Raiffeisen Bank International (RBI) Q1 2025 earnings summary

Executive summary

• Consolidated profit reached €705 million in Q1 2025, up 6.3% year-over-year and 6% quarter-over-quarter; adjusted profit excluding Russia was €260 million, up 104% quarter-over-quarter.

• Main revenues rose 5% to €2,172 million, with net interest income up 5.3% to €1,504 million and net fee and commission income up 4.4% to €668 million.

• Return on equity was 15.0% for the group and 7.3% excluding Russia; CET1 ratio at 18.8% (transitional, including results), and 15.9% excluding Russia.

• General administrative expenses grew 8.2% to €995 million, mainly due to higher staff costs and increased transaction taxes in Hungary; cost/income ratio increased to 43.3% (55.0% excluding Russia).

• Equity rose €1.5 billion to €21.8 billion, supported by profit and positive currency effects, especially from the Russian ruble.

Financial highlights

• Profit before tax up 14.9% year-over-year to €1,044 million; profit after tax up 5.8% to €763 million.

• Net interest margin improved to 3.06%; average interest-bearing assets up 2%.

• Loans to customers grew 1% quarter-over-quarter to €100.98 billion; deposits from customers up 2% to €120.0 billion.

• NPE ratio decreased to 1.9% (from 2.1% at year-end), with NPE coverage ratio at 48.4%.

• CET1 ratio (transitional) at 18.3% (18.8% including Q1 results); leverage ratio at 8.1%.

Outlook and guidance

• 2025 guidance (excluding Russia): net interest income ~€4.15bn, net fee and commission income ~€1.95bn, OPEX ~€3.45bn, cost/income ratio ~52.5%.

• Provisioning ratio (excluding overlays) up to 50 bps; consolidated ROE expected around 10%.

• Year-end CET1 ratio expected at ~15.2% in a Russia deconsolidation scenario.

• Loan growth expected mainly from Slovakia, Czechia, and Romania; retail demand resilient.

• Guidance for 2025 remains unchanged despite ongoing geopolitical and regulatory risks.