Banco Comercial Português (BCP) Q3 2025 (Media) earnings summary

Executive summary

• Net income reached €775.9 million in the first nine months of 2025, up 8.7% year-over-year, with ROE at 14.6% and ROTE at 15.2%.

• Portugal contributed €654.5 million in net income (+8.0%), while international operations delivered €230.7 million (+19.8%), notably Bank Millennium with €202.0 million despite CHF mortgage provisions.

• Customer funds grew 8.6% to €109.5 billion and loans to customers increased 4.9% to €61.5 billion.

• Non-performing exposures (NPE) reduced by €332 million, with cost of risk at 31 bps, down from 38 bps year-over-year.

• Digital transformation accelerated, with mobile customers up 9%, digital sales at 85%, and digital transactions representing 99.6% of total operations.

Financial highlights

• Net interest income rose 2.6% to €2,166.6 million; commissions increased 4.0% to €628.8 million.

• Operating costs increased 9.2% to €1,032.5 million; cost-to-income ratio at 35%-37% group-wide.

• Core operating profit stable at €1,762.9 million (-0.4%), profit before impairment and provisions up 2.7% to €1,792.4 million.

• Loan impairment charges fell 15.7% to €141.0 million; legal risk provisions on CHF mortgages in Poland decreased 10.7% to €310.4 million.

• Net trading income surged to €80.7 million from €29.3 million, mainly due to lower costs in Polish mortgage conversions.

Outlook and guidance

• Strategic targets for 2028 include business volumes over €190 billion, more than 8 million customers, cost-to-income below 40%, and CET1 ratio above 13.5%.

• Shareholder distribution up to 75% of cumulative net income for 2025-2028, subject to capital and business targets.

• Capital and liquidity positions expected to remain robust, supporting further growth.

• Management continues to focus on prudent risk, capital, and liquidity management amid global uncertainties.

• Cost-to-income expected to remain below 40% group-wide and below 37% in Portugal.