2Q20 1 History and Business Highlights 3 Market Presence 7 - PowerPoint PPT Presentation

Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 2Q20 1

History and Business Highlights 3 Market Presence 7 Digital Bank 9 Results 13 NIM 14 Cost to Income 15 Net Income 16 ROE / ROA 17 Deposit & Loans 18 Loans / Deposits 19 Deposits growth 20 Loan growth 21 Asset Quality - NPL 23 CAR 27 Appendix 29 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 2

A Leading Bank in Mexico Globally Recognized Balanced business mix Strong retail, wholesale and premium banking platforms. Sound Fundamentals Solid asset quality, increasing profitability, high liquidity and strong capitalization ratios. Investment grade ratings S&P, Fitch, Moody's and HR Ratings. Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 3

Nation Wide Operation 1,180 Branches 9,060 ATM ´ s 162,127 POS ´ s 16,035 Correspondents Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 4

From Regional to Leading and Innovative Bank 20 | 20 Client Segmentation Business Diversification IT: central DB, & Consolidation multichannel Inorganic Growth Profitability Regional Bank 1899 1982-2092 1995 2000 2010 2018 … Nationalization Privatization Establishment   Bancentro  Afin  IXE G.F.  Banpaís Interacciones  Bancrecer Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 5

Transformation to Digital Bank Centered on the Client 2015 DISTRIBUTION PRODUCTS & CHANNELS SOLUTIONS Revenues Mobile Deposits & Loans Internet Insurances Digital Bank Client Segmentation ATM Pension ▪ 12 million clients ▪ Structured Info & Learning Contact Center Annuities ( Central DB & Watson ) Cost Branches Wealth Mngt. ▪ Behavior understanding Analitics … … 20/20 PROCESSES Account opening - Credit Analisis Next Best Offer – Next Best Action Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 6

Deposit & Loan Market Share May 2020 Deposits Loans Others BBVA Others 18% BBVA 23% 18% 23% Inbursa Inbursa 3% 4% ScotiaBank HSBC 7% 7% 2 ° Banorte CitiBanamex HSBC 14% 15% ScotiaBank 8% 4 ° 8% Banorte Santander Santander CitiBanamex 13% 13% 13% 13% Source: CNBV. Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 7

Loan Portfolios Market Share Consumer C. Cards Mortgage Commercial Government Deposits May-19 May-20 May-19 May-20 May-19 May-20 May-19 May-20 May-19 May-20 May-19 May-20 Banorte 12.1% 12.2% 9.7% 10.2% 19.4% 19.3% 10.2% 10.2% 34.6% 29.4% 13.9% 13.2% BBVA 28.6% 29.4% 27.6% 28.1% 25.9% 26.1% 18.6% 19.5% 24.8% 28.1% 21.9% 23.2% CitiBanamex 14.6% 12.6% 27.0% 26.0% 10.0% 9.0% 12.4% 12.8% 6.4% 7.5% 14.3% 14.6% Santander 8.8% 8.9% 14.2% 14.3% 16.7% 16.5% 13.2% 13.1% 12.0% 13.9% 13.4% 13.4% HSBC 6.3% 6.5% 5.6% 5.8% 6.4% 7.3% 8.9% 8.0% 5.2% 6.4% 8.4% 8.0% ScotiaBank 5.2% 5.1% 2.7% 2.7% 14.8% 15.3% 7.2% 7.7% 1.8% 2.6% 6.5% 6.5% Inbursa 4.7% 3.9% 4.1% 4.2% 0.6% 0.6% 0.0% 0.0% 3.2% 2.3% 3.1% 2.9% Others 19.7% 21.3% 9.1% 8.7% 6.1% 6.0% 29.5% 28.7% 12.0% 9.9% 18.4% 18.2% 3° 4° 2° 4° 1° 4° Market Position Source: CNBV. Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 8

Fast Moving to Self-service/Digital Operations NPS Self-service Transaction Change Jun vs Feb Account statements 408% 1 WEB and ATM Mobile Check deposit 100% 2 Payment of Services 91% 3 Transfers 31% 4 Served by staff Payment to Credit Card 23% 5 Registration of Clarifications 140% 6 Lock and unlock of Credit Card 32% 7 Initial Activation of Credit Card 8% 8 Branch Contact Center Balance and Movements Consultation 20% 9 Physical Remote Mobile recharge 15% 10 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 9 9

Digital Transformation Gaining Share Transactions (Tx) Customers Using Digital Transactions Growth +76% (millions) 300 4.30 Branches 4.28 4.21 249.8 4.12 3% 3.90 250 WEB POS 3.50 24% 19% 200 223.9 2% 150 Call Center 1% Correspondents < 141.9 100 19% 50 69.2 32% ATM 39.2 Mobile 0 1Q 3Q 1Q 3Q 1Q 3Q 1Q 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 2017 2018 2019 2020 Digital Deposit Account Mobile Credit Card as a Payroll loans Point of Sale Time Deposits Mutual Funds Insurance Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 10 *

Mobile Product Segmentation • Security / transactional & sales functions (>70) • The born in social media, Banorte Go Individuals • CoDi payments • Cash Management • Payments • SMEs Services • Credit • Reporting • Security management Corporates • Reporting Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 11

Adapting the Business & Infrastructure to the New Payments Market Recovery on POS’s transactions pre The best DIGITAL PLATFORM COVID-19 with emphasis on e-commerce for aggregators POS’s Transactions 56 60 54 50 42 40 30 20 10 0 ene-20 feb-20 mar-20 abr-20 may-20 jun-20 CoDi – Test Pilot and further development underway Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 12

R esults Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 13

Bank Net Interest Margin NIM 6.6% 6.5% 6.4% 6.3% 6.3% 6.3% 6.5% 5.8% 5.8% 6.0% 5.2% 5.5% 4.9% 4.8% 4.7% 5.0% 4.5% 4.5% 4.1% 4.0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2Q19 3Q19 4Q19 1Q20 2Q20 NIM (Post-Provision) 5.5% 5.2% 5.0% 5.0% 4.9% 4.8% 5.0% 4.7% 4.5% 4.5% 3.7% 4.0% 3.6% 3.6% 3.5% 3.5% 3.2% 3.5% 3.0% 3.0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2Q19 3Q19 4Q19 1Q20 2Q20 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 14

Improving Efficiency Cost to Income 56.0% 54.0% 53.7% 55% 50.9% 50.5% Reported 47.5% 50% 41.4% 42.3% 45.0% 43.8% 43.7% 43.0% 43.1% 45% 42.2% 41.4% 41.6% 40% 35% 2011 2012 2013 2014 2015 2016 2017 2018* 2019* 2Q19 3Q19 4Q19 1Q20 2Q20 * Recurring Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 15

Strong Net Income Net Income Million Pesos CAGR +14% +17% 2011-2019 * Recurring YoY (44.0%) YoY* 30,000 27,493 10,000 27,500 24,834 26,289 9,000 25,000 * w/o advanced 23,158 8,000 22,500 provisions 6,848 6,730 6,553 20,000 7,000 6,180 18,339 7,077 17,500 6,000 13,518 15,044 15,000 12,122 11,936 5,000 10,888 12,500 3,669 8,517 4,000 10,000 7,500 3,000 2011 2012 2013 2014 2015 2016 2017 2018* 2019* 2Q19 3Q19 4Q19 1Q20 2Q20 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 16

Constant Positive growth in Profitability ROA 3.0% * w/o advanced Reported: provisions 2.5% 2.36% 2.27% 2.14% 2.37% 2.32% 2.25% 2.26% 2.0% 2.11% 2.02% 1.79% 1.5% 1.1% 1.60% 1.56% 1.47% 1.11% 1.40% 1.30% 1.0% 2011 2012 2013 2014 2015 2016 2017 2018* 2019* 2Q19 3Q19 4Q19 1Q20 2Q20 * Recurring ROE * w/o advanced Reported: 30% provisions 25.7% 24.2% 23.9% 23.6% 23.9% 22.8% 25% 21.7% 20.3% 24.1% 23.4% 20% 16.4% 14.8% 14.3% 14.1% 13.7% 13.7% 12.4% 15% 10% 2011 2012 2013 2014 2015 2016 2017 2018* 2019* 2Q19 3Q19 4Q19 1Q20 2Q20 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 17

L oans D eposits Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 18

Healthy Funding & Loan Portfolio Structure Billion Pesos $864 bn 2019 2Q20 Funding US 37.4 bn $757 bn Interbank Interbank Money Money Loans Loans Market Market 9% 5% Demand Demand Time 31% Time 55% $779 bn 2019 2Q20 Loan Portfolio US 33.7 bn $744 bn Consumer Consumer 15% 21% Government Government Mortgage 23% Mortgage 22% Commercial Commercial 19% Corporate Corporate Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 19

Loyal Deposits Base Billion Pesos 2013-2019 CAGR: Deposits +10% YoY 706 Time Demand Core Deposits 681 667 +12% 700 637 637 632 623 590 551 600 509 YoY 482 454 500 436 +22% 438 414 401 397 396 384 394 384 351 400 300 255 300 YoY 236 236 229 229 223 227 224 194 (5%) 168 158 200 136 129 100 2013 2014 2015 2016 2017 2018 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 MIX 2Q19 2Q20 Time Time 32% Demand 396 22% 482 38% 236 (5%) 224 Time Demand Demand 62% 68% 632 706 TOTAL 12% 2013 2Q20 Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 20

Continued Growth in Performing Loan Book, Special Focus on Consumer US 12.7 bn US 33.7 bn Total Loan Portfolio Consumer Portfolio 267 271 276 282 286 289 293 756 746 750 716 744 763 779 300 800 237 250 700 201 604 557 140 155 174 200 600 510 464 CAGR: CAGR: 118 150 500 389 420 +14% 98 +10% 335 100 400 300 50 2011 2012 2013 2014 2015 2016 2017 2018 1Q192Q193Q194Q191Q202Q20 2011 2012 2013 2014 2015 2016 2017 20181Q192Q193Q194Q191Q202Q20 2Q19 1Q20 2Q20 QoQ YoY Billion Pesos Mortgage 163 173 177 2% 9% Car Loans 25 27 27 (2%) 5% Credit Cards 38 39 37 (3%) (1%) Payroll 51 50 51 2% 2% 276 289 293 1% 6% Consumer Commercial 156 166 171 3% 10% Corporate 133 146 153 5% 15% Government 185 161 161 0% (13%) TOTAL 750 763 779 2% 4% Us Mkt TI NIM Rev C / I NI ROE L/D Dep Loan ICAP App 21