Mizrahi Tefahot Bank Ltd.

Earnings Release • May 21, 2025

Financial statements March 31, 2025

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Q1/25 Disclaimer

• This document has been prepared by Mizrahi-Tefahot Bank Ltd (UMTB) solely for use at the company's presentation. The information contained in this document constitutes information from the bank's 2025 quarterly reports and/ or immediate reports, as well as the periodic, quarterly and annual reports and/or immediate reports published by the bank in previous years.
• Accordingly, the information contained in this document is only partial, is not exhaustive and does not include the full details regarding the bank and its operations or regarding the risk factors involved in its activity and certainly does not replace the information included in the periodic, quarterly, annual or immediate reports published by the bank. In order to receive the full picture regarding the bank's 2025 quarterly reports, the aforesaid reportsshould be perused fully, as published to the public.
• None of the company, or any of their employees or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document.
• The bank's results in practice may be significantly different from those included in the forecasting information, as a result of a large number of factors, including, inter alia, changes in the domestic and global equity markets, macro-economic changes, geo-political changes, legislation and regulation changes, and other changes that are not under the bank's control, which may lead to the estimations not realizing and/or to changes in the business plans.
• The forecasting information may change subject to risks and uncertainty, due to being based on the management's estimations regarding future events, which include, inter alia: global and local economic development forecasts, particularly regarding the economic situation in the market, including the effect of macro-economic and geo-political conditions; expectations for changes and developments in the currency and equity markets; forecasts related to other various factors affecting exposure to financial risks; forecasts with respect to changes to borrowers' financial strength, public preferences, changes in legislation and the provisions of regulators, competitors' behavior, the status of the bank's perception, technological developments and human resources developments.
• This document does not constitute an offer to sell, or a solicitation of an offer to buy, or a recommendation of any kind regarding any security or any interest in security.

Q1/25 Macro environment

(1) Broad Unemployment Rate (general definition of unemployed, unemployed that ceased working due to dismissal or closing of their work place in the last two years and temporary absent from their work for the whole week due to economic reasons) (15 years old and above). (2) Bank of Israel forecast for 2025 – 2026- annual average according to Bank of Israel research department forecast from April 7, 2025. (3) Broad Unemployment rate, ages 25-64. (4) As of May 14, 2025.

Q1/25 Overview of Mizrahi-Tefahot

(1) As of March 31, 2025. (2) For Q1 2025. (3) Tel Aviv Stock Exchange (as of May 18, 2025) (4) As of December 31, 2024. (5) Market share in credit to Households and Private Banking segments (supervisory operating segments).

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Q1/25 Financial Highlights

(1) NPL Ratio is calculated as Credit not Accruing Interest Income, divided by Gross Loans to the Public.

Q1/25 The effect of Iron Swords war events

• The Iron Swords War, which commenced after the October 7, 2023 surprise attack is still ongoing, and even at this stage, a great deal of uncertainty still remains regarding its end date and its full impact on the economic activity in Israel.
• Since the start of the war, the Bank has been part of the national endeavor: in direct support for impacted populations, primarily in the Gaza border area and near the Northern border – including through adoption of Sderot and Kfar Aza, and by taking initiative on banking relief, designed to support and to help Bank customers, who were directly or indirectly affected by these events, so as to allow them to overcome the challenging period.

Banking reliefs and benefits for Bank customers

• Bank of Israel's outline for supporting those who were adversely affected by the Iron Swords War, which was originally issued for 3 months, was extended six times during 2024 and through March 2025, for customers who joined this outline.
• Furthermore, in order to assist Bank customers to get through this challenging period, the Bank decided to offer a range of solutions to provide support and relief to Bank customers, at a scope which is substantially wider than the basis set by the Supervisor of Banks, including, among other things, support to reservists, special benefits to mortgage holders, who are residents of the north, refurbishment, and the setting up the Orange.Israel platform. which allows businesses and tradesmen from conflict zones to advertise their businesses.
• 5 - The value of reliefs and banking benefits extended to all Bank Group customers as of March 31, 2025 is approx. NIS 295 million.

Q1/25 Voluntary consumer relief outline

• In March 2025, the Bank of Israel announced a voluntary consumer relief outline for customers of the banking system. Under the outline, during 2025-2026 the banks will provide reliefs and monetary refunds to retail banking customers; this will be implemented by each bank in accordance with the plan it prepared, at a total amount of NIS 1.5 billion per year for the entire banking system.
• As from April 1, 2025, the Bank has in place a dedicated consumer plan for households and small businesses comprising several benefits pertaining to management of current accounts and mortgages; the plan constitutes the consumer outline launched by the Supervisor of Banks.
• The Bank will reassess the benefits every quarter and may revise or renew them at its discretion.
• The total cost, which will be included in the financial statements upon utilization of the benefits in respect of this outline, amounts to approximately NIS 300 million per year.

Q1/25 Loan balance with changes to terms and conditions of debt due to the war (NIS mil)

	Loan balance with changes to terms and conditions of debt as of 31.12.2024	Loan balance with changes to terms and conditions of debt as of 31.3.2025	Total credit to this (1) segment	Loan balance with changes to terms and conditions of debt as of 31.3.2025 (1) to total credit
Large businesses	-	-	59,252	-
Medium businesses	-	-	14,372	-
Small businesses	259	125	38,222	0.33%
Private individuals	87	37	28,095	0.13%
Housing loans	5,225	2,262	228,522	0.99%
Total	5,571	2,424	368,463	0.66%

Q1/25 Asset quality (NIS mil)

Segment	Q1/2025		Q4/2024		Q1/2024
	Provision	Rate of provision	Provision	Rate of provision	Provision	Rate of provision
Housing loans	)34(	)0.06%(	)9(	)0.02%(	22	0.04%
Business	83	0.30%	60	0.23%	109	0.46%
Households	54	0.79%	54	0.78%	44	0.65%
Total	103	0.11%	105	0.12%	175	0.21%

the public

Provisions / loans to

Expenses with respect to credit losses in the first quarter of 2025 amounted to NIS 103 million, compared to NIS 175 million in the corresponding period last year. It should be noted that the balance of provision for credit losses on the balance sheet, which increased as a result of collective provisions made in 2023 and 2024 in respect of the war, remained high and reflects the level of uncertainty that remains in the Israeli economy.

Q1/25 Profitability and efficiency

Q1/25 Continuous loan growth (NIS bil)

Business segment	31.3.25	31.3.24	% change in
Housing loans	227.4	208.1	9.2
Households + private banking	27.4	27.0	1.6
Total individuals	254.8	235.1	8.4
(2) Total businesses	109.6	95.4	14.9
Total	364.4	330.5	10.3

10 Supervisory operating segments (2) Small and micro businesses, Medium businesses and Large businesses, Institutional investors and Overseas operations

Q1/25 Continuous deposit growth (NIS bil)

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Q1/25 Financing revenues from current operations

From Q4/2020 including Union Bank. NIS mil

	Q1 2024	Q2 2024	Q3 2024	Q4 2024	Q1 2025
Interest revenues, net		3,220	3,156	2,753	2,799
Non-interest financing revenues	345	26	60	143	142
Total financing revenues	3,030	3,246	3,216	2,896	2,941
less:
Effect of the Consumer Price Index	88	494	439	)13(	60
Revenues from collection of interest on troubled debt		13	13	14	11
Gains (losses) from bonds, shares and real investments	44	16	16	49	38
Effect of accounting treatment of derivatives at fair value and others	110	)96(	)99(	)5(	)3(
Total effects other than current operations	250	427	369	45	106
Total financing revenues from current operations	2,780	2,819	2,847	2,851	2,835

Operating and other expenses (NIS mil)

Salaries (NIS mil)

Q1/25 Equity, capital adequacy and dividend

(1) For the relevant period.

(2) It is hereby clarified that there is no change to the Bank's dividend policy, as detailed in the report published by the Bank on April 27, 2021 (reference no. 2021-01-071448). (3) After examining the Bank's capital planning in the various scenarios and in accordance with Bank's dividend policy.