Lion Finance Group (BGEO) investor relations material

Executive summary

• Achieved 1Q26 profit of GEL 585m, up 14% year-over-year, with ROAE at 27.4%, celebrating 20 years since public listing and FTSE 100 inclusion.

• Maintains strong market positions: 38% share in Georgia and leading in Armenia, with rapid expansion and digital engagement in both markets.

• Serves 2.7 million retail customers, with high NPS and CSAT scores reflecting robust franchise quality and digital leadership.

Financial highlights

• Group profit rose 14% year-over-year; operating income up 15%, net interest income up 18.4%, and net fee and commission income up 27.5%.

• Loan book grew 23.3% group-wide, 17.8% in Georgia, and 34.6% in Armenia (constant currency); deposits up 17.5% group, 13% Georgia, nearly 30% Armenia.

• Net interest margin stable at 6.2% for GFS and 5.9% for AFS; group NIM at 6.1%.

• Cost-income ratio improved to 29.2% for the group; group-wide below 35%.

• Cost of risk at 0.3% (group), NPL ratios at 2.1% (group/Georgia/Armenia), with strong coverage.

Outlook and guidance

• Full-year GDP growth forecast: 7% for Georgia, 6% for Armenia, driven by strong Q1 results.

• Guidance for 15% annual loan book growth, ROAE above 20%, and payout ratio in the 30–50% range.

• NIM expected to remain flattish in Georgia; slight recovery anticipated in Armenia by Q3/Q4.

• Cost of risk expected to remain low unless macroeconomic conditions deteriorate.