Bonum Bank Plc

BOARD OF DIRECTORS’

AND FINANCIAL

STATEMENTS REPORT

1 January – 31 December 2025

CONTENTS

BOARD OF DIRECTORS’ REPORT 1 JANUARY  31 DECEMBER 2025 ......................................................................... 4

Board of directors’ review .................................................................................................................................................................................4

POP Bank Group and amalgamation of POP Banks ...............................................................................................................4

Operating environment ....................................................................................................................................................................................... 6

Financial position ......................................................................................................................................................................................................7

Credit rating ..................................................................................................................................................................................................................9

Shareholdings and equity .................................................................................................................................................................................9

Risk and capital adequacy management and risk position .............................................................................................10

Internal control ............................................................................................................................................................................................................14

Internal audit ................................................................................................................................................................................................................. 14

Bonum Bank’s management and personnel .....................................................................................................................................14

Corporate governance .........................................................................................................................................................................................15

Remuneration ...............................................................................................................................................................................................................15

Key outsourced operations .............................................................................................................................................................................16

Deposit guarantee ...................................................................................................................................................................................................17

Social responsibility ................................................................................................................................................................................................17

Outlook for 2026 .......................................................................................................................................................................................................17

Board of directors’ proposal on the disposal of the result for the period ............................................................17

BONUM BANK PLC’S FINANCIAL STATEMENTS 31 DECEMBER 2025 IFRS .......................................................18

Income statement .................................................................................................................................................................................................... 18

Statement of other comprehensive income .................................................................................................................................... 18

Balance sheet ..............................................................................................................................................................................................................19

Statement of changes in equity .................................................................................................................................................................20

Cash ﬂow statement .............................................................................................................................................................................................21

NOTES ..... .....................................................................................................................................................................................................................................23

Note 1 Accounting policies ..............................................................................................................................................................................23

Note 2 Risk management ..................................................................................................................................................................................34

Note 3 Interest income and expenses ...................................................................................................................................................46

Note 4 Net commissions and fees ...........................................................................................................................................................46

Note 5 Net investment income .................................................................................................................................................................... 47

Note 6 Other operating income ..................................................................................................................................................................48

Note 7 Personnel expenses ............................................................................................................................................................................... 48

Note 8 Other operating expenses ............................................................................................................................................................. 49

Note 9 Depreciation, amortisation and impairment ................................................................................................................49

Note 10 Income tax ................................................................................................................................................................................................50

Note 11 Net income and expenses of ﬁnancial assets

and ﬁnancial liabilities by measurement category ................................................................................................................... 51

Note 12 Classiﬁcation of ﬁnancial assets and ﬁnancial liabilities ............................................................................52

Note 13 Classiﬁcation of ﬁnancial assets and ﬁnancial liabilities

and fair values by valuation technique ................................................................................................................................................54

Note 14 Impairment losses on ﬁnancial assets ...........................................................................................................................59

Note 15 Liquid assets ...........................................................................................................................................................................................63

Note 16 Loans and advances ........................................................................................................................................................................ 63

Note 17 Investments assets ............................................................................................................................................................................64

Note 18 Intangible assets .................................................................................................................................................................................65

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 2

Note 19 Property, plan and equipment .................................................................................................................................................66

Note 20 Other assets ...........................................................................................................................................................................................67

Note 21 Deferred taxes ........................................................................................................................................................................................ 67

Note 22 Liabilities to credit institutions and customers .....................................................................................................69

Note 23 Derivative contracts and hedge accounting ............................................................................................................70

Note 24 Debt securities to the public ...................................................................................................................................................72

Note 25 Provisions and other liablities .................................................................................................................................................73

Note 26 Equity capital .........................................................................................................................................................................................73

Note 27 Offsetting ...................................................................................................................................................................................................75

Note 28 Collaterals given and received ...............................................................................................................................................76

Note 29 Off-balance sheet commitments .......................................................................................................................................76

Note 30 Leasing ........................................................................................................................................................................................................77

Note 31 Related party disclosures ............................................................................................................................................................79

Note 32 Events after the closing date ..................................................................................................................................................80

SIGNATURES .........................................................................................................................................................................................................................81

AUDITOR’S REPORT .......................................................................................................................................................................................................83

INDEPENDENT AUDITOR’S REPORT ON THE ESEF FINANCIAL

STATEMENTS OF BONUM BANK PLC ...........................................................................................................................................................88

This document is a translation of the original Finnish version “Bonum Pankki Oyj:n toimintakertomus ja

tilinpäätös 1.1-31.12.2025”. In case of discrepancies, the Finnish version shall prevail.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 3

BOARD OF DIRECTORS’ REVIEW

Bonum Bank Plc (hereinafter “Bonum Bank”) is

part of the amalgamation of POP Banks and is

responsible for providing 18 POP Banks with cen-

tral credit institution services, obtaining external

funding for the POP Bank Group, handling pay-

ment transactions, issuing payment cards to the

customers of the POP Banks and providing cen-

tralised services for the Group.

In its external business operations, Bonum Bank

offers services that are aligned with the Group’s

strategy and supplement the Group’s overall

offering. The Group’s external business operations

mainly consist of granting secured bond loans

and unsecured consumer credits. The purpose of

Bonum Bank’s internal service production is to

limit the Group’s dependence on external service

providers and enhance the overall cost structure

of the entire Group.

As the central credit institution for the banks of

the amalgamation, Bonum Bank issues certiﬁ-

cates of deposit under its EUR 250 million certif-

icate of deposit programme and accepts money

market deposits. Bonum Bank coordinates inter-

est derivatives as part of interest rate risk man-

agement of the POP Bank Group. Bonum Bank

is also responsible for managing of the liquidity

puffer (LCR portfolio) of the amalgamation.

In autumn 2025, Bonum Bank repaid a EUR 20

million bond and did not issue new bonds. In

December, the bank held change negotiations to

reorganise its administrative functions, resulting

in the termination of two employment contracts.

Bonum Bank’s Annual General Meeting was held

in March 2025. The Annual General Meeting dealt

with statutory matters and elected Jaakko Pulli,

Hanna Linna, Kirsi Salo and Ilkka Lähteenmäki to

the Board of Directors. Jaakko Pulli has served as

Chair of the Board.

The result of the reviewing period vas EUR 2,776

(784) thousand. At the end of the period Bonum

Bank’s balance was EUR 1,792,465 (2,050,510)

thousand.

POP BANK GROUP AND

AMALGAMATION OF POP BANKS

The POP Bank Group is a Finnish ﬁnancial group

that offers retail banking services for private cus-

tomers and small and medium-sized enterprises.

The POP Banks are cooperative banks owned by

their member customers. The POP Banks’ mission

is to promote their customers’ ﬁnancial well-being

and prosperity, as well as local success.

In its business operations, POP Bank Group uti-

lises intangible assets, which are mainly licenses

and information systems. In addition to intangible

assets, the intangible resources relevant to POP

Bank Group’s business operations consist of the

POP Pankki (POP Bank) brand, business model

and good reputation, as well as skilled and pro-

fessional personnel. These, combined with strate-

gic partnerships, lay the foundation for successful

business operations and are a key part of POP

Bank Group’s long-term growth strategy.

Structure of the POP Bank Group

The POP Bank Group consists of the POP Banks,

POP Bank Centre coop and their controlled enti-

ties. The POP Banks are member credit institu-

tions of POP Bank Centre coop. POP Bank Cen-

tre coop and its member credit institutions are

mutually liable for their debts and liabilities in line

with the Act on the Amalgamation of Deposit

Banks. The POP Banks, POP Bank Centre coop

and their controlled service companies constitute

the Amalgamation of POP Banks.

BOARD OF DIRECTORS’ REPORT 1 JANUARY  31 DECEMBER 2025

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 4

POP Bank Centre coop is the central institution of

the Amalgamation of POP Banks and is respon-

sible for steering and supervising the POP Bank

Group. POP Bank Centre coop has two subsidiar-

ies, Bonum Bank Plc and POP Mortgage Bank Plc,

which are also its member credit institutions.

Bonum Bank Plc serves as the central credit insti-

tution of the POP Banks and acquires external

funding for the Group by issuing unsecured bonds.

Bonum Bank Plc is also responsible for the POP

Banks’ card business and the Group’s payment

transactions and centralised services, in addition

to granting credit to retail customers. POP Mort-

gage Bank Plc is responsible for the Group’s mort-

gage-backed funding, which it acquires by issuing

covered bonds.

POP Bank Group also includes POP Holding Ltd

owned by POP Banks and POP Bank Centre coop.

POP Holding Ltd owns 30 per cent of Finnish P&C

Insurance Ltd that belongs to LocalTapiola Group

and uses the auxiliary business name of POP

Insurance. POP Holding Ltd is not a member of the

amalgamation of POP Banks and is not included in

the scope of joint liability.

The following ﬁgure shows the structure of the

POP Bank Group and the entities included in

the amalgamation and covered by joint mutual

responsibility. There were no changes in the Group’s

structure in 2025.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 5

OPERATING ENVIRONMENT

Global economic growth slowed in 2025 compared

with the previous year. Regionally, growth was

strongest in Asia, while growth in the euro area

remained subdued. In the United States, however,

economic growth decelerated year on year. Global

growth continued to be weighed down by geopo-

litical tensions as the war in Ukraine continued,

although tensions eased somewhat following the

ceaseﬁre reached in the conﬂict between Israel

and Hamas.

Exports of goods to the United States picked up

in the ﬁrst half of the year as companies pre-

pared for the introduction of tariffs. Towards the

end of the year, growth in global trade slowed as

a result of US trade policy, weakening the out-

look for exports from the euro area and Finland to

the United States. On the other hand, the trade

agreement between the EU and the United States

reduced trade policy uncertainty, and overall

equity market performance in 2025 was positive.

Rising global uncertainty also pushed the price of

gold to record highs.

Economic growth in the euro area was slightly

faster than in the previous year, but house-

holds remained largely cautious and saving lev-

els remained elevated. The automotive industry,

which is particularly important for the Euro-

pean economy, faced difﬁculties as households

extended replacement cycles for cars, while

lower-priced Chinese electric vehicles rapidly

increased their market share. The outlook and

order books for the defence industry improved as

NATO member states were required to increase

investment in maintaining and developing their

defence capabilities.

Economic growth in Finland remained weak in

2025. Although household purchasing power

improved as a result of tax and wage agree-

ments, consumers were exceptionally cautious in

their spending decisions. Cost-cutting measures

aimed at halting the growth of public sector debt

were felt by many in everyday life, and households

were concerned about the ongoing deterioration

of public services. In addition, the rise in unem-

ployment made households even more cautious.

This was reﬂected in consumption behaviour and

an increase in savings. Major purchases, such as

homes or new cars, continued to be made less

frequently than the long-term average.

Households were supported by low inﬂation and

the continued decline in short-term interest rates

at the beginning of the year. The European Cen-

tral Bank cut its key interest rates four times in

the ﬁrst half of 2025, in steps of 0.25 percent-

age points. The decline in short-term Euribor

rates ended in the summer at around 2 per cent.

Towards the end of the year, the most common

reference rate for mortgage loans, the 12-month

Euribor, turned slightly upwards, ending the year

at around 2.2 per cent. As in the previous year,

mortgage loans were taken out at a moderate

level, and the housing market was subdued. Prices

of existing homes were generally on a downward

trend, although increases in selling prices were

observed in some areas.

The number of bankruptcies in Finland remained

high in 2025, and unemployment continued to

rise rapidly. The year was particularly challenging

for sectors dependent on household consump-

tion, such as restaurants, renovation services and

specialised retail. The ﬁnancial difﬁculties of the

wellbeing services counties were reﬂected as a

reduction in the purchase of care services from

private providers. Challenges in the construction

sector persisted, as sales of new homes remained

weak and the number of new residential construc-

tion starts was at a low level.

Forestry beneﬁted from strong domestic demand

for timber, which was reﬂected in record-high

stumpage earnings. Logging volumes remained

high as industrial demand for timber increased

and the availability of imported timber was lim-

ited. Producer prices in agriculture also rose, with

both meat and milk prices increasing compared

with the previous year. At the same time, prices of

production inputs mostly declined, and the grain

harvest was reasonably good.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 6

FINANCIAL POSITION

Performance

Bonum Bank’s proﬁt for the ﬁnancial year was EUR 2,776 thousand, whereas last year that was EUR 784

thousand. The proﬁt for the ﬁnancial year primarily consists of interest and commission income on central

credit institution services provided for POP Banks, income from unsecured lending and proﬁt on the card

business and payments. The Bank’s cost-to-income ratio was 78.3 per cent (84.2).

The bank’s income statement items have developed as follows, compared with year 2024:

Operating income totalled EUR 27,623 (25,275)

thousand. This represents an increase of 9.3 per

cent year-on-year. The decreased level of the net

interest income was mainly due to decrease of

interest income in central credit institution ser-

vices.

Net commission income decreased 2.5 per cent

from previous year to EUR 7,821 (8,024) thousand.

Commission income consists mostly of income

from the cards business and payment transmis-

sion fees.

Net investment income is on the same level

as previous year EUR 532 (566) thousand. Net

investment income consists of mainly net gains

from foreign currency transactions and net

income from derivatives. Other operating income

totalled to EUR 10,027 (6,451) thousand. The

increase in other operating income is due to the

growth of the Group’s internal services and the

increase in internal invoicing.

Operating expenses totalled at EUR 21,630

(21,279) thousand. Personnel expenses, that are

composed of salary expenses and pension and

other indirect employee expenses, increased

to EUR 8,182 (6,864) thousand. The decrease in

operating expenses comes mainly from one-off

expenses related to selling consumer lending

receivables. On 31 December 2025, the Bank had

124 (102) employees.

Depreciations and impairment losses on tangible

and intangible assets were EUR 298 (473) thou-

sand.

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Interest income 58,934 74,491

Interest expenses -49,691 -64,257

Net interest income 9,243 10,233

Net commissions and fees 7,821 8,024

Net investment income 532 566

Other operating income 10,027 6,451

Total operating income 27,623 25,275

Personnel expenses -8,182 -6,864

Other operating expenses -13,150 -13,943

Depreciation and amortisation -298 -473

Total operating expenses -21,630 -21,279

Impairment losses on nancial assets -2,518 -3,018

Prot before taxes 3,475 978

Income tax expense -699 -194

Prot for the period 2,776 784

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 7

Impairment losses on ﬁnancial assets decreased

to EUR 2,526 (3,018) during the year. Active col-

lection measures are being targeted at receiva-

bles recognised as credit losses.

Balance sheet

At the end of the year 2025, Bonum Bank’s bal-

ance sheet stood at EUR 1,792,465 (2,050,510)

thousand.

The amount of liquid assets decreased during the

review period to EUR 375,583 (558,332) thousand.

Loans and receivables from credit institutions

were EUR 962,196 (1,020,697) thousand. This item

includes the funding provided by Bonum Bank

to other member banks of the POP Bank Group.

Loans and receivables from customers totalled to

EUR 190,322 (197,579) thousand. This item includes

the credit used on credit cards issued by Bonum

Bank and other loan products issued by Bonum

Bank to its customers.

Liabilities to credit institutions increased up to

EUR 1,513,589 (1,759,867) thousand. This item

includes deposits from the other member banks

of the POP Bank Group and deposits from the

other banks outside the Group. The amount of

debt securities issued to the public was EUR

163,887 (184,706) thousand at the end of the

review period.

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Assets

Liquid assets 375,583 558,332

Loans and receivables from credit institutions 962,196 1,020,697

Loans and receivables from customers 190,322 197,579

Derivatives 18,064 22,395

Investment assets 215,566 218,689

Intangible assets 64 108

Property, plant and equipment 177 370

Other assets 30,471 31,992

Tax assets 23 347

Total assets 1,792,465 2,050,510

Liabilities

Liabilities to credit institutions 1,513,589 1,759,867

Liabilities to customers 14,981 14,060

Derivatives 13,616 8,674

Debt securities issued to the public 163,887 184,706

Other liabilities 32,094 31,938

Tax liabilities 304 257

Total liabilities 1,738,471 1,999,503

Equity capital

Share capital 10,000 10,000

Reserves 30,860 30,657

Retained earnings 13,135 10,350

Total equity capital 53,995 51,007

Total liabilities and equity capital 1,792,465 2,050,510

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 8

Cost-to-income -ratio, % =

Total operating expenses

x 100

Total operating income

Return on assets (ROA), % =

Result for the period

x 100

Balance sheet total

(average of beginning and end of year)

Return on equity (ROE), % =

Result for the period

x 100

Equity

(average of beginning and end of year)

Capital adequacy ratio (TC), % =

Total capital (TC)

x 100

Total minimum capital requirement

Equity ratio, % =

Equity

x 100

Balance sheet total

CREDIT RATING

In December 2025, S&P Global Ratings afﬁrmed

Bonum Bank’s credit rating with a positive out-

look. Bonum Bank’s long-term investment grade

credit rating is ‘BBB’ and its short-term credit rat-

ing is ‘A2’. The long-term Resolution Counterparty

Rating (RCR) is BBB+ and the short-term RCR

is A2. The long-term funding credit rating is also

afﬁrmed by S&P Global Ratings.

SHAREHOLDINGS AND EQUITY

On 31 December 2025, Bonum Bank had 1,400,000

shares, all of them held by the POP Bank Centre

coop. Bonum Bank holds no own shares.

At the end of the ﬁnancial year, Bonum Bank’s

share capital was EUR 10,000 thousand (10,000).

Equity totalled EUR 53,995 (51,007) thousand.

Key ﬁgures and the formulas of key ﬁgures

31 Dec 2025 31 Dec 2024 31 Dec 2023 31 Dec 2022 31 Dec 2021

Cost-to-income -ratio, % 78.3 84.2 74.3 74.2 75.4

ROA, % 0.29 0.04 0.14 0.26 0.10

ROE, % 5.3 1.54 4.95 8.25 3.00

Common equity Tier 1 capital

ratio (CET1)

20.3 20.3 19.4 20.0 21.8

Capital adequacy ratio (TC) %

20.3 20.3 19.4 20.0 21.8

Equity ratio, % 3.0 2.5 2.8 3.0 3.4

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 9

RISK AND CAPITAL ADEQUACY

MANAGEMENT AND RISK POSITION

Principles and organisation of risk and

capital management

The POP Bank Group’s strategy outlines the

Group’s risk appetite. Business activities are car-

ried out at a moderate risk level so that the risks

can be managed in full. The purpose of Bonum

Bank’s risk management is to ensure that all risks

are identiﬁed, measured and monitored and that

they are proportionate to Bonum Bank’s and the

amalgamation’s risk-bearing capacity and cap-

ital adequacy position. Risk management pro-

cesses must be able to identify all signiﬁcant risks

of the business operations and assess, measure

and monitor these regularly. The most signiﬁcant

risks associated with Bonum Bank’s operations are

credit risk, liquidity risk and interest rate risk.

As the central institution, POP Bank Centre coop

supervises the sufﬁciency and functioning of

the risk management systems at the level of the

member credit institutions and the amalgamation

and is liable for the Group’s risk and capital ade-

quacy management in accordance with section 17

of the Amalgamation Act. The central institution

of the amalgamation issues binding instructions

concerning risk and capital adequacy manage-

ment, corporate governance and internal control

to the member credit institutions to secure their

solvency and capital adequacy. Furthermore, com-

mon business controlling thresholds have been

established for the member institutions to ensure

that the risks taken by an individual member insti-

tution are within acceptable limits set according

to the Group’s risk appetite.

Bonum Bank is the central credit institution and

a member credit institution of the amalgamation

of POP Banks. Bonum Bank’s risk management’s

goal is to ensure that the bank complies with laws,

decrees, instructions and regulations issued by the

authorities, their own rules and the internal bind-

ing guidelines issued by the central institution of

the amalgamation in its activities. In addition to

central institution’s independent functions, Bonum

Bank has own separate risk control unit to monitor

risk position and a compliance contact person.

The purpose of capital adequacy management is

to ensure the sufﬁcient amount, type and efﬁcient

use of the capital of the Bonum Bank. A sufﬁcient

level of capital covers the material risks arising

from implementation of the bank’s business plan in

accordance with its strategy, and also secures the

uninterrupted operation of the bank in the case

of unexpected losses. The goal is pursued through

a documented and systematic capital adequacy

management process that is integrally linked to

the strategy process, business planning and man-

agement at the level of the amalgamation.

The principles, organisation and internal control

measures of amalgamation’s risk and capital ade-

quacy management are described in more detail

in Note 4 to the POP Bank Group’s ﬁnancial state-

ments. Copies of the ﬁnancial statements of the

POP Bank Group are available online at

www.poppankki.ﬁ or from the ofﬁce of the POP

Bank Centre coop, address Hevosenkenkä 3,

02600 Espoo, Finland.

The POP Bank Group submits the amalgama-

tion’s Pillar III disclosures, as required under the EU

Capital Requirements Regulation, to the European

Banking Authority (EBA), which publishes them in

its centralised Pillar 3 data hub. A link to the ser-

vice is published on the POP Bank Group’s website.

Business risks

Credit risks

Bonum Bank’s credit risk exposure decreased

during the ﬁnancial period. Balance sheet items

exposed to credit risk totalled EUR 408,359

(418,712) thousand at the end of 2025. Bonum

Bank’s off-balance sheet credit commitments

totalled EUR 204,734 (185,172) thousand, consist-

ing mainly of unrestricted credit facilities related

to card credit and the POP Banks’ liquidity facil-

ities. Bonum Bank’s most signiﬁcant credit risks

are related to investment activities and unse-

cured credits.

At the end of the ﬁnancial period, Bonum Bank’s

investment assets totalled EUR 215,566 (218,689)

thousand. The investment asset items in the

liquidity reserve include debt securities issued by

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 10

governments, municipalities, credit institutions

and companies. Some of these debt securities

are accepted as collateral by the ECB. The credit

risk related to investment activities is managed

mainly by limiting the creditworthiness of invest-

ments and distributing investment assets across

sectors, counterparties and instrument classes.

The retail banking segment’s loan portfolio

decreased by 3.7 per cent during the ﬁnancial

period, amounting to EUR 190,322 (197,579) thou-

sand. The decrease resulted mainly from a partial

selling of a debt collection portfolio. Most of the

lending was unsecured lending, which represented

58.5 per cent of the loan portfolio. Loans granted

to private customers represented 87.8 (86.5) per

cent of the loan portfolio.

Expected credit losses (ECL) on loans, receiva-

bles and off-balance sheet items decreased by

EUR 2,497 thousand during the ﬁnancial period,

amounting to EUR 5,511 thousand. Expected

credit losses in IFRS stage 3 decreased to EUR

3,892 (6,071) thousand. In 2025 write offs were in

total EUR 5,015 (2,103) thousand. The develop-

ment of the levels of ECL allowances and write

offs were affected by the debt collection portfolio

sales carried out during the year. Appropriate col-

lection measures are applied to defaulted receiv-

ables in collection.

Credit risk monitoring in banking operations is

based on the continuous monitoring of non-per-

forming receivables, payment delays and forbear-

ance, and on monitoring the quality of the loan

portfolio. Monitoring the amount of expected credit

losses is an important part of the credit risk man-

agement process. Foreseeable credit management

problems are addressed as early as possible.

Liquidity risks

Bonum Bank as the central credit institution is

responsible for fulﬁlling liquidity coverage require-

ments and liquidity risk management at the POP

Bank Group level. Liquidity risks are prepared for

by maintaining a sufﬁcient liquidity reserve com-

prising of LCR eligible high-quality liquid assets,

assets eligible as central bank collateral, and

short-term bank receivables.

The POP Bank Group’s liquidity position remained

strong during the ﬁnancial period. The liquidity

requirement (Liquidity Coverage Ratio, LCR) for

the amalgamation of POP Banks was 241.9 (315.1)

per cent on 31 December 2025, with the minimum

level being 100 per cent. At the end of the ﬁnan-

cial period, Bonum Bank had EUR 771.4 (955.0)

million in LCR-eligible liquid assets before hair-

cuts, of which 49.9 (59.5) per cent consisted of

cash and receivables from the central bank and

48.0 (37.8) per cent consisted of highly liquid Tier 1

securities. In addition, the member credit institu-

tions of the amalgamation had EUR 149.9 (154.1)

million in unpledged securities outside the LCR

portfolio.

The requirement for stable funding, NSFR, meas-

ures the maturity mismatch of assets and liabil-

ities on the balance sheet and aims to ensures

that the level of stable funding is sufﬁcient to

meet funding needs over a one-year period, thus

preventing over-reliance on short-term whole-

sale funding. The consortium’s NSFR ratio on 31

December 2025 was 136.5 (136.9) per cent.

Bonum Bank provides the member banks of the

amalgamation with access to long-term whole-

sale funding, in addition to serving as an internal

bank for member credit institutions. The planning

of the bank’s funding structure is based on liquid-

ity and funding planning of the whole amalgama-

tion as well as the strategic goals and limits set

by the central institution.

At the end of the year, Bonum Bank had EUR 150

(170) million outstanding in an unsecured senior

loan issued as part of its EUR 750 million bond

programme. Of the bank’s EUR 250 million certiﬁ-

cate of deposit programme, EUR 14.0 (15.0) million

was outstanding at the end of the review period.

Market risks

The most signiﬁcant market risk related to Bonum

Bank’s business operations is the interest rate risk

associated with the banking book. The interest

rate risk refers to the impact of changes in inter-

est levels on the market value of balance sheet

and off-balance-sheet items, or on net inter-

est income. Banking book consists of loans and

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 11

deposits, wholesale funding and liquidity portfolio

investments.

Bonum Bank’s business operations do not include

trading activities. On amalgamation level, any use

of derivatives is limited to hedging interest rate

risk in the banking book items. The Bank contin-

ued execution of derivative hedges during the

ﬁnancial year to hedge net interest income in

member banks balance sheet.

Bonum Bank monitors the interest rate risk using

the present value method and the dynamic

income risk model on monthly basis. The present

value method measures how changes in interest

rates affect the constructed market value of the

balance sheet. In the present value method, the

market value of the balance sheet is calculated

as the present value of the expected cash ﬂows

of individual balance sheet items.

The primary focus of the portfolio management is

on LCR eligible instruments that insure the liquid-

ity position. Interest rate sensitivity indicators

are used to monitor the market value changes

caused by changes in the interest rates and credit

spreads of investment items in different interest

rate scenarios. The income risk model predicts

future net interest income and its changes in var-

ious market rate scenarios within a time frame of

ﬁve years.

Operational risks

The objective of the management of operational

risks is to identify essential operational risks in

business operations and minimise their mate-

rialisation and impact. The objective is pursued

through operational risk management processes,

internal guidelines, process controls, continuous

personnel training and internal control measures.

The most important operational risk management

processes are operative risk self-assessment pro-

cess, continuous evaluation of realized operative

incidents and near-miss events and new product/

service approval procedure. All these incorporate

recognition and evaluation of essential risks in

business processes and planning of procedures to

mitigate the risk.

Capital adequacy

Bonum Bank’s capital adequacy was at a good

level at the end of 2025. Both capital adequacy

ratio and core capital adequacy ratio were 20.3

(20.3) per cent. At the end of 2025, the bank’s own

funds totalled EUR 50,784 (49,582) thousand, con-

sisting entirely of CET1 capital.

Bonum Bank’s risk weighted assets slightly

increased in 2025. The growth of risk weighted

assets is expected to be moderate in 2026.

Bonum Bank’s own funds consist of share cap-

ital, retained earnings and other non-restricted

reserves. In line with the practice followed by the

amalgamation, the bank does not include the

proﬁt for the ﬁnancial year in its own funds. Based

on permission from the Financial Supervisory

Authority, the member credit institutions of the

amalgamation are exempted, by a decision of the

central institution, from the own funds require-

ment for intra-group items, and from the restric-

tions imposed on major counterparties concerning

items between the central credit institution and

the member banks.

The statutory minimum for capital adequacy ratio

is 8 per cent and 4.5 per cent for CET1 capital. In

addition to the minimum capital adequacy ratio,

Bonum Bank is subject to ﬁxed additional capi-

tal requirement, which is 2.5 per cent in accord-

ance with the Act on Credit Institutions, and to

the variable country-speciﬁc additional capital

requirements for foreign exposures. All additional

capital requirements have to be covered in full

with tier 1 capital.

Bonum Bank’s leverage ratio was 5.7 (4.7) per cent

on 31 December 2025, as the required minimum

level is 3 per cent. With special permission from

the Financial Supervisory Authority, intra-amal-

gamation items are deducted from the amount of

leverage exposure in the calculation of the lever-

age ratio.

The updated EU Capital Requirements Regulation

No. 575/2013 (CCR3), which entered into force on

1 January 2025, had a slightly positive impact on

the capital adequacy position.”

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 12

Bonum Bank Plc

Summary of capital adequacy (EUR 1,000) 31 Dec 2025 31 Dec 2024

Own funds

Common Equity Tier 1 capital before deductions 51,219 50,223

Deductions from Common Equity Tier 1 capital -435 -641

Total Common Equity Tier 1 capital (CET1) 50,784 49,582

Tier 1 capital (T1 = CET1 + AT1) 50,784 49,582

Total capital (TC = T1 + T2)

50,784 49,582

Total risk weighted assets 250,469 244,616

of which credit risk 201,076 184,242

of which credit valuation adjustment risk (CVA) 4,146 13,647

of which market risk (exchange rate risk) 1,741 1,724

of which operational risk 43,507 45,002

Fixed capital conservation buffer according to Act on Credit institutions

(2.5%)

6,262 6,115

Countercyclical capital buffer 357 62

CET1 Capital ratio (%) 20.3% 20.3%

T1 Capital ratio (%) 20.3% 20.3%

Total capital ratio (%) 20.3% 20.3%

Capital requirement

Total capital 50,784 49,582

Capital requirement* 26,656 25,746

Capital buffer 24,127 23,835

Leverage ratio

Tier 1 capital (T1) 50,784 49,582

Leverage ratio exposure 885,221 1,064,058

Leverage ratio, % 5.7% 4.7%

*The capital requirement comprises the minimum requirement of 8 %, the capital conservation buffer of 2.5 % and the country-specic coun-

tercyclical capital requirements of foreign exposures.

Summary of capital adequacy

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 13

INTERNAL CONTROL

The purpose of the Bonum Bank’s internal control

is to ensure that the Bank, in a systematic and

effective manner, works towards the goals and

implements the procedures conﬁrmed by sen-

ior management. Internal control aims to ensure

that the organisation complies with regulations

and manages risks comprehensively, and that its

operations are efﬁcient and reliable.

Internal control is implemented at all levels of the

organisation. Internal control is implemented by

the Board of Directors, the CEO and other man-

agement and personnel, as well as the risk man-

agement and compliance functions independently

of business operations. As part of internal con-

trol, the amalgamation has implemented a whis-

tle-blowing mechanism that enables the bank’s

employees to report, internally through an inde-

pendent channel, suspected violations of rules and

regulations concerning the ﬁnancial market in the

central institution or a member credit institution.

INTERNAL AUDIT

Within the amalgamation, POP Bank Centre

coop is centrally responsible for the steering and

organisation of internal audit in the bank centre,

member credit institutions and other companies

of the amalgamation. Bonum Bank’s internal audit

is based on the internal audit guidelines con-

ﬁrmed by the Board of Directors and the Supervi-

sory Board of POP Bank Centre coop as well as on

the audit plan approved by the Board of Directors

of POP Bank Centre coop.

The purpose of internal audit is to assess the

scope and sufﬁciency of the internal control of

the Bank’s operational organisation and to mon-

itor and assess the functionality of risk manage-

ment systems. Internal audit reports its observa-

tions primarily to the Bank’s Board of Directors.

After audits, the Bank’s Board of Directors dis-

cusses the summaries prepared as a result of the

internal audit. Internal Audit reports of its activity

and observations regularly to central institution’s

Supervisory Board, central institution’s Board and

CEO.

The internal audits conducted in the Bank dur-

ing the year were carried out by the internal audit

unit of the central institution.

BONUM BANK’S MANAGEMENT

AND PERSONNEL

Bonum Bank’s Annual General Meeting at March

the 14th 2025 adopted the ﬁnancial statements

for 2024 and granted discharge from liability to

the Bonum Bank’s Board members and the CEO.

The Board of Directors of Bonum Bank had four

members. During the year, the Board has con-

vened 18 times.

Regular board members were:

Jaakko Pulli, CEO

Chairman of the Board

Hanna Linna, CEO

Vice Chairman of the Board

Ilkka Lähteenmäki, Adjunct Professor

Member of the Board

Kirsi Salo, CEO

Member of the Board

Bonum Banks CEO is Pia Ali-Tolppa and CEO’s

deputy is Timo Hulkko.

On 31 December 2025, the Bank had 124 employ-

ees, of which 121 with permanent employment

contract. Out of the total of 124 employees, 120

worked full-time. Employees’ professional com-

petence is maintained and developed in line with

the bank’s needs and changing operating environ-

ment, as well as with employees’ individual com-

petence requirements and changes therein.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 14

AUDIT

The company’s auditor was KPMG Oy Ab, author-

ized public accountants, with Henrik Snellman,

authorised public accountant, as the principal

auditor.

CORPORATE GOVERNANCE

The Bank’s functions are controlled by its share-

holder, which exercises its decision-making power

at the General Meeting in accordance with the

Finnish Limited Liability Companies Act and the

Articles of Association. The Annual General Meet-

ing decides on the distribution of the Bank’s proﬁt

and elects the members of the Board of Directors.

The Bank is represented by and directed by the

Board of Directors. Operational decisions con-

cerning the Bank’s business operations and

strategic issues are made by the Bank’s Board

of Directors. The work of the Board of Directors

is based on the Bank’s Articles of Association,

decisions of the General Meeting and applicable

legislation. The Bank’s CEO manages the Bank’s

operational activities in accordance with the

instructions provided by the Board of Directors.

The investigation of the independence of Board

members and the CEO takes place in accordance

with regulations issued by the Finnish Financial

Supervisory Authority. Board members and the

CEO shall provide an account of the entities in

which they operate when they are elected to their

ofﬁce. In addition, Board members and the CEO

shall provide an account of ﬁtness and propriety

according to the regulation by the Financial Super-

visory Authority when they accept their duties.

Bonum Bank PLC’s annual Corporate Govern-

ance statement is available at https://www.pop-

pankki.ﬁ/en/investors/information-for-investors/

bonum-bank/corporate-governance

REMUNERATION

The Board of Directors of Bonum Bank is respon-

sible for matters related to remuneration. Bonum

Bank does not have a remuneration committee

appointed by the Board to manage its remuner-

ation scheme. It has not been deemed necessary

to establish a remuneration committee, con-

sidering the quality, scope and diversity of the

bank’s operations. Bonum Bank’s Board of Direc-

tors monitors compliance with the remuneration

scheme and assesses its functionality annually.

The central institution’s internal audit function

veriﬁes at least once a year whether the remuner-

ation scheme, as approved by the Board of Direc-

tors, has been complied with. The compensation

of control functions’ personnel is independent of

the business area being supervised.

Relationship between remuneration and

result

The remuneration scheme must be in line with the

Bank’s business strategy, goals, values and long-

term interests and support the Bank’s long-term

beneﬁt. It must also be consistent with and pro-

mote the Bank’s sound and effective risk man-

agement and risk-bearing capacity The remuner-

ation scheme must also support good corporate

governance.

Criteria used in the assessment of

performance, risk-based changes to the

amount of remuneration, postponement

practices and payment criteria

At Bonum Bank, variable bonuses paid to an indi-

vidual are not allowed to exceed EUR 100,000

over a one-year earnings period. The bank may

decide not to pay any variable bonuses in full or

in part if its ﬁnancial position has become weaker

to such an extent that, based on the Board’s

estimate, the payment of performance bonuses

would be unreasonable, considering the bank’s

situation.

Severance pay or other compensation payable to

an employee can be paid if employment termi-

nates prematurely. The principles of Act on Credit

Institutions chapter 8 are taken into account in

payment, and the payment criteria are laid down

so that compensation is not paid for failed per-

formance.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 15

Fixed and variable compensation

In the bank’s remuneration scheme, variable

bonuses may not exceed 100% of the ﬁxed

annual salary.

Key parameters and criteria applied in the

speciﬁcation of variable compensation and

other fringe beneﬁt

The Bank’s variable compensation is subject to

the following principles

1. The payment criteria for variable compensa-

tion will be determined and communicated to the

recipients in advance. The Board may also reward

employees for exceptional performance without

such predetermined grounds with a bonus equal-

ling no more than one month’s salary.

2. The compensation must be based on an overall

assessment of the performance of the recipient

and the related function. Their performance must

be evaluated over the long term.

3. When determining the bonus amounts, the risks

known at the time of the assessment must be

taken into account, as well as future risks, capital

costs and the necessary solvency.

4. The compensation beneﬁciary may be entitled

to variable compensation, which can be only paid

if the compensation beneﬁciary has not violated

the regulations, instructions or operating princi-

ples and procedures deﬁned by the credit insti-

tutions, which generate obligations to the credit

institution, or contributed to such action through

their acts or failure to act. It must also be possi-

ble to not pay or to recover the variable compen-

sation if the credit institution becomes aware of

such action only after the compensation has been

determined or paid.

5. The Bank may commit to unconditional pay-

ment of compensation (non-recoverable compen-

sation) only for particularly weighty reasons and

provided that the promised compensation only

targets the ﬁrst year of employment of the com-

pensation beneﬁciary.

Aggregate information on compensation to

the management and members of personnel

who have a signiﬁcant impact on the bank’s

risk proﬁle

The Bank maintains a list of the following persons

and the compensation paid to them:

6. CEO and members of the management team,

7. Other persons whose actions have a signiﬁcant

impact on the risk position of the central institu-

tion or amalgamation,

8. Persons who work in the risk control function,

risk management tasks, compliance function or

internal audit function,

9. Another person whose total amount of compen-

sation is not signiﬁcantly different from the total

amount of compensation of the persons referred

to in items 1 and 2.

Paid compensation

During the ﬁnancial period, the Bank has paid

variable compensation payments in total EUR 314

thousand. No start-up payments were paid during

ﬁscal year. The Bank did not pay compensation of

over EUR 1 million during the ﬁnancial period.

KEY OUTSOURCED OPERATIONS

Bonum Bank’s bank system is outsourced to Sam-

link Ltd. Bonum Bank’s accounting is managed at

Figure Taloushallinto Ltd., which POP Bank Group

owns together with other customer banks of the

company. Payment message handling at Bonum

Bank is carried out through SWIFT Service Bureau

provided by Tietoevry Oyj and SEPA Instant Pay-

ment Gateway and, excluding internal payments

within the POP Bank Group. In addition, the Bank

uses a platform service provided by a subsidiary

of Google Inc. for customer data management

and payment monitoring system provided by SAS

Institute Oy. Some card business services are

outsourced to Samlink Ltd., Nets Denmark A/S

Finnish Branch, Intrum Justitia Ltd. and Evry Card

Services Ltd.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 16

DEPOSIT GUARANTEE

Bonum Bank is a member of the Deposit Guar-

antee Fund, which protects the deposits of cus-

tomers to a maximum of EUR 100 thousand. The

deposit banks that are members of the amalga-

mation of deposit banks are considered to be a

single deposit bank in terms of deposit guarantee.

Therefore, the deposit guarantee concerning a

depositor’s deposits in all member credit institu-

tions of the amalgamation of POP Banks (POP

Banks and Bonum Bank) totals EUR 100 thou-

sand. Bonum Bank’s operations focus on central

credit institution services provided for the mem-

ber banks of the amalgamation. Therefore, the

Deposit Guarantee Fund is of minor signiﬁcance.

SOCIAL RESPONSIBILITY

Bonum Bank operates as part of the POP Bank

Group and supports the responsibility efforts of

the local POP Banks. The POP Bank Group pub-

lishes a sustainability report as part of its man-

agement report. The POP Bank Group’s man-

agement report and consolidated IFRS ﬁnancial

statements are published on the website at

www.poppankki.ﬁ.

Bonum Bank’s ofﬁces in Espoo and Vaasa hold

Green Ofﬁce environmental management sys-

tem certiﬁcation by the WWF. The themes of

the bank’s programme include enhanced recy-

cling and reduced energy consumption, as well

as a reduction in emissions caused by mobility.

The goals also include increasing environmental

awareness across the bank’s organisation and

among partners through effective communication.

EVENTS AFTER THE CLOSING

DATE

Bonum Bank’s Board of Directors is not aware

of any events having taken place after the clos-

ing date that would have a material impact on

the information presented in the ﬁnancial state-

ments.

OUTLOOK FOR 2026

The Finnish economy has long been expected

to turn toward growth, but despite positive sig-

nals, the turnaround has been delayed. Although

exports have begun to recover, domestic con-

sumption and investment remain at low levels,

slowing overall economic development. Uncer-

tainty surrounding the value of household assets

has supported saving and pushed deposit levels

to record highs. No signiﬁcant change in the sit-

uation is expected until the housing market nor-

malizes and economic growth accelerates. Geo-

political instability makes it difﬁcult to predict

global market developments, which in turn affects

the outlook for Finland’s economy.

Bonum Bank’s general focus will be on increasing

operational efﬁciency and improving proﬁtability.

Bonum Bank’s personnel are involved in the POP

Bank Group’s core banking system reform project

to a signiﬁcant degree.

The full-year result of Bonum Bank for 2026 is

expected to be positive.

BOARD OF DIRECTORS’ PROPOSAL

ON THE DISPOSAL OF THE RESULT

FOR THE PERIOD

Bonum Bank’s distributable funds were EUR

43,071 thousand. Bonum Banks Board of Direc-

tors proposes to the Annual General Meeting that

the proﬁt EUR 2,776 thousand for the period of be

recognised in retained earnings.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 BOARD OF DIRECTORS’ REPORT 17

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 18

BONUM BANK PLC’S FINANCIAL STATEMENTS 31 DECEMBER 2025 IFRS

INCOME STATEMENT

STATEMENT OF OTHER COMPREHENSIVE INCOME

(EUR 1,000) Note

1 Jan - 31 Dec

2025

1 Jan - 31 Dec

2024

Interest income 58,934 74,491

Interest expenses -49,691 -64,257

Net interest income 3 9,243 10,233

Net commissions and fees 4 7,821 8,024

Net investment income 5 532 566

Other operating income 6 10,027 6,451

Total operating income 27,623 25,275

Personnel expenses

7 -8,182 -6,864

Other operating expenses 8 -13,150 -13,943

Depreciation and amortisation 9 -298 -473

Total operating expenses -21,630 -21,279

Impairment losses on nancial assets 14 -2,518 -3,018

Prot before taxes 3,475 978

Income tax expense 10 -699 -194

Prot for the period 2,776 784

(EUR 1,000) Note

1 Jan - 31 Dec

2025

1 Jan - 31 Dec

2024

Prot for the nancial period 2,776 784

Other comprehensive income

Items that will not be reclassied to prot

or loss

Net changes in fair value of equity instruments 26 133 211

Capital gains and losses for equity

instruments

26 9 23

Deferred taxes 21 -27 -47

Total 115 187

Items that may be reclassied to prot or

loss

Movement in fair value reserve for liability

instruments

121 586

Deferred taxes 26 -24 -117

Total 97 469

Other comprehensive income items total 212 656

Comprehensive income for the

nancial year

2,988 1,440

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 19

BALANCE SHEET

(EUR 1,000) Note 31 Dec 2025 31 Dec 2024

Assets

Liquid assets 375,583 558,332

Loans and receivables from credit institutions 12,16 962,196 1,020,697

Loans and receivables from customers 12,16 190,322 197,579

Derivatives 13,23,27 18,064 22,395

Investment assets 12,17 215,566 218,689

Intangible assets 18 64 108

Property, plant and equipment 18 177 370

Other assets 20 30,471 31,992

Tax assets 21 23 347

Total assets 1,792,465 2,050,510

Liabilities

Liabilities to credit institutions 12,13,22 1,513,589 1,759,867

Liabilities to customers 12,13,22 14,981 14,060

Derivatives 13,23,27 13,616 8,674

Debt securities issued to the public 24 163,887 184,706

Other liabilities 25 32,094 31,938

Tax liabilities 21 304 257

Total liabilities 1,738,471 1,999,503

Equity capital

Share capital 10,000 10,000

Reserves 30,860 30,657

Retained earnings 13,135 10,350

Total equity capital 26 53,995 51,007

Total liabilities and equity capital 1,792,465 2,050,510

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 20

STATEMENT OF CHANGES IN EQUITY

(EUR 1,000) Note

capital

Fair

value

reserve

Other

reserves

Retained

earnings

Total

equity

Balance 1 Jan 2025 10,000 657 30,000 10,350 51,007

Comprehensive income for

the nancial year

Prot for the nancial year 26 - - - 2,776 2,776

Other comprehensive

income

21,26 - 203 - 9 212

Total comprehensive

income for the nancial

year

203 2,785 2,988

Balance 31 Dec 2025 10,000 860 30,000 13,135 53,995

(EUR 1,000) Note

capital

Fair

value

reserve

Other

reserves

Retained

earnings

Total

equity

Balance 1 Jan 2024 10,000 1 30,000 10,543 50,543

Comprehensive income for

the nancial year

Prot for the nancial year 26 - - - 784 784

Other comprehensive

income

21,26 - 656 - - 656

Total comprehensive

income for the nancial

year

- 656 - 784 1,440

Investment in the

unrestricted equity fund

26 -1,000 -1,000

Other changes 26 - - - 23 23

Balance 31 Dec 2025 10,000 657 30,000 10,350 51,007

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 21

CASH FLOW STATEMENT

(EUR 1,000) Note 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Cash ow from operating activities

Prot for the nancial year 2,776 784

Adjustments to prot for the nancial year 3,345 2,667

Increase (-) or decrease (+) in operating assets -13,782 -122,324

Loans and receivables from credit institutions 16 -23,389 -164,591

Loans and receivables from customers 16 4,700 -7,173

Investment assets 17 3,385 42,123

Other assets 20 1,521 7,317

Increase (+) or decrease (-) in operating liabilities -235,379 299,007

Liabilities to credit institutions 22 -236,719 329,165

Liabilities to customers 22 920 -19,375

Other liabilities 25 419 -10,782

Income tax paid -380 -445

Total cash ow from operating activities -243,420 179,690

Cash ow from investing activities

Investments in shares and other equity, decreases 9 23

Purchase of PPE and intangible assets -60 -5

Total cash ow from investing activities -51 18

Cash ow from nancing activities

Payment of lease liabilities 30 -253 -281

Debt securities issued, increase 24 13,781 86,968

Debt securities issued, decrease 24 -34,695 -185,526

Total cash ow from nancing activities -21,168 -98,839

Change in cash and cash equivalents

Cash and cash equivalents at period-start 968,626 888,758

Cash and cash equivalents at the end of the period 703,987 968,626

Net change in cash and cash equivalents -264,639 79,868

Cash and cash equivalents

Liquid assets 15 375,583 558,332

Receivables from credit institutions payable on demand 16 328,404 410,294

Total 703,987 968,626

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 22

(EUR 1,000) Note 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Additional information of the cash ﬂow

statement

Interest received 59,938 77,677

Interest paid 51,595 66,468

Dividends received 9 8

Adjustments to result for the ﬁnancial

year

Non-cash items and other adjustments

Change in deferred taxes 6 12

Net changes in fair value -287 -372

Income taxes 693 182

Impairment losses on receivables 2,518 3,216

Depreciation 298 473

Other 116 -844

Adjustments to prot for the nancial year 3,345 2,667

The error in 2024 formula in cash ﬂow from operating activities has been corrected.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 23

NOTES

NOTE 1 ACCOUNTING POLICIES

General

Bonum Bank Plc and POP Bank Group

Bonum Bank Plc (hereinafter ‘Bonum Bank’) is a

subsidiary wholly owned by POP Bank Centre coop

and a member credit institution in the amalga-

mation of POP Banks, acting as the central credit

institution for the member banks of the POP Bank

Centre coop (POP Banks). Bonum Bank takes care

of POP Banks’ payment transfer accounts and

transfers payment transactions between the cus-

tomers of POP Banks and other banks, makes the

minimum reserve deposits for POP Banks in the

Bank of Finland, receives deposits for POP Banks

and grants credits to POP Banks that they need

to ensure their liquidity. In addition, Bonum Bank

manages the liquidity of the amalgamation of POP

Banks and operates in the ﬁnancing wholesale

market by issuing unsecured senior bonds. Bonum

Bank’s duties also include operations related to

Visa cards of POP Banks’ customers. Bonum Bank’s

registered ofﬁce is Espoo. Copy of Bonum Bank’s

ﬁnancial statements are available from its ofﬁce

at Hevosenkenkä 3, FI-02600 Espoo, and online at

https://www.poppankki.ﬁ/en/investors/

ﬁnancial-reports

Bonum Bank belongs to the POP Bank Group. The

POP Bank Group consists of the amalgamation of

POP Banks and companies over which it has con-

trol. The Group is engaged in banking business.

The central institution for the amalgamation of

POP Banks is POP Bank Centre coop. Its members

consist of Bonum Bank and 18 co-operative banks

and POP Mortgage Bank Plc. The amalgamation of

POP Banks is an economic entity speciﬁed in the

Act on the Amalgamation of Deposit Banks, the

members of which are jointly liable for each other’s

debts and commitments.

The central institution of POP Banks has pre-

pared the POP Bank Group’s consolidated ﬁnan-

cial statements in accordance with the Act on

the Amalgamation of Deposit Banks. Copies of

the ﬁnancial statements of the POP Bank Group

are available online at www.poppankki.ﬁ or from

the ofﬁce of the central institution, address

Hevosenkenkä 3, 02600 Espoo, Finland. POP

Bank Group will present information concerning

risks speciﬁed in the EU Capital Requirements

Regulation (EU 2019/876) (CRR) in a separate

Pillar III report.

Basis of preparation of ﬁnancial

statements

Bonum Bank’s ﬁnancial statements have been

prepared in accordance with International Finan-

cial Reporting Standards (IFRS) approved in the

EU and the related Interpretations (IFRIC) effec-

tive as of December 31, 2025. The applicable

Finnish accounting and corporate legislation and

regulatory requirements have also been taken

into account when preparing the notes to the

ﬁnancial statements.

Figures in the notes are rounded, whereby the

sum total of individual ﬁgures may deviate from

the sum total presented in the calculations and

tables. Assets and liabilities denominated in

currencies other than euro have been translated

into euro at the exchange rate of the balance

sheet date. Exchange rate differences resulting

from measurement have been recognised in net

investment income in the income statement.

Bonum Bank has no subsidiaries or associated

companies.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 24

Accounting policies requiring management’s

judgement and uncertainty factors

affecting estimates

The application of the IFRS requires the man-

agement to make estimates and assumptions

concerning the future that affect the amounts of

items presented in ﬁnancial statement calcula-

tions, as well as the information provided in the

notes. The management’s key estimates concern

the future and key uncertainties related to the

values on the balance sheet date. Such key esti-

mates are related to fair value measurement in

particular, as well as the impairment of ﬁnancial

assets and intangible assets. The management’s

estimates and assumptions are based on the

best view at the balance sheet date, which may

differ from the actual result.

Determining fair value

The management must assess whether the mar-

kets for ﬁnancial instruments are active or not.

Furthermore, the management must assess

whether an individual ﬁnancial instrument is

subject to active trading and whether the price

information obtained from the market is a reliable

indication of the instrument’s fair value. When the

fair value of ﬁnancial instruments is determined

using a valuation technique, the management’s

judgement is needed in the choice of the valua-

tion technique to be applied. Insofar as there is no

market input available for the techniques, man-

agement must evaluate how other data can be

used for the valuation.

Impairment

Calculation of the expected credit losses includes

parameters requiring management’s considera-

tion. Management has to determine the method

of taking macroeconomic information into con-

sideration in the calculations, the principles of

evaluating signiﬁcant increases in the credit risk,

the assessment of loss in default and the credit

conversion factors applied to credit cards.

The policies on impairment of ﬁnancial assets

have been presented in detail in chapter Impair-

ment of ﬁnancial assets.

The amount recoverable from intangible assets is

determined in the impairment assessment on the

basis of the use value or fair value of the asset.

Impairment testing requires management’s judge-

ment and assessment of the recoverable amount

of the asset in question, as well as the interest

rate used for discounting. In addition, manage-

ment’s judgement is required for the evaluation of

intangible assets under development.

Changes in accounting policies

Adoption of new ifrs standards,

amendments to standards and

interpretations

No new IFRS standards were adopted during the

ﬁnancial year in Bonum Bank’s ﬁnancial state-

ments.

Adoption of new ifrs standards,

amendments to standards and

interpretations in future ﬁnancial years

The standard amendments approved for appli-

cation in the ﬁnancial year beginning 1 January

2026 are not estimated to have an impact on

Bonum Bank’s ﬁnancial statements.

Bonum Bank intends to adopt IFRS 18 Presenta-

tion and Disclosures standard for the ﬁnancial

year commencing 1 January 2027, if the standard

has been approved for application in the EU. The

Standard shall be applied in periods beginning on

or after 1 January 2027, but its earlier application

is permitted. IFRS 18 supersedes IAS 1 Presenta-

tion of Financial Statements. The adoption of the

standard will have an impact on the presentation

of Bonum Bank’s ﬁnancial statements. Bonum

Bank will assess the impact of the standard dur-

ing the ﬁnancial year 2025.

Other standard amendments to be adopted later

are not expected to have a material impact on

Bonum Bank’s ﬁnancial statements.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 25

Financial instruments

Classiﬁcation and recognition

Financial assets are classiﬁed on initial recog-

nition into following measurement categories

based on the business model followed in their

management and the debt instruments’ cash

ﬂow characteristics:

● Financial assets at amortised cost

● Financial assets at value through other

comprehensive income

● Financial assets recognized at fair value

through proﬁt and loss.

In accordance with the IFRS 9 Financial instru-

ments, Financial liabilities are classiﬁed on initial

recognition into following measurement categories:

● Financial liabilities at amortised cost

● Financial liabilities at fair value through proﬁt

and loss

On initial recognition, all ﬁnancial assets and

ﬁnancial liabilities are recognised at fair value.

Transaction costs from other ﬁnancial instru-

ments are included in the acquisition cost.

Purchases and sales of ﬁnancial instruments

are recognised on the settlement date. Loans

granted are recognised in the balance sheet on

the date when the customer draws down the

loan. Instruments issued are recognised in the

balance sheet on the date when the customer

makes the subscription.

Financial assets and ﬁnancial liabilities are off-

set in the balance sheet if Bonum Bank currently

has a legally enforceable right of set-off in the

normal course of business and in the event of

default, insolvency or bankruptcy, and it has the

intention and ability to settle the asset and lia-

bility on a net basis. Bonum Bank has not offset

the ﬁnancial assets and ﬁnancial liabilities on

the balance sheet.

A ﬁnancial asset is derecognised when the con-

tractual rights to the cash ﬂows from the ﬁnan-

cial asset expire, or when the rights have been

transferred to another party so that substan-

tially all the risks and rewards of ownership of

the ﬁnancial asset are transferred. In addition, an

agreement included in ﬁnancial assets is derec-

ognised on the balance sheet if the rights to

cash ﬂows that are based on the agreement are

transferred to another party or if the agreement

includes an obligation to pay the cash ﬂows in

question to one or several recipients. If a consid-

eration is received, but all the risks and rewards

of ownership of the transferred asset are sub-

stantially retained, the transferred asset is rec-

ognised in its entirety and a ﬁnancial liability is

recognised for the consideration received.

Impaired ﬁnancial assets are derecognised

when no further payments are expected and the

actual ﬁnal loss can be determined. In connec-

tion to derecognition, the previously recognised

expected credit loss is cancelled and the ﬁnal

credit loss is recognised. Payments on derecog-

nised receivables received later are recognised

in the income statement as an adjustment of

impairment losses.

Financial liabilities are derecognised when the

related obligations have been fulﬁlled and they

have been extinguished. An exchange of a debt

instrument with substantially different terms

or substantial modiﬁcation of the terms of an

existing ﬁnancial liability is accounted for as an

extinguishment of the original ﬁnancial liability

and the recognition of a new ﬁnancial liability.

Business models for managing ﬁnancial

assets and measurement

According to IFRS 9, an entity’s business model

refers to how an entity manages its ﬁnancial

assets in order to generate cash ﬂows. That is,

entity’s business model determines whether

cash ﬂows will result from collecting contrac-

tual cash ﬂows, selling ﬁnancial assets or both.

The business model is determined at a level that

reﬂects how ﬁnancial asset groups are managed

together to achieve a particular business objec-

tive.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 26

In Bonum Bank, ﬁnancial assets are managed

according to three business models:

1. Financial assets held (objective to collect cash

ﬂows)

2. Combination of ﬁnancial assets held and sold

(objective to collect cash ﬂows and sale)

3. Other long-term investments

Financial assets held -business model includes

loans and receivables and debt instruments held

to maturity, which pass the SPPI-test (Solely

Payments of Principal and Interest) for their cash

ﬂow characteristics. In the SPPI test it is deter-

mined whether the asset’s contractual cash

ﬂows are solely payments of principal and inter-

est on the principal amount outstanding.

Combination-business model includes debt

instruments with contractual cash ﬂows being

solely payments of principal and interest, held to

maturity or close to maturity or sold for example

to reach the targets of the investment strategy.

Other long-term investments -business model

includes shares and other instruments, whose

cash ﬂows do not consist solely on payments of

principal and interest.

Bonum Bank does not actively trade ﬁnancial

assets. The purpose of Bonum Bank’s investment

activities is to invest liquidity surplus with long-

term objective and to maintain investment port-

folio for liquidity purposes.

Financial assets measured at amortised cost

includes loans and receivables and the debt

instruments, which are, according to the invest-

ment policy, intended to be held to maturity with

terms of regular payments of interest and princi-

pal either in part or entirety (SPPI-test). In addi-

tion, liquid assets, in which the liquidity does not

have to be tested by regular sales, may be classi-

ﬁed to this measurement class.

Financial assets measured at fair value through

other comprehensive income

Financial assets measured at fair value through

other comprehensive income includes debt

instruments, which are, according to the invest-

ment policy, intended to be held in order to col-

lect contractual cash ﬂows or sold, if necessary,

for reaching the objectives of the business model

(combination-business model). Classiﬁca-

tion requires, that the contractual terms of the

instrument include regular payments of interest

and principal either in part or in entirety (SPPI-

test).

Among other things, investments which can be

sold to cover liquidity needs, for example, and

liquid assets which have to be tested on regu-

lar sales in order to demonstrate the liquidity of

those assets are classiﬁed to this measurement

class.

Changes in ﬁnancial instrument’s fair value is

recognised in items of other comprehensive

income. The increase and decrease of expected

credit losses are recognised in the income

statement and in items of other comprehen-

sive income. Proﬁt and loss from foreign curren-

cies are also recognised in other comprehensive

income. When sold, the chance in fair value as

well as the proﬁt and loss from foreign curren-

cies are recognised from other comprehensive

income to net investment income in the income

statement and expected credit loss in impair-

ment losses on ﬁnancial assets in the income

statement.

Financial assets measured at fair value through

proﬁt or loss

Financial asset is measured at fair value through

proﬁt or loss unless it is measured at amortised

cost or at fair value through other comprehen-

sive income. Financial assets measured at fair

value through proﬁt or loss include shares and

participations and debt instruments, which do

not meet the SPPI-test. An exception is made

with regards to shares which are measured at

fair value through other comprehensive income.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 27

Bonum Bank does not have ﬁnancial assets held

for trading purposes or ﬁnancial assets meas-

ured at fair value through proﬁt or loss. Deriva-

tive contracts used for hedging are measured at

fair value through proﬁt or loss.

Equity instrument assets measured at fair value

through other comprehensive income

Bonum Bank has adopted the exception in IFRS

9, according to which changes in fair value of

investments in shares may be recognised in other

comprehensive income. The exception is adopted

to investments in shares regarded strategic to

Bonum Bank’s business operations.

Changes in fair value are recognised in other

comprehensive income. In case such an invest-

ment is subsequently sold, the result of the sale

is recognised in equity. The election can be made

only at initial recognition and it is irrevocable.

Financial liabilities measured at amortised cost

Bonum Bank’s ﬁnancial liabilities are measured at

amortised cost according to the effective inter-

est rate method. Financial liabilities measured at

amortised cost includes deposits and debt secu-

rities issued to the public, liabilities to credit insti-

tutions as well as other ﬁnancial liabilities. Bonum

Bank has no ﬁnancial liabilities measured at fair

value through proﬁt or loss.

Financial liabilities measured at fair value

Derivative contracts used for hedging are meas-

ured at fair value through proﬁt or loss. Bonum

Bank has no other ﬁnancial liabilities measured

at fair value through proﬁt or loss.

Determining fair value

Fair value is the price that would be attained if

the asset was sold or would be paid to transfer

the liability from one market party to another in a

standard business transaction taking place on a

valuation day.

The fair value of a ﬁnancial instrument is deter-

mined on the basis of prices quoted in an active

market or, where no active market exists, using

standard valuation techniques. A market is con-

sidered as active if price quotes are readily and

regularly available and represent actual and reg-

ularly occurring market transactions on an arm’s

length basis. Current bid price is used as the

quoted market price of ﬁnancial assets.

If the market has a well-established valuation

technique for a ﬁnancial instrument for which

there is no direct market price available, the fair

value is based on the commonly used valuation

model and on the market quotations of the input

data used in the model.

If there is no well-established valuation technique

in the market, fair value is determined based on

a speciﬁc valuation model created for the prod-

uct in question. The valuation models are based

on widely used measuring techniques, incorpo-

rating all the factors that market participants

would consider when setting a price. The valuation

prices used include market transaction prices, the

discounted cash ﬂow method, as well as the fair

value of another substantially similar instrument

at the reporting date. The valuation methods take

into account an estimate of the credit risk, appli-

cable discount rates, early repayment options,

and other such factors that may impact reliable

determination of the fair value of the ﬁnancial

instrument.

The fair values of ﬁnancial instruments are

divided into three hierarchical levels depending

on how the fair value is deﬁned:

● Quoted fair values in active markets for

identical assets or liabilities (Level 1)

● Fair values that are determined using other

input data than the quoted prices at Level 1,

which are observable for the assets or liabil-

ities either directly (e.g. prices) or indirectly

(e.g. derived from prices) (Level 2)

● Fair values determined by the input data,

which is essentially not based on the observ-

able market data (Level 3).

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 28

The fair value hierarchy level into which an item

measured at fair value is fully classiﬁed is deter-

mined by the input data, which is at the lowest

level and is signiﬁcant in respect to the whole

item. The signiﬁcance of the input data is evalu-

ated considering the whole item, which is valued

at fair value.

Derivative contracts and hedge accounting

Bonum Bank centrally coordinates hedging of

interest rate risk with derivatives for the POP

Bank amalgamation.

Bank hedges its interest rate risk against

changes in fair value, primarily using interest

rate swaps. Hedge accounting is applied for fair

value hedging Derivative contracts are not made

for trading purposes. All derivative contracts are

recognised and measured at fair value through

proﬁt or loss. The positive fair values of derivative

contracts are presented as assets under Deriva-

tives and negative fair values as liabilities under

Derivatives. The hedging relationship between

the hedging derivative contract and the hedged

instrument and the objectives of risk manage-

ment are documented before hedge accounting

is applied. If there is a high correlation between

the change in the value of the hedging derivative

and the hedged instrument, the hedging is con-

sidered effective.

Bonum Bank applies IFRS 9 Financial Instruments

to hedge accounting for all hedging relation-

ships. The hedged instrument of fair value hedg-

ing is ﬁxed-rate deposits. Bonum Bank manages

the interest rate options used for the cash ﬂow

hegding and interest SWAPs used for fair value

hedging of the POP Bank Group member banks.

The non hedging derivatives in Bonum Banks’

balance sheet are hedging derivatives for the

POP Bank amalgamation.

The positive fair values of derivative contracts are

presented as assets under Derivatives and nega-

tive fair values as liabilities under Derivatives. All

derivative contracts are recognised and meas-

ured at fair value through proﬁt and loss. Changes

in the value of derivatives in hedge accounting

are recorded in the income statement under Net

income from Hedge accounting. The interest on

hedging derivative contracts is recorded on a net

basis, with the interest on derivatives hedging

liabilities presented under interest expenses. The

interest on derivative contracts is presented on

the balance sheet as a net amount under either

other assets or other liabilities, depending on the

interest payment position at each reporting date.

The hedging relationship between the hedging

derivative contract and the hedged instrument

and the objectives of risk management are doc-

umented before hedge accounting is applied. If

there is a high correlation between the change

in the value of the hedging derivative and the

hedged instrument, the hedging is considered

effective.

Impairment of ﬁnancial assets

A loss allowance on ﬁnancial assets measured

at amortized cost or fair value through other

comprehensive income and off-balance sheet

credit commitments is recognized on the basis of

expected credit losses. The expected credit loss of

a ﬁnancial instrument is determined as the dif-

ference between the contractual cash ﬂows that

the entity is entitled to receive under the contract

and the cash ﬂows expected to be received by the

entity at the original effective interest rate at the

time of reporting.

To determine expected credit losses, ﬁnancial

instruments are classiﬁed in stages from 1 to 3.

Stage 1 represents ﬁnancial instruments whose

credit risk has not increased signiﬁcantly since

the initial recognition. Expected credit losses are

determined for such ﬁnancial instruments based

on expected loan losses for 12 months. Stage 2

represents ﬁnancial instruments whose credit risk

has increased signiﬁcantly after the initial rec-

ognition on the basis of qualitative or quantita-

tive criteria and, for stage 3, ﬁnancial instruments

whose counterparty has been declared as default.

Expected credit losses are determined for ﬁnan-

cial instruments classiﬁed in Stage 2 and 3 based

on the expected credit losses over the entire life of

the instrument.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 29

Calculating expected credit losses in Bonum Bank

is based on three main segments:

● Private customers

● Corporate customers

● Investment portfolio

The calculation of expected credit losses is based

on the probability of default (PD), the loss ratio

(LGD, loss given default) and the exposure at

default (EAD) for each contract on main seg-

ments.

The probability of default (PD) is measured by the

historical credit rating model. The credit rating

models are deﬁned for the three main segments

described above. Credit rating models con-

structed using statistical methods are used to

estimate the PD of private and corporate cus-

tomers.

Loss given default (LGD) refers to the expected

portion of the loan loss on the remaining capital

if the counterparty is classiﬁed as default. The

parameters for calculating loss shares in the POP

Bank Group are determined on the basis of expert

estimates. Industry-speciﬁc LGD data from the

Finnish market have been used to determine LGD

values.

The exposure at default (EAD) is calculated for

each loan and off-balance sheet item separately

on the basis of repayments under the terms of

the contract, with the exception of contracts

without maturity whose lifecycle is determined on

the basis of expert judgment. In the EAD calcula-

tion of off-balance sheet items, CCF coefﬁcients

shall be applied in accordance with the standard-

ised credit risk standard for the credit risk calcu-

lation, with the exception of card credits for which

a CCF value has been determined on the basis of

expert judgment.

Estimated credit losses are estimated using

future information available with reasonable ease.

For the purpose of calculating expected credit

losses, the POP Bank Group has developed a

model based on three macroeconomic scenarios

and related implementation probabilities to cor-

rect the parameters used in the calculation when

estimating expected credit losses. The macro-

economic scenarios are based on the projected

growth rate of Finland’s Gross Domestic Product

over the next three years.

In the measurement of expected credit losses,

a transition will be made from the recognition

of expected credit losses over 12 months to the

recognition of expected credit losses through-

out the lifetime of the contract as the credit risk

increases signiﬁcantly after the initial recognition,

after which the contract is transferred from stage

1 to stage 2. The credit risk is considered to have

increased signiﬁcantly, when forbearance meas-

ures to the contract have been made less than 12

months ago, contract has been overdue for more

than 30 days, or another qualitative risk factor

has been identiﬁed in the customer’s situation

such as a signiﬁcant change in the customer’s

business that is not yet reﬂected in the payment

delay. In addition, the credit risk is considered

signiﬁcantly increased if the counterparty credit

rating has deteriorated signiﬁcantly. The threshold

value determined by expert estimation of signif-

icant impairment is based on the change in PD

value between the time of reporting and the time

of the contract origination.

Bonum Bank applies the deﬁnition of default

in accordance with Article 178 of Regulation

575/2013 of the European Parliament and of

the Council when calculating expected credit

losses. Liabilities are classiﬁed in stage 3 when

they meet the deﬁnition criteria. For non-retail

customers, which are customers with a turno-

ver of more than EUR 50 million and liabilities of

more than EUR 1 million, the deﬁnition of default

applies at customer level and to retail customers

at contract level. However, all receivables from a

retail customer are recorded as defaulted (cus-

tomer-level default) if the amount of the custom-

er’s liabilities exceeds 20 per cent of the custom-

er’s total liabilities.

The contract is considered defaulted at the latest

when the liability under the default criteria has

been continuously delayed for more than 90 days.

In addition, a customer is considered defaulted

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 30

when repayment is considered unlikely for exam-

ple if the customer has been declared bankrupt

or similar proceedings, or if the customer has

forbearance measures that causes a change in

the present value of the liability of more than 1

per cent. The contract or customer is considered

defaulted for a period of 90 days after the condi-

tions for default have ceased to exist.

Bonum Bank does not have contracts that are

originated as impaired.

If the customer has not fulﬁlled the criteria for

default for at least 3 months, the customer’s

liability will return to either stage 2 or stage 1,

depending on whether the exposures meet a sig-

niﬁcant increase in the credit risk criteria at the

time of return. The contract will return from stage

2 to stage 1 without a separate trial period if the

contract no longer meets the criteria for signiﬁ-

cant credit risk growth.

Bonum Bank applies an exception to ﬁnancial

assets at fair value through proﬁt or loss other

than IFRS 9, in which all instruments with a low

credit risk are classiﬁed in stage 1 and instru-

ments with higher credit risk are classiﬁed in

stage 2.

A loss allowance on ﬁnancial assets recognised

at amortised cost and fair value through other

comprehensive income and for off-balance sheet

items is recognised in the income statement. Loss

allowance in the income statement consists of

the expected credit loss calculated for the ﬁnan-

cial asset, where the expected credit losses pre-

viously recognized have been deducted. A loss

allowance is cancelled if a ﬁnal credit loss is

recognized for the ﬁnancial asset. The loss allow-

ance on ﬁnancial assets recognized at amortized

cost reduces the carrying amount of the ﬁnancial

assets. The loss allowance for ﬁnancial assets at

fair value through other comprehensive income

is recognised in the statement of comprehensive

income. The loss allowance on off-balance sheet

commitments is recognised as a provision in other

provisions and liabilities.

Intangible assets

Intangible assets included in Bonum Bank’s bal-

ance sheet mainly consist of acquisition costs of

information systems. The most important intangi-

ble assets are the information systems for central

credit institution operations and card business.

An intangible asset is recognized in the balance

sheet at acquisition cost if it is probable that

the expected economic beneﬁts associated with

the asset will ﬂow to the Bonum Bank and the

acquisition cost of the asset can be measured

reliably. Acquisition cost includes all costs that

are directly attributable to bringing the asset to

its working condition for its intended use. Bonum

Bank has capitalised also internally produced

intangible assets. The capitalised expenditures for

internally produced intangible assets includes, for

example, purchased services, in-house work and

other external costs related to projects.

All of Bonum Bank’s intangible assets have a

limited economical lifetime. The acquisition cost

of intangible assets is amortised in the income

statement on the basis of the estimated econom-

ical lifetime of assets. The estimated economical

lifetime is 3–5 years for information systems and

3–4 years for other intangible assets. The esti-

mated economical lifetime of the basic bank-

ing systems may be longer, but not more than 10

years.

The amortisation of the acquisition cost of intan-

gible assets begins when the asset is ready to be

taken into use. Indications of impairment of intan-

gible assets are examined annually and intangible

assets are tested for impairment when necessary.

Research costs are recorded as expenses as they

occur.

Conﬁguration and customization costs related

to Software as a Service (SaaS) cloud service

agreements are recognized as prepayments or

expenses, depending on whether the conﬁgura-

tion and customization services are distinct from

the actual cloud service agreement. In the cloud

service arrangement, the software is controlled by

a third party, and the software’s conﬁguration and

customization functions are not capitalized as

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 31

an intangible asset. The prepayment recognized

under the cloud service agreement is released as

an expense during the agreement period from the

time the asset is ready for use.

Property, plant and equipment

Property, plant and equipment included in Bonum

Bank’s balance sheet consist of machinery and

equipment, which are measured at acquisition

cost less depreciation and impairment. Depre-

ciation is based on the useful life of the assets.

The economic life for machinery and equipment

is 3–10 years.

Depreciation and impairment on property, plant

and equipment are recognised in the income

statement on depreciation, amortisation and

impairment.

Leases

Bonum Bank has acquired ofﬁce equipment and

business facilities for its use through contracts

classiﬁed as leases. At the time of establishing

a contract, Bonum Bank assesses whether the

contract is a lease or includes a lease. A contract

is a lease if it conveys the right to control the

use of an identiﬁed asset for a period of time in

exchange for a consideration.

Bonum Bank a lessee is required to recognise on

its balance sheet a right-of-use asset and a lease

liability arising from a lease. Lease liabilities are

presented under other liabilities and the related

interest expenses under net interest income. The

right-of-use asset is presented under property,

plant and equipment and depreciation is pre-

sented under depreciation and impairment losses.

Bonum Bank has applied the exemptions included

in the standard, according to which leases with

a term of 12 months or less, or leases where the

underlying asset is of low value, need not be rec-

ognised on the balance sheet. The expenses aris-

ing from these leases are recognised under other

operating income.

A right-of-use asset is initially measured at

acquisition cost. After the beginning of the con-

tract, right-of-use assets are measured at acqui-

sition cost less accumulated depreciation and

impairment losses. Depreciation on a right-of-

use asset is recognised using the straight-line

method. Depreciation period for commercial

premises with lease valid until further notice is

generally 2 years. For ﬁxed-term contracts, the

depreciation period is in principle the contractual

period. Depreciation times for ofﬁce equipment

vary from 2 to 5 years.

A lease liability is initially measured at the pres-

ent value of the lease payments remaining unpaid

at the beginning of the contract. The incremental

borrowing rate of interest is used in the calcula-

tion of lease liabilities. The interest rate used for

additional credit is the interest rate determined

for credits granted within the group.

The economic lifetime of a leased asset is taken

into consideration when determining the lease

period. The management’s estimates are signif-

icant, particularly when determining the lease

period for contracts valid until further notice and

the incremental borrowing rate of interest. Con-

tracts valid until further notice are assigned a

lease period based on the management’s esti-

mate in cases when it is reasonably certain that

they are entered into for a period that exceeds

their notice period.

Employee beneﬁts

Bonum Bank’s employee beneﬁts consist mainly

of short-term employee beneﬁts, such as sala-

ries, holiday pay and bonus payments, which are

expected to be paid in connection with the work

performance they are related to or within the fol-

lowing 12 months.

Post-employment beneﬁts consist of pensions.

Statutory pension cover is arranged through

external pension insurance companies. Bonum

Bank’s pension plans are deﬁned contribution

plans. Expenses from deﬁned contribution plans

are recognised in personnel expenses in the period

during which they are charged by the insurance

company. Bonum Bank has no deﬁned beneﬁt

pension plans.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 32

Principles for recognising income and

expenses

Interest income and expenses

Interest income and expenses are amortised over

the maturity of the contract using the effective

interest rate method, in proportion to the remain-

ing carrying amount in the balance sheet. Interest

income and expenses are recognised in net interest

income.

Negative interest income paid by Bonum Bank is

shown in interest expenses, and the negative inter-

est expense charged to the customer bank is shown

in interest income.

Commission income and expenses

Commission income and expenses are generally

recognised on an accrual basis when the related

services are performed. Commissions and fees

relating to services performed over several years

are amortised over the service period. Commissions

and fees that are considered as an integral part

of the effective interest of a ﬁnancial instrument

are accounted for as an adjustment to the effec-

tive interest. However, commissions and fees relat-

ing to ﬁnancial instruments measured at fair value

through proﬁt or loss are recognised in the income

statement on initial recognition.

Dividends

Dividends are primarily recognised when the Gen-

eral Meeting of Shareholders of the distributing

entity has made a decision on dividend pay-out

and the right to receive dividends has emerged.

Dividend income is recognised in net investment

income.

Income from development charges

Bonum Bank has collected development charges

included in other operating income from its cus-

tomer banks for the development of the central

credit institution operations and the card business.

These payments have not been recognised insofar

as they are used for covering expenses included in

the acquisition cost of an intangible asset. Unrec-

ognised payments have been treated as advances

and included in other liabilities in the balance sheet.

These payments are recognised when Bonum Bank

uses the intangible asset to earn income.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 33

Net interest income

Interest income and expenses on ﬁnancial assets and liabilities, the

amount of amortisation on the difference between the nominal and

acquisition values, interest on interest-rate derivatives and fees

that are accounted as part of the ﬁnancial asset’s effective inter-

est, interest costs of lease agreement liabilities

Commission income and

expenses

Commission income from lending, deposits, commission income

and expenses from payments and card business, commission

income from securities

Net investment income

Sales gains and losses and dividend income from ﬁnancial instru-

ments measured at fair value, net gains from foreign currency

transactions, net income from hedge accounting

Other operating income

Income from central credit institution services, shared service

center fees collected from banks and other operating income

Personnel expenses Wages and salaries, social expenses and pension expenses

Other operating expenses

Other administrative expenses, expenses related to low-value and

short-term leases, development expenses, charges to ﬁnancial

authorities and other expenses related to business operations

Impairment losses on

ﬁnancial assets

Impairment losses on ﬁnancial assets, expected credit losses and

realised credit losses and cancellations of credit losses

Presentation of income statement items

Income tax

The income statement includes taxes on Bonum

Bank’s taxable income for the ﬁnancial year,

adjustments to taxes from previous ﬁnancial

years and changes in deferred taxes. Tax expenses

are recognised in the income statement except

when they are directly linked to items entered into

equity capital or other items in the statement

of comprehensive income, in which case the tax

effect is also included in these items.

Deferred tax liabilities and assets are calculated

on taxable and deductible temporary differences

between the carrying amount and the tax basis.

Deferred tax assets are recognised to the extent

that it is probable that taxable income will be

available against which the deductible temporary

difference can be utilised.

Deferred tax assets and liabilities are measured

at the tax rate that is expected to apply at the

time when the temporary difference is reversed.

A deferred tax asset is recognised for the carry

forward of unused tax losses to the extent that

future taxable proﬁt will be probable and unused

tax credits can be utilised.

Segment reporting

Bonum Bank is engaged in the banking business.

Thus, the bank has only one operational seg-

ment, which is why its ﬁnancial statements do

not include segment reporting.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 34

NOTE 2 RISK MANAGEMENT

Principles of risk management and capital

adequacy management

The purpose of Bonum Bank’s risk management is

to ensure the Bank’s risk-bearing capacity under

all circumstances, maintain a prudent level of risk

relative to that capacity, and thereby ensure the

continuity of operations in line with the strate-

gic targets of the POP Bank Group . Risk-bear-

ing capacity is built upon risk management pro-

portionated to the scope and complexity of the

institution and adequate capitalization based on

proﬁtable business operations. The purpose of

the risk management process is to ensure that all

signiﬁcant risks resulting from business activities

are identiﬁed, assessed, measured and monitored

on a regular basis and that they are proportionate

to the risk-bearing capacity of the Bonum Bank

and the amalgamation.

The purpose of capital adequacy management

is to ensure the adequate amount, quality and

efﬁcient use of the capital of the Bonum Bank.

Capital is held to cover the material risks aris-

ing from the Bank’s and amalgamation’s business

strategy and plan and to secure the uninterrupted

operation of the Bank and amalgamation in case

of unexpected losses. The goal is pursued through

a documented and systematic capital adequacy

management process that is integrally linked to

the amalgamation’s and other member credit

institutions’ business planning and management.

POP Bank Centre coop, the central institution of

the amalgamation, is responsible for the risk and

capital adequacy management of the POP Bank

Group. The central institution provides guidance

to the member credit institutions to ensure risk

management and supervises that the member

institutions operate in accordance with regula-

tion, their own rules, guidelines issued by the cen-

tral institution and in accordance with appropri-

ate and ethically acceptable procedures. Bonum

Bank, within limits set by conﬁrmed business

risk thresholds, carries its business risks inde-

pendently in its operations and is liable for its

capital adequacy. The capital adequacy, liquidity

coverage ratio and customer risks of the Bonum

Bank are supervised both at the level of individ-

ual member institutions and at the consolidated

amalgamation level. Violations of the risk man-

agement principles and limits are addressed in

accordance with the agreed operating models.

Bonum Bank conducts an extensive identiﬁcation

and evaluation of risks related to its operations

and sets risk-bearing capacity to match the total

amount of the risks. In order to secure the capital

adequacy, bank sets risk-based capital objec-

tives and prepares a capital plan to achieve these

objectives. Calculation methods deﬁned by the

central institution’s risk monitoring function are

used when preparing the capital plan.

The most signiﬁcant risks associated with Bonum

Bank’s operations are credit risk, liquidity risk,

interest rate risk and operational risk. The risk

strategy conﬁrmed by the Board of Directors of

the central institution outlines the risk appetite of

the operations, within which the Board of Direc-

tors of the Bonum Bank sets its own guidelines

and restrictions. Business activities are carried

out at a moderate risk level so that the risks can

be managed in full.

Risk and capital adequacy management is regu-

lated by EU legislation, Act on Credit Institutions

(610/2014), Act on the Amalgamation of Deposit

Banks (24.6.2010/599; hereinafter referred to as

the “Amalgamation Act”) and the standards, reg-

ulations and guidelines issued by the Financial

Supervisory Authority.

Risk management is an essential part of the

internal controls of Bonum Bank. The purpose of

internal controls is to ensure that the institution

complies with regulations, carries out compre-

hensive risk management and operates efﬁciently

and reliably. Moreover, internal controls serve to

ensure that the objectives and goals set for dif-

ferent levels of the amalgamation are achieved in

accordance with internal guidelines.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 35

Organisation of risk and capital adequacy

management

Bonum Bank is the central credit institution and

a member credit institution of the amalgamation

of POP Banks and a subsidiary of the POP Bank

Centre coop. The central institution issues binding

instructions concerning risk and capital adequacy

management, corporate governance and inter-

nal control to the member credit institutions to

secure their solvency and capital adequacy. Fur-

thermore, common business controlling thresholds

have been established for the member institutions

to ensure that the risks taken by an individual

member institution are within acceptable limits.

Bonum Bank’s Board of Directors conﬁrms the

objectives of the business operations, guidelines,

limits to the risk levels of the operations as well as

the risk-taking authorities. The Board of Directors

is also responsible for proactive capital planning

and adapting the capital adequacy management

planning and proactive capital planning into relia-

ble governance and guidance. The Board of Direc-

tors assesses the appropriateness, extent and

reliability of capital adequacy management. The

Board of Directors sets the target level for capital

adequacy and conﬁrms the level and structure of

capital required by the risk proﬁle. The executive

management is responsible for the risk manage-

ment of the daily operations within the scope of

the risk limits and risk-taking authority.

The executive management is responsible for the

practical implementation, continuous monitoring,

supervision and reporting of capital adequacy and

risk management to the Board of Directors of the

amalgamation. The executive management also

ensures that the responsibilities, authorizations,

processes and reporting relationships related to

capital adequacy management have been clearly

deﬁned and sufﬁciently described and that the

employees are familiar with capital adequacy

management and the related processes and

methods to the extent required by their duties.

Bonum Bank’s independent risk monitoring is

responsible for monitoring the risk limits and

capital adequacy in the business operations as

well as reporting them to the Board of Directors

and the independent risk management function

of the central institution of the amalgamation.

The assignment of Bonum Bank’s risk monitor-

ing function is to form a comprehensive view of

the risks included in the central credit institution

services provided to the amalgamation’s mem-

ber credit institutions and the bank’s other oper-

ations, develop risk management methods and

processes for identifying, measuring and monitor-

ing risks in accordance with the principles issued

by the central institution.

The centralized compliance function of the cen-

tral institution supervises that the bank complies

with applicable laws, decrees, instructions and

regulations issued by the authorities, their own

rules and the internal binding guidelines issued

by the central institution of the amalgamation in

its activities. As the central institution, POP Bank

Centre coop supervises the sufﬁciency and func-

tioning of the risk management systems in all the

member credit institutions in accordance with

section 17 of the Amalgamation Act.

The principles, organisation and internal con-

trol measures of amalgamation’s risk and capi-

tal adequacy management are described in more

detail in Note 4 to the POP Bank Group’s ﬁnancial

statements. Copies of the ﬁnancial statements of

the POP Bank Group are available from the ofﬁce

of the central institution, address Hevosenkenkä

3, 02600 Espoo or through the website

www.poppankki.ﬁ

The POP Bank Group submits the amalgama-

tion’s Pillar III disclosures, as required under the EU

Capital Requirements Regulation, to the European

Banking Authority (EBA), which publishes them in

its centralised Pillar 3 data hub. A link to the ser-

vice is published on the POP Bank Group’s website.

Capital adequacy management

The objective of capital adequacy management is

to ensure that the Bonum Bank has an adequate

capital buffer to achieve its business strategy and

to cover the material risks arising from them in

all circumstances. The capital adequacy position

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 36

is managed in accordance with the principles of

capital adequacy management and the risk-tak-

ing framework set by the central institution of the

amalgamation.

The monitoring and control of the capital ade-

quacy position has been implemented by set-

ting the control thresholds for the adequacy in

accordance with the limits set by the central

institution of the amalgamation. The capital

adequacy targets (control limits) are set for the

capital adequacy ratio in accordance with Capital

Requirements Regulation (EU 575/2013) and it’s

reformative regulation 2019/876 (hereinafter the

EU Capital Requirements Regulation) and for the

economic capital requirement which is based on

the internal risk assessment (Pillar 2).

Capital adequacy management is pursued through

a systematic capital adequacy management pro-

cess that is integrally linked to the amalgama-

tion’s and other member credit institutions’ strat-

egies, business planning and management. As part

of the capital adequacy management process the

aim is to identify all material risks and assess their

magnitude and required capital levels.

One of the objectives of the capital adequacy

management process is to identify all major risks

and to assess their risk level as well as the cap-

ital requirements. Under the supervision of the

central institution, Bonum Bank prepares its own

capital plan and stress tests on an annual basis

using harmonized principles deﬁned by the central

institution. The process ensures that the Bank’s

growth, proﬁtability and risk-bearing capacity

objectives are appropriate and consistent. Capital

is held to cover the material risks arising from the

Bank’s business strategy and plan and to secure

the uninterrupted operation of the Bank and

amalgamation in case of unexpected losses. The

baseline scenario of the capital plan forms the

basis for budgeting for Bonum Bank.

Pillar i capital adequacy ratio

The most signiﬁcant Pillar I capital requirements

of Bonum Bank arises from retail banking receiv-

ables as well as receivables in liquidity reserve

investment operations. The amalgamation applies

the standardised approach for the calculation of

the capital requirement for credit risk, and the

basic indicator approach for calculating the cap-

ital requirement to the operational risk. Bonum

Bank does not engage in trading activities, so the

capital requirement for market risk is only calcu-

lated for the foreign exchange risk. In the stand-

ardised approach for credit risk, the exposures are

divided into exposure classes with limits having

been set for the minimum diversiﬁcation of lend-

ing in the retail exposure class.

Bonum Bank’s own funds consist of share cap-

ital, retained earnings and other non-restricted

reserves, less the deductible items in accordance

with the EU’s Capital Requirements Regulation

(No. 575/2013). The bank does not include the proﬁt

accrued during the ﬁnancial period in its own funds.

The key ﬁgures related to the Bank’s capital ade-

quacy position, the capital adequacy requirement,

and the main components of the capital ade-

quacy calculation are presented in the Report of

the Board of Directors included in the ﬁnancial

statements.

Business risks

Credit risk

Bonum Bank’s most signiﬁcant risk is credit and

counterparty risk. Credit risk refers to a situation

in which a counterparty cannot fulﬁl its contrac-

tual obligations.

The most signiﬁcant source of credit risk is loans,

but credit risk can also arise from other kinds of

receivables, such as bonds, short-term debt secu-

rities and off-balance-sheet commitments, such

as unused credit facilities and overdraft limits and

guarantees.

The credit risk of Bonum Bank’s operations con-

sists of liquidity reserve investment operations

as well as retail banking operations, for the most

part formed of unsecured lending. Balance sheet

items exposed to credit risk totalled EUR 408,359

(418,712) thousand at the end of 2025. Bonum

Bank’s off-balance sheet credit commitments

amounted to EUR 204,734 (185,172) thousand.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 37

These consisted primarily of unused credit card

limits and POP Banks’ liquidity commitments.

Management of credit risk

The Board of Directors of the central institu-

tion controls the credit risk management of the

member credit institutions, the methods used in

it and the control and reporting of credit risk. The

Board of Directors of the Bonum Bank approves

the credit risk strategy deﬁned by the central

institution, specifying the target risk level and

the principles concerning guidelines on risk-tak-

ing, customer selection and collateral. Credit risk

management aims at limiting the effects of credit

risks resulting from lending activities on proﬁt and

balance sheet to an acceptable level.

Credit risk strategy and other operative credit

risk guidelines specify the maximum limits for

risk concentrations and act as guidelines for the

targeting of lending by customer sector, industry

and credit grade. These guidelines form the basis

of credit strategy and deﬁnes the customer group

and industry division principles and risk and mon-

itoring limits of the credit portfolio used in the

monitoring the quality of the credit portfolio. The

credit risk strategy is updated at least annually or

whenever there are essential changes in the oper-

ating environment or business model of the amal-

gamation, legislation or regulatory.

Automated lending credit decisions are made

based on an assessment of the customer’s credit

worthiness and with application scoring model, as

well as other credit criteria. Credit risk manage-

ment is implemented through active management

of credit policy and automated decision-making

guidelines based on monitoring and analysis of

credit risks. Credit monitoring is based on con-

tinuous monitoring of payment behaviour and

non-performing receivables, monitoring the quality

of the credit portfolio, as well as monitoring of the

amount of expected credit losses and ﬁnal credit

losses.

Credit decisions are based on the customer’s

credit worthiness and ability to pay and the ful-

ﬁlment of the other credit policy criteria, such as

collateral requirements. Collaterals are valued pru-

dently at fair value, and the development of val-

ues is monitored regularly. The collateral valuation

coefﬁcients are harmonized in the member credit

institutions of the amalgamation. Credit decisions

are made within the decision-making authoriza-

tions conﬁrmed by the Bank’s Board of Directors.

Credit risk of investment operations is mainly

managed by limiting the credit rating of invest-

ments and allocating investment assets by indus-

try, counterparty, credit rating and instrument

category. The allocation and limits of credit risks

are deﬁned in the investment plan and investment

instructions approved by the Board of Directors.

Investment decisions are made within investment

plan and investment instructions approved by the

Board of Directors, by diversifying risks.

Monitoring expected credit losses is an essential

part of the credit risk management. Principles of

impairment and calculation of expected credit

losses are described in Note 1 Accounting poli-

cies under IFRS. Impairment losses on loans and

receivables, off-balance sheet items and changes

during the ﬁnancial year are presented in Note 14

Impairment of ﬁnancial assets.

Risk control function reports exposures of cus-

tomers, expected credit losses and non-perform-

ing receivables regularly to the Boards of Direc-

tors. The reports include, amongst other things,

the amount and development of credit risk by

customer group, industry sector and credit grade

category.

At the end of the ﬁnancial year, Bonum Bank’s

total investment assets totalled EUR 215,566

(218,689) thousand. The investment assets

included in the liquidity reserve include certiﬁcates

of receivables issued by governments, municipali-

ties, credit institutions and corporations, some of

which are secured and ECB-eligible loans.

The loan portfolio of retail banking operations

decreased by 3.7 per cent during the ﬁnancial year,

reaching EUR 190,322 (197,579) thousand. Loans

granted to retail customers accounted for 87.8

(86.5) per cent of the loan portfolio. During the

ﬁnancial year Bonum Bank carried out partial col-

lection portfolio sales.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 38

Loans and receivables are categorised in rating

categories 1–8 by probability of default (PD) of

the receivable. Rating category 1 represents the

receivables of the lowest risk and risk category

8 represents the receivables of the highest risk.

Both the customer and the receivable are cate-

gorised as defaulted (rating category 8), if default

criteria described in accounting policies is met.

Receivables categorised as defaulted are classi-

ﬁed in stage 3 as per IFRS 9 in the calculation of

excepted credit losses. Receivables with a signif-

icant increase in credit risk are classiﬁed in stage

2. Other receivables are classiﬁed in stage 1.

At the end of the ﬁnancial year, the gross amount

of loans and receivables, certiﬁcates of receivables

and off-balance sheet items in the highest risk

category 8 totalled EUR 10,336 (15,734) thousand.

The tables below show receivables from custom-

ers, debt securities and off-balance sheet com-

mitments in accordance with the stages deﬁned

in the calculation of expected credit losses by

risk category. The table also shows the lower and

upper limits of the PD for each risk category.

Receivables from credit institutions

(EUR 1,000,

gross value) PD 31 Dec 2025 31 Dec 2024

Rating Class Lower Upper Stage 1 Stage 2 Stage 3 Total Total

1-4 0.00 1.50 590,730 - - 590,730 570,000

5 1.50 5.00 - - - - -

6 5.00 25.00 - - - - -

7 25.00 100.00 - - - - -

8 100.00 100.00 - - - - -

Total

590,730 - - 590,730 570,000

ECL - - - - -

Total 590,730 - - 590,730 570,000

Loans and advances to credit institutions consist of intra-POP Bank Group items, the amount of which

increased by 3.6 per cent during the ﬁnancial year.

Receivables from customers mainly consist of unsecured loans 58.5 (59.5) per cent. The amount of the

three lowest risk categories (risk categories 6-8) in receivables decreased to 16.0 (21.8) per cent during

the ﬁnancial year. The amount of stage two and three receivables increased to 18.1 (16.9) per cent.

Receivables from customers

(EUR 1,000,

gross value) PD 31 Dec 2025 31 Dec 2024

Rating Class Lower Upper Stage 1 Stage 2 Stage 3 Total Total

1-4 0.00 1.50 95,365 79 - 104,577 95,444

5 1.50 5.00 64,270 622 - 59,633 64,892

6 5.00 25.00 25,854 3,144 - 21,350 28,997

7 25.00 100.00 256 334 - 218 590

8 100.00 100.00 - - 15,239 9,669 15,239

Total

183,032 2,745 9,669 195,447 205,162

ECL 1,229 82 3,813 5,124 7,583

Total 181,803 2,664 5,856 190,322 197,579

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 39

Off-balance sheet receivables mainly consist of unused credit card facilities 87.9 (86.6) per cent and

intra-group items 11.0 (12.2) per cent.

Off-balance sheet commitments

(EUR 1,000,

gross value) PD 31 Dec 2025 31 Dec 2024

Rating Class Lower Upper Stage 1 Stage 2 Stage 3 Total Total

1-4 0.00 1.50 196,320 615 - 196,935 177,597

5 1.50 5.00 6,066 55 - 6,121 6,208

6 5.00 25.00 558 408 - 966 860

7 25.00 100.00 - 44 - 44 13

8 100.00 100.00 - - 667 667 495

Total 202,944 1,123 667 204,734 185,172

ECL 238 38 79 355 386

Total 202,706 1,085 588 204,379 184,787

Debt securities included in the liquidity reserve fall into the four highest risk categories. Tier 2 certiﬁ-

cates are commercial papers used for liquidity management.

Debt securities

(EUR 1,000,

gross value) PD 31 Dec 2025 31 Dec 2024

Rating Class Lower Upper Stage 1 Stage 2 Stage 3 Total Total

1-4 0.00 1.50 214,268 - - 214,268 217,523

5 1.50 5.00 - - - - -

6 5.00 25.00 - - - - -

7 25.00 100.00 - - - - -

8 100.00 100.00 - - - - -

Total 214,268 - - 214,268 217,523

ECL 26 - - 26 25

Total 214,242 - - 214,242 217,499

Doubtful receivables, forbearances and

impairment losses

In 2025, impairment losses recorded from loans

and receivables were EUR 2,518 thousand. Dur-

ing the ﬁnancial period the total amount of credit

losses were EUR 5,015 (2,103) thousand. Expected

credit losses (ECL) on loans and receivables and

off-balance sheet commitments decreased EUR

2,497 thousand to EUR 5,511 (8,008) thousand

during the ﬁnancial year.

Bank’s receivables overdue for more than 90 days

accounted for 4.3 (7.0) per cent of the loan portfolio.

At the end of 2025, the Bank’s receivables overdue

for 30–90 days accounted for 1.2 (1.6) per cent of

the loan portfolio. Doubtful receivables in active

collection are written off if any payments cannot

be expected to the receivable on probable grounds.

The total amount of doubtful receivables in pro-

portion to the total credit portfolio reported during

the ﬁnancial year increased due to receivables risk

scoring method which delays ﬁnal write off book-

ings.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 40

(EUR 1,000) 30 Dec 2025 31 Dec 2024

31-90 days 2,377 3,116

over 90 days 8,243 13,617

Total 10,620 16,733

Overdue receivables

Counterparty distribution of liquid assets

Expected credit losses (ECL) on loans and receiv-

ables and off-balance sheet commitments in ECL

Stage 3 were EUR 3,892 (6,071) thousand. In ECL

calculation, loans with more than 90 days overdue

payments are classiﬁed to stage three The receiv-

ables in ECL stage 2 are mainly loans granted to

private customers. The amount of expected credit

losses and the changes in them are presented in

Note 14.

Risk concentrations

Credit risk concentration arises when the counter-

parties are ﬁnancially dependent on each other and

operate in a similar operating environment, in which

case individual events can have effects on a signif-

icant number of counterparties at the same time.

Similar concentration risk may also arise when sim-

ilar collateral is held for credit facilities.

The total amount of credit granted by Bonum Bank

to a single customer and/or group of connected cli-

ents is managed through amalgamation level limits,

in consideration with regulation in force.

(EUR 1,000) 31 Dec 2025 31 Dec 2024

From central banks 375,583 558,332

Governments and public bodies 83,287 83,340

Credit institutions 134,750 137,503

From companies - 289

Total 593,620 779,464

Liquidity risks

Liquidity risk refers to Bonum Bank’s ability to ful-

ﬁl its commitments. Liquidity risk can be divided

into short-term liquidity risk and long-term struc-

tural ﬁnancing risk. Short-term liquidity risk refers

to a situation in which the bank cannot with-

out difﬁculty fulﬁl its liabilities to pay. Structural

ﬁnancing risk refers to a reﬁnancing risk that

arises from the difference in the maturities of

balance sheet receivables and liabilities.

Managing liquidity risks

Bonum Bank’s Board of Directors approves the

liquidity strategy and liquidity management

guidelines prepared by the central institution at

the amalgamation level, which deﬁnes the princi-

ples, methods, restrictions and implementation for

liquidity management. The Board of Directors of

the central institution manages the implementa-

tion of the amalgamation’s liquidity management,

the methods used in it and monitors the ade-

quacy and composition of the liquidity reserve.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 41

Bonum Bank as the central credit institution is

responsible for coordinating of the liquidity strat-

egy of the amalgamation and supervises and

monitors the fulﬁlment of the liquidity strategy of

the member credit institutions. The central credit

institution coordinates the payment transactions

of the member credit institutions and the acqui-

sition and balancing of liquidity in the amalgama-

tion. The task of the amalgamation’s independent

risk control function is to supervise and monitor

the liquidity risk.

Bonum Bank as the central credit institution is

responsible for managing the regulatory mini-

mum levels of liquidity coverage ratio (LCR) and

net stable funding ratio (NSFR) in the amalga-

mation level. The central institution has released

the member banks from the regulatory demands

of liquidity coverage and net stable funding ratio

with permission granted by the Finnish Financial

Supervision Authority. According to the permis-

sion regulatory demands in liquidity risk have to

be ﬁlled at amalgamation level only.

The central institution’s Board of Directors

approves the funding plan and the liquidity con-

tingency plan written out by the management of

the central credit institution. The central institu-

tion’s risk monitoring function plans, develops and

tests methods used in liquidity risk management

and is responsible for risk reporting to the Board

of Directors of the central institution. The central

credit institution and its executive management

assist the risk control function in this process.

The Board of Directors of the central institution’s

approves the liquidity strategy and the methods

used in implementing the principles of liquidity

management.

The central credit institution reports on the

liquidity situation to the Board of Directors of the

central credit institution and is responsible for the

planning of the liquidity position and funding of

the amalgamation. The Board of Directors of the

central credit institution is responsible for moni-

toring the implementation of the liquidity strategy

at the central credit institution.

Liquidity risk

The liquidity management of the Bonum Bank

follows the principles set out in the liquidity strat-

egy, which aims to limit risk through a diversiﬁed

ﬁnancial structure. The most important means

of securing liquidity position are maintaining a

sufﬁcient and high-quality liquidity reserve and

diversifying funding sources. Intra-day liquidity,

liquidity reserve and liquidity coverage ratio are

the key means to limit and measure the liquidity

risk. The internal limits and controls of the amal-

gamation limits the liquidity risk associated with

the business activities of the amalgamation and

the member credit institutions and ensure that

the regulatory requirements related to liquidity

risk are met.

The key ratios for measuring short-term liquidity

risk are the liquidity coverage ratio (LCR), speci-

ﬁed in the EU’s Capital Requirements Regulation

and The Net Stable Funding Ratio (NSFR). LCR

measures short-term liquidity risk and is respon-

sible for ensuring that the liquidity reserve, con-

sisting of high-quality liquid assets under LCR

regulation, is sufﬁcient to cover outﬂow net cash

ﬂows in stress situations for 30 days. The NSFR

measures the mismatch of assets and liabilities

on the balance sheet with maturity more than one

year and is responsible for ensuring that long-

term lending is adequately funded by long-term

funding.

LCR and NSFR ratio

(per cent) 31 Dec 2025 31 Dec 2024

LCR 241.9 315.0

NSFR 136.5 136.9

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 42

The liquidity reserve of the amalgamation con-

sists of high-quality liquid assets in accordance

with the EU Capital Requirements Regulation,

which can meet the liquidity need in stress situa-

tions either by selling the securities or by pledg-

ing them as collateral for central bank funding.

In addition to the assets on the central credit

institutions balance sheet, the amalgamation’s

liquidity reserve also includes liquid assets in the

balance sheet of the other member credit institu-

tions, that can be managed by the central credit

institution on the basis of internal agreements. At

the end of 2025, the market value of non-pledged

ﬁnancial assets and cash included in the liquidity

reserve were in total of EUR 971 (1,154) million.

Bonum Bank supervises the intra-day liquidity

coverage by monitoring the balances of the pay-

ment accounts of the member credit institutions.

The member credit institutions follow continu-

ously their intra-day liquidity position.

Structural funding risk

The central credit institution’s business involves

funding risk arising from ﬁnancial intermediation

and the maturity transformation of lending activ-

ities. Bonum Bank acts as an internal bank of the

amalgamation, provides wholesale funding to POP

Banks, maintains a liquidity reserve and engages

in retail banking and investment activities.

The table below shows the maturities of the

Bonum Bank liabilities with interests. Instant

deposits are assumed to mature immediately.

Maturity distribution of ﬁnancial liabilities

(EUR 1,000)

31 Dec 2025

Under 3

months 3-12 months 1-5 years Over 5 years Total

Issued debt instruments 14,981 - - - 14,981

Liabilities to credit

institutions

3,994 9,929 149,964 - 163,887

Derivatives 389,906 134 1,004,468 119,081 1,513,589

Lease liabilities - - 1,760 11,856 13,616

Total 29 90 32 - 151

Yhteensä 408,910 10,153 1,156,223 130,937 1,706,223

(EUR 1,000)

31 Dec 2024

Under 3

months 3-12 months 1-5 years Over 5 years Total

Issued debt instruments 14,060 - - - 14,060

Liabilities to credit

institutions

- 14,780 169,926 - 184,706

Derivatives 391,230 256,000 843,701 268,936 1,759,867

Lease liabilities - - 319 8,355 8,674

Total 59 179 116 - 355

Yhteensä 405,645 270,780 1,013,946 277,291 1,967,662

Maturity distribution of ﬁnancial liabilities

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 43

At the end of the ﬁnancial year, Bonum Bank had

EUR 150 (170) million in unsecured senior loans

issued under the EUR 750 million bond program.

EUR 14.0 (15.0) million of the Bank’s EUR 250 mil-

lion certiﬁcates of deposits program was issued

Market risks

Market risk refers to the probability of loss result-

ing from changes in interest rates or other market

prices. The market risk classes are interest rate,

currency, equity and commodity risk.

The objective of market risk management is to

identify and assess market risks related to the

business operations, mitigate the risks to an

acceptable level and timely monitoring of the

risk exposures. Within the amalgamation of POP

Banks, the central institution’s Board of Direc-

tors conﬁrms the market risk strategy and mar-

ket risk management guidelines, which create

the foundation for market risk management at

Bonum Bank. Bonum Bank’s Board of Directors

conﬁrm the maximum levels for market risks and

the investment policy within the investment plan

according to the market risk strategy. The capital

adequacy management process is a central pro-

cess for the measurement and monitoring of the

market risks in the balance sheet, involving capi-

tal allocation for market risk.

In the amalgamation, market risk exposure is lim-

ited in terms of trading, interest rate risk, currency

risk, derivatives, structured products and com-

modity risk. Bonum Bank does not engage in trad-

ing activities. The use of derivatives is limited to

hedging purposes only.

Currency risk is not taken at all in lending; all

loans are granted in euros. Currency risk arises

to a small extent through strategic shareholdings

and from customers foreign currency payments.

Commodity risk is not allowed.

Interest rate risk in the banking book

The interest rate risk is the most signiﬁcant mar-

ket risk in Bonum Bank’s business operations.

Interest rate risk refers to the effect of changes

in interest rate levels on the market value or

net interest income of balance sheet items and

off-balance sheet items. Interest rate risk arises

from differences in the interest terms of receiva-

bles and liabilities and mismatches in interest rate

repricing and maturity dates. Interest rate risk

arises from the liquidity reserve investment activ-

ities and the banking book operations.

Bonum Bank monitors the interest rate risk by

with present value method and dynamic income

risk model on a monthly basis. The present value

method measures how changes in interest rates

change the constructed market value of the

balance sheet. In the present value method, the

market value of the balance sheet is calculated

as the present value of the expected cash ﬂows

of individual balance sheet items. Interest rate

sensitivity indicators are primarily used to monitor

the market value changes caused by the changes

in the interest rates and credit spreads of invest-

ment items in different interest rate scenarios.

The income risk model predicts the future net

interest income and its changes in various market

rate scenarios within a time frame of ﬁve years.

The amount of interest rate risk taken is assessed

with the effect of diverse interest rate shocks on

the net interest income and net present value. The

effect of early loan prepayments and the behav-

iour of non-maturity deposits have been consid-

ered in the analysis.

The objective of interest rate management is

to stabilise the interest rate risk involved in the

bank’s balance sheet to a level at which business

is proﬁtable, but proﬁt or capital adequacy are not

threatened even in considerable changes of the

interest rate environment.

Interest rate risk is managed primarily by planning

the balance sheet structure, such as the inter-

est rate ﬁxing or maturity of assets and liabilities.

During the ﬁnancial period, Bonum Bank executed

derivative hedges to decrease interest rate risk in

member banks’ banking book. Details of the deriv-

ative hedges are presented in Note 23.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 44

Impact to interest margin 31 Dec 2025 31 Dec 2024

(EUR 1,000) Change 1-12 mo. 1-12 mo.

Interest rate risk +2%-point -1,811 -1,504

Interest rate risk -2%-point 1,854 1,367

The interest rate sensitivity analysis of the banking book

The impact of the interest rate risk on operat-

ing income has been calculated as a change to

the 12-month forecast of the net interest income,

assuming two percentage point upward or down-

ward parallel interest rate level shift.

Investment and liquidity portfolio

The investment and liquidity portfolio of the cen-

tral credit institution consists of liquid securities

and other investments included in the banks’ bal-

ance sheet. Market risk emerges in these invest-

ment activities, consisting mainly of counterparty

and interest rate risks. The objective in investing

activities is to obtain a competitive return on

investment in terms of yield/risk ratio on a long-

term perspective.

Risks arising from the investment and liquidity

portfolio are managed by limits deﬁned by the

amalgamation, which ensures the diversiﬁcation

of investments in terms of timing, asset cate-

gory, risk type and counterparty. Investment risks

are also monitored through sensitivity analysis.

The purpose of the limitation is that the effect of

changes in interest rates or share prices on proﬁt

will not threaten the capital adequacy or proﬁta-

bility of the bank or the entire amalgamation.

Risk appetite in the investment portfolio is

assessed in relation to the earnings and own

funds. The breakdown of investment assets is

described in Note 17 Investment Assets.

Operational risks

Operational risks refer to ﬁnancial losses or other

harmful consequences to business that may be

caused by internal inadequacies or errors in sys-

tems, processes, procedures and the actions of

personnel, or by external factors affecting the

business. All main and support business pro-

cesses, including outsourced processes, involve

operational risks.

The objective of the management of operational

risks is to identify essential operational risks in

business operations and minimise their mate-

rialisation and impact. The objective is pursued

through operational risk management processes,

internal guidelines, process controls, continuous

personnel training and internal control meas-

ures. The Bank’s Board of Directors approves the

guidelines on operational risk management and

the principles of continuity planning as binding

instructions given by the central institution.

The most important operational risk management

processes are operative risk self-assessment pro-

cess, continuous evaluation of realized operative

incidents and near-miss events and new product /

service approval procedure. All these incorporate

recognition and evaluation of essential risks in

business processes and planning of measures to

mitigate the risks. Targeted operational risk level

of the amalgamation is moderate. Capital is allo-

cated to operational risks in the capital adequacy

management process.

The Banks’ Risk Control unit reports signiﬁcant

operative risk events, incidents and risk assess-

ment results to the board as well as to the central

institutions risk management function. The Banks’

executive management monitors operational risk

events and incidents regularly, to assess the risk

involved and take timely mitigating actions if

necessary.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 45

Strategic risk

Strategic risk refers to losses caused by choos-

ing wrong strategy or business model in rela-

tion to the development of the bank’s operating

environment. The losses may also be caused by

unsuccessful implementation of strategy, unex-

pected changes in the competitive environment

or responding too slowly to changes.

Bonum Bank aims to minimise strategic risks

by means of regular updates of its strategic

and annual plans. Analyses of the condition and

development of the POP Bank Group business

activities, as well as other analyses and estimates

concerning the development of the sector, com-

petition and ﬁnancial operating environment are

utilized in the planning.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 46

NOTE 3 INTEREST INCOME AND EXPENSES

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Interest income

Loans and receivables from credit institutions 38,249 50,420

Loans and receivables from customers 14,536 16,750

Debt securities

At amortised cost 4,610 4,679

At fair value through prot or loss 1,527 2,640

Other interest income 12 1

Total interest income 58,934 74,491

Interest expenses

Liabilities to credit institutions -44,972 -46,323

Liabilities to customers -32 -331

Debt securities issued to the public -6,865 -11,538

Hedging derivatives 2,195 -6,045

Other interest expenses -17 -20

Total interest expenses -49,691 -64,257

of which negative interest income -5 -7

Net interest income 9,243 10,233

NOTE 4 NET COMMISSIONS AND FEES

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Commissions and fees

Lending 1,223 1,267

Card business 5,299 5,173

Payment transfers 3,965 4,215

Other commission income 274 15

Total commissions and fees 10,762 10,670

Commissions expenses

Card business -1,944 -1,653

Payment transfers -979 -875

Other commission expenses -17 -117

Total commission expenses -2,940 -2,645

Net commissions and fees 7,821 8,024

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 47

NOTE 5 NET INVESTMENT INCOME

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

At amortised cost

Debt securities

Fair value gains and losses -6 -

Total -6 -

At fair value through other comprehensive income

Debt securities

Capital gains and losses 5 4

Transferred from fair value reserve to the income statement 19 -5

Shares and participations

Dividend income 9 8

Total 32 7

Net income from foreign exchange trading 220 191

Net income from hedge accounting

Change in hedging instruments' fair value -9,273 6,298

Change in hedged items' fair value 9,559 -5,930

Total 287 368

Total net investment income 532 566

*Dividend income from equity shares measured at fair value through other comprehensive income held in

the end of the ﬁnancial period is EUR 9 (8) thousand.

Net investment income includes net income from ﬁnancial instruments except interest income from debt

securities recognised in net interest income.

Derivative contracts and hedge accounting are speciﬁed in Notes 23 and 27.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 48

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Central credit institution services excl. payment transfer 56 56

Other income 9,971 6,395

Total other operating income 10,027 6,451

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Wages and salaries -6,718 -5,712

Indirect personnel expenses -247 -156

Pension costs

Dened contribution plans -1,217 -997

Total personnel expenses -8,182 -6,864

NOTE 6 OTHER OPERATING INCOME

NOTE 7 PERSONNEL EXPENSES

The “Other income” item includes mainly intra-group charges and service fees.

On 31 December 2025, the bank had 124 (102) employees. On average, during year 2025, the bank had

116 (95) employees.

Related party fees are speciﬁed in Note 31.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 49

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Other operating expenses

Other personnel expenses -689 -558

Ofce expenses -3,390 -2,582

ICT expenses -6,636 -6,997

Telecommunications -572 -492

Entertainment and marketing expenses -108 -124

Other administrative expenses total -11,396 -10,753

Other operating expenses

Rental expenses -282 -238

Audit fees -43 -60

Other operating expenses* -1,429 -2,893

Other operating expenses total -1,755 -3,190

Total other operating expenses -13,150 -13,943

Audit fees

Audit services -43 -54

Audit-related services according to Auditing Act 1.1,2 § - -6

Total audit fees -43 -60

NOTE 8 OTHER OPERATING EXPENSES

Other than audit services from KPMG Oy Ab totalled to EUR 0 (6) thousand during the ﬁnancial year

2025.

*2024 Other operating expenses include EUR 2,122 thousand one-off expenses of selling consumer

loans.

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Machinery and equipment -15 -19

Right of use assets -238 -234

Intangible assets -45 -221

Total depreciation, amortisation and impairment

-298 -473

NOTE 9 DEPRECIATION, AMORTISATION AND IMPAIRMENT

More detailed information about right off use assets is provided in Note 30.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 50

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Current tax -688 -178

Tax for prior nancial years -3 -1

Withholding tax paid outside Finland -3 -2

Change in deferred tax assets -6 -12

Total income tax expense

-699 -194

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Prot before tax 3,475 978

Income tax rate 20 % 20 %

Tax calculated at the tax rate -695 -196

Tax free income, income statement 0 3

Non tax-deductible expenses, income statement -1 0

Change in deferred tax liability -2 -

Tax for prior nancial years -3 -1

Tax expense in the income statement

-699 -194

Reconciliation between tax expense in the income statement and tax expense calculated

using the applicable tax rate

NOTE 10 INCOME TAX

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 51

(EUR 1,000)

Financial assets 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

At fair value through other comprehensive income

Interest income and expenses 1,517 2,573

Transferred from fair value reserve 19 -5

Dividend income 9 8

Capital gains and losses 5 4

Expected credit loss 8 10

Total 1,558 2,589

At amortised cost

Interest income and expenses 12,397 25,244

Other income 1,223 3,174

Expected credit loss 2,489 -943

Total 16,109 27,475

Financial liabilities 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

At amortised cost

Interest income and expenses -6,865 -11,538

Total -6,865 -11,538

At fair value through prot or loss

Hedging derivatives

Fair value gains and losses 282 372

Interest income and expenses 2,195 -6,045

Total 2,476 -5,673

Net income from foreign exchange operation 220 191

Total

13,499 13,044

NOTE 11 NET INCOME AND EXPENSES OF FINANCIAL ASSETS AND

FINANCIAL LIABILITIES BY MEASUREMENT CATEGORY

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 52

NOTE 12 CLASSIFICATION OF FINANCIAL ASSETS AND FINANCIAL

LIABILITIES

Financial assets 31 Dec 2025

(EUR 1,000)

At amortised

cost

At fair value

through prot

or loss

At fair value

through other

comprehensive

income

Expected

credit loss

Total carrying

amount

Liquid assets 375,583 - - - 375,583

Loans and receivables

from credit institutions

962,196 - - - 962,196

Loans and receivables

from customers

195,447 - - -5,124 190,322

Derivatives - 18,064 - - 18,064

Debt securities* 172,801 - 41,473 -32 214,242

Shares and participations - - 1,323 - 1,323

Financial assets total 1,706,027 18,064 42,796 -5,156 1,761,731

Other assets 30,735

Total assets 1,792,465

Financial assets 31 Dec 2024

(EUR 1,000)

At amortised

cost

At fair value

through prot

or loss

At fair value

through other

comprehensive

income

Expected

credit loss

Total carrying

amount

Liquid assets 558,332 - - - 558,332

Loans and receivables

from credit institutions

1,020,697 - - - 1,020,697

Loans and receivables

from customers

205,162 - - -7,583 197,579

Derivatives - 22,395 - - 22,395

Debt securities* 148,768 - 68,741 -10 217,499

Shares and participations - - 1,191 - 1,191

Financial assets total 1,932,959 22,395 69,931 -7,594 2,017,691

Other assets 32,818

Total assets 2,050,510

*Expected credit loss of EUR 8 (10) thousand from debt securities have been recorded in the fair value reserve.

*Expected credit loss of EUR 10 thousand from debt securities have been recorded in the fair value reserve.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 53

Financial liabilities 31 Dec 2025

(EUR 1,000)

At fair value

through other

comprehensive

income

At amortised

cost

Total carrying

amount

Liabilities to credit institutions - 1,513,589 1,513,589

Liabilities to customers - 14,981 14,981

Derivatives 13,616 - 13,616

Debt securities issued to the public - 163,887 163,887

Financial liabilities total 13,616 1,692,457 1,706,073

Other liabilities 32,398

Total liabilities 1,738,471

Financial liabilities 31 Dec 2024

(EUR 1,000)

At fair value

through other

comprehensive

income

At amortised

cost

Total carrying

amount

Liabilities to credit institutions - 1,759,867 1,759,867

Liabilities to customers - 14,060 14,060

Derivatives 8,674 - 8,674

Debt securities issued to the public - 184,706 184,706

Financial liabilities total 8,674 1,958,633 1,967,307

Other liabilities 32,195

Total liabilities 1,999,503

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 54

31 Dec 2025 31 Dec 2024

(EUR 1,000) Carrying amount Fair value Carrying amount Fair value

Liquid assets 375,583 375,583 558,332 558,332

Loans and receivables from credit

institutions

962,196 965,046 1,020,697 1,025,264

Loans and receivables from

customers

190,322 189,827 197,579 196,849

Investment assets 18,064 18,064 22,395 22,395

At amortised cost

At fair value through prot or

loss

172,770 174,639 148,758 147,546

Total 42,796 42,796 69,931 69,931

Total 1,761,731 1,765,955 2,017,692 2,020,316

31 Dec 2025 31 Dec 2024

(EUR 1,000) Carrying amount Fair value Carrying amount Fair value

Liabilities to credit institutions 1,513,589 1,513,519 1,759,867 1,759,768

Liabilities to customers 14,981 14,981 14,060 14,060

Derivatives 13,616 13,616 8,674 8,674

Debt securities issued to the

public

163,887 164,097 184,706 185,182

Total 1,706,073 1,706,212 1,967,307 1,967,685

NOTE 13 CLASSIFICATION OF FINANCIAL ASSETS AND FINANCIAL

LIABILITIES AND FAIR VALUES BY VALUATION TECHNIQUE

Financial assets

Financial liabilities

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 55

Assets recurrently measured at fair value 31 Dec 2025

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

At fair value through other comprehensive

income

Derivatives - 18,064 - 18,064

At fair value through other comprehensive

income

Shares and participations - - 1,323 1,323

Debt securities 41,464 - - 41,464

Total 41,464 18,064 1,323 60,851

Assets recurrently measured at fair value 31 Dec 2024

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

At fair value through prot or loss

Derivatives - 22,395 - 22,395

At fair value through other comprehensive

income

Shares and participations - - 1,191 1,191

Debt securities 58,773 9,968 - 68,741

Total 58,773 32,363 1,191 92,326

Liabilities recurrently measured at fair value 31 Dec 2025

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Derivatives - 13,616 - 13,616

Total - 13,616 - 13,616

Liabilities recurrently measured at fair value 31 Dec 2024

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Derivatives - 8,674 - 8,674

Total - 8,674 - 8,674

Fair value hierarchy levels of items recurrently recognised at fair value

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 56

Fair value hierarchy levels of items recognized at amortised cost

Assets measured at amortised cost 31 Dec 2025

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Carrying

amount

Loans and advances to credit

institutions

- 962,196 - 965,046 962,196

Loans and advances to customers - 190,322 - 189,827 190,322

Debt securities - 172,778 - 174,639 172,778

Total - 1,325,296 - 1,329,512 1,325,296

Liabilities measured at amortised cost 31 Dec 2025

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Carrying

amount

Liabilities to credit institutions - 1,513,589 - 1,513,519 1,513,589

Liabilities to customers - 14,981 - 14,981 14,981

Debt securities issued to the public - 163,887 - 164,097 163,887

Total - 1,692,457 - 1,692,596 1,692,457

Assets measured at amortised cost 31 Dec 2024

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Carrying

amount

Loans and advances to credit

institutions

- 1,020,697 - 1,025,264 1,020,697

Loans and advances to customers - 197,579 - 196,849 197,579

Debt securities - 148,758 - 147,546 148,758

Total - 1,367,034 - 1,369,659 1,367,034

Liabilities measured at amortised cost 31 Dec 2024

(EUR 1,000) Level 1 Level 2 Level 3

Total fair

value

Carrying

amount

Liabilities to credit institutions - 1,759,867 - 1,759,768 1,759,867

Liabilities to customers - 14,060 - 14,060 14,060

Debt securities issued to the public - 184,706 - 185,182 184,706

Total - 1,958,633 - 1,959,011 1,958,633

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 57

Fair value determination of ﬁnancial assets and ﬁnancial liabilities

Financial assets are recorded in the balance sheet either at fair value or at amortised cost. The clas-

siﬁcation and measurement of ﬁnancial instruments is described in more detail in Note 2 POP Bank

Group’s accounting policies.

Fair value hierarchies

Level 1 includes ﬁnancial instruments that are measured on the basis of quotations obtained from liq-

uid markets. A market is considered as liquid if quotations are regularly available. This group included

all securities with publicly quoted prices.

Level 2 includes ﬁnancial instruments measures using generally approved measurement techniques or

models which are based on assumptions made on the basis of observable market prices. For example,

the fair value of a ﬁnancial instrument allocated to level 2 may be based on the value derived from the

market quotation of components of an instrument. This group includes interest derivatives, including

interest rate swaps, as well as other instruments that are not traded in liquid markets. The valuation

methods for these instruments are based on generally accepted calculation models.

Level 3 includes ﬁnancial instruments and other assets and liabilities that are not measured using

market quotations or values determined on the basis of observable market prices using measurement

techniques or models. The assumptions applied in the measurement techniques often involve insecurity.

The fair value of assets allocated to level 3 is often based on price information obtained from a third

party. This group includes unlisted shares and funds and investment properties.

Transfers between fair value hierarchies

Transfers between hierarchy levels are considered to have taken place on the date of the occurrence

of the event that caused the transfer or the date when the circumstances changed.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 58

Changes in ﬁnancial assets recurrently measured at fair value

classiﬁed into level 3

(EUR 1,000)

At fair value through other

comprehensive income Total

Carrying amount 1 Jan 2025 1,191 1,191

Changes in value recognised in other comprehensive

income

133 133

Carrying amount 31 Dec 2025 1,323 1,323

(EUR 1,000)

At fair value through other

comprehensive income Total

Carrying amount 1 Jan 2024 956 956

Changes in value recognised in other comprehensive

income

234 234

Carrying amount 31 Dec 2024 1,191 1,191

Sensitivity analysis of ﬁnancial assets at level 3

31 Dec 2025

Possible effect on equity capital

(EUR 1,000) Carrying amount Positive Negative

At fair value through other

comprehensive income

1,323 198 -198

Total 1,323 198 -198

Possible effect on equity capital

(EUR 1,000) Carrying amount Positive Negative

At fair value through other

comprehensive income

1,191 179 -179

Total 1,191 179 -179

The sensitivity of ﬁnancial assets recurrently measured at fair value at level 3 has been calculated for

interest rate linked investments by assuming a 1 percentage points change in interest rates and for

other investments by assuming the market price of the security to change by 15%.

Bonum Bank does not have assets measured non-recurrently at fair value.

31 Dec 2024

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 59

NOTE 14 IMPAIRMENT LOSSES ON FINANCIAL ASSETS

Impairment losses recorded during the reporting period

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Change of ECL due to write-offs 4,991 3,658

Change of ECL, receivables from customers and off-balance sheet

items

-2,502 -4,601

Change of ECL, debt securities 8 29

Final credit losses -5,015 -2,103

Impairment losses on nancial assets total -2,518 -3,018

During the ﬁnancial year, EUR -5,015 (-2,103) thousand was recognised as ﬁnal credit loss. Recollection

measures are attributed to the whole amount of credit losses. The partial sale of collection portfolio

decreased the level of expected credit losses.

Changes in expected credit loss (ECL) during the ﬁnancial period are presented in the tables below.

Stage 1 represents ﬁnancial instruments whose credit risk has not increased signiﬁcantly since the

initial recognition. Expected credit losses are determined for such ﬁnancial instruments based on

expected loan losses for 12 months. Stage 2 represents ﬁnancial instruments whose credit risk has

increased signiﬁcantly after the initial recognition on the basis of qualitative or quantitative crite-

ria and, for stage 3, ﬁnancial instruments whose counterparty has been declared as default. Expected

credit losses are determined for ﬁnancial instruments classiﬁed in Stage 2 and 3 based on the expected

credit losses over the entire life of the instrument.

The principles for calculating expected credit losses and determining the probability of default are pre-

sented in IFRS ﬁnancial statements of the Bonum Bank, Note 1 Accounting policies.

Receivables from customers

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2025 1,451 131 6,001 7,583

Transfers to stage 1 14 -37 -344 -367

Transfers to stage 2 -34 42 -17 -9

Transfers to stage 3 -107 -34 2,212 2,071

Increases due to origination 539 24 366 929

Decreases due to derecognition -499 -37 -4,410 -4,947

Changes due to change in credit risk (net) -134 -8 4,996 4,854

Decreases due to write-offs - - -4,991 -4,991

Total -222 -49 -2,188 -2,459

ECL 31 Dec 2025

1,229 82 3,813 5,124

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 60

Off-balance sheet commitments

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2025 284 31 70 386

Transfers to stage 1 3 -22 -28 -47

Transfers to stage 2

-1 4 0 3

Transfers to stage 3

-2 0 20 17

Increases due to origination

88 29 20 137

Decreases due to derecognition

-1 0 -1 -2

Changes due to change in credit risk (net) -132 -4 -3 -139

Total -46 6 9 -30

ECL 31 Dec 2025 238 38 79 355

Debt securities

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2025 39 - - 39

Increases due to origination 4 - - 4

Decreases due to derecognition -7 - - -7

Changes due to change in credit risk (net) -5 - - -5

Total -8 - - -8

ECL 31 Dec 2025 32 - - 32

ECL 1 Jan 2025 1,775 162 6,071 8,008

ECL 31 Dec 2025 1,499 119 3,892 5,511

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 61

Receivables from customers

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2024 1,667 168 4,884 6,720

Transfers to stage 1 10 -30 -251 -271

Transfers to stage 2 -48 54 -41 -35

Transfers to stage 3 -185 -58 3,268 3,025

Increases due to origination 625 62 774 1,461

Decreases due to derecognition -458 -64 -2,637 -3,159

Changes due to change in credit risk (net) -160 -2 3,663 3,501

Decreases due to write-offs - - -3,658 -3,658

Total -216 -37 1,117 863

ECL 31 Dec 2024

1,451 131 6,001 7,583

Off-balance sheet commitments

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2024 194 42 70 306

Transfers to stage 1 7 -30 -31 -53

Transfers to stage 2

-1 8 -1 5

Transfers to stage 3

-1 -1 15 13

Increases due to origination

84 18 25 126

Decreases due to derecognition

-4 -1 -1 -6

Changes due to change in credit risk (net) 4 -4 -6 -5

Total 90 -11 0 80

ECL 31 Dec 2024 284 31 70 386

Debt securities

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

ECL 1 Jan 2024 68 - - 68

Increases due to origination 5 - - 5

Decreases due to derecognition -10 - - -10

Changes due to change in credit risk (net) -24 - - -24

Total -28 - - -29

ECL 31 Dec 2024 40 - - 39

ECL 1 Jan 2024 1,929 211 4,954 7,094

ECL 31 Dec 2024 1,775 162 6,071 8,008

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 62

Credit risk by stages 31 Dec 2025

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

Receivables from customers

Private 143,515 2,487 9,569 155,570

Corporate 39,518 259 100 39,876

Receivables from customers total 183,032 2,745 9,669 195,447

ECL 31 Dec 2025 1,229 82 3,813 5,124

Coverage ratio 0.7% 3.0% 39.4% 2.6%

Off-balance sheet commitments

Private 194,543 1,074 640 196,258

Corporate 8,401 49 27 8,476

Off-balance sheet commitments total 202,944 1,123 667 204,734

ECL 31 Dec 2025 238 38 79 355

Coverage ratio 0.1% 3.4% 11.8% 0.2%

Debt securities 214,268 - - 214,268

ECL 31 Dec 2025 32 - - 32

Coverage ratio 0.0% - - 0.0%

Credit risk by stages total 600,245 3,868 10,336 614,449

The table above summarizes the exposure to credit risk and the amount of the expected credit loss

in relation to the amount of the exposure in stages. The coverage ratio illustrates the relative share of

the ECL in the amount of exposure. There were no signiﬁcant changes in the coverage ratio during the

period.

Credit risk by stages 31 Dec 2024

(EUR 1,000) Stage 1 Stage 2 Stage 3 Total

Receivables from customers

Private 149,277 3,939 15,168 168,384

Corporate 36,467 240 71 36,779

Receivables from customers total 185,744 4,179 15,239 205,162

ECL 31 Dec 2024 1,451 131 6,001 7,583

Coverage ratio 0.8% 3.1% 39.4% 3.7%

Off-balance sheet commitments

Private 176,418 967 472 177,857

Corporate 7,252 41 22 7,315

Off-balance sheet commitments total 183,669 1,008 495 185,172

ECL 31 Dec 2024 284 31 70 386

Coverage ratio 0.2% 3.1% 14.2% 0.2%

Debt securities 217,523 - - 217,523

ECL 31 Dec 2024 40 - - 39

Coverage ratio 0.0% 0.0% 0.0% 0.0%

Credit risk by stages total 586,937 5,187 15,734 607,858

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 63

NOTE 15 LIQUID ASSETS

NOTE 16 LOANS AND ADVANCES

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Receivables from central banks repayable on demand 375,583 558,332

Total cash and cash equivalents 375,583 558,332

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Loans and advances to credit institutions

Deposits

Repayable on demand 371,466 450,697

Other 590,730 570,000

Total loans and advances to credit institutions 962,196 1,020,697

Loans and advances to customers

Loans 131,696 140,898

Credit card receivables 58,601 56,656

Other receivables 25 26

Total loans and advances to customers 190,322 197,579

Total loans and advances 1,152,518 1,218,276

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 64

NOTE 17 INVESTMENTS ASSETS

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Measured at amortised cost

Debt securities 172,778 148,758

At fair value through other comprehensive income

Debt securities 41,464 68,741

Shares and participations 1,323 1,191

Investment assets total 215,566 218,689

(EUR 1,000)

At amortised cost

At fair value through other comprehensive

income

Debt securities Debt securities

Shares and

participations Total

Quoted

Public sector entities - 2,022 - 2,022

Other 172,778 39,443 - 212,221

Other

Other - - 1,323 1,323

Total investments 172,778 41,464 1,323 215,566

(EUR 1,000)

At amortised cost

At fair value through other comprehensive

income

Debt securities Debt securities

Shares and

participations Total

Quoted

Public sector entities - 16,911 - 16,911

Other 148,758 51,830 - 200,588

Other

Other - - 1,191 1,191

Total investments 148,758 68,741 1,191 218,689

Investments 31 Dec 2025

Investments 31 Dec 2024

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 65

NOTE 18 INTANGIBLE ASSETS

Bonum Bank’s intangible assets are information systems over which Bonum Bank has control as

referred to in IAS 38 Intangible assets. The information systems are implemented by POP Bank Group’s

partners of which the most important is Samlink Ltd.

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Information systems 64 108

Total intangible assets 64 108

(EUR 1,000)

Other long-term

expenditures Total

Acquisition cost 1 Jan 6,431 6,431

Acquisition cost 31 Dec 6,431 6,431

Accumulated amortisation and impairments 1 Jan -6,323 -6,323

Amortisation -45 -45

Accumulated amortisation and impairments 31 Dec -6,368 -6,368

Carrying amount 1 Jan 108 108

Carrying amount 31 Dec 64 64

(EUR 1,000)

Other long-term

expenditures Total

Acquisition cost 1 Jan 6,431 6,431

Acquisition cost 31 Dec 6,431 6,431

Accumulated amortisation and impairments 1 Jan -6,102 -6,122

Amortisation -221 -221

Accumulated amortisation and impairments 31 Dec -6,323 -6,343

Carrying amount 1 Jan 329 329

Carrying amount 31 Dec 108 108

Changes in intangible assets 2025

Changes in intangible assets 2024

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 66

NOTE 19 PROPERTY, PLAN AND EQUIPMENT

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Machinery and equipment 32 25

Right-of-use assets 145 345

Total property, plant and equipment 177 370

(EUR 1,000) Right-of-use items

Machinery and

equipment Total

Acquisition cost 1 Jan 1,287 222 1,509

Increases 39 21 60

Acquisition cost 31 Dec 1,326 243 1,569

Accumulated depreciation

and impairment 1 Jan

-942 -197 -1,138

Depreciation -238 -15 -253

Accumulated depreciation

and impairment 31 Dec

-1,180 -212 -1,392

Carrying amount 1 Jan 345 25 370

Carrying amount 31 Dec 145 32 177

Changes in property, plant and equipment 2025

An itemisation of ﬁxed asset items is provided in Note 30.

Changes in property, plant and equipment 2024

(EUR 1,000) Right-of-use items

Machinery and

equipment Total

Acquisition cost 1 Jan 1,318 216 1,535

Increases 0 5 5

Decreases -32 - -32

Acquisition cost 31 Dec 1,287 222 1,540

Accumulated depreciation

and impairment 1 Jan

-708 -178 -886

Depreciation -234 -19 -252

Accumulated depreciation

and impairment 31 Dec

-942 -197 -1,138

Carrying amount 1 Jan 610 38 648

Carrying amount 31 Dec 345 25 370

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 67

NOTE 20 OTHER ASSETS

NOTE 21 DEFERRED TAXES

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Accrued income and prepaid expenses

Interest 16,131 16,938

Other accrued income and prepaid expenses 6,453 6,754

Other assets 7,887 8,301

Total other assets 30,471 31,992

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Tax assets

Deferred tax assets 23 102

Income tax receivables - 245

Total tax assets 23 347

Tax liabilities

Deferred tax liabilities 235 257

Income tax liabilities 68 -

Total tax liabilities 304 257

(EUR 1,000) 1 Jan 2024

Recognised

through prot or

loss

Recognised

in other

comprehensive

income 31 Dec 2024

At fair value through other

comprehensive income

93 - -73 20

Deferred tax assets on losses 9 -6 - 3

Deferred tax assets total 102 -6 -73 23

(EUR 1,000) 1 Jan 2023

Recognised

through prot or

loss

Recognised

in other

comprehensive

income 31 Dec 2023

At fair value through other

comprehensive income

186 - -93 93

Deferred tax assets on losses 21 -12 - 9

Deferred tax assets total 207 -12 -93 102

Deferred tax assets

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 68

Deferred tax liabilities

(EUR 1,000) 1 Jan 2024

Recognised

through prot or

loss

Recognised

in other

comprehensive

income 31 Dec 2024

At fair value through other

comprehensive income

244 -2 -20 222

Intangible assets 13 - - 13

Deferred tax liabilities total 257 -2 -20 235

(EUR 1,000) 1 Jan 2023

Recognised

through prot or

loss

Recognised

in other

comprehensive

income 31 Dec 2023

At fair value through other

comprehensive income

172 - 71 244

Intangible assets 13 - - 13

Deferred tax liabilities total 186 - 71 257

(EUR 1,000) Gross change Deferred tax Net change

Fair value reserve 254 -51 203

Amounts recognised in other

comprehensive income, total

254 -51 203

(EUR 1,000) Gross change Deferred tax Net change

Fair value reserve 820 -164 656

Amounts recognised in other

comprehensive income, total

820 -164 656

Amounts recognised in other comprehensive income and related deferred taxes 2024

Amounts recognised in other comprehensive income and related deferred taxes 2023

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 69

NOTE 22 LIABILITIES TO CREDIT INSTITUTIONS AND CUSTOMERS

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Liabilities to credit institutions

To other credit institutions

Repayable on demand 325,911 321,365

Not repayable on demand 1,183,138 1,424,403

Change in fair value due to hedge accounting 4,540 14,099

Total liabilities to credit institutions 1,513,589 1,759,867

Liabilities to customers

Deposits

Repayable on demand 14,981 14,060

Total liabilities to customers 14,981 14,060

Total liabilities to credit institutions and customers 1,528,570 1,773,927

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 70

NOTE 23 DERIVATIVE CONTRACTS AND HEDGE ACCOUNTING

Bonum Bank uses interest rate swap agreements for interest rate hedging and hedge accounting

for fair value hedging. The hedged instruments have ﬁxed interest rate. The nominal value of the fair

value hedged instruments at the end of the reporting period was EUR 724,900 thousand. This item is

included in ‘Liabilities to credit institutions’. The nominal values of the derivative contracts match the

nominal values of the hedged instruments.

Derivatives and hedged items covered by hedge accounting

Hedging interest rate derivatives

Fair value 31 Dec 2025 Fair value 31 Dec 2024

(EUR 1,000) Assets Liabilities Assets Liabilities

Derivatives

Fair value hedging

7,883 3,435 14,771 1,050

Non hedging derivatives -

interest rate options

6,616 6,616 6,623 6,625

Non hedging derivatives -

interest rate swaps

3,565 3,565 1,000 999

Derivatives total 18,064 13,616 22,395 8,674

Hedge accounting

Effects of hedge accounting on ﬁnancial position and result

Fair value hedge

Interest rate risk 31 Dec 2025 Interest rate risk 31 Dec 2024

(EUR 1,000)

Carrying amount

of hedged

liabilities

of which accumu-

lated amount of

fair value hedge

adjustment

Carrying amount

of hedged

liabilities

of which accumu-

lated amount of

fair value hedge

adjustment

Micro hedge

Hedged deposits 729,440 4,540 736,081 11,181

Liabilities

729,440 4,540 736,081 11,181

*Hedged deposits are included in ‘Liabilities to credit institutions’

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 71

Proﬁts and losses from hedge accounting and hedge ineffectiveness

Interest rate risk

Fair value hedging

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Change in the fair value of the derivative contract -9,273 6,298

Change in the fair value of the hedged item 9,559 -5,930

Hedge ineffectiveness recognized in the income statement 287 368

Maturity proﬁle of the nominal amount of hedging interest rate risk

31 Dec 2025

Nominal value / Remaining maturity

(EUR 1,000)

Less than 1

year 1-5 years More than 5 years Total

Instruments hedging

interest rate risk

- 724,900 - 724,900

31 Dec 2025

Nominal value / Remaining maturity

(EUR 1,000)

Less than 1

year 1-5 years More than 5 years Total

Instruments hedging

interest rate risk

- 524,900 200,000 724,900

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 72

NOTE 24 DEBT SECURITIES TO THE PUBLIC

At the end of reporting period there are 3 pcs of Certiﬁcates of deposits, total nominal value EUR

14,000 (15,000) thousand, value EUR 4,000-5,000 thousand and average maturity 8.3 months.

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Debt securities issued to the public 149,964 169,926

Certicates of deposits 13,923 14,780

Total debt securities issued to the public 163,887 184,706

Debt securities issued to the public

Name Issue date Due date Interest

Nominal

(EUR 1,000) Currency

BONUM 22042027 22 Apr 2022 22 Apr 2027

EB 12 months +

1.25%

50,000 EUR

BONUM 19072028 19 Jul 2023 19 Jul 2028

EB 6 months +

1.11%

50,000 EUR

BONUM 17042027 10 Apr 2024 17 Apr 2027 EB 3 kk + 1.95 % 50,000 EUR

Amounts recognised in statement of cash ﬂows

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Balance 1 Jan 184,706 283,896

Debt securities issued, increase 6 49,958

Certicates of deposits, increase 13,774 37,010

Total increase 13,781 86,968

Debt securities issued, decrease -20,000 -135,000

Certicates of deposits, decrease -14,695 -50,526

Total decrease -34,695 -185,526

Total changes of cash ow -20,915 -98,558

Valuation 95 -632

Balance at the end of period 163,887 184,706

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 73

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Provision for expected credit loss 355 414

Other liabilities

Payment transfer liabilities 413 349

Rental liabilities, right of use items 151 355

Accrued expenses

Interest payable 16,603 18,165

Advances received 637 569

Other accrued expenses 4,370 2,573

Other

Liabilities on card transactions 8,674 8,850

Other 892 664

Total provisions and other liabilities 32,094 31,938

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Share capital 10,000 10,000

Fair value reserve

From measurement of equity instruments 821 714

From measurement of liability instruments 39 -57

Non-restricted reserves

Reserve for invested non-restricted equity 30,000 30,000

Retained earnings

Prot (loss) for previous nancial years 10,359 9,566

Prot (loss) for the period 2,776 784

Total equity 53,995 51,007

NOTE 25 PROVISIONS AND OTHER LIABLITIES

NOTE 26 EQUITY CAPITAL

Share capital

Share capital includes the paid share capital. Bonum Bank has a total of 1,400,000 shares, and one share

serie. 100 per cent of shares are own by POP Bank Centre Coop. There was no changes during the ﬁnancial

year.

Restricted reserves

Fair value reserve

The fair value reserve includes the cumulative net change in the fair value of equity securities meas-

ured at FVOCI and the cumulative net change in the fair value of debt securities measured at FVOCI.

The change in the fair value can be positive or negative. Cumulative gains and losses recognised in

OCI are transferred to retained earnings on disposal of an investment. An expected credit loss on

Lease liabilities are presented in Note 30.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 74

debt security is recognised in the income statement and added to the fair value reserve. The fair value

reserve also includes changes in the fair value of equity securities recognised in the fair value of com-

prehensive income, which are not transferred to retained earnings upon later disposal.

Non-restricted reserves

The reserve for invested non-restricted equity includes the portion of subscription price that is not rec-

ognised in share capital, as well as other equity investments which are not recognised in other reserves.

Retained earnings

Retained earnings are earnings accrued in previous ﬁnancial years that have not been transferred to

equity reserves or distributed to shareholders.

Speciﬁcation of changes in fair value reserve 1 Jan - 31 Dec 2025

(EUR 1,000)

Liability

instruments

Equity

instruments Total

Fair value reserve 1 Jan -57 714 1,992

Fair value change, increases 658 1,334 -1,711

Fair value change, decreases -510 -1,201 -19

Transferred from fair value reserve to the income

statement

-19 - -19

Expected credit loss -8 - -8

Deferred taxes -10 -205 -215

Fair value reserve 31 Dec 39 821 860

Speciﬁcation of changes in fair value reserve 1 Jan - 31 Dec 2024

(EUR 1,000)

Liability

instruments

Equity

instruments Total

Fair value reserve 1 Jan -526 527 1

Fair value change, increases 1,600 371 1,971

Fair value change, decreases -1,010 -137 -1,147

Transferred from fair value reserve to the income

statement

5 - 5

Expected credit loss -10 - -10

Deferred taxes -117 -47 -164

Fair value reserve 31 Dec -57 714 657

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 75

31 Dec 2025

Amounts which are not offset but are

subject to enforceable master netting

arrangements or similar agreements

(EUR 1,000)

Carrying

amount in

balance sheet,

gross

Carrying amount

in balance

sheet, net

Enforceable

master netting

arrangement

Cash held as

collateral

Net

amount

Assets

Derivatives

25,787 25,787 -10,333 -15,222 232

Total 25,787 25,787 -10,333 -15,222 232

Liabilities

Derivatives 13,616 13,616 -10,333 - 3,283

Total 13,616 13,616 -10,333 - 3,283

NOTE 27 OFFSETTING

Offsetting of ﬁnancial assets and liabilities

31 Dec 2024

Amounts which are not offset but are

subject to enforceable master netting

arrangements or similar agreements

(EUR 1,000)

Carrying

amount in

balance sheet,

gross

Carrying amount

in balance

sheet, net

Enforceable

master netting

arrangement

Cash held as

collateral

Net

amount

Assets

Derivatives

28,235 28,235 -3,133 -24,740 362

Total 28,235 28,235 -3,133 -24,740 362

Liabilities

Derivatives 8,998 8,998 -3,133 - 5,865

Total 8,998 8,998 -3,133 - 5,865

*Cash received as collateral EUR 16,250 thousand. Overcollaterisation is disregarded in offsetting

speciﬁcation.

The table above presents items that, in certain circumstances, can be settled on a net basis, even

though they are presented on a gross basis in the balance sheet. The netting arrangement is based on

a mutually enforceable general netting agreement (ISDA).

The total in the ”Net” column of the table does not equal the sum of the preceding columns due to dif-

ferences between the valuation and collateral review dates. The collateral is determined such that, at

the time of the review, the collateral received fully neutralises the counter-party risk.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 76

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Collaterals received

Debt securities 228,478 377,628

Derivative contracts 16,250 24,740

Collaterals received from banks of POP Bank Group 67,958 67,958

Total collaterals received 312,686 470,325

NOTE 28 COLLATERALS GIVEN AND RECEIVED

Collaterals received from banks of POP Bank Group are long-term money market deposits related to

the offering of central credit institution services and made by the banks in the POP Bank Group to the

Bonum Bank. The amount of deposit liabilities in relation to the balance sheet total is conﬁrmed annu-

ally.

NOTE 29 OFFBALANCE SHEET COMMITMENTS

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Loan commitments 204,734 185,172

Total off-balance sheet commitments 204,734 185,172

The expected credit losses of off-balance sheet commitments are presented in Note 14.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 77

NOTE 30 LEASING

Right-of-use assets 31 Dec 2025

(EUR 1,000) Ofce Buildings Total

Acquisition cost 1 Jan 1,279 1,279

Increases 39 39

Acquisition cost 31 Dec 1,317 1,317

Accumulated depreciation and impairment 1 Jan -934 -934

Accumulated depreciation on decreases and transfers 0 0

Depreciation -238 -238

Accumulated depreciation and impairment 31 Dec -1,172 -1,172

Carrying amount 1 Jan 345

Carrying amount 31 Dec 145

Right-of-use assets 31 Dec 2024

(EUR 1,000) Ofce Buildings Total

Acquisition cost 1 Jan 1,318 1,318

Acquisition cost 31 De 1,279 1,279

Accumulated depreciation and impairment 1 Jan -708 -708

Depreciation -234 -234

Accumulated depreciation and impairment 31 Dec -934 -934

Carrying amount 1 Jan 610

Carrying amount 31 Dec 345

Bonum Bank Plc as lessee

Bonum Bank Plc has leased mainly business premises.

(EUR 1,000) 31 Dec 2025 31 Dec 2024

Lease liabilities 1 Jan 355 616

Increases 39 -

Decreases -243 -262

Lease liabilities 31 Dec 151 355

Liabilities / Lease liabilities

Presented in other liabilities

Presented in Property, Plant and Equipment.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 78

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Depreciation

Ofce Buildings -243 -262

Total -243 -262

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Total cash outow for leases -253 -281

Amounts recognised in proﬁt of loss

Amounts recognised in statement of cash ﬂows

Presented in other operating expenses.

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Interest on lease liabilities -10 -20

(EUR 1,000) 1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Expenses relating to short-term leases -9 -9

Expenses relating to leases of low-value assets -87 -82

Total -96 -91

Presented in Depreciation, Amortisation and Impairment of Property, Plant and Equipment.

Presented in Net interest Income.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 79

NOTE 31 RELATED PARTY DISCLOSURES

The related parties of Bonum Bank comprise the members of the company’s Board of Directors and

Executive Group and members of their immediate families. In addition, related parties include Bonum

Bank’s parent entity POP Bank Centre Coop, as well as its managing director and deputy manag-

ing director. Furthermore, related parties include those entities over which key persons included in the

management and/or members of their immediate families have control or joint control. Key persons

included in the management comprise Bonum Bank’s Board of Directors, CEO and Executive Group. In

addition, key persons include POP Bank Centre Coop managing director and deputy managing director.

Also entities in the same group with Bonum Bank belong to the related parties.

In the ﬁnancial period 2025, Bonum Bank granted housing and consumption loans to related parties at

employee terms. These loans are tied to generally applied reference rates.

Key persons in management Other related parties

31 Dec 2025 31 Dec 2024 31 Dec 2025 31 Dec 2024

Assets

Loans 353 412 314 382

ECL -1 0 0 0

Liabilities

Deposits 3 7 59,922 35,951

Off-balance-sheet commitments

Loan commitments - - 8,000 8,000

Business transactions with related party key persons

Compensation to key persons in management

1 Jan - 31 Dec 2025 1 Jan - 31 Dec 2024

Short-term employee benets 1,369 1,142

Total 1,369 1,142

Compensation to CEO and members of the Board

(EUR 1,000)

Salaries and

remuneration

Ali-Tolppa Pia, CEO 294

Pulli Jaakko, Chairman of the Board 36

Linna Hanna, Vice Chairman of the Board 27

Lähteenmäki Ilkka, Member of the Board 25

Kirsi Salo, Member of the Board 25

Total 406

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 80

NOTE 32 EVENTS AFTER THE CLOSING DATE

Bonum Bank’s Board of Directors is not aware of other events having taken place after the closing date

that would have a material impact on the information presented in the ﬁnancial statements.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 81

SIGNATURES

The ﬁnancial statements prepared in compliance with the applicable ﬁnancial statement framework

give a true and fair view of Bonum Bank’s assets, liabilities, ﬁnancial position, and proﬁt or loss.

The Board of Directors’ report contains an account giving a true view of the business development and

performance of the Bonum Bank, as well as a description of the most signiﬁcant risks, uncertainties,

and other relevant aspects of the company’s status.

Espoo 13 February 2026

Board of Directors of Bonum Bank Plc

Jaakko Pulli

Chairman of the Board

Pia Ali-Tolppa

CEO

Ilkka Lähteenmäki Kirsi Salo

Hanna Linna

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 82

Auditor’s note

A report on the audit performed has been issued today.

Helsinki 13 February, 2026

KPMG Oy Ab

Audit Firm

Henrik Snellman

Authorised Public Accountant, APA

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 83

To the Annual General Meeting of Bonum Bank Plc

Report on the Audit of the Financial

Statements

Opinion

We have audited the ﬁnancial statements of

Bonum Bank Plc (business identity code 2192977-

5) for the year ended 31 December 2025. The

ﬁnancial statements comprise the balance sheet,

income statement, statement of comprehensive

income, statement of changes in equity, state-

ment of cash ﬂows and notes, including material

accounting policy information.

In our opinion the ﬁnancial statements give a true

and fair view of the bank´s ﬁnancial performance,

ﬁnancial position and cash ﬂows in accordance

with IFRS Accounting Standards as adopted by

the EU and comply with statutory requirements.

Our opinion is consistent with the additional

report submitted to the Board of Directors.

Basis for Opinion

We conducted our audit in accordance with

good auditing practice in Finland. Our responsi-

bilities under good auditing practice are further

described in the Auditor’s Responsibilities for the

Audit of the Financial Statements section of our

report.

We are independent of the company in accord-

ance with the ethical requirements that are appli-

cable in Finland and are relevant to our audit, and

we have fulﬁlled our other ethical responsibilities

in accordance with these requirements.

We have not provided any non-audit services to

the bank.

AUDITOR’S REPORT

We believe that the audit evidence we have

obtained is sufﬁcient and appropriate to provide a

basis for our opinion.

Materiality

The scope of our audit was inﬂuenced by our

application of materiality. The materiality is

determined based on our professional judge-

ment and is used to determine the nature, timing

and extent of our audit procedures and to eval-

uate the effect of identiﬁed misstatements on

the ﬁnancial statements as a whole. The level of

materiality we set is based on our assessment of

the magnitude of misstatements that, individually

or in aggregate, could reasonably be expected to

have inﬂuence on the economic decisions of the

users of the ﬁnancial statements. We have also

taken into account misstatements and/or possible

misstatements that in our opinion are material for

qualitative reasons for the users of the ﬁnancial

statements.

Key Audit Matters

Key audit matters are those matters that, in our

professional judgment, were of most signiﬁcance

in our audit of the ﬁnancial statements of the

current period. These matters were addressed in

the context of our audit of the ﬁnancial state-

ments as a whole, and in forming our opinion

thereon, and we do not provide a separate opinion

on these matters. The signiﬁcant risks of material

misstatement referred to in the EU Regulation No

537/2014 point (c) of Article 10(2) are included in

the description of key audit matters below.

We have also addressed the risk of management

override of internal controls. This includes consid-

eration of whether there was evidence of man-

agement bias that represented a risk of material

misstatement due to fraud.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 84

The key audit matter

How the matter was addressed in the

audit

Loans and receivables from customers (notes 2, 12, 13, 14 and 16 to ﬁnancial statements)

● Loans and receivables from customers

amounted to EUR 190 million. Interest and

fee and commission income on receivables

from customers represent a signiﬁcant

part of Bonum Bank’s revenue.

● The calculation of expected credit losses

in accordance with IFRS 9 Financial Instru-

ments is based on the valuation models

used by the POP Bank Group and on

expert estimates. The calculation involves

assumptions, estimates and management

judgement, in particular regarding the

probability of expected credit losses and

the determination of signiﬁcant increases

in credit risk.

● The components of the expected loss

calculation are updated and reﬁned based

on actual credit risk developments, the

development of the calculation process,

and regulatory changes and requirements.

● Due to the signiﬁcance of the carrying

amount of receivables involved, the com-

plexity of the calculation methods used

and management judgement, the valua-

tion of receivables is addressed as a key

audit matter.

● We evaluated compliance with lending

guidelines, credit risk management, and

policies and controls for recording and

monitoring receivables.

● We gained understanding of the control

environment for outsourced process ele-

ments based on ISAE 3402 reports.

● We assessed the models and underlying

key assumptions for calculating expected

credit losses, as well as tested the controls

over the calculation process and credit risk

models for expected credit losses.

● We involved our own IFRS and ﬁnancial

instruments specialists.

● Furthermore, we considered the appropri-

ateness of the notes in respect of receiva-

bles and expected credit losses.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 85

The key audit matter

How the matter was addressed in the

audit

Investments assets and derivative instruments (Accounting policies and notes 3, 5, 13, 14,

17 and 23 to ﬁnancial statements)

● The carrying amount of investments

assets totals EUR 216 million mainly

consisting of investments measured at

fair value. The derivative assets amounted

to EUR 18 million and derivative liabilities

EUR 14 million comprising contracts held

hedging purposes. Derivatives are meas-

ured at fair value in ﬁnancial statements.

● The fair value of ﬁnancial instruments is

determined using either prices quoted in

an active market or POP Bank Group’s own

valuation techniques where no active mar-

ket exists. Determining fair values involves

management judgements, especially in

respect of those instruments for which

market-based data is not available.

● As the valuation of investments assets

and derivative positions involves manage-

ment judgement and the hedge account-

ing process includes many calculations

steps, the measurement and accounting

treatment of these items is addressed as a

key audit matter.

● We evaluated the appropriateness of the

accounting principles applied and the

valuation techniques used by Bonum Bank

Plc.

● Our audit procedures included, among

others, testing controls over the measure-

ment process for ﬁnancial assets carried

at fair value.

● As part of our year-end audit procedures,

we compared the fair values used in

measurement of investments assets with

external price references.

● KPMG IFRS and ﬁnancial instruments

specialists were involved in the audit.

● Finally, we considered the appropriateness

of the notes on investments assets and

derivatives.

Responsibilities of the Board of Directors

and the Managing Director for the Financial

Statements

The Board of Directors and the Managing Direc-

tor are responsible for the preparation of ﬁnan-

cial statements that give a true and fair view

in accordance with IFRS Accounting Standards

as adopted by the EU, and that ﬁnancial state-

ments comply with statutory requirements. The

Board of Directors and the Managing Director are

also responsible for such internal control as they

determine is necessary to enable the preparation

of ﬁnancial statements that are free from mate-

rial misstatement, whether due to fraud or error.

In preparing the ﬁnancial statements, the Board

of Directors and the Managing Director are

responsible for assessing the company’s ability to

continue as a going concern, disclosing, as appli-

cable, matters relating to going concern and using

the going concern basis of accounting. The ﬁnan-

cial statements are prepared using the going con-

cern basis of accounting unless there is an inten-

tion to liquidate the company or cease operations,

or there is no realistic alternative but to do so.

Auditor’s Responsibilities for the Audit of

the Financial Statements

Our objectives are to obtain reasonable assur-

ance about whether the ﬁnancial statements

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 86

as a whole are free from material misstatement,

whether due to fraud or error, and to issue an

auditor’s report that includes our opinion. Rea-

sonable assurance is a high level of assurance

but is not a guarantee that an audit conducted

in accordance with good auditing practice will

always detect a material misstatement when it

exists. Misstatements can arise from fraud or error

and are considered material if, individually or in

the aggregate, they could reasonably be expected

to inﬂuence the economic decisions of users

taken on the basis of the ﬁnancial statements.

As part of an audit in accordance with good

auditing practice, we exercise professional judg-

ment and maintain professional skepticism

throughout the audit. We also:

● Identify and assess the risks of material

misstatement of the ﬁnancial statements,

whether due to fraud or error, design and

perform audit procedures responsive to

those risks, and obtain audit evidence that is

sufﬁcient and appropriate to provide a basis

for our opinion. The risk of not detecting a

material misstatement resulting from fraud

is higher than for one resulting from error, as

fraud may involve collusion, forgery, inten-

tional omissions, misrepresentations, or the

override of internal control.

● Obtain an understanding of internal control

relevant to the audit in order to design

audit procedures that are appropriate in the

circumstances, but not for the purpose of

expressing an opinion on the effectiveness of

the company’s internal control.

● Evaluate the appropriateness of accounting

policies used and the reasonableness of

accounting estimates and related disclosures

made by management.

● Conclude on the appropriateness of the

Board of Directors’ and the Managing

Director’s use of the going concern basis of

accounting and based on the audit evidence

obtained, whether a material uncertainty

exists related to events or conditions that

may cast signiﬁcant doubt on the company’s

ability to continue as a going concern. If we

conclude that a material uncertainty exists,

we are required to draw attention in our

auditor’s report to the related disclosures in

the ﬁnancial statements or, if such disclo-

sures are inadequate, to modify our opinion.

Our conclusions are based on the audit evi-

dence obtained up to the date of our auditor’s

report. However, future events or conditions

may cause the company to cease to continue

as a going concern.

● Evaluate the overall presentation, structure

and content of the ﬁnancial statements,

including the disclosures, and whether the

ﬁnancial statements represent the underlying

transactions and events so that the ﬁnancial

statements give a true and fair view.

We communicate with those charged with gov-

ernance regarding, among other matters, the

planned scope and timing of the audit and sig-

niﬁcant audit ﬁndings, including any signiﬁcant

deﬁciencies in internal control that we identify

during our audit.

We also provide those charged with governance

with a statement that we have complied with rel-

evant ethical requirements regarding independ-

ence, and communicate with them all relation-

ships and other matters that may reasonably be

thought to bear on our independence, and where

applicable, related safeguards.

From the matters communicated with those

charged with governance, we determine those

matters that were of most signiﬁcance in the

audit of the ﬁnancial statements of the current

period and are therefore the key audit matters.

We describe these matters in our auditor’s report

unless law or regulation precludes public dis-

closure about the matter or when, in extremely

rare circumstances, we determine that a mat-

ter should not be communicated in our report

because the adverse consequences of doing so

would reasonably be expected to outweigh the

public interest beneﬁts of such communication.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 87

Other Reporting Requirements

Information on our audit engagement

We were ﬁrst appointed as auditors by the

shareholders’ meeting on 27 June 2013, and our

appointment represents a total period of uninter-

rupted engagement of 13 years.

Other Information

The Board of Directors and the Managing Direc-

tor are responsible for the other information. The

other information comprises the report of the

Board of Directors.

Our opinion on the ﬁnancial statements does not

cover the other information.

In connection with our audit of the ﬁnancial

statements, our responsibility is to read the other

information and, in doing so, consider whether

the other information is materially inconsistent

with the ﬁnancial statements or our knowledge

obtained in the audit, or otherwise appears to

be materially misstated. Our responsibility also

includes considering whether the report of the

Board of Directors has been prepared in compli-

ance with the applicable provisions.

In our opinion, the information in the report of the

Board of Directors is consistent with the informa-

tion in the ﬁnancial statements and the report of

the Board of Directors has been prepared in com-

pliance with the applicable provisions.

If, based on the work we have performed, we con-

clude that there is a material misstatement of the

report of the Board of Directors, we are required

to report that fact. We have nothing to report in

this regard.

Helsinki 13 February 2026

KPMG OY AB

Audit Firm

Henrik Snellman

Authorised Public Accountant, APA

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 88

Translation of the Finnish original

To the Board of Directors of Bonum Bank Plc

We have performed a reasonable assur-

ance engagement on the ﬁnancial statements

743700RFAN8QA5JFA150-2025-12-31-0-ﬁ.html

of Bonum Bank Plc (Business ID 2192977-5) that

have been prepared in accordance with the Com-

mission’s regulatory technical standard for the

ﬁnancial year ended 31.12.2025.

Responsibilities of the Board of Directors

and the Managing Director

The Board of Directors and the Managing Director

are responsible for the preparation of the compa-

ny’s report of the Board of Directors and ﬁnancial

statements (the ESEF ﬁnancial statements) in

such a way that they comply with the require-

ments of the Commission’s regulatory technical

standard. This responsibility includes:

● preparing the ESEF ﬁnancial statements in

XHTML format in accordance with Article

3 of the Commission’s regulatory technical

standard and

● ensuring the consistency between the ESEF

ﬁnancial statements and the audited ﬁnan-

cial statements.

The Board of Directors and the Managing Director

are also responsible for such internal control as

they determine is necessary to enable the prepa-

ration of ESEF ﬁnancial statements in accordance

with the requirements of the Commission’s regu-

latory technical standard.

Auditor’s independence and quality

management

We are independent of the company in accord-

ance with the ethical requirements that are

applicable in Finland and are relevant to the

INDEPENDENT AUDITOR’S REPORT ON THE ESEF FINANCIAL STATEMENTS

OF BONUM BANK PLC

engagement we have performed, and we have

fulﬁlled our other ethical responsibilities in

accordance with these requirements.

The auditor applies International Standard on

Quality Management (ISQM) 1, which requires the

ﬁrm to design, implement and operate a sys-

tem of quality management including policies or

procedures regarding compliance with ethical

requirements, professional standards and appli-

cable legal and regulatory requirements.

Auditor’s responsibilities

Our responsibility is to, in accordance with Chapter

7, Section 8 of the Securities Markets Act, provide

assurance on the ﬁnancial statements that have

been prepared in accordance with the Commis-

sion’s regulatory technical standard.

Our responsibility is to indicate in our opinion to

what extent the assurance has been provided. We

conducted a reasonable assurance engagement in

accordance with International Standard on Assur-

ance Engagements (ISAE) 3000.

The engagement includes procedures to obtain

evidence on:

● whether the ﬁnancial statements that are

included in the ESEF ﬁnancial statements are,

in all material respects, in accordance with the

requirements of Article 4 of the Commission’s

regulatory technical standard and

● whether there is consistency between the

ESEF ﬁnancial statements and the audited

ﬁnancial statements.

The nature, timing and extent of the selected pro-

cedures depend on the auditor’s judgment. This

includes an assessment of the risk of a material

deviation due to fraud or error from the require-

ments of the Commission’s regulatory technical

standard.

Bonum Bank Plc’s Board of directors’ report and

ﬁnancial statements 1 January - 31 December 2025 FINANCIAL STATEMENT 89

We believe that the evidence we have obtained is

sufﬁcient and appropriate to provide a basis for

our opinion.

Opinion

Our opinion pursuant to Chapter 7, Section 8 of

the Securities Markets Act is that the compa-

ny’s ﬁnancial statements that are included in the

ESEF ﬁnancial statements of Bonum Bank Plc

743700RFAN8QA5JFA150-2025-12-31-0-ﬁ.html

for the ﬁnancial year ended 31.12.2025 have been

prepared, in all material respects, in accordance

with the requirements of the Commission’s regu-

latory technical standard.

Our opinion on the audit of the ﬁnancial state-

ments of Bonum Bank Plc for the ﬁnancial year

ended 31.12.2025 has been expressed in our

auditor’s report dated 13.2.2026. With this report

we do not express an opinion on the audit of the

ﬁnancial statements nor express another assur-

ance conclusion.

Helsinki 12 March 2026

KPMG OY AB

Audit Firm

Henrik Snellman

Authorised Public Accountant, APA