Nova Ljubljanska Banka d.d.

May 6, 2026

NLB Group in Q1 2026: Resilient Underlying Performance and Continued Growth Momentum

Pursuant to the Rules of the Ljubljana Stock Exchange and Article 158 of the Market Financial Instruments Act, relating to the Article 17 of the Regulation (EU) No 596/2014, NLB d.d., Trg republike 2, 1000 Ljubljana, announces:

Ahead of the NLB Investor Day on 7 May 2026, that brings together financial experts, investors, and analysts - this year in Sarajevo, Bosnia and Herzegovina - the NLB Group announces its operating results for the first quarter of 2026.

While key highlights are discussed in detail below, some key takeaways include:

·      Profitability remained solid with profit after tax at EUR 119.3 million, down 5% YoY due to a higher burden of non-recurring items. The underlying performance was resilient, with recurring profit before impairments and provisions increasing 5% YoY.

·    Net interest income rose 3% YoY to EUR 240.6 million, supported by continued loan volume growth, which more than offset the effect of lower interest rates. On a QoQ basis, net interest income decreased by EUR 3.2 million, primarily due to fewer days in the period (EUR 5.1 million). Excluding this effect, net interest income increased by EUR 1.9 million, with higher income from loans more than offsetting the continued funding pressure in SEE banks.

·      Loan growth remained broad‑based and robust. Gross loans increased 3% YtD and 14% YoY, with strong momentum across geographies and client segments. In particular solid growth was recorded in the corporate and state segment in Slovenia, while retail lending, including housing and consumer loans, continued to show healthy demand. NLB Group's subsidiary banks in the South-Eastern European (SEE) region also maintained solid lending growth.

·      The net interest margin showed stabilisation trends. On a QoQ basis, NIM decreased marginally to 3.19%, with NLB starting to show stabilisation and slight increase (to 2.57% from 2.54% in Q4), while SEE banks experienced continued pressure to raise more expensive term deposits to fund the strong long-growth.

·      Net fee and commission income continued to show robust growth, achieving an increase of 8% YoY to EUR 86.6 million, driven mainly by investment funds, bancassurance and account‑related services, with notable contributions from SEE markets.

·      Net non‑interest income declined due to non‑recurring effects. NNII decreased 7% YoY and 25% QoQ, driven primarily by the absence of positive one‑offs from the prior year (such as resolved legal disputes and real‑estate divestments), valuation effects, higher donations and seasonality in the fee and commission income as well as the accrual of regulatory costs in Q1.

·      Cost discipline remained solid with like‑for‑like cost growth of 3.5% YoY, mainly due to salary adjustments and higher IT expenses. The cost‑to‑income ratio stood at 47.4%, below guidance.

·      Asset quality indicators remained strong. Net impairments and provisions for credit risk amounted to EUR 12.8 million, driven by loan growth and credit migration, primarily in retail. The cost of risk stood at 26 bps annualised.

·      Liquidity and funding profile remained sound. Deposit growth continued to support loan expansion, with customer deposits up 1% YtD and a healthy loan‑to‑deposit ratio of 77.8%.

·      The capital position with a total capital ratio as at 31 March at 19.4% and CET1 at 14.8%, supports continued organic growth, M&A flexibility, and attractive shareholder remuneration, with a 55% dividend pay‑out ratio expected for 2026, implying high‑single‑digit dividend growth. 

"The most resilient institutions are defined by long-term consistency and discipline across changing and challenging conditions. NLB Group is one such institution. Even in an environment defined by elevated uncertainty and tighter financial conditions, the Group continues to demonstrate quiet strength in its fundamentals and its ability to deliver stable performance. This is not accidental. It is the result of a clear strategy, strong governance, and a deeply embedded risk culture - a fact further reflected in the recent NLB's upgrade by Moody's, which was both encouraging and validating," commented NLB's CEO Blaž Brodnjak upon publication of the results. "Our fundamentals remain solid across the board. Asset quality indicators continue to be sound, while our liquidity and funding position remain robust and well-diversified. This strong capital base of ours is not merely a buffer - it is a strategic enabler. It supports continued organic growth, provides flexibility for disciplined and value-accretive M&As, and allows for attractive and sustainable shareholder remuneration. We look forward to discussing all of this and more at tomorrow's NLB Investor Day, hosted this time in Sarajevo," he added.

The Chairman of the Supervisory Board Primož Karpe also commented on the Group's results in the first quarter, emphasising: "The Supervisory Board is satisfied with the Group's disciplined execution and the continued strength of its financial and risk profile. We are confident that Group's relentless focus on disciplined delivery of strategic objectives, combined with a robust risk framework and strong capital position, will continue to underpin its resilience and sustainable value creation as the growth across key metrics should accelerate in the years ahead."

You may find key highlights of the NLB Groups' business operations in the first quarter of 2026, Interim report, Investor presentation and NLB Group Factsheet on the links below.

·      Key Highlights in the First Quarter 2026

·      Interim Report

·      Investor presentation

·      NLB Group Factsheet

You are Kindly Invited to Follow NLB Investor Day on 7 May 2026

NLB Group will reveal more about the key performance indicators, our ambitions, our long-term vision, the progress of our strategy two years since it was published, and, in general, our story behind the numbers at tomorrow's (7 May, 2026) NLB Investor Day.

Following our first two Investor Days in 2022 in Belgrade and in 2024 in Ljubljana, the next NLB Investor Day will be held in Sarajevo, Bosnia and Herzegovina. NLB's perspective as a systemically important institution namely extends well beyond Slovenia's borders to all the markets in which we operate, and to which we are opening opportunities for growth and development. Registration for the live event is unfortunately no longer possible, however, the interested public can follow the event online by registering here. A recording of the event will also be available later.

On Friday, 8 May 2026, NLB Investor Day will be followed by the Financials Investor Conference - an exclusive gathering of investors and analysts, featuring meetings with leading financial institutions from Central and Eastern Europe, the Baltics and the Caucasus: Banca Transilvania, TBC Group, Lion Finance Group PLC, Georgia Capital, Artea, and LHV.

This announcement will be available on the company's website (www.nlbgroup.com) as of 6 May 2026.

Investor Relations
NLB d.d., Ljubljana