Bank Polska Kasa Opieki (PEO) Q4 2025 earnings summary

Executive summary

• Achieved record net profit of PLN 7.015 billion in 2025, up 10% year-over-year, with strong growth in lending (+8% y/y) and commission income (+11% y/y), and market share gains in key segments.

• Maintained robust profitability and capital position, with return on equity exceeding PLN 7 billion and Tier 1 at 15.0%.

• All business segments contributed to performance, with double-digit growth in key lending areas and digital channel expansion (+10% y/y).

• Focused on digital transformation, ESG initiatives, and strengthening customer relationships across retail, SME, and corporate banking.

• The consolidated financial and sustainability statements for 2025 received an unqualified audit opinion, confirming compliance with IFRS, Polish law, and the Bank's statute.

Financial highlights

• Total customer financing portfolio exceeded PLN 200 billion (+8% y/y); assets reached PLN 352 billion (+5% y/y).

• Loans grew 8% year-over-year; retail loans up 5%, corporate loans up 11%, and cash loans up 13%.

• Net interest income grew by 6% y/y, and net fee and commission income rose by 11% y/y.

• Cost of risk at 39 basis points, well below the strategic assumption of 65-70 bps.

• Deposit base increased by 4% y/y; mutual fund assets up 28% y/y; own issues up 37% y/y.

Outlook and guidance

• Economic growth in Poland expected to accelerate to 4.0% in 2026, with inflation falling below 2% and further monetary policy easing anticipated.

• Loan growth forecasted at 9.9% y/y in 2026, with corporate loans expected to rise 11.3% y/y.

• Ongoing digitalization and technological investments to continue over the next three years.

• Dividend payout targeted at 50-75% of net profit, subject to regulatory approval.

• Strategy horizon set to 2027, with plans to deepen and extend strategic goals towards the 100th anniversary in 2029.