Market announcement

Title

Coop Pank AS results for April 2025

Message

Coop Pank's financial results in April 2025:

  * In April, number of the bank's clients increased by 1,700 and number of
    active clients decreased by 100. By the end of the month number of clients
    reached 214,400 and number of active clients reached 101,600. Over the year,
    customer base has grown by 12%.
  * Volume of the bank's customer deposits decreased by 107 million euros in
    April. The reduction in deposit volume was a deliberate step, as an
    additional 250 million euros was raised in March through the issuance of
    covered bonds. By the end of the month, the bank's deposits reached 1.81
    billion euros. Deposits of corporate customers decreased by 74 million euros
    and deposits of private customers decreased by 5 million euros. The volume
    of deposits attracted from international platforms decreased by 28 million
    euros. Over the year, volume of bank deposits has grown by 4%.
  * The bank's loan portfolio increased by 53 million euros and reached 1.87
    billion euros by the end of month. Business loans increased by 39 million
    euros and home loans increased by 13 million euros. Leasing and consumer
    financing portfolios both increased by nearly 1 million euros. Over the
    year, loan portfolio has grown by 20%.
  * In April, the loan impairment cost was 0.8 million euros.
  * Compared to the first four months of last year, the bank's net income
    decreased by 5% and expenses have increased by 2%.
  * In April, the bank earned net profit of 1.8 million euros. In the first four
    months of the year, the bank has earned a net profit of 9.7 million euros,
    that is 19% less than in the same period last year.
  * In April, Coop Pank's return on equity was 10.3% and the cost-income ratio
    was 53%.

Comment by Paavo Truu, Member of the Management Board and CFO of Coop Pank:

"In April, Coop Pank issued a large volume of business and home loans, resulting
in strong growth of the loan portfolio. Both the leasing and consumer finance
portfolios also grew by nearly one million euros each. Since certain provisions
must be made from the very first day for all loans, the rapid growth of the loan
portfolio was the main reason for the larger amount of provisions booked in
April.

Despite the ongoing uncertainty in the economy, the quality of Coop Pank's loan
portfolio remains very strong.

Due to rapid price increases and changes in the tax system, people have
increasingly been purchasing used cars. In response, Coop Pank introduced a new
leasing product in April, specifically designed for financing the purchase of
used vehicles.

Conscious reduction of deposit volume is linked to the successful international
covered bond issuance - in March, Coop Pank completed its first issuance of
four-year covered bonds in the amount of 250 million euros. Thanks to this, the
bank now has access to a long-term and stable funding source, which allows for a
partial reduction in the volume of more expensive term and foreign deposits now
and going forward."

More detailed financial reports of Coop Pank are available at:
 https://www.cooppank.ee/en/financial-reports

Coop Pank, based on Estonian capital, is one of the five universal banks
operating in Estonia. The number of clients using Coop Pank for their daily
banking reached 214,400. Coop Pank aims to put the synergy generated by the
interaction of retail business and banking to good use and to bring everyday
banking services closer to people's homes. The strategic shareholder of the bank
is the domestic retail chain Coop Eesti, comprising of 320 stores.

Additional information:
Paavo Truu
CFO
Phone: +372 5160 231
E-mail: [email protected] (mailto:[email protected])