Results for the 2nd quarter and 1st half of 2025 of BPCE Group

KEY FIGURES¹

Q2-25: growth in NBI by 12% YoY to €6.3bn thanks to very robust performances across all business lines

• Gross operating income up 24%, reflecting tight cost control; cost/income ratio of 66.3%, down 4.2 pp YoY
• Net income²: €1.0bn up +21% vs. Q2-24

H1-25:  NBI of €12.6bn, +11% YoY; Gross operating income up 23%; cost/income ratio at 67.2%, down 3.8 pp YoY

• Net income² increased +8% YoY to €1.8 billion, up +14% excluding the exceptional surcharge

Very high levels of solvency and liquidity: CET1 ratio up to 16.3%³ and LCR at 143%⁴ at end-June 2025

Following the announcement of the project to acquire novobanco, confirmation of the A+ rating
by Standard & Poors, Moody’s, Fitch Ratings and R&I

BUSINESS LINES / ACTIVITIES⁵

RETAIL BANKING & INSURANCE

Strong revenue growth of 12% in H1-25 and 13% in Q2-25 YoY, driven by robust commercial momentum and the rebound in the net interest margin; Continued growth in the client base served by the Banque Populaire and Caisse d’Epargne retail banking networks with 430,000 new clients⁵

• Local & regional financing: 1% growth in loan outstandings YoY, reaching a total of €730bn at end-June 2025
• Clients deposits⁶ rose by €11bn YoY to €701bn at end-June 2025
• Financial Solutions & Expertise: revenues up 26% YoY in H1-25, including revenues from BPCE Equipment Solutions since March 1, 2025. Very strong activity in consumer credit, leasing and factoring
• Insurance: gross life insurance inflows⁷ of €8.7bn in H1-25. Premiums⁷ up 10% YoY in non-life insurance
• Digital & Payments: NBI up 8% YoY in H1-25 driven by sustained commercial momentum in payments and 12% revenue growth posted by Oney Bank

GLOBAL FINANCIAL SERVICES

Sustained growth in NBI, up 8% in H1-25 and up 6% in Q2-25 YoY; Revenues generated by the Corporate & Investment Banking arm reached a new record level, up 10% in Q2-25 to €1.25bn; Very high net inflows of €22bn in Asset Management in H1-25, including €16bn in Q2-25 

• Corporate & Investment Banking: NBI of €2.5bn in H1-25, driven by strong growth in Global Markets activities, with NBI up 19% YoY, including 13% in Equity and 20% in Fixed Income; NBI remained stable for Global Finance, with particularly strong momentum in the Real Assets, Infrastructure and Aviation activities. Revenue growth of 14% in Investment Banking & M&A
• Asset & Wealth Management: growth of 8% YoY in average assets under management at Natixis IM, reaching €1,276bn at end-June 2025; Net inflows of €16bn in Q2-25 and €22bn in H1-25, supported in particular by the Fixed-Income expertise of Loomis Sayles, DNCA and Ostrum AM; NBI of €1.7bn in H1-25, up 3% YoY at constant exchange rates

P&L /CAPITAL³

The cost/income ratio stood at 66.3% in Q2-25 and 67.2% in H1-25, representing a significant improvement of 4.2 pp and 3.8 pp YoY thanks to tightly managed operating costs while incorporated a sustained investment program.

Prudent provisioning policy: cost of risk of €559m in Q2-25, remaining stable YoY, i.e. at 25 bp. Cost of risk at 28 bp in H1-25, including a provision for future risks of ~€60m in Stage 1 and 2

Financial strength: CET1 ratio up to 16.3%³ at end-June 2025; liquidity reserves stood at €294bn

ACCELERATION OF GROUPE BPCE'S EXPANSION INTO EUROPEAN RETAIL BANKING

On June 13, 2025, Groupe BPCE announced its plan to acquire novobanco, Portugal's 4^th-largest bank with around 9% market share in retail banking and 14% market share in corporate banking

This €6.4bn cross-border transaction will be the largest in the eurozone in 10 years. The legal documentation was signed on August 1, 2025, and the acquisition is expected to be finalized in the 1^st half of 2026⁸

Portugal will become the 2^nd largest domestic market for Groupe BPCE, with novobanco's net income of €745 million in 2024 and a total of more than 7,000 employees, including 4,200 for novobanco

Nicolas Namias, Chairman of the Management Board of BPCE, said: "The results for the second quarter of 2025 illustrate the very strong organic performance of Groupe BPCE’s business lines. They all contributed to the faster pace of growth of our net banking income, which rose by 12%. This good performance was achieved by keeping growth in expenses under tight control, as reflected by the improvement in our cost/income ratio. Net income group share rose by 21% to reach 1 billion euros for the quarter. 

We are pursuing our strategic initiatives aimed at further diversifying Groupe BPCE’s revenue streams. After announcing our project to create, within the framework of a partnership, a European leader in asset management in terms of revenues, and after the successful integration of BPCE Equipment Solutions, this quarter was marked by our plan to acquire novobanco in Portugal. We recently signed the legal documentation paving the way for completion of this transaction in the first semester of 2026. By opening our second domestic market in Portugal, we are continuing the expansion of our European footprint.

In line with the objectives of our Vision 2030 project, this first half of the year illustrates our ability to simultaneously pursue the organic growth of our business lines along with the development of BPCE in the European market, while further strengthening our financial solidity.”

^{1 See the notes on methodology appended to this press release 2 Group share 3 Estimated figures at end-June 2025 4 Average LCR at the end of Q2-25 4 430,000 new active clients since the beginning of the year 5 On-balance sheet savings and deposits within the scope of the Retail Banking & Insurance business unit 6 Including retirement savings plan and including the reinsurance agreement with CNP Assurances 8 Following the customary regulatory approvals}