Eurobank Ergasias Services and Holdings (EUROB) Q4 2025 earnings summary

Executive summary

• FY2025 results exceeded expectations, with adjusted net profit of €1,412m, ROTBV at 16.0%, and EPS at €0.37; half of profits from non-Greek operations.

• Organic loan growth reached €5.4bn (+12% y-o-y), deposits up €4.1bn (+5% y-o-y), managed funds +30% (€2.3bn), and private banking up 12%.

• M&A activities consolidated Cyprus operations and expanded insurance and asset management via Eurolife acquisition in Greece.

• Shareholder payout for 2025 is 55% of profits (€717m), including a 12.7% higher dividend and €288m buyback.

• SEE operations contributed €741m net profit, representing over half of group profitability.

Financial highlights

• Net interest income up 1.7% y-o-y to €2,549m; fee and commission income up 15.7% to €770m; core operating income up 8% QoQ.

• Cost-to-income ratio improved to 37.3% in 2025, projected to decline to 35% by 2028.

• CET1 ratio at 15.6%, with a capital buffer over 300bps above OCR; total capital adequacy at 20.0%.

• NPE ratio improved to 2.6% with coverage at 95.2%.

• Tangible book value per share rose 7.8% y-o-y to €2.49.

Outlook and guidance

• 2026-2028 plan targets ROTBV of ~17% by 2028, EPS CAGR of ~10%, and cumulative payout rising ~50% versus 2023-25.

• Organic loan growth to average 7.5% annually; Cyprus and Bulgaria close to 10%.

• Managed funds expected to grow at ~21% CAGR; insurance and wealth management fees to rise 30%.

• NII expected to reach €2.6bn in 2026 and €3bn in 2028; fee income to exceed €1bn in 2028 (26% of total income).

• Cost of risk to decline to 55bps in 2026 and 50bps by 2028; NPE ratio to remain near 2.5%.