UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the month of August 2026
Commission File Number 001-32535
Grupo Cibest S.A.
(Translation of registrant’s name into English)
Cra. 48 # 26-85
Medellín, Colombia
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):___
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(2):___
Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-____________ .
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| | | | | | | | |
| GRUPO CIBEST S.A. (Registrant) |
| | |
| Date August 14, 2026 | By: | /s/ MAURICIO BOTERO WOLFF. |
| Name: | Mauricio Botero Wolff. |
| Title: | Vice President of Strategy and Finance |
August 14, 2026
Medellín, Colombia
GRUPO CIBEST S.A. RELEASES QUARTERLY REPORT FOR THE SECOND QUARTER OF 2026
On August 10, 2026, Grupo Cibest S.A. (“Grupo Cibest”) furnished on Form 6-K a press release presenting financial information for the fiscal quarter ended June 30, 2026 (the “Press Release”).
The quarterly report for the fiscal quarter ended June 30, 2026 (the “Quarterly Report”) is furnished with this Form 6-K.
Readers should be aware that the consolidated financial information in the Press Release, and the consolidated financial information in the Quarterly Report for the fiscal quarter ended June 30, 2026, are the same, and the Quarterly Report is being furnished solely to fulfill a legal reporting requirement in Colombia. Readers should also be aware that all financial information of Grupo Cibest that is included in the Quarterly Report was prepared in accordance with International Financial Reporting Standards.
Quarterly Report
April - June 2026
Grupo Cibest S.A. and Consolidated Grupo Cibest
Address:
Carrera 48 # 26-85
Medellín, Colombia
ISSUER’S CURRENT SECURITIES
As of June 30, 2026
| | | | | | | | |
| Type of Share | Common Share | Preferred Share |
| Trading System | Stock Exchange | Stock Exchange |
Stock Exchanges | Colombian Stock Exchange (BVC) | Colombian Stock Exchange (BVC) |
| Shares in Circulation | 508,474,753 | 436,187,213 |
Shareholders | 21,014 | 38,785 |
Issuance amount | 509,704,584 | 452,122,416 |
Amount placed | 509,704,584 | 452,122,416 |
Additionally, Grupo Cibest has a Level III ADR listed on the NYSE. Each ADR represents four preferred shares.
GRUPO CIBEST SHARE BUYBACK
On March 24, 2026, Grupo Cibest's shareholders' meeting approved the transfer of the amount of COP 431,418,157,024.55 from the legal reserve, to be added to the reserve for executing the share buyback program approved at the extraordinary shareholders’ meeting held on June 9, 2025. Furthermore, the shareholders’ meeting of Grupo Cibest authorized the termination of the share buyback program approved at the extraordinary shareholders’ meeting held on June 9, 2025, and authorized the 2026 share buyback program for an amount of up to one trillion three hundred fifty billion Colombian pesos (COP 1,350,000,000,000), for a term of three (3) years counted as from the adoption of the regulations of the program by the Board of Directors. Likewise, it authorized the Board of Directors to approve the share repurchase regulations under which management was authorized to execute said program.
As of June 30, 2026, the results of the program 2026-2029 are as follows:
| | | | | |
| Type of share | Number of repurchased shares |
| CIBEST (BVC) | 628,379 |
| PFCIBEST (BVC) | 3,244,439 |
| CIB (NYSE) | 526,152* |
| TOTAL | 4,398,970 |
*Number of repurchased ADRs converted into preferred shares.As of June 30, 2026, Cibest Corporate Group's results of the programs are as follows:
| | | | | |
| Type of share | Number of repurchased shares |
| CIBEST (BVC) | 1,229,831 |
| PFCIBEST (BVC) | 10,271,731 |
| CIB (NYSE) | 5,663,472* |
| TOTAL | 17,165,034 |
*Number of repurchased ADRs converted into preferred shares.
GLOSSARY OF TERMS
ADR: American Depositary Receipts, or the securities that are listed on the New York Stock Exchange. One ADR represents four preferred shares of Grupo Cibest S.A.
ASG: Environmental, social, and corporate governance, by its initials in Spanish.
Bam: Banco Agromercantil de Guatemala SA.
Banca de Inversión Bancolombia: Banca de Inversión Bancolombia S.A. Corporación Financiera, a Colombian investment banking subsidiary.
Bancoagrícola: Banco Agrícola S.A.
Bancolombia or the Bank: Bancolombia S.A.
CDT: Certificate of Deposit at Term.
Central Bank: Banco de la República, the central bank of Colombia.
Cibest Corporate Group or the Group: Refers to Grupo Cibest S.A., a holding company organized under the laws of the Republic of Colombia, including its subsidiaries on a consolidated basis, unless otherwise stated or the context requires a different interpretation.
COLCAP: reference index of the stock market of the Colombian Stock Exchange.
COP: Colombian pesos.
DIAN: Dirección de Impuestos y Aduanas Nacional, tax authority in Colombia.
DJSI: Dow Jones Sustainability Index.
DTF: It is the average interest rate paid by financial institutions for 90-day deposits.
IFC: International Finance Corporation.
Grupo Bancolombia: Refers to the business group made up of Bancolombia S.A. and its subsidiaries on a consolidated basis, which is now referred to as the Cibest Corporate Group.
Grupo Cibest: Refers to Grupo Cibest S.A.
LAFT: Money Laundering and Terrorist Financing, by its initials in Spanish.
Nequi: financial platform that accompanies users in their daily lives with financial and non-financial services from third parties. As a 100% digital solution, it complements its offer with functionalities that go beyond saving and managing money.
NYSE: New York Stock Exchange.
Senior Management: President and the Vice Presidents who report directly to the President of Grupo Cibest.
SFC: Financial Superintendency of Colombia.
SME: Small and Medium-sized Enterprise.
SMMLV: Legal Minimum Monthly Wage in force.
TRM: Representative Market Rate, price of the dollar in the Colombian market, which varies daily.
USD: United States dollars.
UVR: Real Value Units, an indicator tied to the behavior of inflation that is used to calculate the cost of certain housing loans.
UVT: Measure that is used to determine different tax obligations with an equivalent in Colombian pesos.
I.MANAGEMENT’S DISCUSSION & ANALYSIS ON THE RESULTS OF THE OPERATION AND THE FINANCIAL SITUATION OF THE ISSUER, IN RELATION TO THE RESULTS REPORTED IN THE QUARTERLY FINANCIAL STATEMENTS
STATEMENT OF FINANCIAL POSITION GRUPO CIBEST
The analysis presented below for Grupo Cibest Consolidated is based on a comparison with the information reported by Grupo Cibest as of June 30, 2025.
Loan Portfolio
During the second quarter of 2026, the gross loan portfolio reached COP 262.3 trillion, registering a growth of 0.17% compared to the previous quarter and 5.72% year-over-year.
The slight expansion during the quarter was led by the mortgage and consumer loan portfolios, offsetting the decrease registered in the commercial loan portfolio. Excluding the exchange rate impact, the portfolio would have increased 1.4% quarter-over-quarter and 9.6% year-over-year. The portfolio's performance was mainly explained by the performance of Bancolombia, which reported a 0.7% increase during the quarter, supported by stronger activity in the mortgage and consumer segments, partially offset by a slight decline in the commercial loan portfolio. Bancolombia Panama registered the largest expansion within regional operations, driven by a higher volume of cross-border transactions. Although the individual loan portolios of Bancoagrícola and Bam do not reflect these balances, both franchises continued to be key contributors to regional business generation through this offshore subsidiary. Bancoagrícola registered 1.8% growth measured in USD due to improved performance in its commercial and consumer lending, while Bam experienced a 1.4% quarterly decrease measured in USD, primarily due to lower balances in its commercial and consumer loan portfolios.
The mortgage portfolio continued its positive trajectory, growing 1.81% compared to the previous quarter and increasing 11.83% year-over-year. This performance was mainly driven by Bancolombia. In contrast, the mortgage portfolio in Central America showed slower growth during the quarter.
The consumer loan portfolio grew 0.48% compared to 1Q26, primarily driven by the performance of credit cards, vehicle financing, and Nequi. Year-over-year, it increased 7.44%, mainly driven by loan origination at Bancolombia.
For more details on portfolio coverage and quality, see section 2.5. Asset Quality and Provision Charges.
Funding
At the end of 2Q26, customer deposits totaled COP 271,047 billion, representing 84% of total liabilities.
Founding balances registered a decrease of 0.25% compared to 1Q26 and an increase of 7.14% compared to 2Q25. The quarterly variation was mainly explained by the effect of the Colombian peso's appreciation on balances denominated in foreign currency and by lower loan demand during the period. Within the deposit mix, there was a decrease in checking account balances, partially offset by the growth in savings accounts, driven by
the institutional segment and by seasonal factors associated with the inflow of funds from payroll, bonuses, and other social benefits during June.
Sight deposits continued to be the main source of funding, with a 56.99% share at the end of the quarter. This category maintained a relatively stable share compared to 1Q26, supported by a greater share of savings accounts, which increased from 46.73% to 46.77%, partially offsetting the decrease observed in checking accounts, which fell from 10.94% to 10.22%. Meanwhile, time deposits decreased their share of the funding mix, falling from 33.61% in 1Q26 to 32.92% in the current quarter. This is mainly explained by lower time deposit balances in the Colombian operation, which more than outweighed the growth recorded in BAM, along with the effect of the Colombian peso's appreciation on balances denominated in foreign currency. As a result, the funding structure maintained a higher weighting of sight deposits, favoring an efficient funding mix and a solid liquidity position at the end of the period.
Shareholders’ Equity
Equity attributable to shareholders ended 2Q26 at COP 38.1 trillion, registering a 4.8% increase compared to 1Q26 and a 7.7% decrease compared to 2Q25. The evolution of equity primarily reflected profit generation during the period, as well as the effects of the appreciation of the Colombian peso, the capital impacts associated with the completion of the Banistmo transaction, and the execution of the share buyback program.
The decrease in reserves during the quarter primarily reflects accounting effects associated with the outflow of reserves from Banistmo, offset by retained earnings, and the effect of the execution of the share buyback program approved by the extraordinary shareholders' meeting on March 24, 2026, for an amount of up to 1.35 trillion pesos, the execution of which began on April 21, 2026. As of June 2026, 20.5% of the program had been executed, equivalent to 4,398,970 shares repurchased, of which 73.8% corresponded to preferred shares, 12.0% to ADRs, and 14.3% to ordinary shares.
CONSOLIDATED INCOME STATEMENT GRUPO CIBEST
2Q26 ended with a net income of COP 2.73 billion, equivalent to COP 2,853 per share (USD 3.32 per ADR). This result was primarily driven by the performance of net interest income, due to higher portfolio returns and increased income from the valuation of financial instruments.
The quarterly annualized return on equity (ROE) of Grupo Cibest was 28.73% in the second quarter of 2026 and 21.51% year-to-date.
Net Interest Income & Interest Margin
Net interest income totaled COP 6,037 billion in 2Q26, growing 16.49% compared to 1Q26 and 23.84% compared to 2Q25. Growth was driven by higher income from the loan portfolio, primarily in the commercial segment, as a result of higher portfolio performance, as well as solid growth in income from the valuation of financial instruments.
While higher interest rates increased the cost of funding for savings accounts and time deposits, income generated by the loan portfolio and investment portfolios grew at a faster pace than interest expenses, boosting net interest income growth in the quarter.
The quarterly annualized weighted average cost of deposits stood at 4.40% in 2Q26, representing an increase of 40 basis points compared to 1Q26.
The loan portfolio NIM stood at 8.28% during the quarter, increasing 44 basis points (bps) compared to 1Q26 and 80 bps compared to 2Q25, reflecting greater expansion of loan yields relative to funding costs. Meanwhile, the NIM for investments reached 5.98%, increasing 416 bps compared to 1Q26 and 237 bps compared to 2Q25, driven by a larger average portfolio and higher income from debt valuations. As a result, the consolidated NIM stood at 7.94%, with an expansion of 91 bps compared to the previous quarter and 94 bps compared to 2Q25.
Fees and Income from Services
Net income from fees and other services amounted to COP 1,374 billion in 2Q26, representing an increase of 9.85% compared to the previous quarter and 17.70% compared to 2Q25.
Fee income grew 5.39% quarter over quarter, driven primarily by increased activity in bancassurance, payments and collections, and higher revenues from structuring fees. Year-over-year, fee income increased 10.43%, supported by strong performance in banking services, bancassurance, debit and credit cards, and merchant card services. Specifically, banking services benefited from increased contributions from digital banking fees related to the marketing and distribution of products through digital platforms such as Nequi, as well as from higher transaction volumes at merchants connected to these channels.
Meanwhile, commission expenses decreased by 2.01% compared to 1Q26 and by 0.94% compared to 2Q25. This performance was explained by efficiencies derived from enhanced supplier spending management, adjustments to the banking correspondent operating model, and a favorable evolution in the costs associated with connection and processing services, thus contributing to a greater expansion of net fee income.
Other Operating Income
Total other operating income reached COP 945 billion in 2Q26, representing a 10.57% increase compared to 1Q26. This change was primarily driven by higher income related to exchange rate differences, the valuation of assets managed through collective investment funds, and results derived from vehicle sales through Renting Colombia. Additionally, favorable effects were recorded from the valuation of trusts and investment properties.
Dividends Received, and Share of Profits
Dividends and other net income from equity investments totaled COP 170.9 billion in 2Q26, registering a increase of 30.65% compared to the previous quarter and 41.00% compared to 2Q25. This variation was mainly due to higher income from equity investments and a greater contribution from equity instruments and other financial instruments. This performance reflected the favorable performance of investments such as Tuya, Protección, Viva Malls, and Patria Asset Management, as well as higher returns from the Fondo Inmobiliario Colombia ( FIC) and the collective investment portfolios managed by Banca de Inversión Bancolombia.
Asset Quality and Provision Charges
At the end of 2Q26, the principal balance for past due loans (those that are overdue for more than 30 days) totaled COP 9,123 billion, equivalent to 3.59% of the gross portfolio, while 90-day past-due loans totaled COP 6,312 billion, representing 2.48%. The reduction in both indicators compared to the previous quarter reflects a favorable evolution in portfolio quality across all segments, with the exception of consumer loans, which grew slightly during the period.
The coverage, measured by the ratio of allowances for loan losses (principal) to past-due loans (30 days overdue), stood at 132.94% at the end of 2Q26, higher than the 132.69% recorded in 1Q26. Loan deterioration (new past-due loans including write-offs) totaled COP 1,013 trillion in 2Q26. The decrease in new non-
performing loans reflects the strong performance of the portfolio and effective credit risk management, which have allowed the company to keep delinquency indicators within expected levels, despite a slight increase in write-offs associated with high inflation and interest rates.
Provision charges (after recoveries), totaled COP 1,023 billion in 2Q26, representing a 16.75% decrease compared to the previous quarter. This performance was primarily driven by significant provision recoveries from major clients and a lower provisioning requirement associated with a more stable macroeconomic outlook, partially offset by provisions established in other segments.
Provisions as a percentage of the average gross portfolio, quarterly annualized, was 1.56% in 2Q26 and 1.73% over the last 12 months, reflecting a decrease of 34 basis points compared to the previous quarter and 15 basis points compared to 2Q25. Capital provisions totaled COP 12,128 billion, representing coverage equivalent to 4.77% of the gross loan portfolio.
Stage 3 balances continued to show a favorable trend during the quarter, while Stage 2 exhibited a moderate increase, primarily driven by provisions in the agro-export sector. These were associated with exposures under close monitoring for potential impacts from exchange rate volatility and the El Niño phenomenon, while remaining within the Bank’s expected risk management parameters.
Operating Expenses
During 2Q26, operating expenses totaled COP 3,649 billion, representing a decrease of 9.77% compared to 1Q26 and 1.89% compared to 2Q25. Operating efficiency ended at 42.80% in the quarter and 48.25% over the last 12 months.
Personnel expenses (salaries, employee benefits, and bonuses) totaled COP 1,544 billion in the quarter, decreasing 0.65% compared to 1Q26 and increasing 6.11% compared to 2Q25. The quarterly reduction was mainly due to the appreciation of the exchange rate and adjustments in actuarial calculations. On an annual basis, growth was driven by salary increases, the effects of labor reform, and the seasonal dynamics of bonuses.
Meanwhile, general expenses totaled COP 2,106 billion in the quarter, decreasing 15.45% compared to 1Q26 and 0.99% compared to 2Q25. The quarterly change was mainly due to a base effect associated with the recognition of wealth tax during the previous quarter, as well as the effects of the exchange rate appreciation. Compared to 2Q25, the reduction was primarily due to lower expenses associated with the contact center operation, the absence of non-recurring expenses related to the establishment of Grupo Cibest, and efficiencies in technology expenses resulting from progress in the cloud migration.
As of June 30, 2026, Grupo Cibest had 31,568 employees, 794 branches, 5,787 ATMs, 35,449 banking correspondents and more than 32 million customers.
Taxes
Grupo Cibest income tax totaled COP 988 billion in 2Q26, equivalent to an effective tax rate of 26%. This decrease was primarily due to the reversal of COP 153 billion deferred tax, following the Constitutional Court's declaration of unconstitutionality of Legislative Decree 1474 of 2025 on April 15, 2026, which established a surtax on income tax for the financial sector. The effective tax rate continued to benefit from tax-exempt income associated with the social housing portfolio and investments in productive fixed assets in Colombia, as well as from tax benefits in Guatemala, El Salvador, and Panama related to investments in government securities.
Consolidated Statement of Income Grupo Cibest
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| CONSOLIDATED STATEMENT OF FINANCIAL POSITION | | | | | | | | Change | |
| (COP million) | | 2Q25 | | 1Q26 | | 2Q26 | | 2Q26 / 1Q26 | | 2Q26 / 2Q25 | |
| ASSETS | | | | | | | | | | | |
| Cash and balances at central bank | | 23,019,200 | | 23,328,117 | | 27,738,329 | | 18.91 | % | 20.50 | % |
| Interbank borrowings | | 2,685,657 | | 3,074,934 | | 2,435,496 | | (20.80) | % | (9.31) | % |
| Reverse repurchase agreements and other similar secured lend | | 2,683,826 | | 2,923,357 | | 815,536 | | (72.10) | % | (69.61) | % |
| Financial assets investment | | 34,392,799 | | 38,830,679 | | 48,219,273 | | 24.18 | % | 40.20 | % |
| Derivative financial instruments | | 3,214,070 | | 4,838,098 | | 8,038,467 | | 66.15 | % | 150.10 | % |
| Loans and advances to customers | | 248,084,847 | | 261,833,966 | | 262,273,181 | | 0.17 | % | 5.72 | % |
| Allowance for loan and lease losses | | (13,160,112) | | (13,626,508) | | (13,483,030) | | (1.05) | % | 2.45 | % |
| Investment in associates and joint ventures | | 3,045,408 | | 3,342,757 | | 3,445,832 | | 3.08 | % | 13.15 | % |
| Goodwill and Intangible assets, net | | 2,665,821 | | 2,487,919 | | 2,389,663 | | (3.95) | % | (10.36) | % |
| Premises and equipment, net | | 5,507,921 | | 5,301,221 | | 5,186,195 | | (2.17) | % | (5.84) | % |
| Investment property | | 5,761,117 | | 6,407,375 | | 6,644,209 | | 3.70 | % | 15.33 | % |
| Right of use assets | | 1,304,063 | | 1,375,361 | | 1,373,791 | | (0.11) | % | 5.35 | % |
| Prepayments | | 822,534 | | 929,456 | | 892,707 | | (3.95) | % | 8.53 | % |
| Tax receivables | | 1,801,236 | | 1,199,301 | | 1,839,660 | | 53.39 | % | 2.13 | % |
| Deferred tax | | 1,747,406 | | 1,736,610 | | 170,689 | | (90.17) | % | (90.23) | % |
| Assets held for sale and inventories | | 723,590 | | 714,091 | | 804,695 | | 12.69 | % | 11.21 | % |
| Assets related to investments in subsidiaries held for sale | | 4,479,637 | | 5,477,834 | | 4,297,579 | | (21.55) | % | (4.06) | % |
| Other assets | | 375,250,726 | | 389,144,477 | | 363,082,271 | | (6.70) | % | (3.24) | % |
| Total assets | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | |
| LIABILITIES | | | | | | | | | | | |
| Deposit by customers | | 261,289 | | 184,626 | | 155,941 | | (15.54) | % | (40.32) | % |
| Interbank Deposits | | 3,500,165 | | 5,547,100 | | 9,342,969 | | 68.43 | % | 166.93 | % |
| Derivative financial instrument | | 9,115,831 | | 9,221,684 | | 8,774,860 | | (4.85) | % | (3.74) | % |
| Borrowings from other financial institutions | | 7,765,416 | | 7,450,619 | | 6,987,255 | | (6.22) | % | (10.02) | % |
| Debt securities in issue | | 1,323,362 | | 1,374,906 | | 1,372,736 | | (0.16) | % | 3.73 | % |
| Lease liability | | 555,152 | | 540,767 | | 554,091 | | 2.46 | % | (0.19) | % |
| Preferred shares | | 3,592,237 | | 2,009,400 | | 6,673,167 | | 232.10 | % | 85.77 | % |
| Repurchase agreements and other similar secured borrowing | | 1,247,915 | | 1,415,707 | | 1,911,187 | | 35.00 | % | 53.15 | % |
| Current tax | | 1,203,798 | | 2,825,965 | | 1,471,627 | | (47.92) | % | 22.25 | % |
| Deferred tax | | 928,341 | | 932,353 | | 893,350 | | (4.18) | % | (3.77) | % |
| Employees benefit plans | | 12,221,747 | | 15,100,918 | | 14,501,739 | | (3.97) | % | 18.66 | % |
| Liabilities related to investments in subsidiaries held for sale | | 332,866,440 | | | 351,528,206 | | | 323,685,842 | | | (7.92) | % | (2.76) | % |
| Other liabilities | | | | | | | | | | | |
| Total liabilities | | 480,914 | | 480,914 | | 480,914 | | — | % | — | % |
| SHAREHOLDERS’ EQUITY | | | | | | | | | | | |
| Share Capital | | 23,702,075 | | 22,700,240 | | 21,777,638 | | (4.06) | % | (8.12) | % |
| Additional paid-in-capital | | 7,094,311 | | 4,890,838 | | 8,467,601 | | 73.13 | % | 19.36 | % |
| Appropriated reserves | | 5,159,284 | | 3,447,244 | | 2,540,028 | | (26.32) | % | (50.77) | % |
| Retained earnings | | 41,294,075 | | 36,376,727 | | 38,123,672 | | 4.80 | % | (7.68) | % |
| Accumulated other comprehensive income, net of tax | | 2,180,422 | | 1,239,544 | | 1,272,757 | | 2.68 | % | 16.74 | % |
| Stockholders’ equity attributable to the owners of the parent company | | 375,250,726 | | 389,144,477 | | 363,082,271 | | 0.07 | % | (3.24) | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| INCOME STATEMENT | As of | Change | Quarter | Change |
| (COP million ) | 2Q25 | 2Q26 | 2Q26 / 1Q26 | 2Q25 | 1Q26 | 2Q26 | 2Q26 / 1Q26 | 2Q26/ 2Q25 |
| Interest on loan portfolio and financial leasing operations | | | | | | | | |
| Commercial | 7,312,773 | 7,616,733 | 4.16% | 3,693,500 | 3,585,760 | 4,030,973 | 12.42% | 9.14% |
| Consumer | 3,702,071 | 4,523,846 | 22.20% | 1,863,564 | 2,212,026 | 2,311,820 | 4.51% | 24.05% |
| Microcredit | 87,240 | 132,585 | 51.98% | 47,866 | 66,861 | 65,724 | (1.70)% | 37.31% |
| Mortgage | 1,891,818 | 2,224,915 | 17.61% | 949,898 | 1,070,416 | 1,154,499 | 7.86% | 21.54% |
| Leasing | 1,592,687 | 1,759,729 | 10.49% | 801,117 | 843,253 | 916,476 | 8.68% | 14.40% |
| Total interest on loan portfolio and financial leasing operations | 14,586,589 | 16,257,808 | 11.46% | 7,355,945 | 7,778,316 | 8,479,492 | 9.01% | 15.27% |
| Interest on debt instruments measured using the effective interest method | 356,140 | 474,596 | 33.26% | 177,540 | 201,624 | 272,972 | 35.39% | 53.75% |
| Total interest income from financial instruments measured using the effective interest method | 14,942,729 | 16,732,404 | 11.98% | 7,533,485 | 7,979,940 | 8,752,464 | 9.68% | 16.18% |
| Interbank funds sold | 53,697 | 44,452 | (17.22)% | 21,513 | 22,303 | 22,149 | (0.69)% | 2.96% |
| Total valuation of financial instruments | 734,343 | 930,273 | 26.68% | 403,434 | 250,877 | 679,396 | 170.81% | 68.40% |
| Total interest income and valuation of financial instruments | 15,730,769 | 17,707,129 | 12.56% | 7,958,432 | 8,253,120 | 9,454,009 | 14.55% | 18.79% |
| Total interest expense | (6,107,919) | (6,487,458) | 6.21% | (3,083,514) | (3,070,694) | (3,416,764) | 11.27% | 10.81% |
| Net interest margin and valuation of financial instruments before provision for loan portfolio impairment and financial leasing, off-balance sheet commitments, and other financial instruments | 9,622,850 | 11,219,671 | 16.59% | 4,874,918 | 5,182,426 | 6,037,245 | 16.49% | 23.84% |
| Provision for loan portfolio impairment and financial leasing operations | (2,104,078) | (2,190,788) | 4.12% | (1,031,225) | (1,202,634) | (988,154) | (17.83)% | (4.18)% |
| Provision for other financial instruments, net | (37,265) | (61,793) | 65.82% | (28,620) | (26,626) | -35,167 | 32.08% | 22.88% |
| Total provisions and impairment of credit risk, net | (2,141,343) | (2,252,581) | 5.19% | (1,059,845) | (1,229,260) | (1,023,321) | (16.75)% | (3.45)% |
| Net income from interest and valuations of financial instruments after provisions and impairment | 7,481,507 | 8,967,090 | 19.86% | 3,815,073 | 3,953,166 | 5,013,924 | 26.83% | 31.42% |
| Total fee income | 3,707,158 | 4,118,998 | 11.11% | 1,913,904 | 2,005,459 | 2,113,539 | 5.39% | 10.43% |
| Total fee expenses | (1,451,259) | (1,493,637) | 2.92% | (746,252) | (754,383) | (739,254) | (2.01)% | (0.94)% |
| Total fee income, net | 2,255,899 | 2,625,361 | 16.38% | 1,167,652 | 1,251,076 | 1,374,285 | 9.85% | 17.70% |
| Total other operating income | 1,645,174 | 1,799,769 | 9.40% | 817,616 | 854,727 | 945,042 | 10.57% | 15.59% |
| Total Dividends and other net income from equity participation | 257,092 | 301,714 | 17.36% | 121,210 | 130,810 | 170,904 | 30.65% | 41.00% |
| Total income Net | 11,639,672 | 13,693,934 | 17.65% | 5,921,551 | 6,189,779 | 7,504,155 | 21.23% | 26.73% |
| Operating Expenses | | | | | | | | |
| Salaries and Employee Benefits | (2,864,998) | (3,097,483) | 8.11% | (1,454,799) | (1,553,820) | (1,543,663) | (0.65)% | 6.11% |
| Other Administrative and General Expenses | (2,883,060) | (2,912,728) | 1.03% | (1,505,537) | (1,445,572) | (1,467,156) | 1.49% | (2.55)% |
| Taxes Other Than Income Tax | (728,170) | (813,141) | 11.67% | (379,932) | (423,938) | (389,203) | (8.19)% | 2.44% |
| Wealth Tax | — | (374,823) | 100.00% | — | (374,045) | (778) | (99.79)% | 100.00% |
| Amortization, Depreciation, and Impairment | (483,143) | (495,625) | 2.58% | (241,330) | (247,042) | (248,583) | 0.62% | 3.01% |
| Total Operating Expenses | -6,959,371 | -7,693,800 | 10.55% | (3,581,598) | (4,044,417) | (3,649,383) | (9.77)% | 1.89% |
| Profit from Continuing Operations Before Income Tax | 4,680,301 | 6,000,134 | 28.20% | 2,339,953 | 2,145,362 | 3,854,772 | 79.68% | 64.74% |
| Income Tax from Continuing Operations | (1,287,722) | (1,697,277) | 31.80% | (619,970) | (709,536) | (987,741) | 39.21% | 59.32% |
| Net Profit from Continuing Operations | 3,392,579 | 4,302,857 | 26.83% | 1,719,983 | 1,435,826 | 2,867,031 | 99.68% | 66.69% |
| Net Profit from Discontinued Operations | 201,142 | -35,700 | (117.75)% | 108,963 | 50,053 | -85,753 | (271.32)% | (178.70)% |
| Net Profit | 3,593,721 | 4,267,157 | 18.74% | 1,828,946 | 1,485,879 | 2,781,278 | 87.18% | 52.07% |
| Non-Controlling Interest | (64,754) | (79,702) | 23.08% | (37,643) | (28,768) | (50,934) | 77.05% | 35.31% |
| Net Profit for the Year Attributable to Shareholders of the Parent Company | 3,528,967 | 4,187,455 | 0.19 | 1,791,303 | 1,457,111 | 2,730,344 | 87.38% | 52.42% |
Separate Grupo Cibest
At the end of the period, total assets amounted to COP 43.14 trillion, registering an increase compared to the previous quarter, mainly due to a higher value of investments in subsidiaries. Liabilities, meanwhile, reached COP 4.75 trillion, showing a quarterly decrease attributable to lower liabilities associated with the dividend, following the payment of the first installment in April. Equity stood at COP 38.39 trillion, reflecting quarterly growth supported by profit generation during the period.
II.QUANTITATIVE AND QUALITATIVE ANALYSIS OF THE MARKET RISK TO WHICH THE ISSUER IS EXPOSED AS A RESULT OF ITS INVESTMENTS AND ACTIVITIES SENSITIVE TO MARKET VARIATIONS
Market risk refers to the risk of losses due to changes in equity prices, interest rates, foreign-exchange rates and other indicators whose values are set in a public market. It also refers to the probability of unexpected changes in net interest income and economic value of equity as a result of a change in market interest rates.
The guidelines, policies and methodologies for market risk management are maintained in accordance with what was revealed for Grupo Cibest as of December 31, 2025.
Consolidated
Market risk
Total market risk exposure increased by 13.8%, from COP 1,213.155 billion in December 2025 to COP 1,380.011 billion in June 2026. This change is primarily attributable to greater exposure to the exchange rate factor, due to an increase in U.S. dollar-denominated positions. In addition, the interest rate factor showed an increase, driven by greater exposure of the securities in the portfolio.
The following table presents the total change in market risk and other risk factors:
| | | | | | | | | | | | | | |
| June 2026 |
| In millions of COP |
| Factor | End of Period | Average | Maximum
May, 2026 | Minimum
April, 2026 |
| Interest rate | 586,986 | 587,840 | 634,551 | 556,900 |
| Exchange rate | 314,101 | 269,765 | 375,314 | 221,538 |
| Stock price | 402,617 | 419,804 | 433,285 | 422,215 |
| Collective investment funds | 76,306 | 79,589 | 75,465 | 79,674 |
| Total Value at Risk | 1,380,011 | 1,356,998 | | |
| | | | | | | | | | | | | | |
|
| In millions of COP |
| Factor | End of Period | Average | Maximum
November, 2025 | Minimum
January, 2025 |
| Interest rate | 534,919 | 552,803 | 499,712 | 524,034 |
| Exchange rate | 182,077 | 282,154 | 751,796 | 79,062 |
| Stock price | 407,177 | 380,326 | 367,615 | 375,015 |
| Collective investment funds | 88,982 | 51,683 | 35,781 | 36,608 |
| Total Value at Risk | 1,213,155 | 1,266,967 | | |
*As of June 30, 2026, the proprietary cryptocurrency portfolio of Wenia amounted to USD 2.227 million, with a Value at Risk (VaR) of USD 10,000. The VaR was calculated using an internal methodology based on a Dinamic Conditional Correlation (DCC) GARCH model, with a one-day time horizon and a 99% of confidence level.
Regarding internal Value at Risk measurements, no exceedances of the approved limits were observed.
It is important to mention that these exposures are subject to ongoing monitoring by Senior Management and serve as a decision-making tool that helps preserve the stability of the Group.
Non-trading Instruments Market Risk Measurement
The banking book’s relevant risk exposure is interest rate risk, which is the probability of unexpected changes in net interest income or in the economic value of equity as a result of a change in market interest rates. Changes in interest rates affect the income of Cibest Corporate Group due to differences in the repricing of the assets and liabilities. The management of interest rate risk arising from banking activities in non-trading instruments by analyzing the interest rate mismatches between its interest earning assets and its interest bearing liabilities, and estimates the impact on the net interest income and the economic value of equity. Foreign exchange exposures arising in the banking book are transferred to the treasury book for management.
Interest Risk Exposure (Banking Book)
Cibest Corporate Group conducts an interest rate risk sensitivity analysis by estimating the impact on the net interest margin of each position in the banking book using a repricing model and assuming a positive parallel shift of 100 basis points in interest rates.
The principles and guidelines for interest rate risk management in the banking book remain consistent with those disclosed for Cibest Corporate Group as of December 31, 2025.
Sensitivity To Interest Rate Risk Of The Banking Book
As of June 30, 2026, the net sensitivity of the banking book in local currency to parallel shifts of 100 basis points in interest rates was COP 412.578 billion, representing a decreased of COP 31.407 billion compared to December 2025. This decreased is mainly driven by offsetting of hedging swaps measured at fair value and to growth in the balances of Bancolombia’s wholesale savings accounts.
On the other hand, the sensitivity of the Net Interest Margin (NIM) in foreign currency to a parallel shift of 100 basis points in interest rates decreased by USD 0.9 million between December 31, 2025 and June 30, 2026, reaching USD 14.4 million. This decrease is primarily due to the reduction in exposure to Term Deposit Certificates (CDTs) and long-term debt, resulting from Banistmo’s exit from the Group.
Separated
Grupo Cibest measures market risk exposure using a Value at Risk (VaR) methodology based on weighted historical simulation, with a 99% confidence level and a 10-day time horizon.
As of June 30, 2026, the Value at Risk (VaR) of COP 742.506 billion. This result is mainly due to exposure to the exchange rate factor, originating from the position denominated in US dollars corresponding to COP 10.9 trillion. Additionally, although to a lesser extent, the COP 145 million participation in the Renta Liquidez Investment Fund contributed to the level of risk presented. Details are presented in the table below:
| | | | | |
| Risk factor | June 30th, 2026 |
| In millions of COP |
| End of period |
| Exchange rate | 742,506 |
| Collective investment funds (1) | (0.2) |
| Total VaR | 742,506 |
(1) The Collective Investment Fund has a negative correlation with respect to the exchange rate position, generating a diversification effect, which contributes to a reduction in the total market risk of the portfolio.
III.MATERIAL VARIATIONS THAT HAVE OCCURRED IN THE RISKS TO WHICH THE ISSUER IS EXPOSED, OTHER THAN MARKET RISK, AND THE MECHANISMS IMPLEMENTED TO MITIGATE THEM
LIQUIDITY RISK
Liquidity risk refers to the possibility of being unable to efficiently and timely meet payment obligations, whether expected or unexpected, current or future, without adversely affecting the normal course of daily operations or the financial condition of the entity. This risk arises when there is an insufficient level of available liquid assets or when the entity is required to incur unusual or excessive funding costs.
The principles and guidelines for liquidity risk management remain consistent with those disclosed as of December 31, 2025.
Consolidated
During the analysis period, Cibest Corporate Group maintained sufficient liquidity levels, which allowed it to meet all internal and regulatory indicators. Additionally, liquidity monitoring did not report any alerts indicating potential risk, and liquid assets comfortably exceeded the established limits to cover the liquidity requirements.
The coverage ratio decreased from 244.80% in December 2025 to 218.53% in June 2026. This decrease is primarily due to the increase in Bancolombia’s liquidity requirements, resulting from higher outflows associated mainly with increased outflows related to liquidity-related liability operations. Meanwhile, the Group’s liquid assets remained stable across all entities; however, a decrease was observed, attributable primarily to the depreciation of local currencies against the consolidation currency.
Separated
To estimate liquidity risk, a cash flow is calculated to ensure that liquid assets held are sufficient to cover potential net cash outflows in 30 days. The liquidity indicator is presented as follows:
| | | | | | | | |
| Liquidity Indicator | June 30th, 2026 | December 31st, 2025 |
| In millions of COP |
| Net cash outflows into 30 days | 449,830 | -28,801 |
| Liquid Assets | 5,612,582 | 116,675 |
| Liquidity Indicator | 6,062,412 | 87,874 |
The liquidity indicator increased from COP 87.874 billion in December 2025 to COP 6,062.412 billion in June 2026. This variation reflects an improvement in the capacity of liquid assets to cover liquidity requirements. This increase was mainly explained by the growth in liquid assets, driven by a higher level of available cash flows.
Contractual maturities of financial assets and liabilities
Contractual maturities of principal on financial assets and interest payments are presented below:
Contractual maturities of assets at June 2026
| | | | | | | | | | | | | | | | | |
| Assets | 0-30 days | 31 days -1 year | 1-3 years | 3-5 years | Over 5 years |
| In millions of COP |
| Cash and cash equivalents | 6,674,744 | | - | - | - | - |
| Securities | - | | - | - | - | - |
| Total Assets | 6,674,744 | | - | - | - | - |
Contractual maturities of principal on liabilities and interest payments are presented below:
Contractual maturities of liabilities at June 2026
| | | | | | | | | | | | | | | | | |
| Liabilities | 0-30 days | 31 days -1 year | 1-3 years | 3-5 years | Over 5 years |
| In millions of COP | | | | | |
| Financial obligations | - | | - | | 818,283 | | - | | - | |
| Preferred stock | - | | - | | - | | - | | 554,091 | |
| Total Liabilities | - | | - | | 818,283 | | - | | 554,091 | |
CREDIT RISK
Credit risk is the probability of incurring losses due to the failure of a counterparty, issuer, or borrower to meet its financial obligations; the deterioration resulting from a decline in their risk rating; the reduction in earnings and returns; the benefits granted in restructuring processes; and recovery costs.
Consolidated
By the end of the second quarter of 2026, Colombia's economy continued to experience moderate expansion, driven mainly by private consumption and government spending. Nevertheless, subdued private investment, particularly in the construction and mining sectors, continued to weigh on the achievement of more sustainable long-term growth. The operating environment remained characterized by persistent inflationary pressures and restrictive monetary conditions. Furthermore, despite increased political stability, fiscal consolidation and the
long-term sustainability of public finances remain key areas of concern, amid ongoing global market volatility and geopolitical uncertainty.
Economic activity in El Salvador and Guatemala remained favorable during the period, driven primarily by public and private infrastructure investment and solid domestic demand. However, the region remains exposed to external risks. Slower growth in remittance inflows, inflationary pressures arising from external supply-side shocks, and dependence on international commodity prices heighten the vulnerability of certain economies to a challenging and uncertain global macroeconomic environment.
In a highly competitive financial environment marked by uncertainty, Cibest Corporate Group focused its credit risk management on preserving the strength and stability of the portfolio through prudent decision-making across the credit cycle and the continuous improvement of processes, models, and methodologies. This approach is underpinned by an agile and predictive capability to anticipate changes in the economic environment, proactively adjust the risk appetite, and safeguard the group’s financial soundness, in alignment with the Credit Risk Management Framework, which establishes corporate criteria for the assessment, measurement, monitoring, control, and mitigation of credit risk.
As of June 30, 2026, Cibest Corporate Group’s loan portfolio totaled COP 262.3 trillion, representing a marginal 0.2% increase in the Colombian peso-denominated portfolio balance compared to March 2026 (COP 261.8 trillion). This change was achieved despite the appreciation of the Colombian peso against the U.S. dollar, which reduced the reported balance of portfolios denominated in foreign currency when translated into pesos. The increase was primarily attributable to the expansion of the mortgage and consumer loan portfolios in Colombia and the moderate growth of the commercial loan portfolio in El Salvador and Guatemala, which more than offset the negative foreign exchange effect recognized during the quarter.
The 30-day past due loan ratio for Cibest Corporate Group stood at 3.97% as of June 2026, improving from 4.02% in March 2026. The improvement was primarily attributable to the recovery of commercial loans among specific corporate clients in Colombia and business banking clients in El Salvador and Guatemala. The Group continues to actively manage its loan portfolios through prevention, containment, and recovery strategies aimed at anticipating the materialization of credit risks and preserving portfolio credit quality.
The credit cost in the second quarter of 2026 stood at 1.6%, representing a decrease of 34 basis points (18%) compared to the 1.9% recorded in the first quarter of 2026. This reduction continued to reflect the favorable evolution of portfolio credit quality, supported by the strong performance of the loan portfolios and the recoveries recorded during the period.
Separated
The portfolio is exposed to credit risks given the probability of incurring losses originated by the default in the payment of a coupon, principal and/or yields/dividends of a financial instrument by its issuer or counterparty. The probability of this type of events materializing may increase if there are scenarios of concentration in few issuers (counterparties) and whose credit performance is reflected by higher risk ratings.
Grupo Cibest maintains the control and continuous monitoring of the assigned credit risk limits, as well as the consumption thereof. Additionally, follows up and manages alerts on counterparties and issuers of securities, based on public market information and news related to their performance. This allows mitigating the risks of default or reduction of value for the managed positions.
In this context, as of the end of June 2026, the equity investments do not represent significant risk for Grupo Cibest, given the profile of the positions held and their observed performance during the period. Furthermore, as
of June 2026, the Grupo Cibest has no exposure to debt securities portfolio, compared to the position reported as of March 2026, as the existing investment reached maturity during the period. Consequently, no credit risk exposure is associated with this type of investment.
COUNTRY RISK
This risk refers to the possibility of incurring losses from financial transactions abroad due to a deterioration in the economic and/or sociopolitical conditions of the host country, whether caused by restrictions on currency transfers or by factors not attributable to the host country’s commercial and financial conditions. This definition includes, among others, sovereign risk (SR) and transfer risk (TR).
To ensure adequate management of country risk associated with the long-term investments made by Cibest Corporate Group in jurisdictions other than Colombia, where the holding company is based, at the Vice Presidency of Risk develops the guidelines, processes, and methodologies that define the materiality of such investments and enable the periodic management of the country risk to which they are exposed.
Consolidated
As a result of the application of these guidelines, as of June 2026, no alerts were issued for any of the investments assessed, nor was it necessary to recognize any impairment adjustments relative to the values recorded as of March 2026. Additionally, the value of the investments comprising the assessed portfolio experienced natural variations associated with earnings accumulation, declared dividends, and the appreciation of the Colombian peso against the U.S. dollar.
OPERATIONAL RISK
Operational risk refers to the probability that Cibest Corporate Group may incur losses as a result of failures or inadequacies in systems, processes, personnel, or infrastructure, as well as due to external events or factors. Operational risk may also arise from deficiencies in management models or in the information used.
For the proper management of risk, an operational risk management framework exists, the purpose of which is to ensure effective risk management that, to the extent possible, minimizes, avoids, or reduces the occurrence of adverse events and, should they occur, mitigates their consequences or associated costs. The operational risk management framework has not undergone any changes compared to what was disclosed in the previous quarter in terms of regulations, policies, methodologies, structure, or any other relevant element that could affect its effectiveness.
Consolidated
Losses incurred during the second quarter of 2026 amounted to COP 79.647 billion, representing a 46% decrease compared to the first quarter of the same year. This reduction is mainly explained by the materialization of an atypical event during the first quarter, associated with fraud due to check forgery, which increased the value of losses in that period. Additionally, efforts to strengthen transactional monitoring have continued, supported by the use of advanced analytics, contributing positively to the management and mitigation of risks associated with digital business channels.
Separated
During the second quarter of 2026, no losses were incurred that generated economic impacts for Grupo Cibest, evidencing an adequate control and risk management environment.
FINANCIAL LEVERAGE RISK
Separated
Grupo Cibest monitors its financial structure using the double leverage ratio, a key indicator that reflects the level of indebtedness used to finance investments in subsidiaries. This metric helps assess the risk that the holding company may face financial strain or solvency issues when such investments are primarily funded through debt, creating a two-tier leverage structure:
•At the holding company level, where debt is incurred to invest in subsidiaries.
•At the subsidiary level, where each entity may also carry its own debt.
As of the end of the second quarter of 2026, Grupo Cibest's double leverage ratio stood at 94.6%, compared to 92.8% at the end of the first quarter of 2026, representing an increase of 180 bps. This variation was primarily driven by the increase in the carrying value of the investment in Bancolombia, resulting from earnings generated during the period. Meanwhile, the Group's consolidated shareholders' equity totaled COP 38.40 trillion.
This level remains within the internal thresholds established by management and is subject to continuous monitoring as part of Grupo Cibest's financial risk management practices.
OTHER RELEVANT RISKS
The following is an analysis of the most significant risks for Cibest Corporate Group as of June 30, 2026. It should be noted that human talent, third-party, environmental and social, and sustainability risks did not present significant variations during the period and therefore maintain the assessment conditions previously reported.
•Regulatory And Legal Risk
During the second quarter of 2026, relevant regulatory changes were recorded in Colombia, Panama, Guatemala, and El Salvador that could have fiscal, accounting, and operational implications.
Colombia
•Decree 368 of 2026 (MHCP) – Open Finance System. Establishes a mandatory framework for the exchange of financial data among entities supervised by the Financial Superintendence of Colombia, subject to the data holder’s authorization and to the technical and operational standards to be developed by the supervisor. The implementation of the system requires significant investments in technology infrastructure, interoperability, cybersecurity, data governance, and consent management, which could increase compliance costs. Likewise, the participation of non-supervised third-party data recipients under a voluntary scheme raises challenges associated with fraud, information security incidents, and differences in data protection and governance standards, which may nevertheless provide a foundation for the development of open data models. At the same time, greater portability of financial information may foster increased competition while facilitating innovation and the development of new business models. This decree will be implemented gradually during the 2027-2028 period.
Panama
•Law No. 526 of 2026 introduced economic substance requirements in Panama for entities incorporated or domiciled in Panama that are part of a multinational group and earn foreign-source passive income, including interest, dividends, royalties, capital gains, and real estate income, effective from 2027. The law aims to align Panama with OECD standards and the BEPS initiative, strengthening tax transparency and supporting the country's removal from restrictive international lists. Importantly, the law does not modify Panama’s territorial tax regime.
Foreign-source income remains non-taxable. However, if an entity subject to the economic substance requirements fails to comply, a 15% tax rate will apply to its net foreign passive income, with the possibility of crediting taxes paid in other jurisdictions.
The entities of Cibest Corporate Group incorporated or domiciled in Panama will need to assess the type and level of economic substance required based on their activities, determine whether to implement the necessary controls to ensure compliance, or alternatively elect to pay the applicable tax on foreign-source passive income, net of related expenses and taxes paid on such income in other jurisdictions, as applicable.
•Agreement No. 3-2026 issued by the Superintendency of Banks of Panama. The agreement consolidates and further develops the criteria for the imposition and calibration of administrative sanctions applicable to banks for non-compliance with anti-money laundering (AML), counter-terrorist financing (CTF), and counter-proliferation financing (CPF) requirements. It also clarifies and supplements provisions already established under the Banking Law, Law 23 of 2015, Executive Decrees, and other regulatory agreements and rules issued by the Superintendency of Banks of Panama (SBP), with the objective of specifying the criteria used by the SBP to determine sanctions applicable to banks.
From an AML perspective, the agreement reinforces the importance of maintaining effective compliance programs, adequate internal controls, customer due diligence procedures, and risk monitoring mechanisms. It establishes mitigating and aggravating factors to assess the severity of violations and determine sanctions proportionate to the level of non-compliance. Through these measures, the SBP seeks to strengthen AML/CFT risk management and promote a more consistent application of the existing regulatory framework.
•Executive Decree No. 25-2026 (CRS: Law 51 of 2016; FATCA: Law 47 of 2016) amended the rules applicable to CRS and FATCA by reducing from 25% to 10% the ownership threshold used to identify Controlling Persons of Passive Non-Financial Entities (NFEs). As a result, a larger number of beneficial owners must be considered for due diligence and reporting purposes, expanding the scope of identification and monitoring obligations for financial institutions.
This amendment aligns the CRS and FATCA requirements with the beneficial ownership standards established under Panama’s banking and anti-money laundering regulations, while maintaining the identification methodology based on ownership, control through other means, and, ultimately, senior managing officials.
Agreement No. 1-2026 issued by the Superintendency of the Securities Market (SMV). The agreement establishes guidelines for the identification, assessment, and comprehensive management of risks associated with the activities carried out by brokerage firms and investment managers, taking into account their materiality, relevance, likelihood of occurrence, and potential impact. These guidelines
are intended to strengthen corporate governance, internal controls, and risk management culture within organizations and must be implemented within 12 months, that is, by May 2027.
Guatemala
During the period, relevant regulatory developments were identified in Guatemala, particularly in the areas of anti-money laundering, insurance distribution, and concentration of investments and contingencies. These developments strengthen the regulatory framework applicable to the financial system and give rise to operational and compliance implications.
•Decree 15-2026 – Comprehensive Law for the Prevention and Suppression of Money Laundering, Other Assets, and Terrorist Financing. Replaced the existing legal framework and incorporated a comprehensive risk-based approach, strengthening obligations related to corporate governance, compliance programs, beneficial ownership, due diligence, monitoring, record retention, and supervision.
•Resolution JM-69-2026. Amended the regulatory framework applicable to insurance distribution, strengthening distribution mechanisms, participant requirements, and the controls associated with this activity. The resolution requires an assessment of potential adjustments to internal regulations, processes, and controls applicable to the insurance entities of Bam.
•Resolution JM-38-2026. Amended the Regulation on Concentration of Investments and Contingencies (JM-42-2013), strengthening the criteria for the identification of related parties, affiliated parties, and management relationships. These amendments affect the determination of risk units and the assessment of compliance with concentration limits, requiring adjustments to methodologies and controls prior to their entry into force.
El Salvador
During the second quarter of 2026, regulatory developments were primarily driven by new guidelines and amendments to technical standards associated with the modernization of payment systems and the strengthening of prudential risk management. In this context, the gradual implementation of the Central Reserve Bank’s Pay electronic wallet stood out, with its launch expected in July 2026. This process includes the incorporation of interoperable QR payments, the provision of cash-in and cash-out services through bank branches, new operational obligations for participating institutions, and adjustments to payment infrastructure. These measures have required technological enhancements, strengthened controls and cybersecurity measures, as well as adjustments to customer service channels and transaction processing.
During the period, Guideline NRSF-05 – Technical Aspects of the Technical Standards for the Preparation of Resolution Plans was issued, establishing requirements that the bank must implement to strengthen its recovery and resolution frameworks.
In addition, amendments were approved to the following regulations:
•NCM-02 – Technical Standards for the Transparency and Disclosure of Information on Banking Financial Services, establishing obligations related to contractual arrangements, non-discriminatory treatment, and access to financial services for all customer segments.
•NRP-41 – Technical Standards on the Procedure for the Collection of Information for the Central Credit Risk System, whose main impact relates to the developments required in information management, credit classification, and regulatory reporting.
•NRP-36 – Technical Standards for the Management of Money Laundering, Asset Laundering, Terrorist Financing, and Financing of the Proliferation of Weapons of Mass Destruction Risks (NRP-36), together with other complementary provisions, aimed at aligning the regulatory framework with the new legislation currently in force.
Political Risk
During the second quarter of 2026, several factors were identified that could represent relevant political risks for the countries of Colombia and El Salvador.
Colombia
Between April and June 2026, presidential elections were held for the 2026–2030 term. Abelardo de la Espriella, an opposition candidate to the 2022–2026 administration and with no explicit political party affiliation, was elected President of the Republic and was sworn in on August 7, 2026.
The change in administration is expected to have significant public policy implications, based on proposals announced during the campaign and in the period following the election, prior to the President-elect taking office. These include: (i) strengthening the role of technical criteria in public administration; (ii) reshaping relationships with the other branches of government, oversight bodies, the private sector, and foreign governments; and (iii) redefining the country’s policy priorities. Nevertheless, the approval of the new administration’s legislative agenda will depend on its ability to build a robust coalition in Congress, given that no political party holds a majority. Legislative fragmentation could hinder the passage of structural reforms and delay the implementation of the government’s policy agenda.
For the second half of 2026, uncertainty remains regarding governability after the change of government and the possibility of higher levels of political and social polarization.
From the judicial branch, the Constitutional Court declared Decree 150 of 2026 (Rainfall Emergency) partially constitutional, limiting its scope to measures directly applicable to the affected regions and aimed at mitigating the impacts of the severe weather event. In this context, the Court struck down provisions related to: (i) the financial crisis affecting public utilities companies; and (ii) the powers granted to the National Land Agency for the demarcation and recovery of public assets. Similarly, the Court declared unconstitutional the amendments to the mandatory investment framework, while constitutional review remains pending for several legislative decrees issued under the state of emergency declaration, including those containing tax measures.
In turn, the Council of State provisionally suspended Decree 415 of 2026, which sought to transfer pension-related resources to Colpensiones, a measure that would have had significant implications for the liquidity of the pension system.
El Salvador
During the second quarter of 2026, the 52nd extension of the state of exception on public security matters was approved, maintaining the suspension of certain constitutional guarantees that have been in effect since March 2022.
Constitutional amendments related to electoral matters were also enacted, incorporating legislative representation for Salvadorans living abroad and modifying the mechanism for the appointment of magistrates of the Supreme Electoral Tribunal. An additional constitutional amendment was ratified establishing life imprisonment for certain serious crimes.
During the quarter, implementation of the program agreed with the International Monetary Fund (IMF) continued. The program includes commitments related to fiscal sustainability, governance, transparency, and structural reforms, including pending measures concerning public finances and the pension system.
•Economic and sectoral environment
The global environment remains shaped by elevated geopolitical uncertainty, driven by the conflict in the Middle East and the fragility of the agreements reached in the region. Although energy markets have experienced temporary periods of relief, risks of oil supply disruptions persist, contributing to renewed inflationary pressures across several economies and prompting major central banks to maintain a cautious and, in some cases, restrictive policy stance. Against this backdrop, energy price volatility, U.S. dollar strength, and heightened global risk aversion continue to pose meaningful challenges for emerging markets.
Colombia
Colombia’s economy continues to move through a process of macroeconomic stabilization, while still facing significant challenges related to growth, inflation, and fiscal sustainability. Economic activity has shown signs of expansion, with the GDP expected to grow by 2.6% in 2026, supported mainly by private consumption and government spending. However, private investment remains subdued, particularly in sectors such as construction and mining, limiting the economy’s structural growth capacity and leaving the recovery reliant on temporary sources of demand.
At the same time, inflation resumed an upward trend, reaching 6.14% year over year in June, its highest level since July 2024. Price pressures remain concentrated in services, food, and regulated items, amid strong indexation mechanisms and the lagged effects of the minimum wage increase. As a result, inflation expectations remain above the Central Bank's target range, suggesting that convergence toward the target will be slower than previously expected.
In response to inflationary pressures, the Central Bank resumed its rate-hiking cycle in 2026 and raised the benchmark policy rate to 12.00% in June. The Central Bank has reiterated its concern over persistent inflationary pressures and is therefore expected to maintain a restrictive monetary policy stance for an extended period. According to our forecasts, the policy rate could increase to 12.75% in the coming months.
Finally, with the electoral process now concluded, sovereign risk premiums have declined, and market attention has shifted back toward Colombia’s public finances. The new administration’s main challenges will be related to implementing a credible fiscal adjustment capable of correcting a fiscal deficit of 6.5% of GDP in 2026 and stabilizing the public debt trajectory. However, the scale of the required adjustment poses significant political, social, and administrative challenges. In this context, the administration’s ability to build consensus and preserve political capital will be critical to advancing the necessary reforms and sustaining investor confidence.
Panama
Panama’s economy accelerated, with growth increasing from 4.4% in 2025 to 4.8% in the first quarter of 2026. As has typically been the case, the main driver of this expansion was activity related to transportation and logistics services associated with the Panama Canal and the country’s other seaports. However, disruptions caused by the war in the Middle East and higher global transportation costs have led to a significant slowdown
in Canal activity. As a result, growth in the transportation sector declined from 14.5% last year to 8.2% year over year in the first quarter. By contrast, construction has gained momentum recently and has helped offset the slowdown in maritime transportation, with growth rising from 2.7% to 6.6% over the same period.
Overall, we expect the weaker momentum in Canal operations to persist while the conflict in the Middle East remains active, despite efforts by some countries in the Americas and Asia to replace suppliers whose goods transit through the Strait of Hormuz with imports from countries that can ship goods through the Panama Canal. This outlook is further compounded by the arrival of El Niño in mid-June, which in Panama is typically associated with lower rainfall and more severe drought conditions. Against this backdrop, authorities have begun implementing preventive measures, including a reduction in the maximum permitted draft —that is, the portion of a vessel that remains submerged below the waterline— for ships transiting the Canal. This measure could deepen disruptions to international trade by affecting shipping companies’ tonnage decisions on each voyage. Together with potential impacts on agricultural exports such as fish, seafood, and bananas, these factors would lead to a slowdown in growth to 3.8%.
Guatemala
Guatemala continues to post stronger growth figures than many Latin American economies. During the first quarter of the year, economic activity expanded by 4.5%. Public-sector efforts to promote the execution of projects aimed at improving port and road infrastructure, as well as expanding the scope and coverage of social support programs, have represented institutional progress in the right direction. Looking ahead, however, part of domestic demand, which has performed favorably so far, could be affected by the expected slowdown in remittance inflows.
After growing by 18.7% last year, remittances have slowed to 4.8% as of June. This reflects not only a high comparison base from 2025, but also the beginning of the depletion of assets that migrants in the United States can liquidate to sustain the pace of transfers observed last year, in response to a much more restrictive U.S. immigration policy. In this context, sectors such as commerce and even rural housing construction —which is largely financed by remittances— could also experience a slowdown.
On the price front, although inflation has increased in recent months and is gradually approaching the Bank of Guatemala’s 4.0% target, monetary policy remains cautious. These price increases have mainly resulted from supply shocks associated with the conflict in the Middle East and the arrival of El Niño. In this sense, inflation has not necessarily reflected stronger economic activity or domestic demand, but rather factors that erode households’ purchasing power. This has raised concerns within the central bank, which is expected to seek to contain price increases in the economy.
El Salvador
El Salvador’s economy has been supported since last year by the widespread contracting and execution of public and private infrastructure projects. As a result, growth has remained favorable, reaching 4.8% in the first quarter of this year. In this context, construction has generated spillover effects across other sectors of the economy, including financial activities and trade in intermediate goods related to these projects.
However, the country’s dependence on remittances highlights some of the external vulnerabilities it faces. The increase in deportations, together with growing restrictions on access to financial products and on the use of formal channels to send remittances, is expected to continue deepening the slowdown in these transfers. In addition, as an importer of fuels and fertilizers, El Salvador is particularly vulnerable to fluctuations in global supply chains and international commodity prices, which remain distorted by the war in the Middle East.
•Business continuity and technology failures
As part of the efforts to strengthen operational resilience, business continuity, and technology risk management, progress was made in the modernization of critical services and infrastructure through the adoption of cloud architecture, the implementation of a fourth-generation core banking system, and the configuration of high availability and contingency capabilities, including multi-region schemes in AWS for withdrawal services and alternate mechanisms that ensure the continuity of critical channels in the event of failures.
Additionally, the definition of observability standards was strengthened and disaster recovery solutions for certain channels, which together enhance the ability to anticipate, respond to, and recover from unavailability events, reducing the impact on services and improving customers’ experience.
•Model Risk
Analytical models continue to be essential tools for supporting objective and efficient decision-making in financial risk management and other relevant processes across Cibest Corporate Group. During the quarter, the model risk management framework continued to be strengthened, with a focus on model inventory traceability, independent validation, and the control environment surrounding the models used to calculate expected credit losses. In this context, progress was made in reviewing and refining the corporate model inventory and defining a methodology for its periodic certification. Guidelines for assessing material changes were also formalized, and further consolidated the application of the SOX control over independent validation implemented during the previous quarter. Through these advances, the reliability of estimates, the transparency of financial information, and the prioritization of management actions based on the materiality and risk level of the models were reinforced.
In parallel, progress was made in the development of automation solutions designed to optimize validation processes, model performance monitoring, backtesting, and the management of findings and remediation plans. As part of these initiatives, intelligence-based capabilities were developed to support analysis and quality control activities, subject to human review and oversight. Finally, recent changes in international benchmarks were assessed to continue evolving the framework toward a proportional, risk-based approach, including the governance of models incorporating artificial intelligence.
•Cybersecurity and information security risk
During the second quarter of 2026, the cyber risk management framework continued to be strengthened through the consolidation of the risk appetite model, expanding visibility and coverage on the main sources of vulnerabilities and critical technological components. This work has improved the ability to monitor and analyze the level of exposure of Cibest Corporate Group, facilitating more informed decision-making in the face of the emerging risks of the digital environment.
•Internal Fraud Risk
In the second quarter of 2026, the redesign of the internal fraud risk management structure was highlighted, aimed at consolidating fraud management with a forward-looking approach, integrating capabilities for prevention, investigation, analytics, and continuous improvement. Cross-functional synergies with other areas are currently being developed to strengthen risk management.
•AML/CFT and Corruption Risk.
In compliance with applicable regulatory requirements and under a risk-based approach, risk management systems continued to operate comprehensively through prevention, detection, and response processes.These
systems constitute a fundamental element of the corporate governance framework and the culture of compliance promoted throughout the organization.
In an environment characterized by constant change, emerging regulatory challenges, and the ongoing evolution of compliance risks, the commitment to continuously strengthening control and monitoring mechanisms is maintained, incorporating best practices and promoting proactive risk management.
During the reporting period, the following corporate initiatives are highlighted:
•As part of our continuity plan and ongoing efforts to identify and monitor regulatory changes in the jurisdictions where Cibest Corporate Group operates, actions continued to be prioritized to address gaps, improvement opportunities, and potential impacts on risks in El Salvador, Panama, Guatemala, and Colombia. This reinforces the need to further strengthen the compliance control environment in alignment with international standards, with the objective of protecting the reputation and sustainability of Cibest Corporate Group.
•Regarding Grupo Cibest's control environment, the work being carried out in relation to investor protection and investor relations is highlighted, strengthening transparency, trust, and the effective management of investors’ interests.
•The Corporate Code of Ethics and Conduct was updated, incorporating adjustments to provisions applicable to employees with potential access to insider information and/or Material Non-Public Information. In addition, guidelines related to corruption risk management were strengthened, taking into account recommendations provided by a specialized external firm.
•As part of strengthening the compliance culture and the integrated risk management framework, virtual training courses related to AML/CFT prevention, anti-corruption, and other compliance risks were made available to employees during the period. These training programs serve as a fundamental tool to promote ethical conduct, enhance awareness of regulatory obligations, and increase employees’ ability to identify and timely report risk situations.
•From the compliance function, acting as an enabler of responsible and transparent decision-making, progress was made in the consolidation of a corporate data architecture designed to support integrated risk management, strengthen visibility across Cibest Corporate Group on a consolidated basis, and identify information, traceability, and decision-making gaps. This progress provides an opportunity to further leverage information strategically, focus control efforts, and strengthen corporate governance through a more effective, coordinated, and data-driven risk management approach.
•The positive results obtained during recent regulatory inspections in Panama and Puerto Rico demonstrate the favorable evolution of the compliance programs and reinforce confidence in their maturity and effectiveness.
These initiatives reaffirm the commitment, to a robust compliance function aligned with the corporate strategy, contributing to stronger governance and the creation of sustainable value for shareholders.
•Risk Of External Fraud
The fraud management strategy was strengthened by combining innovation, prevention, and protection to deliver safer digital experiences. Progress was made in enhancing biometric authentication capabilities, reinforcing customer identification and the prevention of identity fraud. Likewise, new self-service tools were enabled across digital channels, allowing customers to manage risks in a timely manner and reduce their exposure to fraud.
These initiatives, together with the implementation of more preventive service models and the incorporation of controls against emerging threats, contribute to delivering a safer, simpler, and more reliable digital experience for customers.
IV.MATERIAL VARIATIONS IN THE INFORMATION REPORTED IN THE CORPORATE GOVERNANCE ANALYSIS CHAPTER DURING THE QUARTER
The material changes to the information reported in the Corporate Governance analysis chapter of the most recent periodic year-end report are set forth below.
(i) Composition of Senior Management
On May 26, 2026, the Board of Directors of Grupo Cibest approved the elimination of the Vice Presidency of Payments, Flows and Insurance of Grupo Cibest, a position held by Liliana Patricia Vásquez Uribe, who was appointed Corporate Vice President of Payments, Flows and Insurance of Bancolombia.
(ii) Composition of the Board of Directors’ Supporting Committees
On April 21, 2026, it was disclosed to the market that the Board of Directors of Grupo Cibest approved a change in the composition of the Risk Committee. As a result, the Risk Committee is now composed as follows:
Risk Committee
•Andrés Felipe Mejía Cardona
•Silvina Vatnick
•Nicolás Zapata Zuluaga
The other Board committees did not undergo any changes and continue to be composed in the same manner as previously disclosed to the market through the Relevant Information notice dated June 18, 2025.
V.MATERIAL CHANGES THAT HAVE OCCURRED IN PRACTICES, PROCESSES, POLICIES AND INDICATORS IN RELATION TO SOCIAL AND ENVIRONMENTAL CRITERIA, INCLUDING CLIMATE CRITERIA.
During the quarter, as a result of the divestiture of Banistmo, Cibest Corporate Group's 2030 Sustainable Finance target was revised from COP 688 trillion to COP 629 trillion (figures restated using the exchange rate as of June 30, 2026), reflecting the removal of the USD 17 billion 2030 target previously disclosed by this subsidiary.
VI.MATERIAL CHANGES PRESENTED IN THE FINANCIAL STATEMENTS OF THE ISSUER BETWEEN THE REPORTED QUARTER AND THE DATE OF TRANSMISSION OF THE INFORMATION
Debt instruments issuance
On July 8, 2026, Bancolombia completed the issuance of COP 1 trillion of subordinated bonds recognized as Additional Tier 1 (AT1) capital instruments, fully subscribed by Grupo Cibest. This transaction constitutes Bancolombia’s first issuance of AT1 instruments in the local capital market and was undertaken to
strengthen the Bank’s capital base, optimize its regulatory capital structure, and support its solvency requirements in accordance with applicable prudential regulations.
Acquisition of Avista Colombia
On August 3, 2026, Estrategias Cibest S.A.S., a subsidiary of Grupo Cibest, acquired 100% of the shares of Avista Colombia, following the fulfillment of the conditions required for the closing of the transaction. Avista Colombia is a company specialized in digital financing solutions, with a focus on payroll deduction loans and other products associated with payroll and pensions.
The acquisition is part of Grupo Cibest’s growth strategy and its efforts to strengthen its business ecosystem, enabling the Group to expand its offering of financial solutions for different segments of the population and generate opportunities for financial, operational, commercial and technological synergies. Avista Colombia will continue to operate independently, maintaining its brand, business strategy and operating model.
Extraordinary Dividend of Grupo Cibest S.A.
An extraordinary meeting of the Shareholders Meeting of Grupo Cibest was called for August 26, 2026, for the purpose of submitting the following proposal for its consideration:
1.The partial reallocation of the discretionary reserve named “For Equity Strengthening and Future Distributions” in the amount of COP 1,200,665, to be used for an extraordinary dividend distribution.
2.The payment of an extraordinary dividend of COP 1,271 per share, payable in a single installment on September 1, 2026.
Decrease in the Market Representative Exchange Rate
Subsequent to June 30, 2026, the reporting date, and through August 10, 2026, the date on which these Financial Statements were authorized for issuance, the Colombian Market Representative Exchange Rate decreased by COP 315.36, from COP 3,440.83 to COP 3,125.47 per U.S. dollar, respectively. This decrease reflects a strengthening of the Colombian peso against the U.S. dollar during the period following the reporting date and, therefore, does not result in any adjustment to the amounts recognized as of June 30, 2026. This event is disclosed because it could have a significant impact on the future performance and valuation of assets and liabilities denominated in foreign currency.
VII. ANNEXES
| | | | | | | | | | | | | | |
| | | | |
| Contacts | | | | |
| Mauricio Botero Wolff | Catalina Tobon Rivera | | |
Strategy and Financial Vp | IR Director | | |
| Tel.: (57 604) 4040858 | Tel: (57 601) 4485950 | | |
| | IR@grupocibest.com.co | | |
CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
For the six-months period ended June 30, 2026 and 2025 and the three-months period from April to June 30, 2026 and 2025
CONDENSED CONSOLIDATED INTERIM STATEMENT OF FINANCIAL POSITION
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
As of June 30, 2026 and December 31, 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | |
| Note | June 30, 2026 | December 31, 2025(1) |
| ASSETS | | | |
| Cash and cash equivalents | 4 | 30,989,362 | 29,916,400 |
| Financial assets investments | 5.1 | 48,219,272 | 34,317,259 |
| Derivative financial instruments | 5.2 | 8,038,465 | 4,417,863 |
| Financial assets investments and derivative financial instruments | | 56,257,737 | 38,735,122 |
| Loans and advances to customers | | 262,273,181 | 256,353,981 |
| Allowance for loans, advances, and lease losses | | (13,483,030) | | (13,253,946) | |
| Loans and advances to customers, net | 6 | 248,790,151 | 243,100,035 |
| Assets held for sale and inventories, net | | 804,695 | 666,361 |
| Investment in associates and joint ventures | | 3,445,832 | 3,311,506 |
| Investment properties | 7 | 6,644,209 | 6,595,407 |
| Premises and equipment, net | | 5,186,195 | 5,406,874 |
| Right-of-use assets, lease | | 1,373,791 | 1,329,718 |
| Goodwill and intangible assets, net | | 2,389,663 | 2,537,180 |
| Deferred tax, net | 8.5 | 170,691 | 1,750,097 |
| Assets related to investments in subsidiaries held for sale | | - | 40,309,257 |
| Other assets, net | | 7,029,945 | 6,094,423 |
| TOTAL ASSETS | | 363,082,271 | 379,752,380 |
| LIABILITIES AND EQUITY | | | |
| LIABILITIES | | | |
| Deposits by customers | 9 | 271,046,925 | 264,413,956 |
| Interbank deposits and repurchase agreements and other similar secured borrowing | 10 | 6,829,106 | 706,149 |
| Derivative financial instruments | 5.2 | 9,342,967 | 4,514,630 |
| Borrowings from other financial institutions | | 8,774,860 | 9,356,428 |
| Debt instruments in issue | | 6,987,255 | 7,409,693 |
| Lease liabilities | | 1,372,736 | 1,325,039 |
| Preferred shares | | 554,091 | 583,477 |
| Current tax | | 1,911,186 | 701,452 |
| Deferred tax, net | 8.5 | 1,471,627 | 2,903,375 |
| Employee benefit plans | | 893,350 | 947,610 |
| Liabilities related to investments in subsidiaries held for sale | | - | 34,416,684 |
| Other liabilities | 11 | 14,501,739 | 11,478,253 |
| TOTAL LIABILITIES | | 323,685,842 | 338,756,746 |
| EQUITY | | | |
| Share capital | | 480,914 | 480,914 |
| Additional paid-in-capital | | 4,857,491 | 4,857,491 |
| Appropriated reserves | 13 | 21,777,638 | 23,436,138 |
| Retained earnings | | 4,280,145 | 3,376,023 |
| Net income attributable to equity holders of the Parent Company | | 4,187,455 | 3,820,634 |
| Accumulated other comprehensive income, net of tax | | 2,540,029 | 3,783,433 |
| SHAREHOLDERS’ EQUITY ATTRIBUTABLE TO THE OWNERS OF THE PARENT COMPANY | | 38,123,672 | 39,754,633 |
| Non-controlling interest | | 1,272,757 | 1,241,001 |
| TOTAL EQUITY | | 39,396,429 | 40,995,634 |
| TOTAL LIABILITIES AND EQUITY | | 363,082,271 | 379,752,380 |
(1)The accumulated value as of December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. For more information, see Note 1. Reporting Entity.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements.
CONDENSED CONSOLIDATED INTERIM STATEMENT OF INCOME
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
For the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025
(Stated in millions of Colombian pesos, except EPS stated in units of pesos)
| | | | | | | | | | | | | | | | | |
| | Accumulated | Quarterly |
| Note | 2026(1) | 2025(1) | 2026(1) | 2025(1) |
| Interest on loans and financial leases | | | | | |
| Commercial | | 7,616,733 | 7,312,773 | | 4,030,973 | 3,693,500 | |
| Consumer | | 4,523,846 | 3,702,071 | | 2,311,820 | 1,863,564 | |
| Mortgage | | 2,224,915 | 1,891,818 | | 1,154,499 | 949,898 | |
| Financial leases | | 1,759,729 | 1,592,687 | | 916,476 | 801,117 | |
| Small business loans | | 132,585 | 87,240 | | 65,724 | 47,866 | |
| Total interest income on loans and financial leases | | 16,257,808 | 14,586,589 | | 8,479,492 | 7,355,945 | |
| Interest on debt instruments using the effective interest method | 14.1 | 474,596 | 356,140 | | 272,972 | 177,540 | |
| Total Interest on financial instruments using the effective interest method | | 16,732,404 | 14,942,729 | | 8,752,464 | 7,533,485 | |
| Interest income on overnight and market funds | | 44,452 | 53,697 | | 22,149 | 21,513 | |
| Interest and valuation on financial instruments | 14.1 | 930,273 | 734,343 | | 679,396 | 403,434 | |
| Total interest and valuation on financial instruments | | 17,707,129 | 15,730,769 | | 9,454,009 | 7,958,432 | |
| Interest expenses | 14.2 | (6,487,458) | (6,107,919) | | (3,416,764) | (3,083,514) | |
| Net interest margin and valuation on financial instruments before impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | | 11,219,671 | 9,622,850 | | 6,037,245 | 4,874,918 | |
| Credit impairment charges on loans, advances and financial leases, net | 6 | (2,190,788) | (2,104,078) | | (988,154) | (1,031,225) | |
| Impairment for other financial instruments | 5.1 - 12 | (61,793) | (37,265) | | (35,167) | (28,620) | |
| Total credit impairment charges, net | | (2,252,581) | (2,141,343) | | (1,023,321) | (1,059,845) | |
| Net interest margin and valuation on financial instruments after impairment on loans and financial leases and off balance sheet credit instruments and other financial instruments | | 8,967,090 | 7,481,507 | | 5,013,924 | 3,815,073 | |
| Fees and commissions income | 14.3 | 4,118,998 | 3,707,158 | | 2,113,539 | 1,913,904 | |
| Fees and commissions expenses | 14.3 | (1,493,637) | (1,451,259) | | (739,254) | (746,252) | |
| Total fees and commissions, net | | 2,625,361 | 2,255,899 | | 1,374,285 | 1,167,652 | |
| Other operating income | 14.4 | 1,799,769 | 1,645,174 | | 945,042 | 817,616 | |
| Dividends and net income on equity investments | 14.5 | 301,714 | 257,092 | | 170,904 | 121,210 | |
| Total operating income, net | | 13,693,934 | 11,639,672 | | 7,504,155 | 5,921,551 | |
| Operating expenses | | | | | |
| Salaries and employee benefits | 15.1 | (3,097,483) | (2,864,998) | | (1,543,663) | (1,454,799) | |
| Other administrative and general expenses | 15.2 | (2,912,728) | (2,883,060) | | (1,467,156) | (1,505,537) | |
| Taxes other than income tax | 15.2 | (813,141) | (728,170) | | (389,203) | (379,932) | |
| Wealth tax | | (374,823) | - | | (778) | - | |
| Depreciation, amortization, and impairment | 15.3 | (495,625) | (483,143) | | (248,583) | (241,330) | |
| Total operating expenses | | (7,693,800) | (6,959,371) | | (3,649,383) | (3,581,598) | |
| Profit continued operation before tax | | 6,000,134 | 4,680,301 | | 3,854,772 | 2,339,953 | |
| Income tax from continued operation | 8 | (1,697,277) | (1,287,722) | | (987,741) | (619,970) | |
| Net income continued operation | | 4,302,857 | 3,392,579 | | 2,867,031 | 1,719,983 | |
Net Income (loss) from discontinued operation(1)(2) | | (35,700) | 201,142 | | (85,753) | 108,963 | |
| Net income | | 4,267,157 | 3,593,721 | | 2,781,278 | 1,828,946 | |
| Net income attributable to equity holders of the Parent Company | | 4,187,455 | 3,528,967 | | 2,730,344 | 1,791,303 | |
| Non-controlling interest | | 79,702 | 64,754 | | 50,934 | 37,643 | |
| Basic and diluted earnings per share to common shareholders, stated in units of pesos | 16 | 4,438 | 3,699 | | 2,892 | 1,877 | |
| From continued operation | 16 | 4,476 | 3,490 | | 2,982 | 1,764 | |
| From discontinued operation | 16 | (38) | 209 | | (90) | 113 | |
(1)The value for Banistmo S.A. for 2026 and 2025 were presented as discontinued operations, given its classification as an asset held for sale as of December 18, 2025. This presentation is made with the purpose of ensuring the comparability of the information in accordance with the requirements set forth in IFRS 5.
(2)The accumulated value as of June 30, 2026 and 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. For more information, see Note 1. Reporting Entity and Note 8. Income Tax.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements.
CONDENSED CONSOLIDATED INTERIM STATEMENT OF COMPREHENSIVE INCOME
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
For the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | | | | | | | |
| | Accumulated | Quarterly |
| Note | 2026 | 2025 | 2026 | 2025 |
| Net income | | 4,267,157 | | 3,593,721 | | 2,781,278 | | 1,828,946 | |
| Other comprehensive income/(loss) that will not be reclassified to net income | | | | | |
| Remeasurement income related to defined benefit liability | | 13,291 | | 14,985 | | 13,290 | | 14,985 | |
Disposal of subsidiaries(1) | | 3,695 | | - | | 3,695 | | - | |
| Income tax | 8.4 | (3,174) | | (5,465) | | (3,238) | | (5,492) | |
| Net of tax amount | | 13,812 | | 9,520 | | 13,747 | | 9,493 | |
| Investments in equity instruments measured at fair value through other comprehensive income (FVTOCI) | | | | | |
| Unrealized (loss)/gain | | (15,663) | | 13,829 | | (15,919) | | 9,851 | |
Disposal of subsidiaries(1) | | (43,168) | | - | | (43,168) | | - | |
| Income tax | 8.4 | 3,421 | | 1,273 | | 3,556 | | 873 | |
| Net of tax amount | | (55,410) | | 15,102 | | (55,531) | | 10,724 | |
| Gains on asset revaluation | | | | | |
| Income tax | 8.4 | 356 | | - | | 356 | | - | |
| Net of tax amount | | 356 | | - | | 356 | | - | |
| Total other comprehensive income that will not be reclassified to net income, net of tax | | (41,242) | | 24,622 | | (41,428) | | 20,217 | |
| Other comprehensive income/(loss) that may be reclassified to net income | | | | | |
| Investments in debt instruments measured at fair value through other comprehensive income (FVTOCI) | | | | | |
| | | | | |
| Unrealized gain/(loss) | | 35,556 | | (2,197) | | 56,134 | | 1,846 | |
| | | | | |
| Change in allowance | | 16,411 | | 2,533 | | 17,878 | | 4,673 | |
| Income tax | 8.4 | (22,112) | | 5,923 | | (33,129) | | 2,408 | |
| Net of tax amount | | 29,855 | | 6,259 | | 40,883 | | 8,927 | |
| Foreign currency translation adjustments: | | | | | |
| Exchange differences arising on translating the foreign operations | | (1,078,139) | | (1,610,582) | | (728,900) | | (536,689) | |
| Gain on net investment hedge in foreign operations | | 135,355 | | 230,626 | | 93,848 | | 38,362 | |
Disposal of subsidiaries(1) | | (225,000) | | - | | (225,000) | | - | |
| Income tax | 8.4 | (54,142) | | (125,648) | | (37,539) | | (54,494) | |
Net of tax amount | | (1,221,926) | | (1,505,604) | | (897,591) | | (552,821) | |
| Cash flow hedges | | | | | |
| Net (loss)/gain from cash flow hedges | | (28,093) | | (361) | | (20,563) | | 8 | |
| Reclassification to the Statement of Income | | 9,127 | | 145 | | 5,218 | | (162) | |
| Income tax | 8.4 | 9,821 | | 87 | | 6,137 | | 62 | |
Net of tax amount | | (9,145) | | (129) | | (9,208) | | (92) | |
| Unrealized (loss)/gain on investments in associates and joint ventures using equity method | | (946) | | (446) | | 131 | | (196) | |
| Income tax | 8.4 | - | | (599) | | - | | (670) | |
| Net of tax amount | | (946) | | (1,045) | | 131 | | (866) | |
| Total other comprehensive income that may be reclassified to net income, net of tax | | (1,202,162) | | (1,500,519) | | (865,785) | | (544,852) | |
| Other comprehensive income, attributable to the owners of the Parent Company, net of tax | | (1,243,404) | | (1,475,897) | | (907,213) | | (524,635) | |
| Other comprehensive income, attributable to the Non-controlling interest | | (159) | | 278 | | (1,149) | | (693) | |
| Total comprehensive income attributable to: | | 3,023,594 | | 2,118,102 | | 1,872,916 | | 1,303,618 | |
| Equity holders of the Parent Company | | 2,944,053 | | 2,053,070 | | 1,823,131 | | 1,266,668 | |
| Non-controlling interest | | 79,543 | | 65,032 | | 49,785 | | 36,950 | |
(1) Corresponds to the sale of the subsidiary Banistmo S.A. completion on June 30, 2026. For additional information, see to Note 1, Reporting Entity.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements.
CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
For the six-months period ended June 30, 2026, and 2025
(Stated in millions of Colombian pesos, except per share amounts stated in units of pesos)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Attributable to owners of Parent Company | | |
| | | | | Accumulated other comprehensive income | | | | | |
| | | | | | | | | | | | | | | | |
| Share
Capital | Additional
Paid in
capital | Appropriated
Reserves
(Note 13) | Share buyback reserve(1) | Translation
adjustment | Cash flow hedging | Equity
Securities
through OCI | Debt
instruments
at fair value
through OCI | Revaluation
of assets | Associates | Employee
Benefits | Retained
earnings | Net
Income | Attributable
to owners
of Parent
Company | Non-
Controlling
interest | Total
equity |
| Balance as of January 1, 2026 | 480,914 | | 4,857,491 | | 22,517,556 | | 918,582 | | 3,622,655 | | (5,587) | | 209,902 | | (9,170) | | 1,781 | | 4,491 | | (40,639) | | 3,376,023 | | 3,820,634 | | 39,754,633 | | 1,241,001 | | 40,995,634 | |
| Transfer to profit from previous years | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | 3,820,634 | | (3,820,634) | | - | | - | | - | |
Dividend payment corresponding to 509,103,132 common shares and 444,111,532 preferred shares without voting rights, subscribed, paid and in circulation as of December 31, 2025, at a rate of COP 4,512 per share.(2) | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | (4,243,931) | | - | | (4,243,931) | | - | | (4,243,931) | |
| Constitution of reserves | - | | - | | (927,301) | | 431,418 | | - | | - | | - | | - | | - | | - | | - | | 459,469 | | - | | (36,414) | | - | | (36,414) | |
| Share buyback | - | | - | | - | | (536,319) | | - | | - | | - | | - | | - | | - | | - | | - | | - | | (536,319) | | - | | (536,319) | |
| | | | | | | | | | | | | | | | |
| Others | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | (22,821) | | - | | (22,821) | | - | | (22,821) | |
| Non-controlling interest | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | (47,787) | | (47,787) | |
Disposal of subsidiaries(3) | - | | - | | (626,298) | | - | | (225,000) | | - | | (43,168) | | - | | - | | - | | 3,695 | | 890,771 | | - | | - | | - | | - | |
| Net Income | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | 4,187,455 | | 4,187,455 | | 79,702 | | 4,267,157 | |
| Other comprehensive income(4) | - | | - | | - | | - | | (996,926) | | (9,145) | | (12,242) | | 29,855 | | 356 | | (946) | | 10,117 | | - | | - | | (978,931) | | (159) | | (979,090) | |
| Balance as of June 30, 2026 | 480,914 | | 4,857,491 | | 20,963,957 | | 813,681 | | 2,400,729 | | (14,732) | | 154,492 | | 20,685 | | 2,137 | | 3,545 | | (26,827) | | 4,280,145 | | 4,187,455 | | 38,123,672 | | 1,272,757 | | 39,396,429 | |
(1) At the extraordinary shareholders’ meeting of Cibest, held on June 9, 2025, a share buyback program was approved for common shares, preferred dividend shares without voting rights and ADRs of Grupo Cibest S.A.. For further information, see Note 1. Reporting entity and Note 13. Appropriated reserves.
(2) Includes $56,973 related to the release of funds previously provisioned for the payment of dividends on preferred shares.
(3) Corresponds to the sale of the subsidiary Banistmo S.A. completion on June 30, 2026. For additional information, see to Note 1, Reporting Entity.
(4) The variation in the translation adjustment is mainly explained by the decrease in the representative market exchange rate, from COP 3,757.08 in December 2025 to COP 3,440.83 in June 2026.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements..
CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
For the six-months period ended June 30, 2026, and 2025
(Stated in millions of Colombian pesos, except per share amounts stated in units of pesos)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Attributable to owners of Parent Company | | |
| | | | Accumulated other comprehensive income | | | | | |
| | | | | | | | | | | | | | | |
| Share
Capital | Additional
Paid in
capital | Appropriated
Reserves | Translation
adjustment | Cash flow hedging | Equity
Securities
through OCI | Debt
instruments
at fair value
through OCI | Revaluation
of assets | Associates | Employee
Benefits | Retained
earnings | Net
Income | Attributable
to owners
of Parent
Company | Non-
Controlling
interest | Total
equity |
| Balance as of January 1, 2025 | 480,914 | | 4,857,454 | | 22,575,837 | | 6,517,456 | | 129 | | 203,557 | | (44,070) | | 2,137 | | 5,178 | | (39,181) | | 2,715,313 | | 6,267,744 | | 43,542,468 | | 1,041,807 | | 44,584,275 | |
| Transfer to profit from previous years | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | 6,267,744 | | (6,267,744) | | – | | – | | – | |
| Dividend payment corresponding to 509,704,584 common shares and 452,122,416 preferred shares without voting rights, subscribed and paid as of December 31, 2024, at a rate of COP 3,900 per share, as approved by the shareholders' meeting on March 14, 2025. Additionally, on April 23, 2025, the shareholders' meeting approved an extraordinary dividend at a rate of COP 624 per share. | – | | – | | (600,180) | | – | | – | | – | | – | | – | | – | | – | | (3,693,424) | | – | | (4,293,604) | | – | | (4,293,604) | |
Other reserves(1) | – | | – | | 1,726,418 | | – | | – | | – | | – | | – | | – | | – | | (1,724,593) | | – | | 1,825 | | – | | 1,825 | |
Realization of retained earnings(2) | | | | | | (10,025) | | | | | | 10,025 | | | – | | | – | |
Others(3) | – | | 37 | | – | | – | | – | | – | | – | | – | | – | | – | | (9,721) | | – | | (9,684) | | – | | (9,684) | |
| Non-controlling interest | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | (16,628) | | (16,628) | |
| Net Income | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | – | | 3,528,967 | | 3,528,967 | | 64,754 | | 3,593,721 | |
| Other comprehensive income | – | | – | | – | | (1,505,604) | | (129) | | 15,102 | | 6,259 | | – | | (1,045) | | 9,520 | | – | | – | | (1,475,897) | | 278 | | (1,475,619) | |
| Balance as of June 30, 2025 | 480,914 | | 4,857,491 | | 23,702,075 | | 5,011,852 | | – | | 208,634 | | (37,811) | | 2,137 | | 4,133 | | (29,661) | | 3,565,344 | | 3,528,967 | | 41,294,075 | | 1,090,211 | | 42,384,286 | |
(1)The transaction of COP 1,726,418 corresponds to the establishment of reserves in accordance with the profit distribution of Grupo Cibest and its subsidiaries. The transaction for COP (600,180) corresponds to the payment of extraordinary dividend approved by the shareholders' meeting held on April 23, 2025. Additional, at the extraordinary shareholders’ meeting of Cibest, held on June 9, 2025, a share buyback program was approved for Common Shares, Preferred Shares and ADSs of Grupo Cibest S.A., up to an amount of one trillion three hundred fifty billion Colombian pesos COP 1,350 trillion.
(2) Realization of retained earnings from equity securities through OCI, corresponds to the sale of the investment in Bladex.
(3) The transaction for COP 37 in additional paid in capital corresponds to Grupo Cibest, recorded upon its capitalization.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements..
CONDENSED CONSOLIDATED INTERIM STATEMENT OF CASH FLOW
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
For the six-month period ended June 30, 2026 and 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | |
| Note | 2026 | 2025(1) |
| Net income | | 4,267,157 | | 3,593,721 | |
| Adjustments to reconcile net income to net cash provided by operating activities: | | | |
| Depreciation and amortization | | 480,787 | | 510,206 | |
| Other assets impairment | | 26,845 | | 24,595 | |
| | | |
| Loss from discontinued operation | | 14,452 | | - | |
| Equity method | | (231,827) | | (199,668) | |
| Credit impairment charges on loans and advances and financial leases | | 2,301,699 | | 2,161,619 | |
Credit impairment charges on off balance sheet credit and other financial instruments | | 64,754 | | 34,265 | |
| Gain on sales of assets | | (121,001) | | (107,091) | |
| Gain on sale and fair value measurement of investments | | (2,267,639) | | (1,340,781) | |
Gain upon disposal of investment in associates and joint ventures | | (251) | | - | |
| Loss from valuation on derivative financial instruments | | 763,148 | | 182,302 | |
| Income tax | | 1,706,321 | | 1,353,962 | |
| Wealth tax | | 374,823 | | - | |
| Bonuses and short-term benefits | | 537,060 | | 489,777 | |
| Dividends | | (31,157) | | (31,403) | |
| Investment property valuation | | (147,579) | | (83,132) | |
Effect of exchange rate changes | | (539,551) | | 280,164 | |
| Other non-cash items | | 556 | | (39,589) | |
| Net interest | | (10,042,960) | | (8,926,655) | |
| Change in operating assets and liabilities: | | | |
| Decrease in derivative financial instruments | | 420,511 | | 362,123 | |
| (Increase) / decrease in accounts receivable | | (1,311,645) | | 70,869 | |
| Increase in loans and advances to customers | | (11,138,782) | | (11,518,520) | |
| (Decrease) / increase in other assets | | 681,455 | | (699,540) | |
| Increase in accounts payable | | 3,986,537 | | 3,737,694 | |
| Decrease in other liabilities | | (150,043) | | (267,108) | |
| Increase in deposits by customers | | 12,824,637 | | 11,542,255 | |
| Increase in estimated liabilities and provisions | | 8,777 | | 4,774 | |
| Net changes in investment securities recognized at fair value through profit or loss | | (11,922,307) | | (3,081,925) | |
| Proceeds from sales of assets held for sale and inventories | | 419,073 | | 773,350 | |
| Recovery of charged-off loans | | 420,033 | | 416,868 | |
| Income tax paid | | (1,483,169) | | (1,364,226) | |
| Wealth tax paid | | (374,823) | | - | |
| Dividends received | | 122,203 | | 89,505 | |
| Interest received | | 16,888,630 | | 15,691,287 | |
| Interest paid | | (7,165,285) | | (6,968,368) | |
| Net cash (used) / provided by operating activities | | (618,561) | | 6,691,330 | |
| Cash flows from investment activities: | | | |
| Purchases of debt instruments at amortized cost | | (1,514,104) | | (1,023,308) | |
| Proceeds from maturities of debt instruments at amortized cost | | 355,626 | | 391,346 | |
| Purchases of debt instruments at fair value through OCI | | (108,973) | | - | |
| Proceeds from debt instruments at fair value through OCI | | 501,985 | | 509,660 | |
| Purchases of equity instruments at fair value through OCI in associates and joint ventures | | (3,038) | | (13,732) | |
| Proceeds from equity instruments at fair value through OCI in associates and joint ventures | | 13,434 | | 24,337 | |
Proceeds from disposal of subsidiaries, net of cash transferred(2) | | 719,075 | | - | |
| | | |
| Purchases of premises and equipment and investment properties | | (879,921) | | (737,647) | |
| | | |
| Proceeds from sales of premises and equipment and investment properties | | 239,709 | | 240,973 | |
| Purchase of other long-term assets | | (96,563) | | (93,580) | |
| Net cash used in investing activities | | (772,770) | | (701,951) | |
| | | | | | | | | | | |
| Cash flows from financing activities: | | | |
| Increase in repurchase agreements and other similar secured borrowing | | 6,009,813 | | 2,927,462 | |
| Proceeds from borrowings from other financial institutions | | 3,332,609 | | 4,249,389 | |
| Repayment of borrowings from other financial institutions | | (3,611,403) | | (7,627,628) | |
| Payment of lease liability | | (89,187) | | (111,503) | |
Placement of debt instruments in issue | | 1,091,764 | | 812,857 | |
| Payment of debt instruments in issue | | (1,578,015) | | (1,024,604) | |
| Dividends paid | | (2,502,035) | | (5,196,364) | |
| Buyback of shares | | (536,319) | | - | |
| Transactions with non-controlling interests | | (47,787) | | (16,628) | |
Net cash provided (used) in financing activities(3) | | 2,069,440 | | (5,987,019) | |
Effect of exchange rate changes on cash and cash equivalents | | (3,122,908) | | (1,491,455) | |
| Increase in cash and cash equivalents | | 678,109 | | 2,360 | |
| Cash and cash equivalents at beginning of year | | 33,434,161 | | 32,844,099 | |
| Cash and cash equivalents at end of year | | 30,989,362 | | 31,355,004 | |
(1)As of June 30, 2026 and 2025, the statement of cash flow include the cash movements corresponding to each of the activities of Banistmo S.A. with is classified as a discontinued operation. For more information, see Note 1. Reporting Entity.
(2)Corresponds to the net effect of the sale proceeds from Banistmo S.A. amounting to COP 4,879,097 and the cash balance of COP 4,160,022 that ceased to be consolidated.
(3)For further information about the reconciliation of the balances of liabilities from financing activities, see Note 18 Liabilities from financing activities.
The Financial Statements of cash flows includes the following non-cash transactions, which were not reflected in the Condensed Consolidated Interim Consolidated Statement of Cash Flows:
•As of June 30, 2026 and 2025, restructured loans and returned assets that were transferred to assets held for sale, inventories, and other assets for COP 535,303 and COP 261,234, respectively.
•As of June 30, 2026, the Cibest Group, through the Fondo Colombia Inmobiliario completed the sale of an investment property for COP 244,905, the proceeds of which had been partially received in 2025, with the remaining balance recorded as an account receivable. For more information, see Note 7, Investment Properties.
The accompanying notes form an integral part of these Condensed Consolidated Interim Financial Statements.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
GRUPO CIBEST S.A. AND ITS SUBSIDIARIES
Figures are expressed in millions and billions (where indicated) of Colombian pesos.
Figures in foreign currency are expressed in thousands of units of the respective currency.
NOTE 1. REPORTING ENTITY
Grupo Cibest S.A., hereinafter 'Grupo Cibest', 'Cibest Corporate Group' is a listed issuer on the Colombian Stock Exchange (BVC) as well as on the New York Stock Exchange (NYSE), since 2025. Grupo Cibest's main location is in Medellín (Colombia), main address Carrera 48 # 26-85, Avenida Los Industriales, and was incorporated under the name Grupo Cibest S.A., according to public deed number 10,594, dated September 25, 2024, from the Fifteenth Notary's Office of Medellin.
The duration contemplated in the bylaws is until December 8, 2144, but it may be dissolved or renewed before the end of that period.
The corporate purpose of Grupo Cibest is to invest in movable and immovable property, and especially, invest in shares, quotas or interest shares, or any other participation title in Colombian and/or foreign companies or entities, and the administration of said investments.
Grupo Cibest’s bylaws are formalized in the public deed number 386 dated May 12, 2025, from the Thirtieth Notary's Office of Medellin.
On May 12, 2025, according to public deed number 386 from the Thirtieth Notary's Office of Medellin, a partial spin-off agreement was formalized, whereby Bancolombia S.A. ('Bancolombia'), as the spinning-off entity, transferred part of its assets without dissolution to Grupo Cibest, as the beneficiary entity.
This transaction was first announced to the market on October 29, 2024, approved at the extraordinary shareholders’ meeting of Grupo Cibest, held on February 20, 2025, and at the extraordinary shareholders’ meeting of Bancolombia, held on April 23, 2025. It was authorized by the Financial Superintendence of Colombia through Resolutions number 0356 dated February 28, 2025, and number 0901 dated May 7, 2025.
On May 16, 2025, the market was informed of the completion of corporate transactions aimed at the evolution of the corporate structure of the Cibest Corporate Group. Upon completion of these transactions, Grupo Cibest became the parent or holding company of all financial entities and other subsidiaries, including Bancolombia (collectively referred to as Cibest Corporate Group).
As a result of these transactions, Bancolombia's shareholders (excluding Grupo Cibest) became shareholders of Grupo Cibest, which issued in their name the same number and class of shares (Common Shares and Preferred Shares), maintaining the same terms, conditions, and ownership percentages. The shares previously held in Bancolombia (excluding those held by Grupo Cibest) were cancelled. Holders of Bancolombia American Depositary Shares (ADSs) received equivalent ADSs of Grupo Cibest, and their Bancolombia ADSs were cancelled.
The Common Shares and Preferred Shares issued by Grupo Cibest are listed on the Colombian Stock Exchange (BVC) under the symbols CIBEST and PFCIBEST, respectively. The ADSs representing Preferred Shares are listed on the NYSE under the symbol CIB, the same symbol under which Bancolombia’s ADSs were previously traded.
The Common Shares, Preferred Shares, and ADSs issued by Grupo Cibest became tradable as of Monday, May 19, 2025.
At the ordinary meeting of Cibest’s General Shareholders’ Assembly held on March 24, 2026, the termination of the share repurchase program for common shares, preferred dividend shares without voting rights, and Cibest American Depositary Receipts (ADRs), which had been approved by the Shareholders’ Assembly on June 9, 2025, was approved. Likewise, the implementation of a new share repurchase program for common shares, preferred dividend shares without voting rights, and Cibest American Depositary Receipts (ADRs) was approved, for an amount of up to one trillion three hundred and fifty thousand million Colombian pesos (COP 1,350,000 million), for a term of up to three (3) years, counted from the approval of the Repurchase Program regulations by the Board of Directors, which took place on April 21, 2026. For
further information, , see Note 13. Appropriated Reserves and Condensed Consolidated Interim Statement of Changes in Equity.
Cibest Corporate Group has national and international presence in Colombia, the United States, Puerto Rico, Panama, Guatemala, and El Salvador, and operates in the following segments: Banking Colombia, Banking Panama, Banking El Salvador, Banking Guatemala, Leases and Others (these include Fiduciaria Bancolombia, Banca de Inversión Bancolombia and Valores Bancolombia). These activities are described in Note 3. Operating Segments.
Regarding the subsidiaries, the assets and liabilities of operations in Barbados through Mercom Bank Ltd. were transferred to other entities, resulting in zero balances for both loan and deposit portfolios. The liquidation of this company was approved by the Registrar of Companies, and the Central Bank of Barbados confirmed that all requirements for the voluntary winding-up process had been met, resulting in the removal of the entity from the list of licensed institutions maintained by such authority.
Operations in the Cayman Islands through Sinesa Cayman, Inc. (formerly Bancolombia Cayman) have been cancelled or transferred. On November 22, 2023, the Cayman Islands Monetary Authority approved the surrender of the banking license pursuant to Section 20(1)(a) of the Banks and Trust Companies Act (2021 Revision) (“BTCA”), thereby cancelling the license as of that date. No longer a banking entity, the company changed its corporate name to Sinesa Cayman, Inc. on June 20, 2024, and is currently undergoing dissolution and liquidation before the Cayman Islands Companies Registry.
On August 27, 2025, the Extraordinary Shareholders’ Meeting of Bancolombia approved the voluntary delisting of Bancolombia's Common Shares and Preferred Shares from the National Registry of Securities and Issuers (RNVE) and the Colombian Stock Exchange (BVC). In line with this decision, the BVC formally notified the Bank of the delisting of the securities from its trading systems, effective as of September 19, 2025.
Moreover, on December 18, 2025, it was announced to the market the execution of a share purchase agreement with Inversiones Cuscatlán Centroamérica S.A. for the sale of 100% of the shares of Banistmo S.A. The agreed purchase price was USD 1,418,000 (subject to customary adjustments at the closing of the transaction) and will be paid in full on the closing date, once the required regulatory authorizations in Panama have been obtained and the conditions set forth in the share purchase agreement have been fulfilled.
On June 30, 2026, the sale of Banistmo S.A. was completed. As a result of the closing, Grupo Cibest transferred to Banco La Hipotecaria S.A. (La Hipotecaria), a subsidiary of Inversiones Cuscatlán Centroamérica S.A. (Inversiones Cuscatlán), 100% of the shares of Banistmo in exchange for the agreed and previously disclosed purchase price. The purchase price was paid with funds from La Hipotecaria and an international syndicated financing. As a result, Banistmo ceased to be a subsidiary of Grupo Cibest and became wholly owned by Inversiones Cuscatlán.
As of June 30, 2026, Cibest Corporate Group has 31,568 employees, 35,449 banking correspondents, 5,787 ATMs and operates through 794 offices.
NOTE 2. MATERIAL ACCOUNTING POLICIES
A. Basis for preparation of the condensed consolidated interim financial statements
The Condensed Consolidated Interim Financial Statements as of June 30, 2026 and 2025 have not been audited.The condensed consolidated interim financial statements for the cumulative six months ended on June 30, 2026, are prepared in accordance with International Accounting Standard (IAS) 34 Interim Financial Reporting, issued by the International Accounting Standards Board (IASB). These financial statements have not been audited.
These financial statements, given their interim nature, do not include all the information and disclosures normally required for full annual financial statements and should therefore be read in conjunction with the consolidated financial statements of the Parent Company and its subsidiaries for the year ended on December 31, 2025, which were prepared in accordance with International Financial Reporting Standards (IFRS) issued by the IASB, as well as the interpretations issued by the International Financial Reporting Interpretations Committee (IFRS IC).
Preparation of the condensed consolidated interim financial statements on a going concern basis
Management has assessed Cibest Corporate Group’s ability to continue as a going concern and confirms that the Group has adequate resources, liquidity and solvency to continue operating the business for the foreseeable future, which is at least 12 months from the end of the reporting period. Based on the liquidity position at the date of authorization of the condensed consolidated interim financial statements, Management maintains a reasonable expectation that the application of the going concern assumption remains appropriate.
These condensed consolidated interim financial statements have been prepared on a going concern basis and do not include any adjustments to the carrying amounts or classification of assets and liabilities that would be necessary if the going concern assumption were not applicable.
In Management’s opinion, these condensed consolidated interim financial statements reflect all material adjustments considered necessary in the circumstances and based on the best information available as of June 30, 2026, and the date of their authorization and issuance, for a fair representation of financial results for the interim periods presented.
The results of operations for the cumulative six months ended on June 30, 2026, and 2025, are not necessarily indicative of the results for the full year. Cibest Corporate Group considers that the disclosures are sufficient to ensure that the information presented is not misleading or biased. For this reason, the condensed consolidated interim financial statements include selected explanatory notes to explain events and transactions that are important to the users of the financial statements or represent significant materiality in understanding the changes in the Cibest Corporate Group’s financial position and performance since the last annual audited financial statements.
Assets and liabilities are measured at cost or amortized cost, except for certain financial assets and liabilities, as well as investment properties, are measured at fair value. These financial assets and liabilities correspond to those designated as measured at fair value through profit or loss and to equity instruments designated at fair value through other comprehensive income (OCI) in equity. Likewise, recognized assets and liabilities designated as hedged items in a fair value hedge are adjusted in the carrying amount for changes in fair value attributable to the hedged risk. Additionally, investments in associates and joint ventures are measured using the equity method.
The condensed consolidated interim financial statements are presented in Colombian pesos (COP) and figures are stated in millions or billions, (when indicated), except for basic and diluted earnings per share, dividends per share and the market exchange rate, which are presented in Colombian pesos, while foreign currencies (dollars, euros, pounds sterling, etc.) are stated in thousands.
The Parent Company’s financial statements, which have been prepared in accordance with the Accounting and Financial Reporting Standards (NCIF, for their acronym in Spanish) applicable to separate financial statements, constitute the basis for regulatory compliance, the determination and distribution of dividends, as well as other appropriations approved by the shareholders.
B. Use of estimates and judgments
The preparation of the condensed consolidated interim financial statements requires Cibest Corporate Group's Management to make judgments, estimates and assumptions that affect the application of accounting policies and the determination of the reported amounts of assets, liabilities, income and expenses.
These estimates and assumptions are reviewed on an ongoing basis. Changes in accounting estimates are recognized in the period in which the the estimate is revised, if the change affect only that period, or in the period of the revision and subsequent periods, if the changes affect both current and future periods.
For the period ended June 30, 2026, there were not significant changes in the basis used to determine the significant estimates and judgments made by Management in applying the Cibest Corporate Group's accounting policies, compared with those applied in the consolidated financial statements for the year ended on December 31, 2025.
C. Material accounting policies and recently issued accounting pronouncements
The same accounting policies and methods of calculation applied in Cibest Corporate Group’s consolidated financial statements for the year ended 2025, continue to be applied in these condensed consolidated interim financial statements, except for the adoption of new standards, improvements and interpretations effective from January 1, 2026, as shown below:
Recently issued accounting pronouncements
Accounting standards under assessment by Management
Amendments to IAS 28: Fair value option for investments in associates and joint ventures
On June 26, 2026, the IASB issued targeted amendments related to the use of the fair value option as an exemption from applying the equity method for certain eligible entities. These amendments are intended to clarify the scope of the entities that may elect to measure their investments in associates and joint ventures at fair value through profit or loss, instead of applying the equity method. These amendments include:
•The clarification that an entity similar to a venture capital organization, mutual fund or investment trust includes an entity whose main business activity is investing in particular types of assets, as established in IFRS 18.
•The confirmation that eligibility to apply the fair value option must be assessed based on the entity that directly holds the investment in the associate or joint venture.
•The reduction of diversity in practice regarding the interpretation of the concept of “similar entity”, promoting a more consistent application of the requirements of IAS 28.
•The alignment of the IAS 28 criteria with the new classification and presentation requirements introduced by IFRS 18, improving the comparability of financial information.
These amendments will be effective when an entity first applies IFRS 18 Presentation and Disclosure in Financial Statements, for annual reporting periods beginning on or after January 1, 2027, with earlier application permitted.
Management is assessing the impact that these amendments will have on Cibest Corporate Group's consolidated financial statements and disclosures.
IFRS 20 Regulatory Assets and Regulatory Liabilities
In May 2026, the Board issued IFRS 20 Regulatory Assets and Regulatory Liabilities, which establishes the criteria for the recognition, measurement, presentation and disclosure of the effects arising from rate regulation schemes. Its application will affect the financial statements of entities subject to rate regulation, such as companies that provide electricity, water and gas services, mainly in the following aspects:
•The recognition of regulatory assets and regulatory liabilities arising from differences in timing between costs and income recognized for accounting purposes and those recoverable or refundable through future rates.
•The measurement of those assets and liabilities considering the conditions established in the applicable regulatory frameworks.
•The incorporation of new presentation requirements in the financial statements, with the objective of improving transparency regarding the effects of rate regulation.
•The expansion of disclosures related to the nature, risks and financial effects of the regulatory mechanisms to which the entity is subject.
•Better comparability among regulated entities, by establishing a uniform accounting model for differences arising from rate regulation.
IFRS 20 will be effective for annual reporting periods beginning on or after January 1, 2029, with earlier application permitted.
This new standard was analyzed by Management, which concluded that it is not applicable to Cibest Corporate Group, given that the entity does not carry out activities subject to rate regulation schemes that give rise to the recognition of regulatory assets or regulatory liabilities within the scope of the standard.
IFRS 18 Presentation and Disclosure in Financial Statements
In April 2024, the Board issued IFRS 18 Presentation and Disclosure in Financial Statements to replace IAS 1 Presentation of Financial Statements. IFRS 18 introduces three sets of new requirements to improve the way companies report their financial performance and give investors a better basis for analyzing and comparing companies:
•Improved comparability in the statement of income: IFRS 18 introduces three defined categories for income and expenses (operating, investing and financing) to improve the structure of the statement of income, and requires all companies to provide new defined subtotals, including operating profit.
•Enhanced transparency of management-defined performance measures: The new standard requires companies to disclose explanations of those company-specific measures that are related to the statement of income, referred to as management-defined performance measures.
•More useful grouping of information in the financial statements: IFRS 18 sets out enhanced guidance on how to organize information and whether to provide it in the primary financial statements or in the notes. In addition, the standard requires companies to provide more transparency about operating expenses, helping investors to find and understand the information they need.
IFRS 18 is effective for annual reporting periods beginning on or after January 1, 2027, and early application is permitted.
Management is assessing the impact that this standard will have on Cibest Corporate Group's consolidated financial statements and disclosures.
Accounting standards assessed in prior periods
The following pronouncements were assessed by Management, and no impacts were identified on Cibest Corporate Group’s condensed consolidated interim financial statements and disclosures:
•IAS 12 - International tax reform - Pillar two model rules.
•IFRS 16 - Lease liability in a sale and leaseback.
•Amendments to the classification and measurement of financial instruments - Amendments to IFRS 9 and IFRS 7.
•Annual improvements to IFRS accounting standards - Volume 11.
NOTE 3. OPERATING SEGMENTS
Operating segments are defined as components of an entity about which separate financial information is available and that is evaluated regularly by the chief operating decision maker (CODM) in deciding how to allocate resources and assessing performance; the CODM comprises the Cibest Corporate Group’s President (CEO) and Financial Vice President (CFO). Segment information has been prepared following the Cibest Corporate Group’s accounting policies and is presented consistently with the internal reports provided to the CODM.
The chief operating decision maker (CODM) uses a variety of information and key financial data on a segment basis to assess the performance and make decisions regarding the investment and allocation of resources, such as:
•Net interest margin (Net margin on financial instruments divided by average interest-earning assets).
•Return on average total assets (Net income divided by average total assets).
•Return on average stockholders’ equity.
•Efficiency ratio (Operating expenses as a percentage of interest, fees, services, and other operating income).
•Asset quality and loan coverage ratios.
The Cibest Corporate Group reports the following operating segments: Banking Colombia, Banking Panama (discontinued operation), Banking El Salvador, Banking Guatemala, International Banking, Leases, and All Other segments. Segments are identified primarily by the nature of products and services and geographical footprint, consistent with the internal reporting to the CODM.
In December 2025, Cibest Corporate Group conducted a comprehensive review of the information structure used by the Chief Operating Decision Maker (CODM) for strategic decision-making and performance assessment. As a result of this analysis, adjustments were made to the presentation of the disclosed operating segments, with the purpose of ensuring that the reported information more accurately reflects the manner in which CODM manages and oversees operational activities.
To maintain the comparability of information, prior periods have been restated in accordance with the new operating segment structure, without generating impacts on the consolidated results of Cibest Corporate Group.
The Cibest Corporate Group’s operating segments are comprised as follows:
•Banking Colombia
This segment provides individual and corporate banking products and services to individuals, businesses, and national and local governments in Colombia. The Parent Company's business strategy seeks to meet customers' financial needs and is based on personalized service, a friendly and approachable attitude, and the generation of added value, ensuring quality of service and fostering business growth and national development.
The commercial strategy is based on a segmented service model by customer type Personal, Plus and Empresarial for individuals and SMEs, and Corporate and Government for larger customers. In particular, the corporate sales force specializes in companies with more than COP 100.000, covering 12 economic sectors: agriculture, commerce, supplies and materials manufacturing, consumer goods, financial services, health, education, construction, government, infrastructure, real estate and natural resources.
The segment centrally manages the loan portfolio, funding and liquidity, and the distribution of treasury products and services in the Colombian market, in line with the Cibest Corporate Group’s risk, profitability and sustainability policies.
•Banking Panama (discontinued operation)
This segment comprised the financial services provided in Panama through Banistmo S.A., its subsidiaries Banistmo Investment Corporation S.A. and Leasing Banistmo S.A., Desarrollo de Oriente S.A., as well as the non‑operating entities Banistmo Capital Markets Group Inc., Anavi Investment Corporation S.A., Steens Enterprises S.A., and Ordway Holdings S.A.
This segment also managed the own‑book loan portfolio, liquidity, and the distribution of treasury products for customers in Panama.
In 2025, the corporate reorganization of Banistmo S.A. was completed, under which 100% of its ownership interest in Valores Banistmo S.A. was spun off in favor of Cibest Panamá Assets S.A., a company 1 owned by Cibest Corporate Group.
On December 18, 2025, the Cibest Corporate Group executed a share purchase agreement for the sale of 100% of the shares of Banistmo S.A. As a result, this operation is classified as a discontinued operation under IFRS 5.
On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed, and consequently the Cibest Corporate Group lost control of that entity. As a result, Banistmo S.A. was excluded from the Cibest Corporate Group operating segment structure, and its results up to the date of disposal are presented as a discontinued operation in the Condensed Consolidated Interim Financial Statements. For further information, see Note 1. Reporting Entity.
•Banking El Salvador
This segment provides comprehensive financial services in El Salvador through Banco Agrícola S.A., Banagrícola S.A., Inversiones Financieras Banco Agrícola S.A. (IFBA), Arrendadora Financiera S.A. Arfinsa, ACCELERA S.A. de C.V., Valores Banagrícola S.A. de C.V., Bagrícola Costa Rica S.A. and Gestora de Fondos de Inversión Banagrícola S.A. These entities offer banking, fiduciary, financial leasing, fund management, brokerage and credit products.
The segment also manages own‑book lending, liquidity and the distribution of treasury products and services to customers in El Salvador.
•Banking Guatemala
This segment serves the Guatemalan market through Banco Agromercantil de Guatemala S.A., Grupo Agromercantil Holding S.A., Seguros Agromercantil de Guatemala S.A., Arrendadora Agromercantil S.A., Financiera Agromercantil S.A., Agrovalores S.A., Asistencia y Ajustes S.A., Serproba S.A., Servicios de Formalización S.A., Conserjería, Mantenimiento y Mensajería S.A. (in voluntary liquidation), New Alma Enterprises Ltd., and Mercom Bank Ltd. The assets and liabilities of the operations in Barbados through Mercom Bank Ltd. were transferred to other entities, leaving loan and deposit balances at zero as of January 31, 2024. As of December 31, 2025, the public registry approved the liquidation of this company, which is pending approval by the Central Bank of Barbados. See Note 1. Reporting Entity.
This segment is also responsible for managing own‑book lending, liquidity, and the distribution of treasury products and services to customers in Guatemala.
•International Banking
This segment comprises the Cibest Corporate Group’s international operations through Bancolombia Panamá S.A., Bancolombia Puerto Rico Internacional Inc., and SINESA Cayman, Inc. (formerly Bancolombia Cayman S.A., currently being wound down). These platforms provide international banking services, foreign‑currency products, cash‑management structures, offshore funding, and financing for regional and non‑resident customers.
Operations in the Cayman Islands through SINESA Cayman, Inc. (formerly Bancolombia Cayman S.A.) have been cancelled or transferred. As of June 30, 2026, the company is in dissolution and liquidation, now that the deactivation process has been completed with the Cayman Islands Companies Registry (DICT portal). For further information, see Note 1. Reporting Entity.
•Leases
The Leases segment consolidates the operating leasing, finance leasing and real‑estate asset management activities of the Cibest Corporate Group, primarily through Renting Colombia S.A.S., Valores Simesa S.A., FCP Fondo Inmobiliario Colombia, and a broad structure of autonomous trusts and real estate trusts (patrimonios autónomos y fideicomisos), including: P.A. FAI Calle 77, P.A. Nomad Salitre, P.A. Nomad Central‑2, P.A. Calle 84 (2), P.A. Calle 84 (3), P.A. Nomad Distrito Vera, P.A. Nexo, P.A. Mercurio, P.A. CEDIS Sodimac, P.A. Inmuebles CEM, P.A. Calle 92 FIC‑11, P.A. FIC Edificio Corfinsura, P.A. FIC A5, P.A. FIC Inmuebles, P.A. FIC Clínica del Prado, P.A. FIC A6, P.A. Central Point, P.A. Fideicomiso Twins Bay, Fideicomiso Lote Av. San Martín, P.A. Fideicomiso Lote 30, Fideicomiso Fondo Inmobiliario Bancolombia, P.A. Florencia Ferrara, P.A. Flor Morado Plaza, P.A. Linz Graz del Río, Fideicomiso Selecto Terrazu (Towers 1 and 2), Fideicomiso Lote C6 Cartón de Colombia, Fideicomiso Mokana Recursos and Fideicomiso River Park.
The segment manages the leasing portfolio, income‑producing real‑estate assets, project structuring and the associated treasury management.
•All other segments
This segment includes holding, investment, fiduciary operations, technology, innovation, capital markets and special‑purpose vehicles that do not meet the quantitative thresholds of IFRS 8 to be reported separately. It comprises: Grupo Cibest S.A., Inversiones Cibest S.A.S., Cibest Investment Management S.A.S., Valores Cibest S.A.S., Cibest Inversiones Estratégicas S.A.S., Sistemas de Inversiones y Negocios S.A. – SINESA, Banca de Inversión Bancolombia S.A. Corporación Financiera, Fiduciaria Bancolombia S.A. Sociedad Fiduciaria, Negocios Digitales Colombia S.A.S., Inversiones CFNS S.A.S., WOMPI S.A.S., Nequi S.A. Compañía de Financiamiento, Wenia S.A.S., Wenia Ltd., Cibest Panamá Assets S.A., P.A. Wenia, Fideicomiso USDW, P.A. Títulos de Pagos por Ejecución, Cibest Capital Panamá S.A., S.A., Valores Bancolombia S.A. Comisionista de Bolsa, Cibest Capital Holdings USA LLC, Cibest Capital Advisory Services LLC, Estrategias Cibest S.A.S, and Cibest Capital Securities LLC.
Entities in this segment carry out capital‑markets activities, brokerage services, investment advisory, technology solutions, fiduciary administration, digital innovation, investment vehicles and holding functions. They also provide strategic, operational and financial support to the Cibest Corporate Group through corporate functions, technology platforms, and the distribution of specialized products and services.
In accordance with IFRS 8, the figures reported under “All other segments” aggregate information for operating segments that individually did not meet the quantitative thresholds defined by that standard; that is, the absolute amount of their reported results represents, in absolute terms, less than 10% of the combined results of all segments, and their assets represent less than 10% of the combined assets of all operating segments of Cibest Corporate Group.
Financial performance by operating segment:
The CODM reviews the performance of the Cibest Corporate Group using the following financial information by operating segment:
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Six months ended June 30, 2026 | |
| Banking
Colombia | | Banking El
Salvador | Banking
Guatemala | International
Banking | Leases(1) | All other
segments | Total
segments | |
| In millions of COP | |
| Total interest and valuation on financial instruments | 15,129,027 | | | 962,202 | | 886,172 | | 473,743 | | 129,404 | | 126,581 | | 17,707,129 | | |
| Interest income on loans and financial leases | 14,018,943 | | | 870,545 | | 820,041 | | 406,230 | | 126,205 | | 15,844 | | 16,257,808 | | |
| Debt investments | 1,785,546 | | | 91,339 | | 68,425 | | 41,277 | | 5,688 | | 103,942 | | 2,096,217 | | |
| Derivatives, net | (588,284) | | | - | | - | | (2) | | (2,489) | | (811) | | (591,586) | | |
| Liquidity operations, net | (87,178) | | | 318 | | (2,294) | | 26,238 | | - | | 7,606 | | (55,310) | | |
| Interest expenses | (5,388,056) | | | (194,838) | | (390,359) | | (308,630) | | (177,532) | | (28,043) | | (6,487,458) | | |
| Net interest margin and valuation on financial instruments before impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 9,740,971 | | | 767,364 | | 495,813 | | 165,113 | | (48,128) | | 98,538 | | 11,219,671 | | |
| Credit impairment charges, net | (1,866,164) | | | (200,344) | | (150,502) | | (26,389) | | (2,315) | | (6,867) | | (2,252,581) | | |
| Net interest margin and valuation on financial instruments after impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 7,874,807 | | | 567,020 | | 345,311 | | 138,724 | | (50,443) | | 91,671 | | 8,967,090 | | |
| (Expenses) Revenues from transactions by the operating segments of the Bank | (91,217) | | | (2,198) | | (20,917) | | 147,689 | | (70,357) | | 37,000 | | - | | |
Fees and commissions income(2) | 3,194,393 | | | 299,184 | | 152,454 | | 25,547 | | 1,433 | | 445,987 | | 4,118,998 | | |
| Fees and commissions expenses | (1,283,386) | | | (144,693) | | (41,684) | | (7,306) | | (1,401) | | (15,167) | | (1,493,637) | | |
| Total fees and commissions, net | 1,911,007 | | | 154,491 | | 110,770 | | 18,241 | | 32 | | 430,820 | | 2,625,361 | | |
| Other operating income | 799,529 | | | 18,306 | | 65,552 | | 5,952 | | 825,181 | | 85,249 | | 1,799,769 | | |
Dividends and net income on equity investments(3) | 54,905 | | | 674 | | 1,438 | | 16 | | 174,872 | | 69,809 | | 301,714 | | |
| Total operating income, net | 10,549,031 | | | 738,293 | | 502,154 | | 310,622 | | 879,285 | | 714,549 | | 13,693,934 | | |
Operating expenses(4) | (5,490,059) | | | (407,516) | | (258,879) | | (48,936) | | (503,412) | | (489,373) | | (7,198,175) | | |
| Impairment, depreciation and amortization | (359,337) | | | (37,531) | | (23,796) | | (2,067) | | (66,997) | | (5,897) | | (495,625) | | |
| Total operating expenses | (5,849,396) | | | (445,047) | | (282,675) | | (51,003) | | (570,409) | | (495,270) | | (7,693,800) | | |
| Profit before income tax | 4,699,635 | | | 293,246 | | 219,479 | | 259,619 | | 308,876 | | 219,279 | | 6,000,134 | | |
(1)In June 2026, the Leases segment is presented separately as its own reportable segment. For comparative purposes, the 2025 information has been restated, as these operations were included within “All other segments” during that period.
(2)For further information about income from contracts with customers, see Note 14.3. Commissions.
(3)For further information see Note 14.5. Dividends and net income on equity investments.
(4)Includes salaries and employee benefits, other administration and general expenses and taxes other than income tax.
| | | | | | | | | | | | | | | | | | | | | | | |
| Three months ended June 30, 2026 |
| Banking
Colombia | Banking El
Salvador | Banking
Guatemala | International
Banking | Leases(1) | All other
segments | Total
segments |
| In millions of COP |
| Total interest and valuation on financial instruments | 8,113,891 | | 486,127 | | 445,773 | | 243,643 | | 71,965 | | 92,610 | | 9,454,009 | |
| Interest income on loans and financial leases | 7,349,265 | | 438,124 | | 406,678 | | 209,955 | | 68,187 | | 7,283 | | 8,479,492 | |
| Debt investments | 1,549,682 | | 47,812 | | 39,980 | | 20,294 | | 4,557 | | 79,736 | | 1,742,061 | |
| Derivatives, net | (677,223) | | - | | - | | - | | (779) | | (377) | | (678,379) | |
| Liquidity operations, net | (107,833) | | 191 | | (885) | | 13,394 | | - | | 5,968 | | (89,165) | |
| Interest expenses | (2,873,877) | | (93,908) | | (189,100) | | (154,904) | | (91,259) | | (13,716) | | (3,416,764) | |
| Net interest margin and valuation on financial instruments before impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 5,240,014 | | 392,219 | | 256,673 | | 88,739 | | (19,294) | | 78,894 | | 6,037,245 | |
| Credit impairment charges, net | (826,754) | | (110,515) | | (76,121) | | (8,394) | | 1,189 | | (2,726) | | (1,023,321) | |
| Net interest margin and valuation on financial instruments after impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 4,413,260 | | 281,704 | | 180,552 | | 80,345 | | (18,105) | | 76,168 | | 5,013,924 | |
| (Expenses) Revenues from transactions by the operating segments of the Bank | (52,073) | | (2,068) | | (10,677) | | 74,383 | | (37,373) | | 27,808 | | - | |
Fees and commissions income(2) | 1,651,698 | | 150,178 | | 73,289 | | 13,425 | | 369 | | 224,580 | | 2,113,539 | |
| Fees and commissions expenses | (630,346) | | (72,576) | | (22,214) | | (4,545) | | (1,280) | | (8,293) | | (739,254) | |
| Total fees and commissions, net | 1,021,352 | | 77,602 | | 51,075 | | 8,880 | | (911) | | 216,287 | | 1,374,285 | |
| Other operating income | 408,678 | | 9,925 | | 34,692 | | 3,917 | | 442,329 | | 45,501 | | 945,042 | |
Dividends and net income on equity investments(3) | 31,311 | | 626 | | 1,438 | | 16 | | 99,300 | | 38,213 | | 170,904 | |
| Total operating income, net | 5,822,528 | | 367,789 | | 257,080 | | 167,541 | | 485,240 | | 403,977 | | 7,504,155 | |
Operating expenses(4) | (2,588,637) | | (204,325) | | (128,396) | | (25,991) | | (242,341) | | (211,110) | | (3,400,800) | |
| Impairment, depreciation and amortization | (178,664) | | (20,256) | | (12,075) | | (1,019) | | (33,392) | | (3,177) | | (248,583) | |
| Total operating expenses | (2,767,301) | | (224,581) | | (140,471) | | (27,010) | | (275,733) | | (214,287) | | (3,649,383) | |
| Profit before income tax | 3,055,227 | | 143,208 | | 116,609 | | 140,531 | | 209,507 | | 189,690 | | 3,854,772 | |
(1)In June 2026, the Leases segment is presented separately as its own reportable segment. For comparative purposes, the 2025 information has been restated, as these operations were included within “All other segments” during that period.
(2)For further information about income from contracts with customers, see Note 14.3. Commissions.
(3)For further information see Note 14.5. Dividends and net income on equity investments.
(4)Includes salaries and employee benefits, other administration and general expenses and taxes other than income tax.
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Six months ended June 30, 2025 | |
| Banking Colombia | | Banking El Salvador | Banking Guatemala | International Banking | Leases(1) | All other segments | Total segments | |
| In millions of COP | |
| Total interest and valuation on financial instruments | 13,005,282 | | | 1,019,328 | | 1,028,405 | | 522,406 | | 112,870 | | 42,478 | | 15,730,769 | | |
| Interest income on loans and financial leases | 12,188,388 | | | 887,943 | | 949,820 | | 435,789 | | 113,994 | | 10,655 | | 14,586,589 | | |
| Debt investments | 849,963 | | | 131,016 | | 82,154 | | 49,735 | | 717 | | 23,221 | | 1,136,806 | | |
| Derivatives, net | (52,927) | | | - | | - | | (57) | | (1,841) | | (310) | | (55,135) | | |
| Liquidity operations, net | 19,858 | | | 369 | | (3,569) | | 36,939 | | - | | 8,912 | | 62,509 | | |
| Interest expenses | (4,970,187) | | | (228,480) | | (459,618) | | (354,967) | | (65,876) | | (28,791) | | (6,107,919) | | |
| Net interest margin and valuation on financial instruments before impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 8,035,095 | | | 790,848 | | 568,787 | | 167,439 | | 46,994 | | 13,687 | | 9,622,850 | | |
| Credit impairment charges, net | (1,676,392) | | | (143,772) | | (238,105) | | (57,417) | | (24,258) | | (1,399) | | (2,141,343) | | |
| Net interest margin and valuation on financial instruments after impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 6,358,703 | | | 647,076 | | 330,682 | | 110,022 | | 22,736 | | 12,288 | | 7,481,507 | | |
| (Expenses) Revenues from transactions by the operating segments of the Bank | (143,123) | | | 2,863 | | (45,037) | | 177,475 | | (53,362) | | 61,184 | | - | | |
Fees and commissions income(2) | 2,904,277 | | | 297,274 | | 106,484 | | 29,145 | | 804 | | 369,174 | | 3,707,158 | | |
| Fees and commissions expenses | (1,247,860) | | | (140,750) | | (44,196) | | (5,638) | | (1,272) | | (11,543) | | (1,451,259) | | |
| Total fees and commissions, net | 1,656,417 | | | 156,524 | | 62,288 | | 23,507 | | (468) | | 357,631 | | 2,255,899 | | |
| Other operating income | 541,638 | | | 35,131 | | 78,396 | | 7,038 | | 972,308 | | 10,663 | | 1,645,174 | | |
Dividends and net income on equity investments(3) | 52,459 | | | 2,604 | | 2,170 | | (135) | | 148,442 | | 51,552 | | 257,092 | | |
| Total operating income, net | 8,466,094 | | | 844,198 | | 428,499 | | 317,907 | | 1,089,656 | | 493,318 | | 11,639,672 | | |
Operating expenses(4) | (4,834,561) | | | (409,780) | | (328,201) | | (53,781) | | (504,372) | | (345,533) | | (6,476,228) | | |
| Impairment, depreciation and amortization | (386,385) | | | (42,643) | | (29,021) | | (1,373) | | (16,961) | | (6,760) | | (483,143) | | |
| Total operating expenses | (5,220,946) | | | (452,423) | | (357,222) | | (55,154) | | (521,333) | | (352,293) | | (6,959,371) | | |
| Profit before income tax | 3,245,148 | | | 391,775 | | 71,277 | | 262,753 | | 568,323 | | 141,025 | | 4,680,301 | | |
(1)In 2026, the Leases segment is presented separately as its own reportable segment. For comparative purposes, the 2025 information has been restated, as these operations were included within “All other segments” during that period.
(2)For further information about income from contracts with customers, see Note 14.3. Commissions.
(3)For further information see Note 14.5. Dividends and net income on equity investments.
(4)Includes salaries and employee benefits, other administration and general expenses and taxes other than income tax.
| | | | | | | | | | | | | | | | | | | | | | | |
| Three months ended June 30, 2025 |
| Banking Colombia | Banking El Salvador | Banking Guatemala | International Banking | Leases(1) | All other segments | Total segments |
| In millions of COP |
| Total interest and valuation on financial instruments | 6,581,629 | | 525,438 | | 516,620 | | 255,588 | | 57,023 | | 22,134 | | 7,958,432 | |
| Interest income on loans and financial leases | 6,138,090 | | 460,753 | | 478,121 | | 215,990 | | 57,724 | | 5,267 | | 7,355,945 | |
| Debt investments | 448,575 | | 64,495 | | 41,649 | | 25,745 | | 689 | | 10,425 | | 591,578 | |
| Derivatives, net | (10,318) | | - | | - | | - | | (1,390) | | (23) | | (11,731) | |
| Liquidity operations, net | 5,282 | | 190 | | (3,150) | | 13,853 | | - | | 6,465 | | 22,640 | |
| Interest expenses | (2,503,807) | | (115,968) | | (232,926) | | (169,156) | | (32,930) | | (28,727) | | (3,083,514) | |
| Net interest margin and valuation on financial instruments before impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 4,077,822 | | 409,470 | | 283,694 | | 86,432 | | 24,093 | | (6,593) | | 4,874,918 | |
| Credit impairment charges, net | (806,801) | | (83,272) | | (124,232) | | (23,347) | | (21,373) | | (820) | | (1,059,845) | |
| Net interest margin and valuation on financial instruments after impairment on loans and financial leases, off balance sheet credit instruments and other financial instruments | 3,271,021 | | 326,198 | | 159,462 | | 63,085 | | 2,720 | | (7,413) | | 3,815,073 | |
| (Expenses) Revenues from transactions by the operating segments of the Bank | (94,501) | | 1,201 | | (20,497) | | 86,773 | | (27,756) | | 54,780 | | - | |
Fees and commissions income(2) | 1,492,674 | | 153,738 | | 56,933 | | 16,351 | | 254 | | 193,954 | | 1,913,904 | |
| Fees and commissions expenses | (642,531) | | (72,814) | | (21,393) | | (3,076) | | (683) | | (5,755) | | (746,252) | |
| Total fees and commissions, net | 850,143 | | 80,924 | | 35,540 | | 13,275 | | (429) | | 188,199 | | 1,167,652 | |
| Other operating income | 240,201 | | 17,905 | | 52,740 | | 3,295 | | 498,172 | | 5,303 | | 817,616 | |
Dividends and net income on equity investments(3) | 23,296 | | 969 | | 1,819 | | (150) | | 73,273 | | 22,003 | | 121,210 | |
| Total operating income, net | 4,290,160 | | 427,197 | | 229,064 | | 166,278 | | 545,980 | | 262,872 | | 5,921,551 | |
Operating expenses(4) | (2,503,623) | | (214,129) | | (164,129) | | (29,088) | | (250,545) | | (178,754) | | (3,340,268) | |
| Impairment, depreciation and amortization | (195,539) | | (19,651) | | (14,022) | | (570) | | (7,745) | | (3,803) | | (241,330) | |
| Total operating expenses | (2,699,162) | | (233,780) | | (178,151) | | (29,658) | | (258,290) | | (182,557) | | (3,581,598) | |
| Profit before income tax | 1,590,998 | | 193,417 | | 50,913 | | 136,620 | | 287,690 | | 80,315 | | 2,339,953 | |
(1)In 2026, the Leases segment is presented separately as its own reportable segment. For comparative purposes, the 2025 information has been restated, as these operations were included within “All other segments” during that period.
(2)For further information about income from contracts with customers, see Note 14.3. Commissions.
(3)For further information see Note 14.5. Dividends and net income on equity investments.
(4)Includes salaries and employee benefits, other administration and general expenses and taxes other than income tax.
NOTE 4. CASH AND CASH EQUIVALENTS
For purposes of the Condensed Consolidated Interim Statement of Cash Flow and the Condensed Consolidated Interim Statement of Financial Position, the following assets are considered as cash and cash equivalents:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Cash and balances at central bank | | |
| Cash | 8,571,583 | | 7,981,486 | |
Due from central banks(1) | 8,804,847 | | 8,762,476 | |
Due from other private financial entities(2) | 10,288,703 | | 5,985,138 | |
| Checks on hold | 66,256 | | 55,091 | |
| Remittances of domestic negotiated checks in transit | 6,940 | | 21,444 | |
| Total cash and due from banks | 27,738,329 | | 22,805,635 | |
| Money market transactions | | |
Interbank borrowings(3) | 2,435,496 | | 2,437,175 | |
Reverse repurchase agreements and other similar secured loans(4) | 815,537 | | 4,673,590 | |
| Total money market transactions | 3,251,033 | | 7,110,765 | |
| Total cash and cash equivalents | 30,989,362 | | 29,916,400 | |
(1)According to External Resolution No. 3 of 2024 of Banco de la República de Colombia, which amends External Resolution No. 5 of 2008, Bancolombia S.A. must maintain reserves equivalent to 7% of the deposits mentioned in Article 1(a), and 2.5% of its customers' deposits with maturities of less than 18 months in Article 1(b). According to Resolution Number 177 of 2002 issued by the Guatemala Monetary Board, Grupo Agromercantil Holding through its subsidiary Banco Agromercantil de Guatemala must maintain the equivalent of 14.60% of its daily customer deposit balances as a legal banking reserve, represented in unrestricted deposits at the Bank of Guatemala. Additionally, Circular SBP-DR-CIRCULAR-2026-0012 dated January 21, 2026, communicates the decision of the Superintendency of Banks of Panama to maintain the percentage established in the General Resolution of the Board of Directors SBP-GJD-0003-2014 dated January 28, 2014, which sets at 30.00% the minimum legal liquidity ratio that Panamanian banks must maintain. Finally, in accordance with Temporary Rule NPBT-17, effective from March 25, 2026, to September 8, 2026, Banco Agrícola must maintain an amount equivalent to between 1.00% and 16.00% of the average daily balances of its deposits and debt instruments in issue as a liquidity reserve, represented by unrestricted deposits or debt instruments issued by the Central Bank of El Salvador. Once the established term has ended, the bank continues to comply with the Technical Norm (NRP-28), issued by the Central Bank, under which it must maintain an equivalent amount between 1.00% and 18.00%, which has been in effect since June 23, 2021.
(2)Includes proceeds received from the sale of Banistmo amounting to USD 1,418 million. For further information, see Note 1, Reporting Entity.
(3)The values presented relate primarily to Bancolombia Panama S.A., Bancolombia S.A., and Grupo Agromercantil Holding.
(4) The variation is mainly generated by the decrease in simultaneous operations with the Cámara de Riesgo Central de Contraparte in Colombia.
As of June 30, 2026 and December 31, 2025, Cibest Corporate Group had restricted cash amounting to COP 728,749 and COP 520,105, respectively, included within other assets in the Condensed Consolidated Interim Statement of Financial Position. These assets mainly represent margin deposits pledged as collateral in derivative contracts traded through clearing houses.
NOTE 5. FINANCIAL ASSETS INVESTMENTS AND DERIVATIVES
5.1 Financial assets investments
Cibest Corporate Group has securities portfolios at fair value through profit or loss, other comprehensive income and at amortized cost are listed below, as of June 30, 2026 and December 31, 2025:
As of June 30, 2026
| | | | | | | | | | | | | | |
| Financial assets investments | Measurement methodology | Total carrying
value, net |
Fair value through
profit or loss | Fair value through other
comprehensive income, net | Amortized
cost, net |
| In millions of COP |
Securities issued by the Colombian Government(1) | 26,463,838 | 2,546,264 | 1,161,075 | 30,171,177 |
Securities issued by foreign governments(2) | 7,833,252 | - | 243,054 | 8,076,306 |
| Securities issued by government entities | 144,179 | - | 4,532,102 | 4,676,281 |
| Corporate bonds | 106,810 | 893,482 | 876,441 | 1,876,733 |
Securities issued by other financial institutions(3)(4) | 1,459,155 | 62,960 | 287,344 | 1,809,459 |
| Total debt instruments | 36,007,234 | 3,502,706 | 7,100,016 | 46,609,956 |
| Total equity securities | 1,274,610 | 306,433 | - | | 1,581,043 |
Total other instruments financial(5) | 28,273 | - | | - | | 28,273 |
| Total financial assets investments | 37,310,117 | | 3,809,139 | | 7,100,016 | | 48,219,272 |
(1)The increase in investments in financial assets measured at fair value through profit or loss is mainly due to the acquisition of Colombian treasury instruments (TES) by Bancolombia S.A.
(2)The change compared to December 2025 is primarily due to the maturities of bonds issued by the United States of America (U.S.) held by Bancolombia S.A.
(3)Includes mortgage-backed securities (TIPS) measured at fair value through profit or loss amounting to COP 100,123. For further information on TIPS’ fair value measurement see Note 19. Fair value of assets and liabilities.
(4)At June 30, 2026, the Group has recognized in the Condensed Consolidated Interim Statement of Comprehensive Income COP 29,855 related to debt instruments at fair value through OCI.
(5)Corresponds to convertible notes or agreements for the future purchase of shares, Simple Agreement for Future Equity “SAFE”, by Cibest Panamá Assets, S.A., Banagrícola S.A., Inversiones CFNS S.A.S. and Bancolombia S.A.
As of December 31, 2025
| | | | | | | | | | | | | | |
| Financial assets investments | Measurement methodology | Total carrying
value, net |
Fair value through
profit or loss | Fair value through other
comprehensive income, net | Amortized
cost, net |
| In millions of COP |
| Securities issued by the Colombian Government | 12,615,680 | 2,625,566 | 137,017 | 15,378,263 |
| Securities issued by foreign governments | 9,776,321 | - | 344,985 | 10,121,306 |
| Securities issued by government entities | 152,574 | - | 4,125,782 | 4,278,356 |
| Corporate bonds | 89,471 | 862,158 | 934,475 | 1,886,104 |
Securities issued by other financial institutions(1)(2) | 825,334 | 63,624 | 270,365 | 1,159,323 |
| Total debt instruments | 23,459,380 | 3,551,348 | 5,812,624 | 32,823,352 |
| Total equity securities | 1,136,645 | 326,977 | - | | 1,463,622 |
Total other instruments financial(3) | 30,285 | - | | - | | 30,285 |
| Total financial assets investments | 24,626,310 | | 3,878,325 | | 5,812,624 | | 34,317,259 |
(1)Includes mortgage-backed securities (TIPS) measured at fair value through profit or loss amounting to COP 93,092. For further information on TIPS’ fair value measurement see Note 19. Fair value of assets and liabilities.
(2)At December 31, 2025, the Group has recognized in the Consolidated Statement of Comprehensive Income COP 34,900 related to debt instruments at fair value through OCI.
(3)Corresponds to convertible notes or agreements for the future purchase of shares, Simple Agreement for Future Equity “SAFE”, by Cibest Panamá Assets, S.A., Banagrícola S.A., Inversiones CFNS S.A.S. and Bancolombia S.A.
The following table shows the breakdown of the changes in the gross carrying amount of the debt securities at fair value through other comprehensive income and amortized cost, in order to explain their significance to the changes in the loss allowance for the same portfolio as discussed above:
As of June 30, 2026
| | | | | | | | | | | | |
| Debt instruments portfolio measure at fair value through OCI and amortized cost | Stage 1 | Stage 2 | | Total |
| In millions of COP |
| Gross carrying amount as at 1 January 2026 | 6,313,062 | | 3,050,910 | | | 9,363,972 | |
| | | | |
| | | | |
Sales and maturities(1) | (1,719,147) | | (2,625,566) | | | (4,344,713) | |
Purchases and renewals(2) | 5,536,349 | | - | | | 5,536,349 | |
| Valuation and payments | 150,842 | | (1,239) | | | 149,603 | |
| Foreign Exchange | (66,759) | | (35,730) | | | (102,489) | |
| Gross carrying amount as at 30 june 2026 | 10,214,347 | | 388,375 | | | 10,602,722 | |
(1)Corresponds mainly to maturities of securities issued by government entities at Bancolombia S.A.
(2)Corresponds to renewals of securities issued by the Colombian government through Bancolombia S.A. in the amount of 2.4 billones and by government entities in the amount of 1.9 billones. Mainly Títulos de Solidaridad (TDS), considered mandatory investment that are not subject to reserve requirements.
As of December 31, 2025
| | | | | | | | | | | | | | |
| Debt instruments portfolio measure at fair value through OCI and amortized cost | Stage 1 | Stage 2 | Stage 3 | Total |
| In millions of COP |
| Gross carrying amount as at 1 January 2025 | 12,998,652 | | 454,065 | | 36,577 | | 13,489,294 | |
Reclassification to assets held for sale(1) | (4,188,943) | | (100,495) | | (36,577) | | (4,326,015) |
Transfer from stage 1 to stage 2(2) | (137,017) | | 137,017 | | - | | - |
Transfer from stage 2 to stage 1(3) | 13,435 | | (13,435) | | - | | - |
| Sales and maturities | (6,740,567) | | - | | - | | (6,740,567) | |
| Purchases and renewals | 4,570,660 | | 2,490,647 | | - | | 7,061,307 | |
| Valuation and payments | (50,949) | | 135,439 | | - | | 84,490 | |
| Foreign Exchange | (152,209) | | (52,328) | | - | | (204,537) |
| Gross carrying amount as at 31 December 2025 | 6,313,062 | 3,050,910 | - | 9,363,972 |
(1)The accumulated value as of December 31, 2025, includes the effects of Banistmo S.A.'s classification as asset held for sale since December 18, 2025. For more information see Note 1. Reporting Entity.
(2)Stage transfer in Colombian treasury instruments (TES) by Bancolombia Panamá S.A. and Bancolombia Puerto Rico Internacional Inc.
(3)Stage transfer in foreign issuers by Bancolombia Panamá S.A. and Bancolombia Puerto Rico Internacional Inc.
The following table shows the impairment detail for the debt instruments portfolio using the expected credit losses model:
As of June 30, 2026
| | | | | | | | | | | | |
| Concept | Stage 1 | Stage 2 | | Total |
| In millions of COP |
| Securities at amortized cost, net | 6,711,641 | | 388,375 | | | 7,100,016 | |
| Carrying amount | 6,729,159 | | 394,049 | | | 7,123,208 | |
| Loss allowance | (17,518) | | (5,674) | | | (23,192) | |
Securities at fair value through other comprehensive income(1) | 3,502,706 | | - | | | 3,502,706 | |
| Total debt instruments portfolio measure at fair value through OCI and amortized cost | 10,214,347 | | 388,375 | | | 10,602,722 | |
(1)Loss allowance of investments at fair value through OCI corresponds to COP 20,319 classified mainly in stage 1 ; the loss allowance decrease in relation to 2025 from COP (16,144) is due to the acquisition of instruments, and the decrease from COP (2,417) is due to sales and maturities and from COP 5,844 in net provisions recognized during the period.
As of December 31, 2025
| | | | | | | | | | | | |
| Concept | Stage 1 | Stage 2 | | Total(1) |
| In millions of COP |
| Securities at amortized cost, net | 5,387,280 | | 425,344 | | | 5,812,624 | |
| Carrying amount | 5,399,656 | | 429,664 | | | 5,829,320 | |
| Loss allowance | (12,376) | | (4,320) | | | (16,696) | |
Securities at fair value through other comprehensive income(2) | 925,782 | | 2,625,566 | | | 3,551,348 | |
| Total debt instruments portfolio measure at fair value through OCI and amortized cost | 6,313,062 | | 3,050,910 | | | 9,363,972 | |
(1) The accumulated value as of December 31, 2025, includes the effects of Banistmo S.A.'s classification as asset held for sale since December 18, 2025. For more information see Note 1. Reporting Entity.
(2) Loss allowance of investments at fair value through OCI corresponds to COP 4,174 classified in stage 1 to COP 1,757 and in stage 2 to COP 2,417.
The following table sets forth the changes in the allowance for debt instruments measured at amortized cost:
As of June 30, 2026
| | | | | | | | | | | | |
| Concept | Stage 1 | Stage 2 | | Total |
| In millions of COP |
| Loss allowance of January 1, 2026 | 12,376 | | 4,320 | | | 16,696 | |
| | | | |
| Sales and maturities | (1,261) | | - | | | (1,261) | |
Purchases and renewals(1) | 11,682 | | - | | | 11,682 | |
Net provisions recognized during the period(2) | (5,139) | | 1,825 | | | (3,314) | |
Foreign Exchange(3) | (140) | | (471) | | | (611) | |
| Loss allowance of June 30, 2026 | 17,518 | | 5,674 | | | 23,192 | |
(1)Corresponds to renewals of securities issued by government entities at Bancolombia S.A., as well as securities issued by the Colombian Government and purchased through P.A. Títulos de pago por ejecución.
(2)Impairment is mainly in securities issued by government entities at Bancolombia S.A.
(3)The decrease is due to the variation in the market representative rate during the year 2026.
As of June 30, 2025
| | | | | | | | | | | | | | |
| Concept | Stage 1 | Stage 2 | Stage 3 | Total |
| In millions of COP |
| Loss allowance of January 1, 2025 | 33,409 | | 8,120 | | 17,408 | | 58,937 | |
Transfer from stage 1 to stage 2(1) | (2,099) | | 2,099 | | - | | - | |
| Sales and maturities | (931) | | - | | - | | (931) | |
New debt instruments purchased(2) | 10,297 | | - | | - | | 10,297 | |
| Net provisions recognised during the period | (5,163) | | (2,578) | | 3,389 | | (4,352) | |
Foreign Exchange(3) | (1,899) | | (548) | | (1,442) | | (3,889) | |
| Loss allowance of June 30, 2025 | 33,614 | | 7,093 | | 19,355 | | 60,062 | |
(1)Stage transfer in Colombian treasury instruments (TES) by Bancolombia Panamá S.A. and Bancolombia Puerto Rico Internacional Inc.
(2)Impairment is mainly in securities issued by corporate bonds mainly in Banistmo S.A., and government entities by Bancolombia S.A.
(3)The decrease is due to the variation in the market representative rate during the year 2025.
The Group has recognized in the condensed consolidated interim statement of comprehensive income related to equity securities and trust funds at fair value through OCI as of June 30, 2026, and 2025, COP (12,242) and COP 15,102, respectively. See condensed consolidated interim statement of comprehensive income.
Equity securities that are measured at fair value through OCI are considered strategic for the Group and, thus, there is no intention to sell them in the foreseeable future and that is the main reason for using this presentation alternative.
The following table details the equity instruments designated at fair value through OCI analyzed by listing status:
| | | | | | | | |
| Equity securities | Carrying amount |
| June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Securities at fair value through OCI: | | |
Equity securities listed in Colombia | 2 | | 2 | |
Equity securities listed in foreign countries | 83,472 | | 73,149 | |
| Equity securities unlisted: | | |
| | |
| Asociación Gremial de Instituciones Financieras Credibanco S.A. | 106,895 | | 125,732 | |
| Transacciones y Transferencias, S. A. | 25,702 | | 35,116 | |
| Compañía de Procesamiento de Medios de Pago Guatemala (Bahamas), S. A. | 28,447 | | 34,035 | |
| Cámara de Riesgo Central de Contraparte de Colombia S.A. | 23,430 | | 20,406 | |
| Pexton Holdings Limited | 8,166 | | 8,917 | |
| Suncolombia SAS | 5,161 | | 5,636 | |
| Derecho Fiduciario Inmobiliaria Cadenalco | 4,276 | | 4,260 | |
| Others | 20,882 | | 19,724 | |
| Total equity securities at fair value through OCI | 306,433 | | 326,977 | |
As of June 30, 2026 and 2025 the dividends from equity investments at fair value through OCI for COP 9,101 and COP 8,328, respectively and investments written off for COP 526, in 2025. See Note 14.5. Dividends and net income on equity investments.
5.2 Derivative financial instruments
The Group’s derivative activities do not give rise to significant open positions in portfolios of derivatives. The Group and its subsidiaries enters into derivative transactions to facilitate customer business, for hedging purposes and arbitrage activities, such as forwards, options or swaps where the underlying are exchange rates, interest rates and securities.
A swap agreement is a contract between two parties to exchange cash flows based on specified underlying notional amounts, assets and/or indices. Financial futures and forward settlement contracts are agreements to buy or sell a quantity
of a financial instrument (including another derivative financial instrument), index, currency or commodity at a predetermined rate or price during a period or at a date in the future. Futures and option contracts are standardized agreements for future delivery, traded on exchanges that typically act as a platform.
For further information related to the objectives, policies and processes for managing the Group’s risk, please see Risk Management.
The following table sets forth the carrying values of the Group’s and its subsidiaries derivatives by type of risk as of June 30, 2026 and December 31, 2025:
| | | | | | | | |
| Derivatives | June 30, 2026 | December 31, 2025 |
| In millions of COP |
Forwards(1) | | |
| Assets | | |
| Foreign exchange contracts | 6,002,848 | | 2,895,452 | |
| Equity contracts | 12,967 | | 59,140 | |
| Subtotal assets | 6,015,815 | | 2,954,592 | |
| Liabilities | | |
| Foreign exchange contracts | 6,508,640 | | 2,719,599 | |
| Equity contracts | 220,817 | | 8,163 | |
| Subtotal liabilities | 6,729,457 | | 2,727,762 | |
| Total forwards | (713,642) | | 226,830 | |
Swaps(2) | | |
| Assets | | |
| Foreign exchange contracts | 1,637,099 | | 1,068,740 | |
| Interest rate contracts | 221,684 | | 278,454 | |
| Subtotal assets | 1,858,783 | | 1,347,194 | |
| Liabilities | | |
| Foreign exchange contracts | 2,089,395 | | 1,268,754 | |
| Interest rate contracts | 306,159 | | 371,179 | |
| Subtotal liabilities | 2,395,554 | | 1,639,933 | |
| Total swaps | (536,771) | | (292,739) | |
| Options | | |
| Assets | | |
| Foreign exchange contracts | 163,867 | | 116,077 | |
| Subtotal assets | 163,867 | | 116,077 | |
| Liabilities | | |
| Foreign exchange contracts | 217,956 | | 146,935 | |
| Subtotal liabilities | 217,956 | | 146,935 | |
| Total options | (54,089) | | (30,858) | |
| Derivative assets | 8,038,465 | | 4,417,863 | |
| Derivative liabilities | 9,342,967 | | 4,514,630 | |
(1)As of June 30, 2026, the fluctuations in derivative assets and liabilities were due to the performance of foreign exchange forward contracts. The outstanding notional exposure denominated in U.S. dollars increased by 45.86%, mainly driven by buy-side transactions (55.43%) and, to a lesser extent, by sell-side transactions (37.21%). Additionally, the Colombian peso appreciated by 8.42% against the U.S. dollar during the reporting period. As a result,
derivative assets increased by COP 3.11 billion due to the positive fair value remeasurement of short foreign exchange positions, while derivative liabilities decreased by COP 3.78 billion as a consequence of the negative fair value remeasurement of long foreign exchange positions.
(2)As of June 30, 2026, foreign currency swaps recorded a 16.25% increase in outstanding notional positions denominated in U.S. dollars. Nevertheless, derivative liabilities decreased by COP 820,640 million, primarily due to the adverse fair value remeasurement of fixed-rate receivable legs.
NOTE 6. LOANS AND ADVANCES TO CUSTOMERS, NET
Loans and financial leasing operating portfolio
The following is the composition of the loans and financial leasing operations portfolio, net as of June 30, 2026 and December 31, 2025:
| | | | | | | | |
| Composition | June 30, 2026(1) | December 31, 2025(1) |
| In millions of COP |
| Commercial | 142,622,033 | 139,627,922 |
| Consumer | 53,526,979 | 52,753,546 |
| Mortgage | 35,903,418 | 34,416,372 |
Financial Leases | 29,121,284 | 28,493,129 |
| Small Business Loans | 1,099,467 | 1,063,012 |
Total gross loans and advances to customers(2) | 262,273,181 | 256,353,981 |
| Total allowance | (13,483,030) | (13,253,946) |
| Total Net loans and advances to customers | 248,790,151 | 243,100,035 |
(1) As of December 31, 2025 Banistmo S.A. was considered an asset held for sale and which had a loan portfolio of COP 28,853,418 and a provision for loan portfolio impairment of COP 1,420,269, respectively that were reclassified to Assets related to investments in subsidiaries held for sale.On June 30, 2026, the sale of Banistmo S.A. was finalized For more information see Note 1. Reporting Entity.
(2) The increase is mainly driven by disbursements made during 2026 to date, primarily at Bancolombia S.A within the commercial portfolio, with greater activity in the corporate and business segments.
Allowance for loans losses
The following table sets forth the changes in the allowance for loans and advances and lease losses as of June 30, 2026 and 2025:
As of June 30, 2026
| | | | | | | | | | | | | | | | | | | | |
| Concept | Commercial | Consumer | Mortgage | Financial
Leases | Small
business
loans | Total |
| In millions of COP |
| Balance at January 1, 2026 | 5,957,464 | | 5,130,763 | | 977,691 | | 1,066,792 | | 121,236 | | 13,253,946 | |
Loan sales(1) | (56,886) | | - | | - | | - | | - | | (56,886) | |
| Recovery of charged - off loans | 66,772 | | 260,377 | | 12,020 | | 37,449 | | 3,034 | | 379,652 | |
Credit impairment charges on loans, advances and financial leases, net | 208,393 | | 1,803,969 | | 112,741 | | 20,650 | | 45,035 | | 2,190,788 | |
Adjusted stage 3(2) | 145,619 | | 191,190 | | 26,914 | | 37,057 | | 4,188 | | 404,968 | |
Charges-off(3) | (626,836) | | (1,763,364) | | (40,306) | | (70,048) | | (25,839) | | (2,526,393) | |
Translation adjustment(4) | (61,637) | | (94,839) | | (3,930) | | (2,514) | | (125) | | (163,045) | |
| Balance at June 30, 2026 | 5,632,889 | | 5,528,096 | | 1,085,130 | | 1,089,386 | | 147,529 | | 13,483,030 | |
(1)Corresponds to the release of loan allowances related to portfolio sales.
(2)Recognized as a reduction to Interest Income on loans and financial leases in Condensed Consolidated Interim Statement of Income, based on the effective interest rate adjusted for the credit quality of the financial asset measured at amortized cost, in accordance with IFRS 9.5.4.1(a).
(3)This amount results from collections of previously charged off loans.
(4)The variation is due to the decrease in the market representative rate from COP 3,757.08 in December 2025 to COP 3,440.83 in June 2026.
.
As of June 30, 2025
| | | | | | | | | | | | | | | | | | | | |
| Concept | Commercial | Consumer | Mortgage | Financial
Leases | Small
business
loans | Total |
| In millions of COP |
| Balance at January 1, 2025 | 7,259,230 | 6,497,777 | 1,235,177 | 1,088,272 | 99,282 | 16,179,738 |
| | | | | | |
Loan sales(1) | (293,950) | - | - | - | - | (293,950) |
| Recovery of charged - off loans | 97,203 | 258,454 | 14,596 | 45,716 | 899 | 416,868 |
Credit impairment charges on loans, advances and financial leases, net(2) | 319,120 | 1,741,452 | 12,401 | 41,486 | 47,160 | 2,161,619 |
Adjusted stage 3(3) | 146,607 | 237,741 | 24,759 | 33,689 | 3,037 | 445,833 |
Charges-off(4) | (797,879) | (2,766,905) | (84,804) | (153,798) | (35,767) | (3,839,153) |
Translation adjustment(5) | (132,954) | (135,233) | (26,668) | (3,187) | (1,825) | (299,867) |
| Balance at June 30, 2025 | 6,597,377 | 5,833,286 | 1,175,461 | 1,052,178 | 112,786 | 14,771,088 |
(1)Corresponds to the release of loan allowances related to portfolio sales.
(2)The net provision for impairment of the loan portfolio and finance lease operations differs from the COP 2,104,078 reported in the consolidated income statement due to Banistmo S.A.'s net loan portfolio provision expense of COP 57,541, as of June 30, 2025, classified as a discontinued operation in 2025.
(3) Recognized as a reduction to Interest Income on loans and financial leases in Condensed Consolidated Interim Statement of Income, based on the effective interest rate adjusted for the credit quality of the financial asset measured at amortized cost, in accordance with IFRS 9.5.4.1(a).
(4) Writte offs remain under collection efforts.
(5) The variation is due to the decrease in the market representative rate from COP 4,409.15 in December 2024 to COP 4,069.67 in June 2025.
The following table presents information about the nature and effects of changes in the contractual cash flows of the loan portfolio that did not result in derecognition and the effect of these changes on the measurement of expected credit losses.
| | | | | | | | |
| Changes in the contractual cash flows of the loan portfolio that did not result in derecognition |
| In millions of COP |
| June 30, 2026 | December 31, 2025 |
| Loan portfolio modified during the period | | |
| Amortized cost before modification | 5,093,944 | 6,383,018 |
| Net gain or loss on changes | (51,257) | | (194,997) | |
| Loan portfolio modified since initial recognition | | |
| Gross carrying value of the previously modified loan portfolio for which the allowance for losses has been changed from the asset's life to the expected credit losses for 12 months. | 289,546 | 355,652 |
Impact of movements in the value of the portfolio and loss allowance by Stage
June 2026 compared to December 2025
Stage 1 (12-month expected credit losses)
Exposure in Stage 1 increased by COP 5,212,210, while the loss allowance increased by COP 303,367. The growth in exposure was mainly driven by disbursement dynamics and the expansion of credit portfolios. The increase in the loss allowance is aligned with the portfolio growth and remains consistent with the risk profile observed in this Stage.
Stage 2 (Lifetime expected credit losses)
Exposure in Stage 2 increased by COP 859,356, while the loss allowance increased by COP 144,159. The growth in both exposure and loss allowance in this Stage mainly reflects specific deteriorations in clients from the agro-export sector, affected by pressures related to the exchange rate and the effects of the El Niño phenomenon in Colombia, as well as the increase in past-due loans observed in certain retail portfolios. The latter continues to be associated with households’ lower payment capacity, in a context marked by inflationary pressures and high interest rates, which continue to pose challenges to portfolio quality indicators.
Stage 3 (Lifetime expected credit losses)
Exposure in Stage 3 decreased by COP 152,366, while the loss allowance decreased by COP 218,442. This behavior continues to reflect the favorable evolution of the Group’s credit portfolio quality, supported by recoveries of previously deteriorated clients and lower inflows into default.
Variation December 2025 vs December 2024
Stage 1 (12-month expected credit losses)
The exposure in Stage 1 decreased by COP (14,743,096) and the loss allowance decreased by COP (165,889). The decrease in exposure and provision is mainly Banistmo S.A.'s classification as asset held for sale since December 18, 2025, as during 2025 the portfolio showed strong disbursement dynamics.
Stage 2 (Lifetime expected credit losses)
The exposure in Stage 2 decreased by COP (3,379,222) and the loss allowance registered a negative variation of COP (396,249). The decrease in exposure and provisions in this stage is primarily due to the Banistmo S.A.'s classification as asset held for sale since December 18, 2025, partially offset by an increase in impairment of specific clients in the commercial portfolio in Colombia and the consumer portfolio in Guatemala.
Stage 3 (Lifetime expected credit losses)
The exposure in Stage 3 decreased by COP (4,977,609) and the loss allowance decreased by COP (2,363,654). The reduction in exposure and provisions in this stage is mainly Banistmo S.A.'s classification as asset held for sale since December 18, 2025 and the strong performance observed in the portfolio during 2025.
The following explains the significant changes in the loans and the allowance for loan losses by category during the periods ended on June 30, 2026 and December 31, 2025 as a result of applying the expected credit loss model according to IFRS 9:
As of June 30, 2026
| | | | | | | | | | | | | | |
| Maximum exposure to credit risk |
| In millions of COP |
| Stage 1 | Stage 2 | Stage 3 | Total |
| Commercial | 131,842,222 | 4,182,645 | 6,597,166 | 142,622,033 |
| Consumer | 46,004,255 | 4,644,942 | 2,877,782 | 53,526,979 |
| Mortgage | 32,558,680 | 1,794,604 | 1,550,134 | 35,903,418 |
| Financial Leases | 24,438,101 | 3,397,504 | 1,285,679 | 29,121,284 |
| Small Business Loans | 898,153 | 130,730 | 70,584 | 1,099,467 |
| Total gross loans and advances to customers | 235,741,411 | 14,150,425 | 12,381,345 | 262,273,181 |
| Total allowance | (2,312,457) | (2,421,671) | (8,748,902) | (13,483,030) |
| Total Net loans and advances to customers | 233,428,954 | 11,728,754 | 3,632,443 | 248,790,151 |
As of December 31, 2025
| | | | | | | | | | | | | | |
| Maximum exposure to credit risk |
| In millions of COP |
| Stage 1 | Stage 2 | Stage 3 | Total |
| Commercial | 128,900,017 | 3,789,022 | 6,938,883 | 139,627,922 |
| Consumer | 45,368,880 | 4,597,424 | 2,787,242 | 52,753,546 |
| Mortgage | 31,451,240 | 1,551,976 | 1,413,156 | 34,416,372 |
| Financial Leases | 23,923,390 | 3,232,317 | 1,337,422 | 28,493,129 |
| Small Business Loans | 885,674 | 120,330 | 57,008 | 1,063,012 |
| Total gross loans and advances to customers | 230,529,201 | 13,291,069 | 12,533,711 | 256,353,981 |
| Total allowance | (2,009,090) | (2,277,512) | (8,967,344) | (13,253,946) |
| Total Net loans and advances to customers | 228,520,111 | 11,013,557 | 3,566,367 | 243,100,035 |
NOTE 7. INVESTMENT PROPERTIES
The table below sets forth the conciliation between the initial and ending balances of the market value of investment properties of Condensed Consolidated Interim Statement of Financial Position at the end of the period:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Balance at the beginning of the year | 6,595,407 | 5,580,109 |
Acquisitions(1) | - | 871,551 |
| Subsequent expenditure recognized as an asset | 171,683 | 181,782 |
Sales/Write-offs(2) | (301,521) | | (112,375) | |
Amount reclassified from property and equipment(3) | 31,061 | (35,441) |
| Gains on valuation | 147,579 | 109,781 |
Balance at the end of the period(4) | 6,644,209 | 6,595,407 |
(1)In 2025 corresponds mainly to CEDI Future Falabella for COP 443,415.
(2)In 2026 corresponds mainly to the sale of San Martín property for COP 244,905, which had been classified as property held for sale since 2025.
(3)In 2026 corresponds to properties Bancolombia reclassified COP 31,061 from premises and equipment, considering the change in use of the asset.
(4) As of June 30, 2026, and December 31, 2025, there were no transfers into or out of Level 3 of the fair value hierarchy. See Note 19. Fair Value of Assets and Liabilities.
Amounts recognized in the statement of income for the period.
The table sets forth the main income and expenses recorded by the Cibest Corporate Group related to its investment properties:
| | | | | | | | |
| June 30, 2026 | June 30, 2025 |
| In millions of COP |
| Income from rentals | 218,151 | | 174,375 | |
| Operating expenses due to: | 52,690 | | 31,150 | |
| Investment properties that generated income through rentals | 48,802 | | 23,274 | |
| Investment properties that did not generate income through rentals | 3,888 | | 7,876 | |
Currently, there are no restrictions on the use or income derived from the buildings or lands that the Cibest Corporate Group has as investment property.
The fair value of the Cibest Corporate Group investment properties for the period ending at June 30, 2026 and December 31, 2025, has been recorded according to the assessment made by independent external consulting companies that have the appropriate capacity and experience in performing those assessments. The appraisers are either approved by the Property Market Auctions of Colombia or foreign appraisers, who are required to provide a second signature by a Colombia appraiser accredited by the Property Market Auctions.
Fair value appraisals are carried out in accordance with IFRS 13. The reports made by the external consulting company contain the description of the valuation methodologies used, and key assumptions such as: discount rates, calculation of applied expenses and income approach, among others. The fair value of the investment properties is based on the comparative market approach, which reflects the prices of recent transactions with similar characteristics. Upon determining the fair value of these investment properties, the greater and best use of these investment properties is their present use. For further information about measurement techniques and inputs used by consulting companies, see Note 19 Fair Value of assets and liabilities.
As of June 30, 2026 and December 31, 2025, the Cibest Corporate Group does not have investment properties held under financial leases.
NOTE 8. INCOME TAX FROM CONTINUED OPERATION
The income tax is recognized in each of the countries where the Cibest Corporate Group has operations, in accordance with the tax regulations in force in each of the jurisdictions.
8.1 Components recognized in the Consolidated Statement of Income
The next table details the total income tax for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| 2026 | 2025 | 2026 | 2025 |
| In millions of COP | | |
Current tax(1) | | | | |
| Fiscal term | (1,931,604) | | (1,266,069) | | (1,003,068) | | (638,354) | |
| Prior fiscal terms | 271,079 | 66,970 | 114,820 | 6,673 |
| Adjustments for consolidation purposes | 2,731 | - | 9,811 | | - | |
| Total current tax | (1,657,794) | | (1,199,099) | | (878,437) | | (631,681) | |
| Deferred tax | | | | |
| Fiscal term | 190,351 | | (3,971) | | (32,491) | | 34,069 | |
| Prior fiscal terms | (201,751) | (55,265) | (51,943) | (11,839) |
| Adjustments for consolidation purposes | (28,083) | (29,387) | (24,870) | (10,519) |
Total deferred tax(2) | (39,483) | | (88,623) | | (109,304) | | 11,711 | |
Total income tax from continued operation | (1,697,277) | | (1,287,722) | | (987,741) | | (619,970) | |
(1) The nominal income tax rate used in Colombia for the years 2026 and 2025 is 35%. The Colombian financial institutions of the Group liquidated some additional points in the income tax of 5%.
(2) Includes the effects of Decree No. 1474 dated December 29, 2025. See Notes 8.2 and 8.5.
8.2 Legal regulatory changes
Under the Political Constitution of Colombia, when events seriously disrupt the country's economic, social, or ecological order, the President of the Republic, with the signature of all cabinet ministers, may declare a State of Emergency. During such emergency, decrees with the force of law may be issued exclusively to address the crisis. These powers also permit the temporary creation of new taxes or the amendment of existing taxes; however, such measures expire at the end of the following fiscal year.
On December 22, 2025, the Colombian government issued Decree No. 1390, declaring a State of Economic and Social Emergency throughout the national territory due to the fiscal deficit of the Colombian State. Subsequently, on December 29, 2025, Legislative Decree No. 1474 was issued, establishing temporary tax measures for fiscal year 2026, including the following measures for financial institutions and stock brokerage firms.
1.Although the general corporate income tax rate remained at 35%, an increase in the additional surtax rate applicable to income tax was enacted, from 5% to 15% (an increase of 10 percentage points). As a result, the total income tax rate increased to 50%, requiring the remeasurement of deferred tax as of December 31, 2025, using this new rate for temporary differences expected to reverse in 2026 (see Note 8.5).
2.The fifteen (15) additional percentage points were subject to a mandatory 100% advance payment, calculated based on the 2025 income tax return and payable in two equal installments in April and June 2026.
On April 9, 2026, the Colombian Constitutional Court announced its decision to declare Decree No. 1390 of 2025 unconstitutional through Ruling C‑075. Subsequently, on April 15, 2026, the Court announced the decision of Ruling C‑079, declaring Legislative Decree No. 1474 of 2025 unconstitutional. Accordingly, the measures that increased the
additional income tax surcharge for financial institutions and stock brokerage firms and established a 100% advance payment no longer have legal effect (see Note 8.5).
On February 11, 2026, the Colombian government issued Decree No. 150, declaring a State of Economic, Social, and Ecological Emergency in certain departments of Colombia due to severe weather-related emergencies. Subsequently, on February 24, 2026, Legislative Decree No. 173 was issued, establishing, as a temporary tax measure for fiscal year 2026, a net wealth tax applicable to Colombian legal entities subject to income tax. This tax is triggered by the ownership of net equity equal to or greater than 200,000 UVT as of March 1, 2026 (COP $10,475 million for 2026), at a general rate of 0.5% and a special rate of 1.6% applicable to financial institutions, stock brokerage firms, and other entities operating in certain specific sectors. Through Judgment C-191 dated June 24, 2026, the Colombian Constitutional Court declared Decree No. 150 partially constitutional and is currently continuing its review of the constitutionality of Legislative Decree No. 173.
Furthermore, in El Salvador, in January 2026, the "Special Law Quincena 25" was enacted. This law provides that employers must pay, between January 15 and January 25 of each year, a bonus equivalent to 50% of the monthly salary to employees earning up to US$1,500. Its implementation will be voluntary in 2026 and will grant a 100% tax credit against income tax. Starting in 2027, its implementation will be mandatory and the payment will be treated as a deductible expense for income tax purposes.
8.3 Reconciliation of the effective tax rate
The reconciliation between total income tax expenses calculated at the current nominal tax rate and the tax expense recognized in the condensed consolidated interim statement of income for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Reconciliation of the tax rate | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
| Profit continued operation before tax | 6,000,134 | 4,680,301 | 3,854,772 | 2,339,953 |
Applicable tax with nominal rate(1) | (2,400,054) | | (1,872,120) | | (1,541,909) | | (935,981) | |
Non-deductible expenses to determine taxable profit(2) | (304,820) | | (107,642) | | (86,755) | | (62,692) | |
| Accounting and non-tax income to determine taxable profit | 386,777 | | 314,030 | | 232,586 | | 82,750 | |
Differences in accounting bases(3) | (28,663) | | 17,862 | | (49,736) | | (68,686) | |
Fiscal and non-accounting income to determine taxable profit(4) | (949,837) | | (292,127) | | 138,179 | | (24,410) | |
Ordinary activities income exempt from taxation(4) | 601,498 | | 630,713 | | 216,590 | | 198,299 | |
Ordinary activities income not constituting income or occasional tax gain(4) | 981,176 | | 76,768 | | 151,074 | | 21,151 | |
| Tax deductions | 96,267 | | 108,497 | | 53,499 | | 51,154 | |
| Goodwill Depreciation | 231 | | 231 | | 116 | | 154 | |
| Tax depreciation surplus | 106,670 | | 102,912 | | 52,217 | | 51,169 | |
| Untaxed recoveries | (63,819) | | (71,035) | | (35,125) | | (28,720) | |
| Tax rate effect in other countries | (81,410) | | (155,547) | | 28,020 | | 71,260 | |
| Prior fiscal terms | 69,328 | | 11,705 | | 62,877 | | (5,166) | |
| Tax discounts | 4,024 | | - | | (45) | | - | |
| Other effects of the tax rate by reconciliation between accounting profit and tax expense (income) | (267,852) | | (56,069) | | (362,536) | | 25,648 | |
| Excess of presumptive income over net taxable income | - | | 4,100 | | - | | 4,100 | |
| Effect of the economic emergency | 153,207 | | - | | 153,207 | | - | |
Total income tax from continued operation | (1,697,277) | | (1,287,722) | | (987,741) | | (619,970) | |
(1) The nominal income tax rate used in Colombia for the years 2026 and 2025 is 35%. The Colombian financial institutions of the Group liquidated some additional points in the income tax of 5%.
(2) Mainly attributable to the wealth tax.
(3) Difference between the technical accounting frameworks in force and the full International Financial Reporting Standards (IFRS).
(4) Mainly attributable to dividends distributed by subsidiary companies..
8.4 Components recognized in Other Comprehensive Income (OCI)
See Condensed Consolidated Interim Statement of Comprehensive Income
Accumulated Results
| | | | | | | | | | | | |
| June 30, 2026 |
| In millions of COP |
| Amounts before taxes | Deferred tax | | Net taxes |
| Remeasurement income related to defined benefit liability | 16,986 | | (3,174) | | | 13,812 | |
| Unrealized loss Investments in equity instruments measured at fair value through other comprehensive income (FVTOCI) | (58,831) | | 3,421 | | | (55,410) | |
| Gain due to asset revaluation | - | | 356 | | | 356 | |
| Unrealized gain Investments in debt instruments measured at fair value through other comprehensive income (FVTOCI) | 51,967 | | (22,112) | | | 29,855 | |
Loss on net investment hedge in foreign operations(1) | (89,645) | | (54,142) | | | (143,787) | |
Exchange differences arising on translating the foreign operations(2) | (1,078,139) | | - | | | (1,078,139) | |
| Unrealized loss Cash flow hedge | (18,966) | | 9,821 | | | (9,145) | |
| Unrealized loss on investments in associates and joint ventures using equity method | (946) | | - | | | (946) | |
| Net | (1,177,574) | | (65,830) | | | (1,243,404) | |
(1) Includes the effects of the reclassification of OCI upon the disposal of the investment in Banistmo, amounting to COP 29,114, through deferred tax.
(2) Effect of exchange rate fluctuations.
| | | | | | | | | | | |
| June 30, 2025 |
| In millions of COP |
| Amounts before taxes | Deferred tax | Net taxes |
| Remeasurement income related to defined benefit liability | 14,985 | | (5,465) | | 9,520 | |
| Unrealized gain Investments in equity instruments measured at fair value through other comprehensive income (FVTOCI) | 13,829 | | 1,273 | | 15,102 | |
| | | |
| Unrealized gain Investments in debt instruments measured at fair value through other comprehensive income (FVTOCI) | 336 | | 5,923 | | 6,259 | |
| Gain on net investment hedge in foreign operations | 230,626 | | (125,648) | | 104,978 | |
| Exchange differences arising on translating the foreign operations. | (1,610,582) | | - | | (1,610,582) | |
| Unrealized loss Cash flow hedge | (216) | | 87 | | (129) | |
| Unrealized loss on investments in associates and joint ventures using equity method | (446) | | (599) | | (1,045) | |
| Net | (1,351,468) | | (124,429) | | (1,475,897) | |
Quarterly Results
| | | | | | | | | | | |
| June 30, 2026 |
| In millions of COP |
| Amounts before taxes | Deferred tax | Net taxes |
| Remeasurement income related to defined benefit liability | 16,985 | | (3,238) | | 13,747 | |
| Unrealized loss Investments in equity instruments measured at fair value through other comprehensive income (FVTOCI) | (59,087) | | 3,556 | | (55,531) | |
| Gain due to asset revaluation | - | | 356 | | 356 | |
| Unrealized gain Investments in debt instruments measured at fair value through other comprehensive income (FVTOCI) | 74,012 | | (33,129) | | 40,883 | |
| Loss on net investment hedge in foreign operations | (131,152) | | (37,539) | | (168,691) | |
| Exchange differences arising on translating the foreign operations. | (728,900) | | - | | (728,900) | |
| Unrealized loss Cash flow hedge | (15,345) | | 6,137 | | (9,208) | |
| Unrealized gain on investments in associates and joint ventures using equity method | 131 | | - | | 131 | |
| Net | (843,356) | | (63,857) | | (907,213) | |
| | | | | | | | | | | |
| Junio 30, 2025 |
| In millions of COP |
| Amounts before taxes | Deferred tax | Net taxes |
| Remeasurement income related to defined benefit liability | 14,985 | | (5,492) | | 9,493 | |
| Unrealized gain Investments in equity instruments measured at fair value through other comprehensive income (FVTOCI) | 9,851 | | 873 | | 10,724 | |
| | | |
| Unrealized gain Investments in debt instruments measured at fair value through other comprehensive income (FVTOCI) | 6,519 | | 2,408 | | 8,927 | |
| Loss on net investment hedge in foreign operations | 38,362 | | (54,494) | | (16,132) | |
| Exchange differences arising on translating the foreign operations. | (536,689) | | - | | (536,689) | |
| Unrealized loss Cash flow hedge | (154) | | 62 | | (92) | |
| Unrealized loss on investments in associates and joint ventures using equity method | (196) | | (670) | | (866) | |
| Net | (467,322) | | (57,313) | | (524,635) | |
8.5 Deferred tax
In accordance with its financial projections, the companies from the Bank’s expects in the future to generate enough liquid income to offset the items recorded as deductible deferred tax. These estimates start from the financial projections that were prepared considering information from the Cibest Group's economic research records, the expected economic environment for the next five years. The main indicators on which the models are based are GDP growth, loans growth and interest rates. In addition to these elements, the long-term Group's strategy is taken into account.
The amounts presented in the Condensed Consolidated Interim Statement of Financial Position correspond to the sum of the net deferred tax positions of each entity within the Group. The deferred tax asset and liability for each of the concepts that generated taxable or deductible temporary differences for the period ending June 30, 2026 are detailed below:
| | | | | | | | | | | | | | | | | | | | | | |
| December 31, 2025(1) | Effect on
Income
Statement | Effect on
OCI | | | Foreign
Exchange | Adjustments for
consolidation
purposes | June 30, 2026 |
In millions of COP |
| Asset Deferred Tax: | | | | | | | | |
| Property and equipment | 1,103 | | 2,353 | | - | | | | (92) | | - | | 3,364 | |
| Employee Benefits | 293,179 | | (17,120) | | (3,174) | | | | (4,181) | | - | | 268,704 | |
| Deterioration assessment | 191,009 | | (406) | | - | | | | (15,220) | | 11 | | 175,394 | |
| Investments evaluation | 4,962 | | 4,735 | | - | | | | (1) | | - | | 9,696 | |
| Derivatives Valuation | 40,770 | | 436,096 | | 9,821 | | | | - | | - | | 486,687 | |
| | | | | | | | |
| | | | | | | | |
| Insurance operations | 6,836 | | (429) | | - | | | | (576) | | - | | 5,831 | |
Bonuses(2) | 58,233 | | (4,091) | | (54,142) | | | | - | | - | | - | |
| implementation adjustment | 352,154 | | (58,492) | | - | | | | (5,026) | | - | | 288,636 | |
| Other deductions | 552,638 | | (245,612) | | - | | | | (148) | | - | | 306,878 | |
Total Asset Deferred Tax | 1,500,884 | | 117,034 | | (47,495) | | | | (25,244) | | 11 | | 1,545,190 | |
| Liability Deferred Tax: | | | | | | | | |
| Property and equipment | (198,519) | | (142) | | 356 | | | | 2,075 | | - | | (196,230) | |
| | | | | | | | |
| Deterioration assessment | (776,233) | | 110,743 | | - | | | | (1,250) | | - | | (666,740) | |
| Valuation of Financial Instruments | (487,839) | | (120,333) | | (18,691) | | | | 6,662 | | - | | (620,201) | |
| | | | | | | | |
| Lease restatement | (483,188) | | (65,752) | | - | | | | 1 | | - | | (548,939) | |
| Investments in associates. Adjustment for equity method | (6,408) | | 106 | | - | | | | (5,277) | | - | | (11,579) | |
| Financial Obligations | (140,682) | | (24,571) | | (29,114) | | | | (235) | | (28,094) | | (222,696) | |
| Bonuses | - | | (92,416) | | - | | | | - | | - | | (92,416) | |
| Goodwill | (4,505) | | 134 | | - | | | | 379 | | - | | (3,992) | |
| Insurance operations | (9,316) | | (1,389) | | - | | | | 784 | | - | | (9,921) | |
| Properties received in payment | (124,025) | | (15,314) | | - | | | | 773 | | - | | (138,566) | |
| implementation adjustment | (49,915) | | 45,696 | | - | | | | 4,200 | | - | | (19) | |
| Other deductions | (373,532) | | 34,804 | | - | | | | 3,901 | | - | | (334,827) | |
Total Liability Deferred Tax | (2,654,162) | | (128,434) | | (47,449) | | | | 12,013 | | (28,094) | | (2,846,126) | |
| Net Deferred Tax | (1,153,278) | | (11,400) | | (94,944) | | | | (13,231) | | (28,083) | | (1,300,936) | |
(1) Includes the effects of Legislative Decree No. 1474. In accordance with IAS 12, Income Taxes, Bancolombia and its subsidiaries classified as financial institutions in Colombia recognized a deferred tax liability of COP (153,207), recorded in profit or loss for the year, and COP 1,802, recorded in Other Comprehensive Income (OCI). These effects were reversed in April 2026 following Constitutional Court Judgments C-075 and C-079 (see Note 8.2 – Regulatory and Legal Changes).
(2) The movement recognized in OCI arises from the hedging of investments.
8.6 Amount of temporary differences in subsidiaries, branches, associates over which deferred tax was not recognized is
In accordance with IAS 12, no deferred tax credit was recorded, because management can control the future moment in which such differences are reversed and this is not expected to occur in the foreseeable future.
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Temporary differences | | |
| Local Subsidiaries | (7,252,213) | | (5,993,349) | |
| Foreign Subsidiaries | (8,588,129) | | (9,308,322) | |
8.7 Dividends
8.7.1 Dividend Payment
If the parent company or any of its subsidiaries were to distribute dividends, they would be subject to the tax regulations of each of the countries in which they are decreed and distributed. In the case of Colombian companies, dividends will be subject to the application of Articles 48 and 49 of the Tax Statute and consequently will be subject to withholding at source at the established rates, in accordance with the tax characteristics of each shareholder.
8.7.2 Dividends received from Subsidiary Companies
Considering the historical tax status of the dividends received by the Bank from its affiliates and national subsidiaries, it is expected that in the future dividends will be received on the basis of non-income tax. They will not be subject to withholding tax, taking into account that the Bank, its affiliates and national subsidiaries belong to the same business group.
8.8 Tax contingent liabilities and assets
In the determination of the effective current and deferred taxes subject to review by the tax authority, the relevant regulations have been applied in accordance with the interpretations made by the Group.
In Colombia due to the complexity of the tax system, ongoing amendments to the tax regulations, accounting changes with implications on tax bases and in general the legal instability of the country, the tax authority may at any time have different criteria than that of the Cibest Group's. Consequently, a dispute or inspection by the tax authority on a tax treatment may affect the Cibest Group's accounting of assets or liabilities for deferred or current taxes, in accordance with the requirements of IAS 12. However, based on the criteria established in the interpretation of IFRIC 23, the Cibest Group's did not recognize uncertain tax positions in its financial statements.
NOTE 9. DEPOSITS BY CUSTOMERS
The detail of the deposits of Grupo Cibest as of June 30, 2026 and December 31, 2025, is as follows:
| | | | | | | | |
| Deposits | June 30, 2026 | December 31, 2025 |
| In millions of COP |
Saving accounts(1) | 137,333,799 | 133,128,722 |
Time deposits(2) | 96,654,165 | 91,673,167 |
| Checking accounts | 30,016,415 | 32,125,941 |
| Other deposits | 7,042,546 | 7,486,126 |
| Total deposits by customers | 271,046,925 | 264,413,956 |
(1)The increase is in Bancolombia S.A. maily in the institucional segment, also due to a higher remuneration rate and seasonal factors. As of June 30, 2026 and December 31, 2025 includes Nequi deposits amounting to COP 7,607,651 and COP 7,017,948, respectively.
(2)The increase is mainly attributable to Bancolombia S.A. in certificates of deposit (CDTs), with maturities between 12 and 18 months.
NOTE 10. INTERBANK DEPOSITS AND REPURCHASE AGREEMENTS AND OTHER SIMILAR SECURED BORROWING
The following table sets forth information regarding the money market operations recognized as liabilities in Condensed Consolidated Interim Statement of Financial Position:
| | | | | | | | |
| Interbank and repurchase agreements and other similar secured borrowing | June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Interbank Deposits | | |
Interbank liabilities(1) | 155,942 | | 30,102 | |
| Total interbank | 155,942 | | 30,102 | |
| Repurchase agreements and other similar secured borrowing | | |
Temporary transfer of securities(2) | 4,645,253 | | 91,950 | |
Repurchase agreements(3) | 2,000,584 | | 392,255 | |
| Short selling operations | 27,327 | | 191,842 | |
Total Repurchase agreements and other similar secured borrowing(4) | 6,673,164 | | 676,047 | |
| Total money market transactions | 6,829,106 | | 706,149 | |
(1)The variation is maily at Bancolombia, S.A. is due to an increase in the number of interbank transactions between December 2025 and June 2026.
(2)This corresponds to an increase simultaneous transactions at Bancolombia between January and June 2026.
(3)The increase is due to a transaction with the Banco de la República.
(4)Total repo liabilities have maturities of less than 30 days, for continuous trading.
NOTE 11. OTHER LIABILITIES
Other liabilities consist of the following:
| | | | | | | | |
| Other liabilities | June 30, 2026 | December 31, 2025 |
| In millions of COP |
Payables(1) | 3,756,098 | | 4,000,570 | |
Dividends(2) | 3,257,677 | | 24,775 | |
| Suppliers | 1,849,051 | | 1,943,318 | |
Deposits delivered as security(3) | 1,606,676 | | 764,034 | |
Advances to obligations(4) | 1,387,389 | | 1,686,868 | |
| Security contributions | 679,747 | | 611,103 | |
Bonuses and short-term benefits(5) | 535,126 | | 817,366 | |
| Salaries and other labor obligations | 436,637 | | 445,258 | |
| Provisions | 424,416 | | 382,655 | |
| Collection services | 240,605 | | 475,233 | |
| Advances in leasing operations and loans | 198,400 | | 194,886 | |
| Other financial liabilities | 60,767 | | 59,913 | |
| Liabilities from contracts with customers | 47,772 | | 48,658 | |
| Deferred interests | 21,378 | | 23,616 | |
| Total | 14,501,739 | | 11,478,253 | |
(1) The variation is mainly in the Fondo Inmobiliario Colombia, where collections related to the sale of real estate units decrease upon the execution and registration of the deeds for the units sold.
(2) Dividends payable related to the distribution of Grupo Cibest's 2025 earnings, declared in March 2026 and payable on a quarterly basis. Refer to the Condensed Consolidated Interim Statement of Changes in Shareholders' Equity, section on dividend distribution.
(3) The increase is attributable to the higher amount of deposits received to meet derivative margin calls.
(4) The decrease is mainly attributable to the settlement of unapplied accounts related to payment methods.
(5) The decrease is primarily explained by the payment of the SVA bonus in 2026.
NOTE 12. PROVISIONS AND CONTINGENT LIABILITIES
Contingent liabilities
As of June 30, 2026, Grupo Cibest S.A. does not have any material contingent liabilities resulting from administrative or judicial proceedings.
Some judicial proceedings involving claims for lower amounts, which were disclosed in the consolidated financial statements of Bancolombia S.A. in prior periods, are included herein to provide updated information to the reader.
BANCOLOMBIA
Neos Group S.A.S. in reorganization proceeding and Inversiones Davanic S.A.S.
On November 3, 2022, Bancolombia S.A. was served of a lawsuit in which Neos Group S.A.S. and Inversiones Davanic S.A.S. alleges that a loan agreement was entered between them, rather than a lease agreement. Neos Group S.A.S. and Inversiones Davanic S.A.S. also requested the rescission of the purchase and sale agreement on the ground that the price of the property was lower than its fair price.
The Neos Group S.A.S. and Inversiones Davanic S.A.S.'s claims amount are COP 65,000. The contingency is qualified as remote because the parties always intended to celebrate a lease agreement and not a different type of contract. On December 7, 2022, Bancolombia S.A. filed a brief with its defenses. As of June 30, 2026, the Court has not summoned the initial hearing. There is no provision for this proceeding.
Public Interest Class Action - Carlos Julio Aguilar and other
In this proceeding, a public interest class action was filed, in which the plaintiffs allege that due to the restructuring of Departamento del Valle's financial obligations and its performance plan, the Departamento del Valle's collective rights of public morality and its patrimony were breached. Bancolombia S.A. filed its defenses arguing that the agreement was carried out in full compliance with the applicable legal limits.
On November 15, 2024, the First Instance judgement was issued in favor of Bancolombia S.A. The plaintiffs filed an appeal against the decision. As of June 30, 2026, the second-instance judgment is pending. The contingency is qualified as eventual and there is no provision for this proceeding.
Remediation Plan for Santa Elena´s property
In 1987, Banco de Colombia (today Bancolombia S.A.) received a property located in Municipio de Cartagena, Colombia as a payment in kind from the Federación Nacional de Algodoneros. After the transfer of the property to Bancolombia S.A., soil contamination from pesticides and herbicides was found on the property. Bancolombia S.A. commenced a civil responsibility judicial proceeding against the Federación Nacional de Algodoneros alleging environmental contamination. On November 13, 2015, the Court issued the final judgment. In the judgment, the Court stated that the Federación Nacional de Algodoneros was liable for environmental damages and consequently, Bancolombia S.A. was not.
Despite not being liable for environmental damages, Bancolombia S.A. has assumed binding commitments to contract and pay for the property’s decontamination. As a result of these commitments, Bancolombia S.A. has conducted different decontamination processes over the years. Currently, Bancolombia S.A. has the approval of the Autoridad Nacional de Licencias Ambientales de Colombia (ANLA) for the execution of a remediation plan (plan de remediación) divided into 3 stages: Stage I, Stage II, and Stage III.
As of June 30, 2026, As of June 30, 2026, new requests from ANLA were received and are currently under review. Stage II concluded with the submission to ANLA of the report on the findings from the soil study. Likewise, pre-feasibility activities for Stage III are underway, and the implementation continues for the social management plan with the communities in the area of influence of the remediation plan, the emergency and contingency plan, the hazardous waste management plan, and the biotic environment protection plan.
The estimated time for the execution of the remediation plan is 36 months from July 2023. In light of the new requirements from the authority, the execution of the plan will be extended, and no new estimated completion date has been determined As of June 30, 2026, there is a provision of COP 53,191 to attend the execution of the pending activities of the plan.
Tuvacol S.A.
On July 18, 2024, Bancolombia S.A. was served of the lawsuit filed by Tuvacol S.A. Tuvacol S.A. is requesting the payment of the damages caused by the alleged irregular payment of checks charged to its checking account. Bancolombia S.A. argues that the payments of the checks were correct. The plaintiff’s claims are COP 56,769.
On August 15, 2025, a favorable ruling was issued for Bancolombia. Tuvacol filed an appeal against the decision. As of June 30, 2026, the case is pending a decision by the second-instance judge. The contingency is qualified as eventual and the proceeding has a provision for COP 5,676.
FIDUCIARIA BANCOLOMBIA
Quinta Sur S.A.S.
In March 2022, Fiduciaria Bancolombia was notified of a lawsuit filed by Quinta Sur S.A.S. in liquidation proceeding. According to the lawsuit, Quinta Sur seeks the indemnification for damages due to the non-transfer of the resources to beginning of a housing construction project, under the terms agreed in the trust agreement.
Fiduciaria Bancolombia alleges that it has complied with the law and the contract, arguing that the property on which the housing project was to be constructed did not fulfill the contractual requirements. The plaintiff’s claims amount are COP 128,599.
In judicial decisions issued on August 24, 2023 and March 20, 2026, a ruling was issued in favor of Fiduciaria Bancolombia. As of June 30, 2026, the proceeding is currently pending a decision on the admissibility of the extraordinary cassation appeal filed by Quinta Sur S.A.S., in liquidation. The contingency is qualified as eventual and there is no provision for this proceeding.
BANCO AGRÍCOLA
Dirección General de Impuestos Internos El Salvador
The authority on taxes of El Salvador (DGII), in accordance with the resolution of October 2018, determined that Banco Agrícola failed to declare and pay income taxes related to 2014’s fiscal year for a total of USD 11,116 and related penalties.
In 2021, the appeal presented by Banco Agrícola was decided. The Tribunal de Apelaciones de los Impuestos Internos y Aduanas (TAII) modified the Resolution issued by DGII, adjusted the rental tax to USD 6,341 and revoked the sanction.
Banco Agrícola filed a lawsuit before the Contentious Administrative Tribunal seeking to overrule DGII´s and TAII´s previous decisions in relation to the tax’s payment. As of June 30, 2026, the decision of the Contentious Administrative Tribunal is still pending.
The contingency is qualified as remote and there is no provision for this proceeding.
ARRENDADORA FINANCIERA S.A.
Cordal
Cordal filed a lawsuit against Arrendadora Financiera, seeking compensation for USD 6,454. According to the lawsuit, Cordal was the owner of a current account in Arrendadora Financiera (formerly Banco Capital S.A.), and it alleged that it´s funds were irregularly transferred to third parties. Arrendadora Financiera alleges Cordal´s account was liquidated before the acquisition of Banco Capital S.A. and, therefore, no funds were transferred.
As of June 30, 2026, the proceeding is at the evidentiary stage. The contingency is qualified as remote and there is no provision for this proceeding. A former employee of the plaintiff was convicted of aggravated theft in connection with the facts of this lawsuit.
BANCO AGROMERCANTIL
Bapa Holdings Corp.
On September 20, 2022, a lawsuit against Banco Agromercantil was filed by Bapa Holdings Corp. The plaintiff alleges that it invested USD 7,000, through a participation agreement with North Shore Development Company (NDSC) for the development of a housing project that was going to be built in a property, which was security for a loan given by Banco Agromercantil to NDSC, located in Roatan Island, Honduras. Bapa alleges that BAM caused damages due to its failure to provide information about NDSC´s financial situation and going through with the sale of the credit.
On October 24, 2022, BAM responded to the claim and filed exceptions alleging that it has no commercial relationship with Bapa, and the statute of limitations deadline expired. As of June 30, 2026, the Court has not ruled the exceptions to the lawsuit. The contingency is qualified as remote and there is no provision for this proceeding.
Superintendencia de Administración Tributaria (SAT)
The Superintendencia de Administración Tributaria (SAT) de Guatemala ordered a tax adjustment in the fiscal year 2014 of Banco Agromercantil´s rental tax declaration, duly paid by BAM, for a value of USD 13,583 (including tax and sanction). BAM initiated legal proceedings against the decision adopted by the SAT, arguing the inadmissibility of the adjustment by applying the legal rule in an analogous way, the admissibility of the expense’s deductions of the revenue tax for being necessary to generate lien revenue and the non-withhold of the revenue tax in the interests paid to exempt people, arguing that they were appropriate according to the law. As of June 30, 2026, the proceeding is pending the final decision from the Court.
The contingency is qualified as remote and there is no provision for this proceeding.
Delicarnes S.A.
On March 6, 2026, BAM was sued by Delicarnes S.A., in an ordinary civil action for damages, in which the claimant seeks compensation in the amount of USD 38,301. The claim arises from damages allegedly suffered by Delicarnes S.A. in connection with the collection proceeding of a credit initiated by BAM in 2018 in the amount of USD 1,737. BAM has challenged the claim by filing a preliminary statute of limitations defense, which is currently pending.
As of June 30, 2026, the Court has not ruled the preliminary objections to the lawsuit. The contingency is qualified as remote and there is no provision for this proceeding.
NOTE 13. APPROPRIATED RESERVES
As of June 30, 2026 and December 31, 2025 the appropriated retained earnings consist of the following:
| | | | | | | | |
| Concept | June 30, 2026 | December 31, 2025 |
| In millions of COP |
Appropriation of net income(1)(2) | 7,476,024 | | 11,491,577 | |
Others(3) | 13,487,933 | | 11,025,979 | |
For share repurchase(4) | 813,681 | | 918,582 | |
| Total appropriated reserves | 21,777,638 | | 23,436,138 | |
(1)The legal reserve fulfills two objectives: to increase and maintain the company's capital and to absorb economic losses. Based on the aforementioned, this amount shall not be distributed in dividends to the stockholders.
(2)The proposal for distribution of profit included and was approved by General Shareholders Meeting the release COP 3,134,348 from the legal reserve, it also approved the transfer of COP 431,418 from the legal reserve to the reserve for the repurchase program on the shares and American Depositary Receipts – ADRs.
(3)Corresponds to the occasional reserve for equity strengthening and future growth, which was approved at the General Shareholders Meeting.
(4)The movement of the reserve for share repurchase is as follows:
| | | | | | | | |
| Concept | June 30, 2026 | December 31, 2025 |
| In millions of COP |
| Opening Balance | 918,582 | 0 |
Establishment of reserve for share repurchase(1) | 431,418 | 1,350,000 |
Repurchase of common shares(2) | (45,541) | (34,706) |
Repurchase of preferred shares(3) | (490,632) | (395,836) |
| Transaction costs | (146) | (876) |
| Balance of reserves for share repurchase | 813,681 | 918,582 |
(1) The General Shareholders’ Assembly was approved share repurchase program for common shares, preferred dividend shares without voting rights, and Cibest American Depositary Receipts (ADRs). For further information, see Note 13. Appropriated Reserves and Condensed Consolidated Interim Statement of Changes in Equity.
(2) As of June 30, 2026, 1,229,831 common shares have been repurchased for COP80,247.
(3) As of June 30, 2026, 15,935,203 preferred shares have been repurchased for COP886,468.
NOTE 14. OPERATING INCOME
14.1. Interest and valuation on financial instruments
The following table sets forth the detail of interest and valuation on financial asset instruments for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
| Interest on debt instruments using the effective interest method | 474,596 | 356,140 | 272,972 | 177,540 |
| Interest and valuation on financial instruments | | | | |
Debt investments(1) | 1,621,621 | | 780,666 | | 1,469,089 | | 414,038 | |
Derivatives(2) | (591,586) | | (55,135) | | (678,379) | | (11,731) | |
Repos(3) | (106,440) | | (27,110) | | (115,436) | | (16,264) | |
| others | 6,678 | | 35,922 | | 4,122 | | 17,391 | |
| Total valuation on financial instruments | 930,273 | | 734,343 | | 679,396 | | 403,434 | |
| Total Interest and valuation on financial instruments | 1,404,869 | | 1,090,483 | | 952,368 | | 580,974 | |
| | | | |
(1)Growth is concentrated primarily in Bancolombia, as a result of the valuation of fixed-rate TES and UVR, driven by a higher interest rate environment combined with portfolio growth, which boosted interest income and valuation gains.
(2)The change is primarily attributable to Bancolombia (COP 535,358), resulting from a decrease in the valuation of forwards in the TES NDF (Non-Deliverable Forward) portfolio due to movements in the local government bond yield curve, which negatively impacted the instrument’s fair value.
(3)This relates primarily to Bancolombia due to a decrease in returns on simultaneous transactions and a higher loss on interest from repo transactions in COP (81,739).
14.2. Interest expenses
The following table sets forth the detail of interest on financial liability instruments for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
Deposits(1) | 5,645,678 | | 5,206,173 | | 2,983,131 | | 2,643,635 | |
Borrowing costs(2) | 398,285 | | 441,946 | | 207,587 | | 212,914 | |
Debt instruments in issue(3) | 321,652 | | 351,840 | | 162,221 | | 173,730 | |
| Lease liabilities | 55,596 | | 55,459 | | 29,808 | | 28,198 | |
| Preferred shares | 27,588 | | 28,650 | | 13,324 | | 13,813 | |
| Overnight funds | 14,659 | | 6,576 | | 9,220 | | 4,035 | |
| Other interest (expense) | 24,000 | | 17,275 | | 11,473 | | 7,189 | |
| Total interest expenses | 6,487,458 | | 6,107,919 | | 3,416,764 | | 3,083,514 | |
| | | | |
(1) The increase occurred mainly at Bancolombia S.A. due to higher interest expense on savings accounts and CDTs, as a result of the increase in the average volume of these deposits.
(2) The decrease is mainly attributable to a reduction in foreign financial obligations.
(3) The decrease occurred primarily at Bancolombia S.A. due to lower interest expense on foreign currency bonds, largely associated with the decline in the exchange rate between the two periods.
Net interest income is defined as interest on loan portfolio and financial leasing operations, interest on debt instruments measured by the effective interest method and interest expense amounts to COP 10,244,946 y COP 8,834,810 for the accumulated period of six months ended on June 30, 2026 and 2025, respectively and to COP 5,335,700 y COP 4,449,971 for the three-months period between April 1 and on June 30, 2026 and 2025, respectively.
14.3. Fees and commissions
Cibest Corporate Group has elected to present the income from contracts with customers as an element in a line named “Fees and commissions income” in the condensed consolidated interim statement of income, separate from the other income sources.
The information contained in this section about the fees and commission’s income presents information on the nature, amount, timing and uncertainty of the income from ordinary activities which arise from a contract with a customer under the regulatory framework of IFRS 15 Revenue from Ordinary activities from Contracts with Customers.
In the following table, the description of the main activities through which Cibest Corporate Group generates revenue from contracts with customers is presented:
| | | | | |
Fees and Commissions | Description |
Banking services | Banking Services are related to commissions from the use of digital physical channels or once the customer makes a transaction. The performance obligation is fulfilled once the payment is delivered to its beneficiary and the proof of receipt of the payment is sent, in that moment, the collection of the commission charged to the customer is generated, which is a fixed amount. The commitment is satisfied during the entire validity of the contract with the customer. The Bank acts as principal. |
Credit and debit card fees | In debit card product contracts, it is identified that the price assigned to the services promised by the Bank to the customers is fixed. Given that no financing component exists, it is established on the basis of the national and international interbank rate. Additionally, the product charges to the customers commissions for handling fees, at a determined time and with a fixed rate. For Credit Cards, the commissions are the handling fees and depend on the card franchise. The commitment is satisfied in so far that the customer has capacity available on the card. Other revenue received by the (issuer) credit card product, is advance commission; this revenue is the charge generated each time the customer makes a national or international advance, at owned or non-owned ATMs, or through a physical branch. The exchange bank fee is a revenue for the Issuing Bank of the credit card for the services provided to the business for the transaction effected at the point of sale. The commission is accrued and collected immediately at the establishment and has a fixed amount. In the credit cards product there is a customer loyalty program, in which points are awarded for each transaction made by the customer in a retail establishment. The program is administrated by a third party who assumes the inventory and claims risks, for which it acts as agent. The Bank, recognized it as a lower value of the revenue from the exchange bank fee. The rights and obligations of each party in respect of the goods and services for transfer are clearly identified, the payment terms are explicit, and it is probable, that is, it takes into consideration the capacity of the customer and the intention of having to pay the consideration at termination to those entitled to change the transferred goods or services. The revenue is recognized at a point in time: the Bank satisfies the performance obligation when the “control” of the goods or services was transferred to the customers. |
| | | | | |
Deposits | Deposits are related to the services generated from the offices network of the Bank once a customer makes a transaction. The Bank generally commits to maintain active channels for the products that the customer has with the Bank, with the purpose of making payments and transfers, sending statements and making transactions in general. The commissions are deducted from the deposit account, and they are incurred at a point in time. The Bank acts as principal. |
Electronic services and ATMs | Revenue received from electronic services and ATMs arises through the provision of services so that the customers may make required transactions, and which are enabled by the Bank. These include online and real-time payments by the customers of the Bank holding a checking or savings accounts, with a debit or credit card for the products and services that the customer offers. Each transaction has a single price, for a single service. The provision of collection services or other different services provided by the Bank, through electronic equipment, generates consideration chargeable to the customer established contractually by the Bank as a fee. The Bank acts as principal and the revenue is recognized at a point in time. |
Brokerage | Brokerage is a group of services for the negotiation and administration of operations for purchasing fixed revenue securities, equities and operations with derivatives in its own name, but on the account of others. The performance obligations are fulfilled at a point in time when the commission agent in making its best effort can execute the business entrusted by the customer in the best conditions. The performance obligations are considered satisfied once the service stipulated in the contract is fulfilled, as consideration fixed, or variable payments are agreed, depending on the service. The Bank acts generally as principle and in some special cases as agent. |
Remittance | Revenue for remittance is received as consideration for the commitment established by the Bank to pay remittances sent by the remitting companies to the beneficiaries of the same. The commitment is satisfied at a point in time to the extent that the remittance is paid to the beneficiary. The price is fixed, but may vary in accordance to the transferred amount, due to the operation being dependent on the volume of operations generated and the transaction type. There is no component of financing, nor the right to receive consideration dependent on the occurrence or not of a future event. |
Acceptances, Guarantees and Standby Letters of Credit | Banking Service from acceptances, guarantees and standby letters of credit which are not part of the portfolio of the Bank. There exist different performance obligations; the satisfaction of performance obligations occurs when the service is given to the customer. The consideration in these types of contracts may include fixed amounts, variable amounts, or both, and the Bank acts as principal. The revenue is recognized at a point in time. |
Trust | Revenue related to Trust are received from the administration of the customer resources in the business of investment trusts, property trusts, management trusts, guarantee trusts, for the resources of the general social security system, Collective portfolios and Private Equity Funds (PEF). The commitments are established in contracts independently and in an explicit manner, and the services provided by the Bank are not inter-related between the contracts. The performance obligation corresponds to performing the best management in terms of the services to be provided in relation to trust characteristics, thus fixed and variable prices are established depending on the complexity of the business, similarly, revenues are recognized throughout or at a determined time. In all the established businesses it acts as principal. |
| | | | | |
Placement of Securities | Valores Bancolombia makes available its commercial strength for the deposit, reinvestment of resources through financial instruments to the issuing company. It receives a payment for deposits made. The commitment of the contract is satisfied to the extent that the resources requested by the issuer are obtained through the distribution desks of Valores Bancolombia. The collection is made monthly. It is established that Valores Bancolombia may undertake collection of these commissions at the end of the month through a collection account charged to the issuer, acting as principal. |
Bancassurance | The bank receives a commission for collecting insurance premiums at a given time and for allowing the use of its network to sell insurance from different insurance companies over time. The Bank in these bancassurance contracts acts as agent (intermediary between the customer and the insurance company), since it is the insurance company which assumes the risks, and which handles the complaints and claims of the customers inherent in each insurance. Therefore, the insurance company acts as principal before the customer. The prices agreed in bancassurance are defined as a percentage on the value of the policy premiums. The payment shall be tied to the premiums collected, sold or taken for the case of employees’ insurance. The aforementioned then means that the price is variable, since, the revenue will depend on the quantity of policies or calculations made by the insurance companies. |
Collections | The Bank acting as principal, commits to collect outstanding invoices receivable by the collecting customers through the different channels offered by the bank, send the information of the collections made and credit the money to the savings or checking account defined by the collecting customer. The commitment is satisfied at a point in time to the extent that the money is collected by the different channels, the information of the said collections is delivered appropriately, and the resources are credited in real-time to the account agreed with the customer. For the service, the Bank receives a fixed payment, which is received for each transaction once the contract is in effect. |
Services | These are the maintenance services performed on the fleet owned by the customers, these services are performed on demand, and the value of the service cost is invoiced plus an intermediation margin. The collection is made by the amount of expense invoiced by the provider plus an intermediation percentage, which ranges between 5% and 10% depending on the customer. The contract is written, is based on a framework contract which is held between the customers which contains the general terms of negotiation and the payment terms are generally 30 days after generating the invoice. The revenue is recognized when the service is provided. There is no financing nor sanctions for early cancellations. To view the details of the balance, refer to line ‘Logistics services’ in Note 14.4 Other operational Income. |
| | | | | |
Gains on sale of assets | These are the revenue from the sale of assets, where the sale value is higher than the book value recorded in the accounts, the difference representing the gains. The recognition of the revenue is at a point in time once the sale is realized. The Bank acts as principal in this type of transaction and the transaction price is determined by the market value of the asset being sold. To view the details of the balance, refer to line ‘Gain on sale of assets’ in Note 14.4 Other operational Income. |
Investment Banking | Investment Banking offers to customer’s financial advisory services in the structuring of businesses in accordance with the needs of each one of them. The advisory services consist in realizing a financial structuring of a credit or bond in which the Investment Bank offers the elements so that the company decides the best option for structuring the instrument. In the financial advisory contract, a best efforts clause is included. The promises given to the customers are established in the contracts independently and explicitly. The services provided by the Investment Bank are not interrelated between the contracts, correspond to the independent advice agreed and do not include additional services in the commission agreed with the customer. The advisory services offered in each one of the contracts are identifiable separately from the other performance commitments that the Investment Bank may have with the customers. The Investment Bank does not have a standard contract for the provision of advisory services, given than each contract is tailored to the customer’s needs. The transaction price is defined at the start of the contract and is assigned to each service provided independently. The price contains a fixed and a variable portion which is provided in the contracts. The variation depends on the placement amount for the case of a financial structuring contract and coordination of the issuance and conditions of the same. In these operations Banca de Inversion Bancolombia provides advice to the customers and the price shall depend at times on the success and amount of the operation. In the contracts subject to evaluation there are no incremental costs associated with the satisfaction of the commitments of the Bank with the customers provided for. In the contracts signed with the customers, a penalty clause is established in case of a customer withdrawing from continuing with the provision of the services established in the commercial offer. The penalty shall be recognized in the financial statements once the Investment Bank is notified on the withdrawal under the concept of charges for early termination of the contract. |
Cibest Corporate Group presents the information on revenue from contracts with customers in accordance with its operating segments defined earlier in Note 3. Operating Segments for each of the principal services offered.
The following table shows the balances categorized by nature and by segment of revenue from ordinary activities from contracts with customers, for further information about composition of Cibest Corporate Group segments see Note 3. Operating segment.
As of June 30, 2026 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Banking
Colombia | | Banking El
Salvador | Banking
Guatemala | | | Leases | International
Banking | All Other
Segments | Total segments | |
| Revenue from contracts with customers | In millions of COP |
| Fees and Commissions income | | | | | | | | | | | |
| Credit and debit card fees and commercial establishments | 1,475,892 | | | 159,709 | | 32,221 | | | | - | | 1,156 | | - | | 1,668,978 | | |
| Bancassurance | 560,324 | | | - | | - | | | | - | | - | | - | | 560,324 | | |
| Payment and collections | 548,303 | | | - | | - | | | | - | | - | | - | | 548,303 | | |
| Banking services | 427,861 | | | 87,748 | | 88,719 | | | | - | | 20,242 | | 40,255 | | 664,825 | | |
| Acceptances, Guarantees and Standby Letters of Credit | 31,207 | | | 1,979 | | 1,046 | | | | - | | 174 | | - | | 34,406 | | |
| Fiduciary Activities and Securities | - | | | 5,909 | | 397 | | | | - | | 23 | | 332,380 | | 338,709 | | |
| Placement of securities | - | | | 2,000 | | - | | | | - | | - | | 35,764 | | 37,764 | | |
| Brokerage | - | | | - | | - | | | | - | | - | | 26,365 | | 26,365 | | |
| Others | 150,806 | | | 41,839 | | 30,071 | | | | 1,433 | | 3,952 | | 11,223 | | 239,324 | | |
| Total revenue of contracts with customers | 3,194,393 | | | 299,184 | | 152,454 | | | | 1,433 | | 25,547 | | 445,987 | | 4,118,998 | | |
For the three-months period from April 1, 2026 to June 30, 2026
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Banking
Colombia | | Banking El
Salvador | Banking
Guatemala | | | Leases | International
Banking | All Other
Segments | Total segments |
| Revenue from contracts with customers | In millions of COP |
| Fees and Commissions income | | | | | | | | | | |
| Credit and debit card fees and commercial establishments | 727,857 | | | 80,449 | | 15,268 | | | | - | | 847 | | - | | 824,421 | |
| Bancassurance | 318,724 | | | - | | - | | | | - | | - | | - | | 318,724 | |
| Payment and collections | 275,493 | | | - | | - | | | | - | | - | | - | | 275,493 | |
| Banking services | 220,859 | | | 43,673 | | 42,014 | | | | - | | 10,043 | | 20,842 | | 337,431 | |
| Acceptances, Guarantees and Standby Letters of Credit | 14,884 | | | 888 | | 638 | | | | - | | 76 | | - | | 16,486 | |
| Fiduciary Activities and Securities | - | | | 3,032 | | 197 | | | | - | | 11 | | 167,522 | | 170,762 | |
| Placement of securities | - | | | 884 | | - | | | | - | | - | | 17,284 | | 18,168 | |
| Brokerage | - | | | - | | - | | | | - | | - | | 12,720 | | 12,720 | |
| Others | 93,881 | | | 21,252 | | 15,172 | | | | 369 | | 2,448 | | 6,212 | | 139,334 | |
| Total revenue of contracts with customers | 1,651,698 | | | 150,178 | | 73,289 | | | | 369 | | 13,425 | | 224,580 | | 2,113,539 | |
As of June 30, 2025
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Banking
Colombia | | Banking El
Salvador | Banking
Guatemala | Leases
| International Banking | All Other
Segments | Total segments | | |
| Revenue from contracts with customers | In millions of COP |
| Fees and Commissions income | | | | | | | | | | |
| Credit and debit card fees and commercial establishments | 1,361,882 | | | 155,116 | | 43,431 | | - | | 990 | | - | | 1,561,419 | | | |
| Payment and collections | 536,650 | | | - | | - | | - | | - | | - | | 536,650 | | | |
| Bancassurance | 468,479 | | | 8 | | - | | - | | - | | - | | 468,487 | | | |
| Banking services | 367,276 | | | 89,897 | | 31,638 | | - | | 24,837 | | 27,266 | | 540,914 | | | |
| Acceptances, Guarantees and Standby Letters of Credit | 35,517 | | | 2,849 | | 697 | | - | | 219 | | - | | 39,282 | | | |
| Fiduciary Activities and Securities | - | | | 4,000 | | 451 | | - | | 26 | | 303,612 | | 308,089 | | | |
| Placement of securities | - | | | 1,401 | | - | | - | | - | | 19,924 | | 21,325 | | | |
| Brokerage | - | | | - | | - | | - | | - | | 11,962 | | 11,962 | | | |
| Others | 134,473 | | | 44,003 | | 30,267 | | 804 | | 3,073 | | 6,410 | | 219,030 | | | |
| Total revenue of contracts with customers | 2,904,277 | | | 297,274 | | 106,484 | | 804 | | 29,145 | | 369,174 | | 3,707,158 | | | |
For the three-months period from April 1, 2025 to June 30, 2025
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Banking
Colombia | | Banking El
Salvador | Banking
Guatemala | | | Leases | International Banking | All Other
Segments | Total segments |
| Revenue from contracts with customers | In millions of COP |
| Fees and Commissions income | | | | | | | | | | |
| Credit and debit card fees and commercial establishments | 689,237 | | | 80,457 | | 26,555 | | | | - | | 525 | | - | | 796,774 | |
| Payment and collections | 275,731 | | | - | | - | | | | - | | - | | - | | 275,731 | |
| Bancassurance | 257,244 | | | 3 | | - | | | | - | | - | | - | | 257,247 | |
| Banking services | 185,364 | | | 45,119 | | 16,156 | | | | - | | 14,079 | | 14,586 | | 275,304 | |
| Acceptances, Guarantees and Standby Letters of Credit | 16,783 | | | 1,233 | | 287 | | | | - | | 86 | | - | | 18,389 | |
| Fiduciary Activities and Securities | - | | | 2,254 | | 221 | | | | - | | 13 | | 154,187 | | 156,675 | |
| Placement of securities | - | | | 763 | | - | | | | - | | - | | 16,098 | | 16,861 | |
| Brokerage | - | | | - | | - | | | | - | | - | | 5,494 | | 5,494 | |
| Others | 68,315 | | | 23,909 | | 13,714 | | | | 254 | | 1,648 | | 3,589 | | 111,429 | |
| Total revenue of contracts with customers | 1,492,674 | | | 153,738 | | 56,933 | | | | 254 | | 16,351 | | 193,954 | | 1,913,904 | |
For the determination of the transaction price, Cibest Corporate Group assigns to each one of the services the amount which represents the value expected to be received as consideration for each independent commitment, which is based on the relative price of independent sale. The price that Cibest Corporate Group determines for each performance obligation is done by defining the cost of each service, related tax and associated risks to the operation and inherent to the transaction plus the margin expected to be received in each one of the services, taking as references the market prices and conditions, as well as the segmentation of the customer.
In the transactions evaluated in the contracts, changes in the price of the transaction are not identified.
Contract assets with customers
Cibest Corporate Group receives payments from customers based on the provision of the service, in accordance to that established in the contracts. When Cibest Corporate Group incurs costs for providing the service prior to the invoicing, and if these are directly related with a contract, they improve the resources of the entity and are expected to recuperate, these costs correspond to a contract asset. Currently, the Group does not have assets related to contracts with customers.
As a practical expedient, Cibest Corporate Group recognizes the incremental costs of obtaining a contract as an expense when the amortization period of the asset is one year or less.
Contract liabilities with customers
The contract liabilities constitute the obligation of Cibest Corporate Group to transfer the services to a customer, for which the Group has received a payment on the part of the final customer or if the amount is due before the execution of the contract. They also include deferred income related to services that shall be delivered or provided in the future, which will be invoiced to the customer in advance, but which are still not due.
Fees and Commissions Expenses
The following table sets forth the detail of commissions expenses for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Fees and Commissions Expenses | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
Banking services(1) | 851,040 | | 813,395 | | 420,105 | | 423,458 | |
| Correspondent banking | 311,893 | | 310,710 | | 85,042 | | 89,056 | |
| Sales and other services | 185,070 | | 185,152 | | 154,834 | | 162,190 | |
| Payments and collections | 36,587 | | 28,957 | | 19,936 | | 16,215 | |
| Others | 109,047 | | 113,045 | | 59,337 | | 55,333 | |
| Total expenses for commissions | 1,493,637 | | 1,451,259 | | 739,254 | | 746,252 | |
| | | | |
(1) The increase was primarily driven by Bancolombia, due to higher transaction volumes in 2026.
14.4. Other operating income
The following table sets forth the detail of other operating income net for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Other operating income | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
| Leases and related services | 876,414 | | 882,144 | 430,814 | | 433,647 |
Net foreign exchange and Derivatives Foreign exchange contracts(1) | 424,513 | | 339,371 | | 208,175 | | 138,903 | |
Investment property valuation(2) | 147,579 | | 83,132 | | 117,316 | | 60,429 | |
| Gains on sale of assets | 120,403 | | 105,383 | | 74,216 | | 55,785 | |
Insurance(3) | 56,169 | | 57,683 | | 30,693 | | 41,758 | |
| Logistics services | 37,426 | | 29,291 | | 20,689 | | 15,058 | |
| Other reversals | 22,656 | | 18,138 | | 9,817 | | 2,093 | |
| Penalties for failure to contracts | 3,792 | | 1,932 | | 2,322 | | 1,123 | |
| Others | 110,817 | | 128,100 | | 51,000 | | 68,820 | |
| Total Other operating income | 1,799,769 | | 1,645,174 | | 945,042 | | 817,616 | |
| | | | |
(1) Corresponds to the management of assets and liabilities in foreign currencies and the volatility of the U.S. dollar.
(2)The variation occurs due to the indexation of properties to the UVR and due to updating the appraisals of investment properties.
(3) Corresponds to income from insurance operations of Seguros Agromercantil S.A., subsidiary domiciled in Guatemala.
14.5. Dividends and net income on equity investments
The following table sets forth the detail of dividends received, and share of profits of equity method investees for the six-months period ended on June 30, 2026 and 2025, and the three-months period from April 01 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Dividends and net income on equity investments | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
Equity method(1) | 231,827 | 199,668 | 125,196 | 87,158 |
Equity investments and other financial instruments | 38,825 | 26,939 | 19,134 | 7,826 | |
Dividends(2) | 30,811 | 30,645 | 26,323 | 26,386 |
Gains on sale of investments in associates and joint ventures | 251 | - | 251 | - | |
| | | | |
Others | - | (160) | - | (160) | |
| Total dividends received, and share of profits of equity method investees | 301,714 | 257,092 | 170,904 | 121,210 |
| | | | |
(1)As of June 30, 2026 and 2025, it corresponds to income from equity method of investments in associates for COP 216,698 and COP 185,201 (includes valuation of investments in associates at fair value), respectively, and joint ventures for COP 15,129 and 14,467, respectively.
(2)As of June 30, 2026 and 2025, includes dividends received from equity investments at fair value through profit or loss for COP 733 and COP 1,300 and investments written off for COP 100 and COP 82, respectively; dividends from equity investments at fair value through OCI for COP 9,101 and COP 8,328, respectively and investments written off for COP 526, in 2025,and dividends received of the associate at fair value P.A. Viva Malls for COP 20,877 and COP 20,409, respectively.
NOTE 15. OPERATING EXPENSES
15.1. Salaries and employee benefit
The detail for salaries and employee benefits for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Salaries and employee benefit | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
Salaries(1) | 1,247,202 | | 1,209,169 | | 620,798 | | 603,195 | |
Bonuses(2) | 581,208 | | 493,295 | | 294,870 | | 257,814 | |
| Social security contributions | 366,448 | | 338,864 | | 176,581 | | 165,140 | |
| Private premium | 328,399 | | 308,731 | | 156,808 | | 147,921 | |
| Defined Benefit severance obligation and interest | 111,094 | | 94,292 | | 56,630 | | 47,590 | |
| Indemnization payment | 100,327 | | 97,820 | | 55,932 | | 67,464 | |
| Vacation expenses | 79,729 | | 72,416 | | 40,043 | | 36,359 | |
Other benefits(3) | 283,076 | | 250,411 | | 142,001 | | 129,316 | |
| Total salaries and employee benefit | 3,097,483 | | 2,864,998 | | 1,543,663 | | 1,454,799 | |
| | | | |
(1)The growth is mainly explained by salary increases indexed to inflation
(2)Corresponds mainly to bonuses for employees in accordance with the variable compensation model of the Grupo Cibest.
(3)Includes employee benefits, mainly policy benefits, training and recreation.
15.2. Other administrative and general expenses
The details for administrative and general expenses for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Other administrative and general expenses | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
| Maintenance and repairs | 524,469 | | 521,975 | | 264,171 | | 271,525 | |
| Insurance | 395,869 | | 382,091 | | 200,425 | | 188,488 | |
| fees | 385,186 | | 402,378 | | 203,522 | | 226,250 | |
| Data processing | 298,782 | | 285,061 | | 153,320 | | 151,844 | |
| Call center channel and collections | 221,294 | | 265,151 | | 118,468 | | 138,149 | |
Operational damages and risks(1) | 213,955 | | 164,669 | | 69,510 | | 66,624 | |
| Transport | 128,413 | | 126,657 | | 66,337 | | 65,588 | |
| Advertising | 78,090 | | 79,031 | | 49,952 | | 47,396 | |
| Cleaning and security services | 64,402 | | 58,700 | | 32,305 | | 29,756 | |
Contributions and affiliations(2) | 51,552 | | 67,355 | | 26,330 | | 34,207 | |
| Public services | 50,925 | | 56,727 | | 29,591 | | 32,506 | |
| Useful and stationery | 46,396 | | 45,063 | | 22,362 | | 25,000 | |
| Communications | 46,132 | | 40,198 | | 23,072 | | 20,197 | |
| Properties improvements and installation | 33,533 | | 30,038 | | 18,342 | | 18,287 | |
Property management(3) | 30,788 | | 21,207 | | 15,839 | | 10,904 | |
| Short-term and low-value leases | 21,202 | | 20,097 | | 10,889 | | 11,683 | |
| Disputes, fines and sanctions | 18,747 | | 14,604 | | 11,994 | | 5,779 | |
| Travel expenses | 15,994 | | 16,444 | | 9,458 | | 9,067 | |
| Publications and subscriptions | 13,029 | | 13,034 | | 6,154 | | 6,748 | |
Fiduciary activities(4) | 9,999 | | 385 | | 3,796 | | 165 | |
| Others | 263,971 | | 272,195 | | 131,319 | | 145,374 | |
Total other administrative and general expenses | 2,912,728 | | 2,883,060 | | 1,467,156 | | 1,505,537 | |
| | | | |
Taxes other than income tax | 813,141 | | 728,170 | | 389,203 | | 379,932 | |
| | | | |
Wealth tax(5) | 374,823 | | - | | 778 | | - | |
(1)The increase is primarily attributable to Bancolombia and is mainly driven by claims related to computer equipment, vehicles, and check-clearing fraud losses.
(2) The decrease was attributable to Bancolombia S.A. and was mainly driven by lower expenses related to contributions to the Superintendencia Financiera de Colombia, resulting from the offset applied by this regulatory authority.
(3) The change is due to increases in property management expenses and new contracts.
(4) The variance is mainly attributable to the incorporation of new trust arrangements since April 2026.
(5) In accordance with the economic, social, and ecological state of emergency declared on February 11, the National Government issued Decree 173 of 2026, which establishes the wealth tax applicable to legal entities for the 2026 tax year. For more information, see Note 8. Income Tax.
15.3. Impairment, depreciation and amortization
The details for Impairment, depreciation and amortization for the six-months period ended June 30, 2026 and 2025 and the three-months period from April 01 to June 30, 2026 and 2025.
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| Impairment, depreciation and amortization | 2026 | 2025 | 2026 | 2025 |
| In millions of COP |
Depreciation of premises and equipment | 310,604 | | 302,431 | | 152,217 | | 151,728 | |
Depreciation of right-of-use assets(1) | 99,171 | | 86,404 | | 50,434 | | 43,043 | |
Amortization of intangible assets | 70,742 | | 77,173 | | 35,372 | | 37,934 | |
Impairment of other assets, net(2) | 15,108 | | 17,135 | | 10,560 | | 8,625 | |
| Total impairment, depreciation and amortization | 495,625 | | 483,143 | | 248,583 | | 241,330 | |
| | | | |
(1)The variation is primarily attributable to Bancolombia S.A. due to modifications to lease agreements and a new office for Bancolombia Panama.
(2) Includes value for impairment of property and equipment for COP 433 in 2026 and COP 446 in 2025.
NOTE 16. EARNINGS PER SHARE (‘EPS’)
Basic earnings per share are calculated by reducing income from continuing operations by the amount of dividends declared in the current period for each class of shares, as well as by the contractual amount of dividends required to be paid. The remaining income is allocated based on each type of share’s participation, as if all the period’s income had been distributed. Basic earnings per share are determined by dividing the profit for the period attributable to shareholders by the weighted average number of ordinary shares outstanding during the period. The weighted average number of ordinary shares outstanding during the period corresponds to the number of ordinary shares outstanding at the beginning of the period, adjusted for the number of ordinary shares repurchased or issued during the period, weighted by a factor that reflects the time such shares were outstanding or retired.
Diluted earnings per share assume the issuance of ordinary shares for all potentially dilutive ordinary shares outstanding during the reporting period. Cibest Corporate Group has no potentially dilutive ordinary shares as of June 30, 2026, and 2025.
The following presents the calculation of basic earnings per share (EPS) for the six-month periods ended June 30, 2026 and 2025, and for the three-month periods from April 1 to June 30, 2026 and 2025 (amounts in millions of Colombian pesos, except for the weighted average number of ordinary shares outstanding and earnings per share):
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| 2026 | 2025 | 2026 | 2025 |
| Income from continued operations before attribution of non-controlling interests | 4,302,857 | | 3,392,579 | | 2,867,031 | | 1,719,983 | |
| Less: Non-controlling interests from continued operations | 79,702 | | 64,754 | | 50,934 | | 37,643 | |
| Net income from continued operations | 4,223,155 | | 3,327,825 | | 2,816,097 | | 1,682,340 | |
| Income from discontinued operations before attribution of non-controlling interests | (35,700) | | 201,142 | | (85,753) | | 108,963 | |
| Less: Non-controlling interests from continued operations | - | | - | | - | | - | |
| Net income from discontinued operations | (35,700) | | 201,142 | | (85,753) | | 108,963 | |
| Net income from controlling interest | 4,187,455 | | 3,528,967 | | 2,730,344 | | 1,791,303 | |
| Less: Preferred dividends declared | 966,799 | | 994,051 | | 481,622 | | 568,069 | |
| Less: Allocation of undistributed earnings to preferred stockholders | 961,747 | | 649,615 | | 776,771 | | 266,643 | |
| Net income allocated to common shareholders for basic and diluted EPS | 2,258,909 | | 1,885,301 | | 1,471,951 | | 956,591 | |
Weighted average number of common shares outstanding used in basic EPS calculation(1) | 508,998,402 | | 509,704,584 | | 508,998,402 | | 509,704,584 | |
| Basic and diluted earnings per share from continued operations | 4,476 | | 3,490 | | 2,982 | | 1,764 | |
Basic and diluted earnings per share from discontinued operations(2) | (38) | | 209 | | (90) | | 113 | |
| Basic and diluted earnings per share to common shareholders | 4,438 | | 3,699 | | 2,892 | | 1,877 | |
(1)As of July 2025, Cibest Corporate Group has repurchased 17,165,034 shares for a total amount of COP 966,714. For additional information regarding the share repurchase, see Note 13. Appropriated Reserves.
(2)This corresponds to Banistmo S.A., a subsidiary classified as an asset held for sale since December 18, 2025, and sold in June 2026. For more information, see Note 1. Reporting Entity.
NOTE 17. RELATED PARTY TRANSACTIONS
The parent company is Cibest S.A. and transactions between companies included in the consolidation process and the Parent company meet the definition of related party transactions and were eliminated from the Condensed Consolidated Interim Financial Statements.
The Bank offers banking and financial services to its related parties in order to meet their transactional needs for investment and liquidity in the ordinary course of business. These transactions are carried out in terms similar to those of transactions with third parties. In the case of treasury operations, Bancolombia operates between its own position and its related parties through transactional channels or systems established for this purpose and under the conditions established by current regulations.
The details of transactions with related parties as of December 31, 2025 are included in the annual report of the consolidated financial statements of 2025. During the Six-month period ended June 30, 2026, there were no transactions with related parties that materially affected the financial position or results of Cibest Corporate Group.
NOTE 18. LIABILITIES FROM FINANCING ACTIVITIES
The following table presents the reconciliation of the balances of liabilities from financing activities as of June 30, 2026 and 2025:
| | | | | | | | | | | | | | | | | | | | | | | |
| Balance as of January 1, 2026 | Cash flows | Non-cash changes | Balance as of June 30, 2026(1) |
| Foreign currency translation adjustment | Interests accrued | Disposal of subsidiaries(1) | Other movements |
| In millions of COP |
| Liabilities from financing activities | | | | | | | |
| Repurchase agreements and other similar secured borrowing | 1,006,806 | | 6,009,813 | | (10,628) | | - | | (332,827) | | - | | 6,673,164 | |
Borrowings from other financial institutions(2) | 11,111,930 | | (935,966) | | (505,015) | | 429,599 | | (1,327,254) | | 1,566 | | 8,774,860 | |
Debt instruments in issue(2) | 10,839,423 | | (858,698) | | (524,854) | | 358,207 | | (2,826,823) | | - | | 6,987,255 | |
Preferred shares(3) | 583,477 | | (56,974) | | - | | 27,588 | | - | | - | | 554,091 | |
| Total liabilities from financing activities | 23,541,636 | | 4,158,175 | | (1,040,497) | | 815,394 | | (4,486,904) | | 1,566 | | 22,989,370 | |
(1)On June 30, 2026, the disposal of Banistmo S.A. was completed. For further information, see Note 1, Reporting Entity.
(2)The cash flows disclosed in this table related with Borrowings from other financial institutions and Debt securities in issue include the interests paid during the year amounting to COP 657,172 and COP 372,447, respectively, which are classified as cash flows from operating activities in the Condensed Consolidated Interim Statement of Cash Flow.
(3)The cash flow amounting to COP 56,974 corresponds to the fixed minimum dividend paid to the preferred shares' holders and is included in the line "dividends paid" of the Condensed Consolidated Interim Statement of Cash Flow, which includes the dividends paid during the year to both preferred and common shares holders.
| | | | | | | | | | | | | | | | | | | | |
| | | Non-cash changes | |
| Balance as of
January 1, 2025 | Cash flows | Foreign
currency
translation
adjustment | Interests
accrued | Other
movements | Balance as of June 30, 2025 |
| In millions of COP |
| Liabilities from financing activities | | | | | | |
| Repurchase agreements and other similar secured borrowing | 1,060,472 | | 2,927,462 | | (47,580) | | - | | - | | 3,940,354 | |
Borrowings from other financial institutions(1) | 15,689,532 | | (4,055,026) | | (720,679) | | 518,020 | | -595 | 11,431,252 | |
Debt instruments in issue(1) | 11,275,216 | | (615,691) | | (687,154) | | 415,995 | | - | | 10,388,366 | |
Preferred shares(2) | 584,204 | | (57,702) | | - | | 28,650 | | - | | 555,152 | |
| Total liabilities from financing activities | 28,609,424 | | (1,800,957) | | (1,455,413) | | 962,665 | | (595) | | 26,315,124 | |
(1)The cash flows disclosed in this table related with Borrowings from other financial institutions and Debt securities in issue include the interests paid during the year amounting to COP 676,787 and COP 403,944, respectively, which are classified as cash flows from operating activities in the Condensed Consolidated Interim Statement of Cash Flow.
(2)The cash flow amounting to COP 57,702 corresponds to the fixed minimum dividend paid to the preferred shares' holders and is included in the line "dividends paid" of the Condensed Consolidated Interim Statement of Cash Flow, which includes the dividends paid during the year to both preferred and common shares holders.
NOTE 19. FAIR VALUE OF ASSETS AND LIABILITIES
The following table presents the carrying amount and the fair value of the assets and liabilities as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | |
| Assets and liabilities | Note | June 30, 2026 | December 31, 2025(1) |
Carrying
amount | Fair
Value | Carrying
amount | Fair
Value |
| In millions of COP |
| Assets | | | | | |
| Debt instruments at fair value through profit or loss | 5.1 | 36,007,234 | | 36,007,234 | | 23,459,380 | | 23,459,380 | |
| Debt instruments at fair value through OCI | 5.1 | 3,502,706 | | 3,502,706 | | 3,551,348 | | 3,551,348 | |
| Debt instruments at amortized cost | 5.1 | 7,100,016 | | 7,113,993 | | 5,812,624 | | 5,836,484 | |
| Derivative financial instruments | 5.2 | 8,038,465 | | 8,038,465 | | 4,417,863 | | 4,417,863 | |
| Equity securities at fair value | 5.1 | 1,581,043 | | 1,581,043 | | 1,463,622 | | 1,463,622 | |
| Other financial instruments | 5.1 | 28,273 | | 28,273 | | 30,285 | | 30,285 | |
Loans and advances to customers at amortized cost, net(2) | 6 | 248,790,151 | | 251,578,891 | | 243,100,035 | | 248,747,474 | |
| Investment properties | 7 | 6,644,209 | | 6,644,209 | | 6,595,407 | | 6,595,407 | |
Investments in associates(3) | | 2,171,934 | | 2,171,934 | | 2,041,402 | | 2,041,402 | |
| Total | | 313,864,031 | | 316,666,748 | | 290,471,966 | | 296,143,265 | |
| Liabilities | | | | | |
| Deposits by customers | 9 | 271,046,925 | | 270,050,447 | | 264,413,956 | | 264,953,910 | |
| Interbank deposits | 10 | 155,942 | | 155,942 | | 30,102 | | 30,102 | |
| Repurchase agreements and other similar secured borrowing | 10 | 6,673,164 | | 6,673,164 | | 676,047 | | 676,047 | |
| Derivative financial instruments | 5.2 | 9,342,967 | | 9,342,967 | | 4,514,630 | | 4,514,630 | |
| Borrowings from other financial institutions | | 8,774,860 | | 8,774,860 | | 9,356,428 | | 9,356,428 | |
| Preferred shares | | 554,091 | | 361,875 | | 583,477 | | 324,260 | |
| Debt instruments in issue | | 6,987,255 | | 7,147,834 | | 7,409,693 | | 7,627,543 | |
| Total | | 303,535,204 | | 302,507,089 | | 286,984,333 | | 287,482,920 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
(2)As of December 31, 2025, the fair value of the loan portfolio was overstated by COP 26,878,951 due to the inclusion of the fair value corresponding to Banistmo S.A.´s portfolio. Once the inaccuracy was identified, Management proceeded to adjust the disclosed amount, concluding that the difference with respect to the previously reported figure does not have a material impact on the financial information.
(3)It corresponds to investments in associates P.A. Viva Malls, P.A. Distrito Vera, P.A. Lote Palermo, and Fideicomiso Locales Distrito Vera.
Fair value hierarchy
IFRS 13 establishes a fair value hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable, that reflects the significance of inputs adopted in the measurement process. In accordance with IFRS, the financial instruments are classified as follows:
Level 1: Observable inputs that reflect quoted prices (unadjusted) in active markets for identical assets or liabilities. An active market is a market in which transactions for the asset or liability being measured take place with sufficient frequency and volume to provide pricing information on an ongoing basis.
Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly. Level 2 generally includes: (i) quoted prices for similar assets or liabilities in active markets; (ii) quoted prices for identical or similar assets or liabilities in markets that are not active, that is, markets in which there are few transactions for the asset or liability.
Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category generally includes certain retained residual interests in securitizations, asset-backed securities (ABS) and highly structured or long-term derivative contracts where independent pricing information was not able to be obtained for a significant portion of the underlying assets.
Valuation process for fair value measurements
The valuation to fair value prices is performed using prices, methodologies and inputs provided by the official pricing services provider (Precia - Proveedor de Precios para Valoración S.A.) to Cibest Corporate Group.
All methodologies and procedures developed by the pricing services provider are supervised by the SFC, which has not objected to them.
Daily, the back-office Service Valuation Officer (SVO) verifies the valuation of investments, and the Credit and Financial Risk Manager area reports the results of the portfolio’s valuation.
Fair value measurement
Assets and liabilities
a. Debt instruments
Cibest Corporate Group assigns prices to those debt investments, using the prices provided by the official pricing services provider (Precia) and assigns the appropriate level according to the procedure described above. For securities not traded or over the counter, such as certain bonds issued by other financial institutions, Cibest Corporate Group generally determines fair value using internal valuation and standard techniques. These techniques include determination of expected future cash flows which are discounted using curves of the applicable currencies and the Colombian consumer price index (interest rate in this case), modified by the credit risk and liquidity risk. The interest rate is generally computed using observable market data and reference yield curves derived from quoted interest in appropriate time bandings, which match the timings of the cash flows and maturities of the instruments.
b. Equity securities and other financial instruments
Cibest Corporate Group perform the market price valuation of its investments in variable income using the prices provided by the official pricing services provider (Precia) and classifies those investments according to the procedure described above (Hierarchy of fair value section). Likewise, the fair value of unlisted equity securities and other financial instruments is based on an assessment of each individual investment using methodologies that include publicly-traded comparable derived by multiplying a key performance metric (e.g., earnings before interest, taxes, depreciation and amortization) of the portfolio company by the relevant valuation multiple observed for comparable companies, acquisition comparable, and if necessary considered, are subject to appropriate discounts for lack of liquidity or marketability. Interests in investment funds, trusts and collective portfolios are valued using the investment unit value determined by the fund management company. For investment funds where the underlying assets are investment properties, the investment unit value depends on the investment properties value, determined as described below in “i. Investment property”.
c. Derivative financial instruments
Cibest Corporate Group holds positions in standardized derivatives, such as futures over local stocks, and over the market representative rate. These instruments are evaluated according to the information provided by Precia, which perfectly matches the information provided by the Central Counterparty Clearing House – CCP.
Additionally, Cibest Corporate Group holds positions in Over-The-Counter (OTC) derivatives, which in the absence of prices, are valued using the inputs and methodologies provided by the pricing services provider, which have the no objection to the SFC.
The key inputs depend upon the type of derivative and the nature of the underlying instrument and include interest rate yield curves, foreign exchange rates, the spot price of the underlying volatility, credit curves, and correlation of such inputs.
d. Credit valuation adjustment
Cibest Corporate Group measures the effects of the credit risk of its counterparties and its own creditworthiness in determining fair value of the swap, option, and forward derivatives.
Counterparty credit-risk adjustments are applied to derivatives when the Cibest Corporate Group’s position is a derivative asset and the Cibest Corporate Group’s credit risk is incorporated when the position is a derivative liability. Cibest Corporate Group attempts to mitigate credit risk to third parties which are international banks by entering into master netting agreements. The agreements allow the offsetting or netting of amounts that are liabilities derived from transactions carried out under the different agreements. Master netting agreements take different forms and may allow payments to be made under a variety of other master agreements or other negotiated agreements between the same parties; some may operate on a monthly basis, while others apply only upon termination of the agreements.
When assessing the impact of credit exposure, only the net counterparty exposure is considered at risk, due to the offsetting of certain same-counterparty positions and the application of cash and other collateral.
Cibest Corporate Group generally calculates the asset’s credit risk adjustment for derivatives transacted with international financial institutions by incorporating indicative credit related pricing that is generally observable in the market (Credit Default Swaps, “CDS”). The credit-risk adjustment for derivatives transacted with nonpublic counterparties is calculated by incorporating unobservable credit data derived from internal credit qualifications to the financial institutions and corporate companies located in each geography. Cibest Corporate Group also considers its own creditworthiness when determining the fair value of an instrument, including OTC derivative instruments if Cibest Corporate Group believes market participants would take that into account when transacting the respective instrument. The approach to measuring the impact of the Cibest Corporate Group’s credit risk on an instrument transacted with international financial institutions is done using the asset swap curve calculated for subordinated bonds issued by Cibest Corporate Group in foreign currency. For derivatives transacted with local financial institutions, Cibest Corporate Group calculates the credit risk adjustment by incorporating credit risk data provided by rating agencies and available in the financial markets.
e. Impaired loans measured at fair value
Cibest Corporate Group measured certain impaired loans based on the fair value of the associated collateral less costs to sell. The fair values were determined as follows using external and internal valuation techniques or third-party experts, depending on the type of underlying asset.
For vehicles under leasing arrangements, Cibest Corporate Group uses an internal valuation model based on price curves for each type of vehicle. Such curves show the expected price of the vehicle at different points in time based on the initial price and projection of economic variables such as inflation, devaluation, and customs. The prices modelled in the curves are compared every six months with market information for the same or similar vehicles and in the case of significant deviation; the curve is adjusted to reflect the market conditions.
Other vehicles are measured using matrix pricing from a third party. This matrix is used by most of the market participants and is updated monthly. The matrix is developed from values provided by several price providers for identical or similar vehicles and considers brand, characteristics of the vehicles, and manufacturing date among other variables to determine the prices.
For real estate assets, a third-party qualified appraiser is used. The methodologies vary depending on the date of the last appraisal available for the property (the appraisal is estimated based on either of three approaches: cost, sales comparison, and income approach, and is required every three years). When the property has been valued in the last 12 months and the market conditions have not shown significant changes, the most recent valuation is considered the fair value of the property.
For all other cases (for example, appraisals older than 12 months) the value of the property is updated by adjusting the value in the last appraisal for weighted factors such as location, type and characteristics of the property, size, structural conditions and the expected sales prices, among others. The factors are determined based on current market information gathered from several external real estate specialists. For all other cases (for example, appraisals older than 12 months) the value of the property is updated by adjusting the value in the last appraisal for weighted factors such as location, type and characteristics of the property, size, structural conditions, and the expected sales prices, among others. The factors are determined based on current market information gathered from several external real estate specialists.
f. Assets held for sale measured at fair value less cost of sale
Cibest Corporate Group measures certain impaired foreclosed assets and premises and equipment held for sale based on fair value less costs to sell. The fair values were determined using external and internal valuation techniques, depending on the type of underlying asset. Those assets are comprised mainly of real estate properties for which the appraisal is conducted by experts considering factors such as the location, type and characteristics of the property, size, physical conditions and expected selling costs, among others. Likewise, in some cases fair value is estimated considering comparable prices or promises of sale and offering prices from auctions process.
Additionally, Cibest Corporate Group measured the discontinued operation Banistmo SA classified as held for sale based on fair value less costs to sell. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1. Reporting Entity.
g. Mortgage-backed securities (“TIPS”) and Asset-Backed securities
Cibest Corporate Group invests in asset-backed securities for which underlying assets are mortgages and earnings under contracts issued by financial institutions and corporations, respectively. Cibest Corporate Group does not have a significant exposure to sub-prime securities. The asset-backed securities are denominated in local market TIPS and are classified as fair value through profit or loss. These asset-backed securities have different maturities and are generally classified by credit ratings.
TIPS are part of Cibest Corporate Group portfolio and its fair value is measured using published price from the official pricing services provider. These securities are leveled by margin and are assigned to level 2 or 3 based on information provided by Precia.
Residual TIPS have their fair value measured using the discounted flow method, taking into account the amortization tables of the Titularizadora Colombiana, the betas in COP and UVR of Precia (used to construct the curves) and the margins; when they are residual TIPS of subordinated issues, a liquidity premium is applied. These securities are assigned to level 3.
h. Investments in associates measured at fair value
Cibest Corporate Group recognizes its investments in P.A Viva Malls, P.A Distrito Vera and Fideicomiso Locales Distrito Vera as associates at fair value. The estimated amount is provided by the fund manager as the variation of the units according to the units owned by the FCP Fondo Inmobiliario Colombia. The associate’s assets are comprised of investment properties which are measured using the following techniques: comparable prices, discounted cash flows,
replacement cost and direct capitalization. For further information about techniques methodologies and inputs used by the external party see “Quantitative Information about Level 3 Fair Value Measurements”.
i. Investment property
Cibest Corporate Group’s investment property is valued by external experts, who use valuation techniques based on comparable prices, direct capitalization, discounted cash flows and replacement costs.
Assets and liabilities measured at fair value on a recurring basis
The following table presents for each level of the fair value hierarchy levels the Cibest Corporate Group’s assets and liabilities measured at fair value on a recurring basis as of June 30, 2026, and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Financial Assets |
| Type of instrument | June 30, 2026 | December 31, 2025(1) |
| Fair value hierarchy | Total fair
value | Fair value hierarchy | Total fair
value |
| Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
| In millions of COP |
| Investment securities | | | | | | | | |
| Debt instruments at fair value through profit or loss | | | | | | | |
| Securities issued by the Colombian Government | 20,134,035 | | 6,326,594 | | 3,209 | | 26,463,838 | | 10,176,528 | | 2,436,729 | | 2,423 | | 12,615,680 | |
| Securities issued or secured by government entities | - | | 144,179 | | - | | 144,179 | | - | | 152,574 | | - | | 152,574 | |
| Securities issued by other financial institutions | 194,265 | | 1,113,428 | | 151,462 | | 1,459,155 | | 206,151 | | 550,010 | | 69,173 | | 825,334 | |
| Securities issued by foreign governments | 4,506,480 | | 3,326,772 | | - | | 7,833,252 | | 6,350,052 | | 3,426,269 | | - | | 9,776,321 | |
| Corporate bonds | 219 | | 79,316 | | 27,275 | | 106,810 | | 4,247 | | 55,511 | | 29,713 | | 89,471 | |
| Total debt instruments at fair value through profit or loss | 24,834,999 | | 10,990,289 | | 181,946 | | 36,007,234 | | 16,736,978 | | 6,621,093 | | 101,309 | | 23,459,380 | |
| Debt instruments at fair value through OCI | | | | | | | | |
| Securities issued by the Colombian Government | - | | - | | 2,546,264 | | 2,546,264 | | - | | - | | 2,625,566 | | 2,625,566 | |
| Securities issued by other financial institutions | - | | 62,960 | | - | | 62,960 | | - | | 63,624 | | - | | 63,624 | |
| Corporate bonds | - | | 346,581 | | 546,901 | | 893,482 | | - | | 349,647 | | 512,511 | | 862,158 | |
| Total debt instruments at fair value through OCI | - | | 409,541 | | 3,093,165 | | 3,502,706 | | - | | 413,271 | | 3,138,077 | | 3,551,348 | |
| Total debt instruments | 24,834,999 | | 11,399,830 | | 3,275,111 | | 39,509,940 | | 16,736,978 | | 7,034,364 | | 3,239,386 | | 27,010,728 | |
| Equity securities | | | | | | | | |
| Equity securities | 95,993 | | 765,001 | | 720,049 | | 1,581,043 | | 50,909 | | 624,781 | | 787,932 | | 1,463,622 | |
| Total equity securities | 95,993 | | 765,001 | | 720,049 | | 1,581,043 | | 50,909 | | 624,781 | | 787,932 | | 1,463,622 | |
| Other financial assets | | | | | | | | |
| Other financial assets | - | | - | | 28,273 | | 28,273 | | - | | - | | 30,285 | | 30,285 | |
| Total other financial assets | - | | - | | 28,273 | | 28,273 | | - | | - | | 30,285 | | 30,285 | |
| Derivative financial instruments | | | | | | | | |
| Forwards | | | | | | | | |
| Foreign exchange contracts | - | | 4,837,936 | | 1,164,912 | | 6,002,848 | | - | | 2,131,966 | | 763,486 | | 2,895,452 | |
| Equity contracts | - | | 3,437 | | 9,530 | | 12,967 | | - | | 34,367 | | 24,773 | | 59,140 | |
| Total forwards | - | | 4,841,373 | | 1,174,442 | | 6,015,815 | | - | | 2,166,333 | | 788,259 | | 2,954,592 | |
| Swaps | | | | | | | | |
| Foreign exchange contracts | - | | 1,312,705 | | 324,394 | | 1,637,099 | | - | | 905,862 | | 162,878 | | 1,068,740 | |
| Interest rate contracts | 102,468 | | 100,750 | | 18,466 | | 221,684 | | 136,560 | | 129,082 | | 12,812 | | 278,454 | |
| Total swaps | 102,468 | | 1,413,455 | | 342,860 | | 1,858,783 | | 136,560 | | 1,034,944 | | 175,690 | | 1,347,194 | |
| Options | | | | | | | | |
| Foreign exchange contracts | 1,869 | | 107,803 | | 54,195 | | 163,867 | | - | | 51,739 | | 64,338 | | 116,077 | |
| Total options | 1,869 | | 107,803 | | 54,195 | | 163,867 | | - | | 51,739 | | 64,338 | | 116,077 | |
| Total derivative financial instruments | 104,337 | | 6,362,631 | | 1,571,497 | | 8,038,465 | | 136,560 | | 3,253,016 | | 1,028,287 | | 4,417,863 | |
| Investment properties | | | | | | | | |
| Lands | - | | - | | 825,579 | | 825,579 | | - | | - | | 563,185 | | 563,185 | |
| Buildings | - | | - | | 5,818,630 | | 5,818,630 | | - | | - | | 6,032,222 | | 6,032,222 | |
| Total investment properties | - | | - | | 6,644,209 | | 6,644,209 | | - | | - | | 6,595,407 | | 6,595,407 | |
| Investment in associates at fair value | | | | | | | | |
| Investment in associates at fair value | - | | - | | 2,171,934 | | 2,171,934 | | - | | - | | 2,041,402 | | 2,041,402 | |
| Total investment in associates at fair value | - | | - | | 2,171,934 | | 2,171,934 | | - | | - | | 2,041,402 | | 2,041,402 | |
| Total | 25,035,329 | | 18,527,462 | | 14,411,073 | | 57,973,864 | | 16,924,447 | | 10,912,161 | | 13,722,699 | | 41,559,307 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Financial liabilities |
| Type of instrument | June 30, 2026 | December 31, 2025(1) |
| Fair value hierarchy | Total fair
value | Fair value hierarchy | Total fair
value |
| Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
| In millions of COP |
| Derivative financial instruments | | | | | | | | |
| Forwards | | | | | | | | |
| Foreign exchange contracts | - | | 3,254,106 | | 3,254,534 | | 6,508,640 | | - | | 1,514,575 | | 1,205,024 | | 2,719,599 | |
| Equity contracts | - | | 96,912 | | 123,905 | | 220,817 | | - | | 547 | | 7,616 | | 8,163 | |
| Total forwards | - | | 3,351,018 | | 3,378,439 | | 6,729,457 | | - | | 1,515,122 | | 1,212,640 | | 2,727,762 | |
| Swaps | | | | | | | | |
| Foreign exchange contracts | - | | 1,594,192 | | 495,203 | | 2,089,395 | | - | | 1,133,648 | | 135,106 | | 1,268,754 | |
| Interest rate contracts | 101,332 | | 127,620 | | 77,207 | | 306,159 | | 135,242 | | 161,742 | | 74,195 | | 371,179 | |
| Total swaps | 101,332 | | 1,721,812 | | 572,410 | | 2,395,554 | | 135,242 | | 1,295,390 | | 209,301 | | 1,639,933 | |
| Options | | | | | | | | |
| Foreign exchange contracts | 93 | | 44,170 | | 173,693 | | 217,956 | | 224 | | 36,466 | | 110,245 | | 146,935 | |
| Total options | 93 | | 44,170 | | 173,693 | | 217,956 | | 224 | | 36,466 | | 110,245 | | 146,935 | |
| Total derivative financial instruments | 101,425 | | 5,117,000 | | 4,124,542 | | 9,342,967 | | 135,466 | | 2,846,978 | | 1,532,186 | | 4,514,630 | |
| Total | 101,425 | | 5,117,000 | | 4,124,542 | | 9,342,967 | | 135,466 | | 2,846,978 | | 1,532,186 | | 4,514,630 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
Fair value of assets and liabilities that are not measured at fair value in the Condensed Consolidated Interim Statement of Financial Position
The following table presents for each of the fair-value hierarchy levels the Cibest Corporate Group’s assets and liabilities that are not measured at fair value in the Condensed Consolidated Interim Statement of Financial Position, but for which the fair value is disclosed at June 30, 2026, and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Assets |
| Type of instrument | June 30, 2026 | December 31, 2025(1) |
| Fair value hierarchy | Total fair
value | Fair value hierarchy | Total fair
value |
| Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
| In millions of COP |
| Debt instruments | | | | | | | | |
| Securities issued by the Colombian Government | 130,474 | | - | | 1,037,841 | | 1,168,315 | | 141,524 | | - | | - | | 141,524 | |
| Securities issued or secured by government entities | - | | - | | 4,530,014 | | 4,530,014 | | - | | 43,771 | | 4,094,247 | | 4,138,018 | |
| Securities issued by other financial institutions | 116,971 | | 89,454 | | 82,985 | | 289,410 | | 129,128 | | 93,521 | | 52,231 | | 274,880 | |
| Securities issued by foreign governments | 103,209 | | 137,106 | | - | | 240,315 | | 189,057 | | 150,587 | | - | | 339,644 | |
| Corporate bonds | 586,175 | | 8,367 | | 291,397 | | 885,939 | | 642,074 | | 9,623 | | 290,721 | | 942,418 | |
| Total – Debt instruments | 936,829 | | 234,927 | | 5,942,237 | | 7,113,993 | | 1,101,783 | | 297,502 | | 4,437,199 | | 5,836,484 | |
| Loans and advances to customers, net | - | | - | | 251,578,891 | | 251,578,891 | | - | | - | | 248,747,474 | | 248,747,474 | |
| Total | 936,829 | | 234,927 | | 257,521,128 | | 258,692,884 | | 1,101,783 | | 297,502 | | 253,184,673 | | 254,583,958 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Liabilities |
| Type of instruments | June 30, 2026 | December 31, 2025(1) |
| Fair value hierarchy | Total fair
value | Fair value hierarchy | Total fair
value |
| Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
| In millions of COP |
| Deposits by customers | - | | 68,911,970 | | 201,138,477 | | 270,050,447 | | - | | 64,471,127 | | 200,482,783 | | 264,953,910 | |
| Interbank deposits | - | | - | | 155,942 | | 155,942 | | - | | - | | 30,102 | | 30,102 | |
| Repurchase agreements and other similar secured borrowing | - | | - | | 6,673,164 | | 6,673,164 | | - | | - | | 676,047 | | 676,047 | |
| Borrowings from other financial institutions | - | | - | | 8,774,860 | | 8,774,860 | | - | | - | | 9,356,428 | | 9,356,428 | |
| Debt instruments in issue | 4,574,203 | | 1,423,302 | | 1,150,329 | | 7,147,834 | | 5,030,129 | | 1,372,155 | | 1,225,259 | | 7,627,543 | |
| Preferred shares | - | | - | | 361,875 | | 361,875 | | - | | - | | 324,260 | | 324,260 | |
| Total | 4,574,203 | | 70,335,272 | | 218,254,647 | | 293,164,122 | | 5,030,129 | | 65,843,282 | | 212,094,879 | | 282,968,290 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
IFRS requires entities to disclose the fair value of financial instruments, both assets and liabilities recognized and not recognized in the Condensed Consolidated Interim Statement of Financial Position, for which it is practicable to estimate fair value. Certain categories of assets and liabilities, however, are not eligible for fair value accounting. The financial instruments below are not measured at fair value on a recurring and nonrecurring basis:
Short-term financial instruments
Short-term financial instruments are valued at their carrying amounts included in the Condensed Consolidated Interim Statement of Financial Position, which are reasonable estimates of fair value due to the relatively short period to maturity of the instruments. This approach was used for cash and cash equivalents, accrued interest receivable, customers’ acceptances, accounts receivable, accounts payable, accrued interest payable and Cibest Corporate Group acceptances outstanding.
Deposits from customers
The fair value of time deposits was estimated based on the discounted value of cash flows using the appropriate discount rate for the applicable maturity. The fair value of deposits with no contractual maturities represents the amount payable on demand as of the date of the Statement of Financial Position.
Interbank deposits and repurchase agreements and other similar secured borrowings
Short-term interbank borrowings and repurchase agreements have been valued at their carrying amounts because of their relatively short-term nature. Long-term and domestic development bank borrowings have also been valued at their carrying amount because they bear interest at variable rates.
Borrowings from other financial institutions
The fair value of borrowings from other financial institutions were determined by using discounted cash flow models. The cash flows projection of capital and interest was made according to the contractual terms, considering capital amortization and interest bearing. Subsequently, the cash flows were discounted using reference curves formed by the weighted average of the Cibest Corporate Group’s deposit rates.
Debt instruments in issue
The fair value of debt instruments in issue, comprised of bonds issued by Cibest Corporate Group, was estimated substantially based on quoted market prices. The fair value of certain bonds which do not have a public trading market, were determined based on the discounted value of cash flows using the rates currently offered for bonds of similar remaining maturities and Cibest Corporate Group’s creditworthiness.
Preferred Shares
In the valuation of the liability component of Preferred Shares related to the minimum dividend of 1% of the subscription price, Cibest Corporate Group uses the Gordon Model to price the obligation, taking into account its own credit risk, which is measured using the market spread based on observable inputs such as quoted prices of sovereign debt. The Gordon Model is commonly used to determine the intrinsic value of a stock based on a future series of dividends that are estimated by Cibest Corporate Group and growth at a constant rate considering Cibest Corporate Group’s own perspectives of the payout ratio.
Loans and advances to customers
Estimating the fair value of loans and advances to customers is considered an area of considerable uncertainty as there is no observable market. The loan portfolio is stratified into tranches and loans segments such as commercial, consumer, small business loans, mortgage, and leasing. The fair value of loans and advances to customers and financial institutions is determined using a discounted cash flow methodology, considering each credit’s principal and interest projected cash flows to the prepayment date. The projected cash flows are discounted using reference curves according to the type of loan and its maturity date.
Items measured at fair value on a non-recurring basis
Cibest Corporate Group measured certain foreclosed assets held for sale, including the discontinued operation of Banistmo S.A., based on fair value less costs to sell. Fair values were determined using internal and external valuation techniques and third-party judgments, depending on the type of underlying asset. The following breakdown sets out the fair value hierarchy of assets classified by type:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Type of instruments | June 30, 2026 | December 31, 2025(1) |
| Fair-value hierarchy | Total fair
value | Fair-value hierarchy | Total fair
value |
| Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
| In millions of COP |
| Machinery and equipment | - | - | 8,238 | 8,238 | - | - | 5,622 | 5,622 |
| Real estate for residential purposes | - | - | 4,896 | 4,896 | - | - | 4,584 | 4,584 |
| Real estate different from residential properties | - | - | - | - | - | - | 136 | 136 |
| Discontinued operation | - | - | - | - | - | - | 5,892,573 | 5,892,573 |
| Total | - | - | 13,134 | 13,134 | - | - | 5,902,915 | 5,902,915 |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
Changes in level 3 fair-value category
The table below presents reconciliation for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs at June,30, 2026, and December 31, 2025:
As of June 30, 2026
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Type of instruments | Balance,
January 1,
2026 | Included in earnings | OCI | Purchases | Settlement | Reclassifications(1) | Prepaids | Transfers
in to
level 3 | Transfers
out of
level 3 | Balance,
June 30, 2026 | |
| In millions of COP | |
| Assets | | | | | | | | | | | |
| Debt instruments at fair value though profit or loss | | | | | | | | | | | |
| Securities issued by the Colombian Government | 2,423 | | 869 | | - | | - | | - | | - | | (83) | | - | | - | | 3,209 | | |
| Securities issued or secured by other financial entities | 69,173 | | 5,438 | | - | | 71,031 | | (101) | | - | | (8,995) | | 19,862 | | (4,946) | | 151,462 | | |
| Corporate bonds | 29,713 | | 436 | | - | | 16,060 | | (3,784) | | - | | (228) | | - | | (14,922) | | 27,275 | | |
| Total | 101,309 | | 6,743 | | - | | 87,091 | | (3,885) | | - | | (9,306) | | 19,862 | | (19,868) | | 181,946 | | |
| Debt instruments at fair value through OCI | | | | | | | | | | | |
| Securities issued by the Colombian Government | 2,625,566 | | - | | 55,616 | | 2,490,648 | | (2,625,566) | | - | | - | | - | | - | | 2,546,264 | | |
| Corporate bonds | 512,511 | | - | | 34,390 | | - | | - | | - | | - | | - | | - | | 546,901 | | |
| Total | 3,138,077 | | - | | 90,006 | | 2,490,648 | | (2,625,566) | | - | | - | | - | | - | | 3,093,165 | | |
| Derivative financial instruments | | | | | | | | | | | |
| Foreign exchange contracts | 990,702 | | 331,863 | | - | | 919,079 | | (681,921) | | (126,699) | | - | | 111,096 | | (619) | | 1,543,501 | | |
| Interest rate contracts | 12,812 | | (3,644) | | - | | 14,110 | | (1,615) | | (4,233) | | - | | 1,036 | | - | | 18,466 | | |
| Equity contracts | 24,773 | | - | | - | | 9,530 | | (24,773) | | - | | - | | - | | - | | 9,530 | | |
| Total | 1,028,287 | | 328,219 | | - | | 942,719 | | (708,309) | | (130,932) | | - | | 112,132 | | (619) | | 1,571,497 | | |
| Equity securities | | | | | | | | | | | |
| Equity securities | 787,932 | | 19,511 | | (31,520) | | 22,327 | | (5,791) | | (72,410) | | - | | - | | - | | 720,049 | | |
| Total | 787,932 | | 19,511 | | (31,520) | | 22,327 | | (5,791) | | (72,410) | | - | | - | | - | | 720,049 | | |
| Other financial instruments | | | | | | | | | | | |
| Other financial instruments | 30,285 | | (2,012) | | | - | | - | | | | | | 28,273 | | |
| Total | 30,285 | | (2,012) | | - | | - | | - | | - | | - | | - | | - | | 28,273 | | |
| Investment in associates | | | | | | | | | | | |
| P.A. Viva Malls | 1,990,556 | | 130,944 | | - | | - | | - | | - | | - | | - | | - | | 2,121,500 | | |
| P.A. Lote Palermo | 37,295 | | 317 | | - | | - | | - | | - | | - | | - | | - | | 37,612 | | |
| P.A. Distrito Vera | 13,405 | | 994 | | - | | - | | (2,821) | | - | | - | | - | | - | | 11,578 | | |
| Fideicomiso Locales Distrito Vera | 146 | | (1) | | - | | - | | - | | - | | - | | - | | - | | 145 | | |
| Total | 2,041,402 | | 133,353 | | - | | - | | (2,821) | | - | | - | | - | | - | | 2,171,934 | | |
| Total Assets | 7,127,292 | | 485,814 | | 58,486 | | 3,542,785 | | (3,346,372) | | (203,342) | | (9,306) | | 131,994 | | (20,487) | | 7,766,864 | | |
| Liabilities | | | | | | | | | | | |
| Derivative financial instruments | | | | | | | | | | | |
| Foreign exchange contracts | 1,450,375 | | 1,819,571 | | - | | 1,658,952 | | (909,380) | | (126,699) | | - | | 31,430 | | (819) | | 3,923,430 | | |
| Interest rate contracts | 74,195 | | 8,623 | | - | | 2,620 | | (5,280) | | (4,233) | | - | | 1,282 | | - | | 77,207 | | |
| Equity contracts | 7,616 | | 1,178 | | - | | 119,567 | | (4,456) | | - | | - | | - | | - | | 123,905 | | |
| Total | 1,532,186 | | 1,829,372 | | - | | 1,781,139 | | (919,116) | | (130,932) | | - | | 32,712 | | (819) | | 4,124,542 | | |
| Total liabilities | 1,532,186 | | 1,829,372 | | - | | 1,781,139 | | (919,116) | | (130,932) | | - | | 32,712 | | (819) | | 4,124,542 | | |
(1)From derivative assets to derivative liabilities classified in level 3 and vice versa.
As of June 30, 2025
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Type of instruments | Balance,
January 1,
2025 | Included in earnings | OCI | Purchases | Settlement | Reclassifications(1) | Prepaids | Transfers
in to
level 3 | Transfers
out of
level 3 | Balance,
June 30,
2025 |
| In millions of COP |
| Assets | | | | | | | | | | |
| Debt instruments at fair value though profit or loss | | | | | | | | | | |
| Securities issued by the Colombian Government | - | - | - | 2,418 | - | | - | - | | - | - | 2,418 |
| Securities issued or secured by other financial entities | 77,821 | 2,645 | - | 1,533 | (2,527) | | - | (1,488) | | - | (9,541) | 68,443 |
| Corporate bonds | 34,259 | 9 | - | 2,035 | (15,625) | - | - | - | (2,966) | 17,712 |
| Total | 112,080 | 2,654 | - | 5,986 | (18,152) | - | | (1,488) | - | (12,507) | | 88,573 |
| Debt instruments at fair value through OCI | | | | | | | | | | |
| Securities issued by the Colombian Government | 2,648,355 | - | - | - | - | - | - | - | (2,648,355) | - |
| Securities issued or secured by other financial entities | 49,744 | - | 915 | - | - | - | - | - | - | 50,659 |
| Corporate bonds | 577,439 | - | 14,166 | - | - | - | - | - | (32,041) | 559,564 |
| Total | 3,275,538 | - | 15,081 | - | - | - | - | - | (2,680,396) | 610,223 |
| Derivative financial instruments | | | | | | | | | | |
| Foreign exchange contracts | 792,309 | (11,862) | - | 412,871 | (525,696) | | (47,770) | | - | 126,646 | (114,782) | | 631,716 |
| Interest rate contracts | 15,493 | (2,560) | - | 8,183 | (331) | | - | | - | 829 | (141) | | 21,473 |
| Equity contracts | 51,347 | - | - | 12,649 | (51,346) | | - | - | - | - | 12,650 |
| Total | 859,149 | (14,422) | - | 433,703 | (577,373) | (47,770) | - | 127,475 | (114,923) | 665,839 |
| Equity securities | | | | | | | | | | |
Equity securities | 555,325 | 15,956 | | 3,950 | 15,948 | (13,986) | | - | - | 1,018 | - | 578,211 |
| Total | 555,325 | 15,956 | 3,950 | 15,948 | (13,986) | - | - | 1,018 | - | 578,211 |
| Other financial instruments | | | | | | | | | | |
| Other financial instruments | 34,385 | (2,108) | | - | - | - | - | - | - | - | 32,277 |
| Total | 34,385 | (2,108) | - | - | - | - | - | - | - | 32,277 |
| Investment in associates | | | | | | | | | | |
| P.A. Viva Malls | 1,817,503 | 121,265 | - | - | - | - | - | - | - | 1,938,768 |
| P.A. Distrito Vera | 13,325 | 86 | | - | - | (65) | - | - | - | - | 13,346 |
| Fideicomiso Locales Distrito Vera | 56 | (2) | | - | 89 | - | - | - | - | - | 143 |
| Total | 1,830,884 | 121,349 | - | 89 | (65) | - | - | - | - | 1,952,257 |
| Investment properties | | | | | | | | | | |
| Investment properties | 5,580,109 | | 83,132 | | - | | 191,066 | | (59,926) | | (33,264) | | - | | - | | - | | 5,761,117 | |
| Total | 5,580,109 | | 83,132 | | - | | 191,066 | | (59,926) | | (33,264) | | - | | - | | - | | 5,761,117 | |
| Total Assets | 12,247,470 | 206,561 | 19,031 | 646,792 | (669,502) | (81,034) | (1,488) | 128,493 | (2,807,826) | 9,688,497 |
| Liabilities | | | | | | | | | | |
| Derivative financial instruments | | | | | | | | | | |
| Foreign exchange contracts | 154,640 | 1,830 | - | 62,360 | (80,999) | | (47,770) | | - | 1,283 | (2,643) | | 88,701 |
| Interest rate contracts | 27,646 | (284) | - | 1,160 | (581) | | - | | - | 84 | (26,524) | | 1,501 |
| Equity contracts | 1,278 | - | - | 3,965 | (1,277) | - | - | - | - | 3,966 |
| Total | 183,564 | 1,546 | - | 67,485 | (82,857) | (47,770) | - | 1,367 | (29,167) | 94,168 |
| Total liabilities | 183,564 | 1,546 | - | 67,485 | (82,857) | (47,770) | - | 1,367 | (29,167) | 94,168 |
(1)From derivative assets to derivative liabilities classified in level 3 and vice versa.
Level 3 fair value rollforward
The following were the significant level 3 transfers at June 30, 2026, and 2025:
As of June 30, 2026, and 2025, net transfers in Cibest Corporate Group for COP (200) and COP 85,756, respectively, from level 3 to level 2 of derivatives foreign exchange contracts and interest rate contracts, it was presented due to the transfer of the credit risk of the counterparty to the own credit risk. As of June 30, 2026, and 2025, net transfers for COP 79,420 and COP 126,108, respectively, from level 2 to level 3 of the derivative foreign exchange contracts and interest
rate contracts, it was presented due to the transfer of the credit risk from Cibest Corporate Group to the credit risk of the counterparty.
As of June 30, 2026, and 2025, there are corporate bonds of debt instruments at fair value through OCI for COP 546,902 and COP 559,564, respectively.
As of June 30, 2026, and 2025, unrealized gains and losses on debt instruments were COP 6,743 and COP 2,654; equity securities COP 19,511 and COP 15,956, respectively.
Transfers between level 1 and level 2 of the fair value hierarchy
The table below presents the transfers for all assets and liabilities measured at fair value on a recurring basis between level 1 and level 2 as of June 30, 2026, and December 31, 2025:
| | | | | | | | | | | | | | |
| Type of instruments | June 30, 2026 | December 31, 2025(1) |
| Transfers level 1 to level 2 | Transfers level
2 to level 1 | Transfers level
1 to level 2 | Transfers level
2 to level 1 |
| In millions of COP |
| Debt instruments at fair value though profit or loss | | | | |
| Securities issued or secured by foreign government | - | | - | | 36,039 | | - | |
| Total | - | | - | | 36,039 | | - | |
| Equity securities | | | | |
| Equity securities | - | | - | | 2 | | 10,018 | |
| Total | - | | - | | 2 | | 10,018 | |
(1)The accumulated value as December 31, 2025, includes the effects of the classification of Banistmo S.A. as an asset held for sale since December 18, 2025. On June 30, 2026, the sale of 100% of the shares of Banistmo S.A. was completed. For more information, see Note 1, Reporting Entity.
All transfers are assumed to occur at the end of the reporting period.
Quantitative information about level 3 fair value measurements
The fair value of financial instruments is, in certain circumstances, measured using valuation techniques that incorporate assumptions that are not evidenced by prices from observable market transactions in the same instrument and are not based on observable market data. Changing one or more of the inputs to the valuation models to reasonably possible alternative assumptions would change the fair values and therefore a valuation adjustment would be recognized in profit or loss. Favorable and unfavorable changes are determined on the basis of changes in the value of the instrument as a result of varying the levels of the unobservable input as described in the table below.
The following table sets forth information about significant unobservable inputs related to Cibest Corporate Group’s material categories of level 3 financial assets and liabilities and the sensitivity of these fair values to reasonably possible alternative assumptions.
As of June 30, 2026
| | | | | | | | | | | | | | | | | | | | | | | |
| Type of instruments | Fair Value | Valuation
technique | Significant
unobservable input | Range of
inputs | Weighted
average | Sensitivity
100
basis point
increase | Sensitivity
100
basis point
decrease |
| In millions of COP |
| Debt instruments | | | | | | | |
| Securities issued by other financial institutions | | | | | | | |
| TIPS | 77,417 | | Discounted cash flow | Yield | 0.14% to 10.31% | 2.64 | % | 75,798 | | 79,074 | |
| Prepayment Speed | n/a | n/a | 80,065 | | n/a |
| Prepayment Speed | n/a | n/a | 76,849 | | n/a |
| Other bonds | 74,045 | | Discounted cash flow | Yield | 0.29% to 3.72% | 3.67 | % | 70,689 | | 77,737 | |
| Total securities issued by other financial institutions | 151,462 | | | | | | | |
| Securities issued by the Colombian Government | | | | | | | |
| Bonds by government entities | 2,549,473 | | Discounted cash flow | Yield / Interest rate | 0.50% to 0.50% | 0.50 | % | 2,528,576 | | 2,574,455 | |
| Corporate bonds | | | | | | | |
| Corporate bonds | 574,176 | | Discounted cash flow | Yield | -0.10% to 4.11% | 2.01 | % | 539,982 | | 601,890 | |
| Total debt instruments | 3,275,111 | | | | | | | |
| Equity securities | | | | | | | |
| Equity securities | 720,049 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Other financial instruments | | | | | | | |
| Other financial instruments | 28,273 | | Internal valuation methodology | Internal valuation methodology | n/a | n/a | n/a | n/a |
| Derivative financial instruments | | | | | | | |
| Forward | (2,203,997) | | Discounted cash flow | Credit spread | -0.05% to 17.10% | (0.11 | %) | (2,207,513) | | (2,203,158) | |
| Swaps | (229,550) | | Discounted cash flow | Credit spread | -8.85% to 17.03% | (0.75 | %) | (225,696) | | (229,432) | |
| Options | (119,498) | | Discounted cash flow | Credit spread | 0.01% to 17.03% | 1.06 | % | (118,733) | | (120,091) | |
| Total derivative financial instruments | (2,553,045) | | | | | | | |
| Investment in associates | | | | | | | |
| P.A. Viva Malls | 2,121,500 | | Price-based | Price | n/a | n/a | n/a | n/a |
| P.A. Lote Palermo | 38,711 | | Price-based | Price | n/a | n/a | n/a | n/a |
| P.A. Distrito Vera | 11,578 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Fideicomiso Locales Distrito Vera | 145 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Total investment in associates | 2,171,934 | | | | | | | |
As of December 31, 2025
| | | | | | | | | | | | | | | | | | | | | | | |
| Type of instruments | Fair Value | Valuation
technique | Significant
unobservable input | Range of
inputs | Weighted
average | Sensitivity
100
basis point
increase | Sensitivity
100
basis point
decrease |
| In millions of COP |
| Debt instruments | | | | | |
| Securities issued by other financial institutions | | | | | |
| TIPS | 64,125 | | Discounted cash flow | Yield | 0.14% to 10.31% | 3.06 | % | 62,752 | | 65,538 | |
| Prepayment Speed | n/a | n/a | 67,024 | | n/a |
| Prepayment Speed | n/a | n/a | 63,704 | | n/a |
| Other bonds | 5,048 | | Discounted cash flow | Yield | 0.32% to 1.10% | 0.71 | % | 5,002 | | 5,094 | |
| Total securities issued by other financial institutions | 69,173 | | | | | | | |
| Securities issued by the Colombian Government | | | | | |
| Bonds by government entities | 2,627,989 | | Discounted cash flow | Yield | 0.50% to 0.50% | 0.50 | % | 2,619,101 | | 2,640,019 | |
| Corporate bonds | | | | | | | |
| Corporate bonds | 542,224 | | Discounted cash flow | Yield | -0.16% to 5.02% | 2.43 | % | 497,386 | | 559,495 | |
| Total debt instruments | 3,239,386 | | | | | | | |
| Equity securities | | | | | | | |
| Equity securities | 787,932 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Other financial instruments | | | | | | | |
| Other financial instruments | 30,285 | | Internal valuation methodology | Internal valuation methodology | n/a | n/a | n/a | n/a |
| Derivative financial instruments | | | | | | | |
| Forward | (424,381) | | Discounted cash flow | Credit spread | 0.00% to 17.10% | (0.24 | %) | (417,068) | | (424,265) | |
| Swaps | (33,611) | | Discounted cash flow | Credit spread | 0.00% to 7.47% | 0.61 | % | (50,216) | | (28,748) | |
| Options | (45,907) | | Discounted cash flow | Credit spread | 0.01% to 2.13% | 0.34 | % | (45,481) | | (46,050) | |
| Total derivative financial instruments | (503,899) | | | | | | | |
| Investment in associates | | | | | | | |
| P.A. Viva Malls | 1,990,556 | | Price-based | Price | n/a | n/a | n/a | n/a |
| P.A. Lote Palermo | 37,295 | | Price-based | Price | n/a | n/a | n/a | n/a |
| P.A. Distrito Vera | 13,405 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Fideicomiso Locales Distrito Vera | 146 | | Price-based | Price | n/a | n/a | n/a | n/a |
| Total investment in associates | 2,041,402 | | | | | | | |
The following table sets forth information about valuation techniques used in the measurement of the fair value investment properties of Cibest Corporate Group, the significant unobservable inputs, and the respective sensitivity:
| | | | | | | | | | | |
Methodology | Valuation technique | Significant unobservable input | Description of sensitivity |
Sales Comparison Approach - SCA The fair value assessment is based on the examination of prices at which similar properties in the same area recently sold. Since no two properties are identical the measurement valuation must take into account adjustments for the differences between the sold properties and those held by the Bank to earn rentals or for capital appreciation. | Comparable prices | The weighted average rates used in the capitalization methodology for revenues in the first quarter for 2026 are: •Direct capitalization: initial rate 8.20%. •Discounted cash flow: discount rate: 12.38%, terminal rate: 8.34%. The same weighted rates for the second quarter of 2026 were: •Direct capitalization: initial rate 8.03% •Discounted cash flow: discount rate: 12.40%, terminal rate: 8.34%. The ratio between monthly gross income and real estate value directly administered by the FIC (rental rate) considering the differences in placements and individual factors between properties and in a weighted way in the first quarter of 2026 was 0.77% and for second quarter of, 2026 was 0.80%. | An increase (light, normal, considerable, significant) in the capitalization rate used would generate a decrease (significant, considerable, normal, light) in the fair value of the asset, and vice versa. An increase (light, normal, considerable, significant) in the leases used in the valuation would generate a (significant, light, considerable) increase in the fair value of the asset, and vice versa. |
Income Approach Used to estimate the fair value of the property by taking future net cash flows and discounting them at the capitalization rate. | Direct capitalization Discounted cash flows |
Cost approach Used to estimate the fair value of the property considering the cost to replace or build a property at the same or equal conditions of the asset to be measured, deducting the accumulated depreciation charge and adding-up the amount of the land. | Replacement cost |
There has been no change to the valuation technique during the year 2026 for each asset.
NOTE 20. SUBSEQUENT EVENTS
Approval of Consolidated Financial Statements
These Condensed Consolidated Interim Financial Statements were approved by Chief Executive Financial for publication at August 10, 2026. The Financial Statements have been not audited.
On July 8, 2026, Bancolombia S.A. completed the issuance of COP 1 trillion of subordinated bonds recognized as Additional Tier 1 (AT1) capital instruments, fully subscribed by Grupo Cibest S.A. This transaction constitutes Bancolombia’s first issuance of AT1 instruments in the local capital market and was undertaken to strengthen the Bank’s capital base, optimize its regulatory capital structure, and support its solvency requirements in accordance with applicable prudential regulations.
Acquisition of Avista Colombia
On August 3, 2026, Estrategias Cibest S.A.S., a subsidiary of Grupo Cibest, acquired 100% of the shares of Avista Colombia following the fulfillment of the conditions required for the closing of the transaction. Avista Colombia is a company specialized in digital financing solutions, with a focus on payroll deduction loans and other products associated with payroll and pensions.
The acquisition is part of Grupo Cibest’s growth strategy and its efforts to strengthen its business ecosystem, enabling the Group to expand its offering of financial solutions for different segments of the population and generate opportunities for financial, operational, commercial and technological synergies. Avista Colombia will continue to operate independently, maintaining its brand, business strategy and operating model.
Extraordinary Dividend of Grupo Cibest S.A.
The Board of Directors has convened a meeting on August 26, 2026, to submit the following proposal for consideration by the General Shareholders’ Meeting:
The partial reallocation of the discretionary reserve named “For Equity Strengthening and Future Distributions” in the amount of COP 1,200,665, to be used for an extraordinary dividend distribution.
The payment of an extraordinary dividend of COP 1,271 per share, payable in a single installment on September 1, 2026.
Decrease in the Market Representative Exchange Rate
Subsequent to June 30, 2026, the reporting date, and through August 10, 2026, the date on which these Financial Statements were authorized for issuance, the Colombian Market Representative Exchange Rate decreased by COP 315.36, from COP 3,440.83 to COP 3,125.47 per U.S. dollar, respectively. This decrease reflects a strengthening of the Colombian peso against the U.S. dollar during the period following the reporting date and, therefore, does not result in any adjustment to the amounts recognized as of June 30, 2026. This event is disclosed because it could have a significant impact on the future performance and valuation of assets and liabilities denominated in foreign currency.
RISK MANAGEMENT
The first half of 2026 was characterized by heightened inflationary risks and elevated geopolitical uncertainty stemming from the conflict in the Middle East and the fragility of the agreements reached in the region. While energy markets experienced temporary periods of relief, risks of supply disruptions in oil and gas markets persisted, increasing volatility in international energy prices and contributing to sustained inflationary pressures across several economies. Against this backdrop, major central banks maintained a cautious—and, in some cases, restrictive—policy stance, while U.S. dollar strength, higher global risk aversion, and tighter financial conditions continued to pose meaningful challenges to global economic growth and, in particular, to emerging markets.
Credit risk
Credit risk represents the likelihood that the Group may incur financial losses due to a counterparty, issuer, or debtor failing to meet their contractual obligations. It also encompasses losses resulting from credit rating downgrades, reduced earnings and returns, concessions granted during debt restructurings, and recovery-related costs.
The information below contains the maximum exposure to credit risk for the periods ending June 30, 2026 and December 31, 2025:
June 30, 2026
| | | | | | | | | | | | | | |
Maximum exposure to credit risk - Financial instruments subject to impairment |
In millions of COP |
| Stage 1 | Stage 2 | Stage 3 | Total |
Loans and Advances | 235,741,411 | | 14,150,425 | | 12,381,345 | | 262,273,181 | |
Commercial | 131,842,222 | | 4,182,645 | | 6,597,166 | | 142,622,033 | |
Consumer | 46,004,255 | | 4,644,942 | | 2,877,782 | | 53,526,979 | |
Mortgage | 32,558,680 | | 1,794,604 | | 1,550,134 | | 35,903,418 | |
Small Business Loans | 898,153 | | 130,730 | | 70,584 | | 1,099,467 | |
Financial Leases | 24,438,101 | | 3,397,504 | | 1,285,679 | | 29,121,284 | |
Off-Balance Sheet Exposures | 47,836,850 | | 475,647 | | 348,589 | | 48,661,086 | |
Financial Guarantees | 6,963,482 | | 59,422 | | 76,120 | | 7,099,024 | |
Loan Commitments | 40,873,368 | | 416,225 | | 272,469 | | 41,562,062 | |
Loss Allowance | (2,460,359) | | (2,470,153) | | (8,819,796) | | (13,750,308) | |
Total | 281,117,902 | | 12,155,919 | | 3,910,138 | | 297,183,959 | |
December 31, 2025
| | | | | | | | | | | | | | |
Maximum exposure to credit risk - Financial instruments subject to impairment |
In millions of COP |
| Stage 1 | Stage 2 | Stage 3 | Total |
Loans and Advances | 230,529,201 | | 13,291,069 | | 12,533,711 | | 256,353,981 | |
Commercial | 128,900,017 | | 3,789,022 | | 6,938,883 | | 139,627,922 | |
Consumer | 45,368,880 | | 4,597,424 | | 2,787,242 | | 52,753,546 | |
Mortgage | 31,451,240 | | 1,551,976 | | 1,413,156 | | 34,416,372 | |
Small Business Loans | 885,674 | | 120,330 | | 57,008 | | 1,063,012 | |
Financial Leases | 23,923,390 | | 3,232,317 | | 1,337,422 | | 28,493,129 | |
Off-Balance Sheet Exposures | 45,080,299 | | 398,436 | | 439,419 | | 45,918,154 | |
Financial Guarantees | 6,385,687 | | 16,589 | | 152,549 | | 6,554,825 | |
Loan Commitments | 38,694,612 | | 381,847 | | 286,870 | | 39,363,329 | |
Loss Allowance | (2,126,247) | | (2,321,812) | | (9,043,389) | | (13,491,448) | |
Total | 273,483,253 | | 11,367,693 | | 3,929,741 | | 288,780,687 | |
The maximum exposure to credit risk from the loan portfolio and finance lease operations corresponds to their carrying amount at the end of the period, without considering any collateral received or other credit enhancements.
The maximum exposure to credit risk from off-balance sheet positions includes financial guarantees, rate and credit line commitments, and available credit facilities granted at the end of the period, without considering any collateral received or other credit enhancements.
Credit Risk Management - Loans and Advances
As of the end of the first half of 2026, Colombia's economy continued to experience moderate expansion, driven mainly by private consumption and government spending. Nevertheless, subdued private investment, particularly in the construction and mining sectors, continued to weigh on the achievement of more sustainable long-term growth. The operating environment remained characterized by persistent inflationary pressures and restrictive monetary conditions.
Furthermore, despite increased political stability, fiscal consolidation and the long-term sustainability of public finances remain key areas of concern, amid ongoing global market volatility and geopolitical uncertainty.
Economic activity in El Salvador and Guatemala remained favorable during the period, driven primarily by public and private infrastructure investment and solid domestic demand. However, the region remains exposed to external risks. Slower growth in remittance inflows, inflationary pressures arising from external supply-side shocks, and dependence on international commodity prices heighten the vulnerability of certain economies to a challenging and uncertain global macroeconomic environment.
In a highly competitive financial market and an uncertain environment, we prioritize credit-cycle decisions that support the stability of the portfolio’s risk profile. This is achieved through the continuous improvement of the processes, models, and methodologies used at each stage of the credit cycle. This approach is supported by an agile and forward-looking response to changes in economic conditions, enabling proactive adjustments to risk appetite and helping to protect the Group’s financial soundness.
Credit risk management for the different types of lending activities carried out by the entities of Group is performed in accordance with the Group Credit Risk Management Framework approved by the Board of Directors. This framework sets out corporate definitions and general criteria to assess, measure, monitor, control, and mitigate credit risk through the implementation of policies, guidelines, and methodologies across the credit cycle.
a.Credit Quality Analysis - Loans and Financial Leases
As of June 30, 2026, Cibest Corporate Group's loan portfolio totaled COP 262.3 trillion, representing a 2.3% increase in the Colombian peso-denominated portfolio balance compared to December 2025 (COP 256.4 trillion). This change was recorded despite the impact of the appreciation of the Colombian peso against the U.S. dollar, which reduced the reported balance due to the translation of the portion of the portfolio denominated in that currency. Overall portfolio performance was mainly driven by higher commercial loan balances in Colombia and El Salvador, as well as positive dynamics in the mortgage and consumer portfolios in Colombia, which helped offset the foreign-exchange effect observed during the period.
The 30-day past due loan ratio (consolidated) at stood at 3.97% as of June 2026, increasing from 3.95% in December 2025. This increase was primarily attributable to the deterioration of the consumer and mortgage loan portfolios in Colombia, reflecting reduced household repayment capacity amid persistent inflationary pressures and challenging macroeconomic and geopolitical conditions. In El Salvador, the increase was concentrated in the consumer portfolio, consistent with the growth in lending to individuals observed since 2025. Conversely, the commercial portfolio improved during the period, driven mainly by the recovery of specific corporate clients within Colombia’s commerce sector. Cibest Corporate Group continues to actively manage its portfolios through prevention, mitigation and recovery strategies aimed at anticipating risk materialization and preserving overall credit quality.
Special Customer Administration
In order to monitor credit risk associated with customers, Cibest Corporate Group has established Special Customer Administration (AEC) Committees by business segment and geographic region to identify events that can lead to a reduction in borrowers’ ability to pay. Generally, customers with good credit behavior could be included in the watch list in case of detecting any event that can lead to future financial difficulties to repay their loans; for instance, internal factors such as the economic activity and sector, financial weakness, impacts of macroeconomic conditions, changes in corporate governance and other situations that could affect customers’ busines. The amount and allowance of customer included in the described watch list, as of June, 2026 and December, 2025 is shown below:
June 30, 2026
| | | | | | | | | | | |
| Watch List |
| Million COP |
| Risk Level | Amount | % | Allowance |
| Level 1 – Low Risk | 9,359,103 | | 0.85 | % | 79,651 | |
| Level 2 – Medium Risk | 3,712,824 | | 8.08 | % | 299,878 | |
| Level 3 – High Risk | 1,810,441 | | 55.55 | % | 1,005,626 | |
Level 4 – High Risk DOC (1) | 4,509,746 | | 72.88 | % | 3,286,839 | |
| Total | 19,392,114 | | 24.09 | % | 4,671,994 | |
DOC: Origination and Collections Department.
December 31, 2025
| | | | | | | | | | | |
| Watch List |
| December 31, 2025 |
| Million COP |
| Risk Level | Amount | % | Allowance |
| Level 1 – Low Risk | 11,243,787 | | 0.61 | % | 68,609 | |
| Level 2 – Medium Risk | 3,242,865 | | 7.19 | % | 233,252 | |
| Level 3 – High Risk | 2,084,682 | | 59.12 | % | 1,232,457 | |
Level 4 – High Risk DOC (1) | 4,602,690 | | 72.27 | % | 3,326,436 | |
| Total | 21,174,024 | | 22.96 | % | 4,860,754 | |
DOC: Origination and Collections Department.
b.Risk Concentration – Loans and Advances
•Concentration of loan by maturity
The following table shows the ranges of maturity for the credit loans and financial leases, according for the remaining term for the completion of the contract of loans and financial leases at the end of June, 2026 and December, 2025:
| | | | | | | | | | | | | | | | | |
| June 30, 2026 |
| In millions of COP |
| Maturity | Less Than 1 Year | Between 1 and 5 Years | Between 5 and 15 Years | Greater Than 15 Years | Total |
| Commercial | 36,746,951 | 62,918,942 | 41,271,581 | 1,684,559 | 142,622,033 |
| Corporate | 19,458,652 | 35,992,442 | | 21,059,473 | 1,224,126 | 77,734,693 |
| SME | 4,270,462 | 8,456,972 | | 1,226,909 | 79,428 | 14,033,771 |
| Others | 13,017,837 | 18,469,528 | | 18,985,199 | 381,005 | 50,853,569 |
| Consumer | 1,310,984 | 35,293,911 | 16,704,062 | 218,022 | 53,526,979 |
| Credit card | 7,666 | 10,744,489 | | 2,015,861 | - | 12,768,016 |
| Vehicle | 180,173 | 2,655,120 | | 2,258,385 | 397 | 5,094,075 |
| Order of payment | 59,696 | 1,813,246 | | 4,834,131 | 18 | 6,707,091 |
| Others | 1,063,449 | 20,081,056 | | 7,595,685 | 217,607 | 28,957,797 |
| Mortgage | 67,739 | 1,012,385 | 10,791,489 | 24,031,805 | 35,903,418 |
| VIS | 21,120 | 318,962 | | 3,245,380 | 10,597,084 | 14,182,546 |
| Non-VIS | 46,619 | 693,423 | | 7,546,109 | 13,434,721 | 21,720,872 |
| Finanacial Leases | 2,517,174 | 8,843,571 | | 13,506,678 | 4,253,861 | 29,121,284 |
| Small business loans | 46,143 | 1,020,954 | | 31,468 | 902 | 1,099,467 |
| Total gross loans and financial leases | 40,688,991 | 109,089,763 | 82,305,278 | 30,189,149 | 262,273,181 |
| | | | | | | | | | | | | | | | | |
| December 31, 2025 |
| In millions of COP |
| Maturity | Less Than 1 Year | Between 1 and 5 Years | Between 5 and 15 Years | Greater Than 15 Years | Total |
| Commercial | 37,701,890 | 59,704,817 | 39,337,022 | 2,884,193 | 139,627,922 |
| Corporate | 20,753,064 | 33,460,016 | | 19,965,253 | 1,828,625 | 76,006,958 |
| SME | 4,070,363 | 8,539,793 | | 1,060,389 | 186,436 | 13,856,981 |
| Others | 12,878,463 | 17,705,008 | | 18,311,380 | 869,132 | 49,763,983 |
| Consumer | 5,393,052 | 34,827,883 | 12,296,414 | 236,197 | 52,753,546 |
| Credit card | 39,952 | 10,351,902 | | 2,088,614 | 3,451 | 12,483,919 |
| Vehicle | 136,130 | 2,704,055 | | 1,955,420 | 365 | 4,795,970 |
| Order of payment | 2,209,043 | 1,812,470 | | 2,800,720 | 12,514 | 6,834,747 |
| Others | 3,007,927 | 19,959,456 | | 5,451,660 | 219,867 | 28,638,910 |
| Mortgage | 820,792 | 983,691 | 10,696,429 | 21,915,460 | 34,416,372 |
| VIS | 19,358 | 300,678 | | 3,002,419 | 9,851,053 | 13,173,508 |
| Non-VIS | 801,434 | 683,013 | | 7,694,010 | 12,064,407 | 21,242,864 |
| Finanacial Leases | 2,283,462 | 8,690,954 | | 13,328,370 | 4,190,343 | 28,493,129 |
| Small business loans | 53,098 | 987,314 | | 20,720 | 1,880 | 1,063,012 |
| Total gross loans and financial leases | 46,252,294 | 105,194,659 | 75,678,955 | 29,228,073 | 256,353,981 |
_______________________________________________________
2VIS: Social Interest Homes, corresponds to mortgage loans granted by the financial institutions of amounts less than 135 minimum wages.
•Concentration by past due days
The following table shows the loans and financial leases according to past due days for the periods ending on June, 2026 and December, 2025. Loans or financial leases are considered past due if it is more than one month overdue (i.e. 31 days):
| | | | | | | | | | | | | | | | | | | | |
| June 30, 2026 |
| In millions of COP |
| Past-due |
| Period | 0 - 30 Days | 31 - 90 Days | 91 - 120 Days | 121 - 360 Days | More Than 360 Days | Total |
| Commercial | 138,661,718 | 302,708 | 127,182 | 791,752 | 2,738,673 | 142,622,033 |
| Consumer | 50,336,371 | 1,342,974 | 430,726 | 1,195,973 | 220,935 | 53,526,979 |
| Mortgage | 33,688,329 | 799,806 | 219,442 | 472,415 | 723,426 | 35,903,418 |
| Financial Leases | 28,175,499 | 254,732 | 66,327 | 188,178 | 436,548 | 29,121,284 |
| Small Business Loan | 989,334 | 47,538 | 11,845 | 45,588 | 5,162 | 1,099,467 |
| Total | 251,851,251 | 2,747,758 | 855,522 | 2,693,906 | 4,124,744 | 262,273,181 |
| | | | | | | | | | | | | | | | | | | | |
| December 31, 2025 |
| In millions of COP |
| Past-due |
| Period | 0 - 30 Days | 31 - 90 Days | 91 - 120 Days | 121 - 360 Days | More Than 360 Days | Total |
| Commercial | 135,330,887 | 426,990 | 156,363 | 869,610 | 2,844,072 | 139,627,922 |
| Consumer | 49,805,549 | 1,224,406 | 407,456 | 1,100,716 | 215,419 | 52,753,546 |
| Mortgage | 32,463,354 | 646,147 | 166,300 | 477,855 | 662,716 | 34,416,372 |
| Financial Leases | 27,648,328 | 211,469 | 39,547 | 179,284 | 414,501 | 28,493,129 |
| Small Business Loan | 975,530 | 37,438 | 12,584 | 31,764 | 5,696 | 1,063,012 |
| Total | 246,223,648 | 2,546,450 | 782,250 | 2,659,229 | 4,142,404 | 256,353,981 |
•Concentration of loans by economic sector
The following table contains the detail of the portfolio of loans and financial leases by main economic activity of the borrower for the periods ending on June, 2026 and December, 2025:
| | | | | | | | | | | |
| June 30, 2026 |
In millions of COP |
| Economic sector | Loans and advances |
| Local | Foreign | Total |
Agriculture | 5,791,825 | | 1,342,492 | | 7,134,317 | |
Petroleum and Mining Products | 2,226,822 | | 274,797 | | 2,501,619 | |
Food, Beverages and Tobacco | 8,490,246 | | 1,936,676 | | 10,426,922 | |
Chemical Production | 5,145,334 | | 331,645 | | 5,476,979 | |
Government | 12,940,654 | | 9,581 | | 12,950,235 | |
Construction | 12,467,857 | | 6,278,205 | | 18,746,062 | |
Commerce and Tourism | 28,477,693 | | 3,706,697 | | 32,184,390 | |
Transport and Communications | 11,217,725 | | 479,363 | | 11,697,088 | |
Public Services | 16,513,072 | | 1,328,474 | | 17,841,546 | |
Consumer Services | 71,366,381 | | 15,724,304 | | 87,090,685 | |
Commercial Services | 36,904,211 | | 5,693,147 | | 42,597,358 | |
Other Industries and Manufactured Products | 9,218,947 | | 4,407,033 | | 13,625,980 | |
Total | 220,760,767 | | 41,512,414 | | 262,273,181 | |
| | | | | | | | | | | |
| December 31, 2025 |
In millions of COP |
| Economic sector | Loans and advances |
| Local | Foreign | Total |
Agriculture | 5,065,174 | | 1,454,157 | | 6,519,331 | |
Petroleum and Mining Products | 2,130,531 | | 357,951 | | 2,488,482 | |
Food, Beverages and Tobacco | 8,825,753 | | 1,892,783 | | 10,718,536 | |
Chemical Production | 5,016,379 | | 327,950 | | 5,344,329 | |
Government | 12,277,316 | | 8,399 | | 12,285,715 | |
Construction | 12,668,236 | | 6,276,866 | | 18,945,102 | |
Commerce and Tourism | 27,512,932 | | 4,127,906 | | 31,640,838 | |
Transport and Communications | 12,508,329 | | 306,414 | | 12,814,743 | |
Public Services | 14,642,893 | | 1,273,641 | | 15,916,534 | |
Consumer Services | 69,086,088 | | 16,617,819 | | 85,703,907 | |
Commercial Services | 35,957,673 | | 4,211,895 | | 40,169,568 | |
Other Industries and Manufactured Products | 9,469,462 | | 4,337,434 | | 13,806,896 | |
Total | 215,160,766 | | 41,193,215 | | 256,353,981 | |
c.Credit Risk Management – investment financial instruments:
The portfolio is exposed to credit risks given the probability of incurring losses originated by the default in the payment of a coupon, principal and/or yields/dividends of a financial instrument by its issuer or counterparty. The probability of this type of events materializing may increase if there are scenarios of concentration in few issuers (counterparties) and whose credit performance is reflected by higher risk ratings; likewise, increases in credit risk may occur in scenarios in which the
portfolio presents low levels of diversification at the level of type and sector of the counterparties with which financial asset transactions are carried out.
The Group maintains the control and continuous monitoring of the assigned credit risk limits, as well as the consumption thereof. Additionally, the Group follows up and manages alerts on counterparties and issuers of securities, based on public market information and news related to their performance; this allows mitigating the risks of default or reduction of value for the managed positions.
For credit risk management, each of the positions that make up the portfolio of the own position are adjusted to the policies and limits that have been defined and that seek to minimize the exposure to the same:
•Term Limits.
•Credit Limits.
•Trading limits
•Master Agreement.
•Margin Agreements.
•Counterparty Alerts.
d.Credit Quality Analysis - investment financial instruments:
In order to evaluate the credit quality of a counterparty or issuer (to determine a risk level or profile), the Group relies on two rating systems: an external one and an internal one, both of which allow to identify a degree of risk differentiated by segment and country and to apply the policies that have been established for issuers or counterparties with different levels of risk, in order to limit the impact on liquidity and/or the income statement of the Group.
External credit rating system: is divided by the type of rating applied to each instrument or counterparty; in this way the geographic location, the term and the type of instrument allow the assignment of a rating according to the methodology that each examining agency uses.
Internal credit rating system: The “ratings or risk profiles” scale is created with a range of levels that go from low exposure to high exposure (this can be reported in numerical or alphanumerical scales), where the rating model is sustained by the implementation and analysis of qualitative and quantitative variables at sector level, which according to the relative analysis of each variable, determine credit quality; in this way the internal credit rating system aims to establish adequate margin in decision-making regarding the management of financial instruments.
In accordance with the criteria and considerations specified in the internal rating allocation and external credit rating systems methodologies, the following schemes of relation can be established, according to credit quality given to each one of the qualification scales:
Low Risk: All investment grade positions (from AAA to BBB-), as well as those issuers that according to the information available (financial statements, relevant information, external ratings, CDS, among others) reflect adequate credit quality.
Medium Risk: All speculative grade positions (from BB+ to BB-), as well as those issuers that according to the available information (Financial statements, relevant information, external qualifications, CDS, among others) reflect weaknesses that could affect their financial situation in the medium term.
High Risk: All positions of speculative grade (from B+ to D), as well as those issuers that according to the information available (Financial statements, relevant information, external qualifications, CDS, among others) reflect a high probability of default of financial obligations or that already have failed to fulfill them.
Credit Quality Analysis of the Group
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| Maximum Exposure to Credit Risk |
| In millions of COP |
| Debt instruments | Equity | Other financial instruments(1) | Derivatives(2) |
| June 30, 2026 | December 31, 2025 | June 30, 2026 | December 31, 2025 | June 30, 2026 | December 31, 2025 | June 30, 2026 | December 31, 2025 |
| Low Risk | 5,176,141 | 6,753,154 | 84 | 415 | - | | - | | 1,185,891 | 630,738 |
| Medium Risk | 39,900,158 | 24,402,902 | 1,211,251 | 1,143,337 | 14,985 | 19,014 | 1,287,340 | 659,717 |
| High Risk | 1,556,849 | 1,683,992 | 529 | 15,026 | 2,966 | - | | 6,314 | 1,794 |
| Without Rating | - | - | 369,179 | 304,844 | 10,322 | 11,271 | 60,626 | 16,495 |
| Total | 46,633,147 | 32,840,048 | 1,581,043 | 1,463,622 | 28,273 | 30,285 | 2,540,171 | 1,308,744 |
(1)Corresponds to convertible notes or agreements granting the right to acquire shares in the future, commonly referred to as Simple Agreements for Future Equity (SAFEs)
(2)For derivatives transactions counterparty risk is disclosed as long as the valuation is positive.
Risk exposure by credit rating
| | | | | | | | |
| Maximum Exposure to Credit Risk |
| In millions of COP |
| Other financial instruments(1) |
| June 30, 2026 | December 31, 2025 |
| Sovereign Risk | 30,176,407 | 15,380,169 |
| AAA | 1,260,581 | 2,247,310 |
| AA+ | 3,056,927 | 3,618,196 |
| AA | 42,981 | 27,534 |
| AA- | 526,263 | 187,873 |
| A+ | 623,004 | 165,838 |
| A | 256,970 | 371,477 |
| A- | 10,628 | 254,259 |
BBB+ | 44,298 | 10,914 |
| BBB | 77,910 | 115,728 |
| BBB- | 462,553 | 385,178 |
BB+ | 11,689,556 | 10,531,642 |
BB | 435,507 | 219,486 |
BB- | 112,264 | 93,672 |
| Other | 1,566,658 | 1,700,813 |
| Not rated | 440,127 | 332,610 |
| Total | 50,782,635 | 35,642,699 |
(1) Internal homologation.
•Financial credit quality of other financial instruments that are not in default nor impaired in value
Debt instruments: 100% of the debt instruments are not in default.
Equity: The positions do not represent significant risks.
Derivatives: 99.9% of the credit exposure does not present incidences of material default. The remaining percentage corresponds to default events at the end of the period.
•Maximum exposure level to the credit risk given:
| | | | | | | | | | | | | | | | | | | | |
| Maximum Exposure to Credit Risk |
| In millions of COP |
| Maximum Exposure | Collateral | Net Exposure |
| Jun 30, 2026 | December 31, 2025 | Jun 30, 2026 | December 31, 2025 | Jun 30, 2026 | December 31, 2025 |
| Debt instruments | 46,633,147 | 32,840,048 | (9,124,241) | (2,529,186) | 37,508,907 | 30,310,862 |
Derivatives | 2,540,171 | 1,308,744 | (1,525,771) | (726,801) | 1,014,400 | 581,943 |
| Equity | 1,581,043 | 1,463,622 | - | - | 1,581,043 | 1,463,622 |
| Other financial instruments | 28,273 | 30,285 | - | - | 28,273 | 30,285 |
| Total | 50,782,635 | 35,642,699 | (10,650,012) | (3,255,987) | 40,132,622 | 32,386,712 |
Note: Derivative collateral received from counterparties, whose have their market value positive when consolidate all the portfolio derivaties of related ID, in December 2025 was COP 726,801 and in June 2026 was COP 1,525,771. In debt securities, guarantees correspond to Repo, reverse repo, and securities lending trades.
Collateral- investment financial instruments
Level of collateral: respect to the type of asset or operation, a collateral level is determined according to the policies defined for each product and the market where the operation is carried out.
Assets held as collateral in organized markets: the only assets that can be received as collateral are those defined by the central counterparties, the stock market where the operation is negotiated, those assets that are settled separately in different contracts or documents, which can be managed by each organization and must comply with the investment policies defined by the Group, taking into account the credit limit for each type of asset or operation received or delivered, which collateral received are the best credit quality and liquidity.
Assets received as bilateral collateral between counterparties: the collateral accepted in international OTC derivative operations is agreed on bilaterally in the Credit Support Annex (CSA)1 and with fulfillment in cash in dollars and managed by Citibank N.A.. This entity acts as the independent third party in international margin calls, enabling more efficient management of the collateral provided and received in the course of investment activities involving derivative instruments.
Collateral adjustments for margin agreements: The adjustments will be determined by the criteria applied by both the external and internal regulations in effect, and at the same time, mitigation standards are maintained so that the operation fulfills the liquidity and solidity criteria for settlement.
e.Credit risk concentration - investment financial instruments:
At the end of the period, the Group's positions did not exceed the concentration limit.
Country Risk
1 A Credit Support Annex (CSA) provides credit protection by setting forth the rules governing the mutual posting of collateral. CSAs are used in documenting collateral arrangements between two parties that trade privately negotiated (over-the-counter) derivative securities. The trade is documented under a standard contract called a master agreement, developed by the International Swaps and Derivatives Association (ISDA).
This risk refers to the possibility of incurring losses from financial transactions abroad due to a deterioration in the economic and/or sociopolitical conditions of the host country, whether caused by restrictions on currency transfers or by factors not attributable to the host country’s commercial and financial conditions. This definition includes, among others, sovereign risk (SR) and transfer risk (TR).
To ensure adequate management of country risk associated with the long-term investments made by Cibest Corporate Group in jurisdictions other than Colombia, where the holding company is based, at the Corporate Vice Presidency of Risk develops the guidelines, processes, and methodologies that define the materiality of such investments and enable the periodic management of the country risk to which they are exposed.
As a result of the application of these guidelines, as of June 2026, no alerts were issued for any of the investments assessed relative to the values recorded as of March 2026. Additionally, the value of the investments comprising the assessed portfolio experienced natural variations associated with earnings accumulation, declared dividends, and the appreciation of the Colombian peso against the U.S. dollar.
Market risk
Market risk refers to the possibility of incurring losses due to changes in equity prices, interest rates, exchange rates, and other indicators whose values are determined in public markets. It also encompasses the probability of unexpected changes in net interest income and the economic value of equity resulting from fluctuations in market interest rates.
Cibest Corporate Group currently measure the treasury book exposure to market risk (including OTC derivatives positions) as well as the currency risk exposure of the banking book, which is provided to the Treasury Division, using a VaR methodology established in accordance with “Chapter I, Annex VI of the Basic Financial Circular”, issued by the Financial Superintendency of Colombia.
The VaR methodology established by “Chapter I of the Basic Financial Circular” is based on the model recommended by the Amendment to the Capital Accord to Incorporate Market Risks of Basel Committee of 2005, which focuses on the treasury book and excludes those investments classified as amortized cost which are not being given as collateral and any other investment that comprises the banking book. In addition, the methodology aggregates all risks by the use of correlations, through an allocation system based on defined zones and bands, affected by given sensitivity factors.
Cibest Corporate Group use different models with the purpose of measure risk exposure and the portfolio diversification effect, the main metrics are: i) the standard methodology required by the Financial Superintendence of Colombia, is established by “Chapter I of the Basic Financial Circular”, and ii) the internal methodology of historical weighted simulation, which use a confidence level of 99%, a holding period of 10 days, a time frame of 250 business days and hierarchical VaR limits.
The guidelines and principles of the Group´s Market Risk Management have been keeping in accordance with disclose of December 31, 2025.
Total market risk exposure increased by 13.8%, from COP 1,213,155 in December 2025 to COP 1,380,011 in June 2026. This change is primarily attributable to greater exposure to the exchange rate factor, due to an increase in U.S. dollar-denominated positions. In addition, the interest rate factor showed an increase, driven by greater exposure of the securities in the portfolio.
The following table presents the total change in market risk and other risk factors:
| | | | | | | | | | | | | | |
| June 2026 |
In millions of COP |
Factor | End of Period | Average | Maximum May, 2026 | Minimum February, 2026 |
| Interest rate | 586,986 | 587,840 | 634,551 | 556,900 |
| Exchange rate | 314,101 | 269,765 | 375,314 | 221,538 |
| Stock price | 402,617 | 419,804 | 433,285 | 422,215 |
| Collective investment funds | 76,306 | 79,589 | 75,465 | 79,674 |
Total Value at Risk | 1,380,011 | 1,356,998 | | |
| | | | | | | | | | | | | | |
| December 2025 |
In millions of COP |
Factor | End of Period | Average | Maximum November, 2025 | Minimum January, 2025 |
| Interest rate | 534,919 | 552,803 | 499,712 | 524,034 |
| Exchange rate | 182,077 | 282,154 | 751,796 | 79,062 |
| Stock price | 407,177 | 380,326 | 367,615 | 375,015 |
| Collective investment funds | 88,982 | 51,683 | 35,781 | 36,608 |
Total Value at Risk | 1,213,155 | 1,266,967 | | |
*As of June 30, 2026, the proprietary cryptocurrency portfolio of Wenia amounted to USD 2,227, with a Value at Risk (VaR) of USD 10. The VaR was calculated using an internal methodology based on a Dinamic Conditional Correlation (DCC) GARCH model, with a one-day time horizon and a 99% of confidence level.
On the other hand, regarding the VaR measured with the internal, no breaches of the approved limits were identified.
This exposure has been permanently monitored by the Board of Directors and is an input for the decision-making process to preserve the stability in the Group.
Non-trading instruments market risk measurement
The banking book’s relevant risk exposure is interest rate risk, which is the probability of unexpected changes in net interest income or in the economic value of equity as a result of a change in market interest rates. Changes in interest rates affect the Group’s earnings because of timing differences on the repricing of the assets and liabilities. The Group manages the interest rate risk arising from banking activities in non-trading instruments by analyzing the interest rate mismatches between its interest earning assets and its interest bearing liabilities, and estimates the impact on the net interest income and the economic value of equity. The foreign currency exchange rate exposures arising from the banking book are provided to the Treasury Division where these positions are aggregated and managed.
•Interest Risk Exposure (Banking Book)
The Group has performed a sensitivity analysis of market risk sensitive instruments estimating the impact on the net interest income of each position in the banking book, using a repricing model and assuming positive parallel shifts of 100 basis points (bps).
The table 1 provides information about Group’s interest rate sensitivity for the statement of financial position items comprising the banking book.
Table 1. Sensitivity to Interest Rate Risk of the Banking Book
The chart below provides information about Group’s interest rate risk sensitivity in local currency (COP) at June 30, 2026 and December 31, 2025:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
| In millions of COP |
Assets sensitivity 100 bps | 1,227,145 | | 1,314,604 | |
Liabilities sensitivity 100 bps | 814,567 | | 870,619 | |
| Net interest income sensitivity 100 bps | 412,578 | | 443,985 | |
The chart below provides information about Group’s interest rate risk sensitivity in foreign currency (US dollars) at December 31, 2025 and June 30, 2026:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
| In thousands of USD |
| Assets sensitivity 100 bps | 69,834 | | 95,344 | |
| Liabilities sensitivity 100 bps | 84,264 | | 110,682 | |
| Net interest income sensitivity 100 bps | (14,430) | | (15,337) | |
A positive net sensitivity denotes a higher sensitivity of assets than of liabilities and implies that a rise in interest rates will positively affect the Group´s net interest income. A negative sensitivity denotes a higher sensitivity of liabilities than of assets and implies that a rise in interest rates will negatively affect the Group´s net interest income. In the event of a decrease in interest rates, the impacts on net interest income would be opposite to those described above.
Total Exposure:
As of June 30, 2026, the net sensitivity of the banking book in local currency to parallel shifts of 100 basis points in interest rates was COP 412,578, representing a decreased of COP 31,407 compared to December 2025. This decreased is mainly driven by offsetting of hedging swaps measured at fair value and to growth in the balances of Bancolombia’s wholesale savings accounts.
On the other hand, the sensitivity of the Net Interest Margin (NIM) in foreign currency to a parallel shift of 100 basis points in interest rates decreased by USD 0.9 million between December 31, 2025 and June 30, 2026, reaching USD -14.4 million. This decline was due to the reduction in exposure resulting from the sale of Banistmo.
•Assumptions and Limitations
Net interest income sensitivity analysis is based on the repricing model and considers the following key assumptions: (a) The effects of new transactions, defaults, and other events are not considered, (b); the fixed rate instruments sensitivity, includes the amounts with maturity lower than one year and assumes these will be disbursed at market interest rates and (c) changes in interest rate occur immediately and parallel in the yield curves from assets and liabilities for different maturities.
Liquidity risk
Liquidity risk refers to the possibility of not being able to efficiently and timely meet payment obligations, both expected and unexpected, present and future, without affecting the normal course of daily operations or the financial condition of
the entity. This risk occurs when there is a shortage of available liquid assets or when it is necessary to assume unusual financing costs.
During the analysis period, Cibest Corporate Group maintained sufficient liquidity levels, enabling it to comply with all internal and regulatory indicators. Likewise, liquidity monitoring did not report any alerts indicating potential risk, and liquid assets comfortably exceeded the limits established to cover the Group's requirements.
a.Liquidity risk exposure
To estimate liquidity risk, a liquidity coverage ratio is calculated to ensure that the liquid assets held are sufficient to cover potential net cash outflows over 30 days. This ratio enables the Group to meet its liquidity coverage requirements for the coming month. The liquidity coverage ratio is presented as follows:
| | | | | | | | |
| Liquidity Coverage Ratio | June 30, 2026 | December 31, 2025 |
| Net cash outflows into 30 days | 27,461,589 | 25,449,163 |
| Liquid Assets | 60,012,017 | 62,298,491 |
| Liquidity coverage ratio(1) | 218.53 | % | 244.80 | % |
The coverage ratio decreased from 244.8% in December 2025 to 218.53% in June 2026. This decrease is primarily due to the increase in Bancolombia S.A.’s liquidity requirements, resulting from higher outflows associated mainly with liquidity-related liability operations. Meanwhile, the Group’s liquid assets remained stable across all entities; however, a decrease was observed, attributable primarily to the colombian peso revaluation.
One of Cibest Corporate Group’s main guidelines is to maintain a strong liquidity position. Accordingly, the Risk Committee has approved a methodology for determining the minimum level of liquid assets, calculated based on liquidity requirements. This approach aims to ensure the proper functioning of banking and financial service activities—such as loan disbursements and deposit withdrawals—while protecting capital and taking advantage of market opportunities.
The following table shows the liquid assets held by the Group:
| | | | | | | | |
| Liquid Assets(1) | June 30, 2025 | December 31, 2025 |
| High quality liquid assets(2) | | |
| Cash | 24,838,235 | 26,625,173 |
| High quality liquid securities | 26,774,520 | 25,531,243 |
| Other Liquid Assets | | |
| Other securities(3) | 8,399,262 | 10,142,076 |
| Total Liquid Assets | 60,012,017 | 62,298,492 |
(1) Liquid Assets:Liquid assets are those that are easily realizable and form part of the entity's portfolio, or those received as collateral in active money market operations, provided they have not been subsequently used in passive money market operations and are free from any mobility restrictions. This category includes: cash, holings in open-ended collective investment funds without a minimum holding period, and negotiable investments available for sale in fixed-income securities.
(2) High-Quality Securities:These include cash and liquid assets accepted by the Central Bank for its monetary expansion and contraction operations.
(3) Other Liquid Assets:This category includes liquid assets that do not meet the quality criteria mentioned above.
Contractual maturities of financial assets and liabilities
Below are the contractual maturities of principal and interest for Cibest Corporate Group’s financial assets:
Contractual maturities of financial assets – As of June 30, 2026
| | | | | | | | | | | | | | | | | |
| Financial Assets | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| June 30, 2026 | | In millions of COP |
| Cash and balances with central bank | 27,738,329 | | | | |
| Interbank borrowings - Repurchase agreements | 3,395,565 | 220,142 | 0 | 0 | 0 |
| Financial assets investments | 1,964,935 | 18,835,770 | 16,256,629 | 5,695,063 | 1,159,361 |
| Loans and advances to customers | 14,031,182 | 95,112,464 | 102,643,113 | 56,547,927 | 102,382,971 |
| Derivative financial instruments | 81,975,984 | 12,918,600 | 3,143,154 | 1,441,283 | 1,287,698 |
| Total financial assets | 129,105,995 | 127,086,976 | 122,042,896 | 63,684,273 | 104,830,030 |
Contractual maturities of financial assets – As of December 31, 2025
| | | | | | | | | | | | | | | | | |
| Financial Assets | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| December 31, 2025 | | In millions of COP |
| Cash and balances with central bank | 24,625,309 | | | | |
| Interbank borrowings - Repurchase agreements | 9,596,081 | 465,662 | 0 | 0 | 0 |
| Financial assets investments | 3,192,341 | 25,014,014 | 10,270,300 | 5,093,609 | 2,781,776 |
| Loans and advances to customers | 16,362,824 | 98,293,420 | 108,624,480 | 64,191,216 | 120,638,340 |
| Derivative financial instruments | 72,577,065 | 9,762,318 | 2,851,659 | 1,666,495 | 1,207,055 |
| Total financial assets | 126,353,620 | 133,535,414 | 121,746,439 | 70,951,319 | 124,627,171 |
Below are the contractual maturities of principal and interest for Cibest Corporate Group’s financial liabilities:
Contractual maturities of financial liabilities – As of June 30, 2026
| | | | | | | | | | | | | | | | | |
| Financial Liabilities | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| June 30, 2026 | In millions of COP |
| Demand deposit from customers | 174,392,292 | | | | |
| Time deposits from customers | 20,891,369 | 64,324,277 | 7,065,034 | 4,580,994 | 11,427,006 |
| Interbank deposits-Repurchase agreements | 9,160,657 | 217,606 | 0 | 0 | 0 |
| Borrowings from other financial institutions | 148,273 | 3,385,102 | 2,217,400 | 1,425,661 | 2,386,909 |
| Debt securities in issue | 408,670 | 1,058,658 | 6,133,475 | 589,517 | 680,568 |
| Preferred Shares | 0 | 0 | 0 | 0 | 0 |
| Derivative financial instruments | 82,669,667 | 13,691,438 | 3,319,855 | 1,544,226 | 1,673,864 |
| Total financial liabilities | 287,670,929 | 82,677,081 | 18,735,763 | 8,140,398 | 16,168,346 |
Contractual maturities of financial liabilities – As of December 31, 2025
| | | | | | | | | | | | | | | | | |
| Financial Liabilities | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| December 31, 2025 | In millions of COP |
| Demand deposit from customers | 174,901,209 | | | | |
| Time deposits from customers | 23,783,630 | 69,380,898 | 10,062,892 | 6,665,040 | 11,764,550 |
| Interbank deposits-Repurchase agreements | 940,817 | 390,690 | 0 | 0 | 0 |
| Borrowings from other financial institutions | 928,935 | 8,296,960 | 6,639,834 | 1,330,886 | 3,347,493 |
| Debt securities in issue | 683,998 | 2,584,102 | 5,011,604 | 3,965,631 | 699,430 |
| Preferred Shares | 0 | 0 | 0 | 0 | 583,477 |
| Derivative financial instruments | 71,016,919 | 10,059,979 | 2,938,120 | 1,843,291 | 2,310,372 |
| Total financial liabilities | 272,255,508 | 90,712,629 | 24,652,450 | 13,804,847 | 18,705,321 |
Financial guarantees
Below are the financial guarantees:
| | | | | | | | | | | | | | | | | |
| June 30, 2026 | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| In millions of COP |
| Financial guarantees | 1,322,179 | 3,728,578 | 1,276,537 | 715,602 | 59,843 |
| | | | | | | | | | | | | | | | | |
| December 31, 2025 | 0 – 30 days | 31 days – 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 years |
| In millions of COP |
| Financial guarantees | 759,832 | 3,860,361 | 1,249,931 | 632,287 | 52,414 |
CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2026, AND 2025 AND FOR THE THREE-MONTH PERIODS FROM APRIL 1 TO JUNE 30, 2026 AND 2025
CONDENSED SEPARATE INTERIM STATEMENT OF FINANCIAL POSITION
GRUPO CIBEST S.A.
As of June 30, 2026 and December 31, 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | |
| Note | June 30, 2026 | December 31, 2025 |
ASSETS | | | |
Cash and cash equivalents | 3 | 6,674,744 | 116,820 |
Amortized cost investments | 4 | - | 1,331,390 |
Equity financial instruments | 4.1 | 4,422 | 4,384 |
Investment financial instruments | | 4,422 | 1,335,774 |
Investment in subsidiaries | 5 | 36,268,378 | 35,406,058 |
Investment in associates and joint ventures | 6 | 57,796 | 63,911 |
Asset held for sale | 7 | - | 5,263,986 |
Other assets | 8 | 140,309 | 539 |
TOTAL ASSETS | | 43,145,649 | 42,187,088 |
LIABILITIES AND EQUITY | | | |
LIABILITIES | | - | - |
Borrowings from other financial institutions | 9 | 818,283 | 1,412,752 |
Preferred shares | 10 | 554,091 | 583,477 |
Current tax | | 36,064 | 16,720 |
Deferred tax, net | 11.5 | 26,487 | 12,572 |
Other liabilities | 12 | 3,314,494 | 4,303 |
TOTAL LIABILITIES | | 4,749,419 | 2,029,824 |
EQUITY | | | |
Share capital | 13 | 480,914 | 480,914 |
Additional paid-in capital | | 37 | 37 |
Appropriated reserves | 14 | 9,587,714 | 10,663,954 |
Retained earnings | | 22,087,152 | 22,132,533 |
Net profit | | 4,080,615 | 3,704,009 |
Accumulated other comprehensive income, net of tax | | 2,159,798 | 3,175,817 |
TOTAL EQUITY | | 38,396,230 | 40,157,264 |
TOTAL LIABILITIES AND EQUITY | | 43,145,649 | 42,187,088 |
The accompanying notes form an integral part of these separate financial statements.
CONDENSED SEPARATE INTERIM STATEMENT OF INCOME
GRUPO CIBEST S.A.
For the six-month periods ended June 30, 2026, and 2025
and for the three-month periods from April 1 to June 30, 2026 and 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | | | | | | | |
| | Accumulated | Quarterly |
| Note | 2026 | 2025 | 2026 | 2025 |
| | | | | |
Equity method income from subsidiaries | 15.1 | 4,197,262 | | 3,594,214 | | 2,697,665 | | 3,594,214 | |
Equity method of associates and joint ventures | 15.1 | 3,843 | | 6,494 | | 2,413 | | 6,494 | |
Equity instruments | 15.1 | 160 | | - | | 108 | | (9) | |
Dividends | | - | | 5 | | - | | 5 | |
Net income from equity method investments | | 4,201,265 | | 3,600,713 | | 2,700,186 | | 3,600,704 | |
Other operating income | 15.2 | 53,887 | | 15,706 | | 29,446 | | 15,706 | |
Total income, net | | 4,255,152 | | 3,616,419 | | 2,729,632 | | 3,616,410 | |
Operating expenses | | | | | |
Salaries and employee benefits | | (6,186) | | (828) | | (3,092) | | (828) | |
Interest expense | 16.1 | (59,486) | | (43,248) | | (26,773) | | (43,248) | |
Administrative and general expenses | 16.2 | (44,386) | | (14,820) | | (3,617) | | (14,820) | |
Recovery of investment impairment at amortized cost | | 181 | | (380) | | 69 | | (380) | |
Wealth tax | 11.2 | (14,891) | | - | | - | | - | |
Operating expenses, net | | (124,768) | | (59,276) | | (33,413) | | (59,276) | |
Profit before taxes from continuing operations | | 4,130,384 | | 3,557,143 | | 2,696,219 | | 3,557,134 | |
Income tax from continuing operations | 11 | (14,069) | | (8,298) | | (15,799) | | (8,298) | |
Net profit from continuing operations | | 4,116,315 | | 3,548,845 | | 2,680,420 | | 3,548,836 | |
Net loss from discontinued operations | 20 | (35,700) | | - | | (84,259) | | - | |
Net profit | | 4,080,615 | | 3,548,845 | | 2,596,161 | | 3,548,836 | |
The accompanying notes form an integral part of these separate financial statements.
CONDENSED SEPARATE INTERIM STATEMENT OF COMPREHENSIVE INCOME
GRUPO CIBEST S.A.
For the six-month periods ended June 30, 2026, and 2025
and for the three-month periods from April 1 to June 30, 2026 and 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | | | | | | | |
| | Accumulated | Quarterly |
| Note | 2026 | 2025 | 2026 | 2025 |
| | | | | |
Net income | | 4,080,615 | 3,548,845 | 2,596,161 | 3,548,836 |
Other comprehensive income that will not be reclassified to profit or loss | | | | | |
Gain (loss) on valuation of financial instruments | 4.1 | 17 | 1,703 | (50) | 1,703 |
Related tax | 11.4 | 1 | (443) | 10 | (443) |
Net income after taxes | | 18 | 1,260 | (40) | 1,260 |
Other comprehensive income to be reclassified to to profit or loss | | | | | |
Effects of corporate restructuring transactions | | - | 9,372,589 | - | 9,372,589 |
Loss on investments in subsidiaries accounted for using the equity method (1) | 5 | (129,948) | (569,359) | (82,851) | (569,359) |
(Loss) Income from Investments in Associates and Joint Ventures Accounted for Using the Equity Method | 6 | (852) | (48) | 85 | (48) |
Foreign exchange differences (2) | | (4,880,907) | | (222,229) | | (4,560,506) | | (222,229) | |
Net amount after tax | | (5,011,707) | | 8,580,953 | | (4,643,272) | | 8,580,953 | |
Effects of hedge accounting | | | | | |
Effects of merger and spin-off transactions and hedge of a net investment in a foreign operation | | - | | (4,028,670) | | - | | (4,028,670) | |
Gain on hedge of net investment in a foreign operation (3) | | 3,976,366 | | 54,777 | | 3,946,947 | | 54,777 | |
Income tax (4) | 11.4 | 19,304 | | (19,172) | | 29,601 | | (19,172) | |
Net of tax amount | | 3,995,670 | | (3,993,065) | | 3,976,548 | | (3,993,065) | |
Total other comprehensive income to be reclassified to profit or loss | | (1,016,037) | | 4,587,888 | | (666,724) | | 4,587,888 | |
Other comprehensive income, net of taxes | | (1,016,019) | | 4,589,148 | | (666,764) | | 4,589,148 | |
Total comprehensive income | | 3,064,596 | | 8,137,993 | | 1,929,397 | | 8,137,984 | |
The variation corresponds mainly to the completion of the sale of Banistmo S.A., which generated significant variations in the following items as of June 30, 2026:
(1)Equity method effect related to Banistmo of COP (41,440), and other subsidiaries of COP 88,508, mainly related to Bancolombia S.A.
(2)Foreign exchange differences associated with Banistmo amounted to COP (4,277,693). In addition, foreign exchange differences associated with subsidiaries amounted to COP (603,214), arising mainly from Banagrícola S.A. and Grupo Agromercantil Holding.
(3)Hedge of a net investment in a foreign operation associated with Banistmo, amounting to COP 3,903,903, and current hedge associated with Banagrícola S.A., amounting to COP 72,463.
(4)Tax related to the hedge of a net investment in a foreign operation associated with Banistmo, amounting to COP 44,666, and tax related to the current hedge associated with Banagrícola S.A., amounting to COP (25,362).
The accompanying notes form an integral part of these separate financial statements.
CONDENSED SEPARATE INTERIM STATEMENT OF CHANGES IN EQUITY
GRUPO CIBEST S.A.
For the six-month periods ended June 30, 2026, and 2025
(Stated in millions of Colombian pesos, except per share amounts stated in pesos)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Legal reserve | Accumulated other comprehensive income | | | |
| Note | Share capital | Additional
paid in capital | Appropriated reserves | Discretionary reserve | Reserve for share repurchase | Total reserves | Financial instruments | Equity method surplus | Total other comprehensive income, net | Retained earnings | Profit for the year | Total equity |
| Shareholders’ equity as of January 1, 2026 | | 480,914 | | 37 | | 8,578,816 | | 1,166,556 | | 918,582 | | 10,663,954 | | 1,337 | | 3,174,480 | | 3,175,817 | | 22,132,533 | | 3,704,009 | | 40,157,264 | |
| Carry-over of prior-year results | | - | | - | | - | | - | | - | | - | | - | | - | | - | | 3,704,009 | | (3,704,009) | | - | |
| Dividend related to 509,103,132 ordinary shares and 444,111,532 preferred non-voting dividend shares, subscribed, paid-in and outstanding as of December 31, 2025, at COP 4,512 per share, payable as follows: COP 1,128 per share per quarter, on April 1, July 1, October 1, and December 29, 2026. | | - | | - | | - | | - | | - | | - | | - | | - | | - | | (4,243,930) | | - | | (4,243,930) | |
Release of reserves
| 13 | - | | - | | (3,134,348) | | (1,166,556) | | - | | (4,300,904) | | - | | - | | - | | 4,300,904 | | - | | - | |
| Reserve for capital strengthening and future growth | 13 | - | | - | | - | | 3,760,983 | | - | | 3,760,983 | | - | | - | | - | | (3,760,983) | | - | | - | |
| Reserve to execute the repurchase of shares | 13 | - | | - | | (431,418) | | - | | 431,418 | | - | | - | | - | | - | | - | | - | | - | |
| Treasury share repurchase | 13 | - | | - | | - | | - | | (536,319) | | (536,319) | | - | | - | | - | | - | | - | | (536,319) | |
| By the equity method in subsidiaries, associates and joint ventures | 5, 6 | - | | - | | - | | - | | - | | - | | - | | - | | - | | (45,381) | | - | | (45,381) | |
| Profit for the period | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | 4,080,615 | | 4,080,615 | |
| Other comprehensive income | | - | | - | | - | | - | | - | | - | | 18 | | (1,016,037) | | (1,016,019) | | - | | - | | (1,016,019) | |
| Equity as of June 30, 2026 | | 480,914 | | 37 | | 5,013,050 | | 3,760,983 | | 813,681 | | 9,587,714 | | 1,355 | | 2,158,443 | | 2,159,798 | | 22,087,152 | | 4,080,615 | | 38,396,230 | |
The accompanying notes form an integral part of these separate financial statements.
CONDENSED SEPARATE INTERIM STATEMENT OF CHANGES IN EQUITY
GRUPO CIBEST S.A.
For the six-month periods ended June 30, 2026, and 2025de 2
(Stated in millions of Colombian pesos, except per share amounts stated in pesos)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Appropriated reserves | | Accumulated other comprehensive income | | | | |
| Note | Share capital | Additional
paid in capital | Appropriated reserves | Discretionary reserve | Reserve for share repurchase | Total reserves | Financial instruments | Equity method surplus | Total other comprehensive income, net | Retained earnings | Profit for the year | Total equity |
Equity as of January 1, 2025 | | - | | 37 | | - | | - | | - | | - | | - | | - | | - | | - | | 1 | | 38 | |
| Effects of the partial absorption-type spin-off from Bancolombia S.A. to Grupo Cibest S.A. | 1 | 480,914 | | - | | 9,928,816 | | 1,166,556 | | - | | 11,095,372 | | 1,333 | | 5,343,919 | | 5,345,252 | | 20,188,835 | | 2,338,024 | | 39,448,397 | |
| Reserve for equity strengthening and future growth. | 13 | - | | - | | (1,350,000) | | - | | 1,350,000 | | - | | - | | - | | - | | - | | - | | - | |
| Equity method from participation in subsidiaries, associates and joint ventures. | 5, 6 | - | | - | | - | | - | | - | | - | | - | | (756,031) | | (756,031) | | 1,959,185 | | - | | 1,203,154 | |
| Income for the year | | - | | - | | - | | - | | - | | - | | - | | - | | - | | - | | 1,210,820 | | 1,210,820 | |
| Other comprehensive income | | - | | - | | - | | - | | - | | - | | (73) | | - | | (73) | | - | | - | | (73) | |
| Assets as of June 30, 2025 | | 480,914 | | 37 | | 8,578,816 | | 1,166,556 | | 1,350,000 | | 11,095,372 | | 1,260 | | 4,587,888 | | 4,589,148 | | 22,148,020 | | 3,548,845 | | 41,862,336 | |
The accompanying notes form an integral part of these separate financial statements.
CONDENSED SEPARATE INTERIM STATEMENT OF CASH FLOWS
GRUPO CIBEST S.A.
As of June 30, 2026 and 2025
(Stated in millions of Colombian pesos)
| | | | | | | | | | | |
| Nota | June 30, 2026 | Junio 30, 2025 |
Net income | | 4,080,615 | 3,548,845 |
Adjustments to reconcile net income to net cash: | | | |
Equity method – subsidiaries | 15.1 | (4,197,262) | (3,594,214) |
Equity method – associates and joint ventures | 15.1 | (3,843) | (6,494) |
Valuation of equity instruments | 15.1 | (160) | - |
Realization of gains or losses on discontinued operations | | 77,482 | - |
Interest income | 15.2 | (41,851) | (14,340) |
Foreign exchange differences | | 7,523 | (624) |
Financial obligations interest | 16.1 | 31,898 | 14,598 |
Preferred share interest | 16.1 | 27,588 | 28,650 |
Income tax | | 14,069 | 8,298 |
Impairment of investments | | (181) | 380 |
Changes in operating assets and liabilities: | | | |
Increase in other assets | | (4,860) | (192) |
Increase in other liabilities | | 18,720 | 672 |
Income tax paid | | (10,560) | (110) |
Net cash used in operating activities | | (822) | (14,531) |
Cash flows from investment activities | | | |
Opening of investments at amortized cost | | (4,565,000) | (1,495,518) |
Opening of a liquidity income fund | | (396,926) | - |
Cash capitalizations in investments in subsidiaries | | (175,809) | (26,846) |
Cancellation of investments at amortized cost | | 5,887,247 | 14,000 |
Interest received from investments at amortized cost | | 397,065 | - |
Withdrawals from Fondo Renta Liquidez | | 51,175 | 121 |
Dividends received | | 1,617,855 | 695 |
Sale of assets held for sale | | 4,834,474 | - |
Net cash provided by (used in) investing activities | | 7,650,081 | (1,507,548) |
Cash flow from financing activities: | | | |
Payment on foreign currency financial liability | | (552,552) | - |
Share buyback | 14 | (536,319) | - |
Dividends paid | | (1,772) | - |
Net cash used in financing activities | | (1,090,643) | - |
Increase in cash and cash equivalents, before the effect of exchange rate changes | | 6,558,616 | (1,522,079) |
Cash received from spin-off | | - | 1,527,432 |
Effect of exchange rate variations on cash and cash equivalents | | (692) | 62 |
Increase in cash | | 6,557,924 | 5,415 |
Cash at the beginning of the period | | 116,820 | - |
Cash at the end of the period | | 6,674,744 | 5,415 |
The accompanying notes form an integral part of these separate financial statements.
NOTES TO THE SEPARATE FINANCIAL STATEMENTS
GRUPO CIBEST S.A.
All amounts are expressed in millions and billions of Colombian pesos, where applicable.
Foreign currency figures are expressed in thousands of the respective currency.
NOTE 1. REPORTING ENTITY
Grupo Cibest S.A., hereinafter 'Cibest', is a listed issuer on the Colombian Stock Exchange (BVC), as well as on the New York Stock Exchange (NYSE), since 2025. Cibest main location is in Medellín (Colombia), main address Carrera 48 # 26-85, Avenida Los Industriales. The company was constituted under the corporate name Grupo Cibest S.A. according to public deed number 10,594 dated September 25, 2024, issued by Notary Office No. 15 of Medellín.
The duration contemplated in the bylaws is until December 8, 2144; however, it may be dissolved or extended before that date.
Cibest’s corporate purpose is to invest in movable and immovable property, particularly in shares, equity interests, or any other type of participation in Colombian and/or foreign companies or entities, as well as to manage such investments.
Cibest’s bylaws are set out in Public Deed No. 386 dated May 12, 2025, executed before Notary Public No. 30 of Medellín, through which the partial spin‑off agreement was formalized. Under this agreement, Bancolombia S.A. (“Bancolombia”), as the spun-off entity, transferred a portion of its assets to Cibest, as the beneficiary entity, without being dissolved.
On May 16, 2025, the market was informed of the completion of the corporate transactions aimed at evolving the group’s corporate structure. As a result, Grupo Cibest became the parent holding company of all financial entities and other subsidiaries, including Bancolombia.
As a result of the completion of these transactions, Bancolombia’s shareholders (excluding Cibest) became shareholders of Cibest. Cibest issued, on their behalf, the same number and class of shares (common shares and preferred dividend shares without voting rights), maintaining the same terms and conditions and ownership percentages they held in Bancolombia. Consequently, their shares in Bancolombia (excluding those held by Cibest) were cancelled. Holders of Bancolombia American Depositary Receipts (“ADR's”) received equivalent ADR's of Cibest, and their Bancolombia ADR's were cancelled.
Cibest’s common shares and preferred shares without voting rights are listed on the Colombian Stock Exchange under the symbols “CIBEST” and “PFCIBEST”, respectively. The ADRs representing preferred shares without voting rights are listed on the New York Stock Exchange under the symbol “CIB”, the same symbol previously used for Bancolombia’s ADRs prior to the corporate restructuring.
Cibest’s common shares, preferred dividend shares without voting rights, and ADR's became eligible for trading as of Monday, May 19, 2025.
Cibest through its subsidiaries (collectively referred to as the “Cibest Group”) has international presence in the United States, Puerto Rico, Panamá, Guatemala, Bermuda, and El Salvador.
At the Ordinary Meeting of the General Shareholders' Assembly of Cibest held on March 24, 2026, the termination of the share buyback program for Cibest's common shares, non-voting preferred shares, and American Depositary Receipts (ADRs), approved by the Shareholders' Assembly on June 9, 2025, was approved. Likewise, the implementation of a new share repurchase program for common shares, preferred dividend shares without voting rights, and Cibest’s ADRs was approved, for an amount of up to one trillion three hundred fifty billion Colombian pesos (COP 1,350,000 million), for a term of up to three (3) years, counted from the approval of the Repurchase Program regulations by the Board of Directors. For more information on the progress of the execution of the repurchase program carried out up to June 30, 2026, see Note 14. Appropriated reserves
Other corporate matters:
With regard to Cibest's subsidiaries reports that, on June 30, 2026, Grupo Cibest S.A. (Grupo Cibest) finalized the sale of Banistmo S.A. (Banistmo) initially announced to the market on December 18, 2025.
As a result of the completion of the sale, Grupo Cibest transferred 100% of the shares of Banistmo to Banco La Hipotecaria S.A. (La Hipotecaria), a subsidiary of Inversiones Cuscatlán Centroamérica S.A. (Inversiones Cuscatlán), in exchange for the previously agreed and announced sale price. The transaction price was paid with funds from La Hipotecaria and an international syndicated loan.
As a result, Banistmo ceased to be a subsidiary of Grupo Cibest and became wholly owned by Grupo Inversiones Cuscatlán. Grupo Cibest reports that it has not entered into any agreements with Inversiones Cuscatlán regarding the election of directors or other material corporate matters.
As of January 2, 2026, a company called Estrategias Cibest S.A.S. was incorporated, whose corporate purpose is to carry out any lawful economic activity, including, among others, investment in movable and immovable property, and in particular, investment in shares, quotas or equity interests, or any other participation title in Colombian and/or foreign companies or entities, and the management of said investments. Cibest owns 100% of the shares of this company.
As of June 30, 2026, Cibest has 22 employees.
NOTE 2. MATERIAL ACCOUNTING POLICIES
A. Basis of preparation of the condensed separate interim financial statements
The condensed separate interim financial statements for the cumulative six months ended on June 30, 2026 are prepared in accordance with International Accounting Standard (IAS) 34: Interim Financial Reporting, issued by the International Accounting Standards Board (IASB). These financial statements have not been audited.
These These condensed interim financial statements, given their interim nature, do not include all the information and disclosures normally required for full annual financial statements and should therefore be read in conjunction with Cibest´s separate financial statements for the year ended on December 31, 2025, which were prepared in accordance with the Accounting and Financial Reporting Standards (NCIF) accepted in Colombia, based on International Financial Reporting Standards (IFRS) issued by the IASB, as well as the interpretations issued by the International Financial Reporting Interpretations Committee (IFRS IC), pursuant to the Technical Regulatory Framework issued through Decree 2420 of 2015 and its amendments, issued by the Ministry of Finance and Public Credit and the Ministry of Commerce, Industry and Tourism.
Preparation of the condensed separate interim financial statements on a going concern basis
Management has assessed the Cibest’s ability to continue as a going concern and confirms that the Company has adequate resources, liquidity and solvency to continue operating the business for the foreseeable future, which is at least 12 months from the end of the reporting period. Based on the liquidity position at the date of authorization of the condensed separate interim financial statements, Management maintains a reasonable expectation that the application of the going concern assumption remains appropriate.
These condensed separate interim financial statements have been prepared on a going concern basis and do not include any adjustments to the carrying amounts or classification of assets and liabilities that would be necessary if the going concern assumption were not applicable.
In Management’s opinion, these condensed separate interim financial statements reflect all material adjustments considered necessary in the circumstances and based on the best information available as of June 30, 2026, and the date of their authorization and issuance, for a fair representation of financial results for the interim periods presented.
The results of operations for the cumulative six months ended on June 30, 2026 and 2025 are not necessarily indicative of the results for the full year. Cibest considers that the disclosures are sufficient to ensure that the information presented is not misleading or biased. For this reason, the condensed separate interim financial statements include selected explanatory notes to explain events and transactions that are important to the users of the financial statements or represent significant materiality in understanding the changes in the Cibest’s financial position and performance since the last annual audited financial statements.
Assets and liabilities are measured at cost or amortized cost, except for certain financial assets and liabilities that are measured at fair value. These financial assets and liabilities correspond to those designated as measured at fair value through profit or loss and equity instruments designated at fair value through other comprehensive income (OCI) in equity. Likewise, recognized assets and liabilities designated as hedged items in a fair value
hedge are adjusted in the carrying amount for changes in fair value attributable to the hedged risk. Additionally, investments in subsidiaries, associates and joint ventures are measured using the equity method.
The condensed separate interim financial statements are presented in Colombian pesos (COP) and figures are stated in millions or billions (when indicated), except for dividends per share and the market exchange rate, which are presented in Colombian pesos, while foreign currencies (dollars, euros, pounds, etc.) are stated in thousands.
The condensed separate interim financial statements constitute the basis for regulatory compliance, the determination and distribution of dividends, and other appropriations approved by the shareholders.
B. Use of estimates and judgments
The preparation of the condensed separate interim financial statements requires Cibest's Management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses.
These estimates and assumptions are reviewed on an ongoing basis. Changes in accounting estimates are recognized in the period in which the estimate is revised if the change affects only that period, or in the period of the revision and subsequent periods, if the changes affects both current and future periods.
For the period ended on June 30, 2026, there were not significant changes in the basis used to determine the significant estimates and judgments made by Management in applying Cibest's accounting policies, compared with those applied in the separate financial statements for the year ended on December 31, 2025.
C. Material accounting policies and recently issued accounting pronouncements
The same accounting policies and methods of calculation applied in the separate financial statements for the year ended on December 31, 2025, continue to be applied in these condensed separate interim financial statements, except for the adoption of new standards, improvements and interpretations effective from January 1, 2026, as shown below:
Recently issued accounting pronouncements not yet adopted in Colombia
Accounting standards under assessment by Management
Amendments to IAS 28: Fair value option for investments in associates and joint ventures
On June 26, 2026, the IASB issued targeted amendments related to the use of the fair value option as an exemption from applying the equity method for certain eligible entities. These amendments are intended to clarify the scope of the entities that may elect to measure their investments in associates and joint ventures at fair value through profit or loss, instead of applying the equity method. These amendments include:
-The clarification that an entity similar to a venture capital organization, mutual fund or investment trust includes an entity whose main business activity is investing in particular types of assets, as established in IFRS 18.
-The confirmation that eligibility to apply the fair value option must be assessed based on the entity that directly holds the investment in the associate or joint venture.
-The reduction of diversity in practice regarding the interpretation of the concept of “similar entity”, promoting a more consistent application of the requirements of IAS 28.
-The alignment of the IAS 28 criteria with the new classification and presentation requirements introduced by IFRS 18, improving the comparability of financial information.
These amendments will be effective when an entity first applies IFRS 18 Presentation and Disclosure in Financial Statements, for annual reporting periods beginning on or after January 1, 2027, with earlier application permitted.
Management is assessing the impact that these amendments will have on Cibest's separate financial statements and disclosures.
IFRS 20 Regulatory Assets and Regulatory Liabilities
In May 2026, the Board issued IFRS 20 Regulatory Assets and Regulatory Liabilities, which establishes the criteria for the recognition, measurement, presentation and disclosure of the effects arising from rate regulation schemes. Its application will affect the financial statements of entities subject to rate regulation, such as companies that provide electricity, water and gas services, mainly in the following aspects:
-The recognition of regulatory assets and regulatory liabilities arising from differences in timing between costs and income recognized for accounting purposes and those recoverable or refundable through future rates.
-The measurement of those assets and liabilities considering the conditions established in the applicable regulatory frameworks.
-The incorporation of new presentation requirements in the financial statements, with the objective of improving transparency regarding the effects of rate regulation.
-The expansion of disclosures related to the nature, risks and financial effects of the regulatory mechanisms to which the entity is subject.
-Better comparability among regulated entities, by establishing a uniform accounting model for differences arising from rate regulation.
IFRS 20 will be effective for annual reporting periods beginning on or after January 1, 2029, with earlier application permitted.
This new standard was analyzed by Management, with no impact identified on Cibest’s condensed separate interim financial statements and disclosures, given that the entity does not carry out activities subject to rate regulation schemes that give rise to the recognition of regulatory assets or regulatory liabilities within the scope of the standard.
IFRS 18 Presentation and Disclosure in Financial Statements
In April 2024, the Board issued IFRS 18 Presentation and Disclosure in Financial Statements to replace IAS 1 Presentation of Financial Statements. IFRS 18 introduces
three sets of new requirements to improve the way companies report their financial performance and give investors a better basis for analyzing and comparing companies:
-Improved comparability in the statement of income: IFRS 18 introduces three defined categories for income and expenses (operating, investing and financing) to improve the structure of the statement of income, and requires all companies to provide new defined subtotals, including operating profit.
-Enhanced transparency of management-defined performance measures: The new standard requires companies to disclose explanations of those company-specific measures that are related to the statement of income, referred to as management-defined performance measures.
-More useful grouping of information in the financial statements: IFRS 18 sets out enhanced guidance on how to organize information and whether to provide it in the primary financial statements or in the notes. In addition, the standard requires companies to provide more transparency about operating expenses, helping investors to find and understand the information they need.
The IASB has proposed that this standard be effective for annual reporting periods beginning on or after January 1, 2027, with early application permitted. As of the reporting date, this standard has not yet been incorporated into the accounting framework accepted in Colombia.
Management is assessing the impact that this standard will have on Cibest's separate financial statements and disclosures.
Accounting standards assessed in prior periods
The following accounting pronouncements were assessed by Management, and no impacts were identified on Cibest’s separate financial statements and disclosures:
-IAS 12 - International tax reform – Pillar two model rules.
-IFRS 16 - Lease liability in a sale and leaseback.
-Amendments to the classification and measurement of financial instruments – Amendments to IFRS 9 and IFRS 7.
-Annual improvements to IFRS Accounting Standards – Volume 11.
NOTE 3. CASH AND CASH EQUIVALENTS
For purposes of the statement of cash flow and the statement of financial position, the following assets are considered as cash and cash equivalents:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Cash | | |
Deposits from banks and other private financial institutions (1) | 6,674,744 | | 116,820 | |
Total cash and cash equivalents | 6,674,744 | | 116,820 | |
(1) The increase corresponds mainly to the cash received from the sale of Banistmo S.A. to Grupo de Inversiones Cuscatlán and the maturity of a virtual investment with Bancolombia S.A., operations carried out in June 2026.
NOTE 4. INVESTMENT FINANCIAL ASSETS
Cibest’s portfolio of financial instruments and derivatives as of June 30, 2026 and December 31, 2025 is described below:
| | | | | | | | |
investment financial assets and derivative financial instruments | June 30, 2026 | December 31, 2025 |
In millions of COP |
Investments at amortized cost (1) | - | 1,331,390 |
Equity instruments (2) | 4,422 | 4,384 |
Total financial investment instruments | 4,422 | 1,335,774 |
(1)As of June 30, 2026, the variation corresponds to the maturity of virtual investments held with Bancolombia S.A.; as of December 31, 2025, the balance corresponds to investments in fixed-term deposits with fixed returns held in Bancolombia.
(2)See Note 4.1. Investments in equity securities.
4.1. Investments in equity securities
The detail of investments in equity securities is as follows:
| | | | | | | | |
Equity financial instruments | June 30, 2026 | December 31, 2025 |
In millions of COP |
Equity investments at fair value through profit or loss | 145 | 124 |
Investment Fund Renta Liquidez | 145 | 124 |
Equity instruments measured at fair value through OCI | 4,277 | 4,260 |
Fiduciary Rights P.A. Cadenalco 75 Years | 4,277 | 4,260 |
Total equity financial instruments | 4,422 | 4,384 |
As of June 30, 2026, no impairment losses were recognized on equity instruments.
These investments are considered strategic for Cibest; therefore, there are no plans to dispose of them in the near term.
The valuation effect on the statement of comprehensive income, corresponding to equity financial instruments, is COP 17 as of June 30, 2026. See Condensed Separate Interim Statement Of Income – Gain (loss) on valuation of financial instruments.
4.2. Hedge of a net investment in a foreign operation
Cibest applies hedge accounting in accordance with IFRS 9, under the hedge type of a net investment in a foreign operation.
Hedging of the Investment in Banagrícola S.A.
As of December 30, 2025, Cibest designated USD 359,000 in financial liabilities as a hedging instrument. The purpose of this hedging relationship is to protect Cibest against exchange rate risk (USD/COP) arising from a portion of its net investment in Banagrícola, an El Salvador-based company whose financial statements are denominated in USD.
During the first half of 2026, prepayments totaling USD 125,000 were made on working capital loans. The remaining principal in the hedging instruments is USD 234,000, which reflects the new carrying amount.
Additionally, in March 2026, a renewal negotiation was carried out with Bancolombia Panama for the loans that made up the hedging instrument, generating a new term and rate for the same amount, so the conditions do not differ substantially from the previous loan, allowing the hedging relationship to continue.
The carrying amount and the hedged portion of the investment are listed below:
| | | | | | | | |
Banagrícola S.A. | June 30, 2026 | December 31, 2025 |
In thousands of USD |
Net investment hedged in the hedging relationship | 234,000 | | 359,000 | |
Net investment not covered | 1,079,676 | | 1,089,302 | |
Total net investment Banagrícola S.A. | 1,313,676 | | 1,448,302 | |
The following is a breakdown of the designated hedging instruments used to hedge a net investment in a foreign operating unit:
As of June 30, 2026
| | | | | | | | | | | | | | |
Financial liabilities in thousands of USD, designated as hedging instruments |
Opening date | Due date | E.A rate | Capital balance | Capital designated as hedging instrument |
18/03/2022 | 17/09/2027 | 5.59% | 234,000 | | 234,000 | |
Total financial liabilities | 234,000 | | 234,000 | |
(1) As of June 30, 2026, the amount of these obligations amounted to COP 805,154. For further information on obligations to correspondent banks, see Note 9. Borrowings from other financial institutions
As of December 31, 2025
| | | | | | | | | | | | | | |
Financial liabilities in thousands of USD, designated as hedging instruments |
Opening date | Due date | E.A rate | Capital balance | Capital designated as hedging instrument |
18/03/2022 | 17/03/2026 | 5.85% | 234,000 | | 234,000 | |
25/03/2022 | 24/03/2026 | 5.84% | 100,000 | | 100,000 | |
28/03/2022 | 27/03/2026 | 5.79% | 25,000 | | 25,000 | |
Total financial liabilities | | 359,000 | | 359,000 | |
Measuring effectiveness and ineffectiveness
A hedge is considered effective if, at the beginning of the period and in subsequent periods, the changes in fair value or cash flows attributable to the hedged risk during the period for which the hedge has been designated are offset.
Cibest has documented the evidence of effectiveness of the hedge of the net foreign investment based on the portion of the net investment hedged at the beginning of the hedging relationship amounting to USD 234,000. The hedge is considered perfectly effective since the critical terms and risks of the obligations that serve as hedging
instruments are identical to those of the primary hedged position. The effectiveness of the hedge is measured before taxes.
Gains or losses on translation of Banagrícola's financial statements are recognized in OCI. Consequently, the exchange difference related to the translation of debt securities issued and borrowings from correspondent banks is recognized directly in OCI.
NOTE 5. INVESTMENT IN SUBSIDIARIES
The detail of investments in subsidiaries as of June 30, 2026 and December 31, 2025 is as below:
| | | | | | | | | | | | | | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Company name | Main activity | Country | % of ownership | Investment value | % of ownership | Investment value |
Bancolombia S.A. | Financial services | Colombia | 94.50 | % | 27,127,970 | 94.50% | 26,029,103 | |
Banagrícola S.A. and Subsidiaries | Holding | El Salvador | 99.17 | % | 3,714,981 | 99.17% | 4,092,596 | |
Grupo Agromercantil Holding S.A. | Holding | Guatemala | 100.00 | % | 2,930,521 | 100.00% | 3,157,573 | |
Inversiones Cibest S.A.S. | Investment | Colombia | 100.00 | % | 1,407,107 | 100.00% | 1,226,484 | |
Renting Colombia S.A.S. | Operating lease | Colombia | 94.58 | % | 379,261 | 94.58% | 347,338 | |
Estrategias Cibest S.A.S. (1) | Holding | Colombia | 100.00 | % | 155,477 | -% | - | |
Negocios Digitales Colombia S.A.S. | Payment solutions | Colombia | 100.00 | % | 106,737 | 100.00% | 105,679 | |
Cibest Panamá Assets S.A. | Holding | Panama | 100.00 | % | 90,383 | 100.00% | 94,723 | |
Wompi S.A.S. | Technology services | Colombia | 100.00 | % | 88,987 | 100.00% | 80,537 | |
Cibest Investment Management S.A.S. | Investment | Colombia | 100.00 | % | 62,284 | 100.00% | 54,945 | |
Valores Cibest S.A.S. | Investment | Colombia | 100.00 | % | 62,285 | 100.00% | 54,945 | |
Cibest Inversiones Estratégicas S.A.S. | Investment | Colombia | 100.00 | % | 62,285 | 100.00% | 54,945 | |
Wenia Ltd. | Technology services | Bermudas | 100.00 | % | 41,832 | 100.00% | 47,578 | |
Nequi S.A. Finance Company | Financial services | Colombia | 94.99 | % | 38,268 | 94.99% | 59,612 | |
Total investment in subsidiaries | | | | 36,268,378 | | 35,406,058 |
(1) In March 2026, Estrategias Cibest S.A.S. was incorporated.
The following tables set forth the changes of the Cibest's investments in subsidiaries as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
June 30, 2026 | Bancolombia S.A. | Banagricola S.A. | Grupo Agromercantil Holding S.A. | Inversiones Cibest S.A.S. | Renting Colombia S.A.S. | Estrategias Cibest S.A.S | Negocios Digitales Colombia S.A.S. | Others | Total |
In millions of COP |
Initial balance | 26,029,103 | 4,092,596 | 3,157,573 | 1,226,484 | 347,338 | - | 105,679 | 447,285 | 35,406,058 |
Equity method through income statement (1) | 3,579,557 | 227,261 | 179,571 | 186,752 | 31,923 | 5,477 | 754 | (14,033) | 4,197,262 |
OCI (Equity method) | (76,555) | (369) | (7,437) | (3,970) | - | - | 309 | (486) | (88,508) |
Foreign exchange difference | - | (335,719) | (256,418) | - | - | - | - | (11,077) | (603,214) |
Purchases / capitalizations (2) | - | - | - | - | - | 150,000 | - | 25,809 | 175,809 |
Dividends | (2,362,500) | (268,788) | (142,710) | - | - | - | - | - | (2,773,998) |
Profit for previous years | (41,635) | - | (58) | (2,159) | - | - | (5) | (1,174) | (45,031) |
| | | | | | | | | |
Ending balance | 27,127,970 | 3,714,981 | 2,930,521 | 1,407,107 | 379,261 | 155,477 | 106,737 | 446,324 | 36,268,378 |
(1) See Note 15.1. Net income from equity method investments.
(2) During the year 2026, capitalizations have been made for the following entities: Estrategias Cibest S.A.S for COP 150,000, Wenia Ltd. COP 21,522, Cibest Panamá Assets S.A. COP 4,287.
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
December 31, 2025 | Bancolombia S.A. | Banistmo S.A. (1) | Banagricola S.A. | Grupo Agromercantil Holding S.A. | Inversiones Cibest S.A.S. | Renting Colombia S.A.S. | Negocios Digitales Colombia S.A.S. | Others | Total |
In millions of COP |
Initial balance | | | | | | | | | |
Value received from the partial spin‑off from Bancolombia S.A. to Grupo Cibest S.A. | 21,625,229 | 11,125,504 | 4,676,277 | 3,465,595 | - | 324,563 | 102,321 | 129,648 | 41,449,137 |
Standardization from Super to Full standard | 1,857,038 | - | - | - | - | - | - | 11,490 | 1,868,528 |
Equity method through income statement (2) | 3,869,264 | - | 398,428 | 74,300 | 172,163 | 22,775 | 2,587 | 12,990 | 4,552,507 |
OCI (Equity method) | (125,322) | 36,586 | 3,214 | 505 | (8,819) | - | (9,206) | (1,315) | (104,357) |
Foreign exchange difference | - | (1,007,615) | (536,240) | (375,836) | - | - | - | (3,556) | (1,923,247) |
Purchases / capitalizations (3) | - | - | - | - | 1,063,507 | - | - | 255,174 | 1,318,681 |
Transfer of shares for in-kind capitalization | (1,189,386) | - | - | - | - | - | - | - | (1,189,386) |
Dividends | - | - | (449,014) | - | - | - | - | - | (449,014) |
Profit for previous years | (7,720) | (2,650) | (69) | (6,991) | (367) | - | 9,977 | 100 | (7,720) |
Spin-off value (4) | - | (42,754) | - | - | - | - | - | 42,754 | - |
Participation method reclassified to discontinued operation | - | 294,037 | - | - | - | - | - | - | 294,037 |
| | | | | | | | | |
Reclassification of assets held for sale | - | (10,403,108) | - | - | - | - | - | - | (10,403,108) |
Ending balance | 26,029,103 | - | 4,092,596 | 3,157,573 | 1,226,484 | 347,338 | 105,679 | 447,285 | 35,406,058 |
(1) Due to the purchase agreement signed on December 18, 2025, the investment in Banistmo S.A. was classified as an asset held for sale. See Note 1. Reporting entity.
(2) See Note 15.1. Net income from equity method investments
(3) During the year 2025, capital contributions were made for the following entities: Inversiones Cibest S.A.S. for COP 1,063,507, Cibest Inversiones Estratégicas S.A.S. COP 43,501, Cibest Investment Management S.A.S. COP 43,501, Valores Cibest S.A.S. COP 43,501,
Cibest Panamá Assets S.A COP 49,044, Wenia Ltd. COP 31,629, Wompi S.A.S. COP 25,000, Nequi S.A. Compañía De Financiamiento COP 18,998.
(4) This corresponds to the partial spin-off by Banistmo, whereby 100% of the shares it held in Cibest Capital Panamá (formerly Valores Banistmo S.A.) in favor of Cibest Panamá Assets S.A. See Note 1. Reporting entity
The following is supplementary information on Cibest's most significant subsidiaries as of June 30, 2026 and December 31, 2025 without eliminations:
As of June 30, 2026
| | | | | | | | | | | | | | |
Company | Assets | Liabilities | Income from ordinary activities | Gain / (Loss) |
In millions of COP |
Bancolombia S.A. | 292,196,676 | 263,614,944 | 100,546,336 | 3,787,890 |
Banagrícola S.A. | 24,606,297 | 22,382,518 | 1,495,538 | 229,447 |
Grupo Agromercantil Holding S.A. | 21,884,274 | 19,938,851 | 1,275,840 | 179,571 |
Inversiones Cibest S.A.S. | 1,407,760 | 653 | 187,442 | 186,752 |
Renting Colombia S.A.S. | 2,527,897 | 2,098,129 | 686,850 | 33,751 |
As of December 31, 2025
| | | | | | | | | | | | | | |
Company | Assets | Liabilities | Income from ordinary activities | Gain / (Loss) |
In millions of COP |
Bancolombia S.A. | 268,641,523 | 241,222,614 | 161,855,076 | 6,123,641 |
Banagrícola S.A. | 25,916,846 | 23,452,205 | 3,134,775 | 591,651 |
Grupo Agromercantil Holding S.A. | 24,415,732 | 22,333,798 | 2,694,210 | 113,240 |
Inversiones Cibest S.A.S. | 1,226,484 | 1 | 174,869 | 172,162 |
For the purpose of applying the equity method to subsidiary companies, the financial statements as of June 30, 2026 and December 31, 2025, respectively, have been used.
As of June 30, 2026 there are no restrictions or limitations on the ability of subsidiaries to transfer funds to the Bank in the form of dividends and other capital distributions; likewise, there are no contingent liabilities in connection with their interests in the aforementioned subsidiaries.
NOTE 6. INVESTMENTS IN ASSOCIATES AND JOINT VENTURES
The following table summarizes the balance sheet balances of investments in associates and joint ventures as of June 30, 2026 and December 31, 2025:
| | | | | | | | |
Composition | June 30, 2026 | December 31, 2025 |
In millions of COP |
Joint ventures | 35,117 | 41,824 |
Investments in associates | 22,679 | 22,087 |
Total | 57,796 | 63,911 |
The following tables present Cibest's investments in joint ventures as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | |
Company name | Principal activity | Country | June 30, 2026 | December 31, 2025 |
% of participation | Investment | % of participation | Investment |
Puntos Colombia S.A.S. | Customer loyalty management | Colombia | 50.00% | 26,829 | 50.00% | 28,862 |
International Ejecutiva de Aviación S.A.S. | Air transportation service | Colombia | 50.00% | 8,288 | 50.00% | 12,962 |
Total investments in joint ventures | | | 35,117 | | 41,824 |
The following tables present the movement of Cibest's joint venture investments as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
| Puntos Colombia S.A.S. | International Ejecutiva de Aviación S.A.S. | Total | Puntos Colombia S.A.S. | International Ejecutiva de Aviación S.A.S. | Total |
Balance at beginning of period | 28,862 | 12,962 | 41,824 | - | - | - |
Value received in the partial absorption-type spin-off from Bancolombia S.A. to Grupo Cibest S.A. | - | - | - | 20,516 | 9,828 | 30,344 |
Income in equity method (1) | 5,968 | (3,796) | 2,172 | 13,062 | 2,391 | 15,453 |
OCI (Equity method) (2) | - | (853) | (853) | - | 291 | 291 |
Purchases/Capitalizations | - | - | - | - | 452 | 452 |
Dividends | (8,001) | - | (8,001) | (4,716) | - | (4,716) |
Retained earnings | - | (25) | (25) | - | - | - |
Balance at end of period | 26,829 | 8,288 | 35,117 | 28,862 | 12,962 | 41,824 |
(1)See Note 15.1. Net income from equity method investments
(2)See Separate Statement of Comprehensive Income.
The following information pertains to Cibest's investments in associates:
| | | | | | | | | | | | | | | | | | | | |
Company name | Main activity | Country | June 30, 2026 | December 31, 2025 |
% participation | Investment value | % participation | Investment value |
Protección S.A. | Pension and severance fund management | Colombia | 0.69% | 22,679 | 0.69 | % | 22,087 | |
Total Investments in associates | | 22,679 | | 22,087 |
The following table presents the movement of investments in Cibest associates as of June 30, 2026 and December 31, 2025:
| | | | | | | | |
Protección S.A. | June 30, 2026 | December 31, 2025 |
In millions of COP |
Balance at beginning of period | 22,087 | - |
Value received in the partial absorption-type spin-off from Bancolombia S.A. to Grupo Cibest S.A. | - | 20,163 |
Equity method recognized in income (1) | 1,671 | 1,921 |
Equity method recognized in OCI (2) | 1 | 3 |
Dividends | (755) | - |
Profit for previous years | (325) | - |
| | |
| | |
Balance at end of period | 22,679 | 22,087 |
(1) See note 15.1. Net income from equity method investments
(2) See Condensed separate interim statement of comprehensive income.
Below is the supplementary information on Cibest's most significant associates and joint ventures as of June 30, 2026 and December 31, 2025:
As of June 30, 2026
| | | | | | | | | | | | | | | | | |
Company name | Classification | Assets | Liabilities | Revenue from ordinary activities | Gain / (Loss) |
In millions of COP |
Protección S.A. | Associates | 3,608,763 | 904,154 | 1,080,763 | 243,462 |
International Ejecutiva de Aviación S.A.S. | Joint ventures | 116,194 | 116,790 | 19,313 | (7,594) |
Puntos Colombia S.A.S. | Joint ventures | 294,943 | 241,284 | 202,468 | 11,937 |
As of December 31, 2025
| | | | | | | | | | | | | | | | | |
Company name | Classification | Assets | Liabilities | Revenue from ordinary activities | Gain / (Loss) |
In millions of COP |
Protección S.A. | Associates | 3,422,617 | | 804,200 | | 1,959,129 | | 376,826 | |
International Ejecutiva de Aviación S.A.S. | Joint ventures | 124,574 | | 115,822 | | 87,639 | | 7,723 | |
Puntos Colombia S.A.S. | Joint ventures | 300,468 | | 242,743 | | 479,509 | | 31,774 | |
For the purpose of applying the equity method to associates and joint ventures, the financial statements as of May 31, 2026 and December 31, 2025 respectively, were used.
NOTE 7. ASSETS HELD FOR SALE, NET
On December 18, 2025, Cibest, acting as seller, and Inversiones Cuscatlán Centroamérica S.A., acting as buyer, entered into a purchase and sale agreement whereby the seller transfers 100% of the shares of Banistmo S.A. (See Note 1. Reporting entity).
As a result of this agreement, the investment in Banistmo S.A. was reclassified, in December 2025, as an “Asset held for sale”, in accordance with IFRS 5.
On June 30, 2026, Cibest finalized the sale of Banistmo S.A. to Banco La Hipotecaria S.A., a subsidiary of Inversiones Cuscatlán Centroamérica S.A., for a total of USD 1,418,000.
NOTE 8. OTHER ASSETS, NET
The following details other assets, net as of June 30, 2026 and December 31, 2025:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Other accounts receivable (1) | 124,424 | | 57 | |
Tax credit balances (2) | 12,810 | | - | |
Prepaid expenses | 248 | | 413 | |
Others (3) | 2,827 | | 69 | |
Total other assets, net | 140,309 | | 539 | |
(1)It mainly corresponds to outstanding dividends from Grupo Agromercantil Holding for COP 123,516 and capital advance to Internacional Ejecutiva de Aviación S.A.S. for COP 907.
(2)This value includes advance income tax, ICA withholding on dividends and withholding tax on financial returns.
(3)It mainly corresponds to withholding tax that can be passed on to shareholders for dividends received.
NOTE 9. BORROWINGS FROM OTHER FINANCIAL INSTITUTIONS
The composition of financial liabilities measured at amortized cost as of June 30, 2026 and December 31, 2025 is as follows:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Obligations granted by foreign banks (1) | 818,283 | 1,412,752 |
Total | 818,283 | 1,412,752 |
(1)The variation is explained by the prepayments of loans to Bancolombia Panama, made in the months of March and May 2026, for a total principal amount of COP 471,175, coupled with the decrease in the exchange rate of June 2026, compared to December 2025. See Note 4.2. Hedge of a net investment in a foreign operation.
Borrowings from foreign banks
| | | | | | | | | | | |
Financial entity | Minimum rate | Maximum rate | June 30, 2026 |
In millions of COP |
Financing with Correspondent Banks (1) (2) | 5.59% | 5.59% | 818,283 |
Total | | | 818,283 |
(1)See Note 4.2. Hedge of a net investment in a foreign operation
(2)This amount includes principal of COP 805,154, and accrued interest of COP 13,129.
| | | | | | | | | | | |
Financial entity | Minimum rate | Maximum rate | December 31, 2025 |
In millions of COP |
Financing with Correspondent Banks | 5.79% | 5.85% | 1,412,752 |
Total | | | 1,412,752 |
The contractual maturities of financial obligations with foreign entities are as follows:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Long term (more than 1 year) | 818,283 | 1,412,752 |
Total | 818,283 | 1,412,752 |
NOTE 10. PREFERRED SHARES
Cibest recognized a financial liability for the obligation to pay preferential cash dividends to the holders of preferred shares.
Details of the liability related to preferred shares as of June 30, 2026 and December 31, 2025 are as follows:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Opening balance - minimum dividend on preferred shares (1) | 583,477 | 545,873 | |
Interest expense on preferred shares | 27,588 | 37,604 | |
Payment of dividends declared during the period | (56,974) | - |
Total | 554,091 | 583,477 | |
(1) See details in Note 16.1. Interest expense
NOTE 11. INCOME TAX
The income tax is recognized in accordance with current tax regulations.
11.1. Components recognized in the separate income statement
The following table provides a detailed breakdown of total income tax for the six-month periods ended June 30, 2026, and 2025, and for the three-month periods from April 1 to June 30, 2026, and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
| 2026 | 2025 | 2026 | 2025 |
In millions of COP |
Current tax | | | | |
Fiscal year | (12,683) | | - | | (10,299) | | - | |
Prior fiscal terms | (10) | | - | | 12 | | - | |
Total, current income tax | (12,693) | | - | | (10,287) | | - | |
Deferred tax | | | | |
Fiscal year | (1,016) | | (8,298) | | (5,152) | | (8,298) | |
Prior fiscal terms | (360) | | - | | (360) | | - | |
Total, deferred tax | (1,376) | | (8,298) | | (5,512) | | (8,298) | |
Total income tax continuous operations | (14,069) | | (8,298) | | (15,799) | | (8,298) | |
11.2. Regulatory and legal changes
The Political Constitution of Colombia provides that, when events occur that seriously disrupt the country’s economic, social, and ecological order, the President of the Republic is authorized, with the signatures of all his ministers, to declare a state of emergency. This allows the President to issue decrees with the force of law, aimed exclusively at mitigating the crisis. These powers also permit, on a temporary basis, the establishment of new taxes or the modification of existing ones; such regulations cease to be in effect at the end of the following fiscal year.
On February 11, 2026, the Colombian government issued Decree 150, declaring a State of Economic, Social, and Ecological Emergency in certain departments of Colombia due to winter emergencies; subsequently, on February 24, 2026, it issued Legislative Decree 173,
which established, as a temporary tax measure for fiscal year 2026, a wealth tax on Colombian legal entities that are income tax payers. This tax is levied on liquid assets that, as of March 1, 2026, are equal to or exceed 200,000 UVT (COP $10,475 million for 2026), at a general rate of 0.5% and a special rate of 1.6% for financial institutions, stockbrokers, and other entities in certain specific sectors. The Constitutional Court of Colombia, in Ruling C-191 of June 24, 2026, declared Decree 150 partially constitutional and is currently continuing to review the constitutionality of Legislative Decree 173.
11.3. Reconciliation of the effective tax rate
The following details the reconciliation between the total income tax expenses calculated at the current nominal tax rate and the tax expense recognized in the separate Income Statement For the six-month periods ended June 30, 2026, and 2025 and for the three-month periods from April 1 to June 30, 2026 and 2025:
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
Effective tax rate reconciliation | 2026 | 2025 | 2026 | 2025 |
In millions of COP |
Income before taxes on continuous operations | 4,130,384 | | 3,557,143 | | 2,696,219 | | 3,557,134 | |
Applicable tax at nominal rate (1) | (1,445,634) | | (1,245,000) | | (943,677) | | (1,244,997) | |
Non-deductible expenses for the determination of taxable profit | (69,334) | | (10,444) | | (38,346) | | (10,444) | |
Net book and non-taxable income for the determination of taxable profit | 1,491,371 | | 1,255,723 | | 966,949 | | 1,255,720 | |
Net tax and non-accountable income for the determination of taxable profit (2) | (941,444) | | (521) | | (16,744) | | (521) | |
Net income from ordinary activities exempted from taxation | 109,479 | | - | | 12,595 | | - | |
Income from ordinary activities not constituting income or occasional gain from taxable activities (2) | 829,940 | | 242 | | 3,065 | | 242 | |
| | | | |
| | | | |
| | | | |
Previous fiscal years | (370) | | - | | (348) | | - | |
| | | | |
Other tax rate effects due to reconciliation between book income and tax expense | 11,923 | | (8,298) | | 707 | | (8,298) | |
Total tax continuous operations | (14,069) | | (8,298) | | (15,799) | | (8,298) | |
(1) The nominal income tax rate is 35%.(2) This applies to dividends paid out as tax-exempt by subsidiary companies.
11.4. Components recognized in the separate statement of comprehensive income (OCI)
| | | | | | | | | | | | | | |
From January 1 to June 30, 2026 |
In millions of COP |
| Amounts before taxes | Deferred tax | Current tax expense | Net taxes |
| | | | |
Utility in valuation of financial instruments | 17 | 1 | - | 18 | |
| | | | |
Net loss from investments in subsidiaries accounted for using the equity method (1) | (5,010,855) | | - | | - | | (5,010,855) | |
Net loss from investments in associates and joint ventures accounted for using the equity method | (852) | | - | | - | | (852) | |
| | | | |
Net Foreign Operations Investment Hedging Gain (2) | 3,976,366 | | 16,573 | | 2,731 | | 3,995,670 | |
Net | (1,035,324) | | 16,574 | | 2,731 | | (1,016,019) | |
(1) Includes the effects of exchange rate differences related to the line item in the OCI titled “Other comprehensive income to be reclassified to income.
(2) Includes the effects of reclassification from OCI following the disposal of its stake in Banistmo, amounting to 15,552 COP in current income tax and 29,113 COP in deferred income tax
| | | | | | | | | | | |
January 1 through June 30, 2025 |
In millions of COP |
| Amounts before taxes | Deferred tax | Net of taxes |
| | | |
Net gain on the valuation of financial instruments | 1,703 | | (443) | | 1,260 | |
| | | |
Net income from investments in subsidiaries accounted for using the equity method (1) (2) | 8,580,393 | | - | | 8,580,393 | |
Net income from investments in associates and joint ventures accounted for using the equity method (2) | 560 | | - | | 560 | |
| | | |
Net Investment Hedging Loss on Foreign Operations (3) | (3,973,893) | | (19,172) | | (3,993,065) | |
Net | 4,608,763 | | (19,615) | | 4,589,148 | |
(1)Includes the effects of exchange rate differences from the item referred to in OCI as “Other comprehensive income to be reclassified to income.
(2)Includes the effects of corporate restructuring transactions on the item referred to in the OCI as “Other comprehensive income to be reclassified to income.”
(3)Includes the effects of corporate restructuring transactions on the item referred to in the OCI as “Effects of hedge accounting.”
QUARTERLY REPORT
| | | | | | | | | | | | | | |
From April 1 to June 30, 2026 |
In millions of COP |
| Amounts before taxes | Deferred tax | Current tax expense | Net taxes |
| | | | |
Utility in valuation of financial instruments | (50) | | 10 | | - | | (40) | |
| | | | |
Net loss from investments in subsidiaries accounted for using the equity method (1) | (4,643,357) | | - | | - | | (4,643,357) | |
Net loss from investments in associates and joint ventures accounted for using the equity method | 85 | | - | | - | | 85 | |
| | | | |
Net foreign exchange gain on foreign operations (2) | 3,946,947 | | 19,790 | | 9,811 | | 3,976,548 | |
Net | (696,375) | | 19,800 | | 9,811 | | (666,764) | |
(1)Includes the effects of foreign exchange differences related to the item referred to in the OCI as “Other comprehensive income to be reclassified to income.”
(2)Includes the effects of the OCI’s realization upon the disposal of its equity interest in Banistmo, amounting to COP 15,552 for current income tax and COP 29,113 for deferred income tax.
| | | | | | | | | | | |
From April 1 to June 30, 2025 |
In millions of COP |
| Amounts before taxes | Deferred tax | Net of taxes |
| | | |
Net income from financial instruments measured at fair value | 1,703 | | (443) | | 1,260 | |
| | | |
Loss on valuation of investments in associates and joint ventures (1) | 8,580,393 | | - | | 8,580,393 | |
Unrealized loss on investments in associates and joint ventures using equity method(1) | 560 | | - | | 560 | |
| | | |
Net income - net investment in foreign operations hedge (2) | (3,973,893) | | (19,172) | | (3,993,065) | |
Net | 4,608,763 | | (19,615) | | 4,589,148 | |
(1)Contains the effects of exchange rate differences from the item referred to in the OCI as “Other comprehensive income to be reclassified to income.”
(2)Includes the effects of corporate restructuring transactions on the item referred to in the OCI as “Other comprehensive income to be reclassified to income.”
(3)Includes the effects of corporate restructuring transactions on the item referred to in the OCI as “Effects of hedge accounting.”
11.5. Deferred tax
According to financial projections, the Group expects to generate sufficient net income in the future to offset the items recorded as deductible deferred taxes. These estimates are based on financial projections that were developed using economic research data from the Cibest Group and the expected economic environment for the next five years. The main indicators on which the models are based are GDP growth, portfolio growth, and interest rates. In addition to these factors, the Cibest Group’s long-term strategy is also taken into account.
| | | | | | | | | | | | | | |
| December 31, 2025 | Effect on Income Statement | Effect on OCI | June 30, 2026 |
In millions of COP |
Asset Deferred Tax: | - | - | | - | | - | |
| | | | |
| | | | |
| | | | |
| | | | |
| | | | |
| | | | |
| | | | |
| | | | |
Other Deductions | 360 | | 8,237 | | - | | 8,597 | |
Total Asset Deferred Tax | 360 | | 8,237 | | - | | 8,597 | |
Liability Deferred Tax: | - | | - | | - | | - | |
| | | | |
| | | | |
| | | | |
Investment Valuation | (4,073) | | 396 | | 1 | | (3,676) | |
| | | | |
| | | | |
| | | | |
Financial obligations(1) | (8,859) | | (10,009) | | (12,540) | | (31,408) | |
| | | | |
| | | | |
| | | | |
| | | | |
Total, deferred tax liabilities | (12,932) | | (9,613) | | (12,539) | | (35,084) | |
Total, net deferred tax | (12,572) | | (1,376) | | (12,539) | | (26,487) | |
(1) The change in OCI is due to investment hedging—see Note 4.2. Hedge of a net investment in a foreign operation
11.6. Amount of temporary differences in subsidiaries, branches, and associates over which deferred tax was not recognized is
In accordance with IAS 12, no deferred tax credit was recorded, because Management can control the future moment in which such differences are reversed and this is not expected to occur in the foreseeable future.
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Temporary differences | - | | - | |
Local subsidiaries | (7,001,661) | | (5,665,440) | |
Foreign subsidiaries | (6,638,603) | | (7,209,144) | |
11.7. Dividends
11.7.1. Dividend payment
Dividends to be distributed by the Cibest Group's will be subject to the application of section 48 and 49 of the Colombian Tax Code, and consequently, they will be subject to a withholding tax established by the norm. This is in accordance with the tax characteristics of each shareholder.
11.7.2. Dividends received from colombian subsidiary companies
Considering the historical tax status of the dividends received by the Cibest Group's from its affiliates and national subsidiaries, it is expected that in the future dividends will be
received on the basis of non-income tax. They will not be subject to withholding tax, taking into account that the Cibest Group's, its affiliates and national subsidiaries belong to the same business group.
11.8. Uncertain tax positions
In the determination of the effective current and deferred taxes subject to review by the tax authority, the relevant regulations have been applied in accordance with the interpretations made by the Cibest Group's.
In Colombia, due to the complexity of the tax system, ongoing amendments to the tax regulations, accounting changes with implications on tax bases and in general the legal instability of the country, the tax administration's judgment may differ from that applied by Cibest Group's at any time. Consequently, a dispute or inspection by the tax authority on a tax treatment may affect accounting of assets or liabilities for deferred or current taxes, in accordance with the requirements of IAS 12. However.
Based on the criteria established in the interpretation of IFRIC 23, Cibest Group's did not recognize uncertain tax positions in its financial statements.
11.9. Transfer pricing rules
Cibest Group's recognizes transactions between related parties by applying the arm's length principle. These transactions are documented and reported to the Colombian tax administration. No transfer pricing adjustments are expected for the current fiscal year.
NOTE 12. OTHER LIABILITIES
The following section details other liabilities to June 30, 2026 and December 31, 2025:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Accounts payable (1) | 3,312,623 | 1,702 |
Salaries and labor obligations | 691 | 272 |
Short-term benefits and bonuses | 1,179 | 2,328 |
Others | 1 | 1 |
Total | 3,314,494 | 4,303 |
(1)This mainly corresponds to dividends payable to shareholders of COP 3,231,599.
NOTE 13. SHARE CAPITAL
The subscribed and paid-in capital is the following:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
Authorized shares | 1,400,000,000 | 1,400,000,000 |
Subscribed and paid-in shares | 509,704,584 | 509,704,584 |
Common shares | (1,229,831) | (601,452) |
Total shares | 508,474,753 | 509,103,132 |
Preferred shares issued and fully paid | 452,122,416 | 452,122,416 |
Preferred shares | (15,935,203) | (8,010,884) |
Total preferred shares | 436,187,213 | 444,111,532 |
Total shares | 944,661,966 | 953,214,664 |
Subscribed and paid capital (nominal value in millions of COP) | 480,914 | 480,914 |
Authorized shares (nominal value, in millions of COP) | 700,000 | 700,000 |
(1) The nominal value per share is five hundred pesos (COP 500).
Distribution and payment of dividends
Dividends must be approved at the Ordinary General Meeting upon the recommendation of the Board of Directors.
Except in the events indicated below, this approval corresponds to a simple majority of the shares represented at the Meeting.
In accordance with the legal regime applicable to Cibest, the company is required to distribute at least fifty percent (50%) of its net profits, unless shareholders representing seventy-eight percent (78%) of the shares present at the meeting approve a different distribution amount. When the total of the legal, statutory, or occasional reserves exceeds one hundred percent (100%) of subscribed share capital, the mandatory distribution of net profits increases to seventy percent (70%).
Dividend distribution must be made to all shareholders in cash and within the year following the General Assembly in which the dividend was declared. If not paid in cash, the dividend payment—requiring shareholders to receive it in the form of fully paid-up shares of the company—shall require the favorable vote of eighty percent (80%) of the represented ordinary shares and eighty percent (80%) of the subscribed preferred shares with no voting rights.
The annual net profits of Cibest must be applied as follows: (i) first, an amount equal to 10% of Cibest’s net profits to a legal reserve until such reserve is equal to at least 50% of the Cibest’s subscribed share capital; (ii) second, to the payment of the minimum dividend on the preferred shares and without voting rights; and (iii) third, as may be determined in the ordinary annual general ordinary shareholders' meeting by the vote of the holders of a majority of the shares entitled to vote.
Common shares
The holders of common shares are entitled to vote on any matter subject to approval at an annual general ordinary shareholders' meeting. Within 15 business days prior to such meeting, such holders are entitled to inspect the books and records of the Company.
Also, the holders of common shares will receive a proportion of the profits subject to the provisions of law, statutes and established at general shareholders’ meeting.The dividend
received by holders of common shares may not be higher than the dividend assigned to preferred shares and without voting rights.
Preferred shares with no voting rights
The holders of preferred shares with no voting rights are entitled to receive dividends based on the net profits of the previous year, after deducting the losses affecting the capital and after deducting the amount legally allocated to the legal reserve, but before creating or accruing any other reserve.
The minimum preferred dividend shall be equal to one percent (1%) per annum of the subscription price of the preferred share provided that this dividend is higher than the dividend assigned to the common shares. Otherwise, the dividend will be increased up to an amount equal to the dividend per share of common stock.
The payment of the preferred dividend will be made at the time and in the manner established by the general shareholders' meeting and with the priority established by Colombian law.
Any dividend payable in shares issued as a stock dividend of the Company requires the approval of eighty percent (80%) or more of the ordinary shares represented and eighty percent (80%) or more of the outstanding preferred shares without voting rights. In the event that none of the holders of non-voting preferred shares is present at such meeting, the share dividend may only be distributed to holders of ordinary shares who approve such distribution.
Reserved Shares
These are the shares available between the maximum limit of authorized capital and the subscribed share capital. Cibest has 438,173,000 shares in reserve.
NOTE 14. APPROPRIATED RESERVES
As of June 30, 2026 and december of 2025, the reserves were made up as follows:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Appropriation of net income (1) | 5,013,050 | 8,578,816 |
Occasional reserve (2) | 3,760,983 | 1,166,556 |
Reserve for treasury share acquisition (3) | 813,681 | 918,582 |
Total reserves (4) | 9,587,714 | 10,663,954 |
(1)In compliance with Article 452 of the Commercial Code of the Republic of Colombia and is mandatory until it reaches fifty percent (50%) of subscribed share capital. The legal reserve serves two specific purposes: to increase and maintain the company’s capital, and to absorb losses arising from operations. Therefore, its balance may not be distributed as dividends to shareholders
(2)The occasional reserve for equity strengthening and future growth.
(3)On June 9, 2025, the General Shareholders' Meeting approved the establishment of a reserve of COP 1,350,000 for the implementation of a share buyback program, which commenced on July 17, 2025. Subsequently, at the General Shareholders' Meeting held on March 24, 2026, the termination of the program and the establishment of an additional reserve of COP 431,418 were approved to implement a new share buyback program for a maximum amount of up to COP 1,350,000 and a term of up to three (3) years. As of June 30, 2026, and December 31, 2025, buybacks totaling COP 536,173 and COP 430,542, respectively, had been executed, with associated transaction costs of COP 146 and COP 876 for each year.
(4)See Condensed Separate Interim Statement Of Changes In Equity from Grupo Cibest.
As of June 30, 2026, the movement in the reserve for the reacquisition of shares is as follows:
| | | | | | | | |
| June 30, 2026 | December 31, 2025 |
In millions of COP |
Opening balance | 918,582 | - |
Establishment of a reserve for the repurchase of treasury shares | 431,418 | 1,350,000 |
Repurchase of ordinary shares (1) | (45,541) | (34,706) |
Repurchase of preferred shares (2) | (490,632) | (395,836) |
Transactional costs | (146) | (876) |
Balance of the reserve for the repurchase of own shares (3) | 813,681 | 918,582 |
(1) As of June 30, 2026, 1,229,831 ordinary shares had been repurchased. See Note 13. Share capital
(2)As of June 30, 2026 15,935,203 preferred shares had been repurchased. See Note 13. Share capital
NOTE 15. OPERATING INCOME
The following information pertains to operating income for the periods ending June 30, 2026 and 2025:
15.1. Net income from equity method investments
The following table shows the details of dividend and equity participation income For the six-month periods ended June 30, 2026, and 2025 and for the three-month periods from April 1 to June 30, 2026 and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
Income from equity participation | 2026 | 2025 | 2026 | 2025 |
| | | | |
In millions of COP |
Equity method | 4,197,262 | | 3,594,214 | | 2,697,665 | | 3,594,214 | |
Bancolombia S.A. | 3,579,557 | | 3,077,505 | | 2,341,549 | | 3,077,505 | |
Banagrícola S.A. and Subsidiaries | 227,261 | | 289,935 | | 109,742 | | 289,935 | |
Cibest Investments S.A.S. | 186,752 | | 25,189 | | 122,565 | | 25,189 | |
Grupo Agromercantil Holding | 179,571 | | 53,443 | | 97,801 | | 53,443 | |
Other Subsidiaries | 24,121 | | (37,878) | | 26,008 | | (37,878) | |
Banistmo S.A. | | 186,020 | | - | | 186,020 | |
Equity method investments in associates and joint ventures | 3,843 | | 6,494 | | 2,413 | | 6,494 | |
Puntos Colombia S.A.S. | 5,968 | | 4,329 | | 4,081 | | 4,329 | |
Protección S.A. | 1,671 | | 1,001 | | 1,070 | | 1,001 | |
International Ejecutiva de Aviación S.A.S. | (3,796) | | 1,164 | | (2,738) | | 1,164 | |
Equity Instruments | 160 | | - | | 108 | | (9) | |
Dividends | - | | 5 | | - | | 5 | |
Total net income from equity interest | 4,201,265 | 3,600,713 | 2,700,186 | 3,600,704 |
(1)Due to the purchase agreement signed on December 18, 2025, the investment in Banistmo S.A. was classified as an asset held for sale; the sale was formalized in June 2026.
15.2. Other operating income
Other operating income, net, is comprised of the following items For the six-month periods ended June 30, 2026, and 2025 and for the three-month periods from April 1 to June 30, 2026 and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
Other operating income. net | 2026 | 2025 | 2026 | 2025 |
| | | | |
In millions of COP |
Interest income | 61,139 | | 15,081 | | 36,511 | | 15,081 | |
Virtual investment interest | 41,851 | | 14,340 | | 21,013 | | 14,340 | |
Savings account interest | 19,288 | | 741 | | 15,498 | | 741 | |
Other income | (7,252) | | 625 | | (7,065) | | 625 | |
Exchange rate difference (1) | (7,523) | | 625 | | (7,101) | | 625 | |
Others | 271 | | - | | 36 | | - | |
Total other operating income, net | 53,887 | 15,706 | 29,446 | | 15,706 | |
(1)The variation corresponds mainly to the account receivable for dividends from the Agromercanti Holding Group and interest on the financial obligation with Bancolombia Panama.
NOTE 16. OPERATING EXPENSES
The following information relates to operating expenses For the six-month periods ended June 30, 2026, and 2025
16.1. Interest expense
The breakdown of interest expenses For the six-month periods ended June 30, 2026, and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
Interest expense | 2026 | 2025 | 2026 | 2025 |
| | | | |
In millions of COP |
Interest on financial obligations (1) | 31,898 | | 14,598 | | 13,449 | | 14,598 | |
Interest on preferred shares (2) | 27,588 | | 28,650 | | 13,324 | | 28,650 | |
Total interest expense | 59,486 | 43,248 | 26,773 | 43,248 |
(1)The variation is mainly explained by the difference in the compared periods of interest accrued on long-term financial obligations in foreign currency, with the 2025 period being lower.
(2)Primarily accrual of interest on preferred shares. See Note 10. Preferred shares
16.2. Other administrative and general expenses
The details of other administrative and general expenses For the six-month periods ended June 30, 2026, and 2025
| | | | | | | | | | | | | | |
| Accumulated | Quarterly |
Other administrative and general expenses | 2026 | 2025 | 2026 | 2025 |
| | | | |
In millions of COP |
Taxes (1) | 25,405 | 11,230 | 669 | 11,230 |
Fees (2) | 2,420 | - | 529 | - |
Commissions | 1,621 | - | 829 | - |
Audit and board fees | 1,594 | 464 | 788 | 464 |
Others (3) | 13,346 | 3,126 | 802 | 3,126 |
Total other administrative and general expenses | 44,386 | 14,820 | 3,617 | 14,820 |
Wealth tax | 14,891 | - | 14,891 | - |
(1)Mainly ICA tax on dividends received for COP 24,563.
(2)Primarily fees for investor relations and capital markets, and legal advice and projects.
(3)Mainly tax assumed for interest paid on financial obligations in Panama for COP 11,922.
NOTE 17. RELATED PARTY TRANSACTIONS
During the three-month period ended June 30, 2026, no related party transactions were identified that had a material effect on the financial position or financial performance of Cibest.
As of June 30, 2026, directors were paid fees totaling COP 1,412 for attending Board meetings.
NOTE 18. LIABILITIES FROM FINANCING ACTIVITIES
The following table presents the reconciliation of the balances of liabilities from financing activities as of June 30, 2026:
| | | | | | | | | | | | | | | | | |
| Beginning balance as of January 1, 2026 | Cash flows | Changes other than cash | Ending balance as of June 30, 2026 |
Adjustment for the effects of exchange rate changes | Accrued interest |
In millions of COP |
Liabilities from financing activities | | | | | |
Financial obligations (1) | 1,412,752 | (552,552) | (73,815) | 31,898 | 818,283 |
Preferred stock | 583,477 | (56,974) | - | 27,588 | 554,091 |
Total liabilities from financing activities | 1,996,229 | (609,526) | (73,815) | 59,486 | 1,372,374 |
(1)The cash flow movement is mainly attributable to prepayments made to Bancolombia Panamá. See Note 9. Financial liabilities. The effect of foreign exchange differences comprises the remeasurement of principal amounting to COP 72,463 and the remeasurement of interest amounting to COP 1,352.
NOTE 19. FAIR VALUE OF ASSETS AND LIABILITIES
To determine fair value, the characteristics of the asset or liability are considered in the same manner as market participants would consider them when pricing the asset or liability at the measurement date.
Valuation process for fair value measurements
Valuation at fair market value is performed using the prices, inputs, and methodologies provided by the Group’s official price provider, Precia.
All methodologies and procedures developed by the pricing services provider are supervised by the Superintendencia Financiera de Colombia, which has its authorization.
The following table presents the carrying amount and fair value of assets and liabilities as of June 30, 2026 and December 31, 2025.
| | | | | | | | | | | | | | |
| June 30, 2026 | December 31, 2025 |
Carrying value | Fair value | Carrying value | Fair value |
In millions of COP |
Assets |
Investments at amortized cost (1) | - | - | 1,331,390 | 1,331,390 |
Equity instruments (1) | 4,422 | 4,422 | 4,384 | 4,384 |
Asset held for sale | - | - | 5,263,986 | 5,263,986 |
Total assets | 4,422 | 4,422 | 6,599,760 | 6,599,760 |
Liabilities |
Financial obligations (2) | 818,283 | 818,283 | 1,412,752 | 1,412,752 |
Preferred stock (3) | 554,091 | 361,875 | 583,477 | 324,260 |
Total liabilities | 1,372,374 | 1,180,158 | 1,996,229 | 1,737,012 |
(1)See Note 4. Investment financial assets
(2)See Note 9. Borrowings from other financial institutions
(3)See Note 10. Preferred shares
Fair value measurement
Assets and liabilities
a. Equity securities
Cibest performs the market price valuation of its equity investments using the prices provided by Precia, and classifies these investments according to the procedure described at the beginning of this note. Likewise, to determine the fair value of unquoted equity securities, Cibest adjusts the value of the investment based on its ownership percentage and the subsequent changes in the issuer’s equity. Holdings in mutual funds, trusts, and collective portfolios are valued using the unit value calculated by the management company.
b. Assets held for sale measured at fair value less costs to sell
Cibest measured its investment in Banistmo S.A., classified as held for sale, at fair value less costs to sell.
Fair value hierarchy
IFRS 13 establishes a fair value hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable, that reflects the significance of inputs adopted in the measurement process. In accordance with IFRS the financial instruments are classified as follows:
Level 1: Observable inputs that reflect quoted prices (unadjusted) in active markets for identical assets or liabilities. An active market is a market in which transactions for the asset or liability being measured take place with sufficient frequency and volume to provide pricing information on an ongoing basis.
Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly. Level 2 generally includes: (i) quoted prices for similar assets or liabilities in active markets; (ii) quoted prices for identical or similar assets or liabilities in markets that are not active, that is, markets in which there are few transactions for the asset or liability.
Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category generally includes
certain retained residual interests in securitizations, asset-backed securities (ABS) and highly structured or long-term derivative contracts where independent pricing information was not able to be obtained for a significant portion of the underlying assets.
Assets and liabilities measured at fair value on a recurring basis
The following table presents assets and liabilities by fair value hierarchy that are measured on a recurring basis as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
ASSETS |
Instrument type | June 30, 2026 | December 31, 2025 |
Rating hierarchy | Total fair value | Rating hierarchy | Total fair value |
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
In millions of COP |
Equity instruments | |
Equity instruments at fair value | - | 145 | 4,277 | 4,422 | - | 124 | 4,260 | 4,384 |
Total equity instruments | - | 145 | 4,277 | 4,422 | - | 124 | 4,260 | 4,384 |
Total assets | - | 145 | 4,277 | 4,422 | - | 124 | 4,260 | 4,384 |
Fair value of assets and liabilities measured at fair value on a non‑recurring basis
Cibest measured the discontinued operation Banistmo S.A., classified as held for sale, at fair value less costs to sell. The following breakdown presents the fair value hierarchy of the assets, classified by level:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
ASSETS |
Instrument type | June 30, 2026 | December 31, 2025 |
Valuation hierarchy | Total fair value | Valuation hierarchy | Total fair value |
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
In millions of COP |
Asset held for sale (1) | - | - | - | - | - | - | 5,263,986 | | 5,263,986 | |
Total | - | - | - | - | - | - | 5,263,986 | | 5,263,986 | |
(1) In December 2025, the investment in Banistmo was reclassified as an "asset held for sale," and on June 30, 2026, Cibest finalized the sale of Banistmo to Banco La Hipotecaria S.A., a subsidiary of Inversiones Cuscatlán Centroamérica S.A.
Fair value of assets and liabilities that are not measured at fair value in the statement of financial position
The following table presents for each level of the fair value hierarchy Cibest's assets and liabilities that are not measured at fair value in the statement of financial position, however, the fair value as of June 30, 2026 and December 31, 2025:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
ASSETS |
Instrument type | June 30, 2026 | December 31, 2025 |
Valuation hierarchy | Total fair value | Valuation hierarchy | Total fair value |
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
In millions of COP |
Investments at amortized cost (1) | - | - | - | - | - | - | 1,331,390 | 1,331,390 |
Total | - | - | - | - | - | - | 1,331,390 | 1,331,390 |
(1) The decrease corresponds to the maturity, in June 2026, of virtual investments held with Bancolombia S.A.
| | | | | | | | | | | | | | | | | | | | | | | | | | |
LIABILITIES |
Instrument type | June 30, 2026 | December 31, 2025 |
Valuation hierarchy | Total fair value | Valuation hierarchy | Total fair value |
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 |
In millions of COP |
Financial obligations | - | - | 818,283 | 818,283 | - | - | 1,412,752 | 1,412,752 |
Preferred stock | - | - | 361,875 | 361,875 | - | - | 324,260 | 324,260 |
Total | - | - | 1,180,158 | 1,180,158 | - | - | 1,737,012 | 1,737,012 |
IFRS requires entities to disclose the fair value of financial instruments, both assets and liabilities recognized and not recognized in the statement of financial position, for which it is practicable to estimate fair value. Certain categories of assets and liabilities, however, are not eligible for being measured at fair value.
The financial instruments below are not measured at fair value on a recurring and nonrecurring basis:
Short-term financial instruments
Short-term financial instruments are valued at their carrying amounts included in the consolidated statement of financial position, which are reasonable estimates of fair value due to the relatively short period to maturity of the instruments. This approach was used for cash and cash equivalents, accrued interest receivable, customers’ acceptances, accounts receivable, accounts payable, accrued interest payable and bank acceptances outstanding.
Borrowings from other financial institutions
The fair value of borrowings from other financial institutions were determined using discounted cash flow models. The cash flows projection of capital and interest was made according to the contractual terms, considering capital amortization and interest bearing. Subsequently, the cash flows were discounted using reference curves formed by the weighted average of the Cibest’s deposit rates.
Preferred shares
In the valuation of the liability component of preferred shares related to the minimum dividend of 1% of the subscription price, Cibest uses the Gordon Model to price the obligation, taking into account its own credit risk, which is measured using the market spread based on observable inputs such as quoted prices of sovereign debt. The Gordon Model is commonly used to determine the intrinsic value of a stock based on a future series of dividends that are estimated by Cibest and growth at a constant rate considering the Cibest’s own perspectives of the payout ratio.
Changes in Level 3 fair value category
The following table presents the reconciliation of assets and liabilities measured at fair value on a recurring basis using unobservable inputs as of June 30, 2026:
As of June 30, 2026
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Instrument type | Balance January 01, 2026 | Included in income | Incluided in ORI | Purchases | Sales | Prepayments | Reclassifications | Transfers to Level 3 | Transfers out of Level 3 | Balance Junio 30, 2026 |
In millions of COP |
Assets |
Equity investments at fair value | 4,260 | - | 17 | - | - | - | - | - | - | 4,277 |
Total assets | 4,260 | - | 17 | - | - | - | - | - | - | 4,277 |
As of December 31, 2025
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Instrument type | Balance January 01, 2025 | Included in income | Incluided in OCI | Purchases | Sales | Prepayments | Reclassifications | Transfers to Level 3 | Transfers out of Level 3 | Balance December 31, 2025 |
In millions of COP |
Assets |
Equity investments at fair value | - | | - | 13 | 4,247 | - | - | - | - | - | 4,260 |
Total assets | - | - | 13 | 4,247 | - | - | - | - | - | 4,260 |
Level 3 fair value – transfers
The following were the significant level 3 transfers at June 30, 2026:
Transfers between Level 1 and Level 2 to Level 3:
As of June 30, 2026, no level transfers were reported for Cibest.
Transfers between Level 3 and Level 1 and 2:
As of June 30, 2026, no level transfers were reported for Cibest.
Transfers between Level 1 and Level 2 of the Fair Value hierarchy
As of June 30, 2026, no level transfers were reported for Cibest.
Quantitative Information about Level 3 Fair Value measurements
The fair value of financial instruments is, in certain circumstances, measured using valuation techniques that incorporate assumptions that are not evidenced by prices from observable market transactions in the same instrument and are not based on observable market data. Changing one or more of the inputs to the valuation models to reasonably possible alternative assumptions would change the fair values and therefore a valuation
adjustment would be recognized through income statement. Favorable and unfavorable changes are determined on the basis of changes in the value of the instrument as a result of varying the levels of the unobservable input.
The following table sets forth information about significant unobservable inputs related to the Cibest’s material categories of level 3 financial assets and liabilities and the sensitivity of these fair values to reasonably possible alternative assumptions.
As of June 30, 2026
| | | | | | | | | | | | | | | | | | | | | | | |
Instrument type | Fair value | Valuation technique | Significant unobservable input | Range of inputs | Weighted average | Input sensitivity increased by 100 bps | Input sensitivity decreased by 100 bps |
In millions of COP |
Equity instruments | 4,277 | | Based on price | Price | NA | NA | NA | NA |
As of December 31, 2025
| | | | | | | | | | | | | | | | | | | | | | | |
Instrument type | Fair value | Valuation technique | Significant unobservable input | Range of inputs | Weighted average | Input sensitivity increased by 100 bps | Input sensitivity decreased by 100 bps |
In millions of COP |
Equity instruments | 4,260 | | Based on price | Price | NA | NA | NA | NA |
NOTE 20. DISCONTINUOUS OPERATION
As of June 30, 2026, Cibest finalized the sale of Banistmo S.A. initially announced to the market on December 18, 2025.
As a result of the completion of the sale, Cibest transferred 100% of the shares of Banistmo to Banco La Hipotecaria S.A., a subsidiary of Inversiones Cuscatlán Centroamérica S.A., in exchange for the previously announced agreed sale price of USD 1,418,000. The transaction price was paid with funds from La Hipotecaria and an international syndicated loan.
As a result, Banistmo ceased to be a subsidiary of Grupo Cibest and became wholly owned by Grupo Inversiones Cuscatlán. Grupo Cibest reports that it has not entered into any agreements with Inversiones Cuscatlán regarding the election of directors or other material corporate matters.
This divestment is part of a long-term corporate strategy aimed at optimizing the Group's portfolio, focusing its growth on strategic markets and maximizing value creation for its shareholders.
The following are the results of discontinued operations that are recognized within the profit or loss for the period:
| | | | | | | | |
| June 30, 2026 | June 30, 2025 |
In millions of COP |
Reclassification from OCI | (77,482) | | - | |
Foreign exchange difference | 5,185 | | - | |
Net dividends received | 36,597 | | - | |
Loss from discontinued operations | (35,700) | | - | |
NOTE 21. EVENTS AFTER THE REPORTING PERIOD
The separate financial statements of Grupo Cibest S.A. for the fiscal year ended June 30, 2026, were authorized for issuance by the Vice President of Strategy and Finance on August 10, 2026.
On 8 July 2026, Grupo Cibest S.A. acquired subordinated bonds worth COP 1 trillion issued by Bancolombia S.A.
Extraordinary dividend
The Board of Directors has convened a meeting to be held on 26 August 2026, with a view to submitting the following proposal to the Annual General Meeting for consideration:
The partial change in the purpose of the occasional reserve named “For capital strengthening and future distributions” in the amount of COP 1,200,665, to allocate it to the extraordinary distribution of dividends. The payment of an extraordinary dividend of COP 1,271 per share, payable in a single installment on September 1, 2026.
Subsequent to June 30, 2026, the reporting date of the financial statements, and through August 10, 2026, the date on which the financial statements were authorized for issue, the Market Representative Exchange Rate (TRM) decreased by COP 315.36, from COP 3,440.83 to COP 3,125.47 per U.S. dollar, respectively. This decrease reflects the appreciation of the Colombian peso against the U.S. dollar during the period after the reporting date and, therefore, does not result in any adjustment to the amounts recognized as of June 30, 2026. It is disclosed because it could have a relevant effect on the future performance and valuation of assets and liabilities denominated in foreign currency.
RISK MANAGEMENT
The first half of 2026 was characterized by heightened inflationary risks and elevated geopolitical uncertainty stemming from the conflict in the Middle East and the fragility of the agreements reached in the region. While energy markets experienced temporary periods of relief, risks of supply disruptions in oil and gas markets persisted, increasing volatility in international energy prices and contributing to sustained inflationary pressures across several economies. Against this backdrop, major central banks maintained a cautious—and, in some cases, restrictive—policy stance, while U.S. dollar strength, higher global risk aversion, and tighter financial conditions continued to pose meaningful challenges to global economic growth and, in particular, to emerging markets.
CREDIT RISK
Credit risk is the risk of an economic loss to Cibest resulting from the counterparty, issuer, or debtor failing to meet their financial obligations, a decline in credit quality stemming from a downgrade in their rating, reduced earnings and returns, concessions granted in restructurings, and recovery costs.
Credit Risk Management – investment financial instruments
The portfolio is exposed to credit risks given the probability of incurring losses originated by the default in the payment of a coupon, principal and/or yields/dividends of a financial instrument by its issuer or counterparty. The probability of this type of events materializing may increase if there are scenarios of concentration in few issuers (counterparties) and whose credit performance is reflected by higher risk ratings; likewise, increases in credit risk may occur in scenarios in which the portfolio presents low levels of diversification at the level of type and sector of the counterparties with which financial asset transactions are carried out.
The Group maintains the control and continuous monitoring of the assigned credit risk limits, as well as the consumption thereof. Additionally, follows up and manages alerts on counterparties and issuers of securities, based on public market information and news related to their performance; this allows mitigating the risks of default or reduction of value for the managed positions.
Credit Quality Analysis - investment financial instruments
In order to evaluate the credit quality of a counterparty or issuer (to determine a risk level or profile), the Group relies on two rating systems: an external one and an internal one, both of which make it possible to identify a degree of risk differentiated by segment and country and to apply the policies that have been established for issuers or counterparties with different levels of risk, in order to limit the impact on liquidity and/or the income statement of Cibest.
External credit rating system: is divided by the type of rating applied to each instrument or issuer; in this way the geographic location, the term and the type of instrument allow the assignment of a rating according to the methodology that each examining agency uses.
Internal credit rating system: the “ratings or risk profiles” scale is created with a range of levels that go from low risk to high risk (this can be reported in numerical or alphanumerical scales), where the rating model is sustained by the implementation and analysis of quantitative variables and other objective criteria at the sector level, which according to the relative analysis of each variable, determine credit quality; in this way the internal credit rating system aims to establish adequate margin in decision-making regarding the management of financial instruments.
In accordance with the criteria and considerations specified in the internal rating allocation and external credit rating systems methodologies, the following schemes of relation can be established, according to credit quality given to each one of the qualification scales:
Low Risk: all investment grade positions (from AAA to BBB-), as well as those issuers that according to the information available (financial statements, relevant information, external ratings, CDS, among others) reflect adequate credit quality.
Medium Risk: all speculative grade positions (from BB+ to BB-), as well as those issuers that according to the available information (Financial statements, relevant information, external qualifications, CDS, among others) reflect weaknesses that could affect their financial situation in the medium term.
High Risk: all positions with a higher of speculative grade (from B+ to D), as well as those issuers that according to the information available (Financial statements, relevant information, external qualifications, CDS, among others) reflect a high probability of default of financial obligations or that already have failed to fulfill them.
•Credit Quality Analysis
| | | | | | | | | | | | | | |
Maximum Exposure to Credit Risk | Debt Instruments (1) | Equity |
June 30, 2026 | December 31, 2025 | June 30, 2026 | December 31, 2025 |
In Millions of COP |
Low Risk | - | | - | | - | | - | |
Medium Risk | - | | 1,331,390 | | 145 | | 124 | |
High Risk | - | | - | | - | | - | |
Without Rating | - | | - | | 4,276 | | 4,260 | |
Total | - | | 1,331,390 | | 4,422 | | 4,384 | |
(1)The variation in Debt Instruments between December 2025 and June 2026 is mainly attributable to the maturity of virtual investments held with Bancolombia S.A. As of December 31, 2025, the balance consisted of fixed-term deposits with fixed returns placed with Bancolombia.”
•Financial credit quality of investment financial instruments
Equity: Positions do not represent significant risks.
•Maximum exposure level to the credit risk given:
| | | | | | | | | | | | | | | | | | | | |
Maximum Exposure to Credit Risk | Maximum Exposure | Collateral | Net Exposure |
June 30,
2026 | December 31, 2025 | June 30,
2026 | December 31, 2025 | June 30
2026 | December 31, 2025 |
In Millions of COP |
Debt Instruments | — | | 1,331,390 | | – | | – | | — | | 1,331,390 | |
Equity (2) | 4,422 | | 4,384 | | – | | – | | 4,422 | | 4,384 | |
Total | 4,422 | | 1,335,774 | | – | | – | | 4,422 | | 1,335,774 | |
(2) See Note 4. Investment financial assets
MARKET RISK
Market risk refers to the possibility of incurring losses due to changes in equity prices, interest rates, exchange rates, and other indicators whose values are determined in public markets. It also encompasses the probability of unexpected changes in net interest income and the economic value of equity resulting from fluctuations in market interest rates.
At Cibest, market risks are identified, measured, monitored, controlled and communicated to make timely decisions for their adequate mitigation and to generate greater added value for shareholders. The guidelines or risk framework, policies and methodologies for market risk management are approved by the Board of Directors.
Measurement, management and control of market risks, an internal methodology is used by weighted historical simulation, using a confidence level of 99%, a holding period of 10 days, and a time window of one year or 250 daily data.
Market Risk Management
This section describes the market risk to which Cibest is exposed, as well as the tools and methodologies used in its measurement as of June 2026. Cibest measures its market risk exposure using a Weighted Historical Simulation Value at Risk (VaR) methodology, with a 99% confidence level and a 10-day time horizon.
Cibest total exposure to market risk has registered a Value at Risk (VaR) of COP 742,506. This result is mainly due to exposure to the exchange rate factor, originating from the position denominated in US dollars corresponding to COP 10.9 billion. Additionally, although to a lesser extent, the COP 145 participation in the Renta Liquidez Investment Fund contributed to the level of risk presented. Details are presented in the table below:
| | | | | |
Risk factor | June 30, 2026 |
In millions of COP |
End of period |
Exchange rate | 742,506 |
Collective investment funds | (0.2) |
Total VaR | 742,506 |
Assumptions and limitations of VaR model
Although VaR models represent a recognized tool for risk management, they have inherent limitations, including reliance on historical data that may not be indicative of the future behavior of market variables. Accordingly, VaR models should not be considered predictive of future outcomes. In this regard, an entity could incur losses that exceed the values indicated by the models for a specific day or period, i.e. VaR models do not calculate the largest possible loss. Accordingly, the results of these models and the analysis of these models are subject to the expertise and reasonable judgement of those involved in Cibest's risk management.
LIQUIDITY RISK
Liquidity risk is understood as the inability to meet payment obligations in a full and timely manner on the corresponding dates due to insufficient liquid resources and/or the need to assume excessive funding costs.
Liquidity risk management policies and guidelines are defined through the various senior management levels. These levels consist of the board of directors, the risk committee and senior management, and are responsible for defining the risk appetite and hence the financial strategy to be followed.
The measures to control liquidity risk include the definition of liquidity limits, which allow a proactive assessment of the entity's level of exposure. The methodologies used to control liquidity risk include cash flows in the different currencies in which operations are conducted.
Exposure to liquidity risk
To estimate liquidity risk, a cash flow is calculated to ensure that liquid assets held are sufficient to cover potential net cash outflows in 30 days. The liquidity indicator is presented as follows:
| | | | | |
Liquidity Indicator | June 30, 2026 |
In millions of COP |
Net cash outflows into 30 days | 449,830 |
Liquid assets (1) | 5,612,582 |
Liquidity Indicator | 6,062,412 |
The following table provides further details in Cibest's liquid assets:
| | | | | |
Liquid Assets (2) | June 30, 2026 |
In millions of COP |
Cash COP | 1,756,788 |
Cash USD (2) | 3,855,678 |
Collective investment funds (3) | 116 |
Total Liquid Assets | 5,612,582 |
(1) Liquid assets: Liquid assets will be considered those that are easily realized that form part of the entity's portfolio or those that have been received as collateral in active operations in the money market, and that have not been subsequently used in passive operations in the monetary market and do not have any mobility restrictions. The following are considered liquid assets: available assets, shares in open collective investment funds without a permanence agreement, shares registered on the Colombian stock exchange that are eligible to be subject to repo or repo operations, and negotiable investments available for sale investments in fixed income securities.
(2) The amount available in US dollars is subject to a haircut or reduction equivalent to 21.6%.
(3) Renta Liquidez Collective Investment Fund is subject to a haircut or reduction of 20%.
Contractual maturities of financial assets and liabilities
Contractual maturities of principal on financial assets are presented below:
Contractual maturities of assets at June 2026
| | | | | | | | | | | | | | | | | |
Assets | 0-30 days | 31 days -1 year | 1-3 years | 3-5 years | Over 5 years |
In millions of COP |
Cash and cash equivalents | 6,674,744 | | - | | - | | - | | - | |
Securities | - | | - | | - | | - | | - | |
Total Assets | 6,674,744 | | - | | - | | - | | - | |
Contractual maturities of principal and interest on liabilities are presented below:
Contractual maturities of liabilities as at June 2026
| | | | | | | | | | | | | | | | | |
Liabilities | 0-30 days | 31 days -1 year | 1-3 years | 3-5 years | Over 5 years |
In millions of COP |
Financial obligations | - | | - | | 818,283 | | - | | - | |
Preferred stock | - | | - | | - | | - | | 554,091 | |
Total Liabilities | - | | - | | 818,283 | | - | | 554,091 | |
