Interim report
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Interim Report January - September 2026
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1Interim Report | January - September 2026Avarda Bank AB (publ) "Credit card activity continues to increase and is a key driver of our long-term growth. Every transaction deepens our understanding of our customers’ needs and behaviour, enabling more informed credit decisions and creating opportunities to increase revenue over time." Another Quarter Marked by Continued Strong Growth with the Customer in Focus January - September 2026 Compared with January - September 2025 • Loans to the public amounted to SEK 28,380 million, compared with September 2025 the increase in local currencies was 20% • Operating profit increased by 30% to SEK 798.2 million • Earnings per share increased by 36% to SEK 9.65 • Adjusted earnings per share increased by 32% to SEK 9.38 • Cost/income ratio improved to 34.3% (36.7) • Return on equity amounted to 26.1% (22.7) • Adjusted return on equity amounted to 25.3% (22.8) • Total capital ratio amounted to 15.2% (16.1) compared with 31 December 2025 Joakim Jansson, Group CEO Key Takeaways • Strong customer engagement during the past year, the number of app-users increased by 35% to 593,685. • Everyday Finance had an organic loan portfolio growth of 34% to SEK 18,675 million and a significant improvement in operating profit, up 51% to SEK 555.6 million. • The strategic shift from Consumer Lending to Everyday Finance continues. Everyday Finance now accounts for 66% of the loan portfolio and 77% of operating income. 9908.9 January - September 2026As of 30 September 2026January - September 2026 Risk-adjusted margin, % Revenue per customer, SEK Interim Report January - September 2026 3.9 594 Customers, million Of which app-users, thousand +40bp July - September 2026 Compared with July - September 2025 • Loans to the public amounted to SEK 28,380 million, compared with September 2025 the increase in local currencies was 20% • Operating profit increased by 29% to SEK 297.6 million • Earnings per share increased by 30% to SEK 3.51 • Cost/income ratio improved to 33.2% (35.4) • Return on equity amounted to 28.1% (25.0) +35%
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2Interim Report | January - September 2026Avarda Bank AB (publ) About Avarda Group We Move Customers and Investments Forward - Towards New Opportunities 28,380 26.1 15.2 As of 30 September 2026 January - September 2026 As of 30 September 2026 Avarda Group simplifies how customers across Europe manage their personal finances. We have been listed on Nasdaq Stockholm since 2016. Rooted in our Swedish heritage, we combine a pragmatic and disciplined business mindset, with cutting-edge technology and innovation, always with a strong focus on cost-efficiency and profita- bility. Our proprietary, scalable platform and infrastructure enable efficient expansion across multiple markets. For individual customers, we provide access to payments, savings and lending, that adapts to their lives and needs. For business partners, we remove friction, helping them stay in control, build consumer loyalty and expand into new markets. For investors, we create a system where value never stands still, ensuring long-term profitability, growth and progress. We move customers, partners and ourselves forward – towards new opportunities and evolving needs. Forward. Avarda. +20% Reasons to Invest in Avarda Avarda is a digital provider of financial services to individuals in Europe. With innovation and technology at the forefront, Avarda is continuously available with customer-tailored payments, savings, and lending solutions, whenever customers need them. Through credit cards, payment solutions, and loans, Avarda serves both consumers and business partners by fostering long-term customer relationships rather than one-off transactions. The business model combines a proprietary, scalable platform with disciplined lending and bank-grade risk management, enabling profitable growth and stable risk-adjusted returns across multiple markets. • High-yield lending model with a focus on stable loan losses and robust risk-adjusted margins • Scalable digital platform enabling profitable growth across European markets • Strong exposure to structural growth within payments and financing • Recurring customer relationships driving lifetime value and predictable revenues • Technology-driven scalability combined with bank- grade risk management and strong capital position Loan portfolio, SEK million Return on equity, % Total capital ratio, % Avarda Group is expected to generate: • Loan portfolio of SEK 35 billion by H2 2027 at the latest. • A maintained return on equity well above 20%. • Capital ratios of at least 2.5 percentage points above regulatory requirements. Financial targets
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3Interim Report | January - September 2026Avarda Bank AB (publ) 0 10 20 30 0 100 200 300 Q3 16 Q3 17 Q3 18 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 25 Q3 26 Highlights From Recent Years 2026 – Scalable and technology-driven product platform • Customer-driven growth as the primary value creation engine. • Risk-adjusted returns demonstrating quality at scale. • The strategic reallocation from Consumer Lending to Everyday Finance is taking full effect. • “Combining platform scalability with bank-grade risk management.” 2025 – Profitable growth with disciplined risk management • Operational leverage through automation and digital processes. • Development of a shared platform enables scalable infrastructure. • “A scalable, technology-driven consumer banking model.” 2024 – Strengthened European presence • Strategic focus on active customers and long-term value creation. • Clear ambition to broaden the narrative beyond traditional lending. • “From lending growth to customer economics.” 2023 – Efficient balance sheet structure and stable capital base • Increased share of recurring customers. • Enhanced credit analytics and increased automation. • “Profitable growth without compromising on risk.” 2022 – High-performing niche bank • Recognised for high return on equity and disciplined credit underwriting. • Increased resilience in a macroeconomically uncertain environment. • “Industry-leading profitability in consumer lending.” Profitable growth since the IPO in 2016 Avarda Group's Evolution (SEK million) (SEK billion) Operating profit Loans to the public
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4Interim Report | January - September 2026Avarda Bank AB (publ) Group Key Financials SEK thousand Jul-Sep 2026 Jul-Sep 2025 Δ Jan-Sep 2026 Jan-Sep 2025 Δ Jan-Dec 2025 Income statement Operating income 963,556 747,571 29% 2,686,772 2,106,170 28% 2,904,504 Operating expenses -320,132 -264,400 21% -922,650 -773,330 19% -1,052,892 Net loan losses -345,805 -252,312 37% -965,928 -7 1 9,033 34% -995,804 Operating profit 297,619 230,859 29% 798,194 613,807 30% 855,808 Profit for the period 233,319 180,787 29% 642,366 477,599 34% 667,046 Earnings per share, SEK 3.51 2.70 30% 9.65 7.09 36% 9.92 Balance sheet Loans to the public 28,379,596 22,796,663 24% 28,379,596 22,796,663 24% 23,678,282 Deposits from the public 30,500,045 23,666,311 29% 30,500,045 23,666,311 29% 24,856,055 Transaction volume ¹ 15,161,784 11,945,259 27% 41,189,043 31,718,197 30% 45,245,845 Key figures Operating income margin, % 14.1 13.4 13.8 13.0 13.2 Net loan loss ratio, % 5.1 4.5 4.9 4.5 4.5 Risk-adjusted margin, % 9.0 8.9 8.9 8.5 8.7 Cost/income ratio, % 33.2 35.4 34.3 36.7 36.3 Return on equity, % 28.1 25.0 26.1 22.7 23.1 Return on loans to the public, % 3.3 3.1 3.2 2.8 2.9 CET1 capital ratio, % 12.5 14.3 12.5 14.3 13.0 Tier 1 capital ratio, % 13.5 15.6 13.5 15.6 14.2 Total capital ratio, % 15.2 17.4 15.2 17.4 16.1 Average number of employees, FTE 541 483 12% 521 466 12% 471 Adjusted key financials Income statement Profit for the period 233,319 180,787 29% 642,366 477,599 34% 667,046 Items affecting comparability ² - - -21,637 2,251 2,251 Provision for tax surcharge - - 4,000 - - Adjusted profit for the period 233,319 180,787 29% 624,729 479,850 30% 669,297 Adjusted profit for the period attributable to the shareholders of the Parent Company 227,118 174,472 30% 606,329 460,634 32% 643,459 Adjusted earnings per share, SEK 3.51 2.70 30% 9.38 7.13 32% 9.95 Key figures Adjusted return on equity, % 28.1 25.0 25.3 22.8 23.1 Adjusted return on loans to the public, % 3.3 3.1 3.1 2.9 2.9 1 Comparative figures have been restated from previously published reports following a change of data source that more accurately reflects actual processed transaction volume. 2 Adjustments for items affecting comparability relate to transactions under the share purchase agreement with Alektum Holding AB and Erik Selin Fastigheter AB regarding the divestment of the shares in the former subsidiary Rediem Capital AB. See separate section with definitions and reconciliation tables, pages 44-45. Key Financials
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5Interim Report | January - September 2026Avarda Bank AB (publ) The Shift is Delivering Clear Results The business delivered strong results in the third quarter. The loan portfolio grew by 20% in local currencies compared with the same period last year. Growth was mainly driven by Everyday Finance, where several credit card markets continued to show positive momentum. Our scalable business model enables us to manage higher volumes without a corresponding increase in our cost base, contributing to improved profitability. Operating profit was SEK 298 million, up 29% compared with the same period last year, while return on equity rose by 3 percentage points to 28%. This performance reflects the strategic shift that has been transforming Avarda for several years. We continue to actively reallocate capital, technology and customer acquisition resources from Consumer Lending towards Everyday Finance. This allows us to prioritise on relationship-based digital services embedded in our customers’ everyday lives. Everyday Finance – customer relationships in focus Everyday Finance continues to grow, supported by increasingly active and engaged customers. The loan portfolio grew by 34% in local currencies compared with the same period last year. Germany remains the primary driver of both growth and earnings, while our other credit card markets are delivering even higher relative growth rates. Positive developments across several markets, combined with increasing economies of scale, contributed to 49% growth in operating profit compared with the same period last year. Credit card activity continues to increase and is a key driver of our long-term growth. Every transaction deepens our understanding of our customers’ needs and behaviour, enabling more informed credit decisions and creating opportunities to increase revenue over time. Transaction volume is also one of the strongest indicators of future growth in lending and revenue. It rose by 30% compared with the same period last year. The increase in transaction volume reflects both an expanding customer base and strong customer engagement. Our app plays a central role in this development, becoming an increasingly important channel for introducing additional services and strengthening customer relationships. The number of app- users, which corresponds to the number of active credit cards, grew by 35% compared with September 2025. Consumer Lending – a deliberate prioritisation The Consumer Lending business is also changing. We continue to reallocate capital from the Nordic markets towards areas of the business offering the most attractive risk-adjusted returns. The loan portfolio decreased by 1% in local currencies compared with the same period last year. We remain focused on strengthening margins in the segment, and the C/I ratio improved to 31.8% (33.7). Operating environment and capital Macroeconomic and geopolitical uncertainty persists, and we are monitoring developments closely. Market interest rates continued to rise during the quarter, with the ECB implementing another policy rate increase in September, following the increase in June. Our ability to adjust lending rates promptly in response to changing market conditions, combined with the gradual impact of higher deposit rates on our funding costs, resulted in a slightly positive effect on net interest margin during the quarter. During the quarter, we entered into agreements for the sale of past-due receivables across several markets, reducing their share of the balance sheet. Conditions in the NPL market continue to improve, with more favourable terms and increasingly attractive pricing. These developments provide further opportunities to manage our past-due receivables more efficiently going forward. Strong business growth and regulatory deductions for foreseeable dividends had a slight impact on our capital ratios during the quarter. Nevertheless, the Bank’s capital ratios remain comfortably above regulatory requirements, providing a solid foundation for continued growth. The total capital ratio was just below our financial target at the end of the third quarter. As part of our ongoing capital optimisation efforts, we are therefore evaluating opportunities to further strengthen our capital structure through the bond market in the near term. Well positioned for continued growth We have made significant progress in our strategic shift, and our performance continues to confirm that we are on the right track. Supported by a scalable platform and an organisation experienced in developing new markets and offerings, Avarda is well positioned to deliver continued profitable growth. CEO Statement Joakim Jansson, Group CEO
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6Interim Report | January - September 2026Avarda Bank AB (publ) Germany Norway Austria Sweden Finland Other Everyday Finance Everyday Finance is a segment where we build long-term and continuous relationships linked to the customer’s daily finances with a customer promise to be available whenever customers need us. The app is the hub of the customer relationship, and each new service integrated into the app strengthens the relationship while increasing customer value over time. The segment includes credit cards and digital payment solutions, offered through a modern user interface with a high degree of flexibility. The offering is built on Avarda’s proprietary platform, where inte- grated customer journeys and data-driven decision-making enable rapid development and efficient achievement of economies of scale across multiple markets. At the end of the quarter, the number of app-users amounted to 593,685, an increase of 35% compared with the previous year. The number of app-users is equated with the number of active credit cards. The number of newly issued credit cards during the interim period amounted to 216,126 (160,841). The transaction volume within the segment increased by 35% to SEK 37,101 million (27,506). Loan portfolio The total loan portfolio amounted to SEK 18,675 million (13,486), an increase of 34% in local currencies compared with September 2025. Positive currency effects contributed a further 4% to loan portfolio growth. Growth is primarily attri- butable to the credit card business in Germany. The combined loan portfolios in Germany and Austria increased by 45% to EUR 1,292 million (892) over the past year. The Nordic loan portfolio amounted to SEK 3,791 million (3,276), an increase of 10% in local currencies compared with September 2025. In the newly launched markets of Spain and Italy, the combined loan portfolio amounted to EUR 10 million (3). Results Operating profit amounted to SEK 555.6 million (368.8), an increase of 51%. The improvement was primarily driven by higher income from the growing credit card portfolio in Germany and continued economies of scale in the business model. Operating income increased by 38% to SEK 2,018 million (1,466) and the operating income margin improved to 16.2% (15.8). Operating expenses increased by 26% to SEK 711.5 million (564.4) and were mainly driven by a higher inflow of customers. Loan losses increased by 41% to SEK 751.2 million (533.3). The loan loss ratio amounted to 6.0% (5.8). 37,101 216,126 January - September 2026 January - September 2026 +35% +34% Transaction volume, SEK million Newly issued credit cards Share of loan portfolio by country Performance in the Segment
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7Interim Report | January - September 2026Avarda Bank AB (publ) Norway Finland Latvia Lithuania Estonia Denmark Other Consumer Lending Consumer Lending addresses the customer’s credit needs at a specific point in time. The segment mainly consists of the Bank’s offering of unsecured consumer loans to creditworthy retail customers. The offering is adapted to local market conditions, where the product range varies between markets. The Nordic share of the loan portfolio amounted to 60% at the end of the quarter. The loan portfolio outside the Nordic region accounted for 40% of the segment, with the majority in the Bal- tics. During 2025, lending was also launched in Germany. Loan portfolio The loan portfolio amounted to SEK 9,705 million (9,310), the decrease in local currencies is 1% compared with September 2025. Positive currency effects impacted growth by 5%. New lending decreased by 3% to SEK 4,088 million (4,212) as a result of capital being reallocated to another segment. The Nordic loan portfolio amounted to SEK 5,812 million (5,779), a decrease of 6% in local currencies compared with September 2025. The loan portfolio in the Baltics increased by 1% to EUR 297 million (295) over the past year. Results Operating profit decreased by 1% and amounted to SEK 242.6 million (245.0). Operating income increased by 5% to SEK 668.5 million (639.7) primarily driven by the expansion in Germany, and the operating income margin improved to 9.5% (9.3). Operating expenses increased by 1% to SEK 211.2 million (208.9). However, the cost/income ratio improved to 31.6% (32.7). Loan losses increased by 16% to SEK 214.8 million (185.8), as a result of higher loan losses in the Nordic region and increased provisions linked to rising new lending in Germany. The loan loss ratio amounted to 3.0% (2.7). Operating profit (SEK million) Share of loan portfolio by country Performance in the Segment 0 50 100 150 200 250 Jan-Sep 2025 Jan-Sep 2026
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8Interim Report | January - September 2026Avarda Bank AB (publ) Responsible Lending 2022 The Company signed the United Nations Global Compact 2023 The Company's sustainability policy was adopted 2024 Double materiality assessment was conducted Sustainability strategy approved by the Board of Directors 2025 Updated sustainability policy Prepared a formal governance structure for sustainability Comprehensive emissions assessment for Scope 1–3 2026 Integration of identified material sustainability issues into risk management and governance processes In a well-functioning economy, responsible lending plays a vital role by providing individuals with access to essential financial services in a safe, transparent, and sustainable manner. At Avarda Group, we actively work to continuously strengthen our sustainability efforts and thereby support the United Nations Sustainable Development Goals (UN SDGs). The timeline above presents the most significant sustainability-related initiatives during the period 2022-2026. We integrate environmental, social, and governance (ESG) aspects into our business model, risk management, and decision-making processes. This is achieved through responsible lending practices, transparent customer dialogue, and a long-term approach to value creation. Sustainability 8Interim Report | January - September 2026Avarda Bank AB (publ)
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9Interim Report | January - September 2026Avarda Bank AB (publ) Group Performance January - September 2026 Compared with January - September 2025 Operating profit Operating profit increased by 30% to SEK 798.2 million (613.8). The risk-adjusted margin improved to 8.9% (8.5) and, combined with the growing loan portfolio, drove the increase in operating profit. Adjusted earnings per share increased by 32% to SEK 9.38 (7.13) and the adjusted return on equity amounted to 25.3% (22.8). Operating income Operating income increased by 28% to SEK 2,687 million (2,106). The increase is related to the growing loan portfolio and geographically it was primarily Germany that had higher operating income. Operating income margin improved to 13.8% (13.0). Revenue per customer amounted to SEK 990 (954) on an annualised basis, which was a strong contributing factor to the strengthened operating income margin. Net interest income accounted for 94% and net fee and commission income for 6% of the operating income. Interest income increased by 25% to SEK 3,183 million (2,542), which is primarily due to a growing loan portfolio. Interest expenses increased by 9% to SEK 655.7 million (599.7), which is mainly explained by rising deposit balances. Net fee and commission income increased by 2% to SEK 164.0 mil- lion (161.4). The increase is mainly attributable to higher insurance premiums and higher transaction volumes in the Everyday Finance segment. During the interim period, 43% of the fee and commission income originated from insurance premiums, 26% from reminder fees and 31% from other commission income. Operating expenses Operating expenses increased by 19% to SEK 922.7 million (773.3). The increase is mainly explained by higher sales-related expenses due to an increase in the number of customers and higher debt collection costs. However, the C/I ratio improved to 34.3% (36.7), mainly due to continued economies of scale in the business. Loan losses Net loan losses increased by 34% to SEK 965.9 million (719.0) which is mainly explained by the growing loan portfolio and the share of credit cards in Everyday Finance. The net loan loss ratio amounted to 4.9% (4.5). Tax expenses Tax expenses increased by 32% to SEK 177.5 million (134.0). The increase in the tax expenses is primarily related to a higher operating profit. Compared with 31 December 2025 (unless otherwise stated) Loans to the public The loan portfolio amounted to SEK 28,380 million (22,797), an in- crease in local currencies of 20% compared with September 2025. Positive currency effects contributed a further 4% to loan portfolio growth. The growth is primarily driven by the number of customers, which increased by 22% to 3.9 million (3.2). Transaction volume increased by 30% to SEK 41,189 million (31,718) compared with the first nine months of 2025. The increase is driven by the Everyday Finance segment. Avarda Group’s loan portfolio is well diversified with relatively small exposures in several different geographic markets. At the end of the interim period, the exposure towards the three largest countri- es was Germany at 49%, Norway at 18% and Finland at 9%. Deposits from the public Deposits from the public amounted to SEK 30,500 million (23,666), an increase of 26% in local currencies compared with September 2025. Positive currency effects contributed a further 3% to growth. At the end of the interim period, deposits were geographically distributed between Germany 63%, the Netherlands 23% and other countries 14%. The increased deposit balance over the past year is mainly attri- butable to Germany and the Netherlands. At the end of the interim period, fixed-term accounts accounted for 43% (44) of Avarda Group’s total deposits. Cash and cash equivalents Cash and cash equivalents increased to SEK 5,924 million (4,660) during the first nine months. At the end of the interim period, the available liquidity reserve amounted to 18% (17) 1 of deposits from the public. Capital adequacy The capital ratios have decreased slightly and at the end of the first nine months the CET1 capital ratio was 12.5% (13.0), the Tier 1 capital ratio was 13.5% (14.2) and the total capital ratio was 15.2% (16.1). All capital ratios are affected by the loan portfolio growth during the interim period and deductions for foreseeable dividends included in the capital base. At the end of the first nine months, Avarda Group's statutory Common Equity Tier 1 capital requirement was 8.8%, the Tier 1 capital requirement was 10.5% and the total capital requirement was 12.9%. 1 Excluding restricted cash and cash equivalents that are not available on the following day. Financial Overview
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10Interim Report | January - September 2026Avarda Bank AB (publ) Group Performance July - September 2026 Compared with July - September 2025 Operating profit Operating profit increased by 29% to SEK 297.6 million (230.9). The risk-adjusted margin improved to 9.0% (8.9) and, combined with the growing loan portfolio, drove the increase in operating profit. Earnings per share increased by 30% to SEK 3.51 (2.70) and the return on equity amounted to 28.1% (25.0). Operating income Operating income increased by 29% to SEK 963.6 million (747.6). The increase is related to the growing loan portfolio and geographically it was primarily Germany that had higher operating income. Operating income margin improved to 14.1% (13.4). Revenue per customer amounted to SEK 1,016 (969) on an annualised basis, which was a strong contributing factor to the strengthened operating income margin. Net interest income accounted for 95% and net fee and commission income for 5% of operating income in the quarter. Operating expenses Operating expenses increased by 21% to SEK 320.1 million (264.4). The increase is mainly explained by higher sales-related expenses due to an increase in the number of customers and higher debt collection costs. However, the C/I ratio improved to 33.2% (35.4) as a result of continued economies of scale in the business. Loan losses Net loan losses increased by 37% to SEK 345.8 million (252.3) which is mainly explained by the growing loan portfolio in the Everyday Finance segment. The net loan loss ratio amounted to 5.1% (4.5). Loans to the public The loan portfolio amounted to SEK 28,380 million (22,797), an increase in local currencies of 20% compared with September 2025. Positive currency effects contributed a further 4% to loan portfolio growth. The growth is primarily driven by the number of customers, which increased by 22% to 3.9 million (3.2). Transaction volume increased by 27% to SEK 15,162 million (11,945) compared with the third quarter of 2025. The increase is driven by higher transaction volume in the Everyday Finance segment. Financial Overview
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11Interim Report | January - September 2026Avarda Bank AB (publ) Other Information Overview Avarda Group simplifies how customers across Europe manage their personal finances. We have been listed on Nasdaq Stockholm since 2016. Rooted in our Swedish heritage, we combine a pragmatic and disciplined business mindset, with cutting-edge technology and innovation, always with a strong focus on cost-efficiency and profi- tability. Our proprietary, scalable platform and infrastructure enable efficient expansion across multiple markets. Accounting policies The interim report has been prepared in accordance with International Accounting Standards (IAS) 34 Interim Financial Reporting. The consolidated financial statements have been prepared in accord- anc with International Financial Reporting Standards (IFRS) as adopted by the EU. In addition, the supplementary provisions of the Swedish Annual Accounts Act for Credit Institutions and Securities Companies (1995:1559), RFR 1 Supplementary Accounting Rules for Groups issued by the Swedish Sustainability and Financial Reporting Board, and the regulations of the Swedish Financial Supervisory Authority (FFFS 2008:25) have been applied. The Parent Company’s financial statements have been prepared in accordance with the Swedish Annual Accounts Act for Credit Institutions and Securities Companies (1995:1559), RFR 2 Accounting for Legal Entities issued by the Swedish Sustainability and Financial Reporting Board, and the regulations of the Swedish Financial Supervisory Authority (FFFS 2008:25). Avarda Group’s accounting policies, calculation methods and presentation are, in all material respects, unchanged compared with the 2025 annual report. However, during the period, reclassifications have been made within the balance sheet affecting the items Other assets, Prepaid expenses and accrued income, Deposits and borrowings from the public, Other liabilities, and Accrued expenses and deferred income, including comparative figures. Risks and uncertainties Various types of risks arise in the Group’s operations and these risks may materialise in different ways across the business. The following main risk categories have been identified: • Credit risks (including credit risks related to the loan portfolio, credit-related concentration risks and counterparty risks) • Market risks (including interest rate and foreign exchange risks) • Liquidity risks • Operational risks (including process risks, IT and system risks and external risks) • Other business risks (including business risks, cyclical risks and reputational risks) The Group assesses credit risks, liquidity risks and operational risks to be the most significant risks. To limit and control risk- taking within the business, the Board of Directors, which holds ultimate responsibility for internal control, has established policies and instructions governing lending and other activities. Banking operations are subject to extensive regulations concerning capital adequacy and liquidity requirements, primarily governed by the regulatory package that comprises the Capital Requirements Directive (CRD) and the Capital Requirements Regulation (CRR), which jointly implement the Basel Accords within the European Union (collectively known as the “Basel regulatory framework”). The Basel regulatory framework includes certain capital requirements designed to be variable over time and that are dependent on the presence of cyclical and structural systemic risks. The Company must, at all times, comply with the specified capital and liquidity ratios and maintain adequate capital and access to liquidity. Avarda Group monitors changes to capital and liquidity requirements and takes these into account in its financial targets. More information about the Group’s credit risks and capital adequacy can be found in notes 2 and 9 and on page 46 in the interim report. For a more detailed description of financial risks and the use of financial instruments, as well as capital adequacy, see notes G3 and G34 of the Annual Report 2025. Other Information
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12Interim Report | January - September 2026Avarda Bank AB (publ) Parent Company The Parent Company Avarda Bank AB (publ) is headquartered in Borås. Operating income in the Parent Company increased by 13% to SEK 2,368 million (2,102), which is mainly explained by the growing loan portfolio within the Everyday Finance segment. Operating profit increased by 17% to SEK 723.3 million (620.4). Geopolitical and macroeconomic uncertainty The evolving external environment, characterised by both geo- political tensions and macroeconomic uncertainty, may affect Avar- da Group’s operations. The geopolitical situation remains uncertain in parts of Europe, which also contributes to more volatile macro- economic developments. Taken together, these factors may impact both the demand for credit and customers’ repayment capacity. It cannot therefore be ruled out that Avarda Group’s operations, new lending, and loan losses may be negatively affected going forward by geopolitical and macroeconomic events. Significant events during the period On 20 March 2026, the Company published its annual and sustainability report for 2025. On 27 March 2026, the British subsidiary, TFBN Services Ltd, was granted authorisation by the supervisory authority (the Financial Conduct Authority) to conduct consumer credit activities and provide payment services in the United Kingdom. The Annual General Meeting on 5 May 2026 resolved on a dividend to shareholders of SEK 5.00 per share. John Brehmer was re- elected as Chairman of the Board, while Jina Zachrisson was elected as a new Board member. Fredrik Oweson had declined re- election. The other Board members were re-elected at the meeting. The Board of Directors has resolved to exercise the authorisation granted by the Annual General Meeting on 5 May 2026 to repurchase Avarda Bank's own shares in order to secure the delivery of shares to participants in Share Programme 2023. Transactions with related parties Transactions between Group companies relate to the invoicing of services provided by subsidiaries. Transactions with other related parties refer to transactions between Avarda Group and companies that, to a large extent, have the same owners as Avarda Group’s largest shareholder, TFB Holding AB, with Reg. no. 556705-2997. All transactions are carried out on market terms. The share Avarda Group was listed on Nasdaq Stockholm in the Mid Cap segment on 14 June 2016. The share was traded up to and including 9 April 2026 under the ticker name TFBANK, with ISIN code, SE0025666969. From 10 April 2026, in connection with the name change to Avarda Bank AB, the share is traded under the new ticker: AVARDA, with an unchanged ISIN code SE0025666969. As of 30 September 2026, the number of shares amounted to 64,650,000. The closing price as of 30 September 2026 was SEK 204.5, and the number of shareholders amounted to 6,392. Shareholders Ownership of Avarda Bank AB as of 30 Sep 2026 Shareholder % TFB Holding AB 28.23 Tiberon AB 15.00 Erik Selin Fastigheter AB 12.53 Proventus Aktiebolag 4.17 Maud Umberg Weil 3.91 Carnegie Fonder AB 3.43 Nordnet Pensionsförsäkringar AB 3.04 Försäkringsbolaget Avanza Pension 1.48 Amidak AB 1.24 Anders Klein 1.00 Other shareholders 25.97 Total 100.00 Source: Euroclear Other Information
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13Interim Report | January - September 2026Avarda Bank AB (publ) Financial targets On 13 April 2025, the Board adopted the following financial targets: • Growth – Avarda Bank's aim is to achieve a loan portfolio of SEK 35 billion by the second half of 2027. • Profitability – Avarda Bank's aim is to maintain a return on equity well above 20%. • Capital structure – Avarda Bank's aim is that all capital ratios should exceed the regulatory requirement (including Pillar 2 and buffer requirements) by at least 2.5 percentage points. Dividend Avarda Group's dividend policy is to distribute surplus capital in relation to capital targets and the Bank's capital planning. The Board of Directors The Board of Directors of Avarda Bank AB (publ) consists of Chairman John Brehmer and Board members Sara Mindus, Niklas Johansson, Michael Lindengren, Jina Zachrisson and Arti Zeighami. Executive Directors The Executive Directors in Avarda Bank AB (publ) consist of Group CEO Joakim Jansson, Group CFO and Deputy CEO Mikael Meomuttel and CCO Vilma Sool. Employees The average number of full-time employees (FTEs) in the Group during the period 1 January – 30 September 2026 was 521 (466), of which 47% were women and 53% men. Other Information Presentation for investors, analysts and media A conference call will be held on Wednesday, 14 October 2026, at 08:15 CEST, during which Group CEO Joakim Jansson and Group CFO Mikael Meomuttel will present the interim report for the third quarter. Following the presentation, there will also be an opportunity to ask questions about the interim report. The presentation will be in English, while the conference call will be conducted in Swedish. To listen and ask questions, please dial +46 (0)8 5050 0829 and enter the meeting code 944 8446 3351. International investors will also have the opportunity to ask questions in English during the final Q&A session. A recording of the conference call and the presentation materials will be made available afterwards on the Company’s website, group.avarda.com. Financial Calendar 20 January 2027 Year-end Report, January - December 2026 14 April 2027 Interim Report, January - March 2027 19 March 2027 Annual Report 2026
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14Interim Report | January - September 2026Avarda Bank AB (publ) This is information that Avarda Bank AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication on 14 October 2026 at 06:30 CEST. Group CEO Joakim Jansson joakim.jansson@avarda.com Group CFO Mikael Meomuttel mikael.meomuttel@avarda.com Registered office Lilla Brogatan 6, SE-503 30 Borås Phone: +46 33 722 35 00 group.avarda.com For more information, please contact Assurance by the Board of Directors and the CEO The Board of Directors and the CEO certify that the interim report gives a true and fair overview of the development of the operations, financial position and results of the Parent Company and the Group and describes the material risks and uncertainties that the Parent Company and the Group face. Borås, 13 October 2026 John Brehmer Chairman Joakim Jansson Group CEO Niklas Johansson Arti ZeighamiJina Zachrisson Michael Lindengren Sara Mindus Other Information Auditor's Report on Review of Interim Financial Information Introduction We have conducted a limited review of the condensed interim financial information (interim report) for Avarda Bank AB (publ), as of 30 September 2026, and the nine-month period ended on that date. The Board of Directors and the Managing Director are responsible for preparing and presenting this interim report in accordance with IAS 34 and the Annual Accounts Act for Credit Institutions and Securities Companies. Our responsibility is to express a conclusion on this interim report based on our limited review. The focus and scope of the limited review We have conducted our limited review in accordance with the International Standard on Review Engagements ISRE 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity." A limited review consists of making inquiries, primarily of persons responsible for financial and accounting matters, performing analytical procedures, and other review procedures. A limited review has a different focus and a significantly smaller scope compared to the focus and scope of an audit conducted in accordance with ISA and gene- rally accepted auditing standards. The review procedures taken in a limited review do not enable us to obtain the assurance that we would become aware of all significant matters that might have been identified in an audit. Therefore, the conclusion expressed based on a limited review does not have the assurance that a conclusion expressed based on an audit has. Conclusion Based on our limited review, nothing has come to our attention that causes us to believe that the interim report is not, in all material respects, prepared for the group in accordance with IAS 34 and the Annual Accounts Act for Credit Institutions and Securities Companies and for the Parent Company in accordance with the Annual Accounts Act for Credit Institutions and Securities Companies. Stockholm, 13 October 2026 Öhrlings PricewaterhouseCoopers AB Martin By Frida Main Authorised Public Accountant Authorised Public Accountant Auditor in charge This is a translation of the Swedish language original. In the event of any differences between this translation and the Swedish language original, the latter shall prevail.
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15Interim Report | January - September 2026Avarda Bank AB (publ) Group Financial Statements Financial Statements
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16Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand Note Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Operating income Interest income 1,159,542 890,806 3,182,715 2,542,376 3,487,581 Interest expense -241,330 -198,888 -655,701 -599,654 -808,621 Net interest income 918,212 691,918 2,527 ,014 1,942,722 2,678,960 Fee and commission income 138,357 112,310 383,553 324,555 441,994 Fee and commission expense -90,770 -56,694 -219,587 -163,181 -220,139 Net fee and commission income 47 ,587 55,616 163,966 161,374 221,855 Net results from financial transactions -2,243 37 -4,208 2,074 3,689 Total operating income 963,556 747 ,571 2,686,772 2,106,170 2,904,504 Operating expenses General administrative expenses -282,755 -229,613 -814,774 -672,892 -917,765 Depreciation and amortisation of tangible and intangible assets -17,327 -17,232 -51,136 -51,362 -70,467 Other operating expenses -20,050 -17,555 -56,740 -49,076 -64,660 Total operating expenses -320,132 -264,400 -922,650 -773,330 -1,052,892 Profit before loan losses 643,424 483,171 1,764,122 1,332,840 1,851,612 Net loan losses 4 -345,805 -252,312 -965,928 -719,033 -995,804 Operating profit 297 ,619 230,859 798,194 613,807 855,808 Items affecting comparability - - 21,637 -2,251 -2,251 Income tax for the period -64,300 -50,072 -177,465 -133,957 -186,511 Profit for the period 233,319 180,787 642,366 477 ,599 667 ,046 Profit for the period attributable to: Shareholders of the Parent Company 227,118 174,472 623,966 458,383 641,208 Holders of additional Tier 1 capital instruments 6,201 6,315 18,400 19,216 25,838 Basic earnings per share (SEK) 3.51 2.70 9.65 7.09 9.92 Diluted earnings per share (SEK) 3.51 2.70 9.65 7.09 9.92 Income Statement, Consolidated Financial Statements
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17Interim Report | January - September 2026Avarda Bank AB (publ) Statement of Comprehensive Income, Consolidated SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Profit for the period 233,319 180,787 642,366 477 ,599 667 ,046 Other comprehensive income Items that may subsequently be reclassified to the income statement Gross exchange rate differences 3,636 -1,696 5,755 -3,025 -6,296 Tax on exchange rate differences in the period - - - - -15,668 Other comprehensive income for the period 3,636 -1,696 5,755 -3,025 -21,964 Total comprehensive income for the period 236,955 179,091 648,121 474,574 645,082 Comprehensive income for the period attributable to: Shareholders of the Parent Company 230,754 172,776 629,721 455,358 619,244 Holders of additional Tier 1 capital instruments 6,201 6,315 18,400 19,216 25,838 Financial Statements
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18Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand Note 30 Sep 2026 31 Dec 2025 Assets Cash and balances with central banks 12,637 17,576 Treasury bills eligible for refinancing 3,867,089 2,489,437 Loans to credit institutions 2,309,709 2,236,407 Loans to the public 3, 7 28,379,596 23,678,282 Shares 139,402 117,267 Goodwill 20,011 20,011 Intangible assets 78,718 82,703 Tangible assets 86,424 75,182 Other assets 217,397 176,311 Current tax assets 15,261 4,368 Deferred tax assets 43,780 86,129 Prepaid expenses and accrued income 32,971 90,188 Total assets 35,202,995 29,073,861 Liabilities and Equity Liabilities Deposits and borrowings from the public 8 30,500,045 24,856,055 Other liabilities 369,572 228,496 Current tax liabilities 10,995 81,100 Accrued expenses and deferred income 327,708 220,660 Deferred tax liabilities 1,150 1,120 Provisions 3,029 3,589 Subordinated liabilities 11 395,600 394,844 Total liabilities 31,608,099 25,785,864 Equity Share capital 107,750 107,750 Foreign currency reserve -14,015 -19,770 Retained earnings including the profit for the period 3,251,161 2,950,017 Total equity attributable to the shareholders of the Parent Company 3,344,896 3,037 ,997 Tier 1 capital instrument 250,000 250,000 Total equity 3,594,896 3,287 ,997 Total liabilities and equity 35,202,995 29,073,861 Balance Sheet, Consolidated Financial Statements
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19Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand Share capital ¹ Foreign currency reserve Retained earnings including the profit for the period Tier 1 capital instrument ² Total equity Equity as at 1 Jan 2025 107 ,500 2,194 2,412,986 250,000 2,772,680 Profit for the year - - 667,046 - 667,046 Other comprehensive income for the year - -21,964 - - -21,964 Total comprehensive income for the year - -21,964 667,046 - 645,082 Transactions with owners of the Parent Company Contributions from and value transfers to owners of the Parent Company Targeted share issue 250 - - - 250 Dividend to shareholders - - -107,750 - -107,750 Interest on Tier 1 capital instrument - - -25,838 - -25,838 Share based remunerations - - 3,573 - 3,573 Total transactions with owners of the Parent Company 250 - -130,015 - -129,765 Equity as at 31 Dec 2025 107 ,750 -19,770 2,950,017 250,000 3,287 ,997 Equity as at 1 Jan 2026 107 ,750 -19,770 2,950,017 250,000 3,287 ,997 Profit for the period - - 642,366 - 642,366 Other comprehensive income for the period - 5,755 - - 5,755 Total comprehensive income for the period - 5,755 642,366 - 648,121 Transactions with owners of the Parent Company Contributions from and value transfers to owners of the Parent Company Dividend to shareholders - - -323,250 - -323,250 Interest on Tier 1 capital instrument - - -18,400 - -18,400 Share-based remunerations - - 428 - 428 Total transactions with owners of the Parent Company - - -341,222 - -341,222 Equity as at 30 Sep 2026 107 ,750 -14,015 3,251,161 250,000 3,594,896 Statement of Changes in Equity, Consolidated 1 Share capital comprises 64,650,000 shares of SEK 1.67 each. 2 Perpetual bonds, SEK 100 million with interest terms STIBOR 3 months +6.25% and first possible redemption 1 December 2026, and SEK 150 million with interest terms STIBOR 3 months +8.75% and first possible redemption 6 September 2028. Financial Statements
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20Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Operating activities Operating profit 798,194 613,807 855,808 Adjustment for items not included in cash flow Depreciation and amortisation of tangible and intangible assets 51,136 51,362 70,467 Accrued interest income and expense 53,791 2,529 -76,630 Other non-cash items 8,313 1,717 -2,043 Paid income tax -258,463 -176,538 -188,622 Cash flow from operations before changes in working capital 652,971 492,877 658,980 Increase/decrease in loans to the public -4,701,314 -2,531,205 -3,412,824 Increase/decrease in other short-term receivables -191,705 -30,259 87,259 Increase/decrease in deposits and borrowings from the public 5,643,990 2,224,913 3,658,074 Increase/decrease in other short-term liabilities 193,032 166,554 -115,997 Change in restricted bank deposits -181,171 405 -71,549 Cash flow from operating activities 1,415,803 323,285 803,943 Investing activities Investments in tangible assets -23,586 -4,961 -7,281 Investments in intangible assets -23,924 -27,075 -34,566 Acquisition of shares -139,338 -2,251 -2,251 Divestment of shares 139,338 - - Cash flow from investing activities -47 ,510 -34,287 -44,098 Financing activities Interest paid on lease debt -1,381 -925 -1,345 Repayment of lease debt -15,748 -13,221 -17,619 New share issue - - 250 Redemption of Tier 2 capital instrument - - -100,000 Issue of Tier 2 capital instrument - - 150,000 Interest on Tier 1 capital instrument -18,400 -19,216 -25,838 Dividend to shareholders -323,250 -107,750 -107,750 Cash flow from financing activities -358,779 -141,112 -102,302 Cash flow for the period 1,009,514 147 ,886 657 ,543 Cash and cash equivalents at the beginning of the period 4,659,646 4,246,859 4,246,859 Exchange rate difference in cash and cash equivalents 255,330 -143,856 -244,756 Cash and cash equivalents at the end of the period 5,924,490 4,250,889 4,659,646 Cash flow from operating activities includes interest expenses paid and interest payments received Interest expenses paid -599,379 -596,742 -884,412 Interest payments received 3,032,919 2,447,716 3,390,106 Components of cash and cash equivalents Cash and balances with central banks 12,637 17,858 17,576 Treasury bills eligible for refinancing, etc. 3,867,089 2,532,604 2,489,437 Loans to credit institutions 2,309,709 1,712,247 2,236,407 Restricted bank deposits -264,945 -11,820 -83,774 Total cash and cash equivalents 5,924,490 4,250,889 4,659,646 Cash Flow Statement, Consolidated Financial Statements
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21Interim Report | January - September 2026Avarda Bank AB (publ) Avarda Bank AB, Reg. no. 556158-1041, is a limited company with its registered office in Borås, Sweden, which has a licence to conduct banking operations. The Company conducts lending and/or deposit activities to private individuals in Sweden, Finland, Norway, Denmark, Estonia, Latvia, Lithuania, Poland, Germany, Austria, Spain, Ireland, the Netherlands and Italy through subsidiary, branches or cross-border banking with the support of the Swedish banking licence. Company Structure Company Reg.nr Parent Company Avarda Bank AB 556158-1041 Branches Avarda Bank AB, filial Finland 2594352-3 Avarda Bank AB, filial Polen PL9571076774 Avarda Bank AB, filial Norge 923 194 592 Avarda Bank AB, filial Spanien W0298854A TF Bank AB, filial Estland 14304235 TF Bank AB, filial Lettland 50203334311 TF Bank AB, filial Litauen 306989111 Subsidiaries TF Bank Nordic AB 559476-6379 TF Bank Nordic AB NUF, filial Norge 935 301 734 TF Bank Nordic AB, filial Finland 3529515-2 TFB Service GmbH HRB 208869 B TFBN Services Ltd 15924773 TFB Holding Ltd C 112948 Yieldloop AB 559526-1859 Credento Bank AB 559530-1945 TFB Service UAB 304785170 Avarda AS 931 481 169 Ownership of Avarda Bank AB as of 30 Sep 2026 Shareholder % TFB Holding AB 28.23 Tiberon AB 15.00 Erik Selin Fastigheter AB 12.53 Proventus Aktiebolag 4.17 Maud Umberg Weil 3.91 Carnegie Fonder AB 3.43 Nordnet Pensionsförsäkringar AB 3.04 Försäkringsbolaget Avanza Pension 1.48 Amidak AB 1.24 Anders Klein 1.00 Other shareholders 25.97 Total 100.00 Source: Euroclear Note 1 General Information Note 2 Credit Risk Financial risk factors Through its operations, Avarda Group is exposed to a variety of financial risks: credit risk, market risk (including foreign exchange risk and interest rate risk) and liquidity risk, but also operational risk and other business risks such as business risks, cyclical risks, and reputational risks. Avarda Group has designed an operating structure to ensure good risk management. The overall risk policy constitutes the fundamental govern - ing document of the Board of Directors and management regarding risk management which aims to minimise any potential adverse effects on the Company’s financial results. The Board establishes written policies for both overall risk management and specific areas. Credit risk is the risk that a counterparty causes Avarda Group a financial loss by not fulfilling its contractual obligations to the Company. The area includes credit risks attributable to the loan portfolio, credit-related concentration risks and counterparty risks. Credit risk arises primarily through lending to the public and is the most significant risk in Avarda Group. Furthermore, credit risks exist in the form of placements of liquid funds and derivative instruments. Credit risk is monitored closely by the responsible functions. The Board of Directors has ultimate respon - sibility and has established the framework for the Company’s lending activities in a specific credit policy. A credit committee continuously monitors the development of the risk level in each loan portfolio and decides on and implements changes to Avarda Group's lending activities within the established policy, as well as proposing amendments to this policy to the Board of Directors. The development is reported at each regular Board meeting. Avarda Group’s credit approval process maintains high standards regarding ethics, quality and control. The proportion of past-due receivables in Stage 3 is affected by the fact that past-due receivables are continuously sold in the markets where the price level is such that the Board deems it favourable for the Company's development and risk profile. The Company’s loans to the public consist primarily of unsecured consumer loans. As a result, Avarda Group does not list credit risk exposures in a separate table as there are limited assets pledged as security. Notes All subsidiaries are 100% owned. The term “Company/Group” refers to Avarda Bank AB together with its branches and subsidiaries.
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22Interim Report | January - September 2026Avarda Bank AB (publ) The business is divided into two operating segments: Everyday Finance and Consumer Lending. In the Everyday Finance segment, Avarda Group offers credit cards and digital payment solutions, and in Consumer Lending, consumer loans are offered without collateral. The target group for all services is creditworthy private individuals. Jul-Sep 2026 Income statement, SEK thousand Everyday Finance Consumer Lending Group Net interest income 708,355 209,857 918,212 Net fee and commission income 31,943 15,644 47,587 Net results from financial transactions -1,455 -788 -2,243 Total operating income 738,843 224,713 963,556 General administrative expenses -217,281 -65,474 -282,755 Depreciation and amortisation of tangible and intangible assets -14,108 -3,219 -17,327 Other operating expenses -17,232 -2,818 -20,050 Total operating expenses -248,621 -71,511 -320,132 Profit before loan losses 490,222 153,202 643,424 Net loan losses -273,553 -72,252 -345,805 Operating profit 216,669 80,950 297 ,619 30 Sep 2026 Balance sheet, SEK thousand Everyday Finance Consumer Lending Group Loans to the public Household sector 18,624,918 9,653,570 28,278,488 Corporate sector ¹ 50,087 51,021 101,108 Total loans to the public 18,675,005 9,704,591 28,379,596 Household sector Stage 1, net 17,804,336 8,862,834 26,667,170 Stage 2, net 457,529 489,961 947,490 Stage 3, net ² 363,053 300,775 663,828 Total household sector 18,624,918 9,653,570 28,278,488 Jul-Sep 2026 Key figures ³ Everyday Finance Consumer Lending Group Operating income margin, % 16.5 9.5 14.1 Net loan loss ratio, % 6.1 3.1 5.1 Risk-adjusted margin, % 10.4 6.4 9.0 Cost/income ratio, % 33.7 31.8 33.2 Return on loans to the public, % 3.8 2.6 3.3 App-users, number 593,685 - 593,685 Transaction volume, SEK thousand 13,651,513 1,510,271 15,161,784 Note 3 Operating Segments 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. 3 See separate section with definitions and reconciliation tables, pages 44-45. Notes
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23Interim Report | January - September 2026Avarda Bank AB (publ) Jul-Sep 2025 Income statement, SEK thousand Everyday Finance Consumer Lending Group Net interest income 488,982 202,936 691,918 Net fee and commission income 39,993 15,623 55,616 Net results from financial transactions 21 16 37 Total operating income 528,996 218,575 747 ,571 General administrative expenses -161,554 -68,059 -229,613 Depreciation and amortisation of tangible and intangible assets -14,380 -2,852 -17,232 Other operating expenses -14,733 -2,822 -17,555 Total operating expenses -190,667 -73,733 -264,400 Profit before loan losses 338,329 144,842 483,171 Net loan losses -192,865 -59,447 -252,312 Operating profit 145,464 85,395 230,859 30 Sep 2025 Balance sheet, SEK thousand Everyday Finance Consumer Lending Group Loans to the public Household sector 13,270,416 9,102,769 22,373,185 Corporate sector ¹ 215,992 207,486 423,478 Total loans to the public 13,486,408 9,310,255 22,796,663 Household sector Stage 1, net 12,398,396 8,504,484 20,902,880 Stage 2, net 370,540 426,268 796,808 Stage 3, net ² 501,480 172,017 673,497 Total household sector 13,270,416 9,102,769 22,373,185 Jul-Sep 2025 Key figures ³ Everyday Finance Consumer Lending Group Operating income margin, % 16.4 9.4 13.4 Net loan loss ratio, % 6.0 2.6 4.5 Risk-adjusted margin, % 10.4 6.8 8.9 Cost/income ratio, % 36.0 33.7 35.4 Return on loans to the public, % 3.5 2.8 3.1 App-users, number 440,509 - 440,509 Transaction volume, SEK thousand 10,494,164 1,451,095 11,945,259 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. 3 See separate section with definitions and reconciliation tables, pages 44-45. Notes
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24Interim Report | January - September 2026Avarda Bank AB (publ) Jan-Sep 2026 Income statement, SEK thousand Everyday Finance Consumer Lending Group Net interest income 1,902,600 624,414 2,527,014 Net fee and commission income 118,388 45,578 163,966 Net results from financial transactions -2,698 -1,510 -4,208 Total operating income 2,018,290 668,482 2,686,772 General administrative expenses -621,349 -193,425 -814,774 Depreciation and amortisation of tangible and intangible assets -41,969 -9,167 -51,136 Other operating expenses -48,159 -8,581 -56,740 Total operating expenses -711,477 -211,173 -922,650 Profit before loan losses 1,306,813 457 ,309 1,764,122 Net loan losses -751,175 -214,753 -965,928 Operating profit 555,638 242,556 798,194 30 Sep 2026 Balance sheet, SEK thousand Everyday Finance Consumer Lending Group Loans to the public Household sector 18,624,918 9,653,570 28,278,488 Corporate sector ¹ 50,087 51,021 101,108 Total loans to the public 18,675,005 9,704,591 28,379,596 Household sector Stage 1, net 17,804,336 8,862,834 26,667,170 Stage 2, net 457,529 489,961 947,490 Stage 3, net ² 363,053 300,775 663,828 Total household sector 18,624,918 9,653,570 28,278,488 Jan-Sep 2026 Key figures ³ Everyday Finance Consumer Lending Group Operating income margin, % 16.2 9.5 13.8 Net loan loss ratio, % 6.0 3.0 4.9 Risk-adjusted margin, % 10.2 6.5 8.9 Cost/income ratio, % 35.3 31.6 34.3 Return on loans to the public, % 3.4 2.6 3.2 App-users, number 593,685 - 593,685 Transaction volume, SEK thousand 37,101,130 4,087,913 41,189,043 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. 3 See separate section with definitions and reconciliation tables, pages 44-45. Notes
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25Interim Report | January - September 2026Avarda Bank AB (publ) Jan-Sep 2025 Income statement, SEK thousand Everyday Finance Consumer Lending Group Net interest income 1,350,174 592,548 1,942,722 Net fee and commission income 115,133 46,241 161,374 Net results from financial transactions 1,171 903 2,074 Total operating income 1,466,478 639,692 2,106,170 General administrative expenses -481,373 -191,519 -672,892 Depreciation and amortisation of tangible and intangible assets -42,119 -9,243 -51,362 Other operating expenses -40,942 -8,134 -49,076 Total operating expenses -564,434 -208,896 -773,330 Profit before loan losses 902,044 430,796 1,332,840 Net loan losses -533,255 -185,778 -719,033 Operating profit 368,789 245,018 613,807 30 Sep 2025 Balance sheet, SEK thousand Everyday Finance Consumer Lending Group Loans to the public Household sector 13,270,416 9,102,769 22,373,185 Corporate sector ¹ 215,992 207,486 423,478 Total loans to the public 13,486,408 9,310,255 22,796,663 Household sector Stage 1, net 12,398,396 8,504,484 20,902,880 Stage 2, net 370,540 426,268 796,808 Stage 3, net ² 501,480 172,017 673,497 Total household sector 13,270,416 9,102,769 22,373,185 Jan-Sep 2025 Key figures ³ Everyday Finance Consumer Lending Group Operating income margin, % 15.8 9.3 13.0 Net loan loss ratio, % 5.8 2.7 4.5 Risk-adjusted margin, % 10.0 6.6 8.5 Cost/income ratio, % 38.5 32.7 36.7 Return on loans to the public, % 3.0 2.7 2.8 App-users, number 440,509 - 440,509 Transaction volume, SEK thousand 27,505,924 4,212,273 31,718,197 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. 3 See separate section with definitions and reconciliation tables, pages 44-45. Notes
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26Interim Report | January - September 2026Avarda Bank AB (publ) Jan-Dec 2025 Income statement, SEK thousand Everyday Finance Consumer Lending Group Net interest income 1,886,011 792,949 2,678,960 Net fee and commission income 158,688 63,167 221,855 Net results from financial transactions 2,140 1,549 3,689 Total operating income 2,046,839 857 ,665 2,904,504 General administrative expenses -664,674 -253,091 -917,765 Depreciation and amortisation of tangible and intangible assets -58,498 -11,969 -70,467 Other operating expenses -53,835 -10,825 -64,660 Total operating expenses -777 ,007 -275,885 -1,052,892 Profit before loan losses 1,269,832 581,780 1,851,612 Net loan losses -752,090 -243,714 -995,804 Operating profit 517 ,742 338,066 855,808 31 Dec 2025 Balance sheet, SEK thousand Everyday Finance Consumer Lending Group Loans to the public Household sector 14,327,554 8,925,694 23,253,248 Corporate sector ¹ 228,864 196,170 425,034 Total loans to the public 14,556,418 9,121,864 23,678,282 Household sector Stage 1, net 13,330,532 8,281,790 21,612,322 Stage 2, net 437,335 429,732 867,067 Stage 3, net ² 559,687 214,172 773,859 Total household sector 14,327 ,554 8,925,694 23,253,248 Jan-Dec 2025 Key figures ³ Everyday Finance Consumer Lending Group Operating income margin, % 15.9 9.4 13.2 Net loan loss ratio, % 5.8 2.7 4.5 Risk-adjusted margin, % 10.1 6.7 8.7 Cost/income ratio, % 38.0 32.2 36.3 Return on loans to the public, % 3.0 2.8 2.9 App-users, number 466,282 - 466,282 Transaction volume, SEK thousand 39,709,619 5,536,226 45,245,845 SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Realised loan losses for sold past due receivables -778,053 -16,617 -1,041,138 -89,170 -109,272 Other realised loan losses -25,910 -9,223 -96,490 -20,901 -28,404 Recovered from previous realised loan losses 121 170 455 361 1,225 Change in provision for expected loan losses, Stage 1-3 458,037 -226,642 171,245 -609,323 -859,353 Net loan losses -345,805 -252,312 -965,928 -719,033 -995,804 Loan losses are attributable to Loans to the public and measured at amortised cost. 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. 3 See separate section with definitions and reconciliation tables, pages 44-45. Note 4 Net Loan Losses Notes
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27Interim Report | January - September 2026Avarda Bank AB (publ) 30 Sep 2026 Financial instruments at fair value through profit or loss Fair value through other comprehensive income Amortised cost Derivatives used for hedge accounting Non- financial assets and liabilities TotalSEK thousand Compulsory Assets Cash and balances with central banks - - 12,637 - - 12,637 Treasury bills eligible for refinancing - - 3,867,089 - - 3,867,089 Loans to credit institutions - - 2,309,709 - - 2,309,709 Loans to the public - - 28,379,596 - - 28,379,596 Shares 139,402 - - - - 139,402 Derivatives - - - - - - Other assets - - - - 494,562 494,562 Total assets 139,402 - 34,569,031 - 494,562 35,202,995 Liabilities Deposits and borrowings from the public - - 30,500,045 - - 30,500,045 Subordinated liabilities - - 395,600 - - 395,600 Derivatives 132,766 - - 343 - 133,109 Other liabilities - - - - 579,345 579,345 Total liabilities 132,766 - 30,895,645 343 579,345 31,608,099 31 Dec 2025 Financial instruments at fair value through profit or loss Fair value through other comprehensive income Amortised cost Derivatives used for hedge accounting Non- financial assets and liabilities TotalSEK thousand Compulsory Assets Cash and balances with central banks - - 17,576 - - 17,576 Treasury bills eligible for refinancing - - 2,489,437 - - 2,489,437 Loans to credit institutions - - 2,236,407 - - 2,236,407 Loans to the public - - 23,678,282 - - 23,678,282 Shares 117,267 - - - - 117,267 Derivatives 52,874 - - - - 52,874 Other assets - - - - 482,018 482,018 Total assets 170,141 - 28,421,702 - 482,018 29,073,861 Liabilities Deposits and borrowings from the public - - 24,856,055 - - 24,856,055 Subordinated liabilities - - 394,844 - - 394,844 Derivatives 48,435 - - 92 - 48,527 Other liabilities - - - - 486,438 486,438 Total liabilities 48,435 - 25,250,899 92 486,438 25,785,864 Note 5 Classification of Financial Assets and Liabilities Notes
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28Interim Report | January - September 2026Avarda Bank AB (publ) Fair value For financial instruments measured at fair value in the balance sheet, disclosures are required on fair value measurement by level according to the fair value hierarchy below: • Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1). • Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly, i.e. in the form of quoted prices, or indirectly, i.e. derived from quoted prices (Level 2). • Data for assets or liabilities which are not based on observable market data (non-observable inputs) (Level 3). The Group also provides information regarding the fair value of certain assets for information purposes. 30 Sep 2026 Level 1 Level 2 Level 3 TotalSEK thousand Assets Cash and balances with central banks - 12,637 - 12,637 Treasury bills eligible for refinancing 3,864,831 - - 3,864,831 Loans to credit institutions - 2,309,709 - 2,309,709 Loans to the public - - 28,379,596 28,379,596 Shares - 139,402 - 139,402 Derivatives - - - - Total assets 3,864,831 2,461,748 28,379,596 34,706,175 Liabilities Deposits and borrowings from the public - - 30,500,045 30,500,045 Subordinated liabilities - 395,600 - 395,600 Derivatives - 133,109 - 133,109 Total liabilities - 528,709 30,500,045 31,028,754 31 Dec 2025 Level 1 Level 2 Level 3 TotalSEK thousand Assets Cash and balances with central banks - 17,576 - 17,576 Treasury bills eligible for refinancing 2,489,169 - - 2,489,169 Loans to credit institutions - 2,236,407 - 2,236,407 Loans to the public - - 23,678,282 23,678,282 Shares - 117,267 - 117,267 Derivatives - 52,874 - 52,874 Total assets 2,489,169 2,424,124 23,678,282 28,591,575 Liabilities Deposits and borrowings from the public - - 24,856,055 24,856,055 Subordinated liabilities - 394,844 - 394,844 Derivatives - 48,527 - 48,527 Total liabilities - 443,371 24,856,055 25,299,426 Note 6 Fair Value of Financial Assets and Liabilities Notes
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29Interim Report | January - September 2026Avarda Bank AB (publ) The fair value of financial instruments not traded in an active market (e.g. OTC derivatives) is determined using various valuation techniques. These valuation techniques use observable market data where available and rely as little as possible on entity-specific estimates. Specific valuation techniques used to measure financial instruments include: • Quoted market prices or dealer quotes for similar instruments. • Fair value of currency swap contracts is determined using exchange rates at the balance sheet date. Loans to the public consist predominantly of receivables bearing variable interest rates and with relatively short maturities. Against this background, the carrying amount is considered to represent a reasonable approximation of the assets’ fair value at the end of the reporting period. 30 Sep 2026 Carrying amount Fair value Fair value gain (+)/ Fair value loss (-)SEK thousand Assets Cash and balances with central banks 12,637 12,637 - Treasury bills eligible for refinancing 3,867,089 3,864,831 -2,258 Loans to credit institutions 2,309,709 2,309,709 - Loans to the public 28,379,596 28,379,596 - Shares 139,402 139,402 - Derivatives - - - Total assets 34,708,433 34,706,175 -2,258 Liabilities Deposits and borrowings from the public 30,500,045 30,500,045 - Subordinated liabilities 395,600 395,600 - Derivatives 133,109 133,109 - Total liabilities 31,028,754 31,028,754 - 31 Dec 2025 Carrying amount Fair value Fair value gain (+)/ Fair value loss (-)SEK thousand Assets Cash and balances with central banks 17,576 17,576 - Treasury bills eligible for refinancing 2,489,437 2,489,169 -268 Loans to credit institutions 2,236,407 2,236,407 - Loans to the public 23,678,282 23,678,282 - Shares 117,267 117,267 - Derivatives 52,874 52,874 - Total assets 28,591,843 28,591,575 -268 Liabilities Deposits and borrowings from the public 24,856,055 24,856,055 - Subordinated liabilities 394,844 394,844 - Derivatives 48,527 48,527 - Total liabilities 25,299,426 25,299,426 - Notes
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30Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand 30 Sep 2026 31 Dec 2025 Loans to the household sector 28,278,488 23,253,248 Loans to the corporate sector ¹ 101,108 425,034 Total loans to the public 28,379,596 23,678,282 Loans to the household sector, gross Stage 1, gross 27,216,067 22,059,400 Stage 2, gross 1,288,210 1,109,745 Stage 3, gross ² 1,282,346 1,637,391 Total loans to the household sector, gross 29,786,623 24,806,536 Provisions for expected loan losses, household sector Stage 1 -548,897 -447,078 Stage 2 -340,720 -242,678 Stage 3 ² -618,518 -863,532 Total provisions for expected loan losses, household sector -1,508,135 -1,553,288 Loans to the household sector, net Stage 1, net 26,667,170 21,612,322 Stage 2, net 947,490 867,067 Stage 3, net ² 663,828 773,859 Total loans to the household sector, net 28,278,488 23,253,248 Loans to the corporate sector Loans, net 101,108 425,034 Total loans to the corporate sector, net 101,108 425,034 Geographic distribution of net loans Germany 14,032,062 9,989,603 Norway 5,194,816 4,448,229 Finland 2,437,502 2,765,592 Sweden 1,360,095 1,834,039 Latvia 1,265,979 1,206,803 Austria 1,102,529 705,694 Lithuania 1,087,504 1,067,036 Estonia 1,031,019 962,077 Denmark 661,319 499,540 Italy 87,056 15,823 Poland 65,066 108,241 Spain 54,649 75,605 Total loans to the public 28,379,596 23,678,282 Change in provision for net loan losses SEK thousand 30 Sep 2026 31 Dec 2025 Opening balance -1,553,288 -798,192 Change in provision for expected loan losses in Stage 1 -74,878 -101,764 Change in provision for expected loan losses in Stage 2 -81,123 -29,848 Change in provision for expected loan losses in Stage 3 320,473 -728,388 Exchange rate differences -119,319 104,904 Closing balance -1,508,135 -1,553,288 Note 7 Loans to the Public 1 Lending to the corporate sector consists of loans in Stage 1 to counterparties regarding sale of past-due receivables. 2 The Company regularly sells past-due receivables in markets where the Board of Directors considers the price level to be favourable for the Company’s performance and risk profile. Notes
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31Interim Report | January - September 2026Avarda Bank AB (publ) Note 8 Deposits and Borrowings from the Public SEK thousand 30 Sep 2026 31 Dec 2025 Germany 19,351,261 17,551,177 Netherlands 7,120,504 4,861,195 Ireland 2,399,788 840,053 Spain 1,120,925 1,031,658 Finland 248,696 286,491 Sweden 166,717 170,667 Norway 92,154 114,814 Total deposits and borrowings from the public 30,500,045 24,856,055 Deposits from the public only occur in the household sector and 98% (99) is covered by a government deposit guarantee scheme. Deposits in Finland are payable on demand. Other countries' deposits are payable on demand or at fixed term. Fixed-term deposits account for 43% (44) of total deposits from the public . Changes in deposits and borrowings from the public SEK thousand 30 Sep 2026 31 Dec 2025 Opening balance 24,856,055 21,197,981 Change 4,263,800 5,173,182 Exchange rate differences 1,380,190 -1,515,108 Closing balance 30,500,045 24,856,055 Notes
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32Interim Report | January - September 2026Avarda Bank AB (publ) Background Information about the Company’s capital adequacy in this document includes information in accordance with Chapter 6, Sections 3-4 of the Swedish Financial Supervisory Authority’s (Swedish FSA) regulations and general guidelines (FFFS 2008:25) on the annual accounts of credit institutions and investment firms and related information contained in Part Eight of Regulation (EU) No 575/2013 and Chapter 8, Section 1 of the Swedish FSA’s regulations and general guidelines on regulatory requirements and capital buffers (FFFS 2014:12). Avarda Bank AB is the responsible institution and is under the supervision of the Swedish FSA. As a result, the Company is subject to the rules governing credit institutions in Sweden. Avarda Bank AB is a listed company and as such, the stock exchange rules are also applicable. Avarda Bank is classified as a small and non-complex institution in accordance with article 4(1)(145) of Regulation (EU) No 575/2013. The Company’s statutory capital requirements are governed by the Swedish Special Supervision of Credit Institutions and Investment Firms Act (2014:968), Regulation (EU) No 575/2013, the Act on Capital Buffers (2014:966) and the Swedish FSA’s regulations and general recommendations on regulatory requirements and capital buffers (FFFS 2014:12). Own funds Avarda Group's own funds consist of equity attributable to the shareholders and issued bonds. Shareholders' equity after regulatory adjustments constitutes Common Equity Tier 1 capital. Issued bonds constitute Additional Tier 1 capital or Tier 2 capital. The bonds are subordinated to the Company's other creditors and bonds that constitute Additional Tier 1 capital can under certain conditions be converted into share capital. The Swedish FSA approved the Group’s application to include the interim profit in the capital base on 12 March 2026. Risk exposure amount The Group's risk exposure amount mainly consists of credit risk and operational risk. The risk exposure amount for credit risk is calculated according to the standardised approach and the Company's exposures are weighted based on various percentages specified in Regulation (EU) No 575/2013. The risk exposure amount for operational risk is calculated using the alternative standardised approach in accordance with paragraph 4, Article 314, Regulation (EU) No 575/2013. Capital requirements and Pillar 2 Guidance The regulatory capital requirement in Pillar 1 means that total own funds must amount to at least 8% of the risk-weighted exposure amount for credit risk, credit valuation adjustment risk, market risk, and operational risk. After that, additional capital requirements are added for the risks that are not covered via Pillar 1, which include, for example, concentration risk, foreign exchange risk, and interest rate risk. The capital requirements for these risks are covered via Pillar 2. In addition to this, additional capital is allocated for a capital conservation buffer of 2.5% of the risk-weighted exposure amount as well as an institution-specific countercyclical capital buffer that is weighted based on geographical exposures. As of 30 September 2026, Avarda Group's countercyclical buffer requirement of 1.1% is related to 2.5% for exposures in Norway and Denmark, 2.0% for exposures in Sweden and Poland, 1.5% for exposures in Estonia, 1.0% for exposures in Latvia and Lithuania, and 0.75% for exposures in Germany as well as 0.5% for exposures in Spain. The Swedish FSA decided on special own funds requirements and Pillar 2 guidance on 19 March 2025. The Group’s previously internally assessed capital requirement has been established, and the Swedish FSA has decided on a Pillar 2 guidance of 0% of the total risk-weighted exposure amount and 0.5% of the total exposure amount for the leverage ratio. Internally assessed capital requirement At least annually, Avarda Group carries out a process to assess whether the Company's capital and liquidity forecast during the coming three- year period is sufficient to manage the risks to which the Company is, or may become, exposed. The process is carried out in accordance with Article 73 of the Directive 2013/36/EU and is called the internal capital and liquidity adequacy assessment process (ICLAAP). The Group's capital situation ¹ SEK thousand 30 Sep 2026 31 Dec 2025 Common Equity Tier 1 capital after regulatory deductions 2,980,418 2,670,000 Tier 1 capital instruments 250,000 250,000 Tier 2 capital instruments 395,600 394,844 Own funds 3,626,018 3,314,844 Risk exposure amount 23,899,721 20,601,319 - of which: credit risk 22,496,347 19,209,888 - of which: credit valuation adjustment risk 86,358 74,415 - of which: operational risk 1,317,016 1,317,016 Capital ratios CET1 capital ratio, % 12.5 13.0 Tier 1 capital ratio, % 13.5 14.2 Total capital ratio, % 15.2 16.1 Note 9 Capital Adequacy 1 In accordance with (EU) 2024/3172 Avarda Bank discloses the information about capital adequacy and other information as per the template “EU KM1” on page 46. Notes
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33Interim Report | January - September 2026Avarda Bank AB (publ) The Group's capital requirements and Pillar 2 guidance 30 Sep 2026 31 Dec 2025 SEK thousand Amount Percent ¹ Amount Percent ¹ Capital requirement under Pillar 1 CET1 capital 1,075,487 4.5 927,059 4.5 Tier 1 capital 1,433,983 6.0 1,236,079 6.0 Total capital 1,911,978 8.0 1,648,106 8.0 Capital requirement under Pillar 2 CET1 capital 165,356 0.7 142,536 0.7 Tier 1 capital 220,475 0.9 190,048 0.9 Total capital 293,967 1.2 253,397 1.2 - of which, concentration risk 227,047 1.0 195,713 1.0 - of which, market risk 66,919 0.3 57,684 0.3 Total capital requirement under Pillar 1 and Pillar 2 CET1 capital 1,240,844 5.2 1,069,595 5.2 Tier 1 capital 1,654,458 6.9 1,426,127 6.9 Total capital 2,205,944 9.2 1,901,503 9.2 Institution-specific buffer requirement Total buffer requirement 865,170 3.6 758,129 3.7 - of which, capital conservation buffer 597,493 2.5 515,033 2.5 - of which, countercyclical buffer 267,677 1.1 243,096 1.2 Total capital requirement including buffer requirement CET1 capital 2,106,014 8.8 1,827,724 8.9 Tier 1 capital 2,519,628 10.5 2,184,256 10.6 Total capital 3,071,114 12.9 2,659,631 12.9 Pillar 2 Guidance CET1 capital 0 0.0 0 0.0 Overall capital requirement and Pillar 2 guidance CET1 capital 2,106,014 8.8 1,827,724 8.9 Tier 1 capital 2,519,628 10.5 2,184,256 10.6 Total capital 3,071,114 12.9 2,659,631 12.9 1 Capital requirements expressed as a percentage of the risk exposure amount. Notes
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34Interim Report | January - September 2026Avarda Bank AB (publ) The Group's own funds SEK thousand 30 Sep 2026 31 Dec 2025 CET1 capital Share capital 107,750 107,750 Other reserves -14,015 -19,770 Retained earnings including profit for the period reviewed by the auditor 3,251,161 2,950,017 CET1 capital before regulatory adjustments 3,344,896 3,037 ,997 Regulatory adjustments to CET1 capital: - Deduction of foreseeable costs and dividends ¹ -311,290 -323,250 - Intangible assets ² -24,259 -11,893 - Goodwill -20,011 -20,011 - Insufficient coverage for non-performing exposures ³ -8,918 -12,843 Total regulatory adjustments to CET1 capital -364,478 -367 ,997 Total CET1 capital 2,980,418 2,670,000 Tier 1 capital instruments Perpetual subordinated loans 250,000 250,000 Tier 2 capital instruments Fixed-term subordinated loans 395,600 394,844 Own funds 3,626,018 3,314,844 The Group's specification of risk exposure amount and capital requirement 30 Sep 2026 31 Dec 2025 SEK thousand Risk exposure amount Capital requirement 8 % Risk exposure amount Capital requirement 8 % Credit risk under the standardised approach Corporate exposures 69,361 5,549 420,843 33,667 Household exposures 20,674,026 1,653,922 16,839,859 1,347,189 Exposures secured by mortgages on immovable property 5,540 443 6,087 487 Exposures in default 654,910 52,393 773,859 61,909 Exposures to institutions 492,588 39,407 492,305 39,384 Equity exposures 181,222 14,498 293,084 23,447 Other items 418,700 33,496 383,851 30,708 Total 22,496,347 1,799,708 19,209,888 1,536,791 Credit valuation adjustment risk Simplified approach 86,358 6,909 74,415 5,953 Total 86,358 6,909 74,415 5,953 Market risk Foreign exchange risk - - - - Total - - - - Operational risk Alternative Standardised Approach 1,317,016 105,361 1,317,016 105,361 Total 1,317 ,016 105,361 1,317 ,016 105,361 Total risk exposure amount and total capital requirement 23,899,721 1,911,978 20,601,319 1,648,105 1 Deduction of dividends has been made in accordance with the Board of Directors’ proposal to the Annual General Meeting and the dividend policy for interim results. 2 Deduction according to Commission Delegated Regulation (EU) 2020/2176. 3 Deduction according to Regulation (EU) No 2019/630. Notes
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35Interim Report | January - September 2026Avarda Bank AB (publ) Background Information about the Company’s liquidity coverage in this document includes information in accordance with Chapter 5, Section 9 of the Swedish FSA’s regulations and general guidelines (FFFS 2010:7) on publication of information on liquidity risk. Information on regulatory liqui - dity requirements in this document refers to information set out in Part Six of Regulation (EU) No 575/2013. Liquidity reserve In accordance with FFFS 2010:7, a responsible institution is required to keep a separate reserve of high-quality liquid assets that can be used to secure short-term solvency in the event of the loss or deterioration of access to normally available funding sources. Avarda Group's availa - ble liquidity reserve consists of treasury bills, government bonds, cash at central banks and loans to credit institutions. Only amounts that are available the following day are counted in the available liquidity reserve. Sources of financing The Group's main source of financing is deposits from the public. Deposits are only from the household sector and 98% (99) is covered by a government deposit guarantee scheme. The other sources of financing are subordinated debt, additional Tier 1 capital instruments and equity attributable to the shareholders. The Group's liquidity position SEK thousand 30 Sep 2026 31 Dec 2025 Liquidity reserve ¹ Treasury bills eligible for refinancing - EU-commission ² 1,454,047 806,639 Treasury bills and government securities eligible for refinancing - Norway ² 913,266 764,682 Treasury bills eligible for refinancing - Finland ² 676,483 215,104 Treasury bills eligible for refinancing - Sweden ² 597,507 272,804 Treasury bills eligible for refinancing - Netherlands ² 225,786 430,208 Total liquidity reserve 3,867 ,089 2,489,437 Other available liquidity reserve Cash and balances with central banks ³ 9,110 6,096 Loans to credit institutions ³ 1,565,572 1,834,953 Total other available liquidity reserve 1,574,682 1,841,049 Total available liquidity reserve 5,441,771 4,330,486 Sources of financing Deposits from the public 30,500,045 24,856,055 Subordinated liabilities 395,600 394,844 Tier 1 capital instrument 250,000 250,000 Equity attributable to shareholders 3,344,896 3,037,997 Total sources of financing 34,490,541 28,538,896 Key figures Available liquidity reserve / deposits from the public, % 18 17 Liquidity coverage ratio, % 195 222 Net stable funding ratio, % 119 115 Regulatory liquidity requirements 30 Sep 2026 31 Dec 2025 Key figures Liquidity coverage ratio, % 100 100 Net stable funding ratio, % 100 100 Note 10 Liquidity Coverage 1 According to definition in FFFS 2010:7. 2 Remaining term is up to 12 months. 3 Excluding restricted cash and cash equivalents that are not available the next day. Notes
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36Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand 30 Sep 2026 31 Dec 2025 Fixed-term subordinated loans 395,600 394,844 Total 395,600 394,844 Subordinated loans are subordinated to other liabilities. The table below shows the terms for each bond. The prospectuses are available on the Company's website, group.avarda.com. Issue date Nominal amount (SEK thousand) Interest rate terms Maturity date 28 February 2023 150,000 STIBOR 3 months +6.50% 28 February 2033 18 September 2024 100,000 STIBOR 3 months +4.00% 18 September 2034 27 November 2025 150,000 STIBOR 3 months +3.50% 27 February 2036 1 Restricted bank deposits refers to minimum reserve requirements at central banks in Sweden, Finland and Poland, as well as other balances with credit institutions that are not available due to contractual restrictions. Note 11 Subordinated Liabilities SEK thousand 30 Sep 2026 31 Dec 2025 Pledged assets Restricted bank deposits ¹ 264,945 83,774 Total 264,945 83,774 SEK thousand 30 Sep 2026 31 Dec 2025 Commitments Unutilised credit limits 19,183,180 13,999,381 Total 19,183,180 13,999,381 According to the Board’s assessment, Avarda Bank AB has no contingent liabilities. Note 12 Pledged Assets, Contingent Liabilities and Commitments Notes
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37Interim Report | January - September 2026Avarda Bank AB (publ) Transactions between Group companies relate to the invoicing of services provided by subsidiaries. Transactions with other related parties in the table below refer to transactions between Avarda Group and companies that largely have the same owner as Avarda Bank AB’s largest owner TFB Holding AB, Reg. no. 556705-2997, or companies in which Avarda Bank AB holds a minority stake. All transactions are priced on market terms. SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 The following transactions have been made between com - panies within the Group: General administrative expenses -3,923 -1,583 -10,213 -5,099 -7,112 Total -3,923 -1,583 -10,213 -5,099 -7 ,112 The following transactions have been made with other related parties: Interest income (transaction costs) -8,595 -7,864 -26,296 -26,161 -34,615 Fee and commission income 525 473 1,988 1,571 2,045 General administrative expenses -220 -417 -1,558 -1,339 -1,434 Net loan losses - - - -23,552 -23,552 Total -8,290 -7,808 -25,866 -49,481 -57 ,556 Acquisition of assets and liabilities from other related parties: Everyday Finance 103,226 100,044 358,509 353,016 459,777 Total 103,226 100,044 358,509 353,016 459,777 Sale of assets and liabilities to other related parties: Past-due receivables - - - 87,559 87,559 Total - - - 87 ,559 87 ,559 SEK thousand 30 Sep 2026 31 Dec 2025 Assets and liabilities at the end of the period as a result of transactions with other related parties: Other assets 136 405 Other liabilities 1,541 931 Note 13 Transactions with Related Parties Notes
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38Interim Report | January - September 2026Avarda Bank AB (publ) Compared with January - September 2025 Operating profit Operating profit increased by 17% to SEK 723.3 million (620.4). The result has been positively affected by improved scalability in the business model. Operating income Operating income increased by 13% to SEK 2,368 million (2,102). The increase is mainly explained by higher interest income due to the growing loan portfolio. Operating expenses Operating expenses increased by 7% to SEK 812.1 million (762.5). The increase is mainly explained by higher sales-related expenses due to an increase in the number of customers and higher debt collection costs. Loan losses Net loan losses increased by 16% to SEK 832.6 million (718.9). The increase is primarily explained by the growing loan portfolio. Tax expenses Tax expenses increased to SEK 154.5 million (133.9). The increased tax expense is attributable to a higher operating profit. Compared with 31 December 2025 Loans to the public Loans to the public increased by 25% and amounted to SEK 22,551 million (18,074), which is primarily driven by an increase in the number of customers. Deposits from the public Deposits from the public increased by 22% to SEK 29,646 million (24,300). The increase is mainly attributable to Germany and the Netherlands. Loans to credit institutions Loans to credit institutions amounted to SEK 6,548 million (6,721) at the end of the interim period. The Company’s lending primarily includes a credit facility to its subsidiary TF Bank Nordic AB and accounts without fixed terms at several Nordic banks. Shares in subsidiaries Shares in subsidiaries amounted to SEK 891 million (859) at the end of the interim period and have been affected by new share issues in the subsidiary TFBN Services Ltd. Capital adequacy The capital ratios have decreased during the first nine months and as of 30 September 2026 the Parent Company's total capital ratio was 17.1% (18.8), the Tier 1 capital ratio was 15.2% (16.5) and the Common Equity Tier 1 capital ratio was 14.0% (15.1). General information Avarda Bank AB, Reg. no. 556158-1041, is a limited company with its registered office in Borås, Sweden, which has a licence to conduct banking operations. The Company conducts lending and/or deposit activities to private individuals in Sweden, Finland, Norway, Denmark, Estonia, Latvia, Lithuania, Poland, Germany, Austria, Spain, Ireland, the Netherlands and Italy through subsidiary, branches or cross- border banking with the support of the Swedish banking licence. Financial Statements January - September 2026 Parent Company
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39Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Profit for the period 207 ,101 185,842 568,808 486,481 655,985 Other comprehensive income Items that may subsequently be reclassified to the income statement Gross exchange rate differences 2,239 -1,135 1,310 -1,795 -4,385 Tax on exchange rate differences in the period - - - - -15,668 Other comprehensive income for the period 2,239 -1,135 1,310 -1,795 -20,053 Total comprehensive income for the period 209,340 184,707 570,118 484,686 635,932 Income Statement SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Operating income Interest income 1,054,080 890,457 2,862,302 2,541,933 3,452,826 Interest expense -235,501 -198,974 -639,362 -600,831 -808,084 Net interest income 818,579 691,483 2,222,940 1,941,102 2,644,742 Fee and commission income 119,408 112,310 328,313 324,555 435,984 Fee and commission expense -85,714 -56,694 -204,694 -163,181 -218,663 Net fee and commission income 33,694 55,616 123,619 161,374 217 ,321 Net results from financial transactions -1,612 -49 21,494 -673 703 Total operating income 850,661 747 ,050 2,368,053 2,101,803 2,862,766 Operating expenses General administrative expenses -249,588 -227,291 -717,266 -671,461 -900,867 Depreciation and amortisation of tangible and intangible assets -12,492 -14,012 -38,127 -41,949 -57,549 Other operating expenses -20,050 -17,555 -56,739 -49,076 -64,660 Total operating expenses -282,130 -258,858 -812,132 -762,486 -1,023,076 Profit before loan losses 568,531 488,192 1,555,921 1,339,317 1,839,690 Net loan losses -305,750 -252,194 -832,628 -718,915 -983,410 Operating profit 262,781 235,998 723,293 620,402 856,280 Appropriations - - - - -18,500 Income tax for the period -55,680 -50,156 -154,485 -133,921 -181,795 Profit for the period 207 ,101 185,842 568,808 486,481 655,985 Statement of Comprehensive Income Parent Company
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40Interim Report | January - September 2026Avarda Bank AB (publ) SEK thousand 30 Sep 2026 31 Dec 2025 Assets Cash and balances with central banks 12,637 17,576 Treasury bills eligible for refinancing 3,591,300 2,177,053 Loans to credit institutions 6,547,520 6,720,692 Loans to the public 22,550,660 18,074,416 Shares 139,402 117,267 Shares in subsidiaries 890,990 859,365 Goodwill 16,806 20,465 Intangible assets 78,718 82,703 Tangible assets 8,842 7,219 Other assets 215,132 169,472 Current tax assets 15,261 - Deferred tax assets 38,020 80,451 Prepaid expenses and accrued income 21,207 79,597 Total assets 34,126,495 28,406,276 Liabilities and Equity Liabilities Deposits and borrowings from the public 29,645,864 24,300,167 Other liabilities 278,611 154,930 Current tax liabilities - 78,544 Accrued expenses and deferred income 291,241 188,662 Provisions 742 3,589 Subordinated liabilities 395,600 394,844 Total liabilities 30,612,058 25,120,736 Equity Restricted equity Share capital 107,750 107,750 Statutory reserve 1,000 1,000 Development costs fund 78,718 82,703 Total restricted equity 187 ,468 191,453 Non-restricted equity Tier 1 capital instrument 250,000 250,000 Foreign currency reserve -19,970 -21,280 Retained earnings 2,528,131 2,209,382 Profit for the period 568,808 655,985 Total non-restricted equity 3,326,969 3,094,087 Total equity 3,514,437 3,285,540 Total Liabilities and Equity 34,126,495 28,406,276 Balance Sheet Parent Company
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41Interim Report | January - September 2026Avarda Bank AB (publ) The Parent Company's capital situation SEK thousand 30 Sep 2026 31 Dec 2025 Common Equity Tier 1 capital after regulatory deductions 2,903,164 2,667,594 Tier 1 capital instruments 250,000 250,000 Tier 2 capital instruments 395,600 394,844 Own funds 3,548,764 3,312,438 Risk exposure amount 20,720,631 17 ,651,029 - of which: credit risk 19,688,272 16,630,664 - of which: credit valuation adjustment risk 79,143 67,149 - of which: operational risk 953,216 953,216 Capital ratios CET1 capital ratio, % 14.0 15.1 Tier 1 capital ratio, % 15.2 16.5 Total capital ratio, % 17.1 18.8 The Parent Company's capital requirements and Pillar 2 guidance 30 Sep 2026 31 Dec 2025 SEK thousand Amount Percent ¹ Amount Percent ¹ Capital requirement under Pillar 1 CET1 capital 932,428 4.5 794,296 4.5 Tier 1 capital 1,243,238 6.0 1,059,062 6.0 Total capital 1,657,650 8.0 1,412,082 8.0 Capital requirement under Pillar 2 CET1 capital 143,361 0.7 122,123 0.7 Tier 1 capital 191,148 0.9 162,831 0.9 Total capital 254,864 1.2 217,108 1.2 - of which, concentration risk 196,846 1.0 167,685 1.0 - of which, market risk 58,018 0.3 49,423 0.3 Total capital requirement under Pillar 1 and Pillar 2 CET1 capital 1,075,789 5.2 916,420 5.2 Tier 1 capital 1,434,386 6.9 1,221,893 6.9 Total capital 1,912,514 9.2 1,629,190 9.2 Institution-specific buffer requirement Total buffer requirement 735,583 3.6 642,498 3.6 - of which, capital conservation buffer 518,016 2.5 441,276 2.5 - of which, countercyclical buffer 217,567 1.1 201,222 1.1 Total capital requirement including buffer requirement CET1 capital 1,811,372 8.7 1,558,917 8.8 Tier 1 capital 2,169,968 10.5 1,864,390 10.6 Total capital 2,648,097 12.8 2,271,688 12.9 Pillar 2 Guidance CET1 capital 0 0.0 0 0.0 Overall capital requirement and Pillar 2 guidance CET1 capital 1,811,372 8.7 1,558,917 8.8 Tier 1 capital 2,169,968 10.5 1,864,390 10.6 Total capital 2,648,097 12.8 2,271,688 12.9 Note 14 Capital Adequacy 1 Capital requirements expressed as a percentage of the risk exposure amount. Notes
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42Interim Report | January - September 2026Avarda Bank AB (publ) The Parent Company's own funds SEK thousand 30 Sep 2026 31 Dec 2025 CET1 capital Share capital 107,750 107,750 Other reserves 59,748 62,423 Retained earnings including profit for the period reviewed by the auditor 3,096,939 2,865,367 CET1 capital before regulatory adjustments 3,264,437 3,035,540 Regulatory adjustments to CET1 capital: - Deduction of foreseeable costs and dividends ¹ -311,290 -323,250 - Intangible assets ² -24,259 -11,893 - Goodwill -16,806 -20,465 - Insufficient coverage for non-performing exposures ³ -8,918 -12,338 Total regulatory adjustments to CET1 capital -361,273 -367 ,946 Total CET1 capital 2,903,164 2,667 ,594 Tier 1 capital instruments Perpetual subordinated loans 250,000 250,000 Tier 2 capital instruments Fixed-term subordinated loans 395,600 394,844 Own funds 3,548,764 3,312,438 The Parent Company's specification of risk exposure amount and capital requirement 30 Sep 2026 31 Dec 2025 SEK thousand Risk exposure amount Capital requirement 8 % Risk exposure amount Capital requirement 8 % Credit risk under the standardised approach Corporate exposures 68,230 5,458 387,549 31,004 Household exposures 16,491,236 1,319,299 12,774,563 1,021,965 Exposures secured by mortgages on immovable property 5,540 443 6,087 487 Exposures in default 404,277 32,342 623,681 49,894 Exposures to institutions 1,334,087 106,727 1,382,497 110,600 Equity exposures 1,072,212 85,777 1,152,447 92,196 Other items 312,690 25,015 303,840 24,307 Total 19,688,272 1,575,062 16,630,664 1,330,453 Credit valuation adjustment risk Simplified approach 79,143 6,331 67,149 5,372 Total 79,143 6,331 67 ,149 5,372 Market risk Foreign exchange risk - - - - Total - - - - Operational risk Alternative Standardised Approach 953,216 76,257 953,216 76,257 Total 953,216 76,257 953,216 76,257 Total risk exposure amount and total capital requirement 20,720,631 1,657 ,650 17 ,651,029 1,412,082 1 Deduction of dividends has been made in accordance with the Board of Directors’ proposal to the Annual General Meeting and the dividend policy for interim results. 2 Deduction according to Commission Delegated Regulation (EU) 2020/2176. 3 Deduction according to Regulation (EU) No. 2019/630. Notes
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43Interim Report | January - September 2026Avarda Bank AB (publ) The Parent Company's liquidity position SEK thousand 30 Sep 2026 31 Dec 2025 Liquidity reserve ¹ Treasury bills eligible for refinancing - EU-commission ² 1,227,800 593,869 Treasury bills and government securities eligible for refinancing - Norway ² 913,266 764,682 Treasury bills eligible for refinancing - Finland ² 676,483 215,104 Treasury bills eligible for refinancing - Sweden ² 547,965 173,190 Treasury bills eligible for refinancing - Netherlands ² 225,786 430,208 Total liquidity reserve 3,591,300 2,177 ,053 Other available liquidity reserve Cash and balances with central banks ³ 9,110 6,096 Loans to credit institutions ³ 1,399,465 1,694,047 Total other available liquidity reserve 1,408,575 1,700,143 Total available liquidity reserve 4,999,875 3,877 ,196 Sources of financing Deposits from the public 29,645,864 24,300,167 Subordinated liabilities 395,600 394,844 Tier 1 capital instrument 250,000 250,000 Equity attributable to shareholders 3,264,437 3,035,540 Total sources of financing 33,555,901 27 ,980,551 Key figures Available liquidity reserve / deposits from the public, % 17 16 Liquidity coverage ratio, % 162 152 Net stable funding ratio, % 117 112 Regulatory liquidity requirements 30 Sep 2026 31 Dec 2025 Key figures Liquidity coverage ratio, % 100 100 Net stable funding ratio, % 100 100 Note 15 Liquidity Coverage 1 According to definition in FFFS 2010:7. 2 Remaining term is up to 12 months. 3 Excluding restricted cash and cash equivalents that are not available the next day. Notes
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44Interim Report | January - September 2026Avarda Bank AB (publ) Adjusted earnings per share Adjusted profit for the period attributable to the Parent Company's shareholders divided by the average number of outstanding shares. Adjusted return on equity Adjusted profit for the period attributable to Parent Company's shareholders divided by average equity attributable to Parent Company's shareholders. Adjusted return on loans to the public Adjusted profit for the period attributable to Parent Company shareholders divided by average loans to the public. CET1 capital ratio CET1 capital as a percentage of total risk exposure amount. Cost/income (C/I) ratio Operating expenses divided by operating income. Employees (FTE) Average number of full-time employees. Liquidity coverage ratio Total high-quality liquid assets divided by total net liquidity outflows. Net loan loss ratio Net loan losses for the period divided by average loans to the public. Net stable funding ratio Total available stable funding divided by total stable funding requirements. New lending New loans (the cash flow) in the period. Number of active credit cards All issued cards on the last day of the period with balance above zero or a transaction in the last twelve months. Number of app-users Number of app-users is equated with the number of active credit cards. Operating income margin Total operating income for the period divided by average loans to the public. Return on equity Profit for the period attributable to the shareholders of the Parent Company as a percentage of average equity attributable to the shareholders of the Parent Company. Return on loans to the public Profit for the period attributable to the shareholders of the Parent Company divided by average loans to the public. For the segments, profit is calculated using a standard deduction for interest on Tier 1 capital instruments and a standard tax rate. Revenue per customer Total operating income divided by the average number of customers during the period. Risk-adjusted margin Operating income margin subtracted by net loan loss ratio. Tier 1 capital ratio Tier 1 capital, i.e. CET1 capital and Additional Tier 1 capital, as a percentage of total risk exposure amount. Total capital ratio Own funds as a percentage of the total risk exposure amount. Transaction volume The sum of all purchases made through Avarda Group's platforms as well as new lending within the Consumer Lending segment. Avarda Group uses alternative performance measures (APM) that are not defined in the applicable financial reporting framework (IFRS). The APM are used to increase understanding of the Group’s financial performance among readers of the financial statements. APM may be calculated in different ways and do not need to be comparable with similar key ratios used by other companies. Avarda Group defines its APM as set out below. In most cases, the measures are annualised. Definitions Definitions, Reconciliations and Regulatory Metrics
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45Interim Report | January - September 2026Avarda Bank AB (publ) Group key figures ¹ SEK thousand Jul-Sep 2026 Jul-Sep 2025 Jan-Sep 2026 Jan-Sep 2025 Jan-Dec 2025 Income statement Earnings per share, SEK 3.51 2.70 9.65 7.09 9.92 Profit for the period attributable to the shareholders of the Parent Company 227,118 174,472 623,966 458,383 641,208 Average number of outstanding shares, thousands 64,650 64,650 64,650 64,650 64,638 Key figures ² Operating income margin, % 14.1 13.4 13.8 13.0 13.2 Total operating income, annualised 3,854,224 2,990,284 3,582,363 2,808,227 2,904,504 Average loans to the public 27,338,242 22,233,588 26,028,939 21,531,061 21,971,870 Net loan loss ratio, % 5.1 4.5 4.9 4.5 4.5 Net loan losses, annualised 1,383,220 1,009,248 1,287,904 958,711 995,804 Average loans to the public 27,338,242 22,233,588 26,028,939 21,531,061 21,971,870 Cost/income ratio, % 33.2 35.4 34.3 36.7 36.3 Total operating expenses 320,132 264,400 922,650 773,330 1,052,892 Total operating income 963,556 747,571 2,686,772 2,106,170 2,904,504 Return on equity, % 28.1 25.0 26.1 22.7 23.1 Profit for the period attributable to the shareholders of the Parent Company, annualised 908,472 697,888 831,955 611,177 641,208 Average equity attributable to the shareholders of the Parent Company 3,229,325 2,786,210 3,191,447 2,697,880 2,780,339 Return on loans to the public, % 3.3 3.1 3.2 2.8 2.9 Profit for the period attributable to the shareholders of the Parent Company, annualised 908,472 697,888 831,955 611,177 641,208 Average loans to the public 27,338,242 22,233,588 26,028,939 21,531,061 21,971,870 Revenue per customer 1,016 969 990 954 938 Total operating income, annualised 3,854,224 2,990,284 3,582,363 2,808,227 2,904,504 Average number of customers, thousands 3,792 3,087 3,620 2,945 3,097 Adjusted income statement ³ Adjusted earnings per share, SEK 3.51 2.70 9.38 7.13 9.95 Adjusted profit for the period attributable to the shareholders of the Parent Company 227,118 174,472 606,329 460,634 643,459 Average number of outstanding shares, thousands 64,650 64,650 64,650 64,650 64,638 Adjusted key figures ³ Adjusted return on equity, % 28.1 25.0 25.3 22.8 23.1 Adjusted profit for the period attributable to the shareholders of the Parent Company, annualised 908,472 697,888 808,439 614,179 643,459 Average equity attributable to the shareholders of the Parent Company 3,229,325 2,786,210 3,191,447 2,697,880 2,780,339 Adjusted return on loans to the public, % 3.3 3.1 3.1 2.9 2.9 Adjusted profit for the period attributable to the shareholders of the Parent Company, annualised 908,472 697,888 808,439 614,179 643,459 Average loans to the public 27,338,242 22,233,588 26,028,939 21,531,061 21,971,870 Reconciliation Tables 1 The annualised figure has been calculated by multiplying the quarterly figure by four and the interim figure by four thirds. The average has been calculated as opening balance plus closing balance, divided by two. 2 Calculation of capital ratios is shown in Note 9. 3 Adjustments for items affecting comparability are related to transactions according to the Share Purchase Agreement with Alektum Holding AB and Erik Selin Fastigheter AB regarding the divestment of the shares in the former subsidiary Rediem Capital AB. Definitions, Reconciliations and Regulatory Metrics
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46Interim Report | January - September 2026Avarda Bank AB (publ) Template "EU KM1 - Key metrics template" is reported below as prescribed in Commission Implementing Regulation 2024/3172. SEK thousand 30 Sep 2026 31 Dec 2025 Available own funds 1 Common Equity Tier 1 capital (CET1) 2,980,418 2,670,000 2 Tier 1 capital 3,230,418 2,920,000 3 Total capital 3,626,018 3,314,844 Risk-weighted exposure amount 4 Total risk exposure amount 23,899,721 20,601,319 Capital ratios (% of risk-weighted exposure amount) 5 Common Equity Tier 1 ratio, % 12.5 13.0 6 Tier 1 ratio, % 13.5 14.2 7 Total capital ratio, % 15.2 16.1 Additional own funds requirements to address risks other than the risk of excessive leverage (% of risk-weighted exposure amount) EU 7a Additional own funds requirements to address risks other than the risk of excessive leverage, % 1.2 1.2 EU 7b - of which, to be made up of CET1 capital, % 0.7 0.7 EU 7c - of which, to be made up of Tier 1 capital, % 0.9 0.9 EU 7d Total SREP own funds requirements, % 9.2 9.2 Combined buffer and overall capital requirement (% of risk-weighted exposure amount) 8 Capital conservation buffer, % 2.5 2.5 EU 8a Conservation buffer due to macro-prudential or systemic risk identified at the level of a Member State, % N/A N/A 9 Institution-specific countercyclical capital buffer, % 1.1 1.2 EU 9a Systemic risk buffer, % N/A N/A 10 Global Systemically Important Institution buffer, % N/A N/A EU 10a Other Systemically Important Institution buffer, % N/A N/A 11 Combined buffer requirement, % 3.6 3.7 EU 11a Overall capital requirements, % 12.9 12.9 12 CET1 available after meeting the total SREP own funds requirements, % 5.9 6.9 Leverage ratio 13 Total exposure measure 36,982,630 30,447,061 14 Leverage ratio, % 8.7 9.6 Additional own funds requirements to address risks of excessive leverage (% of leverage ratio total exposure amount) EU 14a Additional own funds requirements to address the risk of excessive leverage, % N/A N/A EU 14b - of which, to be made up of CET1 capital, % N/A N/A EU 14c Total SREP leverage ratio requirements, % 3.0 3.0 Leverage ratio buffer and overall leverage ratio requirement (% of total exposure measure) EU 14d Leverage ratio buffer requirement, % N/A N/A EU 14e Overall leverage ratio requirements, % 3.0 3.0 Liquidity coverage ratio 15 Total high-quality liquid assets (Weighted value – average) 3,876,199 2,495,533 EU 16a Cash outflows – Total weighted value 3,913,850 3,307,619 EU 16b Cash inflows – Total weighted value 1,930,170 2,184,023 16 Total net cash outflows (adjusted value) 1,983,680 1,123,596 17 Liquidity coverage ratio, % 195 222 Net stable funding ratio 18 Total available stable funding 24,782,937 21,045,436 19 Total required stable funding 20,890,795 18,340,719 20 Net stable funding ratio, % 119 115 Regulatory Key Metrics Definitions, Reconciliations and Regulatory Metrics
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Avarda Bank AB (publ) PO Box 947, SE-501 10 Borås, Sweden Tel: +46 33 722 35 00 Email: ir@avarda.com group.avarda.com