INDEXO — Investor Presentation 2025

Feb 26, 2025

INDEXO

Webinar on 2024 consolidated financial results

Valdis Siksnis AS INDEXO Banka Chairman of the Board

lvita Asare AS INDEXO Banka Chief Financial Officer

February 26, 2025

Henrik Karmo IPAS INDEXO Chairman of the Board

Another strong year for INDEXO Group with 42% y-o-y revenue growth in pension business and over 21 000 customers joining INDEXO Bank in the first months

Pension business delivering solid financial results and generates cash flow to support INDEXO Group further development

INDEXO 2mg and 3rd pension pillar equity plans are among the bestperforming in the Latvian market

INDEXO pension business will be shifting its focus on the voluntary 3rd pension pillar plans

INDEXO Bank is finally in the market, and has attracted 33MEUR deposits during first months

INDEXO well positioned to continue banking market disruption in 2025

lmpressive growth of AUM and Clients

INDEXO -Data source: annual reports, manapensija.lv data, internal data

Pension business delivering strong and stable profitability

Expecting annual net profit of EUR 2 million

Data source: annual reports, internal data

Annual net profit / (loss) & profit before client acquisition costs of pension business, thousand EUR

Our business growth in 2nd pillar can be attributed to growing monthly COntributionS 2™ Pillar pension AUM growth drivers Q4 2023 – Q4 2024 and new customers Millions EUR, based on management estimates 215 joining INDEXO 203 116

896

• From: 8.8 million euro in December 2023
  • lo: 10.4 million euro in December 2024 17% increase

INDEXO

INDEXO has the highest AUM per client and the gap between us and competitors is increasing

Manager	Yearly Change of	% change
	AUM per client, EUR		12,000
INDEXO	2 485	31.5%	10,000
Competitor 5	1 507	26.2%	8,000
Competitor 2	705	11.2%	6,000
Competitor 1	-5 213	-44.3%
Competitor 7	1 207	23.3%	4,000
Competitor 3	1 239	25.6%	2,000
Competitor 6	ଚିଚିତ୍ର	16.8%	O
Competitor 4	197	4.8%

Data source: manapensija.lv data, VSAA

AUM per client, EUR, December 2024

INDEXO pension business generates profits to support bank development

• Increase in the client base and AUM have contributed to 42% y-o-y growth in commission income
• the pension business was EUR 1.34 million

INDEXO Pension business re

Commission income

Interest income/(expense)

Administrative and other exper management

Operating income before cli other business project exper

Client acquisition costs

Pension management opera

Non-cash personnel option ex

Corporate income tax

Comprehensive profit/ (losse period

Data source: internal data * - Interest expense for Commitment letters

sults, EUR	Jan-Dec 2024 Jan-Dec 2023	Audited, EUR Audited, EUR
	4 439 981	3 123 426
	(230 343)*	25 012
nses for pension	(1 177 371)	(1 272 371)
ent acquisition and lses	3 032 267	1876067
	(1 971 956)	(1 791 549)
ting result	1060 311	94 518
penses	(238 949)	(420 819)
	(7 388)	(5 226)
es) for the reporting	813 974	(331 527)

Our promise that long term market returns give great results has worked

2nd Pillar Pension plan	Risk Profile	l-year return (per annum)	3-year return (per annum)	5-year return (per annum)	Return since inception (per annum)
INDEXO lzaugsme 55-62	50% Equities	12.94%	3.04%	5.12%	5.48%
INDEXO Jauda 16-55	100% Equities	25.45%	9.21%	10.75%	10.40%
INDEXO Konservatīvais 62+	100% Bonds	2.60%	-2.21%	-1.35%	-0.41%

Data source: internal data, manapensija.lv

The graph shows the cumulative returns of INDEXO Jauda 16-55 pension plan on 31.12.2024 relative to the average returns of 100% equity plans in the Latvian 2nd pillar pension market (excluding INDEXO Jauda 16-55), and the consumer price index in Lentral Statistical Bureau of Latvia.

INDEXO

40

35

30

25

20

15

10

5

0

Data source: internal data

3PL contributions growing steadily, ARC* already close to 15 million

Data source: internal data * - Annual Recurring Contributions

Average monthly contribution in 2024

68%

48.25 EUR

Clients who made a contribution in 2024

Compared to 64% in 2023

Pension business challenges and opportunities

• New fee scheme will be implemented, but date still open
• Churn management
• · Contributions dropped from 6% to 5%
• · 2nd Pillar API launched
• 3rd Pillar promotion through bank app
• · Focus shift from 2nd Pillar to 3rd Pillar

INDEXO Bank is live with daily banking offer for Private customers

On average around 4 600 customers added each month. As of February 25, the Bank has more than 28 100 customers

lt takes on average 5 min* to open account and less than 10 seconds to check your 2PL balance via mobile app

On average 7M EUR attracted in Retail customer deposits each month - appreciation of advantages of our savings products. As of February 25, the Bank has 42.1M EUR in customer deposits

Fast, user friendly and transparent consumer lending process. It takes on average 5 min to receive consumer loan via mobile app

*average median time for more than 6000 customers from phone verification sms till signing of general transaction rules

INDEXO Bank Customers, Loan and Deposit portfolio in the last 3 months of 2024

Consumer loans on February 25th : EUR 3.6 million

Consumer Loans, million EUR

The Bank stands out with the ease of use of its services and innovative products, offering new opportunities and more favourable conditions for clients

Easy-to-use and high-yielding deposit products

INDEXO

The Bank has had a good start, but we are not stopping here

During 2025 the offering for Retail customers will be considerably extended in the pursuit to close the gap with the market average customer volumes

Consumer loan

Term deposit

Current account

Daily Banking

Lending products

Mobile app improvements

●

●

●

Daily Banking - modern and convenient, everything can be done on your mobile device

Apple Pay / Google Pay to be launched in April

Competitive interest rates for our savings products will stay

Family accounts

Savings account deposit interest rates, %

Improvements & bug fixes

Since launch we have already had 7 new versions of the application

lmprovements such as:

• daily visualization of earned interest and taxes withheld for deposits and vault;
• 2nd pillar pension savings viewable in the app;
• ability to generate formal PDF account statement;
• consumer lending through third party platforms;
• · regular payments;
• already fixed 200+ bug fixes and made small improvements

Lending - delivering on our promise to challenge the market

• Check out our offer through our app
• Launching loan refinancing product in the coming months

• Live tests have started .
• Mortgage loan refinancing product to be launched in April
• New mortgage loan offer in Q3 2025

Custody

Designated to provide secure and efficient asset safeguarding, ensuring the highest standards of compliance and operational excellence

IPAS Indexo will be the first client, expected annual runrate revenue of EUR 1 million and growing

Potential for other asset managers

Future holds benefits and opportunities for private individuals

INDEXO Bank is operational with a focus on building strong base for future expansion

INDEXO Bank Profit and Los

Interest income

Interest expense

Commission and fee income

Commission and fee expense

Net foreign exchange losses

Other operating income

Other operating expenses

Administrative expenses

of which IT expenses

Depreciation

Credit losses

Loss before corporate incom

Corporate income tax

Loss for the period

Data source: internal data

s Statement, EUR	Jan – Dec 2024 Audited, EUR
	429976
	(479 810)
	29 766
	(122 768)
	(1 206)
	184 630
	(379 763)
	(5 139 688)
	(2 079 213)
	(593 945)
	(87733)
e tax	(6 160 542)
	(2 073)
	(6 162 615)

INDEXO Bank continues to make significant IT investments and to secure customer funding for future loan portfolio growth

INDEXO Bank Balance sheet, EUR

ASSETS

Cash and cash equivalents Financial assets measured at an Prepayments Property, plant and equipment Intangible assets Other assets Total assets

EQUITY AND LIABILITIES

Financial liabilities measured at Trade payables Accruals Tax liabilities l ease liabilities Other liabilities Total liabilities

EQUITY

Share capital and options Total equity TOTAL EQUITY AND LIABILITIES

Data source: internal data

	35 385 576
nortized cost (loans)	987 306
	713 343
and right-of-use of assets	2 490 298
	4 445 577
	533 623
	44 552 723
amortized cost (deposits)	33 097 748
	471 383
	163 329
	161 377
	1 964 367
	217 729
	36075933

8 476 790
8 476 790
44 552 723

Due to the INDEXO Bank continued investments Tier 1 capital decreased to 7.26M with CAR at 56% comfortably exceeding regulatory requirement

*-internal minimum

Data source: internal data

23

INDEXO Group aims to reach monthly break-even (before loan losses) in Q4 2025

Net pension business monthly result 160 tht EUR

Custody business launch **

New customers per month 3 tht

New monthly deposit volume 10M EUR

New monthly mortgage lending volume 1.5M EUR*

New monthly consumer lending volume 3M EUR

INDEXO Bank will raise the additional capital to deliver on ambitious long-term targets

• Building of consumer lending and mortgage lending portfolio
• Investments in Daily banking product development
• Mobile application updates
• · Customer acquisition
• · Custody service
• Regulatory projects

INDEXO

Equity end 2024 8.5M

Required in 2025

Required minimum capital 5M

Latvian banking market is a huge opportunity for INDEXO

Addressable oligopolistic market of EUR 622 million banking profits in 2023, and EUR 438 million in 9M 2024 is ripe for disruption

Huge underserved lending market opportunity, estimated to be around EUR 5 bn

More than EUR 8 billion is sitting in current accounts and not earning interest, we believe that needs to change

INDEXO is positioned to shake up the market by leveraging its large, fast-growing customer base, a well-recognized brand, and a cutting-edge IT infrastructure

INDEXO opens Customer support center

In-person Customer support center is located in the Verde office complex at 1 Roberta Hirša street, Riga.

Over 28 000 people have already received their share of 123 million!

More than EUR 8 billion of Latvian populations' money is sitting in current accounts, and the big banks are not paying a dime for that.

INDEXO - the first bank providing quick access to your potentially largest savings ever!

Check your 2nd pillar pension in the INDEXO Bank app!

. INDEXO

APPENDICES

30

Consolidated Statement of Comprehensive Income

Commission and fee income

Commission expense

Interest income calculated u

Administrative expenses

Interest expense

Other operating income

Other operating expenses

Impairment losses from finar

Loss before corporate inco

Corporate income tax

Loss for the period

Total comprehensive loss to shareholders for the per

Basic earnings per share

Diluted earnings per share

Data source: internal data

		Jan - Dec 2024
	Audited, EUR	Audited, EUR
D	4 474 815	3 123 426
	(129 042)	(4 713)
sing the effective interest rate	470 854	51 466
	(9 374 475)	(5 994 955)
	(773 344)
	150 000
	(102 716)	(63 632)
ncial instruments	(88 961)	(3 497)
me tax	(5 372 869)	(2 891 905)
	(9 461)	(6 296)
	(5 382 330)	(2 898 201)
for the period, attributable riod	(5 382 330)	(2 898 201)
	(1.18)	(0.79)
	(1.18)	(0.79)

Consolidated Statements of Financial Position

ASSETS

Cash and cash equivalents Financial assets measured at amortized cos Receivables Prepayments Contract acquisition costs Other assets Tax assets Intangible assets, property, plant and equip Participation in the share capital of associate Other securities and investments Total assets

EQUITY AND LIABILITIES

Financial liabilities measured at amortized o Accrued liabilities

Trade payables

Taxes and national social insurance mandat

Lease liabilities

Other liabilities

Total liabilities

EQUITY

Share capital

Share options

Share premium

Accumulated deficit

Profit/ (loss) for the period

Total equity TOTAL EQUITY AND LIABILITIES

Data source: internal data

	Dec 2024	Dec 2023
	Audited, EUR	Audited, EUR
	36 647 025	2 707 396
t (incl. Ioans)	1061149	53 944
	460 869	321 489
	751 524	548 006
	1 566 969	1 389 048
	534 963	81 990
	4 433
oment and right-of-use of assets	7 153 067	2 024 667
ed companies	198 450	127 400
	61 583	61 583
	48 440 032	7 315 523
cost (deposits)	32 423 162
	581 148	246 200
	514 932	608 361
cory contributions	197 003	207 962
	2 041 690	46 665
	557 402	334 154
	36 315 337	1 443 342
	4 760 549	3 795 407
	618 004	379 055
	17 525 087	7 094 334
	(5 396 615)	(2 498 414)
	(5 382 330)	(2 898 201)
	12 124 695	5 872 181
	48 440 032	7 315 523

32