MOSCOW — 28 November 2024.
IPJSC T-Technologies (MOEX: T) announces its consolidated IFRS financial results for the three and nine months ended 30 September 2024.

• The Group’s total revenue for 3Q’24 more than doubled to RUB 264.4 bn (3Q’23: RUB 128.0 bn)
• Net profit in 3Q’24 increased by 60% to RUB 37.8 bn (3Q’23: RUB 23.6 bn)
• Total customers rose 21% to 45.7 mn (3Q’23: 37.6 mn)
• Return on equity in 3Q’24 was 37.8%
• T-Technologies’ shares began trading on Moscow Exchange under the new ticker T — the first one-letter stock ticker in Russia

The head of Group, Stanislav Bliznyuk, said:

«Today, our shares became available to investors through every brokerage app under the new ticker T. Together with the Group’s name change to T-Technologies, this development completes the transformation of our brand, which is now fully in line with our strategic focus on the development of tech products and innovations in our businesses. We continue to invest in our IT infrastructure to drive accelerated growth, including building our own network of data centres and a conceptual update for one of our key assets, the super app, that leverages AI technologies, while consistently maintaining a high level of operational efficiency.

We are publishing the Group’s consolidated financial results with the inclusion of Rosbank for the first time. As promised, our return on equity (ROE) did not decrease but rather grew quarter-on-quarter despite an additional share issue for future growth. As a result of the acquisition, we have the necessary capital for further sustainable growth, which we intend to utilize with a return of no less than 30%. Rosbank’s integration will be completed in January 2025, unlocking even more opportunities for efficient capital management next year.

Including Rosbank, the Group’s total number of active customers reached 33 million in the reporting period. At the same time, their transaction activity has been steadily growing, with total turnover from purchases in 9M 2024 increasing by 41% year-on-year to RUB 6.3 trillion.

With the inclusion of Rosbank, we demonstrated solid growth in our key financial metrics in 3Q 2024 amid an increase in the key rate, highlighting the resilience of our business model to macroeconomic changes. T-Technologies’ total revenue more than doubled year-on-year to RUB 264.4 billion, half of which came from non-credit business streams. The Group’s net profit in the third quarter compared to the previous quarter accelerated year-on-year growth by 60%, reaching RUB 37.8 billion, with only a minimal one-off impact from the acquisition of Rosbank. Return on equity was 37.8%, a considerable improvement compared with the previous quarter.

In the first nine months of 2024, the Group’s net profit including Rosbank rose 39% year-on-year to RUB 83.5 billion, while return on equity was 32.7%. We expect the Group’s net profit including Rosbank’s contribution to grow by more than 40% for the entire year».

1. KEY OPERATING METRICS

T Ecosystem	3Q 2024	3Q 2023	∆	2Q 2024	∆
Total customers, mn	45.7	37.6	21%	44.0	4%
Active customers, mn	31.4	26.0	21%	30.4	3%
Monthly active users (MAU), mn	31.0	26.4	18%	30.3	2%
Daily active users (DAU), mn	14.2	11.6	23%	14.1	1%

2. OVERVIEW OF FINANCIAL AND OPERATING PERFORMANCE

RUB bn	3Q 2024	3Q 2023	∆	2Q 2024	∆	9M 2024	9M 2023	∆
Interest income	193.6	78.4	2.5x	132.6	46%	439.7	206.5	2.1x
Interest expense	-86.8	-15.2	5.7x	-52.5	65%	-177.6	-40.4	4.4x
Net interest income	103.7	61.8	68%	77.7	33%	254.6	162.2	57%
Net interest income after provisions	61.7	48.1	28%	54.8	13%	168.5	125.2	35%
Fee and commission income	49.6	34.2	45%	42.2	18%	126.0	91.2	38%
Fee and commission expense	-20.1	-15.4	31%	-18.1	11%	-54.1	-39.3	38%
Net fee and commission income	29.5	18.8	57%	24.0	23%	71.9	51.9	39%
Total operating expenses	-74.8	-50.4	49%	-59.8	25%	-189.6	-136.1	39%
Profit before tax	46.2	29.9	54%	29.6	56%	104.1	76.0	37%
Net profit	37.8	23.6	60%	23.5	61%	83.5	60.2	39%

Ratios	3Q 2024	3Q 2023	∆	2Q 2024	∆	9M 2024	9M 2023	∆
Return on equity	37.8%	37.8%	0 p.p.	32.7%	5.1 p.p.	32.7%	34.7%	-2 p.p.
Net interest margin	11.5%	14.6%	-3.1 p.p.	12.5%	-1 p.p.	11.8%	13.5%	-1.7 p.p.
Cost of risk	8.2%	6.2%	2 p.p.	7.5%	0.7 p.p.	7.3%	6.2%	1.1 p.p.

RUB bn	30 Sep 2024	30 Jun 2024	∆	31 Dec 2023	∆	30 Sep 2023	∆
Total assets	4,967	2,884	72.3%	2,270	2.2x	1,917	2.6x
Net loans and advances to customers	2,597	1,190	2.2x	972	2.7x	888	2.9x
Cash and treasury portfolio	1,267	924	37.1%	724	75.0%	465	2.7x
Total liabilities	4,464	2,588	72.5%	1,986	2.2x	1,657	2.7x
Customer accounts	3,905	2,292	70.4%	1,713	2.3x	1,381	2.8x
Total equity	503	296	70.1%	284	77.2%	260	93.2%

Ratios	30 Sep 2024	30 Jun 2024	∆	31 Dec 2023	∆	30 Sep 2023	∆
Share of NPLs	5.4%	9.4%	-4.0 p.p.	9.5%	-4.1 p.p.	9.7%	-4.3 p.p.
Tier 1 capital ratio	13.1%	14.3%	-1.2 p.p.	16.9%	-3.8 p.p.	18.0%	-4.9 p.p.
Total capital ratio	13.1%	14.3%	-1.2 p.p.	16.9%	-3.8 p.p.	18.0%	-4.9 p.p.

The number of active Group customers increased by 3% quarter-on-quarter and by 21% year-on-year to 31.4 mn. The total number of customers reached 45.7 mn.

Total customer purchases turnover rose 36% year-on-year to RUB 2.4 tn in 3Q. The GMV of our own transaction and lifestyle services (such as City and Travel) increased by 40% year-on-year to RUB 56 bn.

In 3Q’24, the Group’s total revenue more than doubled year-on-year to RUB 264.4 bn (3Q’23: RUB 128.0 bn). Gross interest income rose 2.5 times year-on-year to RUB 193.6 bn (3Q’23: RUB 78.4 bn) thanks to an increase in the loan portfolio and expansion of the customer base.

Gross yield on the loan portfolio reached 25.9% in 3Q’24 (3Q’23: 25.7%) amid changes in the structure of loan products. The interest yield on the Group’s securities portfolio increased to 9.1% (3Q’23: 6.3%) thanks to higher interest rates compared with the same period last year.

In 3Q’24, interest expense increased by 5.7 times year-on-year to RUB 86.8 bn (3Q’23: RUB 15.2 bn). The cost of borrowing rose from 4.3% in 3Q’23 to 10.7% in 3Q’24 on the back of a year-on-year increase in interest rates.

Net interest income in 3Q’24 rose 68% year-on-year to RUB 103.7 bn (3Q’23: RUB 61.8 bn).

Fee and commission income increased by 45% year-on-year to RUB 49.6 bn (3Q’23: RUB 34.2 bn). Net fee and commission income grew by 57% to RUB 29.5 bn (3Q’23: RUB 18.8 bn).

The cost of risk increased to 8.2% in 3Q’24, up from 6.2% in 3Q’23, due in part to the recognition of Day one provisions for Rosbank’s portfolio. Taking Rosbank’s portfolio into account, the normalised cost of risk was 5.7% for the quarter.

Net operating revenue rose 60% year-on-year to RUB 146 bn. The share of net revenue from retail lending was 45%, further evidence or the Group’s diversified business model.

As of the end of 3Q’24, the Group had:

• more than 24 mn active customers in the debit card and current account segment with total funds in current accounts and other deposits amounting to RUB 2.78 tn;
• 770,000 active customers in the SME segment with a total balance of RUB 396 bn in their accounts;
• 4.2 mn active T-Investments customers with total assets of RUB 1.2 tn in brokerage accounts.

In 3Q’24, the Group’s total operating expenses increased by 49% year-on-year to RUB 74.8 bn (3Q’23: RUB 50.4 bn), driven by expansion of the customer base, the acquisition and integration of Rosbank, and investments in IT platforms and talent.

The Group’s net profit in 3Q’24 rose 60%, reaching RUB 37.8 bn (3Q’23: RUB 23.6 bn). Return on equity was 37.8%, improving from 32.7% in 2Q’24 (3Q’23: 37.8%).

As of the end of 3Q’24, total assets had grown by 2.6 times year-on-year and by 72% quarter-on-quarter, reaching RUB 4,967 bn (30 Sep ’23: RUB 1,917 bn), due to the acquisition of Rosbank.

The Group’s net loan book increased by 2.9 times year-on-year and by 2.2 times quarter-on-quarter to RUB 2,597 bn (30 Sep ’23: RUB 888 bn). The Group’s gross loan book increased by 2.7 times to RUB 2,807 bn (30 Sep ’23: RUB 1,031 bn).

The Group’s NPL ratio in 3Q’24 was 5.4% (30 Sep ’23: 9.7%). The NPL coverage ratio was 1.4x.

The Group’s customer funds increased by 2.8 times to RUB 3,905 bn (30 Sep ’23: RUB 1,381 bn).

Total equity rose 93% to RUB 503 bn (30 Sep ’23: RUB 260 bn) due to the issuance of shares for the acquisition of Rosbank and growth in net profit.

The Group’s financial statements will be available on its website: https://t-technologies.ru and https://t-technologies.ru/results/.

For enquiries:

ir@t-technologies.ru

media@tbank.ru

The latest information on T-Technologies is available on the website https://t-technologies.ru/, as well as through T-Technologies’ official account on Pulse, the social network for investors, and its Telegram channel.

Important Legal Information

The information and statements contained or referred to in this announcement do not constitute or form part of, and should not be construed as, any public offer under any applicable legislation or an offer to sell or solicitation of any offer to buy any securities or financial instruments or any advice or recommendation with respect to such securities or other financial instruments. The distribution of this document in certain jurisdictions may be restricted by law. Recipients are required by the Group to inform themselves about and to observe any such restrictions. No liability to any person is accepted in relation to the distribution or possession of this document in any jurisdiction.

Forward-looking statements

Some of the information in this announcement may contain projections or other forward-looking statements regarding future events or the future financial performance of the Group and Tinkoff Bank. You can identify forward-looking statements by terms such as «expect», «believe», «anticipate», «estimate», «intend», «will», «could», «may» or «might», the negative of such terms or other similar expressions. The Group and Tinkoff Bank wish to caution you that these statements are only predictions and that actual events or results may differ materially. The Group and Tinkoff Bank do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in projections or forward-looking statements of the Group and Tinkoff Bank, including, among others, general economic conditions, the competitive environment, risks associated with operating in Russia, rapid technological and market change in the industries the Group operates in, as well as many other risks specifically related to the Group, Tinkoff Bank and their respective operations.

About T-Technologies

T-Technologies is a technology company that is developing an ecosystem of financial and lifestyle services. Branchless since its inception in 2006, company developed a full range of in-house proprietary technology solutions and services, including digital banking, brokerage, acquiring and other merchant solutions, insurance, SME banking and much more.