Türkiye Is Bankasi (ISCTR) Q3 2025 earnings summary

Executive summary

• Delivered strong Q3 and 9M 2025 results with robust swap-adjusted net interest margin, disciplined cost management, and sustainable, value-adding growth.

• Achieved net profit of TL 44 billion for 9M 2025, with total assets at TL 4.2 trillion and shareholders' equity at TL 380.6 billion.

• Maintained solid capital and liquidity metrics, supporting future growth and regulatory compliance.

• Strong digitalization focus, winning multiple digital banking awards.

Financial highlights

• Swap-adjusted net interest income rose 116% quarter-on-quarter and nearly 4x year-on-year; net interest income for 9M 2025 was TL 204.3 billion.

• Net fee income grew 10% sequentially and 47% year-on-year; for 9M 2025, net fees and commissions reached TL 95.8 billion, up 46.9% year-on-year.

• Total assets reached TL 4.2 trillion, up 27% year-to-date; loans grew 30.7% and deposits up 34%.

• Year-over-year net profit increased by 78% in Q3; for 9M 2025, net profit was TL 44 billion.

• Operating expenses increased to TL 104.4 billion for 9M 2025; annual OpEx growth limited to 24%.

Outlook and guidance

• 2025 guidance: TL loan growth ~35% year-over-year, NIM expansion ~350 bps, net fees & commissions growth ~50%, OPEX growth ~50%, NPL ratio ~3%, net cost of risk ~200 bps, CAR >15%, ROAE ~25%.

• NIM expected to reach 5% by year-end; return on equity projected at about 20% for the full year, with further improvement anticipated in 2026.

• NPL ratio expected to close the year near 3%, with cost of risk around 200 basis points.

• OpEx growth guidance remains at average CPI, with further efficiency gains targeted through digitalization and process automation.

• The bank aims to maintain strong capital, liquidity, and support for the real economy, focusing on digitalization and sustainable growth.