BEN H1FY26 Results Presentation

• Customer numbers trending towards 3 million, Bendigo Bank NPS +24.9 above industry
• Lower cost deposits grew 3.6% to now make up 53.8% of total customer deposits
• Regaining momentum in residential lending growth with strong application flow in December

Bendigo and Adelaide Bank Ltd reported its H1FY26 results, with key highlights including customer numbers trending towards 3 million and Bendigo Bank NPS +24.9 above industry. Lower cost deposits grew 3.6% to now make up 53.8% of total customer deposits, supported by digital deposit sales of 41.4%, up 7.4% for the half. Operating expenses were reduced by 6.4% over the second quarter, reflecting a reduction in FTE and higher seasonal cost drivers in Q1. The company is regaining momentum in residential lending growth with strong application flow in December. Up achieved its first month of profitability in September, more than six months ahead of plan. Bendigo and Adelaide Bank also announced an agreement to acquire RACQ Bank's loan and deposit books, subject to regulatory approvals. The company self-reported shortcomings identified in the management of AML/CTF risk, and is developing a comprehensive action plan with an estimated cost of $70m - $90m over up to three years.

Bendigo and Adelaide Bank expects operating expenses to be limited to no higher than inflation through the cycle, with strong momentum in cost management and productivity in 2Q26. Investment spend is expected to be slightly down on FY25 levels, with over half to be expensed. Non-cash investment spend is expected to substantially reduce with completion of core banking migration.