1Q.19Earnings Presentation

Banco Santander México, S.A., Institución de Banca Múltiple,

Grupo Financiero Santander México.

Safe Harbor Statement

2

Banco Santander México cautions that this presentation may contain forward-looking statements within the meaning of the U.S. Private Securities Litigation

Reform Act of 1995. These forward-looking statements could be found in various places throughout this presentation and include, without limitation, statements

regarding our intent, belief, targets or current expectations in connection with: asset growth and sources of funding; growth of our fee-based business; expansion

of our distribution network; financing plans; competition; impact of regulation and the interpretation thereof; action to modify or revoke our banking license;

exposure to market risks including interest rate risk, foreign exchange risk and equity price risk; exposure to credit risks including credit default risk and settlement

risk; projected capital expenditures; capitalization requirements and level of reserves; investment in our formation technology platform; liquidity; trends affecting the

economy generally; and trends affecting our financial condition and our results of operations. While these forward-looking statements represent our judgment and

future expectations concerning the development of our business, many important factors could cause actual results to differ substantially from those anticipated in

forward-looking statements. These factors include, among other things: changes in capital markets in general that may affect policies or attitudes towards lending

to Mexico or Mexican companies; changes in economic conditions, in Mexico in particular, in the United States or globally; the monetary, foreign exchange and

interest rate policies of the Mexican Central Bank (Banco de México); inflation; deflation; unemployment; unanticipated turbulence in interest rates; movements in

foreign exchange rates; movements in equity prices or other rates or prices; changes in Mexican and foreign policies, legislation and regulations; changes in

requirements to make contributions to, for the receipt of support from programs organized by or requiring deposits to be made or assessments observed or

imposed by, the Mexican government; changes in taxes and tax laws; competition, changes in competition and pricing environments; our inability to hedge certain

risks economically; economic conditions that affect consumer spending and the ability of customers to comply with obligations; the adequacy of allowance for

impairment losses and other losses; increased default by borrowers; our inability to successfully and effectively integrate acquisitions or to evaluate risks arising

from asset acquisitions; technological changes; changes in consumer spending and saving habits; increased costs; unanticipated increases in financing and other

costs or the inability to obtain additional debt or equity financing on attractive terms; changes in, or failure to comply with, banking regulations or their

interpretation; and certain other risk factors included in our annual report on Form 20-F. The risk factors and other key factors that we have indicated in our past

and future filings and reports, including those with the U.S. Securities and Exchange Commission, could adversely affect our business and financial performance.

The words “believe,” “may,” “will,” “aim,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “forecast” and similar words are intended to identify forward-looking

statements. You should not place undue reliance on such statements, which speak only as of the date they were made. We undertake no obligation to update

publicly or to revise any forward-looking statements after we distribute this presentation because of new information, future events or other factors. In light of the

risks and uncertainties described above, the future events and circumstances discussed herein might not occur and are not guarantees of future performance.

Note: The information contained in this presentation is not audited. Nevertheless, the consolidated accounts are prepared on the basis of the accounting principles

and regulations prescribed by the Mexican National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores) for credit institutions, as

amended (Mexican Banking GAAP). All figures presented are in millions of nominal Mexican pesos, unless otherwise indicated. Historical figures are not

adjusted by inflation.

Strategy Execution Driving Performance Gains and Healthy Asset Quality

3Source: Company filings under CNBV GAAP.Notes: 1) Year to date = Annualized loan loss reserves (LTM) as percentage of average loans (LTM).

2) Quarterly ratio = Annualized quarterly opex (1Q19*4) as percentage of annualized quarterly income before opex - net of allowances (1Q19*4).3) Quarterly ratio = Annualized quarterly net income (1Q19*4) as a percentage of average equity (4Q18;1Q19).

Loan book up 9.5% YoY

Growth mainly driven by middle-market, government & mortgages

Deposit base up 5.6% YoY; Individual deposits increased 13.7% YoY

Individual demand deposits +10.0% YoY

Individual term deposits +20.1% YoY

Healthy asset quality

NPL ratio 2.15% -28 bps

Cost of risk1 2.69% -36 bps

Increased profitability, even while deploying final year of our investment plan

Efficiency ratio2 44.81% +4 bps

ROAE3 16.40% +53 bps

Our parent company announced intention to make a voluntary tender offer for

additional 25% ownership; shares to remain listed locally & abroad

1Q19 YoY Var

Sustained System Loan Growth, with Corporates Favoring Bank Loans Over Debt Issuances; High Interest Rate Environment Drives Term Deposits

4Source: CNBV Banks as of February 2019 in billion pesos.Notes: 1) Includes credit cards, payroll, personal and auto loans.

Total Loans Total Deposits

Consumer Loans1 (YoY Growth) Demand Deposits (YoY Growth)

4,772 4,978 5,044 5,185 5,254

11.6%

3Q181Q18

9.6%

2Q18

10.2%

9.3%

4Q18

10.1%

1Q19

YoY Growth

4,708 4,923 4,906 5,076 5,104

1Q18

11.9%

8.4%

10.9%

2Q18

9.6%

3Q18

8.3%

4Q18 1Q19

YoY Growth

3Q182Q181Q18 4Q18 1Q19

8.4%7.6%

7.2% 6.8% 6.4%

4Q182Q18

8.9%

3Q18 1Q191Q18

12.2%

4.3% 3.9% 3.9%

Santander Mexico Delivers c.10% Loan Growth, Balanced Across Segments

5

Source: Company filings under CNBV GAAP, in million pesos.

Total Loans Loan Portfolio Breakdown

4Q18

652,251

1Q18 2Q18 3Q18

630,999

1Q19

680,120 682,848691,226

+1.2%

+9.5%

4Q18 Var YoYContribution to:

Loans NII Loans

High-margin segments:

Middle-market 183,691 11.5%

54.1% 68.9%

SMEs 78,229 7.2%

Credit cards 56,473 5.0%

Consumer 55,577 4.7%

373,970 8.5%

Low-margin segments:

Corporates 95,410 5.2%

45.9% 31.1%Government & Financial Entities 78,664 24.0%

Mortgages 143,182 8.2%

317,256 10.7%

Middle-Market

27%

Corporates14%

Gov&FinEnt11%

SMEs11%

Mortgages21%

Credit Cards

8%

Consumer8%

Hipoteca Plus Supports Solid Organic Mortgage Growth; Credit Card Usage and Payroll Loans Remain Strong

6Source: Company filings under CNBV GAAP, in million pesos.

Market position calculated with CNBV Banks as of February 2019.Notes: 1) Includes payroll, personal and auto loans.

Individual Loans

255,232239,2211Q18 1Q19+6.7%

3Q181Q18

143,182

2Q18 1Q194Q18

132,350135,112

138,535

141,649 +1.1%

+8.2%

1Q192Q181Q18 3Q18 4Q18

53,795

55,037 54,997

56,227 56,473+0.4%

+5.0%

55,577

1Q18 1Q192Q18 3Q18 4Q18

53,07653,763

54,474 54,610 +1.8%

+4.7%

Organic growth accelerating to +12.4% YoY

#2 top mortgage originator, with Hipoteca

Plus accounting for over 70% of new

mortgages

Credit card usage up 11% YoY

3rd largest market player

Increased cross selling to payroll

customers and existing clients

Driving more profitable payroll loans, up 13%

YoY, above market

Originated Ps.700 M in auto loans over the LTM,

bringing this portfolio to close to Ps.1,000 M

Main financial partner for Suzuki Motors in

Mexico

Personal

Payroll

Mortgages Credit Cards Consumer1

Loyalty and Digitalization Initiatives Continue Enhancing Quality of Retail Customer Base

7Notes: 1) Thousands of customers.

2) Monetary transactions of individuals.Figures may vary from those previously reported due to restatements.

Loyal Customers1 Digital Customers1

Digital Transactions / Total Transactions2 Mobile Customers1

1Q18 2Q18 3Q18 1Q194Q18

2,161 2,2262,353

2,5192,652

+22.7%

2,220 2,3482,533

2,8793,227

2Q181Q18 4Q183Q18 1Q19

+45.4%

1,6511,819

2,0362,413

2,784

3Q181Q18 4Q182Q18 1Q19

+68.6%

A loyal

customer

is 4x more

profitable

1Q18

38%

62%

80%

20%

1Q19

15.7%

11.8%

Internet

Mobile

Commercial Loans Up c.11%, While Maintaining Focus on Profitability

8

Source: Company filings under CNBV GAAP, in million pesos.

Commercial Loans

435,994391,7781Q18 1Q19+11.3%

SMEs Middle-Market

Corporates Government & Fin. Ent.

1Q18 2Q18 3Q18

77,389

4Q18 1Q19

72,947

78,22976,915 77,519

+1.1%

+7.2%

95,536

3Q181Q18 4Q182Q18 1Q19

90,692

86,859

95,41097,031

-0.1%

+5.2%

1Q191Q18 2Q18 3Q18

164,713

4Q18

177,662174,750 175,567

183,691

+3.4%

+11.5%

3Q18

63,426

1Q18 2Q18 4Q18 1Q19

69,815

81,99779,775 78,664

-1.4%

+24.0%

Continue Driving Robust Growth in Individual Deposits

9

Total Deposits

Term 33%

67%

34%34%

1Q18 1Q19

33%

66%67%

2Q18 3Q18

34%

66%

4Q18

66%Demand

665,100698,118

680,143 693,812 702,644+1.3%

+5.6%

Demand Deposits

463,941

1Q18 1Q19

445,927

+4.0%

+10.0%Individuals

Corporate +1.9%

Term Deposits1

1Q18 1Q19

219,173238,703

+8.9% Total Individuals & SMEs deposits – up 13.7% and

9.9%, respectively

Commercial focus to attract payrolls continues to drive

individual demand deposits, increasing their share in

demand deposits by 150 bps YoY and in total

deposits by 320 bps

Higher interest rates favor term deposit growth

Source: Company filings under CNBV GAAP, in millions pesos.Notes: 1) Includes money market.

Individuals

Corporate

+20.1%

+3.8%

Maintaining Healthy Balance Sheet, Capitalization Levels and Debt Profile

10

Net Loans to Deposits1

Debt Maturity CET1 and Capitalization

Diversified funding sources and strong maturity

profile

Healthy net loan to deposit ratio below 100%

supports growth opportunities

LCR2 of 166.29%, well above 100% Banxico

regulatory requirement

Tier 1 ratio increased 106 bps to 13.50%

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Loans net of allowances divided by total deposits (Demand + Term).

2) LCR = Liquidity Coverage Ratio.3) Including additional Tier 1 Capital Notes issued in December 2016.4) 1Q19 is preliminary.

2Q181Q18 3Q18

90.56%

4Q18 1Q19

97.00%

91.88%

95.38% 95.41%

16,311 15,798

6,163

23,957

3,000

20262019 2020 20222021 2027+

34,8833

11.19 10.76 11.48 11.04 12.19

4Q18

15.71%

1Q18 2Q18 3Q18 1Q194

Tier 2

16.02%

AT1

CET1

15.52% 15.91%16.90%

Sustained Loan Growth and Profitability Focus Across the Balance Sheet Drive c.13% increase in NII

11

Net Interest Income and NIM1

NII grew 12.5% YoY, principally due to:

Strong interest income from:

Loan portfolio: +13.9%

Investment in securities: +6.8%

1Q19 NIM improved 6 bps YoY to 5.58%

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Quarterly = Annualized net interest income (1Q19*4) divided by daily average interest earnings assets (1Q19)

2Q18 4Q18

5.665.52

3Q181Q18

5.27 5.445.58

1Q19

14,615 14,795

15,79516,203 16,449

+1.5%

+12.5%

Net Fees Rise c.9% on Strong Growth in Credit Card Usage, Insurance and Advisory Fees, While Cash Management Fees Decline

12

Net Commissions and Fees

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Includes fees from collections and payments, account management, checks, foreign trade and others.

1Q18 2Q18 3Q18 4Q18 1Q19

4,069

4,262 4,271 4,230

4,426

+4.6%

+8.8%

Credit Cards30%

Insurance26%

Cash Management*24%

Investment Funds

8%

Financial advisory services

8%

Purchase-sale of securities and money market transactions

4%

Var YoY1Q18 4Q18 1Q19 $$ %

Credit Cards 1,106 1,298 1,340 234 21.2%

Insurance 999 1,081 1,137 138 13.8%

Cash Management* 1,206 1,182 1,073 (133) (11.0%)

Investment Funds 394 395 370 (24) (6.1%)

Financial advisory services 293 212 345 52 17.7% Purchase-sale of securities and money market transactions

71 62 161 90 126.8%

Net commisions and fees 4,069 4,230 4,426 357 8.8%

Core Earnings Rise c.12% YoY and c.5% Sequentially, with Trading Gains Still Below Historical Average Levels

13

Gross Operating Income1

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Gross operating income does not include other income.

4Q18

21,207

3Q182Q181Q18 1Q19

20,245

18,972

20,106

20,909+4.8%

+11.8%

Var YoY

1Q18 4Q18 1Q19 Var $$ Var % Net Interest Income 14,615 16,203 16,449 1,834 12.5%Net Commissions and Fees 4,069 4,230 4,426 357 8.8%

Market related revenue 288 (188) 332 44 15.3%

Gross Operating Income1 18,972 20,245 21,207 2,235 11.8%

Net Interest Income77.6%

Net Commissions and Fees

20.9%

Market related revenue

1.6%

3M193M18

3.05%

2.69%

-36bps

Asset Quality Improves Across the Business, with CoR Declining 36 bps YoY

14

Loan Loss Reserves (LLR)

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Year to date = Annualized loan loss reserves (LTM) as percentage of average loans (LTM).

2) Commercial loans include: Middle-Market, SMEs, corporates, financial institutions and government.

1Q18 3Q18

4,796

2Q18 4Q18 1Q19

3,9804,137

4,838

4,318 -10.7%

+4.4%

Cost of Risk1

1Q18 2Q18 3Q18 4Q18 1Q19

3.05%2.90%

2.77% 2.72% 2.69%-3bps

-36bps

1Q18 4Q18 1Q19Var YoY

(bps)Var QoQ

(bps)Consumer 3.89% 3.84% 3.65% (24) (19)

Credit Card 4.22% 4.28% 4.08% (14) (20)

Other consumer 3.55% 3.40% 3.22% (33) (18)

Mortgages 4.43% 4.36% 3.74% (69) (62)

Commercial2 1.36% 1.31% 1.24% (12) (7)

SMEs 1.74% 1.90% 2.16% 42 26

NPL ratio 2.43% 2.36% 2.15% (29) (21)

Efficiency Relatively Stable YoY and Improved Sequentially, Driven by Strong Earnings Quality Despite Near-Term Impact from Strategic Initiatives

15

Administrative & Promotional Expenses

Source: Company filings under CNBV GAAP, in million pesos. Notes: 1) Quarterly = Annualized opex (1Q19*4) divided by annualized income before opex - net of allowances (1Q19*4).

Efficiency1

1Q18 3Q182Q18

9,256

4Q18 1Q19

8,2188,845 9,003 9,228

+0.3%

+12.6%

44.77%

4Q181Q18 1Q192Q18 3Q18

46.63%

44.98%44.18%

44.81% -182bps

+4bps

Expenses Breakdown & Performance

Var YoY

1Q18 4Q18 1Q19 $$ %

Personnel 3,617 3,156 3,865 248 6.9% Admin expenses 3,164 4,424 3,701 537 17.0%IPAB 742 818 812 70 9.4%

Dep and amort. 695 830 878 183 26.3%

Admin & prom expenses 8,218 9,228 9,256 1,038 12.6%

Net Income Up c.12% YoY and c.15% Sequentially, with ROAE Expanding to 16.4%

16Source: Company filings under CNBV GAAP, in million pesos.Notes: 1) Quarterly = Annualized net income (1Q19x4) divided by average equity (4Q18,1Q19).

Net Income ROAE1

Effective Tax Rate Profit Before Taxes

1Q191Q18 3Q182Q18

5,171

4Q18

4,5904,727

5,0965,291

+15.3%

+11.9%

1Q18 1Q193Q182Q18 4Q18

15.87%

17.33%16.74%

15.18%

16.40%

+122bps

+53ps

4Q18 1Q192Q181Q18

25.29%

3Q18

21.22%

24.38%22.52%

19.81% +548bps

+407bps

1Q18 2Q18 3Q18

5,724

4Q18 1Q19

6,000

6,8386,577

7,082

+23.7%

+18.0%

Santander México Confirms 2019 Guidance

171) According to changes in accounting criteria issued by the National Banking and Securities Commission in 2018 - Recognition of the recovery of credits previouslycancelled against the item "Allowance for loan losses" .

Total Loans Δ 7%-9%

Total Deposits Δ 7%-9%

Cost of Risk (Net of recoveries) 2.8%-3.0%1

Cost of Risk (Comparable) 3.1%-3.3%

Expenses Δ 10%-12%

Tax Rate 24% - 25%

Net Income Δ 5%-7%

Metrics 2019 Target

Questions and Answers

19

Annexes

Macroeconomic

20Source: INEGI, Banxico and Santander

*Revised from previous quarter

GDP Growth (%)Average Exchange Rate

(MXP/USD)

Annual Inflation Rate (%)Central Bank Monetary Policy

(%, end of year)

2.1 2.0

1.7 1.7

2017 2020E2018 2019E 2021E

1.0*

18.9 19.220.8

2017

19.7*

2018 2019E 2020E 2021E

20.5*

6.8

4.8

3.93.5 3.5

2017 2020E2018 2019E 2021E

7.258.25 8.00

2017 2018 2019E 2020E 2021E

7.50*7.00*

19.9

1.5

20.0

Consolidated Income Statement

21Source: Company filings under CNBV GAAP, in million pesos.

1Q19 4Q18 1Q18% Change

QoQ YoYInterest income 30,773 30,489 25,988 0.9 18.4Interest expense (14,324) (14,286) (11,373) 0.3 25.9Financial margin 16,449 16,203 14,615 1.5 12.5Allowance for loan losses (4,318) (4,838) (4,137) (10.7) 4.4Financial margin after allowance for loan losses 12,131 11,365 10,478 6.7 15.8Commision and fee income 6,016 5,885 5,490 2.2 9.6Commision and fee expense (1,590) (1,655) (1,421) (3.9) 11.9Net gain /(loss) on financial assets and liabilities 332 (188) 288 (276.6) 15.3Other operating income / (loss) (551) (455) (617) 21.1 (10.7)Administrative and promotional expenses (9,256) (9,228) (8,218) 0.3 12.6Total operating income 7,082 5,724 6,000 23.7 18.0Income taxes (1,791) (1,134) (1,273) 57.9 40.7Net income 5,291 4,590 4,727 15.3 11.9

Consolidated Balance Sheet

22Source: Company filings under CNBV GAAP, in million pesos.

Mar-19 Dec-18 Mar-18% Change

QoQ YoYCash and due from banks 73,680 70,151 89,137 5.0 (17.3)Margin accounts 3,521 3,689 2,812 (4.6) 25.2Investment in securities 241,293 317,781 275,640 (24.1) (12.5)Debtors under sale and repurchase agreements 63,768 37,881 38,500 68.3 65.6Derivatives 135,612 162,891 149,144 (16.7) (9.1)Valuation adjustment for hedged financial assets 77 6 (4) 1,183.3 —Total loan portafolio 691,226 682,848 630,999 1.2 9.5Allowance for loan losses (20,836) (21,100) (19,874) (1.3) 4.8Loan portafolio (net) 670,390 661,748 611,125 1.3 9.7Accrued income receivable from securitization transactions 113 127 123 (11.0) (8.1)Other receivables (net) 79,046 89,089 87,424 (11.3) (9.6)Foreclosed assets (net) 241 270 455 (10.7) (47.0)Property, furniture and fixtures (net) 8,841 8,714 6,360 1.5 39.0Long-term investment in shares 90 91 91 (1.1) (1.1)Deferred taxes (net) 18,986 20,418 19,561 (7.0) (2.9)Deferred charges, advance payments and intangibles 8,601 8,679 7,837 (0.9) 9.7Other assets 35 35 44 0.0 (20.5)Total assets 1,304,294 1,381,570 1,288,249 (5.6) 1.2

Deposits 750,154 738,537 711,217 1.6 5.5Bank and other loans 57,574 57,083 39,259 0.9 46.7Creditors under sale and repurchase agreements 65,455 100,689 101,085 (35.0) (35.2)Securities loans 0 1 1 (100.0) (100.0)Collateral sold or pledged as guarantee 24,006 30,539 23,084 (21.4) 4.0Derivatives 134,917 163,206 148,910 (17.3) (9.4)

Valuation adjustment of financial liabilities hedging (19) (24) 0 — —

Other payables 104,521 128,318 109,159 (18.5) (4.2)Subordinated debentures 34,819 37,228 32,958 (6.5) 5.6Deferred revenues 501 300 444 67.0 12.8Total liabilities 1,171,928 1,255,877 1,166,117 (6.7) 0.5

Total stockholders' equity 132,366 125,693 122,132 5.3 8.4

Thank you.

Our purpose is to help people

and business prosper.

Our culture is based on believing

that everything we do should be: