Bancolombia (CIB) Q3 2025 earnings summary

Executive summary

• Net income attributable to shareholders for 3Q25 was COP 2.1 trillion, up 19.7% from 2Q25 and 42.8% from 3Q24, with quarterly annualized ROE at 20.4%, driven by resilient margins and improved asset quality.

• Consumer loans and digital platforms like Nequi gained traction, supporting higher yields and achieving positive net income, marking a milestone in digital banking profitability.

• The share buyback program, launched in July, executed 26.7% of the authorized amount by quarter-end, enhancing ROE and valuation metrics.

• The new holding company structure and digital initiatives, including Breve and Nequi, position the group for sustained value creation.

Financial highlights

• Net interest income was COP 5.3 trillion, up 1.5% quarter-over-quarter and 2.9% year-over-year, with NIM stable at 6.6%.

• Loans grew 3.9% year-over-year and 0.1% quarter-over-quarter; deposits up 8.3% year-over-year but down 0.5% sequentially.

• Net provisions dropped 24% quarter-over-quarter and 48% year-over-year, with cost of risk at 1.18%, the lowest in the past year.

• Operating expenses decreased 2.4% quarter-over-quarter, with efficiency ratio at 48.5%.

• Net fee and service income increased 4.1% from 2Q25 and 9.5% year-over-year, driven by payments, trust, and brokerage services.

Outlook and guidance

• 2025 year-end loan growth revised to 3.5% (6% net of FX), with 2026 guidance at 7%.

• NIM expected at 6.5% for 2025 and 6.3%-6.5% for 2026; cost of risk projected at 1.5%-1.7% for 2025 and 1.6%-1.8% for 2026.

• Operational efficiency forecast at 50%, with ROE guidance at 17% for 2025 and 16%-17% for 2026.

• Nequi expected to reach full quarterly breakeven by Q1 2026.

• Macroeconomic assumptions: 2025 GDP growth at 2.6%, inflation at 5.1%, and policy rate at 9.25%.