Avanza Bank (AZA) Q4 2025 earnings summary

Executive summary

• Achieved record full-year results for 2025, with all-time high revenues of SEK 4,495 million and net profit of SEK 2,631 million, both up 17% year-over-year.

• Customer base grew by 171,000 to 2,242,700, with SEK 54 billion net inflow despite challenging market conditions and wind-down of external deposit products.

• Maintained Sweden's most satisfied savers for the 16th consecutive year, with an NPS of 41 and recognized as one of the country's most attractive employers.

• Board proposes a dividend of SEK 12.75 per share, a payout ratio of 76%, exceeding the 70% target.

Financial highlights

• Operating profit for 2025 was SEK 3,078 million, up 17% year-over-year; operating margin reached 68% for the year.

• Operating income rose 15% to SEK 4,495 million; EPS reached SEK 16.57, up 16% year-over-year.

• Full-year costs increased by 10.4%, slightly below the 11% guidance.

• Return on equity at 40%, meeting or exceeding the 35% target.

• Cost-to-savings capital ratio improved to 14.1 basis points from 14.5 in 2024.

Outlook and guidance

• Forecasts a 9% cost increase in 2026, driven by investments in Swedish growth, Private Banking, occupational pensions, and cloud migration.

• Long-term target remains an average annual cost growth of 8% through 2030, aiming for 5% by 2030.

• Expects Swedish savings market to rebound in 2026 due to lower rates, expansionary fiscal policy, and real wage growth.

• Ongoing closure of external savings accounts expected to complete by May 2026, with continued outflows of around SEK 8 billion.

• Targeting average annual savings capital growth of 15% through 2030; 2025 growth was 13%.