Credicorp Ltd

Strong quarter performance; on track for medium-term ROE - ROE: 19.9% in 3Q26; management reiterates path toward ~22% medium-term ROE. - Credit and profitability momentum: loans up +14.8% YoY (quarter-end balances); NPL ratio improved to 3.9%; risk-adjusted NIM 5.7%; NIM 6.9%. - Efficiency improved: 45.1% for the quarter (and 45.4% for 1H9 months period, within guidance). - Innovation: innovation portfolio contributed 10.7% of risk-adjusted revenues (above 10% ambition).

El Niño is the key near-term challenge; provisioning added but guidance kept - Management stressed increasing El Niño severity risk: coastal El Niño likely persisting into 2027, with greatest risk in coming months. - Direct exposure estimate: about 8% of total loans to potentially affected clients (given as concentrated, not broad-based). - Provisioning impact/levels: provisioning includes El Niño risk assessment at quarter-end; by Q end ~PEN 500m total El Niño-related provisions (with ~PEN 100m in 2Q and ~PEN 400m in 3Q, after netting out some P&L effects such as releases/recoveries/insurance-covered loans). - Cost of risk: 2.0% in the quarter (underlying 1.6%), and the company expects remaining full-year cost of risk within guidance range even if it rises in 4Q. - Surprise/important investor detail: despite modeling very strong to potentially extreme El Niño, they do not expect to provision up to 10% of the 8% exposure; they expect to stay within guidance.

Segment highlights: accelerating growth with asset quality holding up - BCP: ROE 27.7%; loans up +14.6% YoY; NPL down to 3.7%; NIM 6.4%; fee/transaction income strong (Yape and merchant payments integration). - Yape: 17m monthly active users, ~71 transactions/month; revenue per MAU 11.9 soles; risk-adjusted revenue 1.8x YoY; contributes 9.8% of Credicorp risk-adjusted revenues. - Mibanco: ROE 20.0%; loans up +18.7% YoY; NPL down to 4.8%; NIM 15.3%; cost of risk higher due to El Niño provisions (5.8%). - Insurance: life business strong, but 3Q insurance underwriting results lower due to prior-year reserve release base effect; P&C results impacted by commercial/vehicle underwriting.