MBH Bank (MBHBANK) H2 2025 earnings summary

Executive summary

• Adjusted profit after tax reached HUF 204.4 bn in FY 2025, down 10.9% year-over-year, with accounting profit after tax at HUF 165.1 bn, a 17.2% decrease year-over-year. Adjusted ROE was 17.5% for FY 2025, while accounting ROE was 14.1%.

• Gross operating income for FY 2025 was HUF 548.1 bn, a 14% decrease year-over-year, mainly due to lower net interest income and fair value results.

• The loan book grew by 3.7% year-over-year, with both retail and corporate segments contributing to the increase. Customer deposits rose by 3.6% year-over-year, with a significant 5.5% quarterly increase in 4Q 2025.

Financial highlights

• Net interest income for FY 2025 was HUF 450.1 bn, down 8.9% year-over-year. Net fee and commission income increased by 10.3% to HUF 107.5 bn.

• Operating expenses rose by 11.4% year-over-year to HUF 361.1 bn, with a cost-to-income ratio of 65.9% for FY 2025.

• Total risk cost was a release of HUF 50.5 bn in FY 2025, with NPL coverage at 102.6% and NPL ratio at 3.5%.

• Capital adequacy ratio (CAR) stood at 22.1% and CET1 at 19.5% at year-end 2025.

• Liquidity remained strong with LCR at 145.4% and NSFR at 126.5% in 4Q 2025.

Outlook and guidance

• The macroeconomic environment is expected to remain challenging, with inflationary pressures and regulatory changes impacting profitability.

• The bank anticipates continued focus on cost management and maintaining strong capital and liquidity positions.