Banco Santander-Chile Q1 FY2026 earnings call

• Strategy pillars: Think customer (offer best value proposition, grow active customers, increase transactionality, deepen loyalty), think global (accelerate digital transformation through global platforms and AI-enabled models), think value (translate customer franchise and efficient model into stable profitability). - Business lines: Regional and commercial, corporate and investment banking, work management and insurance, consumer banking, GetNet. - Financial performance: Stable loan evolution, total deposit increase, net interest income growth, total fees and fee-plus financial transactions growth, efficiency ratio of 32.5%, recurrence ratio nearly 69%. - Awards: First Chilean bank included in the Dow Jones Best in Trust World Index.

Regional and commercial is the core of the franchise, representing 66% of loans, 48% of deposits, and 69% of margin. Consumer lending shows resilience, particularly in auto loans and credit cards. Total fees increased 4.5% year-on-year, while fee-plus financial transactions grew over 9%. The cost of risk reached 1.55%, mainly driven by a one-off provisioning event in the commercial portfolio. Underlying trends remain stable with MPLs and impaired loan ratios showing only moderate increases. The BIS ratio is 16.4%, well above regulatory requirements, with a strong CET1 of 10.9% fully loaded. Risk-weighted assets composition is approximately 70% from credit risk, 19% from market risk, and 11% from operational risk.

Initial targets included U.S. variation of around 2.9% for the year, GDP growth of 2.4%, mid-single digit loan growth, NIMS of around 4%, non-interest income growth in mid-to-high single digits, efficiency ratio in mid-30s, cost of risks of around 1.3 and ROE between 22 and 24. Higher inflation creates upward pressure on interest income and NIMS, but macro environment might pressure portfolio growth or risks. Current environment supportive for top-line trends and returns but uncertainty makes precise numerical update cautious, directionally above initial targets.

• Geopolitical shock in Middle East affecting energy markets, leading to higher oil prices, imported inflation, less supportive external environment for monetary easing, elevated long-term rates and high global uncertainty. - Potential adverse scenarios for Chilean economy like supply disruptions persisting, infrastructure damage being permanent. - Concerns about inflation translating into pressure on credit quality, especially in mortgage and agriculture portfolios.

Q: On guidance, timing of higher inflation impacts on credit quality and loan growth, competitive environment; A: Higher inflation impact on NIM in second quarter, loan growth expected in consumer and mortgage, competition in middle market and corporate.

Q: On tax reform update and NIMS sensitivity to rates; A: Tax reform proposal reduction in corporate tax rate, expected implementation timeline, NIMS sensitivity to inflation and monetary policy rate.

Q: On risk in corporate case and capital from CMF; A: Corporate case cost of risk impacted by one-off provisioning, CMF consultation on internal risk models may release capital.

Q: On asset quality and cost of risk evolution; A: Potential impact on mortgage and agriculture portfolios, cost of risk expected to normal in second quarter with reverse of first quarter impact.

Q: On loan growth expectations by segment and market share; A: Loan growth drivers in consumer, mortgage, middle market and corporate, efforts to regain market share in commercial portfolio