 203 109 Securities measured at fair value through other comprehensive income, of which: 730 254 3 358 622 18 253 335 0 0 0 0 22 342 211 Debt securities 730 254 3 358 622 18 253 335 0 0 0 0 22 342 211 issued by central government institutions 104 889 3 358 622 16 527 826 0 0 0 0 19 991 337
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 1 AAA AA- to AA+ A- to A+ BBB- to BBB+ BB- to BB+ B- to B+ No rating 31.12.2025 issued by monetary institutions 625 365 0 1 725 509 0 0 0 0 2 350 874 Securities measured at amortised cost 0 482 048 3 113 627 0 0 0 61 3 595 736 Debt securities 0 482 048 3 113 627 0 0 0 61 3 595 736 issued by central government institutions 0 482 048 3 113 627 0 0 0 0 3 595 675 issued by other financial institutions 0 0 0 0 0 0 61 61 Securities and derivatives measured at fair value through profit and loss account, of which: 0 1 091 952 786 0 632 0 56 499 1 011 008 Debt securities 0 0 103 324 0 0 0 4 103 328 issued by central government institutions 0 0 103 324 0 0 0 0 103 324 issued by other financial institutions 0 0 0 0 0 0 4 4 Derivative instruments 0 1 091 849 462 0 632 0 56 495 907 680 Total 730 254 4 167 775 27 798 760 6 306 632 0 511 251 33 214 978 Portfel/Rating AAA AA- to AA+ A- to A+ BBB- to BBB+ BB- to BB+ B- to B+ No rating 31.12.2024 Cash and cash equivalents 0 88 972 1 593 702 2 357 0 0 438 320 2 123 351 Amounts due from banks 0 478 072 1 343 460 49 0 0 0 1 821 581 Securities measured at fair value through other comprehensive income, of which: 197 321 3 700 384 17 166 301 0 0 0 0 21 064 006 Debt securities 197 321 3 700 384 17 166 301 0 0 0 0 21 064 006 issued by central government institutions 0 3 700 384 13 146 448 0 0 0 0 16 846 832 issued by monetary institutions 197 321 0 4 019 853 0 0 0 0 4 217 174 Securities measured at amortised cost 0 481 903 1 675 972 0 0 0 61 2 157 936 Debt securities 0 481 903 1 675 972 0 0 0 61 2 157 936 issued by central government institutions 0 481 903 1 574 950 0 0 0 0 2 056 853 issued by other financial institutions 0 0 101 022 0 0 0 61 101 083 Assets pledged as collateral 0 0 18 029 0 0 0 0 18 029 Securities and derivatives measured at fair value through profit and loss account, of which: 0 15 063 439 489 7 506 0 0 27 505 489 563 Debt securities 0 0 1 978 0 0 0 4 1 982 issued by central government institutions 0 0 1 978 0 0 0 0 1 978 issued by other financial institutions 0 0 0 0 0 0 4 4 Derivative instruments 0 15 063 437 511 7 506 0 0 27 501 487 581
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 2 Portfel/Rating AAA AA- to AA+ A- to A+ BBB- to BBB+ BB- to BB+ B- to B+ No rating 31.12.2024 Total 197 321 4 764 394 22 236 953 9 912 0 0 465 886 27 674 466 Loans and advances to customers by overdue periods 31.12.2025 no overdue up to 1 month from 1 to 3 months from 3 months to 1 year from 1 to 5 years more than 5 years Total Stage 1 Retail segment 38 696 270 696 489 36 166 1 0 0 39 428 926 Consumer loans 17 480 116 447 684 10 487 1 0 0 17 938 288 Mortgage loans 21 216 154 248 805 25 679 0 0 0 21 490 638 Corporate segment 16 125 016 521 581 5 127 0 0 0 16 651 724 Finance lease receivables 5 089 724 291 885 141 0 0 0 5 381 750 Other loans and advances 11 035 292 229 696 4 986 0 0 0 11 269 974 Stage 2 Retail segment 2 490 814 631 857 276 905 17 233 4 415 2 177 3 423 401 Consumer loans 1 562 966 402 136 137 038 7 685 4 223 2 177 2 116 225 Mortgage loans 927 848 229 721 139 867 9 548 192 0 1 307 176 Corporate segment 4 175 172 552 738 123 811 3 024 628 845 4 856 218 Finance lease receivables 245 381 285 089 60 397 424 0 0 591 291 Other loans and advances 3 929 791 267 649 63 414 2 600 628 845 4 264 927 Stage 3 Retail segment 142 117 90 096 167 779 363 516 155 862 81 645 1 001 015 Consumer loans 98 981 72 159 123 162 313 507 127 498 61 387 796 694 Mortgage loans 43 136 17 937 44 617 50 009 28 364 20 258 204 321 Corporate segment 735 156 347 506 141 459 505 899 759 537 128 278 2 617 835 Finance lease receivables 47 533 44 079 38 376 101 669 86 752 1 365 319 774 Other loans and advances 687 623 303 427 103 083 404 230 672 785 126 913 2 298 061 POCI Retail segment 4 221 2 184 1 017 865 2 550 2 072 12 909 Consumer loans 3 578 1 761 818 865 1 929 1 903 10 854 Mortgage loans 643 423 199 0 621 169 2 055 Corporate segment 89 882 16 063 7 254 32 561 101 089 10 915 257 764 Finance lease receivables 0 0 0 0 0 0 0 Other loans and advances 89 882 16 063 7 254 32 561 101 089 10 915 257 764 Total 62 458 648 2 858 514 759 518 923 099 1 024 081 225 932 68 249 792 31.12.2024 no overdue up to 1 month from 1 to 3 months from 3 months to 1 year from 1 to 5 years more than 5 years Total Stage 1 Retail segment 36 397 009 769 460 65 608 4 262 0 0 37 236 339 Consumer loans 17 455 410 476 610 11 074 0 0 0 17 943 094 Mortgage loans 18 941 599 292 850 54 534 4 262 0 0 19 293 245 Corporate segment 16 071 294 434 390 3 563 0 0 0 16 509 247 Finance lease receivables 4 801 067 214 375 1 144 0 0 0 5 016 586 Other loans and advances 11 270 227 220 015 2 419 0 0 0 11 492 661 Stage 2 Retail segment 1 898 957 503 095 218 981 23 425 3 256 1 763 2 649 477
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 3 31.12.2024 no overdue up to 1 month from 1 to 3 months from 3 months to 1 year from 1 to 5 years more than 5 years Total Consumer loans 1 162 565 359 568 128 238 8 048 3 256 1 763 1 663 438 Mortgage loans 736 392 143 527 90 743 15 377 0 0 986 039 Corporate segment 4 264 538 625 151 104 854 2 696 487 982 4 998 708 Finance lease receivables 90 366 348 556 42 555 489 11 0 481 977 Other loans and advances 4 174 172 276 595 62 299 2 207 476 982 4 516 731 Stage 3 Retail segment 142 904 102 880 172 968 333 627 275 603 147 691 1 175 673 Consumer loans 110 160 86 389 132 889 275 873 211 951 102 820 920 082 Mortgage loans 32 744 16 491 40 079 57 754 63 652 44 871 255 591 Corporate segment 1 132 867 222 933 161 401 604 563 834 434 140 875 3 097 073 Finance lease receivables 64 568 52 919 43 235 98 843 67 409 8 138 335 112 Other loans and advances 1 068 299 170 014 118 166 505 720 767 025 132 737 2 761 961 POCI Retail segment 6 450 3 297 1 658 1 130 6 360 3 503 22 398 Consumer loans 5 950 3 104 1 389 834 4 363 3 069 18 709 Mortgage loans 500 193 269 296 1 997 434 3 689 Corporate segment 69 599 14 449 25 564 11 791 98 346 23 130 242 879 Finance lease receivables 0 0 0 0 0 0 0 Other loans and advances 69 599 14 449 25 564 11 791 98 346 23 130 242 879 Total 59 983 618 2 675 655 754 597 981 494 1 218 486 317 944 65 931 794 Past due more than 90 days do not result in classification to stage 3 due to the intangible amount of overdue. Loans and advances to customers according to the methods of calculating expected credit losses 31.12.2025 Stage 1 Stage 2 Stage 3 POCI Total individual method collective method Retail segment 39 428 926 3 423 401 24 650 976 365 12 909 43 866 251 Consumer loans 17 938 288 2 116 225 24 650 772 044 10 854 20 862 061 Mortgage loans 21 490 638 1 307 176 0 204 321 2 055 23 004 190 Corporate segment 16 651 724 4 856 218 1 110 669 1 507 166 257 764 24 383 541 Finance lease receivables 5 381 750 591 291 104 034 215 740 0 6 292 815 Other loans and advances 11 269 974 4 264 927 1 006 635 1 291 426 257 764 18 090 726 Total 56 080 650 8 279 619 1 135 319 2 483 531 270 673 68 249 792 Loans and advances to customers according to the methods of calculating expected credit losses 31.12.2024 Stage 1 Stage 2 Stage 3 POCI Total individual method collective method Retail segment 37 236 339 2 649 477 31 110 1 144 563 22 398 41 083 887 Consumer loans 17 943 094 1 663 438 31 110 888 972 18 709 20 545 323 Mortgage loans 19 293 245 986 039 0 255 591 3 689 20 538 564 Corporate segment 16 509 247 4 998 708 1 296 650 1 800 423 242 879 24 847 907 Finance lease receivables 5 016 586 481 977 87 070 248 042 0 5 833 675 Other loans and advances 11 492 661 4 516 731 1 209 580 1 552 381 242 879 19 014 232 Total 53 745 586 7 648 185 1 327 760 2 944 986 265 277 65 931 794
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 4 Loans subject to forbearance The Group treats as forbearance, financing conditions agreed with the client forced by its difficult financial situation (restructuring introducing easements that would not have been accepted otherwise). The objective of forbearance efforts is to restore the debtor’s or issuer's potential to meet their obligations vis- a-vis the Group and to maximise the effectiveness of irregular loan management – obtaining maximum recoveries, while minimising the related costs. In the restructuring process of retail customers, the Group applies the following tools (which can be combined): • extension of the lending period, • granting a grace period in repayment (of an instalment in full or in part), • replacement of the limit in the LOR account/unauthorized overdraft in the ROR/KK account into a loan repayable in installments, • agreement by rescheduling matured exposures (after maturity or termination). In specific instances, other tools may be used. In the restructuring process of corporate customers, no restrictions have been made as to the applied forbearance practices. Due to the specific nature of the customers, the most frequently applied tools include: • agreement by modifying the repayment schedule of the overdue exposures (after the repayment date or termination), • an annex reducing the limit in revolving loans, • an annex modifying the repayment period/instalment amount or grace period for the principal. The Group considers that the borrower's financial situation deteriorated, resulting in the classification of the granted improvement to forbearance, when: • within three months before the date of granting the facility, the overdue period on the restructured client's account exceeded 30 days or • a significant deterioration in credit risk has been recognized for the restructured account since initial recognition (classification to Stage 2) or • if the customer was on a watch list in the three months prior to granting the facility. Forbearance practices resulting in a loss (understood as lowering the NPV of an asset below the set thresholds), as well as introducing a balloon payment or a significant deferral of capital payment, result in reclassification to the portfolio with evidence of impairment. Exposure classified as forbearance, against which the trigger of impairment has been identified (default) maintains such a premise for at least 12 months. After this period, the exposure may come out of the default status if there are no significant delays or any other indications of impairment. Such exposure remains in the forbearance status for 24 months yet. In this period, the identification of impairment triggers is carried out according to according to more strict criteria. Loans to customers subject to forbearance 31.12.2025 31.12.2024 Retail segment 606 178 657 780
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 5 Loans to customers subject to forbearance 31.12.2025 31.12.2024 without identified impairment 495 366 552 214 with identified impairment 274 717 299 346 Expected credit losses -163 905 -193 780 assessed as a portfolio -163 905 -193 780 Corporate segment 737 814 756 059 without identified impairment 356 635 222 831 with identified impairment 640 234 1 006 361 Expected credit losses -259 055 -473 133 assessed individually -169 883 -366 331 assessed as a portfolio -89 172 -106 802 POCI 145 723 150 748 Total 1 489 715 1 564 587 Loans to customers subject to forbearance 31.12.2025 31.12.2024 with identified impairment 542 781 687 637 of which: collateral value 406 914 505 546 without identified impairment 801 211 726 202 of which: collateral value 521 553 488 820 not overdue 695 422 635 992 overdue 105 789 90 210 POCI 145 723 150 748 Total 1 489 715 1 564 587 In 2025 and 2024 the amount of interest income on loans were subject to forbearance amounted to PLN 165 308 thousand and PLN 160 086 thousand, respectively. Concentration The table below presents the exposure (capital) towards the 10 largest customers of the Bank ’s Group. Ten largest borrowers Currency 31.12.2025 Currency 31.12.2024 Company 1 PLN 218 068 PLN 224 091 Company 2 PLN 195 911 PLN 216 887 Company 3 EUR 169 068 PLN 202 273 Company 4 PLN 160 660 EUR, USD 187 156 Company 5 EUR, USD 151 562 PLN, EUR 178 623 Company 6 PLN 145 089 PLN 165 000 Company 7 PLN 132 000 EUR 163 068 Company 8 PLN 118 398 EUR 149 555 Company 9 PLN 118 398 PLN 128 175 Company 10 PLN, EUR, USD 112 126 EUR 124 558 The table s below present the balance sheet and off -balance sheet exposures of Alior Bank's Group business customers, subject to internal concentration limits, broken down by PKD section. This exposure is defined in accordance with Article 389 of the CRR.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 6 Section by PKD 2007 Section name 31.12.2025 balance sheet commitment off-balance sheet commitment Section A Agriculture, forestry, hunting, and fishery 253 377 252 208 Section B Mining and quarrying 80 821 12 294 Section C Manufacturing 2 535 980 2 331 619 Section D Electricity, gas, steam and air conditioning supply 779 499 883 711 Section E Water supply, sewage and waste management, and remediation 99 666 329 677 Section F Construction 1 887 927 4 065 860 Section G Wholesale and retail trade; repair of motor vehicles and motorcycles 3 164 107 1 662 029 Section H Transportation and storage 3 118 565 290 839 Section I Accommodation and food service activities 875 158 90 000 Section J Information and communication 592 826 135 695 Section K Financial and insurance activities 7 303 161 841 562 Section L Real estate activities 2 036 550 329 303 Section M Professional, scientific and technical activities 524 622 107 850 Section N Administrative and support service activities 833 294 628 849 Section O Public administration and defence; compulsory social security 1 936 123 811 Section P Education 115 538 8 627 Section Q Human health and social work activities 474 869 47 341 Section R Arts, entertainment, and recreation 177 161 85 144 Section S Other service activities 132 396 3 964 Section T Households employing workers; households producing goods and providing services for their own needs 22 0 Section U Activities of extraterritorial organisations and bodies 225 0 Total 24 987 700 12 230 383 Section by PKD 2007 Section name 31.12.2024 balance sheet commitment off-balance sheet commitment Section A Agriculture, forestry, hunting, and fishery 329 925 199 544 Section B Mining and quarrying 20 154 248 Section C Manufacturing 3 995 923 2 799 321 Section D Electricity, gas, steam and air conditioning supply 605 690 766 080 Section E Water supply, sewage and waste management, and remediation 110 192 303 212 Section F Construction 1 612 138 3 828 033 Section G Wholesale and retail trade; repair of motor vehicles and motorcycles 5 479 129 2 011 194 Section H Transportation and storage 3 888 980 480 945 Section I Accommodation and food service activities 1 154 996 152 978 Section J Information and communication 975 250 255 173 Section K Financial and insurance activities 6 182 826 1 544 890 Section L Real estate activities 2 929 671 391 193 Section M Professional, scientific and technical activities 873 448 257 027 Section N Administrative and support service activities 987 429 473 809 Section O Public administration and defence; compulsory social security 1 995 19 601 Section P Education 153 941 32 774 Section Q Human health and social work activities 618 283 50 543 Section R Arts, entertainment, and recreation 172 388 83 269 Section S Other service activities 170 527 10 612 Section T Households employing workers; households producing goods and providing services for their own needs 26 0
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 7 Section by PKD 2007 Section name 31.12.2024 balance sheet commitment off-balance sheet commitment Section U Activities of extraterritorial organisations and bodies 1 0 Total 30 262 912 13 660 446 The table s below present the on -balance sheet and off -balance sheet exposures, subject to internal concentration limits, broken down by country. This exposure is defined in accordance with Article 389 of the CRR. Country 31.12.2025 balance sheet commitment off-balance sheet commitment Poland 73 383 870 16 553 464 United Kingdom 229 122 130 219 Cyprus 133 286 46 328 Luxembourg 59 847 68 672 Germany 56 562 12 385 Liberia 42 859 0 The Czech Republic 2 165 377 Ireland 29 999 1 185 The Netherlands 23 662 5 039 France 6 614 13 960 Other countries 54 600 20 381 Total 74 022 586 16 852 010 Country 31.12.2024 balance sheet commitment off-balance sheet commitment Poland 67 257 040 18 710 939 United Kingdom 224 848 28 018 Cyprus 75 334 24 621 Liberia 76 692 0 Germany 57 065 9 676 Luxembourg 50 798 6 798 Ireland 32 865 228 Romania 1 27 325 The Netherlands 21 633 3 317 France 5 104 15 786 Other countries 65 267 15 731 Total 67 866 647 18 842 439 Financial assets subject to modification The table below presents information on financial assets that were subject to modification that did not result in derecognition from the balance sheet and for which the allowance for expected credit losses was calculated as a credit loss over the life of the exposure. 31.12.2025 31.12.2024 Financial assets subject to modification in a given period
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 8 31.12.2025 31.12.2024 Carrying amount at amortized cost before modification 1 202 225 795 816 Profit / loss recognized on modification -5 048 -67 552 Financial assets that were subject to modification from the moment of initial recognition Gross carrying amount of financial assets for which the Bank changed the method of calculating the impairment loss in the period - from the life- time horizon to the 12 months 494 392 154 604 42 Interest rate risk 42.1 Description of the risk Definition of the interest rate risk The interest rate risk (including the interest rate risk in the banking book) is defined as the risk of adverse impact of market interest rates on the current results or the net present value of the Group's equity. The Group attaches special importance to specific interest rate risk aspects related to the banking book, such as: • mismatch risk, • base risk, • risk of customers’ options, • credit spread risk (CSRBB). Additionally, with respect to the interest rate risk, the Group pays special attention to modelling repayment of loans with a fixed interest rate and accounts with unspecified maturities and interest rates set by the Bank (e.g. for current deposits), as well as the impact of non -interest items in the risk (e.g. equity, fixed assets). Objective of interest rate risk management The objective of interest rate risk management is to mitigate potential losses due to changes of market interest rates to the acceptable level with an appropriate structure of on - and off-balance sheet items. In order to manage the interest rate risk, the Group differentiates between trading activity covering securities and derivative instruments, concluded for commercial purposes, and banking activity covering other securities, own issues, loans, deposits, and derivative transactions uses to hedge the risk of t he banking book risk. In 2025, Alior Leasing was considered a significant company in the Alior Bank SA Capital Group from the point of view of interest rate risk management in the Group. The interest rate risk in the company is monitored, controlled and reported on the basis of intern al market risk management rules, including the determination of the appetite for interest rate risk and preparation of periodic reports. Reports on the interest rate risk in the company prepared by Alior Leasing constitute, in particular, the starti ng point for decisions regarding the management of the company's interest rate risk and are used to consolidate the interest rate risk at the Group level.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 3 9 Measurement and assessment of the interest rate risk Interest rate of the banking portfolio is measured and assessed by limiting the volatility of net interest income (NII) and by limiting changes to the economic value of the Bank's equity (EVE). Apart from NII and EVE, in its interest rate measurements the Group applies BPV and Expected Shortfall and stress tests. BPV identifies the estimated change to the measurement of a transaction/position as a result of a shift of the profitability curve at the relevant point by 1bp. The BPV value is measured on a daily basis at each point of the curve with reference to each currency. Expected Shortfall identifies the potential loss on the existing positions, related to changes of interest rates, while maintaining the assumed confidence level position maintenance period. In order to calculate Expected Shortfall , the Group applied a 10-day horizon and a confidence level of 9 7.5%. The value is determined daily for each area responsible for risk assumption and management, individually and jointly. Monitoring and reporting of the interest rate risk Regular reports are made at Alior Bank Group of the following: • interest rate risk measurement level, • utilisation degree of the internal capital allocated to the interest rate risk, • utilisation degree of internal limits and warning threshold for the interest rate risk, • results of stress tests. Reports concerning the interest rate risk are made on a daily, weekly, monthly, and quarterly basis. Tools for interest rate risk management The core of interest rate risk management tools at Alior Bank Group are as follows: • internal procedures relating to interest rate risk management, • interest rate risk metrics like NII, EVE, Expected Shortfall, BPV, • limits and warning thresholds for each interest rate risk metric, • stress tests (including scenario analyses covering, among other, the impact of specified changes to interest rates o n future net interest income, the economic value of equity , reverse tests and dynamic forecasts of sensitivity to changes in interest rates). 42.2 Assessment of the impact of the IBOR reform on the Group's situation As at 1 January 2018, a new standard for the provision of benchmarks applies in the European Union, the legal basis of which is Regulation (EU) 2016/1011 of the European Parliament and of the Council on indices used as benchmarks in financial instruments and fi nancial contracts or for measuring the performance of investment funds (hereinafter: BMR regulation, IBOR reform). The main goal of the EU bodies during the work on the IBOR reform was the need to increase consumer protection. In accordance with the IBOR reform, all benchmarks that are the basis for determining interest on loans or the interest rate for various financial instruments must be calculated and applied according to strictly defined rules, so as to avoid suspicion of any fraud.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 0 The Group has undertaken and implemented a number of activities to implement IBOR, i.e .: • the contingency plan was amended, which in particular includes a scheme of actions in the event of a significant change or discontinuation of the development of a given benchmark and a list of benchmarks used with their alternatives, • priorities for annexing contracts to replace expired indicators were adopted, • templates of annexes were prepared and introduced for contracts to which the IBOR relates, • the process of annexing the contracts was carried out, • an information and reminding campaign aimed at clients was conducted, • employee training in the field of IBOR was conducted, • the hedge accounting policy was adjusted. The Group monitors the activities of regulators and benchmark administrators, both at the national, European and global level, in terms of benchmarks. The Bank is involved in the work of the National Working Group for WIBOR reform. The Steering Committee of the National Working Group (KS NGR) decided to select the proposal for an index from the WIRS family with the technical name "WIRF" - based on unsecured deposits of Credit Institutions and Financial Institutions, as the target int erest rate reference indicator, which would replace the WIBOR reference indicator. After reviewing the opinions on legal, market and marketing aspects, KS NGR decided on 24 January 2025 to select the target name POLSTR. The administrator of POLSTR - within the meaning of the BMR Regulation will be GPW Benchmark SA, entered in the register of the European Securities and Markets Authority (ESMA). Thus, KS NGR verified and modified its previous decision to select WIRON (originally WIRD) based on the premises i ndicated below, as well as those mentioned in previous NGR communications. KS NGR has updated the Road Map as part of the current schedule of actions aimed at replacing the WIBOR reference index with the target POLSTR index. In connection with the IBOR reform, the Group is exposed to the following types of risk: Legal events In particular, this applies to the possibility of questioning the applicable provisions in the client's contract with the Bank and the lack of agreement on the application of fallback provisions regarding benchmarks. Fallback clauses define the action plan that the Group intends to launch in the event of discontinuation of publication or a significant change in the benchmark. The reason for questioning the contractual provisions may be, in particular, the difference between the values of the benchmarks. The Group manages the risks resulting from the IBOR reform by actively annexing the agreements with the Group's customers. The difference in the levels of reference ratios is mitigated by the bank by applying appropriate adjustment adjustments, eliminating the economic impact of changing the ratio on the contract with the customer. Interest rate risk It relates to the mismatch of benchmarks between assets, liabilities and derivatives. The Group manages these risks using the same solutions in individual products, leading to the greatest possible methodological convergence between them.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 1 Currency Benchmark before reform Benchmark status at 01.01.2026 Benchmark used by the Bank after reform 31.12.2025 31.12.2024 PLN WIBOR Compatible with BMR In accordance with the resolution of the NGR (more information on the website https://www.knf.gov.pl/dla_rynku/ Wskazniki_referencyjne/prace_grupy) Portfolio annexation in progress (in terms of fallback clauses) Portfolio annexation in progress (in terms of fallback clauses) All new contracts concluded after 31 December 2021 contain appropriate fallback clauses, mitigating the risk related to the discontinuation of publication of benchmarks. Benchmarks compliant with the BMR are benchmarks that have been approved by the relevant entity defined under the BMR (ESMA register - European Securities and Markets Authority - https://www.esma.europa.eu/policy-rules/benchmarks). The impact of the IBOR reform on hedge accounting is assessed in Note 21.3. The Group's exposure by individual IBOR reference ratios as at 31 December 2025 Reference indicator Assets (gross carrying amount) Liabilities (gross carrying amount) Off-balance sheet liabilities – granted (nominal value) Derivatives (nominal value) WIBOR 53 174 025 17 142 937 6 156 21 142 325 as at 31 December 2024 Reference indicator Assets (gross carrying amount) Liabilities (gross carrying amount) Off-balance sheet liabilities – granted (nominal value) Derivatives (nominal value) WIBOR 51 409 955 15 993 309 5 611 18 122 188 Group’s exposure of transactions concluded under hedge accounting broken down by reference ratios as at 31 December 2025 Reference indicator Derivatives (nominal value) WIBOR 24 357 000 as at 31 December 2024 Reference indicator Derivatives (nominal value) WIBOR 18 381 000 42.3 Financial data Sensitivity metrics BPV statistics 01.01.2025-31.12.2025 01.01.2024-31.12.2024 Book Minimal Medium Maximum Minimal Medium Maximum Banking book -2 882 -2 411 -1 434 -2 760 -1 653 -802 Trading book -49 -19 22 -86 -24 22
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 2 01.01.2025-31.12.2025 01.01.2024-31.12.2024 Book Minimal Medium Maximum Minimal Medium Maximum CALCO* -2 689 -1 095 1 530 -1 536 802 2 214 Total -2 899 -2 431 -1 412 -3 883 -875 1 337 *The Calco portfolio includes the equivalents of the NII adjustment - model deposits, NII adjustments, hedge accounting, natural hedge. This reflects the division of appetite into linear NII and making NII more realistic. Bank’s ES values in 20 25 and 2024 are presented in the table below (9 7.5% VaR with a horizon of 10 days). 01.01.2025-31.12.2025 01.01.2024-31.12.2024 Minimal Medium Maximum Minimal Medium Maximum Trading book 891 1 274 1 842 722 1 913 3 801 Change to the economic value of capital Use of the change of economic value of equity with a parallel shift of interest rate curves by +/ - 200bps and with scenarios specified by the EBA for Alior Bank Group as at the end of December 2025 and 2024 are presented below: Scenario Change to the economic value of equity 31.12.2025 Change to the economic value of equity 31.12.2024 most adverse scenario as %Tier 1 -10.12% -6.56% Net interest volatility The volatility of net interest income over a horizon of up to 1 year with a 100 bp change in interest rates (negative scenario) and the result of the SOT NII supervisory test in two scenarios of parallel shift to the end of 2025 and the end of 2024 are presented below: 31.12.2025 31.12.2024 NII - total, adjusted sensitivity of interest income to interest rate changes in the +/- 100 b.p. scenario 121 683 -106 404 SOT NII - as % of Tier1 capital -4.48% -3.93% 43 Foreign exchange risk (FX risk) 43.1 Description of the risk Definition of the foreign exchange risk The FX risk is defined as a risk of a loss resulting from changing FX rates. Additionally, the Group identifies the impact of FX rates on its results over a long -time perspective as a result of conversion of future FX - denominated income and expenses at potentially disadvantageous FX rates. The risk related to future results may be managed within the FX model portfolio. The objective of foreign exchange risk management The core objective of FX risk management is to identify those are as at the Group's business that may be exposed to the risk and to take measures to mitigate potential related losses as much as possible. The Bank's Management Board identifies the FX risk profile which must be compliant with the Group's applicable financial plan.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 3 In 2025, Alior Leasing was considered a significant company in the Alior Bank SA Capital Group from the point of view of currency risk management in the Group. The currency risk in the company is monitored, controlled and reported on the basis of internal market risk management principles, including the determination of the appetite for currency risk and preparation of periodic reports. Reports on the company's currency risk prepared by Alior Leasing constitute, in particular, the starting point for decisions regarding the company's currency risk management and are used to consolidate the currency risk at the Group level. Foreign exchange risk measurement and assessment The FX risk is measured and assessed by limiting the FX positions opened by the group. In order to measure the FX risk, the Group uses Expected Shortfall and stress tests. Expected Shortfall identifies the potential loss on existing positions, related to changes of FX rates, while maintaining the assumed confidence level and the position maintenance period. The value is determined daily for each area responsible for risk assumption and management, individually and jointly. Foreign exchange risk monitoring and reporting Alior Bank Group regularly monitors and reports: • FX risk measure levels, • utilisation degree of the internal limits and warning threshold for the FX risk, • results of stress tests. Reports concerning the FX risk are made on a daily, weekly, monthly, and quarterly basis. FX risk limits are set so that the risk remains at a restricted level. The Group may also execute transactions to hedge future FX cash flows with adequate realisation certainty (e.g. rental costs, FX currency denominated net interest income). The objective is to mitigate volatility of the results in the current financial year. Foreign exchange risk management tools The core FX risk management tools at Alior Bank Group are as follows: • internal procedures relating to FX risk management, • internal FX risk models and metrics, • limits and warning threshold for the FX risk, • limitations to allowable FX transactions, • stress tests. 43.2 Financial data Sensitivity metrics As at the end of December 20 25, the maximum loss on the FX portfolio held by the Group (managed within the trading book), determined on the basis of Expected Shortfall over a time horiz on of 10 days, could be amounted to PLN 71 thousand, with the assumed confidence level of 97.5%. 31.12.2025 31.12.2024
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 4 Horizon [days] 10 10 ES [TPLN] 71 149 Expected Shortfall statistics in the Group's trading book in 2025 and 2024 31.12.2025 31.12.2024 Minimum 36 54 Medium 88 605 Max 140 1 431 On date 71 149 An assumed normal distribution of the values of risk factors in the Expected Shortfall model may in practice result in underestimation of losses in stress scenarios (the phenomenon of “the long tail”). As a result, the Group performs stress tests. In measuring the exposure of the Alior Bank Group to the risk of changes in foreign exchange rates, the Group conducts stress tests. The results of stress tests of the Alior Bank Group examining the impact of changes to FX rates versus PLN by +/- 30% are presented below: 31.12.2025 31.12.2024 FX rates + 30% 27 821 30 113 FX rates -30% -26 -4 287 Foreign exchange position The total amounts of FX positions in the Alior Bank Group as at 31.12.2025 and 31.12.2024 are presented in the table below: Fx position Balance sheet item Off -balance sheet item Net position Long Short Long Short Long Short 31.12.2025 15 664 796 -15 475 600 5 419 781 -5 610 206 5 251 -6 480 31.12.2024 14 500 163 -15 470 934 4 615 054 -3 621 229 25 005 -1 951 The volume of FX positions is the core factor (apart from FX rate volatility) determining the FX risk level to which the Bank and Group is exposed. All concluded FX transactions, both on - and off-balance sheet ones, affect the level of FX positions. The Group's exposure to the FX risk is low (with reference to equity of Alior Bank Group), the 10-day Expected Shortfall for the currency portfolio of Group as at 31 December 2025 was about ca. 0.0007% and as at 31 December 2024 ca. 0.0016%, respectively.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 5 44 Liquidity risk 44.1 Description of risk Definition of liquidity risk The liquidity risk means a risk of failure by the Group to meet – subject to comfortable conditions and at adequate prices – its payment obligations resulting from the Group's on- and off-balance sheet items. As part of the liquidity risk, the financing risk is distinguished, which is the risk of losing the financing sources and the risk of the lack of the required renewed funding or access denial to new sources of financing. Purpose of liquidity risk management The purpose of liquidity risk management is to provide the necessary amount of financial resources necessary to meet current and future (also potential) liabilities, taking into account the specifics of the business and the needs that may arise as a result of changes in market or macroeconomic conditions. Organization of the liquidity risk management process Assets and liabilities at Bank are managed by the dedicated CALCO. A liquidity risk strategy, including the acceptable risk level, the assumed balance sheet structure and the funding plan, is approved by the Bank's Management Board and further validated by the Bank's Supervisory Board. Interbank treasury transactions are concluded by the Treasury Department, transactions are settled and booked in the Operations and Settlements Division and the liquidity risk is monitored and measured in the Financial Risk Management Department. The competences related to liquidity risk management are segregated in a transparent manner up to the Management Board level which ensures complete independence of operation. In 2025, treasury activities and liquidity risk management were fully centralized at the level of the Alior Bank SA Group. Organization of the liquidity risk management process in subsidiaries In 2025, Alior Leasing was considered a significant company in the Alior Bank SA Capital Group from the point of view of liquidity risk management in the Group. The liquidity risk in the company is monitored, controlled and reported on the basis of internal liqui dity risk management rules, including determination of the appetite for liquidity risk, liquidity contingency plans and preparation of periodic reports. Reports on the company's liquidity risk prepared by Alior Leasing constitute, in particular, the starting point for making decisions regarding the company's liquidity management and are used to consolidate the liquidity risk at the Group level. Liquidity risk management Thus, the policy of liquidity risk management at the Group consists of maintaining its own liquidity positions so that payment obligations can be met at any time with the available cash on hand, proceeds from transactions with specific maturities or with sales of marketable assets while minimising the costs of liquidity maintenance. The Group has a liquidity adequacy assessment process (ILAAP) which comprehensively assesses the adequacy of liquidity risk management and its adjustment to the nature, scale and complexity of the Group. This process accomplishes the following goals:
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 6 • ensuring its ability to pay all its obligations when they fall due also in an extreme situation, • maintaining at an adequate level a liquidity buffer that means high quality liquid assets ensuring adequate excess liquidity, • determination of the scale of the Group's exposure to liquidity risk by setting internal liquidity limits, consistent with the appetite and strategy of the Group, taking into account the results of stress tests, • minimising the risk of trespassing on the liquidity limits defined at the Group, • monitoring the Group's liquidity condition regarding the occurrence of an emergency situation in order to launch the Liquidity Maintenance Plan and the Recovery Plan, • ensuring compliance of the processes functioning at the Group with regulatory requirements concerning liquidity risk management. As part of ILAAP Group: • identifies risks and significant risk factors, • measures and reports liquidity risk, • works with liquidity procedures and policies, including a financing plan for the subsequent years of the Group's operations, • manages Liquidity Contingency Plans and Recovery Plan, • maintains a liquidity buffer consisting of high-quality liquid assets, • develops a system of liquidity limits in line with the risk appetite, monitors liquidity limits and early warning indicators identifying negative trends that may have an impact on the increase of liquidity risk, • conducts liquidity risk stress tests, on the basis of which it assesses the extent to which the Group is prepared to settle liabilities in a stress situation, • includes in the fund transfer rates system adjustments supporting liquidity risk management. Individual elements of ILAAP are integrated with each other and constitute a coherent whole. Each identified type of liquidity risk is measured using a number of analyzes and defined indicators. Specific ratios are subject to a liquidity limit system, which limits the risk taken by the Group and provides warning signals to identify a threat situation that could lead to emergency plans or Recovery Plans. When determining the level of limits and the required liquidity buffer, the results of stress tests are t aken into account. The contingency and Recovery Plan tests are compared with the results of stress tests and are used to ensure that the Group is able to maintain liquidity both in a normal and an extreme situation. Such relationships between the individual elements of ILAAP allow for effective management of liquidity risk, limiting it and ensuring access to sufficient sources of liquidity, even in an extreme situation. The components of the ILAAP are consistent with the Group's overall strategy and risk appetite. The ILAAP elements determine the liquidity risk tolerance, i.e. the level of risk that the Group intends to bear . Risk tolerance is defined as a system of limits imposed on liquidity risk, which results from the risk appetite included in the assumptions of the overall strategy of the Group's operations and is consistent with it, and by setting a survival horizon that takes into account e.g. results of liquidity s tress tests. The elements of ILAAP are taken into account when constructing the Group's financial plan in such a way that the assumptions regarding the future structure of the balance sheet take into account the need to ensure a safe liquidity position of the Group.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 7 Identification and measurement and assessment of liquidity risk As part of the identification of liquidity risk, the Group recognizes risk factors that significantly determine its ability to maintain an adequate level of liquidity and the ability to finance liabilities resulting from operating activities. The measurement of liquidity risk at the Group is performed taking into account all material items, both on-balance and off -balance sheet (including in particular derivatives). Among the applied liquidity management metrics, the Group identifies indicators and related limits to the following liquidity types: • intraday liquidity - the ability to perform all monetary obligations on the current day, • current liquidity – the ability to finance assets and timely discharge obligations in the course of the Bank's normal operations or in other conditions that can be predicted, without incurring a loss within the next 7 calendar days, • short-term liquidity – ability to comply with all financial liabilities falling due within a period of the next 30 days, • medium-term liquidity – ability to comply with all financial liabilities falling due within a period of 1 to 12 months, • long-term liquidity – ability to comply with all financial liabilities falling due within a period of over 12 months. The Group uses a number of indicators and analyzes to measure and analyze the liquidity risk, including: • calculation and monitoring of LCR, NSFR supervisory indicators - assessment of the Group's compliance with quantitative supervisory requirements, • forecasts for the development of supervisory liquidity measures - ensuring that the Group will meet quantitative supervisory requirements in the future, • calculation and monitoring of internal liquidity ratios, including measures of intraday, current, short-term, medium and long-term liquidity, basic surplus and total liquidity buffer, • liquidity gap - allows to estimate the size of the mismatch (difference) between on-balance sheet and off-balance sheet assets and liabilities for each maturity / maturity band (period gap), as well as for the sum of assets and liabilities jointly in all maturity / maturity bands (cumulative gap). The Group determines the contractual and adjusted liquidity gap, • stability analysis of stable external funds - determining on the basis of historical data what part of these liabilities is stable and may, with a high probability, constitute a stable source of financing under normal market conditions, • analysis of renewal / breaking of deposits - the purpose is to verify the behavioral stability of customer behavior, which is the basis for determining the deposit and weights of cash flow realities in the Group, • analysis of stable external funds concentration - indication of the potential risk of excessive dependence of the Group on financing sources characterized by an insufficient degree of diversification, which could have a negative impact on the stability of external funds , • analysis of the stability of receivables due to off -balance sheet commitments granted - determination of the level of use of guarantee and credit lines by customers ,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 8 • long-term liquidity analysis - aimed at determining the risk associated with financing long -term loans (mainly secured by a mortgage or for financing large projects not related to real estate, including industrial investments) with liabilities with shorter maturities, • analysis of the concentration of liquid assets - aimed at limiting the risk of obtaining cash by liquidating the above -mentioned assets when it is necessary to cover the expected as well as unexpected liabilities of the Bank. Liquidity risk control, monitoring and reporting Liquidity risk control involves setting liquidity risk limits adjusted to the scale and complexity of the Group's operations, in particular the limits of the appetite for liquidity risk. Alior Bank Group regularly monitors and reports the level of liquidity risk measures and the degree of use of internal limits and threshold values. Liquidity risk reports are prepared on a daily, weekly, monthly, quarterly and annual basis. Their frequency , scope and list of recipients (including CALCO, Management Board and the Supervisory Board) is regulated in the Group's internal regulations. The limits set the boundaries of the Group's operations, which cannot be exceeded. The selected limits are extended by the Group with warning thresholds, the function of which is to protect against exceeding internal limits by specifying the level of limit utilization (minimum surplus), the achievement of which will mean an increased liquidity risk and a real risk of exceeding the limit within a specified period of time. Liquidity risk stress tests Stress testing is an important element of the Group's liquidity risk management . The main part of stress tests is a scenario analysis, which consists in examining the impact of a given scenario on the liquidity, taking into account various risk factors and a different level of severity of individual risk factors (while maintaining the overriding principle of a conservative approach to scenario construction). Additionally, the Bank conducts separate scenarios for intraday liquidity. The scenario tests are su pplemented with sensitivity analyzes, where the Bank tests only selected risk factors which, in its opinion, have the greatest impact on the liquidity situation, and reverse tests, where the Bank tests what level of the most important risk factors causes the Bank to lose liquidity. The Bank conducts reverse tests, analyzing two aspects: loss of liquidity, meaning the inability to settle liabilities, and a decrease in liquidity, resulting in non - compliance with supervisory liquidity requirements. The results of the stress tests are accepted by the Supervisory Board. The stress test scenarios adopted by the Bank's Management Board are developed in three basic variants, for which at least two scenarios are constructed: • internal crisis - a situation in which internal -bank factors or other factors are responsible for liquidity problems, but only for the Bank (2 scenarios assuming loss of reputation) , • systemic crisis - a situation where in the whole or a significant part of the banking system there are problems with maintaining liquidity due to the economic or financial crisis (2 scenarios, 1 related to the geopolitical crisis and 1 related to the geopolitical and fiscal crisis), • combination of an internal crisis and a systemic crisis - a situation that is a combination of elements from the two above variants (2 scenarios assuming simultaneous problems of the Bank and the entire sector).
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 4 9 The results of stress tests are used in particular to assess the extent to which the Group is prepared to settle liabilities in a stressed situation, to assess the adequacy of surplus liquidity by comparing the existing liquidity buffer with the required liquidity buffer in a stressed situation, and to verify the adjustment of the Group's liquidity profile to the adopted liquidity risk tolerance by checking whether the survival horizon in each scenario is at least equal to that assumed by the Group. Comparing the demand for liquid funds for each scenario with the values that can be obtained based on the tests of contingency plans allows you to check whether the Group is able to settle li abilities in longer horizons (beyond the survival horizon) using contingency actions. In addition, the results of stress tests are used to set internal limits, adapt and improve internal regulations, and the daily practice of liquidity risk management by using the results of stress tests to currently assess the Group's liquidity situation and shape the liquidity contingency plan. Liquidity risk contingency plans tests In the event of a liquidity crisis, understood as a hypothetical risk and the real occurrence of a situation in which the Group will not be able to meet its current or anticipated future payment obligations in a timely manner, liquidity contingency plans h ave been developed, the purpose of which is to identify solutions ensuring the survival of the liquidity crisis, including actions corrective. The Bank monitors the liquidity situation on an ongoing basis in terms of identifying a threatening situation by defining and monitoring a wide range of indications regarding the situation inside the Bank, as well as the market and macroeconomic environment, which are used to identify situations of increased liquidity risk, high liquidity risk and liquidity risk cris is and enable taking appropriate action , as specified in the contingency plans. The Bank reviews and tests contingency plans at least once a year or when required by changes in market conditions. As part of the tests of contingency plans, the Bank determines: the feasibility and feasibility of actions, decision -making process, competences of individual units, the amount of funds that can be obtained and the time necessary to implement the actions. 44.2 Financial data Contractual cash flows of financial liabilities (excluding derivative financial instruments) The tables below present a summary of undiscounted future cash flows from the Group's financial liabilities (excluding derivative financial instruments), which means that the presented values include future interest payments. Financial liabilities and off-balance sheet commitments granted are recognized in a time frame consistent with the due date, and in the absence of such a date, these liabilities have been assigned the earliest possible date in which the outflow of funds from the Group is expected. Contractual cash flows of the Group's financial liabilities as at 31 December 202 5 (in PLN million) 31.12.2025 1M 3M 1Y 5Y 5Y+ Total Financial liabilities -69 680 -8 589 -5 291 -2 799 -198 -86 557 Amounts due to banks -648 0 0 0 0 -648 Amounts due to customers -69 031 -8 587 -5 140 -76 -3 -82 837 Debt securities issued 0 0 -140 -2 549 0 -2 689 Finance lease liabilities -1 -2 -11 -174 -195 -383 Off-balance sheet liabilities -14 510 0 0 0 0 -14 510 Off -balance guarantee lines -13 660 0 0 0 0 -13 660 Off- balance financing lines -850 0 0 0 0 -850
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 0 Contractual cash flows of the Group's financial liabilities as at 31 December 2024 (in PLN million) 31.12.2024 1M 3M 1Y 5Y 5Y+ Total Financial liabilities -63 660 -8 314 -5 631 -2 311 -54 -79 970 Amounts due to banks -44 -2 -5 0 0 -51 Amounts due to customers -63 552 -8 164 -5 389 -75 -1 -77 181 Debt securities issued -64 -147 -214 -2 062 0 -2 487 Finance lease liabilities 0 -1 -23 -174 -53 -251 Off-balance sheet liabilities -12 641 0 0 0 0 -12 641 Off -balance guarantee lines -11 684 0 0 0 0 -11 684 Off- balance financing lines -957 0 0 0 0 -957 Contract cash flows from off -balance sheet derivative transactions for which the valuation at the reporting date was negative The Group includes IRS, FRA transactions, options, including currency and interest rate options, and commodity derivative transactions among derivative financial instruments settled in net amounts. In the case of IRS transactions, undiscounted future cash flows fro m interest were presented, while in the case of other transactions, the valuation value as at 31 December 2025 and 31 December 2024 was assumed as the cash flow amount, respectively (in PLN million). 1M 3M 1Y 5Y 5Y+ Total 31.12.2025 79 153 193 85 18 528 31.12.2024 135 206 166 59 0 566 The Group classifies CIRS, FX Swap and FX Forward transactions as derivative financial instruments settled in gross amounts. The tables below present a summary of undiscounted future cash flows from nominal amounts, and in the case of CIRS transactions, additionally interest, as at 31 December 2025 and 31 December 2024, respectively (in PLN million). 1M 3M 1Y 5Y 5Y+ Total 31.12.2025 inflows 2 266 805 333 151 0 3 556 outflows 2 284 812 343 168 0 3 607 31.12.2024 inflows 2 272 107 68 29 130 2 606 outflows 2 295 112 74 44 134 2 659 Liquidity gap realised The tables below present the cumulative adjusted liquidity gap for the Group (in PLN million). Adjustment of cash flows is made as a result of applying adjustment weights to contractual cash flows in order to determine the most probable (economic) maturity/due date. Adjustment of values and terms is applied to both balance sheet and off-balance sheet items, including: assets for which there is a possibility of early
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 1 disposal, items without contractual maturity dates, banking products for which the analysis of trends and customer behavior indicates differences between the contractual maturity date and the actual payment date, off-balance sheet liabilities under granted credit lines and guarantees. 31.12.2025 1D 1M 3M 6M 1Y 2Y 5Y >5Y Total Periodic gap made real 5 173 16 514 -2 587 400 1 446 3 942 5 776 -30 367 297 Accumulated gap real 5 173 21 687 19 100 19 500 20 946 24 888 30 664 297 31.12.2024 1D 1M 3M 6M 1Y 2Y 5Y >5Y Total Periodic gap made real 4 085 14 629 -2 074 340 1 626 4 508 7 221 -30 252 84 Accumulated gap real 4 085 18 715 16 641 16 981 18 607 23 115 30 335 84 In all ranges, the Group's adjusted cumulative liquidity gap showed positive values as at 31 December 2025 and 31 December 2024. This means a surplus of maturing assets over due liabilities. Regulatory liquidity measures and sensitivity measures Regulatory liquidity measures 31.12.2025 31.12.2024 LCR 245% 202% NSFR 149% 148%* * On 11 April 2025, the Polish Financial Supervision Authority approved the inclusion of part of the profit generated in 2024 in the Tier 1 capital of Alior Bank SA. The inclusion of the net profit generated in 2024 as at 31 December, 2024 resulted in a change in the supervisory liquidity measure NFSR, as presented in the table above. Between 31 December 20 24 and 31 December 20 25, the regulatory liquidity measures were above the regulatory limits. The Group uses prudential consolidation for the purposes of calculating the LCR and NSFR ratio, which includes Alior Bank SA and Alior Leasing sp. z o.o. The stability of the deposit base As at 31 December 202 5 the balance of deposits over a 30 -day horizon was about 95.1% of the Bank's deposit base. As at 31 December 2024 the balance of deposits over a 30 -day horizon was about 95.1% of the Bank's deposit base. Financing structure The main source of financing for the Group is the deposit base, which as at 31 December 2025 amounted to approx. PLN 80 billion, which accounts for approx. 79% of the Group's liabilities. The deposit base is dominated by current accounts approx. 72% of the base, most of which (approx. 74%) are accounts of retail clients, compared to 26% of corporate clients. The remaining part of the deposit base, ie approx. 28%, are term deposits, including 69% term deposits of retail clients and 31% deposits of corporate clients. Liabilities to financial customers amount to approx. PLN 1.1 billion and constitute approx. 1% of liabilities. Own issues, worth PLN 2 billion, account for approx. 2% of liabilities. In the following years, the Group assumes a moderate increase in total assets and maintaining customer deposits as the main source of financing (in particular from individual customers).
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 2 Despite the predominance of current accounts in the deposit base, the diversification of these deposits in terms of the number and type of depositors and the Group's experience to date indicate that these accounts constitute a long-term and stable source of financing for the Group's operations. In 20 25 the Group’s liquidity condition w as at a safe level. The situation was closely monitored and maintained at a level adequate to the needs by adjusting the level of the deposit base and launching additional sources of financing depending on the development of lending and other liquidity needs, taking into account changing market and macroeconomic conditions. 45 Operational Risk 45.1 Description of risk Definition of the operational risk The operational risk is a risk of a potential loss occurrence due to inappropriateness or failure of internal processes, humans, and systems or external events. The operational risk covers the legal risk but does not include the reputational risk and the strategic risk. The objectives of operational risk management The objective of operational risk management in the Group is to maintain the operational risk at a safe and adequate level for the Group’s business, objectives, strategy and development, as well as acceptable by the Bank's Management Board and Supervisory Board. Operational risk management The Group has a formalised operational risk management system within which it prevents the occurrence of operational events and incidents and mitigates losses should the risk materialise. Operational risk management includes identification, measurement and assessment of operational risk, control, monitoring, reporting and management activities. The Bank implements uniform and consistent principles of operational risk management in subsidiaries and supervises the management of operational risk related to their operations. Identification of operational risk As part of operational risk identification, risk factors that significantly influence its level are identified. At the identification stage, various methods of obtaining information are used, including: • data on internal events and losses, • risk identification in processes, products, systems, contracts and business requests, • analysis of external operational risk events. Measurement and assessment of operational risk Measurement and assessment of operational risk is carried out using quantitative and qualitative measures and includes, among others: • the capital requirement for operational risk in accordance with the CRR, using the standardised approach (SMA) and prudential consolidation,
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 3 • estimation of internal capital for operational risk using the results of the internal model for the Bank, for the company Alior Leasing sp. z o.o. subject to prudential consolidation using the standardized approach (SMA), • the target and limit for operational risk costs, • business target for operational risk costs, • scenario analysis, • operational risk self- assessment of products, processes, systems, contracts and business requests, • valuation of actual and potential losses related to the identified ones events, • key risk indicators (KRI), • stress testing. Operational risk control The purpose of the control is to maintain the operational risk at the level acceptable to the Group. Operational risk control is performed on several levels: organizational units responsible for operational risk management in their areas, operational risk unit , the Operational Risk Committee, the Management Board, the Risk Committee of the Supervisory Board and the Supervisory Board. Risk control includes, collecting information on operational risk, exercising supervision over operational risk management and its level, accepting the results of operational risk management and implementing the adopted assumptions, analyzing cyclical reports in the area of operational risk and accepting the most important assumptions and verification of their implementation. Monitoring and reporting of operational risk Monitoring of operational risk is aimed at diagnosing areas requiring management actions. Monitoring enables the monitoring of the operational risk profile and ensures that the necessary information on operational risk is regularly provided to the management body. It is carried out on a continuous basis at the level of individual organizational units and by the operational risk unit as part of the ongoing analysis and supervision of the operational risk management process. The duty to monitor and mitigate operational risk in daily work applies to all employees and organisational units of the Bank. On an ongoing basis, the employees control the level of the operational risk in their processes and actively mitigate the risk, t aking actions to avoid/mitigate operational losses. They are responsible for ongoing registration of events and financial operational effects concerning their are as at operation and report the values of Key Risk Indicators (KRIs) versus the tolerance level for processes exposes to the operational risk. The results of operational risk monitoring are presented in reports addressed to the Operational Risk Committee, the Management Board, the Risk Committee of the Supervisory Board and the Supervisory Board. The reports present the level of operational risk and are prepared on a monthly, quarterly and annual basis. Reporting information on events and consequences of operational risk is performed for internal and external purposes. Information on operational risk supports the Group’s management system by taking it into account when making business decisions. The scope of management reporting on operational risk is
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 4 wide and cross -sectional, which makes it possible to properly assess the implementation of the risk management and control system and to take actions supporting this process. Management activities Based on the conducted identification, measurement and assessment, the Group undertakes adequate management actions aimed at shaping the operational risk management process and the level of this risk. Management activities include: • setting acceptable risk levels in the form of limits to reduce the risk, • making decisions on the use of tools supporting risk management, • issuing internal regulations regarding operational risk management, • organizational and procedural changes, including changes to existing processes or introduction of new ones, employee training necessary for the proper performance of operations, raising awareness of operational risk and methods of limiting its impact, • limitation of operational risk, including transfer, outsourcing and risk insurance, • avoiding operational risk. The Group, seeking to limit the risk of materialization of the effects of rare but potentially severe operational events, purchased a number of insurance policies. Mentioned policies included insurance in the scope of property (including electronic equipment), civil liability, fiscal liability and professional liability. The terms of individual policies were adapted to the scale and scope of the risk incurred. Those policies are not used as a mechanism limiting the amount of own funds requirements for operational risk or as a mitigating factor for the amount of internal capital for operational risk. 46 Capital Management Definition of the capital adequacy Capital adequacy is a process aimed at ensuring that the level of risk taken by the Bank and the Group as part of its operations remains covered with own funds and Tier 1 capital at a level consistent with the risk appetite and long -term capital objectives .The capital adequacy management process includes in particular: setting, monitoring and planning capital adequacy levels, including compliance with applicable regulations of supervisory authorities. Within its risk appetite, the Bank and Group determines the anticipated coverage levels of a potential unexpected loss for various risks, with equity and Tier 1 capital, as specified in Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms amending Regulation (EU) No. 648/2012 (as amended) (CRR Regulation), as well as individual risk types identified within the internal capital adequacy assessment process (ICAAP). The potential unexpected loss is determined with the regulatory capital with the methodology specified in the CRR Regulation and with the internal capital determined with the methods specified below. The process of capital management is supervised by the Bank's Supervisory Board, Management Board, Risk Committee of the Supervisory Board and the Capital, Assets and Liabilities Management Committee.
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 5 Capital adequacy metrics The core measures used in the Group for capital management are as follows: • total capital ratio and Tier 1 capital ratio, • value of regulatory capital requirement, • internal capital (ICAAP) and a coverage ratio of the internal capital with own funds. Total capital adequacy ratio The total capital ratio and Tier 1 ratio as at 31 December 2025 were calculated in accordance with Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and Regulation (EU) No 2024/1623 of the European Parliament and of the Council of 31 May 2024 amending Regulation (EU) No 575/2013 as regards requirements on credit risk, credit valuation adjustment risk, operational risk, market risk and the minimum capital threshold (“CRR3”) as well as other regulations im plementing “national options”, including the Banking Law Act of 29 August 1997 (as amended). For the purposes of calculating the consolidated financial result and the capital adequacy ratio in 202 5 prudential consolidation was applied – the consolidation covered Alior Bank SA and Alior Leasing sp. z o.o. In the opinion of the Bank's Management Board, the other subsidiary entities, not subject to prudential consolidation, are marginal for the Bank's c ore activity from the viewpoint of monitoring of credit institutions. The prudentially consolidated profit and loss account is prepared in compliance with the accounting principles applied by the Bank. 01.01.2025-31.12.2025 Interest income calculated using the effective interest method 6 400 995 Income of a similar nature 516 622 Interest expense -1 783 539 Net interest income 5 134 078 Fee and commission income 1 196 034 Fee and commission expense -312 481 Net fee and commission income 883 553 Dividend income 7 676 The result on financial assets measured at fair value through profit or loss and FX result 30 470 The result on derecognition of financial instruments not measured at fair value through profit or loss 19 664 measured at fair value through other comprehensive income 18 062 measured at amortized cost 1 602 Other operating income 105 378 Other operating expenses -185 314 General administrative expenses -2 283 658 Net expected credit losses -328 098 The result on impairment of non-financial assets -13 928 Cost of legal risk of FX mortgage loans -151 119 Banking tax -285 877 Gross profit/loss 2 932 825 Income tax -567 625 Net profit/loss 2 365 200
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 6 Equity for the purposes of the capital adequacy 31.12.2025 31.12.2024* 31.12.2024 Total equity for the capital adequacy ratio 10 515 442 9 741 870 9 417 913 Tier I core capital (CET1) 10 515 442 9 741 870 9 417 913 Paid-up capital 1 305 540 1 305 540 1 305 540 Supplementary capital 8 648 809 7 431 101 7 431 101 Other reserves 174 447 174 447 174 447 Current year's reviewed by auditor 557 943 1 243 278 925 473 Accumulated losses 78 455 48 421 48 421 Revaluation reserve – unrealised losses -139 524 -187 076 -187 076 Intangible assets measured at carrying value -449 910 -427 912 -427 912 Revaluation reserve – unrealised profit 420 997 220 816 220 816 Additional value adjustments - AVA -24 029 -22 451 -22 451 Other adjustments items -57 286 -44 294 -50 446 * On 11 April 2025, the Polish Financial Supervision Authority approved the inclusion of part of the net profit of the pruden tially consolidated Alior Bank SA Capital Group for 2024 in the Own Funds of the Alior Bank Capital Group. Including part of the net profit generated in 2024 as at 31 December 2024 resulted in an increase in own funds to the level of PLN 9,7 billion and a change in the coefficients, which is presente d in the table above. As at 31.12.202 5 and 31.12.2024 the Group's capital ratios remain at levels exceeding the minimum regulatory requirements and allow the Bank to operate safely. MREL The minimum requirements set by the Bank Guarantee Fund regarding own funds and liabilities subject to write-down or conversion ("MREL") applicable to the Group from 31.12.2023 are as follows: • in relation to TREA 15.36% (of the total risk exposure) • in relation to TEM 5.91% (of total exposure measure) As at 31 December 2025, the Group met the MREL requirements set out by the Bank Guarantee Fund. Analysis of regulatory capital requirement In the calculation process of its capital adequacy ratio, the Group analyses the level of regulatory capital requirement and the relation of equity to internal capital. The analysis consists of a comparison of actual values with the budgeted values and identification of reasons of potential differences (the scale of operations of the Bank and Group different than planned, in particular the volume of the loan portfolio or an assets risk profile different than planned). The equity of the Alior Bank Group exceeded the total capital requirement throughout 2025. Internal capital Within the ICAAP process, the Group identifies and assesses the materiality of all types of risk to which it is exposed in connection with its business. Material risk types as at 31 December 2025: • Credit risk – insolvency • Credit risk – sectoral concentration
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 7 • Credit risk – concentration to customers • Credit risk – currency concentration • Credit risk – collateral concentration • Operational risk • Liquidity risk • Interest rate risk in the banking book • Market risk • Settlement/delivery risk with a deferred settlement date • Model risk • Reputational risk • Business model risk • Capital risk • Leverage risk. For each risk identified as material. the Group allocates the internal capital with the use of the internal risk estimation models. The internal capital is estimated: • for the credit risk using the methodology of loss distribution in the loan portfolio, • on the basis of the ES methodology for the market risk, • for interest rate risk based on the economic value of capital measure, • on the basis of a liquidity gap model for the liquidity risk assuming a stress scenario , • estimating the Bank's internal capital for operational risk using the results of the internal model . The designated total internal capital is secured with the value of the available capital subject to appropriate security buffers. CRD IV/ CRR packet As at 31 December 20 25 the Group fully complied with the CRR Regulation in the sphere of capital management. including the calculations of equity and capital requirements for each type of risks. . Other 47 Events significant to the business operations of the Bank’s Group Adoption of the Strategy of Alior bank SA Capital Group for 2025-2027 On 24 March 2025, the Strategy of the Alior Bank SA Capital Group for 2025 -2027 "Alior Bank. Or nothing" was adopted by the Bank's Management Board and approved by the Bank's Supervisory Board. Impact of Equalization Tax Regulations (Pillar 2) The regulations regarding equalization taxation (the so-called global equalization tax, Pillar 2), resulting from the OECD's work as part of the BEPS 2.0 project, are intended to limit tax competition between countries and ensure a minimum global corporate income tax rate of 15%. These regulations apply to international and domestic capital groups with consolidated
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C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s o f A l i o r B a n k S A G r o u p f o r t h e y e a r e n d e d 3 1 D e c e m b e r 2 0 2 5 ( i n P L N ‘ 0 0 0) 1 5 8 revenues exceeding EUR 750 million in at least two of the four years preceding the given tax year. In Poland, the regulations implementing Pillar 2 were introduced by the Act of 6 November 2024, on equalization taxation of constituent entities of international and domestic groups, effective 1 January 2025 (Journal of Laws of 2024, item 1685). The PZU Group, together with the Bank and the Group's entities, meet the criteria for inclusion in the scope of these regulations. The parent company of Alior Bank announced that, based on available preliminary financial data for 2025, it had verified the feasibility of applying the so-called equalization tax. Temporary safe harbors for constituent entities located in all jurisdiction s where the PZU Group conducts business. For the Polish jurisdiction, the conditions for applying the temporary safe harbor CBC- R have been met, which means that the Bank and the Group entities will not be required to pay the domestic equalization tax for 2025. Information required in connection with Article 35 Section 1b of the Bonds Act The Bank as the issuer, pursuant to Article 35 Section 1b of the Bonds Act, is required to indicate and explain in each annual financial report published in the period from the date of issue to the date of redemption of bonds any significant differences between the published information conc erning the forecast of financial liabilities as of the last day of the financial year and the financial liabilities of the issuer resulting from the issuer's accounting records as of that day. Estimation 31.12.2025 Realization 31.12.2025 The value of Alior Bank's financial liabilities 86 703 836 88 792 028 Alior Bank's financing structure (value and percentage share of liabilities under credits and loans, issue of debt securities, leasing in total liabilities of the Issuer's balance sheet) 2 971 654 3.0% 2 644 607 2.6% The value of Alior Bank's financial liabilities was higher than estimated, mainly due to a higher level of amounts due to customers. The value of liabilities under credits and loans, issuance of debt securities and leasing of Alior Bank was lower than estimated, mainly due to a lower level of issuance of debt securities. The above information is not subject to audit. 48 Significant events after the end of the reporting period No significant events occurred after the end of the reporting period, except those described in these financial statements.