BRD - Groupe Société Générale (BRD) Q4 2024 earnings summary

Executive summary

• Achieved strong commercial performance in 2024, with significant growth in lending and digital engagement, fully aligned with strategic priorities.

• Net profit for 2024 reached RON 1,524m, with ROE at 16.6%, despite a decrease from 2023.

• Gained market share in both corporate and retail lending, supported by robust SME and green financing initiatives.

• Digital transformation advanced, with 1.7m app users (+20% y/y) and 30.5m transactions (+28% y/y).

• Recognized with multiple awards for excellence, sustainability, and digital innovation.

Financial highlights

• Outstanding loan portfolio grew 19% year-over-year; corporate loans up 29%, consumer loans up 49%, and new housing loans up 63%.

• Net banking income rose 5.2% year-over-year to RON 4,032m; net interest income up 6.8%.

• Deposits increased 9% year-over-year, maintaining a strong liquidity position.

• Gross operating income grew 3.6% year-over-year, but would have exceeded 10% excluding the new turnover tax.

• Net impairment loss on financial instruments was RON 145.3 million, compared to a gain of RON 57.4 million in 2023.

Outlook and guidance

• Sufficient liquidity and capital to support continued growth in 2025.

• Lending expansion expected to continue, supported by robust capital and liquidity positions.

• Dividend distribution pending approval from the National Bank of Romania.

• Cost of risk expected to remain within comfortable guidance levels.

• Further digitalization and sustainability initiatives planned, building on 2024 achievements.