Banca Ifis: net profit of 472,3 million Euro including the effects of the first consolidation of illimity. Distribution approved of a 2025 interim dividend of 1,2 Euro per share

• Process started of integrating illimity into Ifis with the aim of creating a banking group with an increasingly comprehensive offering to support SMEs and individuals. Synergies confirmed of 75 million Euro, to be generated by commercial efficiency and reduced operating costs. This will be in addition to the synergies from reduced funding costs. Expected integration costs of 110 million Euro also confirmed
• Capital position solid (CET1 at 14,25%), allowing for the distribution of an interim dividend of 73 million Euro for 2025. Payment date 26 November 2025
• Profit guidance of 160 million Euro[1] for 2025 for Banca Ifis confirmed, excluding the impact of the extraordinary transaction

• The sale is part of the strategy to redefine the Group’s new perimeter, which will also take place through the sale of additional non-core assets
• Banca Ifis will gain an estimated CET1 ratio benefit of around 55 bps from this transaction

Consolidated results for the first nine months of 2025
Reclassified consolidated data[2] – First nine months of 2025

• Consolidated net profit attributable to the parent company for the first nine months of 2025 amounted to 472,3 million Euro and includes the positive contribution of Banca Ifis and the effects of the first-time consolidation of illimity Bank as of 1 July 2025. Non-recurring items mainly relate to the gain on a bargain purchase (badwill) and integration charges as well as costs related to the bid on illimity.
• Net banking income amounted to 536,4 million and includes the contribution of illimity of 46,7 million Euro for the third quarter of 2025 alone. Net of the contribution of illimity, Banca Ifis’s net banking income amounted to 489,7 million Euro, compared to 531,8 million Euro in the first nine months of 2024, and was affected by the typical seasonality of the summer period in the Npl business and the less favourable trend in reference rates. For Banca Ifis standalone, the Commercial & Corporate Banking Segment generated revenues of 256,9 million Euro (down slightly from 269,3 million Euro in the first nine months of 2024 due to the higher cost of financing), and the Npl Segment generated revenues of 210,6 million Euro (down slightly from 215,7 million Euro in the first nine months of 2024 due to lower purchases of Npl portfolios).
• The credit cost, at 30,4 million Euro, includes 6,9 million Euro related to illimity and mainly concentrated on B-ilty. Net of the contribution made by illimity, it is 23,5 million Euro, compared to 28,9 million Euro in the same period of 2024, confirming the prudent credit risk management in recent years.
• Operating costs of 348,3 million Euro include 44 million related to the consolidation of illimity for the third quarter of 2025 only. Net of the illimity contribution, Banca Ifis’s operating costs amounted to 304,3 million Euro, compared to 299,7 million Euro in the first nine months of 2024. Lower other administrative expenses (176,9 million Euro compared to 177,6 million Euro in the first nine months of 2024) reflect the Group’s focus on operational efficiency and the benefits associated with the completion of the digitisation projects envisaged in the 2022-2024 Business Plan.
• Liquidity position, at 30 September 2025, is equal to approximately 2,9 billion Euro in reserves and free assets that can be financed by the ECB (LCR above 750%). The Group’s solid liquidity and funding profile has been further strengthened with the placement of a 400 million Euro Senior Preferred bond issue aimed at institutional investors, maturing in November 2029 and with a coupon of 3,625%.

Capital requirements[3]

• CET1 comes to 14,25% (16,10% at 31 December 2024) and TCR to 16,79% (18,11% at 31 December 2024), calculated including the profit generated during the first nine months of 2025, net of the dividend accrued. The results are in line with Banca Ifis’s objectives after the acquisition of illimity Bank. The solid equity position has allowed for a resolution to be passed to distribute 73 million Euro (1,2 Euro per outstanding share, gross of any withholding taxes) of a 2025 interim dividend, which will be paid with ex-dividend date 24 November 2025, record date of 25 November 2025 and payment date of 26 November 2025.

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Milan, 10 November 2025 – The Board of Directors of Banca Ifis met today under the chairmanship of Ernesto Fürstenberg Fassio and approved the consolidated results for the first nine months of 2025.

“The results of the first nine months highlight the solidity of Banca Ifis’s business model and allow us to confirm the guidance for net profit for 2025, on a stand-alone basis. The Bank was able to compensate for the falling interest rate scenario and maintained solid risk control, even in a complex macroeconomic scenario. These results were achieved while we completed a significant market transaction – made possible thanks to the controlling shareholder of Banca Ifis, the Fürstenberg family – which was concluded in the third quarter with the acquisition of 100% of the shares of illimity Bank. In the coming months we will be able to determine more precisely the financial contribution of illimity to our Group, but we can already confirm the synergies estimated at the launch of the Public Offer at 75 million Euro. Over the coming months, the analysis of assets with a view to long-term value creation will continue. In this respect, the sale of 50% of Hype to Banca Sella Holding represents a significant first step. The management is focused on the integration project, the reduction of the funding cost and the commercial development of the combined entity”, says Frederik Geertman, CEO of Banca Ifis.

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The revenues of Banca Ifis’s Commercial & Corporate Banking Segment for the first nine months of 2025, excluding the contribution of illimity, amounted to 256,9 million Euro and were affected by a less favourable interest rate scenario offset by the dynamism and quality of work of the commercial network. The benefits of specialising in high value-added businesses, such as equity investments of the Structured Finance business unit, suffered in the third quarter from the typical seasonality of the summer months.

The revenues of Banca Ifis’s Npl segment for the first nine months of 2025, excluding the contribution of illimity, amount to 210,6 million Euro and reflect lower portfolio purchases and the streamlining of in- and out-of-court recovery processes of the proprietary portfolio. Collections from recovery activities amounted to 369 million Euro and show no significant negative impact to date from inflation and macroeconomic uncertainty.

The strategy on the funding side is focused on refinancing the approximately 2,7 billion retail deposits maturing in the next two quarters at more favourable interest rates reflecting the reduction in the base rate while maintaining the traditional relationship with our customer base.

On 8 July, Banca Ifis issued a senior bond (yield of 3,625%) to refinance the 300 million Euro senior bond (yield of 6,625%) of illimity Bank maturing in December 2025. For Banca Ifis, this is the bond issue with the lowest credit spread in its history. Banca Ifis will continue to monitor the institutional market to seize any favourable windows for its issues.

Banca Ifis’s average cost of funding excluding the illimity contribution stood at 3,2% at the end of Q3 2025, confirming the downward trend from 3,3% in Q2 and 3,5% in Q1 2025.

The Banca Ifis Group’s gross and net core originated Npe ratios as at 30 September 2025 relating to receivables due from customers are 4,7% and 2,7% respectively, and are calculated excluding loans in the Npl segment, government securities measured at amortised cost and impaired financial assets acquired or originated (POCI), or with them as underlying assets, either for business purposes (e.g. for the relaunch and optimisation of companies in temporary difficulties) or emerging as a result of business combinations. Similarly, portfolios with underlying contract disputes that arose as a result of business combinations were excluded from the calculation of ratios because they did not fit the Group’s business model.

Capital ratios confirm the Group’s great solidity. Both the main indicators remain well above the minimum required levels, with a consolidated CET1 Ratio of 14,25% (16,10% as at 31 December 2024) and a consolidated Total Capital Ratio of 16,79% (18,11% as at 31 December 2024), calculated including profits generated during the first nine months of 2025, net of the relevant dividend accrued.

The Board of Directors has resolved the distribution of 73 million Euro (1,2 Euro per outstanding share, gross of any withholding taxes) of a 2025 interim dividend, which will be paid with ex-dividend date 24 November 2025, record date of 25 November 2025 and payment date of 26 November 2025

Please note that the Board of Directors’ report and the financial statements as at 30 September 2025 pursuant to Article 2433-bis of the Italian Civil Code. – on the basis of which the Board of Directors of Banca Ifis resolved to distribute the interim dividend and included in the Interim Report as at 30 September 2025 – are made available to the public at the Bank’s registered office, as well as on the authorised storage mechanism and on the Bank’s institutional website, www.bancaifis.it, in the “Investor Relations & Corporate Development” section. Lastly, for the purposes of the distribution of the interim dividend, the independent auditing firm PricewaterhouseCoopers S.p.A. today issued the opinion required by Article 2433-bis of the Italian Civil Code, which has been made available to shareholders at the Bank’s registered office.

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Acquisition of illimity Bank S.p.A.

On 19 September 2025, Banca Ifis completed the squeeze out procedure, reaching 100% of the share capital of illimity Bank and delisted illimity Bank’s shares. On 25 September 2025, the Ordinary and Extraordinary Shareholders’ Meeting of illimity Bank renewed the corporate bodies of Banca Ifis.

For Banca Ifis, the acquisition of illimity Bank represents a significant growth opportunity, both industrially and financially. At 30 September 2025, the first consolidation of illimity into the Banca Ifis Group generated a gain on bargain purchase (badwill) which, net of further write-downs of illimity and the purchase price allocation (PPA) process, was included as income in the consolidated income statement of Banca Ifis.

Consistent with the indications received from the European Central Bank (ECB) and reported in the press release of 29 April 2025, Banca Ifis has mandated a specific PwC network company to perform the required due diligence on illimity: this will be completed by December 2025.

Banca Ifis launched the quality analysis of illimity’s portfolio assets to align with the industry standards, along with a detailed integration plan that includes: (i) the definition of the new organisational set-up and business structure, as well as the assessment of the technological platforms; (ii) the qualitative-quantitative assessment of illimity’s staff at all levels, functional to meet the needs of the combined entity; (iii) the alignment of the financial statements policies with Banca Ifis’s standards; (iv) the oversight of operations with the aim of increasing efficiency, ensuring business continuity and the highest service levels; and (v) cross-selling initiatives on the respective clients to increase revenues.

The integration roadmap will lead to the realisation of the cost and revenue synergies announced and quantifiable in the order of approximately 75 million Euro per year, before tax. These would be made possible by the increase in productivity per customer currently in illimity Bank’s charge, which will be enriched with the high value-added offer (factoring, leasing, rental) in which Banca Ifis is a leader: this implementation should bring in revenue synergies estimated at 25 million Euro per year, before tax. In addition, Banca Ifis expects that the complementarity of certain business segments (such as, for example, the Npl segment) and the integration of governance and control structures will allow it to develop significant cost synergies, estimated at around 50 million Euro per year, pre-tax. Once the merger is complete, and following the mentioned transactions, Banca Ifis expects to maintain a pro-forma CET1 level of around 14%.

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Banca Ifis and its commitment to sustainability

Banca Ifis has completed the process of integrating sustainability into both its business model and governance. In the first half of 2025, this transformation was recognised by MSCI, which raised Banca Ifis’s rating from AA to AAA, the highest level on its rating scale. This rating places the Bank among the leaders globally and within a merit band of only 3% of companies in the sector. In addition to MSCI, Banca Ifis received an ESG credit impact score (CIS) of 2 from Moody’s, confirming it as a virtuous example on the market, with particular reference to Governance; a rating of B, on a scale of F to A, from CDP (formerly the Carbon Disclosure Project), a non-profit organisation that assesses the environmental impact of companies.  In addition to its high ranking in the major international ratings, the bank has been awarded the Best ESG Programme in Europe in the Speciality Finance segment by the independent company Extel Institutional Investors, for the second year running. This path can also be further enhanced through the integration of the sustainability practices of the new subsidiary illimity Bank, which ranks high in the major international indices.

The awards come at the end of a journey that also saw the creation of a structured ESG agenda that intervenes in all areas of sustainability through the Kaleidos “Social Impact Lab”. Founded at the behest of President Ernesto Fürstenberg Fassio, Kaleidos promotes cultural, social and community support initiatives. Since its creation to date, the Social Impact Lab has implemented more than 50 initiatives for a total commitment of 8 million Euro. In order to quantify the social impact generated by these projects, Banca Ifis, in collaboration with Triadi – a spin-off of the Milan Polytechnic led by Mario Calderini – has developed an impact measurement model that allows the return generated by these initiatives to be quantified in economic terms. Applied to all Kaleidos projects already implemented, the impact measurement model showed that one euro invested by Banca Ifis in social initiatives generated, on average, 5,2 euro of social value. The most significant initiatives carried out during the period included those in the field of medical-scientific research, with support for the Bambino Gesù Paediatric Hospital Foundation to purchase a PET-CT scanner in the research project aimed at assessing the safety and effectiveness of gene therapy with CAR-T cells on young patients with relapses or not responding to other currently available treatments for malignant tumours of the central nervous system. Another significant long-term collaboration is with the Advanced Biomedical Research Foundation of Padua, through the ‘Adopt a researcher’ projects, the support of studies in the field of neuromuscular and metabolic pathologies, and the purchase of the Lightsheet Microscope machine, an innovative technological tool that will allow great strides to be made in the study of Neuromuscular and Metabolic Pathologies. Again thanks to Kaleidos, Banca Ifis has intervened in support of projects aimed at the most vulnerable categories, such as the disbursement in favour of the Banco Alimentare Onlus Foundation, which has made it possible to distribute the equivalent of ten million meals to people in difficulty.

Banca Ifis has also been committed on the social front through ‘Ifis art’, the project desired and conceived by Chairman Ernesto Fürstenberg Fassio for the enhancement of art, culture, contemporary creativity and their values, also through public-private initiatives. The symbol of Ifis art is the collection of the Villa Fürstenberg International Sculpture Park. The Park officially reopened to the public on 27 April with two new works that enrich the rich collection of over thirty works by some of the best known exponents of contemporary Italian and international art. In this context, the Banca Ifis Research Department measured the results produced by the International Sculpture Park from a social point of view, according to the impact measurement model developed by the Bank with the Polytechnic University of Milan. According to the responses of the 500 visitors interviewed, the Banca Ifis International Sculpture Park generates a multiplier of 3,9: translated into practical terms, every Euro invested by the Bank in the Park generates almost 4 Euro of social value for the area. This value even rises to 5,3 if we take into account the cluster of participants in the workshops that the Bank organised during 2024 in cooperation with the Ministry of Culture within the framework of the Venice Biennale. Also as part of Ifis art, in June 2025, Banca Ifis started work to rescue and secure The Migrant Child, one of only two works by the artist Banksy on Italian soil. The work was finally saved on 24 July 2025 and the Bank will now proceed with the restoration of the building that housed it, Palazzo San Pantalon in Venice. Work on the Palazzo has been entrusted to Zaha Hadid Architects and will be aimed at transforming the building into an exhibition space for young artists in collaboration with the Italian Pavilion of the Venice Biennale.

[1] Excluding costs related to the offer on illimity Bank

^[2] Reclassifications and aggregations of the consolidated income statement concern the following:

• net credit risk losses/reversals of the Npl Segment are reclassified to interest receivable and similar income (and therefore to “Net interest income”) to the extent to which they represent the operations of this business and are an integral part of the return on the investment;
• net allocations to provisions for risks and charges are excluded from the calculation of “Operating costs”;
• cost and revenue items deemed as “non-recurring” (e.g. because they are directly or indirectly related to business combination transactions, such as the “gain on a bargain purchase” in accordance with IFRS 3), are excluded from the calculation of “Operating costs”, and are therefore reversed from the respective items as per Circular 262 (e.g. “Other administrative expenses”, “Other operating income/costs”) and included in a specific item “Non-recurring income and costs”;
• the ordinary and extraordinary charges introduced against the Group’s banks (Banca Ifis and Banca Credifarma) under the Single and National Resolution Mechanisms (SRF and NRF) and the Deposit Protection Mechanism (DGS or FITD) are shown under a separate item called “Charges related to the banking system” (which is excluded from the calculation of “Operating costs”), instead of being shown under “Other administrative expenses” or “Net allocations to provisions for risks and charges”;
• the following is included under the single item “Net credit risk losses/reversals”:
  • net credit risk losses/reversals relating to financial assets measured at amortised cost (with the exception of those relating to the Npl Segment mentioned above) and to financial assets measured at fair value through other comprehensive income;
  • net allocations to provisions for risks and charges for credit risk relating to commitments and guarantees granted;
  • profits (losses) from the sale/repurchase of loans at amortised cost other than those of the Npl Segment.

^[3] CET1, Tier 1 and Total Capital at 30 September 2025 include the profits generated by the Banking Group in the first half of 2025, net of the relevant dividend accrued.