CaixaBank (CABK) Q1 2026 earnings summary

Executive summary

• Net income reached €1,572M in 1Q26, up 7% year-over-year, reflecting strong earnings resilience and robust commercial activity despite market volatility and geopolitical uncertainty.

• Business volume grew by 6.6% year-over-year to €1.1 trillion, with customer funds up 6.3% and performing loans up 7.2%.

• Customer base expanded to 20.8 million in Spain and Portugal, with 372,000 net new customers added in the past 12 months.

• Asset quality reached record levels, with NPL ratio at 1.98% and coverage at 79%, supporting a low cost of risk of 23 bps.

• Shareholder value creation continued with a new €500M share buyback and a 15% year-over-year increase in book value per share and dividend per share.

Financial highlights

• Net interest income was €2,662M, up 0.6% year-over-year, with gross income at €4.13 billion, up 2.9%.

• Revenues from services rose 7.5% year-over-year, driven by wealth management (+9.5%) and protection insurance (+13.5%).

• Total operating expenses increased 4.6% year-over-year, keeping the cost-to-income ratio at 39.6%, well below the euro area peer average.

• Pre-impairment income grew 1.8% year-over-year to €2,475M.

• EPS for the last 12 months was €0.85, up from €0.83.

Outlook and guidance

• FY26e ROTE guidance improved to above 18%, with all other targets reiterated.

• NII expected to exceed €11Bn in FY26, with revenues from services and operating costs projected to rise by 5% and 4.5%, respectively.

• Cost of risk is expected to remain below 0.25% for FY26.

• CET1 management target for 2026 remains at 11.5%-12.5%, with a cash payout target of 50-60%.

• Strategic Plan 2025-2027 focuses on accelerating growth, business transformation, and sustainability.