Original-Research: UmweltBank AG (von GBC AG): BUY

^

Original-Research: UmweltBank AG - from GBC AG

04.05.2026 / 10:00 CET/CEST

Dissemination of a Research, transmitted by EQS News - a service of EQS

Group.

The issuer is solely responsible for the content of this research. The

result of this research does not constitute investment advice or an

invitation to conclude certain stock exchange transactions.

---------------------------------------------------------------------------

Classification of GBC AG to UmweltBank AG

Company Name: UmweltBank AG

ISIN: DE0005570808

Reason for the research: Research Comment

Recommendation: BUY

Target price: EUR 9.00

Target price on sight of: 31.12.2026

Last rating change:

Analyst: Cosmin Filker, Marcel Goldmann

Q1 results largely in line with expectations; capital requirement reduced by

60 basis points, price target unchanged

In the first three months of 2026, UmweltBank AG reported a decline in net

interest income. This amounted to EUR12.53 million (previous year: EUR13.66

million). This consists of income from investments of retail customer

deposits (retail banking) as well as from lending (corporate banking). The

foundation for the retail banking business was further strengthened in the

first quarter of 2026 with an increase in customer deposits to EUR4,595

million (March 31, 2025: EUR3,930 million). The main driver of this growth is

the overnight deposit promotion (3.0% for the first three months) that has

been running since October 2025, which has led to a EUR718 million increase in

customer deposits over the past two quarters (Q4 2025 and Q1 2026). A key

feature of this special promotion, which is geared toward customer and

deposit growth, is a temporary reduction in the interest margin starting

from the respective deposit date. Only after the three-month period has

expired and starting from the seventh month (fourth to sixth month: 1.5%

p.a., from the seventh month currently 0.6%) a noticeable increase in the

interest margin begins. The majority of customer deposits acquired at the

end of 2025 and in the first quarter of 2026 were still predominantly within

the three-month term as of the first quarter of 2026. This effect was

somewhat offset by reallocations within the treasury portfolio, which were

made under slightly improved terms.

At the same time, the corporate banking business has not yet provided any

impetus for net interest income. Although approximately EUR36 million in new

loans were granted in the first quarter of 2026, outstanding environmental

loans declined slightly due to repayments, from EUR3,143 million as of

December 31, 2025, to EUR3,101 million. According to the company, the target

of EUR450 million in gross new lending is expected to be easily achieved. This

would increase the loan volume to EUR3.2 billion by the end of the 2026 fiscal

year. Currently, approximately EUR200 million in loans are in preparation and

another EUR70 million are in advanced negotiations. Additional loan inquiries

totaling EUR500 million are also expected to have a positive impact on new

business. Noteworthy in this regard is the entry in the first quarter of

2026 into the financing of battery energy storage systems, where loans

totaling approximately EUR15 million were granted for the first time. At the

same time, the scope for further loan growth has expanded. As part of a

review, BaFin reduced the bank's specific capital requirement by 60 basis

points, resulting in a total capital requirement of 14.97% effective April

2026. As of March 31, 2026, UmweltBank AG had a total capital ratio of

16.84%.

The significantly lower total revenue of EUR15.93 million in the first quarter

of 2026 (previous year: EUR27.56 million) is primarily attributable to the

decline in net financial income to EUR0.62 million (previous year: EUR12.38

million). The prior-year figure included a one-time effect from a profit

distribution by a subsidiary.

In light of the decline in total revenue, Umwelt-Bank AG reported a decrease

in pre-tax profit to EUR0.23 million (previous year: EUR10.23 million). This was

offset by a reduction in operating expenses to EUR15.57 million (previous

year: EUR17.15 million). In particular, with regard to other administrative

expenses, the company benefited from the elimination of costs for external

consultants as well as from lower IT costs. In general, the company is

pursuing a cost and efficiency program aimed at achieving further cost

savings of approximately EUR3.3 million, in addition to this effect

(consultants, auditors).

The figures released are largely in line with our expectations. However,

given the special terms, we had anticipated a slightly lower impact on the

interest margin. We are therefore slightly adjusting our expected net

interest income to EUR63.85 million (previous estimate: EUR66.28 million). This

aligns with the company's guidance, which now projects net interest income

between EUR60 million and EUR65 million (previously: EUR62.5 million to EUR67.5

million). However, this adjustment has only a marginal effect on the

expected pre-tax profit of EUR14.36 million (previous estimate: EUR14.65

million). On the one hand, we are raising the net commission and trading

income in light of upcoming product launches; on the other hand, we

anticipate slightly lower operating expenses. The estimates for the coming

fiscal years remain unchanged.

The slight forecast adjustment has no effect on the price target of EUR9.00

determined using the residual income model. We therefore maintain our "BUY"

rating.

You can download the research here:

https://eqs-cockpit.com/c/fncls.ssp?u=aa889d2613633f6c852978250cd339cc

Contact for questions:

GBC AG

Halderstraße 27

86150 Augsburg

0821 / 241133 0

research@gbc-ag.de

++++++++++++++++

Offenlegung möglicher Interessenskonflikte nach § 85 WpHG und Art. 20 MAR

Beim oben analysierten Unternehmen ist folgender möglicher

Interessenkonflikt gegeben: (1,4,5a,6a,7,11); Einen Katalog möglicher

Interessenkonflikte finden Sie unter:

https://www.gbc-ag.de/de/Offenlegung

+++++++++++++++

Date (time) Completion: 04.05.2026 (08:25 am)

Date (time) first transmission: 04.05.2026 (10:00 am)

---------------------------------------------------------------------------

The EQS Distribution Services include Regulatory Announcements,

Financial/Corporate News and Press Releases.

View original content:

https://eqs-news.com/?origin_id=b20f1776-4783-11f1-8534-027f3c38b923&lang=en

---------------------------------------------------------------------------

2320060 04.05.2026 CET/CEST

°