Interim report
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This document is a translation from the original Polish version. In case of any discrepancies between the Polish and English versions, the Polish version shall prevail. Interim Condensed Consolidated Financial Statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the third quarter of 2026 This document is a translation from the original Polish version. In case of any discrepancies between the Polish and English versions, the Polish version shall prevail.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 2 PLN ‘000 EUR ‘000 SELECTED FINANCIAL DATA Third quarter Third quarter accruals Third quarter Third quarter accruals period from 01.01.26 to 30.09.26 period from 01.01.25 to 30.09.25 period from 01.01.26 to 30.09.26 period from 01.01.25 to 30.09.25 Data related to the interim condensed consolidated financial statements Interest income and similar income 2,273,428 2,400,424 531,175 566,605 Fee and commission income 414,251 381,589 96,788 90,072 Profit before tax from continuing operations 1,457,818 1,612,754 340,612 380,681 Profit/(loss) from discontinued operations 19,610 (215,658) 4,582 (50,905) Net profit from continuing and discontinued operations 994,680 1,069,941 232,402 252,553 Comprehensive income 470,933 1,271,995 110,031 300,247 Net cash flows (6,619,378) 2,598,931 (1,546,584) 613,462 Assets classified as held for sale - 6,083,766 - 1,439,365 Total assets 67,796,599 78,849,009 15,524,043 18,654,981 Amounts due to banks 5,478,360 3,904,294 1,254,433 923,722 Amounts due to customers 48,796,724 38,429,419 11,173,458 9,092,062 Liabilities classified as held for sale - 22,294,494 - 5,274,681 Equity 9,216,178 10,042,307 2,110,317 2,375,921 Ordinary shares 522,638 522,638 119,673 123,652 Number of shares (in pcs) 130,659,600 130,659,600 130,659,600 130,659,600 Book value per share (PLN/EUR) 70.54 76.86 16.15 18.18 Total capital adequacy ratio (%) 24.31 23.50 24.31 23.50 Earnings per share (PLN / EUR) 7.64 8.20 1.79 1.94 Diluted earnings per share (PLN / EUR) 7.64 8.20 1.79 1.94 Data related to the interim condensed standalone financial statements Interest income and similar 2,273,428 2,400,424 531,175 566,605 Fee and commission income 414,251 381,589 96,788 90,072 Profit before tax from continuing operations 1,457,818 1,612,754 340,612 380,681 Profit/(loss) from discontinued operations 19,610 (215,658) 4,582 (50,905) Net profit from continuing and discontinued operations 994,680 1,069,941 232,402 252,553 Comprehensive income 470,933 1,271,995 110,031 300,247 Net cash flows (6,619,378) 2,598,931 (1,546,584) 613,462 Assets classified as held for sale - 6,083,766 - 1,439,365 Total assets 67,796,599 78,849,009 15,524,043 18,654,981 Amounts due to banks 5,478,360 3,904,294 1,254,433 923,722 Amounts due to customers 48,796,724 38,429,419 11,173,458 9,092,062 Liabilities classified as held for sale - 22,294,494 - 5,274,681 Equity 9,216,178 10,042,307 2,110,317 2,375,921 Ordinary shares 522,638 522,638 119,673 123,652 Number of shares (in pcs) 130,659,600 130,659,600 130,659,600 130,659,600 Book value per share (PLN / EUR) 70.54 76.86 16.15 18.18 Total capital adequacy ratio (%) 24.31 23.50 24.31 23.50 Earnings per share (PLN/EUR) 7.64 8.20 1.79 1.94 Diluted earnings per share (PLN / EUR) 7.64 8.20 1.79 1.94 Explanations to the table: 1) The impact of the IFRS 5 reclassification on the table is the same as in the statement of financial position and income statement. 2) Comparative data according to balance sheet and total capital ratio were presented as of 31 December 2025. 3) Additional information on TCR calculation has been described in the note no. 7 and “Information on capital adequacy of Bank Handlowy w Warszawie S.A. as at 30 September 2026” subject to publication on the Bank’s website. 4) The following exchange rates were applied to covert PLN to EUR: for the statement of financial position - NBP average exchange rate as at 30 September 2026 – 4.3672 (as at 31 December 2025: PLN 4.2267; as at 30 September 2025 – PLN 4.2692 ); for the income statement, a statement of comprehensive income and cash flow statement - the arithmetic mean of NBP end -of-month exchange rates in the I, II and III quarter of 2026 - PLN 4.2800 (in the I, II and III quarter of 2025: PLN 4.2365 ).
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 3 Contents Consolidated income statement ____________________________________________________ 5 Consolidated statement of comprehensive income ___________________________________ 6 Consolidated statement of financial position _________________________________________ 7 Consolidated statement of changes in equity ________________________________________ 8 Condensed consolidated statement of cash flows ____________________________________ 9 Supplementary notes to the interim condensed consolidated financial statements _ 10 1 General information about the Bank and the Capital Group ___________________ 10 2 Declaration of conformity ___________________________________________________ 10 3 Significant accounting policies _______________________________________________ 11 4 Assets and liabilities classified as held for sale and profit from discontinued operations __________________________________________________________________ 13 5 Macroeconomic conditions and the situation in money, foreign exchange and capital markets _____________________________________________________________15 6 Banking sector ______________________________________________________________ 17 7 Financial analysis of the results of the Capital Group of the Bank _______________18 8 Segment reporting _________________________________________________________ 26 9 Rating ______________________________________________________________________ 31 10 Financial instruments disclosure ____________________________________________ 32 11 Provision for expected credit losses on financial assets and provisions for off– balance sheet commitments ________________________________________________ 34 12 Deferred tax asset and provision ____________________________________________ 36 13 Acquisitions and disposals of tangible fixed assets ___________________________ 36 14 Default or breach of credit agree, meant in respect of which there were no corrective action until the end of the reporting period ________________________ 37 15 Seasonality or periodicity of business activity ________________________________ 37 16 Issue, redemption and repayment of debt and equity securities _______________ 37 17 Paid (or declared) dividends _________________________________________________ 37 18 Changes in granted financial and guarantee commitments ___________________ 38 19 Changes in Group’s structure _______________________________________________ 38 20 Fulfilment of 2026 forecast results __________________________________________ 38 21 Information about shareholders _____________________________________________ 38 22 Ownership of issuer’s shares by members of the Management Board and Supervisory Board __________________________________________________________ 39 23 Information on pending court proceedings ___________________________________ 39 24 Information about significant transactions with related entities on non-market terms _______________________________________________________________________ 41 25 Information about significant guarantee agreements __________________________ 41
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 4 26 Significant events after the balance sheet date not included in the financial statements _________________________________________________________________ 41 27 Factors and events which could affect future financial performance of the Bank’s Capital Group _______________________________________________________________ 41 Interim condensed standalone financial statements of the Bank for the third quarter of 2026 _____________________________________________________________________________ 42
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 5 Consolidated income statement III quarter III quarter accruals III quarter III quarter accruals PLN ‘000 For a period period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 CONTINUING OPERATIONS Interest income 729,298 2,077,395 707,617 2,137,308 Similar income 66,472 196,033 112,547 263,116 Interest expense and similar charges (316,081) (863,050) (303,940) (806,585) Net interest income 479,689 1,410,378 516,224 1,593,839 Fee and commission income 141,756 414,251 125,607 381,589 Fee and commission expense (25,380) (72,008) (19,841) (58,677) Net fee and commission income 116,376 342,243 105,766 322,912 Dividend income 759 14,936 941 12,454 Net gain/(loss) on trading financial instruments and revaluation 154,527 437,953 109,031 283,790 Net gain/(loss) on debt investment financial assets measured at fair value through other comprehensive income 5,337 227,458 19,229 164,644 Net gain/(loss) on equity investments and other at fair value through income statement 713 (11,593) 257 (5,942) Net gain/(loss) on hedge accounting 2,632 (2,421) (3,604) (1,917) Other operating income 14,456 35,118 4,182 14,545 Other operating expenses (10,503) (22,945) (9,763) (29,119) Net other operating income and expense 3,953 12,173 (5,581) (14,574) General administrative expenses (238,201) (762,151) (159,600) (586,398) Depreciation and amortization (9,487) (31,916) (10,082) (32,417) Profit on sale of other assets (55) 29,859 (20) 550 Provisions for expected credit losses on financial assets and provisions for contingent liabilities (29,568) (105,818) (19,553) (28,551) Tax on certain financial institutions (26,942) (103,283) (31,456) (95,636) Profit before tax from continuing operations 459,733 1,457,818 521,552 1,612,754 Income tax expense (152,619) (482,748) (110,121) (327,155) Net profit from continuing operations 307,114 975,070 411,431 1,285,599 Net profit /(loss) from discontinued operations (18,837) 19,610 57,980 (215,658) Net profit from continuing and discontinued operations 288,277 994,680 469,411 1,069,941 Including: Net profit attributable to Bank’s shareholders 994,680 1,069,941 Weighted average number of ordinary shares (in pcs) 130,118,267 130,559,448 Earnings per share (in PLN) 7.64 8.20 Diluted net earnings per share (in PLN) 7.64 8.20 Explanatory notes are an integral part of the interim condensed consolidated financial statements.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 6 Consolidated statement of comprehensive income PLN ‘000 For a period III quarter III quarter accruals III quarter III quarter accruals period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 Net profit from continuing and discontinued operations 288,277 994,680 469,411 1,069,941 Other comprehensive income, that is or might be subsequently reclassified to income statement: (369,926) (525,726) 100,977 202,054 Remeasurement of financial assets measured at fair value through other comprehensive income (net) (418,601) (402,676) 116,526 335,420 (Profit)/Loss reclassification to income statement after derecognition of financial assets measured at fair value through other comprehensive income (net) 48,606 (123,187) (15,576) (133,362) Currency translation differences 69 137 27 (4) Other comprehensive income, that cannot be subsequently reclassified to profit or loss - 1,979 - - Net actuarial profits on specific services program valuation - 1,979 - - Other comprehensive income net of tax (369,926) (523,747) 100,977 202,054 Total comprehensive income from continuing and discontinued activity (81,649) 470,933 570,388 1,271,995 Including: Comprehensive income attributable to Bank’s shareholders (81,649) 470,933 570,388 1,271,995 Explanatory notes are an integral part of the interim condensed consolidated financial statements.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 7 Consolidated statement of financial position as at 30.09.2026 31.12.2025 PLN ‘000 ASSETS Cash and cash equivalents 2,802,441 9,205,484 Amounts due from banks 9,248,281 8,245,819 Financial assets held-for-trading 4,090,481 4,823,372 Hedging derivatives 21 - Debt financial assets measured at fair value through other comprehensive income, including: 28,519,303 30,151,984 Assets pledged as collateral 3,628,989 49,130 Equity and other instruments measured at fair value through income statement 134,419 183,908 Amounts due from customers 20,775,518 18,222,892 Tangible fixed assets 328,764 446,980 Intangible assets 882,046 878,388 Current income tax receivables 275,565 - Deferred tax asset 107,303 221,703 Other assets 632,457 384,713 Assets classified as held for sale - 6,083,766 Total assets 67,796,599 78,849,009 LIABILITIES Amounts due to banks 5,478,360 3,904,294 Financial liabilities held-for-trading 2,418,914 2,690,099 Hedging derivatives 85,994 358,677 Amounts due to customers 48,796,724 38,429,419 Provisions 60,849 77,670 Current income tax liabilities 21 11,807 Deferred tax reserve 2 - Other liabilities 1,739,557 1,040,242 Liabilities classified as held for sale - 22,294,494 Total liabilities 58,580,421 68,806,702 EQUITY Ordinary shares 522,638 522,638 Share premium 3,001,262 3,001,262 Own shares (39,310) (27,311) Revaluation reserve (285,217) 240,646 Other reserves 4,615,045 4,650,124 Retained earnings 1,401,760 1,654,948 Total equity 9,216,178 10,042,307 Total liabilities and equity 67,796,599 78,849,009 Explanatory notes are an integral part of the interim condensed consolidated financial statements
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 8 Consolidated statement of changes in equity PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2026 522,638 3,001,262 (27,311) 240,646 4,650,124 1,654,948 10,042,307 Total comprehensive income, including: - - - (525,863) 2,116 994,680 470,933 Net profit - - - - - 994,680 994,680 Other comprehensive income: - - - (525,863) 2,116 - (523,747) Currency translation differences from the foreign operations’ conversion - - - - 137 - 137 Net valuation of financial assets measured at fair value through other comprehensive income - - - (525,863) - - (525,863) Net actuarial profits/(losses) on defined benefit program valuation - - - - 1,979 - 1,979 Equity awards program - - (11,999) - (5,990) - (17,989) Dividends paid - - - - (28,714) (1,250,359) (1,279,073) Transfer to capital - - - - (2,491) 2,491 - Balance as at 30 September 2026 522,638 3,001,262 (39,310) (285,217) 4,615,045 1,401,760 9,216,178 PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2025 522,638 3,001,260 (20,577) (64,868) 4,039,027 2,391,051 9,868,531 Total comprehensive income, including: - - - 202,058 (4) 1,069,941 1,271,995 Net profit - - - - - 1,069,941 1,069,941 Other comprehensive income: - - - 202,058 (4) - 202,054 Currency translation differences from the foreign operations’ conversion - - - - (4) - (4) Net valuation of financial assets measured at fair value through other comprehensive income - - - 202,058 - - 202,058 Equity awards program - - (6,734) - 3,646 - (3,088) Dividends paid - - - - (448,552) (1,342,777) (1,791,329) Transfer to capital - - - - 1,059,398 (1,059,398) - Balance as at 30 September2025 522,638 3,001,260 (27,311) 137,190 4,653,515 1,058,817 9,346,109 PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2025 522,638 3,001,260 (20,577) (64,868) 4,039,027 2,391,051 9,868,531 Total comprehensive income, including: - - - 305,514 (8,973) 1,666,344 1,962,885 Net profit - - - - - 1,666,344 1,666,344 Other comprehensive income: - - - 305,514 (8,973) - 296,541 Currency translation differences from the foreign operations’ conversion - - - - (46) - (46) Net valuation of financial assets measured at fair value through other comprehensive income - - - 305,514 - - 305,514 Net actuarial profits/(losses) on defined benefit program valuation - - - - (8,927) - (8,927) Equity awards program - - (6,734) - 8,953 - 2,219 Dividends paid - - - - (448,551) (1,342,777) (1,791,328) Transfer to capital - 2 - - 1,059,668 (1,059,670) - Balance as at 31 December 2025 522,638 3,001,262 (27,311) 240,646 4,650,124 1,654,948 10,042,307 Explanatory notes are an integral part of the interim condensed consolidated financial statements.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 9 Condensed consolidated statement of cash flows PLN ‘000 III quarter accruals III quarter accruals For a period period from 01.01.26 to 30.09.26 period from 01.01.25 to 30.0925 Cash at the beginning of the reporting period 9,421,899 5,794,361 Cash flows from operating activities 5,532,546 4,005,684 Cash flows from investing activities (12,068,872) (7,942) Cash flows from financing activities (83,052) (1,398,811) Cash at the end of the reporting period 2,802,521 8,393,292 Increase/(decrease) in net cash (6,619,378) 2,598,931 Explanatory notes are an integral part of the interim condensed consolidated financial statements.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 10 Supplementary notes to the interim condensed consolidated financial statements 1 General information about the Bank and the Capital Group Bank Handlowy w Warszawie S.A. (“parent company”, ”the Bank”, ”Citi Handlowy”) Head Office is located in Poland at Senatorska 16, 00-923 Warszawa. The Bank was established on the basis of Deed of foundation of 13 April 1870 and was registered and entered into the Register of Companies by the District Court for the capital city of Warsaw, XII Economic Department of the National Court Register. The Bank was registered under entry No. KRS 0000001538. Bank operates as a joint-stock company. During the reporting period the name of entity has not changed. Parent undertaking was granted statistical REGON No. 000013037 and tax identification No. (NIP) 526-030-02-91. The Bank and its subsidiaries are expected to continue the business activity for an unspecified period of time. Share equity of the Bank equals PLN 522,638,400 and is divided into 130,659,600 common shares, with nominal value of PLN 4.00 per share. The Bank is a listed company on the Warsaw Stock Exchange. The majority and strategic shareholder of the Bank is Citibank Europe Plc based in Dublin, Ireland – a company in the Citi Group (parent company of the Bank) . The ultimate parent is Citigroup Inc. located in Wilmington, Delaware, United States. Bank Handlowy w Warszawie S.A. is a commercial bank that offers a wide range of banking and brokerage services. As a result of the transaction described in Note 4, the Bank is focusing on development of its leading business – institutional banking. These interim condensed consolidated financial statements present financial data of the Capital Group of Bank Handlowy w Warszawie S.A. (‘the Group ”), that is composed of Bank Handlowy w Warszawie S.A. (‘the Bank ”) as the parent company and its subsidiaries entities. The Group consists of the following subsidiaries: Subsidiaries Registered office % of votes at the General Meeting of Shareholders 30.09.2026 31.12.2025 Entities fully consolidated Handlowy Financial Services Sp. z o. o. in liquidation Warsaw 100.00 100.00 Handlowy-Leasing Sp. z o.o. in liquidation (apart from indirect shareholding via Handlowy-Inwestycje Sp. z o.o. where the share in equity equals 2.53%).) Warsaw 97.47 97.47 Handlowy Investments S.A. Luxembourg 100.00 100.00 Handlowy-Inwestycje Sp. z o.o. Warsaw 100.00 100.00 In the third quarter of 2026 there was no change in the structure of Group’s entities comparing to the end of 2025. Due to the lack of a further investment strategy from Bank, as the sole shareholder, towards its subsidiaries: Handlowy Leasing Sp. z o.o. and Handlowy Financial Services Sp. z o.o., the liquidation proceedings for both entities were initiated in the first quarter of 2026, and the liquidation process continued through the second and third quarters of 2026. The liquidation is scheduled to be completed by the end of 2026. 2 Declaration of conformity The interim condensed consolidated financial statement of the Group covers the three - and nine-month periods ended September 30, 2026, and contains comparative data: • for the three - and nine-month periods ended September 30, 2025 – with respect to the consolidated income statement and consolidated statement of comprehensive income, • for the nine -month periods ended September 30 , 2025 – with respect to the consolidated statement of changes in equity and consolidated statement of cash flows, • as at December 31, 2025 – with respect to the consolidated statement of financial position. The interim condensed consolidated financial statements are presented in PLN (currency of presentation), rounded to the nearest thousand. These interim condensed consolidated financial statements have been prepared in accordance with International Accounting Standard IAS 34 Interim Financial Reporting (“IAS 34”), adopted by European Union and with other applicable regulations. The financial statements do not include all the information required for full annual financial statements and should be
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 11 read in conjunction with the consolidated financial statements of the Group for the financial year ended 31 December 2025. 3 Significant accounting policies The interim condensed consolidated financial statement s of the Group for the 9-month period ended 30 September 2026 have been prepared in accordance with accounting principles adopted and described in the annual consolidated financial statements of the Group for the financial year ended 31 December 2025, except for the income tax expense that was calculated according to the rules of IAS 34. The preparation of interim condensed consolidated financial statements of the Group with accordance to International Financial Reporting Standards requires that the Management should make certain estimates and adopt related assumptions that affect the amounts reported in the financial statements. These financial statements are based on the same estimation rules which were used in the annual consolidated financial statements of the Group for the financial year ended 31 December 2025 considering the sale transaction of the Bank's Retail Business described above and in the Note 4. The estimations and respective assumptions are made based on historical data available and multiple other factors which under given conditions are considered proper and which form the basis for estimation regarding balance sheet values of assets and liabilities whose value cannot be determined clearly based on other sources. Actual values may differ from estimation values. The estimations and respective assumptions are subject to recurring reviews. Changes of estimations are recognized in the period in which the estimation was modified if the adjustment concerns only this period or in the period of the change and future periods if the adjustment concerns both this period and the future periods. The key estimates were presented in the annual Consolidated Financial Statements of the Group for 2025. Additionally, with respect to interim financial statements, the Group applies the principle of recognizing the financial result income tax charges based on the estimate of the annual effective income tax rate expected by the Group in the full financial year. Standards applicable from 1 January 2026 • The amendments to IFRS 9 “Financial Instruments” and IFRS 7 “Financial Instruments: Disclosures” issued May 30, 2024, provide further clarification on: ✓ The timing of discontinuation of recognition of financial liabilities from the balance sheet, introducing a possibility for early derecognition of financial liabilities that are settled through an electronic payment system that meets specified in the standard criteria, ✓ How to assess the characteristics of contractual cash flows from “non-recourse” financial assets and financial assets in cases where contractual provisions refer to contingent events, including, for example, related to ESG objectives (for the purpose of classifying financial assets). The amendments to the aforementioned standards also introduce additional disclosure requirements for financial assets and liabilities whose contractual terms make cash flows contingent on contingent events and for equity instruments designated at fair value through other comprehensive income. Since January 1, 2026, the Bank adjusted its approach to the amended standard for selected outgoing international transfers that are executed with a date later than the order date. In such cases, the liability will be reduced when the obligation is execute d. This change affects the Liabilities and Cash and Cash Equivalents items in the Bank's statement of financial position. The impact of this change on the Bank's financial statements is variable and depends on the number and value of such transactions ordered on the balance sheet data (D) with an execution date after that date. • Due to the growing role of Power Purchase Agreements (PPAs) in mitigating the effects of climate change and decarbonizing production processes, the International Accounting Standards Board has introduced amendments to IFRS 9 “Financial Instruments” and IFR S 7 “Financial Instruments: Disclosures” (issued on 18 December 2024), which are intended to help better reflect the impact of such agreements on financial statements. In the Group's opinion, the change in the standard does not have a material impact on the financial statements. • On 18 July 2024, amendments to the International Financial Reporting Standards and International Accounting Standards (Volume 11) were issued, resulting from the annual review. These changes are intended to clarify the wording used in the standards, in ord er to improve their legibility, consistency and eliminate possible ambiguities. The changes introduced in this review relate to IFRS 1 ' First -time Adoption of International Financial Reporting Standards', IFRS 7 'Financial Instruments: Disclosures', IFRS 9 'Financia Instruments', IFRS 10 'Consolidated Financial Statements', IAS 7 "Statement of Cash Flows". "In the Group's opinion, the change in the standard does not have a material impact on the financial statements.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 12 Standards and interpretations issued but awaiting endorsement by the European Union and not yet obligatory • On May 9, 2024, the IASB issued IFRS 19 “Subsidiaries without Public Accountability: Disclosures”, which allows eligible subsidiaries to apply reduced information disclosure requirements, instead of the requirements of other IFRS Accounting Standards. Amen dments to this standard were published on August 21, 2025. The new standard will be applicable to the annual reporting periods beginning January 1, 2027, and the Group believes it will not have a significant impact on the financial statements. • On November 13, 2025, the International Accounting Standards Board published amendments to IAS 21, "The Effects of Changes in Foreign Exchange Rates." The amendments apply to entities whose presentation currency is the currency of a hyperinflationary econo my and whose functional currency or foreign operations currency is the currency of a non -hyperinflationary economy. The amendments provide guidance on the translation of assets, liabilities, equity items, and income and expenses from the functional currency of a non- hyperinflationary economy to the presentation currency of a hyperinflationary economy. The amendments will be effective for annual periods beginning on or after January 1, 2027. These amendments will have no impact on the Bank's financial statements. • On May 27, 2026, IASB issued IFRS a new standard, IFRS 20 “Regulatory Assets and Regulatory Liabilities”. The standard has been developed for companies engaged in rate -regulated activities and is intended to help investors in better understanding how rate regulation influences financial results, financial position and prospects for future cash flows of rate -regulated companies. IFRS 20 introduces uniform principles for recognizing the effects of timing differences in regulated rates, occurring in situatio ns where the timing of supply of regulated services differs from the timing of charging customers. In such cases, the revenue previously presented may not have fully reflected the company’s actual operating performance. The new standard requires disclosure of these differences in financial statements. The standard complements the requirements of IFRS 15 “Revenue from Contracts with Costumers” and replaces the existing IFRS 14 “Regulatory Deferral Accounts”, which has not been approved by European Union. The new standard is effective for annual reporting periods beginning on or after January 2029, with earlier application permitted. In Group’s assessment it will not affect the financial statement. • On the June 26, 2026, IASB published “Amendments to the Fair Value Option for Investments in Associates and Joint Ventures” explaining, which entities are permitted to measure investments in associates and joint ventures at fair value in accordance with IAS 28 “Investments in Associates and Joint Ventures”. The exemption from applying the equity method in IAS 28 permits eligible entities to elect to measure investments in associates and joint ventures at fair value through profit or loss (“the fair value op tion”). This election must be made separately for each associate or joint venture at initial recognition. These amendments address stakeholder concerns about diversity in practice when determining the scope of entities eligible to apply the fair value option. This diversity has become increasingly important because measurement at fair value versus the equity method affects the classification of income and expenses in the statement of profit or loss, in either the operating or investing category, in accordan ce with IFRS 18 “Presentation and Disclosure in Financial Statements”. The new standard is effective for annual reporting periods beginning on January 1, 2027. In Group’s assessment it will not affect the financial statement. Standards and interpretations issued but awaiting endorsement by the European Union but not yet obligatory • IFRS 18 Presentation and Disclosure in Financial Statements was published in April 2024 and will replace IAS 1 effective January 1, 2027. The new standard introduces changes to the presentation of financial information, particularly in the statement of prof it or loss, the statement of cash flows, as well as a requirement for additional disclosures regarding Management-Defined Performance Measures (MPMs). The standard does not change the recognition and measurement principles for assets and liabilities and has no impact on the financial result (net profit/loss). In particular, the standard introduces a new structure for the statement of profit or loss. Items in the statement of profit or loss will be classified into one of five categories: Operating, Investing, Financing, Income taxes, Discontinued operations. The Group is currently conducting implementation work, including an assessment of the standard's impact on the financial statements, comparative figures, and the scope of required disclosures. Based on the analyses performed, the Group expects that the ado ption of the standard will primarily affect the presentation of selected line items in the statement of profit or loss and the statement of cash flows, including new required subtotals, the classification of selected items of income and expense, and the pr esentation of Management- Defined Performance Measures. The detailed impact will be confirmed in the course of further work on implementing the requirements of the new standard.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 13 Income tax in interim financial statements Income tax in interim financial statements is accrued in accordance with IAS 34. Interim period tax expense is accrued using the tax rate that would be applicable to expected total annual result, that is, the estimated average annual effective income tax rate applied to the pre-tax result of the interim period. The calculation of the average annual effective income tax rate requires the use of a pre -tax income forecast for the entire fiscal year and permanent differences between the carrying amounts of assets and liabilities and their tax base. Foreign currency The statement of financial position and contingent liabilities received and granted denominated in foreign currencies are converted to PLN equivalents using the average exchange rate of the currency determined by the Governor of the National Bank of Poland (“NBP”) prevailing at the date of preparation of the statement of financial position. Foreign currency transactions are converted at initial recognition to the functional currency (PLN) using the exchange rates prevailing at the date of transactions. Foreign exchange profits and losses resulting from revaluation of the statement of financial position items denominated in foreign currencies and settlement of transactions in foreign currencies are included in net profit on foreign exchange, within the trade financial instruments and revaluation income. The exchange rates of the major currencies applied in the preparation of these financial statements are: PLN 30 September 2026 31 December 2025 30 September 2025 1 USD 3.8449 3.6016 3.6315 1 CHF 4.6182 4.539 4.5616 1 EUR 4.3672 4.2267 4.2692 4 Assets and liabilities classified as held for sale and profit from discontinued operations On the June 12, 2026 („Division Date”) the competent registry court has made an entry in the Register of Entrepreneurs of the National Court Register (“Division”) by demerger of Retail Banking Segment (“Retail Banking”) to VeloBank S.A. (“VeloBank”) The division was carried out in form of separation in accordance with procedure described in Article 529 § 5 point 1 Code of Commercial Companies. As a result of the Division the Bank acquired 744,843 registered ordinary shares type C of the VeloBank . In accordance with the agreement concerning the Division entered into on May 27, 2025, between the Bank, VeloBank, Promontoria Holding 418 B.V (sole shareholder of VeloBank) (“Promontoria”) and Citibank Europe Plc. the Bank without undue delay on June 12, 2026, sold 744,843 shares of VeloBank to Promontoria i.e. all of the shares acquired by the Bank as a result of the Division. By virtue of the sale of VeloBank’s shares, Promontoria has affected payment to the Bank in the amount of sale price including: (i) fixed price component equaling PLN 430 million, calculated based on Retail Business Segment net assets according to their estimated value on the division date, which was recognized in the Bank results for II quarter of 2025, (ii) the variable sale price component amounting to PLN 100 million, which was recognized in results of the Group for II quarter of 2026. The sale agreement contains provisions for the granting of indemnities, up to specified caps, by the Bank in respect of certain identified risks, which in the future might result in creation of contingent liabilities or provisions. The settlement of the sale transaction presented in herein financial statements is based on balance sheet position values from the day of the transfer. Due to the buyer’s right to verify the closing balance and submitting remarks to the final transaction settlement, the final gain/loss on disposal will be accounted for in the annual financial statements and will not significantly deviate from the result included in these financial statements. In the result of the transaction the Group has derecognized assets and liabilities from the balance sheet that were previously categorized as held for sale. Assets and liabilities disposed of in accordance with the agreement on the Division as of the Division Date i.e. June 12, 2026, and as of December 31, 2025:
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 14 PLN ‘000 12.06.2026 31.12.2025 Cash and cash equivalents 160,390 216,403 Financial assets held-for-trading - 3,731 Amounts due from customers 5,861,380 6,168,098 Tangible fixed assets 53,780 46,882 Deferred income tax asset 40,055 57,016 Other assets 46,338 58,636 Total assets 6,161,943 6,550,766 Amounts due to customers measured at amortized cost 20,746,544 22,152,903 Provisions 22,272 23,289 Other liabilities 118,874 118,302 Total liabilities 20,887,690 22,294,494 Net assets and liabilities (excluding surplus liquidity) (14,725,746) (15,743,728) Surplus liquidity 15,621,207 16,642,728 Net assets and liabilities (including surplus liquidity) 895,460 899,000 The values do not include impairment related to the group of assets which were not allocated to specific assets held for sale. Revaluation of assets and liabilities held for sale to fair value in the amount PLN 467 million as per December 31, 2025, has been removed from the balance sheet as upon the sale of assets and liabilities held for sale. The settlement of the transaction consists of: • the surplus liquidity transferred as cash in the amount of PLN 12,538 million and debt instruments in the amount of PLN 3,082 million; • received price of the sale in the amount of PLN 530 million; • cash and cash equivalents transferred as part of net assets in the amount of PLN 160.4 million. The cash transferred as well as the cash received from the future payment of the purchase price are presented in the cash flow statement under investing activities, whereas the value of the debt instruments transferred was recognized under operating activities. The analysis of the results on discontinued operations is presented below: III quarter III quarter accruals III quarter III quarter accruals period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 In PLN thousand Interest and - 470,135 315,665 980,015 Similar income - 45 26 188 Interest expense and similar expenses - (136,028) (98,868) (289,275) Net interest income - 334,152 216,823 690,928 Fee and commission income - 97,224 57,766 164,256 Fee and commission expense (379) (25,035) (11,898) (37,941) Net fee and commission income (379) 72,189 45,868 126,315 Net income from trading financial instruments and revaluation - 12,645 8,040 24,775 Other operating income - 3,907 813 4,063 Other operating expenses (7) (12,986) (4,485) (16,648) Net income from other operating income and expenses (7) (9,079) (3,672) (12,585) General and administrative expenses (18,475) (411,654) (189,314) (604,407) Depreciation of property, plant and equipment and intangible assets 24 (480) (138) (5,311) Net income from the sale of other assets - 274 (36) (518) Net income from expected credit losses on financial assets and provisions for contingent liabilities - (3,105) (2,851) 8,834 Tax on some financial institutions - (25,132) (12,381) (39,177) Profit/(loss) before tax (18,837) (30,190) 62,339 188,854
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 15 III quarter III quarter accruals III quarter III quarter accruals period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 Income Tax - (16,962) (3,765) (23,107) Net profit/(loss) (18,837) (47,152) 58,574 165,747 Remeasurement of assets and liabilities to be disposed of at fair value less costs to sell - 94,717 2 (470,135) Tax effect of remeasurement of assets and liabilities held for sale - (27,955) (596) 88,730 Net profit/(loss) from discontinued operations (18,837) 19,610 57,980 (215,658) Including Net profit/(loss) from discontinued operations due to shareholders of the parent entity (in thousands) 19,610 (215,658) Weighted average ordinal shares (in units) 130,118,267 130,559,448 Net profit/loss from discontinued operations per one share (in PLN) 0.15 (1.65) Diluted earnings/loss from discontinued operations per one share (in PLN) 0.15 (1.65) *Revaluation of assets and liabilities held for sale to fair value reduced by the price of sale in the amount of PLN 95 million in 2026 include the variable component and correction of net assets resulting from sale transaction agreement. The result on discontinued operations in third quarter of 2026 was mainly impacted by expenses driven by decommissioning of retail systems. The value of the interest income from discontinued operations includes interest income and expenses from transactions with Retail Segment clients. Due to the fact that in the Retail Banking Segment there was a surplus of deposits over the segment's assets, these funds were invested by Corporate Banking. After the transaction is settled and the Group exits Retail Banking, the Group will no longer have a surplus and thereby will not be able to invest it. In the Management Board's opinion, presenting the interest income on the excess of deposits over assets in Retail Banking as an element of discontinued operations provides information that is therefore relevant to the recipients of the financial statements. The Group eliminated internal transactions entered be fore the settlement of the exit transaction (internal interest income and interest expense) from continuing operations. The Bank determined the level of interest income/net interest income generated by the Corporate Banking segment for the Retail Banking Segment based on this surplus using the formally adopted internal transfer rate methodology between the mentioned segment s and presented it separately in Note 7 (Adjustment for excess liquidity related to discontinued operations). The internal transfer rate system is based on market rates at the relevant dates. For products with fixed maturities, rates corresponding to the m aturities are selected, while for products with undefined schedules, these rates are adjusted based on behavioral assessments (primarily O/N or 1Y). 5 Macroeconomic conditions and the situation in money, foreign exchange and capital markets 1. Macroeconomic conditions and the situation in money and foreign exchange markets The Group forecasts that in 2026, GDP growth momentum will remain strong, exceeding 3.5% YoY, despite the rise in energy commodity prices observed this year. Industrial production, following a 4.7% YoY increase in the second quarter of 2026, grew by 4.5% YoY in the third quarter of 2026. During the first two months of the third quarter of 2026, exports and imports rose by an average of 12.1% and 13.7% YoY, respectively. Meanwhile, construction and assembly output declined by 2.1% YoY in the third quarter of 2026, compared to a 4.6% increase in the second quarter of 2026. The labor market situation remains stable. Wages in the enterprise sector increased by 6.1% YoY in the third quarter of 2026, compared to 5.7% YoY in the second quarter of 2026. Amid rising inflation, the growth in real wages was slightly lower than in the previous quarter, averaging 2.5% YoY in the third quarter of 2026, compared to 2.7% in the second quarter of 2026. In the third quarter of 2026, retail sales grew by 4.1% YoY, compared to 3.7% YoY in the second quarter of 2026. Meanwhile, the registered unemployment rate in August 2026 remained at the same level as in June 2026, standing at 5.8%.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 16 Source: Chief Statistical Office, Citi Handlowy forecast The increase in commodity prices on global markets resulting from the tense political situation also affects inflation in Poland. Prices of consumer goods and services in the third quarter of 2026 increased by an average of 3.5% YoY compared to 2.9% YoY in the second quarter of 2026. Net inflation, which is calculated after eliminating food, fuel and energy prices, increased in the third quarter of 2026 to 3.2% YoY from 3.0% YoY in the second quarter of 2026. Throughout 2026, the Group expects inflation to remain above the upper limit for deviations from the NBP target, even despite the reduction in VAT and excise duty on fuels. Due to the increased uncertainty regarding the inflation outlook, in the third quarter the Monetary Policy Council kept interest rates unchanged. Due to persistent geopolitical uncertainty and the tightening of monetary policy by major central banks, the domestic currency depreciated in the third quarter of 2026, by the end of that quarter, the EUR/PLN and USD/PLN exchange rates had risen by 1.7% and 2.0%, respectively, compared to the end of the second quarter of 2026. A high fiscal deficit in Poland, combined with a marked rise in yields in the US market, influenced the pricing of Polish government securities. By the end of September 2026, the yield on 2-year Polish government bonds had risen by 82 bps to 4.90% compared to the end of June 2026. Over the same period, the yield on 5 -year bonds increased by 125 bps to 5.97%, while the yield on 10 -year bonds rose by 106 bps to 6.34%. The 3M WIBOR rate remained unchanged from its level at the end of June 2026, standing at 3.85% at the end of September 2026. 2. Capital market situation In the third quarter of 2026, the Warsaw stock exchange showed no signs of slowing down, remaining one of the best-performing markets globally for the year. Large and mid -cap companies saw significant gains, with the WIG20 index rising by 16.57% QoQ and the mWIG40 by 11.98% QoQ. WIG20 surpassed its previous 2007 peak and continued to climb. Meanwhile, the broad -market WIG index grew by 16.03% QoQ. In terms of se ctors, the WIG.MS-ECM index (comprising the five most liquid companies in the wholesale, e -commerce, and retail chain sectors) posted the strongest growth at 29.67% QoQ, followed by the apparel sector (WIG-Odzież) with a 27.37% QoQ increase, and the energy sector (WIG-Energia) with a 21.79% QoQ gain. Conversely, the weakest performance was recorded by the food sector index (WIG -Spożywczy), which fell by 7.6% QoQ, while the construction (WIG - Budownictwo) and real estate (WIG-Nieruchomości) indices each saw declines of slightly over 3% QoQ. The bull market has contributed to an increase in interest in the stock exchange among Polish investors. According to data from the Central Securities Depository of Poland (KDPW), the number of accounts held with domestic institutions has surpassed 3 million. It took just 19 months for the number of accounts to grow from 2 million to 3 million, whereas the increase from 1 million to 2 million took as long as 16 years. In the third quarter of 2026, the Warsaw Stock Exchange (GPW) outperformed several major global indices. The S&P 500 rose by only 2.03% QoQ, the NASDAQ by 0.44% QoQ, while the Dow Jones fell by 2.7% QoQ. The MSCI World index increased by 2.13% QoQ, whereas the MSCI EM index declined by 0.34% QoQ. The European STOXX 600 index recorded a 0.69% QoQ decrease. Consequently, in the third quarter of 2026, the Polish market moved in a direction contrary to the global trend. Despite a decrease in the intensity of the conflict between the US/Israel and Iran, maritime traffic in the region has been further constrained by an escalation from the Houthis in the Bab al -Mandab Strait. Rising fuel prices serve as a strong pro -inflationary catalyst. Central banks, led by the ECB and the Federal Reserve, are raising interest rates. The weakening of the Polish zloty against the US dollar has further driven up fuel prices in Poland, intensifying inflationary pressure. A potential interest rate hike by the National Bank of Poland (NBP) could curb gains on the Warsaw Stock Exchange (GPW) or even lead to a decline.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 17 Equity market indices Index 30.09.2026 30.06.2026 Change (%) QoQ 30.09.2025 Change (%) YoY WIG 157,384.98 135,646.96 16.03% 106,363.86 47.97% WIG-PL 162,914.25 140,905.31 15.62% 110,983.53 46.79% WIG-div 3,313.60 2,811.27 17.87% 2,383.18 39.04% WIG20 4,181.83 3,587.42 16.57% 2,827.17 47.92% WIG20TR 9,625.87 8,137.14 18.30% 6,242.92 54.19% WIG30 5,293.84 4,556.97 16.17% 3,665.35 44.43% mWIG40 10,577.03 9,445.48 11.98% 7,756.83 36.36% sWIG80 30,616.46 30,586.39 0.10% 29,969.86 2.16% Sector sub-indices WIG-Banks 28,428.96 23,779.17 19.55% 16,369.15 73.67% WIG-Construction 9,970.55 10,341.11 (3.58%) 8,098.00 23.12% WIG-Chemicals 7,801.01 7,824.00 (0.29%) 7,780.68 0.26% WIG- Energy 5,148.58 4,227.39 21.79% 4,298.68 19.77% WIG-Games 21,623.18 19,420.85 11.34% 23,061.34 (6.24%) WIG- Mining 10,501.54 10,447.53 0.52% 5,208.98 101.60% WIG-IT 10,909.22 9,079.33 20.15% 9,651.89 13.03% WIG-Medicines 2,850.40 2,877.82 (0.95%) 3,218.79 (11.44%) WIG-Media 8,146.54 7,225.88 12.74% 6,196.14 31.48% WIG-Automotive 13,272.42 11,351.74 16.92% 8,261.41 60.66% WIG- Developers 5,925.59 6,110.23 (3.02%) 5,428.50 9.16% WIG-Clothing 14,281.47 11,212.91 27.37% 12,344.08 15.69% WIG- Fuel 18,182.08 15,741.55 15.50% 10,158.88 78.98% WIG -Food 2,983.97 3,229.55 (7.60%) 2,902.76 2.80% Source: WSE, Brokerage Department of Bank Handlowy. In the third quarter of 2026, Robyg, which was delisted from the stock exchange in 2018, debuted on the Main Market of the Warsaw Stock Exchange. A total of 402 companies were listed, including 19 foreign ones. The total capitalization of the companies amounted to PLN 3,588.35 billion, of which 47.9% were domestic companies. Equity and bond trading value and derivatives trading volumes on WSE Q3 2026 Q2 2026 Change (%) QoQ.2) Q3 2025 Change (%) YoY.2) Shares (PLN million) 1) 336,932 303,419 11.05% 227,044 48.40% Bonds (PLN million) 4,074 3,800 7.21% 4,599 (11.42%) Futures (in thousand contracts) 5,131 5,393 (4.86%) 4,690 9.40% Options (in thousand contracts) 84,398 84,802 (0.48%) 84,888 (0.58%) 1) excluding calls 2) differences may result from rounding Source: WSE, Brokerage Department of Bank Handlowy. 6 Banking sector According to data published by the National Bank of Poland, a significant acceleration in growth was recorded at the end of August 2026, both in the area of loans to non -financial companies and loans to households. The volume of credit extended to non-financial companies increased by 8.5% YoY (PLN 37.3 billion), surpassing the level of PLN 477 billion. The strongest growth was observed in real estate loans (+25.9% YoY, PLN 16.4 billion). Meanwhile, the volume of investment loans grew by 7.0% YoY (PLN 11.7 billion), while the volume of current (working capital) loans showed the slowest growth, at +4.4% YoY (PLN 9.1 billion). At the same time, the volume of foreign -currency loans grew at a rate nearly three times higher (+14.9%) than that of loans denominated in the Polish zloty (+5.7% YoY). In terms of maturity structure, the volume of medium -term (1 to 5 years) and long -term (over 5 years) loans grew significantly faster—by 9.6% YoY and 9.8% YoY, respectively. In contrast, the volume of loans with a maturity of up to one year saw relatively slow growth, at just 3.9% YoY.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 18 By the end of August 2026, the balance of receivables from households had risen to nearly PLN 869 billion (+7.3% YoY, or PLN 58.8 billion). The ongoing decline in the volume of foreign -currency mortgage loans ( -31.4% YoY, or PLN 14.8 billion) remained the primary factor dampening the growth rate of the overall portfolio. At the same time, the volume of real estate loans denominated in Polish zlotys increased by 10.3% YoY (PLN 48.4 billion). A similarly high growth rate was recorded for consumer loans (+10.0% YoY, or PLN 22.2 billion). Meanwhile, the volume of working capital/current - account-style loans for individual entrepreneurs and farmers grew by only 3.1% YoY (PLN 1.4 billion), while investment loans increased by 2.3% YoY. The dynamics of household loan volumes, broken down by maturity, followed a pattern similar to that observed in the corporate segment. The strongest growth was recorded for medium -term loans (with a maturity of 1 to 5 years), which increased by 8.3% YoY; long-term loans (with a maturity of over 5 years) performed only slightly less strongly, with their volume rising by 7.5% YoY. Meanwhile, loans with a maturity of up to one year and those linked to current accounts remained virtually unchanged (+0.4% YoY). The quality of the credit portfolio in the banking sector is at an all -time high. The share of non-performing loans (Stage 3) for both individual customers and non -financial companies is near the lowest levels ever recorded. As of the end of August 2026, only 6.6% of loans to non -financial companies were more than 90 days past due. This figure is nearly identical to that of 12 months prior; however, there has been a deterioration in the quality of loans to large enterprises (an increase of 0.5 percentage points YoY, reaching 7.1%), contrasted by an improvement in the quality of loans to small and medium-sized enterprises (a decrease of 0.4 percentage points YoY, to 6.4%). During the same period, the share of Stage 3 loans for households improved by 0.5 percentage points YoY, falling to 3.3%, driven primarily by consumer loans (down 0.7 percentage points YoY to 5.2%) as well as better repayment timeliness for mortgage loans (down 0.3 percentage points YoY to 1.2%). Overall, the quality of the banking sector’s credit portfolio , including the public sector, as measured by the share of Stage 3 loans within the total credit portfolio, stood at 4.3%, representing a YoY decrease of 0.1 percentage points. The growth rate of household deposits remained at approximately +10% YoY, similar to the level seen at the end of August 2025, while the growth rate for non-financial corporate deposits accelerated slightly to +12.0% YoY. As a result, the volume of deposits from this client segment reached nearly PLN 635 billion. Although the growth rate for term deposits (+16.4% YoY) was higher than that for current deposits (+10.0% YoY), the absolute increase was greater in the latter category (PLN 35 billion for term deposits versus PLN 33 billion for current deposits). For households, the increase in deposit volume was driven primarily by current deposits (+13.1% YoY, or PLN 130 billion), whereas the volume of term deposits at the end of August 2026 was only 1.6% higher YoY, an increase of PLN 7 billion compared to the end of August 2025. The total volume of current deposits reached nearly PLN 1,539 billion. According to available data, the banking sector generated a net profit of slightly over PLN 29 billion between January and August 2026 - a decrease of 12% (PLN 4 billion) compared to the same period the previous year. The primary factor driving this decline in bank earnings was an increase in the corporate income tax (CIT) rate, which caused the total income tax paid to rise by 45% YoY, amounting to an additional PLN 5 billion. At the same time, the sector managed to achieve a slight improvement in revenue (reaching PLN 96 billion, up 2% YoY), driven largely by higher commission income and a reduction in the impact of legal costs, specifically those related to the Swiss franc, denominated mortgage portfolio - on other revenues and expenses. The main component of revenue, net interest income, remained virtually unchanged - the downward pressure from falling interest rates was successfully offset by an increase in business volume and a reduction in interest expenses. Driven by a higher contribution to the Compulsory Restructuring Fund , which weighed on Q1 2026 results , as well as rising personnel costs, the growth rate of administrative expenses (+8.4% YoY, reaching PLN 3 billion) significantly outpaced revenue growth. This led to a deterioration in the sector’s cost efficiency, with the cost -to-income ratio exceeding 40%, compared to 38% in the same period of the previous year. On the other hand, the aforementioned decline in costs related to foreign-currency mortgage loans also resulted in lower levels of credit provisions and write-offs. 7 Financial analysis of the results of the Capital Group of the Bank 1. Consolidated statement of financial position At the end of the third quarter of 2026 total assets stood at PLN 67.8 billion, down by PLN 11.1 billion (or 14.0%) compared to the end of 2025. In terms of assets, the biggest nominal changes in the balance sheet took place in the line: cash and cash equivalents, which decreased by PLN 6.4 billion (or 69. 6%) compared to the end of 2025 and assets held -for-sale and assets in disposal groups held -for-sale which decreased by PLN 6.1 billion (i.e. 100.0%) due to the completion of retail sales transaction. The largest share in total assets at the end of the third quarter of 202 6, amounting to 42.1%, was held by investment debt financial assets, the balance of which decreased by PLN 1.6 million (i.e. 5.4%) compared to the end of 2025. In the third quarter of 2026 total net amounts due from customers constituted the second largest share in the Group's asset structure, their share in total assets was 30.6%. The value of net amounts due from customers amounted to PLN 20.8 billion as at the end of September 2026, up by PLN 2.5 billion or 13.9% as compared to the end of 2025 (excluding receivables classified as held for sale ). This increase amounted to PLN 1.6 billion or 9.6% (excluding receivables related
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 19 to collateral deposits and receivables from purchased securities under a resale agreement, which are classified as amounts due from customers). Amounts due from customers PLN ’000 30.092026 31.12.2025 Change PLN ‘000 % Amounts due from financial sector entities, including: 8,856,432 6,448,941 2,407,491 37.3% Loans, placements and advances, debt financial assets unlisted and deposits pledged as collateral 7,791,484 6,438,061 1,353,423 21.0% Receivables related to reverse repo transactions 1,064,948 10,880 1,054,068 - Amounts due from non-financial sector entities 11,919,086 17,941,811 (6,022,725) (33.6%) Total receivables from customers 20,775,518 24,390,752 (3,615,234) (14.8%) Data as of December 31, 2025, includes assets included in the disposal group classified as held for sale in the amount of PLN 6,168,098 thousand. Information regarding discontinued operations is presented in Note 4 “Assets and liabilities classified a s held for sale and profit from discontinued operations” Amounts due from customers as per credit risk classification PLN ’000 30.09.2026 31.12.2025 Change PLN ‘000 % Receivables not impaired (Stage 1), including 18,787,860 21,921,681 (3,133,821) (14.3%) financial institutions 8,734,058 6,290,291 2,443,767 38.8% non-financial sector entities 10,053,802 15,631,390 (5,577,588) (35.7%) Receivables not impaired (Stage 2), including 1,646,085 2,377,710 (731,625) (30.8%) financial institutions 7,614 169,504 (161,890) - non-financial sector entities 1,638,471 2,208,206 (569,735) (25.8%) Receivables impaired (Stage 3), including: 671,681 596,448 75,233 12.6% non-financial sector entities 159,825 - 159,825 - Purchased or originated credit-impaired loans: 225 18,127 (17,902) (98.8%) non-financial sector entities 225 18,127 (17,902) (98.8%) Total gross loans to customers, including: 21,105,851 24,913,966 (3,808,115) (15.3%) financial institutions 8,901,497 6,459,795 2,441,702 37.8% non-financial sector entities 12,204,354 18,454,171 (6,249,817) (33.9%) Provisions for expected credit losses (330,333) (523,214) 192,881 (36.9%) Total net amounts due from customers 20,775,518 24,390,752 (3,615,234) (14.8%) Impairment provisions coverage ratio 41.8% 65.9% Non-performing loans ratio (NPL)* 3.2% 2.5% *The ratio of non -performing loans is defined as the ratio of Receivables impaired and Purchased or originated credit-impaired loans to total gross loans to customers Data as of December 31, 2025, includes assets included in the disposal group classified as held for sale in the amount of PLN 6,168,098 thousand. Information regarding discontinued operations is presented in Note 4 “Assets and liabilities classified a s held for sale and profit from discontinued operations”
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 20 At the end of the third quarter of 2026 total liabilities amounted to PLN 58.6 billion, down by PLN 10.2 billion (i.e. 14.9%) compared to the end of 202 5. The largest nominal decrease was recorded in liabilities in disposal groups held -for-sale (decrease of PLN 22.3 billion compared to the end of 2025 due to the realization of the sale of retail banking. In the third quarter of 2026 amounts due to customers were the dominant source of financing of the Group’s activity (72.0% of the Group’s liabilities and equity) and as at September 30, 2026 they reached PLN 48.8 billion, i.e. up by PLN 10.4 billion or 27.0% as compared to the end of 2025. Amounts due to customers PLN ’000 30.09.2026 31.12.2025 Change PLN ‘000 % Current accounts, including: 23,303,297 37,013,497 (13,710,200) (37.0%) financial sector entities 3,833,176 3,356,648 476,528 14.2% non-financial sector entities 19,470,121 33,656,849 (14,186,728) (42.2%) Term deposits, including: 21,233,411 23,213,888 (1,980,477) (8.5%) financial sector entities 3,446,953 2,657,059 789,894 29.7% non-financial sector entities 17,786,458 20,556,829 (2,770,371) (13.5%) Total customers deposits 44,536,708 60,227,385 (15,690,677) (26.1%) Other amounts due to customers 4,260,016 354,724 3,905,292 1100.9% Total amounts due to customers 48,796,724 60,582,109 (11,785,385) (19.5%) Data as of December 31, 2025, include liabilities in disposal groups held for sale in the amount of PLN 22,152,903 thousand. Information on discontinued operations disclosed in Note 4 “Assets and liabilities classified as held for sale and profit from discontinued operations”. The deposit volumes of corporate clients and financial sector clients as of the end of the third quarter of 202 6 amounted to PLN 44.5 billion, up by PLN 4.9 billion (i.e. 12.3%) compared to the end of 2025. The increase mentioned above concerned mainly term deposits of corporate clients. Loan-to-deposit ratio amounted to 40% at the end of September 2026 comparing to 41% as at December 31, 2025, and comparing to 40% as at September 30, 2025.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 21 2. Consolidated income statement In the third quarter of 2026 the Group delivered a consolidated net profit of PLN 288.3 million, which means a decrease by PLN 181.1 million (i.e. 38.6%) compared to the third quarter of 2025. The lower net profit was mainly influenced by higher operating and general administrative expenses, the recorded net loss on discontinued operations and higher tax burden due to an increase in the income tax rate. Net interest income PLN ‘000 01.07 – 30.09.2026 01.01 – 30.09.2025 Change PLN ‘000 00 % Interest income 729,298 869,029 (139,731) (16.1%) Financial assets measured at amortized cost 370,388 381,419 (11,031) (2.9%) Balances with the Central Bank 25,831 34,930 (9,099) (26.0%) Amounts due from banks 95,798 89,195 6,603 7.4% Amounts due from customers, in respect of: 248,759 257,294 (8,535) (3.3%) financial sector 105,221 88,972 16,249 18.3% non-financial sector 143,538 168,322 (24,784) (14.7%) Financial assets measured at fair value through comprehensive income 358,910 487,610 (128,700) (26.4%) Debt investment financial assets measured at fair value through comprehensive income 358,910 487,610 (128,700) (26.4%) Similar income 66,472 112,547 (46,075) (40.9%) Debt securities held-for-trading 24,532 34,273 (9,741) (28.4%) Liabilities with negative interest rate 37 29 8 27.6% Derivative instruments in hedge accounting 41,903 78,245 (36,342) (46.4%) Adjustment for excess liquidity to be transferred as part of the transaction settlement - (161,412) 161,412 (100.0%) 795,770 820,164 (24,394) (3.0%) Interest expense and similar charges for Financial liabilities measured at amortized cost (261,706) (229,858) (31,848) 13.9% Transactions with the Central Bank (1) (1) - - Amounts due to banks (37,767) (12,948) (24,819) 191.7% Amounts due to customers (202,765) (207,493) 4,728 (2.3%) Amounts due to financial sector entities (38,804) (30,997) (7,807) 25.2% Amounts due to non-financial sector entities (163,961) (176,496) 12,535 (7.1%) Loans and advances acquired (20,555) (8,515) (12,040) 141.4% Amounts due to leasing (618) (901) 283 (31.4%) Assets with negative interest rate (54,375) (74,082) 19,707 (26.6%) (316,081) (303,940) (12,141) 4.0% Net interest income 479,689 516,224 (36,535) (7.1%) The table above does not present discontinued operations income in the amount of PLN 216,823 thousand for the I II
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 22 quarter of 2026. Information on discontinued operations disclosed in Note 4 „Assets and liabilities classified as held for sale and profit from discontinued operations” • Net interest income from continuing operations accounted for 63% of the Group’s total revenues in the third quarter of 2026. It amounted to PLN 479.7 million, which means a decrease by PLN 36.5 million (or 7.1%) compared to the third quarter of 2025 mainly due to a decrease in the NBP reference rate by 1 00 basis points (from 4.75% at the end of September 2025 to 3.75% at the end of September 2026). Interest income in the third quarter of 202 6 was lower by PLN 24.4 million (i.e. 3.0%) as compared to the corresponding period of 2025 and amounted to PLN 795.8 million. The largest share in interest income in the third quarter of 2026 was interest income on debt investment financial assets measured at fair value through other comprehensive income (share of 45.1%) which amounted to PLN 358.9 million (i.e. decreased by 12 8.7 million or 26.4% YoY) mainly, due to the realization of profits resulting from their sales. Interest income on amounts due from customers (representing 31.3% of interest income) also decreased by PLN 8.5 million (i.e. 3.3% YoY) due to the decline in interest rates, which was partially offset by higher loan volumes in corporate banking segment , which increased by 12.9% YoY ( 11.2% YoY excluding reverse repo transactions and deposits serving as collateral). In turn, interest expenses from continuing operations of the Group in the third quarter of 2026 were higher by PLN 12.1 million (i.e. 4.0%) as compared to the corresponding period of 202 5 and amounted to PLN 316.1 million. This increase was influenced by higher interest expenses from banks (up by 191.7% YoY) due to the higher interest expenses on a subordinated loan utilized by the bank this year. Net fee and commission income PLN ‘000 01.01 – 30.09.2026 01.01– 30.09.2025 Change PLN ‘000 % Fee and commission income Credit activities (other than income covered by the calculation of the effective interest rate process) 9,973 10,847 (874) (8.1%) Servicing bank accounts 22,505 22,807 (302) (1.3%) Payment and credit cards 2,973 2,796 177 6.3% Payment services 29,612 27,869 1,743 6.3% Custody services 44,620 37,598 7,022 18.7% Brokerage operations 15,912 7,490 8,422 112.4% Clients’ cash on account management services 5,051 5,217 (166) (3.2%) Financial liabilities granted 10,097 10,476 (379) (3.6%) Other 1,013 507 506 99.8% 141,756 125,607 16,149 12.9% Fee and commission expense Payment and credit cards (664) (340) (324) 95.3% Brokerage activity (5,266) (3,488) (1,778) 51.0% Fees paid to the National Depository for Securities (KDPW) (12,096) (9,546) (2,550) 26.7% Brokerage fees (1,652) (1,244) (408) 32.8% Other (5,702) (5,223) (479) 9.2% (25,380) (19,841) (5,539) 27.9% Net fee and commission income 116,376 105,766 10,610 10.0% The table above does not present discontinued operations income in the amount of PLN (379) thousand for the III quarter of 2026 and in the amount of PLN 45,868 thousand for the III quarter of 2025. Information on discontinued operations disclosed in Note 4 „Assets and liabilities classified as held for sale and profit from discontinued operations” . • Net fee and commission income from continuing operations in the amount of PLN 116.4 million compared to PLN 105.8 million in the corresponding period of 202 5 – an increase by PLN 10.6 million, i.e. 10.0% YoY mainly due to higher revenues from brokerage operations by PLN 8.4 million, i.e. 112.4% YoY (as a result of, among others, the higher client volumes and execution of the accelerated equity offering (AEO) of XTB S.A. shares in the third quarter of 2026) and higher revenues from custody services by PLN 7.0 million i.e. 18.7% (driven by the activity of the Bank’s clients). Revenues from transactional activities also increased —primarily commission income from the payment services, which rose by PLN 1.7 million, or 6.3%YoY.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 23 • Fee and commission expenses from continuing operations in the third quarter of 2026 amounted to PLN 25.4 million, up by PLN 5.5 million YoY (i.e. 27.9% YoY). This increase affected all commission expense lines, mainly fees paid to the National Depository for Securities (KDPW) and Warsaw Stock Exch ange (WSE) by PLN 2.6 million, i.e. 26.7% YoY as a result of higher volumes of capital market-related activities. • Other operating result from continuing operations (i.e. non-interest and non-commission income) amounted to PLN 167.9 million as compared to PLN 120.3 million in the third quarter of 2025 and recorded an increase by PLN 47.6 million, i.e. 39.6% YoY) mainly due to higher result on trading financial instruments and revaluation (up by PLN 45.5 million, i.e. 41.7% YoY) thanks to the higher client activity on FX market and positive valuation of derivatives. General administrative expenses and depreciation expenses PLN ‘000 01.07- 30.09.2026 01.07- 30.09.2025 Change PLN ‘000 % Staff expenses (127,511) (104,182) (23,329) 22.4% Remuneration costs (91,506) (78,679) (12,827) 16.3% Bonuses and rewards (20,920) (14,025) (6,895) 49.2% Social security costs (15,085) (11,478) (3,607) 31.4% Administrative expenses (110,690) (55,418) (55,272) 99.7% Telecommunication fees and hardware purchase costs (71,888) (20,252) (51,636) 255.0% Costs of external services, including advisory, audit, consulting services (11,259) (12,072) 813 (6.7%) Real estate maintenance and rent costs (10,396) (10,231) (165) 1.6% Advertising and marketing costs (965) (1,279) 314 (24.6%) Costs of cash management services, costs of clearing services and other transaction costs (8,454) (9,044) 590 (6.5%) Costs of external services related to distribution of banking products (1,127) (1,201) 74 (6.2%) Postal services, office supplies and printmaking costs (313) (177) (136) 76.8% Banking and capital supervision costs 166 (137) 303 (221.2%) Bank Guarantee Funds costs 1,994 (208) 2,202 (1058.7%) Other expenses (8,448) (817) (7,631) 934.0% Depreciation (9,487) (10,082) 595 (5.9%) General administrative expenses and depreciation expenses, total (247,688) (169,682) (78,006) 46.0% The table above does not present discontinued operations income in the amount of PLN (18,475) thousand for the third quarter of 2026 and in the amount of PLN (189,314) thousand for the third quarter of 2025. Information on discontinued operations disclosed in Note 4 „Assets and liabilities classified as held for sale and profit from discontinued operations”. • General administrative and depreciation expenses from continuing operations of PLN 247.7 million compared to PLN 169.7 million in the third quarter of 2025 – up by PLN 78.0 million (i.e. 46.0% YoY) due to increase in general administrative expenses by PLN 55.3 million, i.e. 99.7% YoY (mainly due to higher expenditure on IT infrastructure by PLN 51.6 million, i.e. 255.0% YoY. Staff expenses also increased by PLN 23.3 million, i.e. 22.4% YoY, mainly due to an increase in remuneration costs by PLN 12.8 million, i.e. 16.3% YoY. Provisions for expected credit losses on financial assets and provisions for off –balance sheet commitments PLN ‘000 01.07 – 30.09.2026 01.07– 30.09.2025 Change PLN ‘000 % Provision for expected credit losses on amounts due from banks and cash equivalents Provision creation (1,611) (6,011) 4,400 (73.2%) Provision release 3,500 1,501 1,999 133.2% 1,889 (4,510) 6,399 (141.9%) Provision for expected credit losses on amounts due from customers Provision creation and reversals (34,790) (18,927) (15,863) 83.8% Provision creation (58,197) (58,349) 152 (0.3%)
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 24 PLN ‘000 01.07 – 30.09.2026 01.07– 30.09.2025 Change PLN ‘000 % Provision release 28,711 42,548 (13,837) (32.5%) Other (5,304) (3,126) (2,178) 69.7% Recoveries from debt sold 3 (170) 173 (101.8%) (34,787) (19,097) (15,690) 82.2% Provision for expected credit losses on debt investment financial assets measured at fair value through other comprehensive income Provision creation (149) (1,156) 1,007 (87.1%) Provision release 972 1,165 (193) (16.6%) 823 9 814 - Provision for expected credit losses on financial assets (32,075) (23,598) (8,477) 35.9% Created provisions (4,626) (7,165) 2,539 (35.4%) Release of provisions 7,133 8,359 (1,226) (14.7%) Provision for expected credit losses for contingent liabilities 2,507 1,194 1,313 110.0% Provision for expected credit losses on financial assets and provisions for contingent liabilities (29,568) (22,404) (7,164) 32.0% The table above includes a provision from discontinued operations of ( 2 851) for the third quarter of 2025. Additional Information on discontinued operations disclosed in Note 4 "Assets and liabilities classified as held for sale and profit from discontinued operations”. • Provision for expected credit losses on financial assets and provisions for off -balance sheet commitments amounted to PLN 29.6 million (negative impact) at the end of the third quarter of 2026 compared to PLN 22.4 million (negative impact) in the third quarter of 2025. 3. Financial Ratios In the third quarter of 2026, the key efficiency ratios including discontinued operations were as follows: Total financial ratios Q3 2026 Q3 2025 ROE* 18.6% 17.1% ROA** 2.1% 1.8% Cost/Income 32% 23% Loans/Deposits 40% 40% Loans/Total assets 26% 20% Net interest income/Revenue 63% 70% Net fee and commission income/Revenue 15% 14% *Sum of net profit for the last four quarters to the average equity for the last four quarters (excluding 100% of net profit for the current year). **Sum of net profit for the last four quarters to the average assets for the last four quarters. Cost is the sum of the following items from the condensed consolidated income statement: General administrative expenses and Depreciation and amortization. Income is the sum of the following items from the condensed consolidated income statement: Net interest income, Net fee and commission income, Dividend income, Net gain/(loss) on trading financial instruments and revaluation, Net gain/(loss) on debt investment financial assets measured at fair value through other comprehensive income, Net gain/(loss) on equity investments and other at fair value through income statement, Net gain/(loss) on hedge accounting, Net other operating income and expense. Loans are items of Amounts due from customers (excluding reverse repo transactions and collateralized deposits) from the condensed consolidated statement of financial position. Deposits are items of Amounts due to institutional customers from the condensed consolidated statement of financial position.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 25 Group employment In full time job equivalents (FTE) 30.09.2026 30.09.2025 Change FTEs % Average employment in the third quarter 1,474 3,091 (1,617) (52.3%) Average employment for the period of the first three quarters 2,422 3,068 (646) (21.1%) Employment at the end of quarter 1,458 3,055 (1,597) (52.3%) As compared with the same period last year, the number of FTEs at the end of the period decreased by 1.6 thousand (i.e. 52.3%) as a result of the sale of the Bank’s retail business, described in Note 4, “Assets and liabilities classified as held for sale and result from discontinued operations.” Capital adequacy Capital ratios were calculated according to the rules stated in the Regulation no 575/2013 of the European Parliament and of the Council (EU) of 26 June 2013 on prudential requirements for credit institutions and investment firms amending Regulation (EU) no 648/2012 with amendments (“CRR”). The table below presents the financial data used to calculate the Group’s capital ratios. PLN’000 30.09.2026 31.12.2025 I Own Funds 7,197,841 7,758,530 Common Equity Tier 1 Capital 7,197,841 7,758,530 - - II Total capital requirements, including: 2,368,524 2,641,161 credit risk capital requirements 1,774,913 2,075,287 counterparty risk capital requirements 90,008 78,697 credit valuation correction capital requirements 17,223 10,026 exceeding the limit of large exposures - - total market risk capital requirements 124,632 115,403 operational risk capital requirements 361,748 361,748 Common Equity Tier 1 Capital ratio (%) 24.31% 23.50% Total Capital ratio (%) 24.31% 23.50% Own funds and total capital ratio as at 31 December 2025 were recalculated retrospectively, taking into account the profit for 2025 after its approval by the General Meeting of Shareholders. The Group's capital ratios remain above the minimum requirements under the CRR, the Act on Macroprudential Supervision. On the July 13, 2026, the Bank has received a notice from Bank Guarantee Fund (“BFG”), concerning a joint decision of forced restructuring authorities i.e. Restructuring and Orderly Liquidation Single Resolution Board and BFG, concerning the minimal level of own funds and eligible liabilities (“MREL”). The group resolution plan envisages a resolution strategy assuming a Single Point of Entry (SPE) at the level of Citigroup Inc. The Bank has not been identified as a resolution entity within the meaning of Article 2(41a) of the Act on the Bank Guarantee Fund. Due to the fact that the Bank has not been identified as a resolution entity within the meaning of Article 2(41a) of the Act on the Bank Guarantee Fund, following the date of the decision, the Bank is no longer obliged to comply with the requirement for ow n funds and eligible liabilities specified in Article 92a of Regulation 575/2013 (TLAC) at the level of 18% TREA and 6,75% TEM and disclosures regarding eligible liabilities will be presented in accordance with the requirements for entities that are not resolution entities, as set out in Regulation 2021/763. The Bank Guarantee Fund determined the MREL requirement for the Bank on an individual basis at 15,36% of the total risk exposure amount and 5,91% of the total exposure measure on an individual basis. The entire MREL requirement should be met in the form of own funds and liabilities that meet the criteria specified in Article 98(2l) of the Act on the BFG, which transposes Article 45f(2) of the BRRD. After including the combined buffer requirement, the Bank’s MREL - TREA requirement as at 30 September 2026 was 20,01%, while the achieved MREL -TREA level on an individual basis amounted to 32,11%.Eligible liabilities credited towards fulfilling the MREL requirement include a loan provided by Citibank Europe PLC based in Dublin under an agreement dated on 6 June 2024. The value of the utilized loan as of the end of September 2026 is approximately 2 402 million PLN. On October 30, 2026, the Bank received a letter from the Polish Financial Supervision Authority ("KNF") dated October 29, 2026, in which the KNF recommended that the Bank
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 26 maintain own funds to cover an additional capital add -on (Pillar 2 Guidance – P2G) in order to absorb potential losses resulting from the occurrence of stress conditions. The above capital add-on amounts to 2.12 percentage points (p.p.) on a standalone basis and 2.16 p.p. on a consolidated basis, after offsetting against the capital conservation buffer requirement. The purpose of maintaining the additional capital add-on is to reduce the probability of the Bank breaching capital requirements should it need to cover losses arising from the potential occurrence of stress conditions. The additional add -on should consist entirely of Common Equity Tier 1 (CET1) capital. As of September 30, 2026, the Bank's Total Capital Ratio (TCR) stood at 24.07% on a standalone basis and 24.31% on a consolidated basis, which is 9.51 p.p. above the regulatory minimum, taking into account the above capital add -on at the consolidated level (P2G). 8 Segment reporting An operating segment is a separable component of the Group engaged in business activity, generating income and expenses (including those on intragroup transactions), whose operating results are regularly reviewed by the Management Board of parent entity, the chief operating decision maker of the Group, in order to allocate resources and assess its performance. After the Retail banking sales transaction, the Group is managed in two main operating segments – Corporate Banking and Financial Markets. The valuation of segments’ assets and liabilities as well as calculation of their financial results is based on the Group’s accounting policies, including intragroup transactions between segments. The allocation of Group’s assets, liabilities, income and expenses to operating segments was made on the basis of internal information prepared for management purposes. Transfer of funding between the Group segments is based on prices derived from market r ates. Transfer prices are calculated using the same rules for both segments and any difference results solely from maturity and currency structure of assets and liabilities. The basis for assessment of the segment’s performance is gross profit or loss. The Group conducts its operations solely on the territory of Poland. Corporate Banking Segment The Corporate Banking Segment includes the following areas of activity: • Transactional Banking and Custody Services: Liquidity Management, Payments, Trade Finance and Working Capital, and Custody Services. • Relationship Banking: Lending activities, excluding trade finance and products and investment activities. Within the Institutional Banking segment, the Group offers products and provides services to commercial entities, municipalities and public sector. The offer in the Institutional Banking segment includes among others: • Banking services covering credit and deposit activities, • Cash management, • Trade finance, • Custody services, • Treasury products on financial and commodity markets, • Investment banking services on the local and international capital markets, including advisory services as well as obtaining and underwriting financing through public and non-public offerings. The activities also comprise proprietary transactions in the equity, debt and derivative instruments’ markets. A shared characteristic of the institutional banking clients is that they need advanced financing products and advice relating to financial services. In this area, the Group ensures a coordinated offer of investment banking, treasury and cash management products and prepares loan proposals that cover differentiated forms of financing. Financial Market Segment The Financial Market Segment includes the following areas of activity: • Interbank Activities: Debt instruments and derivatives, • Client Business: Foreign exchange markets and capital markets (brokerage activities) and derivatives.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 27 Consolidated income statement by business segment For the period 01.07– 30.09.2026 01.01– 30.09.2026 PLN ‘000 Financial Markets Corporate Banking Total Financial Markets Corporate Banking Total Net interest income 166,905 312,784 479,689 507,397 902,981 1,410,378 Internal interest income (225,493) 225,493 - (695,135) 695,135 - Net fee and commission income 5,641 110,735 116,376 12,833 329,410 342,243 Dividend income - 759 759 - 14,936 14,936 Net income on financial instruments and revaluation 154,527 - 154,527 437,953 - 437,953 Net gain/(loss) on debt investment financial assets measured at fair value through other comprehensive income 5,337 - 5,337 227,458 - 227,458 Net gain/(loss) on equity and other instruments measured at fair value through income statement - 713 713 - (11,593) (11,593) Net gain/(loss) on hedge accounting 2,632 - 2,632 (2,421) - (2,421) Net other operating income 1,099 2,854 3,953 3,448 8,725 12,173 General administrative expenses (68,877) (169,324) (238,201) (200,902) (561,249) (762,151) Depreciation and amortization (2,629) (6,858) (9,487) (9,044) (22,872) (31,916) Profit on sale of other assets (2) (53) (55) 7,977 21,882 29,859 Net impairment loss on financial assets and provisions for contingent commitments 1,869 (31,437) (29,568) 3,529 (109,347) (105,818) Tax on some financial institutions (5,729) (21,213) (26,942) (25,107) (78,176) (103,283) Operating income from continued operations 260,773 198,960 459,733 963,121 494,697 1,457,818 Income tax expense (152,619) (482,748) Profit before tax from continued operations 307,114 975,070 Net gain/loss from discontinued operations (18,837) 19,610 Net profit from continuing and discontinued operations 288,277 994,680 Information on discontinued operations is disclosed in Note 4 „Assets and liabilities classified as held for sale and profit from discontinued operations” „Assets and liabilities classified as held for sale and profit from discontinued operations”. For the period 01.07 – 30.09.2025 01.01 – 30.09.2025 PLN ‘000 Financial Markets Corporate Banking Total Financial Markets Corporate Banking Total Net interest income 176,326 339,898 516,224 570,347 1,023,492 1,593,839 Internal interest income (269,103) 269,103 - (817,105) 817,105 - Net fee and commission income 1,907 103,859 105,766 6,542 316,370 322,912 Dividend income - 941 941 - 12,454 12,454 Net income on financial instruments and revaluation 109,031 - 109,031 283,790 - 283,790 Net gain/(loss) on debt investment financial assets measured at fair value through other comprehensive income 19,229 - 19,229 164,644 - 164,644 Net gain/(loss) on equity and other instruments measured at fair value through income statement - 257 257 - (5,942) (5,942)
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 28 For the period 01.07 – 30.09.2025 01.01 – 30.09.2025 PLN ‘000 Financial Markets Corporate Banking Total Financial Markets Corporate Banking Total Net gain/(loss) on hedge accounting (3,604) - (3,604) (1,917) - (1,917) Net other operating income (1,523) (4,058) (5,581) (39) (14,535) (14,574) General administrative expenses (40,914) (118,686) (159,600) (149,150) (437,248) (586,398) Depreciation and amortization (2,756) (7,326) (10,082) (8,775) (23,642) (32,417) Profit on sale of other assets (5) (15) (20) 148 402 550 Net impairment loss on financial assets and provisions for contingent commitments (4,334) (15,219) (19,553) (4,970) (23,581) (28,551) Tax on some financial institutions (8,305) (23,151) (31,456) (28,162) (67,474) (95,636) Operating income from continued operations 245,052 276,500 521,552 832,458 780,296 1,612,754 Income tax expense (110,121) (327,155) Profit before tax from continued operations 411,431 1,285,599 Net gain/loss from discontinued operations 57,980 (215,658) Net profit from continuing and discontinued operations 469,411 1,069,941 *The comparative data has been restated due to sale of the Retail Banking business segment and resulting from those changes relating to operating segments. Information on discontinued operations disclosed in Note 4 „Assets and liabilities classified as held for sale and profit from discontinued operations”. As at: 30.06.2026 31.12.2025 PLN ‘000 Financial Markets Corporate Banking Total Financial Markets Corporate Banking Total Total assets 48,538,423 19,258,176 67,796,599 54,405,854 18,359,389 78,849,009 Total liabilities and shareholders’ equity, including: 17,432,792 50,344,197 67,796,599 8,338,832 48,307,501 78,849,009 Liabilities 15,552,698 43,027,723 58,580,421 5,937,794 40,574,414 68,806,702 *The "Total" line item, in addition to Financial Markets and Corporate Banking, includes assets and liabilities classified as held for sale and profit/loss from discontinued operation. 8.1 Corporate Banking Segment Transaction Banking In the third quarter of 2026, the Bank continued to implement its established strategy. Within the Transaction Banking segment, the Bank focused particularly on supporting clients with the handling and financing of trade transactions. Given that the dynami c macroeconomic environment creates various risks, clients increasingly turned to the Bank’s solutions, which enabled them to transform trade-related risks into a competitive advantage. The Bank also continued intensive efforts to modernize its payment processing systems, taking into account the evolving regulatory landscape (including requirements related to the ISO 20022 standard). This infrastructure upgrade is designed to enhance syst em performance, efficiency, and scalability, while significantly facilitating the automation of payment-related processes. Electronic Banking Citi Handlowy continued its efforts to transition to newer, standardized statement formats, which facilitate automation and efficient reconciliation. As part of this initiative, in the third quarter, the Bank implemented the camt.053 (version 8) format— compliant with ISO 20022 industry standards—and made it available to an initial group of clients via the CitiDirect electronic banking platform as part of a pilot program. This new statement format enables the use of richer, more highly structured data. The commercial rollout process will continue. In the third quarter of 2026, over 10 million transactions were processed via CitiDirect, which means an increase of 5% compared to the third quarter of 2025.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 29 Payments and receivables During the third quarter of 2026, the Bank continued the stable increase of transaction volumes by 5% YoY, including increase of 14% YoY in new economy segment. The Bank is continuing a long-term project to modernize its payment systems. • In the third quarter of 2026, development work began on modernizing the infrastructure that supports Elixir payments. This will facilitate the seamless migration of Elixir payments to a new format and, ultimately, ensure compliance with the ISO 20022 stand ard. The modernization of payment systems addresses the growing needs of our clients regarding process automation, transaction processing speed, and access to data —ensuring that information is available in a timely manner and in the appropriate scope and structure. • Concurrently, development work is underway to implement SEPA Instant by 2027, in line with regulatory timelines. SEPA Instant will be launched at the Bank on a modern platform dedicated to real -time payment processing, which will eventually also serve as t he foundation for processing Express Elixir payments. At the end of the third quarter of 2026, the Bank maintained a strong market position in direct debit services, achieving a high market share of 34.7%. Corporate cards In the third quarter of 2026, the Bank introduced two new features for corporate cardholders. The first is access to a program that allows entry into airport lounges worldwide, enhancing the comfort of business travel. The second feature involves the implementation of an additional verification step for card transactions via SMS notifications. This is designed to streamline the handling of blocked transactions and give cardholders greater direct control. As a result, cardholders can verify the authenticity of a payment and retry it, allowing them to resume their tasks without unnecessary delays. Comparing year-over-year figures, in the corporate cards segment , a 4% increase in the total value and a 2% increase in the number of cashless transactions made with debit cards were recorded. In the case of credit cards, these results stood at -14% YoY in both of the aforementioned categories, a figure driven by shifting payment trends, a revision of the Bank’s approach to its target market, customer attrition, and migrations between different solutions. Regarding the number of cards, the Bank recorded a 6% YoY decrease in the number of activated credit cards and a 4% YoY increase in the number of activated debit cards. Trade finance products Trade Finance At the end of the third quarter of 2026, the value of trade finance products increased by 32% compared to the third quarter of 2025. Corporate clients frequently utilize products such as reverse factoring, trade credit, and supplier financing programs. Market volatility and the risk of payment delays drive companies to continue seeking flexible and diversified sources of financing for their ongoing operations. The bank provides modern, globally -oriented solutions, helping clients execute their growth strategies regardless of location or scale. Trade Service The value of guarantees issued by the Bank increased by 148% YoY in the third quarter of 2026. Electronic guarantees accounted for over 78% of all guarantees issued in the third quarter of 2026. The value of export letters of credits advised in the third quarter of 2026 increased by nearly 35% compared to the same period of the previous year. Products that support the securing and settlement of transactions , both domestic and international, are an important element of the relationship with clients and play a significant role in supporting their business activities.
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 30 Custody services The Bank provides custody services for domestic and foreign institutional investors and services of a custodian bank for domestic pension and investment funds. For many years, Citi Handlowy has played leading role in the Polish market of depository banks. As part of its statutory activities, under a license issued by the Polish Securities and Exchange Commission (at present, the Polish Financial Supervisory Authority (KNF)), the Bank maintains securities accounts, settles securities transactions, processes dividend and interest payments, provides valuations of asset portfolios, delivers individual reports and arranges representation at general meetings of shareholders of listed companies. The Bank keeps collective accounts for authorized foreign entities. In addition, the Bank provides services consisting in maintenance of registers of foreign securities, under which it acts as intermediary in settlements of transactions executed by domestic clients in foreign markets. As at 30 September 2026, the Bank maintained over 18,000 securities accounts and collective accounts. In the reporting period the Bank was the custodian for open -end pension fund Nationale - Nederlanden OFE (Open Pension Funds), voluntary pension funds: Nationale - Nederlanden DFE and Generali DFE, and the employee pension fund PFE Orange Polska. The Bank was also the depository of investment funds managed by the following investment fund companies: ERSTE TFI S.A., PKO TFI S.A., mTFI S.A. and ING TFI S.A. Moreover, the Bank was servicing investment funds and pension funds operating under the Employee Capital Plans programme: PKO Emerytura SFIO, ERSTE PPK SFIO and Nationale - Nederlanden DFE Nasze Jutro and ING Emerytura SFIO. Relationship Banking As at the end of the third quarter of 2026, the number of institutional clients (which include strategic clients, global clients and commercial bank clients) amounted to 5,500 i.e. decreased by 2% as compared to the third quarter of 2025. The aforementioned decline in the number of clients is the result of a demarketing process within the Commercial Banking Segment, aimed at terminating relationships with clients who show no activity. In terms of client’s acquisition in the Commercial Bank segment the Bank attracted 43 new clients in the third quarter of 2026, including 1 Large Compan y, 4 Small and Medium -Sized Companies , 30 International Clients of Commercial Banking Segment, 3 Digital clients and 5 Public Sector Entit ies. In the strategic and global client segments, the Bank established 4 new client relationships. Key transactions and achievements in the third quarter of 2026: Credit activity Granting new financing or increas ing/extending existing ones in the amount of almost PLN 1.5 billion: • PLN 1,131 million for Global clients including the financial institution of a German automotive group, an international group offering a wide range of products for vehicle purchase financing, a client involved in the production of lithium -ion batteries, and a client offering various leasing and loan options; • PLN 286 million for Corporate clients including a leading Polish manufacturer of medicines and pharmaceutical substances, as well as one of the largest alcohol producers in Poland;
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 31 • PLN 79 million for Commercial Bank clients including a modern company in the internal transport sector, specializing in the design and construction of internal transport systems and conveyors for automated and semi -automated production lines; a Polish leader in the sale of coal and eco -pea coal; a Polish family-owned business with over 30 years of experience in the automotive industry; a Polish freight forwarding company and a distributor of electronics. Transactional Banking Increasing shares in banking services and transaction banking • Winning 19 mandates for comprehensive banking services or extending the Bank's cooperation with its clients; • Signing new agreements or increasing amounts of existing agreements on factoring or bank guarantees for a total amount of PLN 123 million. Investment Banking The Brokerage Department of Bank Handlowy participated in the following transaction: • Accelerated Equity Offering (AEO) of XTB S.A., in which DMBH acted as Global Co- Coordinator and Joint Bookrunner. The value of the transaction reached over PLN 1.5 billion (USD 402 million) and represented 8.0% of the existing shares., 8.2 Financial Markets Segment Treasury operations Financial Markets Segment continues to strengthen its position as a trusted partner and a leading center of expertise for Polish and international enterprises navigating the challenges of the global economy. In the third quarter of 2026, amidst persistent market volatility, the Sales Division focused its efforts on proactively supporting clients in the area of financial risk management. Key initiatives implemented during the period under review included: • Currency risk management: Providing active advisory services on the design, optimization, and implementation of hedging strategies for exchange rate exposure, enabling clients to effectively mitigate risk amidst heightened market volatility. • Digitalization and automation of treasury processes: Developing advanced e -FX solutions aimed at automating foreign exchange transactions and reducing operational burdens for clients, including the phased rollout of the modern Citi Velocity platform. • Macroeconomic and analytical expertise: Providing ongoing access to market know -how and up -to-date macroeconomic analysis. High attendance at regular webinars and meetings with the Bank’s Chief Economist underscored the Bank’s vital role as a partner in supporting key business decisions. The initiatives being implemented reflect the consistent execution of the Bank’s strategy in the area of treasury operations, further solidifying its leading market position. Brokerage activities The Group runs brokerage activities in the capital market via a separate organizational unit which is a brokerage house – the Brokerage Department of Bank Handlowy. As at the end of the third quarter of 2026, the Bank was the market maker for 72 companies listed on the Warsaw Stock Exchange (of which 20 from the WIG20 index), i.e. 17.9% of the shares listed in its main equity market. After the third quarter of 2026, the Bank was the intermediary in in-session transactions accounting for 5.0% of equity turnover in the secondary market. The value of the in-session transactions concluded via Bank in the equity market on the WSE was PLN 47.4 billion. After the third quarter of 2026, the Bank was ranked 8th in terms of session turnovers on the WSE main market and 2nd as a local WSE member. 9 Rating As of end of the third quarter of 2026, the Bank had full ratings awarded by Fitch Ratings (“Fitch”). On 17 June 2026, after the annul rating review, Fitch has upgraded Bank Handlowy w Warszawie S.A.'s (Handlowy) Long- Term Issuer Default Rating (IDR) to 'A+' from 'A-', Shareholder Support Rating (SSR) to 'a+' from 'a-' and Short-Term IDR to 'F1+' from 'F1'. The Outlook on the Long-Term IDR is Negative. The Negative Outlook reflects the Negative Outlook on Poland's sovereign rating (A-/Negative) and the constraint of Polish country risk on the support -driven IDR. The Bank's
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 32 Viability Rating (VR) was affirmed at 'bbb+'. The Bank's current ratings are as follows: Long-term entity ranking Long-term rating outlook A+ Negative Short-term entity ranking F1+ Viability rating* bbb+ Support rating a+ National long-term rating AAA (pol) Stable National short-term rating F1+ (pol) Long-term deposits A+ Short-term deposits F1+ * Viability rating is the view of the intrinsic creditworthiness of an institution, independent of external factors. The Bank's Ratings (IDRs) are driven by its intrinsic strength (as reflected in Viability rating ("VR") and potential parental support. In the justification for the rating, the rating agency stated that the upgrades of Bank's IDRs and SSR reflect the support from its direct parent, Citibank Europe Plc (AA -/Positive), leading to the revision of the anchor for the Bank's SSR to Citibank Europe's IDR from Citibank N.A.'s (Citi; AA -/Positive/a) VR. This results in increased protection for the Bank's creditors from the parent's resolution funds. For the full announcement published by Fitch please visit: https://www.fitchratings.com/research/banks/fitch- upgrades-handlowy-to-a-outlook-negative-17-06-2026 10 Financial instruments disclosure Fair value of financial assets and liabilities The table below presents the fair value of financial assets and liabilities valued at amortized cost in consolidated statement of financial position. PLN ‘000 30.09.2026 31.12.2025 Balance sheet value Fair value Balance sheet value Fair value Financial assets Amounts due from banks 9,248,281 9,248,281 8,246,058 8,250,663 Amounts due from customers 20,775,518 20,739,115 24,390,752 24,730,158 Financial liabilities Amounts due to banks 5,478,754 5,478,738 3,904,507 3,904,535 Amounts due to customers 48,796,724 48,810,033 60,582,109 60,556,172 Data as of December 31, 2025 presents assets and liabilities in disposal groups held for sale. Information on discontinued operations disclosed in Note 4 “Assets and liabilities classified as held for sale and profit from discontinued operations”. The models used to determine fair value of financial instruments, which are not recognized at fair value in the balance sheet of the Group presented in the table above, employ valuation techniques based on non -market parameters and are therefore classified as fair value Level III. Valuation methods and assumptions used for the purposes of fair value Fair value of assets and financial liabilities are calculated as follows: • The fair value of financial instruments not quoted in active markets is determined using valuation techniques which are periodically assessed and verified. All the models are tested and approved before application. As far as possible, only observable data is used in the models, although in some areas, the Bank’s management must use estimates. Changes in the assumptions relating to the estimated factors may affect the fair value of financial instruments disclosed. The Group applies the following methods of measurement of particular types of derivative instruments: − FX forwards – discounted cash flows model; − options – option market-based valuation model;
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 33 − interest rate transactions – discounted cash flow model; − futures – current quotations. • For valuation of securities transactions current quotations are used. In case of lack of quotations, adequate models based on discount and forward curves, including decrease of credit spread, if needed, are used for valuation. • The fair value of other assets and financial liabilities (excluding described above) are estimated in accordance to commonly accepted models of valuation based on discounted cash flow analysis, taking into account fluctuations in market interest rates and changes in margins during the financial period. Fair value included in consolidated statement of financial position Depending on the method of determining fair value, individual financial assets or liabilities are classified into the following categories: • Level I: financial assets/liabilities valued directly on the basis of prices from an active market where the regular quotations and turnover are available. The active market includes stock and brokerage quotes and quotes in pricing services type systems, such as Reuters and Bloomberg, which represent the actual market transactions concluded on the market conditions. Level I mainly include securities held-for-trading or at fair value through OCI; • Level II: financial assets/liabilities valued on the basis of models based on input data from the active market presented in Reuters and Bloomberg systems. Depending on financial instruments, the following specific valuation techniques are used: - listed market prices for a given instrument or listed market prices for an alternative instrument, - fair value of interest rate swaps and forward foreign exchange contracts is calculated as the current value of future cash flows based on the market yield curves and current NBP fixing exchange rate in case of foreign currency instruments, - other techniques, such as yield curves based on alternative prices for a given financial instrument; • Level III: financial assets/liabilities valued on the basis of valuation techniques using relevant non -market parameters. The tables below present values of financial instruments in the consolidated statement of financial position in accordance with a fair value classified by above levels. As at 30 September 2026 PLN ‘000 Level I Level II Level III Total Financial assets Financial assets held-for-trading 2,544,829 1,545,652 - 4,090,481 derivatives - 1,545,652 - 1,545,652 debt securities 2,492,156 - - 2,492,156 equity instruments 52,673 - - 52,673 Hedging derivatives - 21 - 21 Debt investment financial assets measured at fair value through other comprehensive income 28,519,303 - - 28,519,303 Equity investments and other measured at fair value through income statement 2,762 - 131,657 134,419 Financial liabilities Financial liabilities held-for-trading 468,110 1,950,804 - 2,418,914 short sale of securities 468,084 - - 468,084 derivatives 26 1,950,804 - 1,950,830 Hedging derivatives - 85,994 - 85,994 As at 31 December 2025 PLN ‘000 Level I Level II Level III Total Financial assets Financial assets held-for-trading 2,330,267 2,496,836 - 4,827,103 derivatives 720 2,496,836 - 2,497,556 debt securities 2,294,275 - - 2,294,275 equity instruments 35,272 - - 35,272
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 34 PLN ‘000 Level I Level II Level III Total Debt investment financial assets measured at fair value through other comprehensive income 30,151,984 - - 30,151,984 Equity investments and other measured at fair value through income statement 45,632 - 138,276 183,908 Financial liabilities Financial liabilities held-for-trading 10,310 2,679,789 - 2,690,099 short sale of securities 8,880 - - 8,880 derivatives 1,430 2,679,789 - 2,681,219 Hedging derivatives - 358,677 - 358,677 Data as of December 31, 2025presents assets and liabilities in disposal groups held for sale. Information on discontinued operations disclosed in Note 4 “Assets and liabilities classified as held for sale and profit from discontinued operations”. As at September 30, 2026, the structure of Visa Inc shares held by the Bank changed compared to December 31, 2025. As a result of the sale the Bank acquired series “A” VISA Inc. preferred shares of a value amounted to PLN 36,021 thousand, positive result of the transaction equated to PLN 1,875 thousand and was recognized as Net gain on equity and other instruments measured at fair value through income statement. As at September 30, 2026, the amount of financial assets classified to level III includes the value of the share in Visa Inc. in the amount of PLN 5,187 thousand (privileged series C) and also the value of other minority shareholding in the amount of PLN 126,470 thousand (as at December 31, 2025 PLN 4,534 thousand and PLN 133,742 thousand, respectively). The method of estimating the fair value of series C Visa Inc preference shares takes into account the value of Visa Inc. shares and corrections resulting from disputes (current or potential) to which Visa or the Bank would be a party. Minority shareholdings in structured companies are measured at fair value taking into account, inter alia, the expected discounted dividends using an assumed cost of capital and the history of profit distribution in the particular companies. Changes in the valuation are taken to the Income statement and presented in the Net gain/(loss) on equity and other instruments measured at fair value through income statement. Changes in financial assets and liabilities measured at a fair value that was defined by using relevant, not-market based parameters are presented below: Equity and other investments measured at fair value through income statement PLN ‘000 01.01.-30.09.2026 01.01.-31.12.2025 As at 1 January 138,276 134,831 Conversion of shares - transfer to Level I - (4,646) Revaluation (6,619) 8,091 As at the end of period 131,657 138,276 In the 9-month period of 2026 the Group has not made any changes in classification criteria of financial instruments (presented in the consolidated statement of financial position at fair value) to each category reflecting the fair value (level I, level II, level III). In the same period the Group has not made any changes in financial assets classification resulting from assets’ purpose or usage change. 11 Provision for expected credit losses on financial assets and provisions for off–balance sheet commitments Changes in the provision for expected credit losses on financial assets are presented in the table below: PLN ‘000 Stage 1 Stage 2 Stage 3 Total Provision for expected credit losses - amounts due from banks Provision for expected credit losses as at 1 January 2026 (4,461) - - (4,461) Transfer to Stage 1 - - - -
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 35 PLN ‘000 Stage 1 Stage 2 Stage 3 Total Transfer to Stage 2 - - - - Transfer to Stage 3 - - - - (Creation)/Releases in the period though the income statement 4,094 - - 4,094 Foreign exchange and other movements 282 - - 282 Provision for expected credit losses as at 30 September 2026 (85) - - (85) *Including the effect of the sale transaction described in Note 4 “Assets and liabilities classified as held for sale and profit from discontinued operations”. PLN ‘000 Stage 1 Stage 2 Stage 3 Total Provision for expected credit losses - amounts due from banks Provision for expected credit losses as at 1 January 2025 (168) (483) (168) (651) Transfer to Stage 1 - - - - Transfer to Stage 2 - - - - Transfer to Stage 3 - - - - (Creation)/Releases in the period though the income statement (4,612) 483 (4,612) (4,129) Foreign exchange and other movements 319 - - 319 Provision for expected credit losses as at 31 December 2025 (4,461) - - (4,461) PLN ‘000 Stage 1 Stage 2 Stage 3 Purchased or originated credit-impaired assets Total Provision for expected credit losses - amounts due from customers Provision for expected credit losses as at 1 January 2025 (41,995) (79,207) (425,242) 733 (545,711) Transfer to Stage 1 (12,153) 11,204 949 - - PLN ‘000 Stage 1 Stage 2 Stage 3 Purchased or originated credit-impaired assets Total Provision for expected credit losses - amounts due from customers Provision for expected credit losses as at 1 January 2026 (39,569) (78,955) (404,264) (426) (523,214) Transfer to Stage 1 (11,152) 10,870 282 - - Transfer to Stage 2 3,656 (4,892) 1,236 - - Transfer to Stage 3 147 33,083 (33,230) - - Transfer to purchased or originated credit-impaired assets - - 3,864 (3,864) - (Creation)/Releases in the period though the income statement 8,989 (17,270) (109,383) (670) (118,334) Decrease in provisions due to write-offs - - 19,963 - 19,963 Decrease in provisions in connection with the sale of receivables* 12,817 33,323 251,127 2,957 300,224 Changes in accrued interest in Stage 3 other than written off and sale of receivables 2 (1) (11,422) (1,339) (12,760) Decreasing in write-downs due to derecognition as a result of material change - - - 3,316 3,316 Foreign exchange and other movements (488) (463) 1,317 106 472 Provision for expected credit losses as at 30 September 2026 (25,598) (24,305) (280,510) 80 (330,333)
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 36 PLN ‘000 Stage 1 Stage 2 Stage 3 Purchased or originated credit-impaired assets Total Transfer to Stage 2 3,192 (6,059) 2,867 - - Transfer to Stage 3 517 9,320 (9,837) - - Transfer to purchased or originated credit-impaired assets - 55 9,080 (9,135) - (Creation)/Releases in the period though the income statement 9,654 (17,533) (26,926) (930) (35,735) Net changes due to update of estimating method (1,190) 2,754 - - 1,564 Decrease in provisions due to write-offs - - 7,710 - 7,710 Decrease in provisions in connection with the sale of receivables - - 68,344 3,180 71,524 Changes in accrued interest in Stage 3 other than written off and sale of receivables - 1 (30,234) (3,055) (33,288) Decreasing in write-downs due to derecognition as a result of material change - - - 8,807 8,807 Foreign exchange and other movements 2,406 510 (975) (26) 1,915 Provision for expected credit losses as at 31 December 2025 (39,569) (78,955) (404,264) (426) (523,214) The table presents the value of write-offs included in disposal groups classified as held for sale in the amount of PLN (289,909) thousand. Additional information on discontinued operations disclosed in Note 4 ”Assets and liabilities classified as held for sale and profit from discontinued operations”. The value of provisions for expected credit losses for off –balance sheet commitments amounted to PLN 20,023 thousand (31 December 2025: PLN 25,767 thousand including provisions in disposal groups classified as held for sale in the amount of PLN 25,767 thousand, 30 September 2025: PLN 25,951 thousand). In the period from 1 January to 30 September 2026, the Group did not create write-offs for impairment of tangible fixed assets, intangible assets and reversals of write-offs of that title. 12 Deferred tax asset and provision PLN ‘000 30.09.2026 31.12.2025 Deferred tax asset 883,140 1,311,333 Deferred tax provision (776,562) (1,033,929) Net asset due to deferred income tax of a parent company 106,578 277,404 Data as of December 31, 2025, includes deferred income tax net assets in disposal groups held for sale in the amount of PLN 57,016 thousand. Information on discontinued operations is disclosed in Note 4 ” Assets and liabilities classified as held for sale and profit from discontinued operations”. Deferred income tax assets and liabilities are presented in the statement of financial position on net basis at the level of the legal entity within the Group. The interpretation that the Bank received in March 2026, regarding the possibility of recognition as a tax -deductible expense the assets transferred to the purchaser has partly contested the Bank approach. Therefore, the Bank has submitted an additional request for interpretation, aimed at clarifying the meaning of the original ruling. As a result of resubmitting an application the Bank has received a positive tax interpretation, regarding the possibility of recognition as a tax -deductible expense the assets transferred to the purchaser as part of Retail Banking sale transaction, with re spect to the amount reflecting the value of net assets which enabled the tax recognition of the economic loss arising from the sale of Retail Banking business segment. The tax effect in the amount of PLN 141 million has been moved from deferred tax assets to current income tax. 13 Acquisitions and disposals of tangible fixed assets In the period from 1 January to 30 September 2026 the value of purchased by the Group components of “ tangible fixed assets” equaled PLN 19,749 thousand (in 2025: PLN 43,814 thousand) and the value of disposals of “tangible fixed assets”, including assets previously classified as held for sale, amounted to PLN 134,870 thousand (in 2025: PLN 30,957 thousand). In II quarter of 2026 the Group sold a real estate located on Goleszowska street in Warsaw. The net book value of sold real estate amounts to PLN 83,000 thousand (including the right-of-use asset and the liability arising from perpetual usufruct right to land) with the profit from sale amounts to PLN 30,233 thousand (including costs of sale).
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 37 As at September 30, 2026, the Group has no significant commitments to purchase of tangible fixed assets. 14 Default or breach of credit agree, meant in respect of which there were no corrective action until the end of the reporting period Between 1 January and 30 September 2026 in the Group has been no occurrence of default or breach due to received credit agreement. 15 Seasonality or periodicity of business activity The business activity of the Group is not significantly influenced by seasonal or cyclical factors. 16 Issue, redemption and repayment of debt and equity securities In the 9-month period of 2026 no issue, pay back or equity securities had place. Due to implementation of the incentive programs referred to in the resolutions adopted by the Extraordinary General Meeting of the Bank on December 16, 2022 , in 2024 the Group converted a specific part of the awards settled in cash into awards settled in equity instruments of Bank Handlowy w Warszawie S.A., which resulted in a change of method of recognizing certain equity awards in accordance with IFRS 2 "Share-based payments". On March 2, 2026, the Bank received a decision of the Polish Financial Supervision Authority dated February 27, 2026, in which the PFSA granted the Bank permission to buy-back own shares for the purpose of offering them by the Bank to eligible employees un der the incentive program. Under the above permission issued for the period until February 27, 2026, the Bank could acquire a maximum of 285,000 own shares, and the price of the own shares purchased by the Bank could not exceed PLN 30,000,000 in total. The Bank carried out the acquisition of own shares under the aforementioned PFSA authorization in the third quarter of 2026. In the period from July 17, 2026 to September 23, 2026, the Bank acquired a total of 251,504 own shares with a nominal value of PLN 4 per share, representing 0.1924880% of the Bank’s share capital and entitling to 251,504 votes at the General Meeting of the Bank, which constitutes 0.1924880% of the total number of votes at the General Meeting of the Bank, for a total price of PLN 29,999,884.40. During the period in which the Bank owned its own shares, the Bank did not exercise the voting rights attached to these shares. On 18 March 2026 the Bank initiated the transfer to the Bank’s eligible employees, free of charge, of 98,837 own shares previously bought back by the Bank (I tranche), while on 23 March 2026 the Bank initiated the transfer to the Bank’s eligible employees, free of charge, of 26,057 own shares previously bought back by the Bank (II tranche), which gives 124,894 shares in both tranches. The transferred shares represent 0.095587% of the Bank's share capital and authorize to 0.095587% of the total number of votes at the Bank's General Meeting. On September 3, 2026 the Bank initiated the transfer to the Bank’s eligible employees, free of charge, of 47,745 own shares previously bought back by the Bank. The transferred shares represent 0.036542% of the Bank's share capital and authorize to 0.036542% of the total number of votes at the Bank's General Meeting. During the nine-month period of 2026, the Bank transferred to the Bank’s eligible employees, free of charge , a total of 172,639 own shares previously bought back by the Bank and completed the process of transferring own shares in 2026. The transferred shares represent 0.1321288% of the Bank’s share capital and authorized to 0.13212 88% of the total number of votes at the Bank’s General Meeting. As at the end of September 2026, the Bank retained a total of 345,652 treasury shares representing in total 0.2645439% of the Bank's share capital and entitling to a total of 0.2645439% of the total number of votes at the General Meeting of Shareholders of the Bank. 17 Paid (or declared) dividends On June 17, 2026, the Annual General Meeting of the Bank adopted a resolution on distribution of net profit. Pursuant to the resolution the net profit for 2025 in the amount of PLN 1,667,392,455.21 was distributed as follows: • Dividend: PLN 1,250,359,633. • Net profit in the amount of PLN 417,032,822.15 was left undivided. In addition, GSM decided to allocate for distribution among shareholders the amount of PLN 28,713,895.54 from the Dividend Capital established by the General Meeting Resolution No. 26/2025 of June 27, 2025, regarding the creation of a reserve capital for dividend payment, including advance payments for dividends. Also, GSM decided to allocate for distribution among shareholders the amount of PLN 448,551,276.72 (“Advance Dividend Payment”, which has already been paid to shareholders on October 28, 2025) originating from the Dividend
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 38 Capital established by the General Meeting Resolution No. 26/2025 of June 27, 2025, regarding the creation of a reserve capital for dividend payment, including advance payments for dividends. The dividend per one ordinary share is PLN 9.80 gross. The number of shares entitled to dividend is 130,517,707. Simultaneously, the GSM resolved to set the day of the right to the dividend for June 25, 2026 (dividend date) and the day of the dividend payment for June 30, 2026 (dividend payment date). The dividend payout was in line with the individual recommendation of the Polish Financial Supervision Authority regarding fulfilling by the Bank of requirements for dividend payment from net profit generated in 2025 and the decision of the PFSA of 18 May 2026 issued under Article 129 section 3 of the Banking Law. 18 Changes in granted financial commitments and guarantees The detailed summary of granted financial commitments and guarantee s as at 30 September 2026 and changes in comparison with the end of 2025 are as follows: PLN ‘000 State as at Change 30.09.2026 31.12.2025 PLN ‘000 % Contingent liabilities granted Financial 10,209,943 14,707,599 (4,497,656) (30.6%) Import letters of credit issued 125,818 159,738 (33,920) (21.2%) Credit lines granted 9,560,430 14,547,861 (4,987,431) (34.3%) Other 523,695 - 523,695 - Guarantees 4,176,371 4,027,732 148,639 3.7% Guarantees granted 4,145,753 4,004,978 140,775 3.5% Export letters of credit confirmed 30,618 - 30,618 - Other - 22,754 (22,754) (100.0%) 14,386,314 18,735,331 (4,349,017) (23.2%) Contingent liabilities received Guarantees (guarantees received) 16,216,670 14,881,119 1,335,551 9.0% 16,216,670 14,881,119 1,335,551 9.0% Data as of December 31, 2025, liabilities in disposal groups held for sale in the amount of PLN 5,235,160 thousand. Information on discontinued operations disclosed in Note 4 “Assets and liabilities classified as held for sale and profit from discontinu ed operations” 19 Changes in Group’s structure In the third quarter of 2026 the structure of the Bank's Capital Group has not changed compared to the end of 2025. 20 Fulfilment of 2026 forecast results The Bank, as the dominant entity, did not disclose its forecast results for the year 2026. 21 Information about shareholders In the period from the publication of the previous interim report “Semi-Annual consolidated financial statements of the Bank Handlowy w Warszawie S.A. and the Capital Group of Bank Handlowy w Warszawie S.A. for the first half of 2026, i.e. from August 27, 2026 to the date of publication of this report for the third quarter of 2026, the ownership structure of significant blocks of the Bank's shares has not changed. As at the date of publication of this report for the third quarter of 2026, in accordance with the information held by the Bank on shareholders holding, directly or indirectly, through subsidiaries, at least 5% of the total number of votes at the General Meeting or at least 5% of the Bank's share capital, the following entities were: Number of shares % Shares Number of votes at GM % votes at GM Citibank Europe PLC, Ireland 97,994,700 75.00 97,994,700 75.00 Other shareholders 32,664,900 25.00 32,664,900 25.00 130,659,600 100.00 130,659,600 100.00
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 39 22 Ownership of issuer’s shares by members of the Management Board and Supervisory Board Information on the total number and par value of the Bank’s shares held by members of the Management Board and members of the Supervisory Board as of 30 September, 2026 is presented in table below: Name and surname Function Shares of Bank Handlowy w Warszawie SA Number of shares (in pcs) Par value (PLN) Elżbieta Światopełk- Czetwertyńska President of the Management Board 9 36 Sławomir Sikora Chairman of the Supervisory Board 27,104 108,416 Total 27,113 108,452 Managing and supervising officers have not declared any options for Bank’s shares. Information on the total number and par value of the Bank’s shares held by members of the Management Board and members of the Supervisory Board as of June 30, 2026 is presented in table below: Name and surname Function Shares of Bank Handlowy w Warszawie SA Number of shares (in pcs) Par value (PLN) Elżbieta Światopełk- Czetwertyńska President of the Management Board 9 36 Sławomir Sikora Chairman of the Supervisory Board 27,104 108,416 Total 27,113 108,452 23 Information on pending court proceedings No proceedings regarding receivables or liabilities of the Group conducted in the 9-month period ended 30 September 2026in court, public administration authorities or an arbitration authority is of significant value. In Group’s opinion no proceedings conducted in court, public administration authority or an arbitration authority pose a threat to the Group’s financial liquidity, individually or in total. In accordance with applicable regulations, the Group recognizes appropriate provisions for receivables that are subject to legal proceedings. The value of provisions for legal proceedings as at 30 September 2026 and 31 December 2025 is presented in the table below: PLN ‘000 30.09.2026 31.12.2025 Provisions for disputes provisions for option cases on derivative instruments 18,023 17,506 provisions for individual cases relating to CJEU judgments 10,696 21,694 other 3,699 8,837 Provisions for disputes 32,418 48,037 The above values do not include portfolio provision created in connection with the CJEU judgments, which are presented in the consolidated financial statements as Provisions, item Other, and are described below. In the third quarter of 2026, the Group did not make any significant settlement resulting from court’s final judgment. Major Legal Proceedings and Litigation: • On 27 May 2019 the Bank received a statement of claim submitted by Rigall Arteria Management spółka z ograniczoną odpowiedzialnością sp. k. for the payment of PLN 386,139,809 along with statutory interest for delay from the date of filing the claim to the payment date and the amount of PLN 50,017,464 including statutory interest for delay from the date of filing the claim to the date of payment. The statement of claim refers to the agency
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 40 agreement, which covered intermediary services for the Bank’s products and services, primarily in the segment of consumer banking, and was terminated in 2014. The Court has referred the matter to mediation proceedings, which have not resulted in a mutual a greement. On December 16, 2025, the District Court in Warsaw issued a first - instance judgment in which it awarded Rigall Arteria Management the amount of PLN 168,718 and dismissed the claim in the remaining scope. • As at 30 September 2026, the Bank was among others a party to 8 court proceedings associated with derivative transactions. Among these, 5 proceedings have not been terminated with a legally binding conclusion, and 3 proceedings have been terminated and cassation proceedings were pending. In 5 proceedings the Bank acted as a defendant and in 3 as a plaintiff. The claims and allegations in the individual cases against the Bank are based on various legal bases. The subject of the dispute refers mainly to the validity of the derivative transactions and clients’ liabilities demanded by the Bank with respect to those derivative transactions, as well as potential claims regarding potential invalidation of such demands by court decisions. Clients try to prevent the Bank from seeking claims resulting from derivative transactions; they dispute their liab ilities towards the Bank, question the validity of the agreements and, in some cases, demand payment from the Bank. • The Bank was a party to proceedings initiated by the President of the Office of Competition and Consumer Protection (UOKiK) against the Visa and Europay payment system operators and banks - issuers of Visa cards and Europay/Eurocard/Mastercard cards. The Bank was one of the addressees of the President of UOKiK’s decision in the case. The proceedings have concerned alleged practices limiting competition on the payment cards market in Poland consisting in the fixing of interchange fees for transactions made with Visa and Europay/Eurocard/Mastercard cards, as well a s limiting access to the market for operators who do not belong to the unions of card issuers, against whom the proceedings were initiated. The President of UOKiK’s decision was the subject of legal analyses in appeal proceedings. On April 22, 2010, the Appeal Court overturned the verdict of the Court of Competition and Consumer Protection (SOKiK) and referred the case back to the court of first instance. On 21 November 2013 SOKiK made a judgment, under which a penalty imposed on the Bank was modified and set in the amount of PLN 1,775,720. On October 6, 2015, the Appeal Court modified the verdict of the Competition and Consumer Protection Court and denied all appeals from the decision of the President of the Competition and Consumer Protection Office, including the changes of amounts of the fines that were imposed upon banks. As a result, the fine in the amount of 10,228,470 PLN that was originally imposed upon the Bank has been reinstated. As the Bank submitted extraordinary appeal on the 25 October 2017 the Supreme Court has overturned the Appeal Court’s verdict, and the case has been returned to the Appeal Court for a second review. The appeals proceedings have begun again. In the first quarter of 2018, the Bank received the reimbursed. By the judgment of November 23, 2020, the Appeal Court set aside the judgment of November 21, 2013, and remitted the case to the court of first instance for reconsideration. • The Bank is carefully following the changes of the legal environment arising out of the courts’ case law regarding mortgage loans indexed to foreign currencies . As at 30 September 2026, the Bank had receivables under CHF - indexed retail mortgage loans at the gross carrying amount of PLN 7.6 million. The Bank maintained a collective provision in the amount of PLN 9.3 million (compared to PLN 15.7 million as at 31 December 2025). Estimation of the provision assumes the expected level of probability of settlement or litigation resolution and an estimate of the Bank’s loss should a dispute be settled in court. This value, as well as provisions for individual litigation cases, is included in the consolidated financial statement under Provisions. As at 30 September 2026, the Bank was sued in 46 cases relating to a CHF -indexed loan for a total amount of approximately PLN 18.9 million. 64 cases were legally lost, and the Bank decided to file two cassation appeals (one appeal was rejected on formal grounds, as to the second the Supreme Court refused to accept the cassation appeals for consideration). Most of the cases are in the first instance. Presented below are key matters concerning retail operations: • On 22 June 2021, the President of the Office of Competition and Consumer Protection initiated explanatory proceedings to initially determine whether the Bank's actions taken after consumers reported unauthorized payment transactions may justify the initiat ion of proceedings regarding practices violating the collective interests of consumers or proceedings regarding to recognize the provisions of the standard contract as prohibited. On 8 February 2024, the President of the Office of Competition and Consumer Protection initiated proceedings (decision delivered on 13 February 2024) regarding practices violating the collective interests of consumers regarding unauthorized payment transactions. The charges brought are: − failure to refund the amount of an unauthorized payment transaction to the customer within the D+1 deadline despite the lack of premises for such refusal, − misleading consumers as to the Bank's obligations and the distribution of the burden of proving the authorization of a payment transaction. The proceedings are the result of the explanatory proceedings of the President of the Office of Competition and Consumer Protection initiated in June 2021. At this stage of the proceedings, the amount of potential penalty cannot be estimated reliably. On September 9, 2026, the Bank received a position statement from the President of the Office of Competition and Consumer Protection (UOKIK). According to this statement, the demerger of the Bank - effected on June 12, 2026, via a spin-off pursuant to Article 529 § 1 point 5 of the Commercial Companies Code of September 15, 2000, whereby an organized part of the Bank ’s enterprise (specifically its retail operations, along with the
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Interim condensed consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 41 associated rights and obligations) was transferred to VeloBank S.A. - does not encompass the Bank ’s liability for practices infringing upon the collective interests of consumers, as identified in the decision of February 8, 2024, which initiated the proceedings. Furthermore, there are no grounds that would preclude the continuation of these proceedings against the Bank. • As of 12 June 2026, the Bank was the defendant in a total of 402 court cases concerning claims arising from the free credit sanction related to consumer loans offered by the Bank. The total value of the dispute in these cases as of the above date was PLN 10.9 MM. The Bank noted the preliminary questions submitted by Polish courts in cases concerning Polish financial market entities, which concern issues related to the free credit sanction, and is closely following the course of proceedings in which these questions are to be resolved. The Bank closely monitors court decisions in cases concerning the free credit sanction. Currently, the rulings in the Bank's cases are overwhelmingly favorable to the Bank. 24 Information about significant transactions with related entities on non- market terms In the 9-month period ended 30 September 2026, the Bank and its subsidiaries entered into transactions with related entities. All transactions with related entities were dealt on market terms. 25 Information about significant guarantee agreements In the 9-month period ended 30 September 2026, Bank and its subsidiaries did not grant guarantee – jointly to one entity or a subsidiary of that entity, which total value would be significant. 26 Significant events after the balance sheet date not included in the financial statements After the balance sheet date, there were no material events that should be additionally included in these financial statements. 27 Factors and events which could affect future financial performance of the Bank’s Capital Group As in previous months, the geopolitical situation remains a key risk factor for financial markets. Persistent tensions in the Middle East and the ongoing conflict in Ukraine continue to be the primary sources of uncertainty. Rising energy commodity prices represent an additional risk factor. In the third quarter, the prices of natural gas and crude oil increased by 35% and 60%, respectively, compared to the end of the second quarter. Such a sharp rise in energy prices could further intensify inflationary pressure, prompting major central banks —including the Fed and the ECB —to respond by raising interest rates. Rising energy commodity prices and the tightening of monetary policy by central banks may simultaneously weaken economic growth prospects, both in Europe and globally. Higher energy costs translate into increased operating expenses for businesses, which can limit their willingness to invest and negatively affect their profitability. At the same time, persistent geopolitical uncertainty may lead to greater risk aversion among investors, putting pressure on assets in emerging markets, including Poland.
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 42 Interim condensed standalone financial statements of the Bank for the third quarter of 2026 Income statement III quarter III quarter accruals III quarter III quarter accruals PLN ‘000 For a period period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 CONTINUING OPERATIONS Interest income 729,305 2,077,413 707,626 2,137,317 Similar income 66,472 196,033 112,547 263,116 Interest expense and similar charges (316,811) (865,240) (304,827) (809,378) Net interest income 478,966 1,408,206 515,346 1,591,055 Fee and commission income 141,759 414,262 125,610 381,602 Fee and commission expense (25,380) (71,888) (19,841) (58,677) Net fee and commission income 116,379 342,374 105,769 322,925 Dividend income 759 15,027 941 14,839 Net gain/(loss) on trading financial instruments and revaluation 154,600 438,039 109,060 283,822 Net gain/(loss) on debt investment financial assets measured at fair value through other comprehensive income 5,337 227,458 19,229 164,644 Net gain/(loss) on equity investments and other at fair value through income statement 713 (11,593) 257 (5,942) Net gain/(loss) on hedge accounting 2,632 (2,421) (3,604) (1,917) Other operating income 14,453 34,670 4,204 14,605 Other operating expenses (10,472) (22,913) (9,754) (29,094) Net other operating income and expense 3,981 11,757 (5,550) (14,489) General administrative expenses (237,883) (761,125) (159,362) (585,392) Depreciation and amortization (9,487) (31,916) (10,082) (32,417) Profit on sale of other assets (55) 29,859 (20) 550 Provisions for expected credit losses on financial assets and provisions for contingent liabilities (29,595) (105,908) (19,533) (28,548) Tax on certain financial institutions (26,942) (103,283) (31,456) (95,636) Profit before tax from continuing operations 459,405 1,456,474 520,995 1,613,494 Income tax expense (152,555) (482,566) (110,031) (326,870) Net profit from continuing operations 306,850 973,908 410,964 1,286,624 Net profit /(loss) from discontinued operations (18,837) 19,610 57,980 (215,658) Net profit from continuing and discontinued operations 288,013 993,518 468,944 1,070,966 Including: Weighted average number of ordinary shares (in pcs) 130,118,267 130,559,448 Earnings per share (in PLN) 7.64 8.20 Diluted net earnings per share (in PLN) 7.64 8.20
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 43 Statement of comprehensive income PLN ‘000 For a period III quarter III quarter accruals III quarter III quarter accruals period from 01.07.26 to 30.09.26 period from 01.01.26 to 30.09.26 period from 01.07.25 to 30.09.25 period from 01.01.25 to 30.09.25 Net profit from continuing and discontinued operations 288,013 993,518 468,944 1,070,966 Other comprehensive income, that is or might be subsequently reclassified to income statement: (369,995) (525,863) 100,950 202,058 Remeasurement of financial assets measured at fair value through other comprehensive income (net) (418,601) (402,676) 116,526 335,420 (Profit)/Loss reclassification to income statement after derecognition of financial assets measured at fair value through other comprehensive income (net) 48,606 (123,187) (15,576) (133,362) Other comprehensive income, that cannot be subsequently reclassified to profit or loss - 1,979 - - Net actuarial profits on specific services program valuation - 1,979 - - Other comprehensive income net of tax (369,995) (523,884) 100,950 202,058 Total comprehensive income from continuing and discontinued activity (81,982) 469,634 569,894 1,273,024
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 44 Statement of financial position as at 30.092026 31.12.2025 PLN ’000 ASSETS Cash and cash equivalents 2,802,441 9,205,484 Amounts due from banks 9,248,281 8,245,819 Financial assets held-for-trading 4,090,481 4,823,372 Hedging derivatives 21 - Debt investment financial assets measured at fair value through other comprehensive income, including: 28,519,303 30,151,984 Assets pledged as collateral 3,628,989 49,130 Shares in subsidiaries 90,858 91,020 Equity investments and other measured at fair value through income statement 134,419 183,908 Amounts due from customers 20,775,518 18,222,892 Tangible fixed assets 328,764 446,980 Intangible assets 882,046 878,388 Current income tax receivables 275,565 - Deferred tax asset 107,291 221,661 Other assets 632,410 384,670 Assets classified as held for sale - 6,083,766 Total assets 67,887,398 78,939,944 LIABILITIES Amounts due to banks 5,478,360 3,904,294 Financial liabilities held-for-trading 2,418,914 2,690,099 Hedging derivatives 85,994 358,677 Amounts due to customers 48,901,681 38,533,807 Provisions 60,367 77,176 Current income tax liabilities - 11,770 Other liabilities 1,739,157 1,039,274 Liabilities classified as held for sale - 22,294,494 Total liabilities 58,684,473 68,909,591 EQUITY Ordinary shares 522,638 522,638 Share premium 2,944,585 2,944,585 Own shares (39,310) (27,311) Revaluation reserve (285,217) 240,646 Other reserves 4,649,678 4,682,403 Retained earnings 1,410,551 1,667,392 Total equity 9,202,925 10,030,353 Total liabilities and equity 67,887,398 78,939,944
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 45 Statement of changes in equity PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2026 522,638 2,944,585 (27,311) 240,646 4,682,403 1,667,392 10,030,353 Total comprehensive income, including: - - - (525,863) 1,979 993,518 469,634 Net profit - - - - - 993,518 993,518 Other comprehensive income - - - (525,863) 1,979 - (523,884) Net changes in value of financial assets measured at fair value through other comprehensive income - - - (525,863) - - (525,863) Net actuarial profits/(losses) on defined benefit program valuation - - - - 1,979 - 1,979 Equity awards program - - (11,999) - (5,990) - (17,989) Dividends paid - - - - (28,714) (1,250,359) (1,279,073) Balance as at 30 September 2026 522,638 2,944,585 (39,310) (285,217) 4,649,678 1,410,551 9,202,925 PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2025 522,638 2,944,585 (20,577) (64,868) 4,039,644 2,434,061 9,855,483 Total comprehensive income, including: - - - 202,058 - 1,070,966 1,273,024 Net profit - - - - - 1,070,966 1,070,966 Other comprehensive income - - - 202,058 - - 202,058 Net changes in value of financial assets measured at fair value through other comprehensive income - - - 202,058 - - 202,058 Equity awards program - - (6,734) - 3,646 - (3,088) Dividends paid - - - - (448,552) (1,342,777) (1,791,329) Transfer to capital - - - - 1,091,284 (1,091,284) - Balance as at 30 September 2025 522,638 2,944,585 (27,311) 137,190 4,686,022 1,070,966 9,334,090 PLN ‘000 Ordinary shares Share premium Own shares Revaluation reserve Other reserves Retained earnings Total equity Balance as at 1 January 2025 522,638 2,944,585 (20,577) (64,868) 4,039,644 2,434,061 9,855,483 Total comprehensive income, including: - - - 305,514 (8,927) 1,667,392 1,963,979 Net profit - - - - - 1,667,392 1,667,392 Other comprehensive income: - - - 305,514 (8,927) - 296,587 Net valuation of financial assets measured at fair value through other comprehensive income - - - 305,514 - - 305,514 Net actuarial profits/(losses) on defined benefit program valuation - - - - (8,927) - (8,927) Equity awards program - - (6,734) - 8,953 - 2,219 Dividends paid - - - - (448,551) (1,342,777) (1,791,328) Transfer to capital - - - - 1,091,284 (1,091,284) - Balance as at 31 December 2025 522,638 2,944,585 (27,311) 240,646 4,682,403 1,667,392 10,030,353
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 46 Condensed summary statement of cash flows PLN ‘000 III quarter accruals III quarter accruals For a period period from 01.01.26 to 30.09.2026 period from 01.01.25 to 30.09.2025 Cash at the beginning of the reporting period 9,421,899 5,794,361 Cash flows from operating activities 5,532,383 4,003,019 Cash flows from investing activities (12,068,709) (5,277) Cash flows from financing activities (83,052) (1,398,811) Cash at the end of the reporting period 2,802,521 8,393,292 Increase/(decrease) in net cash (6,619,378) 2,598,931
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 47 Condensed additional information 1. Declaration of conformity These interim condensed standalone financial statements have been prepared in accordance with International Accounting Standard IAS 34 Interim Financial Reporting (“IAS 34”) , adopted by European Union and with other applicable regulations. These interim condensed standalone financial statements do not include all of the information required for full annual financial statements and should be read in conjunction with the standalone financial statements of the Bank for the financial year ended 31 December 2025 and interim condensed consolidated financial statement s of the Group for the nine-month period ended 30 September 2026. 2. Significant accounting policies Principles adopted in the preparation process of these interim condensed standalone financial statement s are consistent with the principles described in the annual standalone financial statements of the Bank for the financial year ended 31 December 202 5 taking into account the changes described in the interim condensed consolidated financial statements of the Group for the 9-month period ended 30 September 2026. Other information and explanations presented in interim condensed consolidated financial statements for the third quarter of 2026 also contain all information and explanatory data essential for these interim condensed standalone financial statements. The summary of Bank’s financial results for the third quarter of 2026 is presented below. Bank’s financial results In the third quarter of 2026, the Bank generated a profit before tax from continuing operations of PLN 459.4 million, compared to PLN 521.0 million in the corresponding period of 2025 (i.e. decrease by PLN 61.6 million, 11.8 % YoY). Net loss from discontinued operations amounted to PLN 18.8 million compared to net profit of PLN 58.0 million in the corresponding period of 2025. Net profit from continu ing operations and discontinued operations earned in the period from January to September 2026 amounted to PLN 993.5 million compared to PLN 1.1 billion of net profit in the corresponding period of 2025 (i.e. decrease by PLN 77.5 million, 7.2 % YoY). The Bank's net profit for the third quarter of 2026 was primarily influenced by higher operating and general administrative expenses, the recorded net loss on discontinued operations and higher tax burden due to an increase in the income tax rate.
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Interim condensed standalone financial statements of the Bank Handlowy w Warszawie S.A. for the 9-month period ended 30 September 2026 TRANSLATION 48 The interim condensed consolidated financial statements for the third quarter of 2026 will be available on the website of Bank Handlowy w Warszawie SA. www.citihandlowy.pl. Signatures of Management Board Members 04.11.2026 Elżbieta Światopełk- Czetwertyńska President of the Management Board ........................... ............................................. ................................ Date Name Position/function 04.11.2026 Maciej Kropidłowski Vice-President of the Management Board ........................ ............................................. ................................ Date Name Position/function 04.11.2026 Barbara Sobala Vice-President of the Management Board ........................ ............................................. ................................ Date Name Position/function 04.11.2026 Patrycjusz Wójcik Vice-President of the Management Board ........................ ............................................. ................................ Date Name Position/function 04.11.2026 Tomasz Dziurzyński Member of the Management Board ........................ ............................................. ................................ Date Name Position/function 04.11.2026 Sebastian Perczak Member of the Management Board ........................ ............................................. ................................ Date Name Position/function The original Polish document is signed with qualified electronic signatures.