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Bigbank AS results for April 2024

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In April 2024, Bigbank's growth continued. Both deposit and loan portfolios
grew, and monthly profit was at a good level.

In April, the long-awaited period of interest rate declines began in the
markets. While significant central banks did not decline their base rates in
April, the expectation for their reduction this summer has deepened. This means
that even the EURIBOR has started to decline, leading banks to lower deposit
interest rates. The deposit interest rates offered by Bigbank are also
influenced by this, but at the same time, Bigbank keeps deposit rates as
attractive as possible for deposit clients in all domestic markets. Overall,
this has led to a situation where the growth rate of Bigbank's deposit portfolio
has decreased, but growth continued. By the end of April, the deposit portfolio
reached a record level of 2.2 billion euros, with both term and savings deposit
portfolios standing at 1.1 billion euros each.

Regarding the loan portfolio, April was the strongest month of growth so far
this year. The monthly growth of the entire portfolio exceeded 50 million euros,
with the business loan portfolio showing the highest growth. In view of this
year, the largest monthly
growth also occurred in home and consumer loan portfolios.

In terms of loan portfolio quality, the situation has somewhat improved compared
to the first quarter of 2024. The main adverse factor in the first quarter was
primarily the deterioration in consumer loan quality, and to a lesser extent,
the worsening quality of business loans, which led to an increase in net loss
allowances for loans and financial investments and provision expenses. In April,
these costs totalled 1.6 million euros, a significant decrease compared to the
first quarter. Additionally, the level of non-performing loan portfolio remains
low.

A net profit of 2.9 million euros for April is a solid figure. Compared to the
combined results of the previous year's first four months, Bigbank's net profit
decreased by 2.6 million euros. The main factors are the increase in net loss
allowances for loans and financial investments over four months, but there is
also a significant impact from the increase in salary expenses and income tax
expenses. The latter effect mainly arises from the income tax obligation imposed
on credit institutions in Latvia, which has been affecting financial results
since December 2023.

Bigbank's April 2024 financial results:

  * Deposits from customers and loans received increased by 674 million euros
    over the year to 2.2 billion euros (+44%).
  * Loans to customers increased by 335 million euros year on year to 1.8
    billion euros (+23%).
  * Net interest income was 8.8 million euros in April, totalling 35.2 million
    euros for the first four months of the year. Compared to the same period
    last year, there was an increase of 5.2 million euros (+17%) over the first
    four months.
  * Net loss allowances for loans and financial investments and provision
    expenses amounted to 10.5 million euros for the first four months of the
    year, representing an increase of 4.6 million euros or 77% compared to the
    same period last year.
  * April's net profit was 2.9 million euros. The total profit for the first
    four months amounted to 9.3 million euros, decreasing by 2.6 million euros
    or 22% compared to the same period in 2023.
  * The return on equity in April was 14.4%.


 Income statement, in thousands of                                  Difference
 euros                                Apr 2024     YTD24     YTD23     YoY
-------------------------------------------------------------------------------
 Total net operating income, incl.       9,394    38,172    33,123   5,049 +15%

 Net interest income                     8,775    35,166    29,994   5,172 +17%

 Net fee and commission income             737     2,901     2,635     266 +10%

 Total expenses, incl.                  -4,288   -16,421   -13,741  -2,680 +20%

 Salaries and associated charges        -2,322    -8,734    -7,664  -1,070 +14%

 Administrative expenses                -1,274    -4,943    -4,723    -220  +5%

 Profit before loss allowances           5,107    21,751    19,382   2,368 +12%

 Net loss allowances on loans and
 financial investments and other
 provisions                             -1,565   -10,539    -5,971  -4,568 +77%

 Income tax expense                       -617    -1,892    -1,399    -493 +35%

 Profit for the period from
 continuing operations                   2,925     9,320    12,013  -2,693 -22%

 Profit or loss before tax from
 discounted operations                       8        29       -71     100
-------------------------------------------------------------------------------
 Profit for the period                   2,933     9,349    11,942  -2,592 -22%
-------------------------------------------------------------------------------




 Business volumes, in thousands of                                  Difference
 euros                                Apr 2024     YTD24     YTD23     YoY
-------------------------------------------------------------------------------
 Customer deposits and loans
 received                            2,190,221 2,190,221 1,516,001 674,220 +44%

 Loans to customers                  1,794,458 1,794,458 1,459,567 334,890 +23%



 Key figures                                                        Difference
                                      Apr 2024     YTD24     YTD23     YoY
-------------------------------------------------------------------------------
 ROE                                     14.4%     11.4%     16.5%  -5.1pp

 Cost / income ratio (C/I)               45.6%     43.0%     41.5%  +1.5pp

 Net promoter score (NPS)                   58        58        57      +1


Bigbank AS (www.bigbank.eu
(https://www.globenewswire.com/Tracker?data=rwpiEKknh8UiRq3jdFDHih4AxZfWUjb9h5zb
rCOgizOsBxtumLmCyZ5SzEA7Ol75achY9guZJjleTfYbXuMeuw==)) is an Estonian capital-
based bank specialising in loans and deposits for private and business
customers. In addition to operations in Estonia, the bank has branches in
Finland, Sweden, Latvia, Lithuania, and Bulgaria and offers its products on a
cross-border basis in Austria, Germany, and the Netherlands. Bigbank's total
assets exceed 2.5 billion euros.

Argo Kiltsmann
Member of the Management Board
Telephone: +372 5393 0833
E-mail: [email protected]
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www.bigbank.ee
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