Another quarter of Bank Millennium with good financial and business results.

3Q24 was another solid quarter from the operating perspective. Loan growth started to gain momentum (+1% q/q and up 3% y/y but +2% and +5% respectively without the impact of the fast contracting FX-mortgage portfolio) with originations of cash loans remaining strong at nearly record level of close to PLN2 billion. Liquidity surplus remained strong despite lowered deposit pricing, supporting NII. Itself, 3Q24 NII without credit holidays, was 5% q/q and up 5% y/y (9M24 NII without credit holiday cost would be up 5% y/y). Number of active retail clients remained in a steady uptrend (3,120 thousand, up 5% y/y) while volume of investment products grew 9% q/q to PLN10.5 billion.

The third quarter of 2024 was another solid period for the bank's operational activities. We ended it with a net profit of PLN 190 million, despite the persistently high costs of the foreign currency mortgage portfolio and the full burden of the bank tax. The pace of lending increased; we placed our first green bonds with a nominal value of EUR 500 million; we expanded our cooperation with Bank Gospodarstwa Krajowego so that small and medium-sized business clients could benefit from the new Investmax guarantee. We also refreshed the design of our mobile application for retail customers, launched the possibility of using the mSzafir mobile signature and identity verification. We concluded another 1,081 settlements with Swiss franc borrowers, which means that since the beginning of the program, we have reached the level of 24.6 thousand amicable settlements. - commented Joao Bras Jorge, President of Bank Millennium.

On the FX-mortgage front, steady risk reduction continued. Quarterly number of new amicable settlements with FX-mortgage borrowers remained above the 1,000 mark. To date, settlements totalled 24,600, an equivalent of 40% of the number of loan agreements active at moment of the full roll-out of amicable settlements effort. Inflow of FX-mortgage claims against the Bank slowed to below 1,500 mark with increasing shares of claims from repaid loans (19% of stock of active claims), while the ratio of legal risk provisions to gross active book crossed the level of 110%.

Last but not least, capital and MREL ratios improved significantly with surplus of T1/TCR ratios widening to well over 5 percentage points and surplus of MREL trea ratio to nearly 8 percentage points.

Summarizing the presentation of the results for the third quarter of 2024, Joao Bras Jorge said: We are in the final phase of implementing the current strategy for 2022-2024 'Inspired by People'. We are pleased that in many cases we have managed to achieve the set goals ahead of time. The positive trend of business growth means that we will enter the new strategic cycle from a strong position, paving the way for new challenges in the last quarter. We set ambitious goals with the new strategy 'Strategy 2028 - Value and Growth'.

The results of the Capital Group are also available here: www.bankmillennium.pl/en/about-the-bank/investor-relations.