Crédit Agricole (ACA) CMD 2025 summary

Strategic ambitions and growth targets

• Aims to be a leading European bank and consolidator, leveraging presence in multiple countries, focusing on organic growth but open to M&A in Italy, Germany, and Poland if opportunities arise.

• Targets 60 million customers, 60% of revenues generated outside France, and a cost-income ratio below 55% by 2028, with over €30bn in revenues.

• Plans to achieve net income above €8.5 billion and return on tangible equity above 14% by 2028, with a prudent capital management approach and a CET1 ratio above 17% at group level.

• Revenue growth is expected to exceed 3.5% per year, driven by dynamic business lines, strict cost control, and prudent risk management.

• External growth opportunities will be considered if they meet strict financial and strategic criteria, but the plan is based on organic growth.

Business development and digital transformation

• Retail banking in France will expand digital touchpoints, target youth, affluent, SME, and mid-cap segments, and leverage Crédit Agricole, LCL, and BforBank brands.

• BforBank will accelerate customer acquisition, especially in savings and investment, aiming for break-even by 2028-2029 and leveraging its IT platform for European expansion.

• European strategy includes launching a digital savings and deposits platform in eight countries, starting in Germany in 2026, and expanding digital offers for professionals and agriculture.

• Transformation pillar emphasizes speed, efficiency, and strategic autonomy, with major investments in technology, group-wide data and AI platforms, and a focus on digital trust and regulatory excellence.

• Major simplification and digitalisation initiatives include a Group KYC platform, new digital trust business line, and investments in AI, data, and quantum research.

Sustainability, demographic, and financial guidance

• Sustainability strategy shifts from sustainable to regenerative economy, targeting a green-to-brown financing ratio of 90-10, €240 billion in transition financing, and 600,000 homes retrofitted by 2028.

• Demographic strategy addresses aging populations with solutions for wealth transfer, retirement savings, and healthy aging, aiming for leadership in group and individual retirement in France and Europe.

• Financial guidance includes maintaining a CET1 ratio above 17%, a cost-to-income ratio below 55%, and double-digit RONEs across all business lines.

• Dividend policy remains at 50% payout, with the introduction of an interim dividend from 2026.

• Flexibility for value-creating M&A exists, but excess capital will be returned to shareholders if not deployed.