Erste Group Bank (EBS) H2 2024 earnings summary

Executive summary

• Achieved all 2024 financial targets, driven by strong performance in Central and Eastern Europe (CEE) markets.

• CEE contributed 66% of overall net profit in 2024, up from 57% in 2023, highlighting its role as the group's growth engine.

• Continued digital leadership with 11.9 million George platform users, supporting customer engagement and operational efficiency.

Financial highlights

• Operating income rose by 5.9% year-over-year to €11,178 million, with net interest income up 4.2% and fee income up 11.3%.

• Operating expenses increased by 5.2% year-over-year, mainly due to higher IT and personnel investments.

• Net result improved by 4.3% year-over-year, reflecting higher operating income and controlled risk costs.

• Deposits grew by 3.8% and net loans by 4.9% year-over-year, with a stable loan-to-deposit ratio of 90.2%.

Outlook and guidance

• GDP growth in CEE forecasted at 2.6% for 2025, outpacing the Eurozone and USA.

• Loan growth expected to remain robust, especially in Romania, Czechia, and Croatia.