Addiko Bank (ADKO) Q2 2026 earnings summary

Executive summary

• Net loss after tax of €23.0m for 1H26, driven by €41.0m Swiss franc-related legal provisions and €8.4m takeover advisory costs; adjusted profit after tax was €19.1m, with adjusted RoATE of 4.4%.

• Net banking income stable at €155.5m (+0.3% YoY); net interest income at €117.2m; net commission income up 2.8% YoY to €38.3m.

• Underlying business remained resilient, with strong asset quality and capital position (CET1 ratio at 21.3%), despite regulatory and market headwinds.

• Two competing takeover offers were launched; RBI secured 55.55% of share capital, triggering a transition phase and pending regulatory approval.

• Operating result before impairments and provisions: €37.9m (-26.7% YoY), impacted by exceptional costs.

Financial highlights

• Net banking income stable at €155.5m, despite regulatory measures reducing revenue potential by over €10m annually.

• General administrative expenses rose 14.5% YoY to €111.5m, mainly due to takeover costs and wage inflation.

• Loan-to-deposit ratio at 70.5%; liquidity coverage ratio around 280%; CET1 ratio at 21.3%.

• Net interest margin at 3.7% (flat YoY); cost/income ratio at 71.7% (up 8.9pts YoY).

• NPE ratio stable at 2.6%; NPE coverage at 80.2%.

Outlook and guidance

• Guidance remains suspended due to uncertainties from the takeover process, legal developments, and potential carve-out of non-EU subsidiaries.

• Strategic initiatives and investments, especially in Romania, are being reassessed pending greater clarity on future priorities.

• Future earnings profile expected to change significantly post-transaction; potential negative P&L and capital impact from non-EU disposals.

• Group focus remains on disciplined execution, risk management, and capital preservation.

• Macroeconomic outlook for core markets remains positive but with heightened uncertainty from geopolitical and regulatory factors.