CONSOLIDATED CASH FLOWS STATEMENTS

Year ended December 31, 2025 and 2024

Figures expressed in thousands of pesos

Note 2025 2024
Profit before income tax$23,456,676$32,124,735
Adjustments from items not implying cash flows:
Depreciation and amortization6,345,9685,703,405
Provision for impairment of the loan portfolio86,246,5754,545,492
Other dividend income15(182,173)(220,076)
Inventory reserve1,742,9991,530,385
Equity in the results of associates11.2(164,193)(86,828)
(Profit) loss on sale of property, furniture and equipment and investment property125,262(74,858)
Net cost for the period of employee benefits19701,292641,580
Trading derivative financial instruments(14,340)(974,071)
Foreign exchange fluctuation105,660-
Interest earned(13,034,584)(11,604,407)
Interest expense5,506,8264,010,147
7,379,2923,470,769
(Increase) decrease in:
Interest earned from customers12,886,69011,443,929
Loan portfolio(13,243,925)(11,743,320)
Inventory(3,953,909)(8,331,044)
Value added tax recoverable452,569(1,044,960)
Other accounts receivable(821,459)(120,292)
Prepaid expenses(220,976)(504,956)
Other assets10(803,368)302,227
Increase (decrease) in:
Suppliers1,090,115384,403
Provisions1,483,090412,355
Deferred income(96,208)186,263
Creditors349,1781,475,010
Employee benefits(648,488)(535,916)
Taxes paid(9,708,071)(8,949,067)
Net cash inflow in operating activities17,601,20618,570,136
Capital increase in associates11.2(1)(16,561,636)(120,277)
Dividends received from financial asset at fair value15182,173220,076
Dividends received from associates11.2160,172358,816
Loan granted to related parties21(7,096,070)-
Repayment of loan granted to related parties216,832,200-
Interest collected on loan to related parties21263,870-
Acquisition of property, furniture and equipment13(6,790,322)(7,889,793)
Acquisition of investment property12(2,268,280)(2,361,029)
Sale of property, furniture and equipment and investment property224,150440,970
Investment in intangibles of definitive useful life14(1,593,964)(1,472,715)
Net cash outflows from investing activities(26,647,707)(10,823,952)
Cash to be applied in financing activities(9,046,501)7,746,184
Dividends paid22.1(3,958,365)(3,958,247)
Interest paid18(3,256,789)(2,760,278)
Issuance of senior notes1820,543,000-
Proceeds from hedging financial instruments10-1,952,968
Debt repayment18-(5,900,910)
Proceeds from termination of trading derivative10275,509-
Payment of lease principal20(1,628,772)(1,418,151)
Payment of lease interest20(1,374,191)(1,327,885)
Sale of treasury shares22.2689,9652,795,160
Repurchase of treasury shares22.2(1,114,407)(2,799,034)
Net cash flows of financing activities10,175,950(13,416,377)
Increase (decrease) in cash and cash equivalents1,129,449(5,670,193)
Cash and cash equivalents at the beginning of the year24,728,17929,807,166
Effects of exchange rate changes on cash and cash equivalents(592,530)591,206
Cash and cash equivalents at the end of the year $25,265,098 $24,728,179

(1) Non-cash transactions for the year ended. See Notes 11 and 15.
The accompanying notes are part of these consolidated financial statements.