BAWAG Group (BG) Q3 2025 earnings summary

Executive summary

• Net profit for Q3 2025 was €219 million, with EPS of €2.77 and ROTCE of 27.8%.

• Pre-provision profit for Q3 was €354 million, with a cost-to-income ratio of 36.1%.

• Integration of Knab and Barclays Consumer Bank Europe progressing well, supporting operational efficiencies and a digital-first strategy.

• Average customer loans increased 1% and deposits decreased 2% quarter-over-quarter.

• Solid credit performance continued, with risk costs at €52 million and a risk-cost ratio of 37 basis points.

Financial highlights

• Core revenues in Q3 2025 were €554 million, up 43% year-over-year; net interest income €460 million, up 48% year-over-year.

• Operating expenses in Q3 were €200 million, up 58% year-over-year; cost-to-income ratio at 36.1%.

• CET1 ratio stood at 14.1% after dividend accrual and share buyback.

• €175 million share buyback completed, reducing shares outstanding by 1.6 million and by 23% since IPO.

• Liquidity coverage ratio (LCR) at 201%; NPL ratio at 0.8%.

Outlook and guidance

• On track to exceed 2025 targets, expecting net profit above €800 million and EPS over €10.

• Operating expenses for 2025 guided at approximately €800 million, with Q4 expected below €200 million.

• Continued positive trends anticipated in net interest and commission income for Q4.

• Management reconfirms mid-term targets and expects to outperform full-year 2025 targets.

• Risk cost ratio for FY 2025 expected at ~40bps.