Bancolombia (CIB) Q4 2025 earnings summary

Executive summary

• Achieved COP 3.8 trillion in net income and 9.1% ROE, impacted by a one-off COP 3.4 trillion impairment from Banistmo's divestment; excluding this, net income would have been COP 7.3 trillion and ROE 17.2%.

• 2025 marked a milestone with the corporate evolution into Grupo Cibest, a share buyback program, and Banistmo divestiture, all aimed at unlocking shareholder value.

• Digital businesses Nequi and Wompi reached breakeven in Q4, with digital platforms showing double-digit growth in users, transactions, and financial income.

• Proposed dividend of COP 4.3 trillion (COP 4,512 per share), a 14.6% annual increase, to be paid in four installments; 60% payout ratio proposed.

• Share buyback program executed 31.9%–32% of authorized amount, supporting share price performance.

Financial highlights

• Loan portfolio declined 8.3% year-over-year due to Banistmo reclassification and FX effects; excluding these, loans grew 7.2%.

• Deposits contracted 5.2% but grew 10.2% excluding accounting and FX impacts; savings accounts up 16.1%.

• Net interest income decreased 5.3% year-over-year, but up 1% excluding accounting impacts; NIM at 6.5%.

• Net fee income rose 4.3% (10.4% excluding impacts), driven by cards, brokerage, and trust services; net fee and service income grew 22.68% year-over-year.

• Net provisions fell 19% to COP 4.4 trillion; cost of risk at 1.8% (1.6% excluding Banistmo effects).

Outlook and guidance

• 2026 guidance: loan growth 7–8%, NIM 6.8–7%, cost of risk 1.6–1.8%, efficiency ~49%, ROE 18–18.5%.

• Effective tax rate guidance at 28–30%, with extra provisions for potential new tax decrees.

• Macroeconomic headwinds include higher inflation, rising rates, and fiscal uncertainty; GDP growth 3.2%, inflation 6.4%, policy rate 11.0%.

• Nequi guidance: user growth 5%, loans +50%, deposits +10%, total income +40% for 2026.

• Forward-looking statements highlight risks from macroeconomic changes, exchange rate volatility, and competitive pressures.