Yapi ve Kredi Bankasi (YKBNK) Q4 2025 earnings summary

Executive summary

• 2025 pre-tax profit rose 94% and adjusted net profit rose 79%, supported by strong core banking revenues and margin expansion.

• Reported net profit reached TL 47.1 billion, up 62% year-over-year; a one-off tax regulation affected reported results.

• Technology and human-capital investments supported operational efficiency and future growth.

Financial highlights

• Core revenues grew 81% to TL 190.2 billion; total revenues increased 78% to TRY 218 billion.

• Net interest margin expanded 151bps year-over-year to 2.4% cumulatively, reaching 2.6% in Q4.

• Fee and commission income rose 50%, exceeding guidance; net interest income increased 82%.

• Trading income increased 67% year-over-year, driven by customer transactions and treasury activities.

• Operating costs rose 53% to TL 124.1 billion, reflecting ongoing investments.

Outlook and guidance

• 2026 assumptions include inflation of 23–24% and a policy rate near 29–30%.

• Turkish lira loan growth targeted at 30% or higher; foreign-currency loan growth in low single digits.

• Net interest margin expected to improve by at least 100bps.

• Fee growth expected to track inflation; cost growth capped below 35%.

• ROTE targeted in the high 20s, at least 5% above inflation; NPL ratio expected below 4%.