MONETA Money Bank (MONET) Q4 2024 earnings summary

Executive summary

• Operating income reached CZK 12.9 billion in 2024, up 6.3% year-over-year, with net profit at CZK 5.8 billion, an 11.7% increase, surpassing the full-year target by CZK 0.6 billion.

• Total assets expanded 8% to CZK 495 billion, driven by deposit growth (+7.7%) and successful MREL bond issuance.

• Return on Tangible Equity improved to 20.4%, exceeding the 17% target.

• Digital transformation advanced, with 95% of customers digitally enabled and digital user base up 7.3% year-over-year.

• Dividend proposal of CZK 10 per share (CZK 5.1 billion) to be decided in April 2025, representing an 88% payout.

Financial highlights

• Net interest income rose 4% year-over-year to CZK 8.9 billion; net fee and commission income increased 16.6% to CZK 3.1 billion.

• Operating expenses stable at CZK 5.7 billion despite inflationary pressures; cost-to-income ratio improved to 44%.

• Cost of risk at CZK 386 million (14 bps), at the lower end of guidance.

• Earnings per share: CZK 11.4 (+11.7% YoY).

• Total shareholder return reached 48%, combining dividends and share appreciation.

Outlook and guidance

• Five-year plan targets cumulative net profit of CZK 33.3 billion, a 46% increase over the previous five years.

• 2025 net profit aspiration set at minimum CZK 6 billion, with annual net profit expected to rise to CZK 7.4 billion by 2029.

• Dividend payout targeted at 90% of future profits, with projected per-share payout of CZK 58.6 over five years.

• Return on Tangible Equity projected to increase from 20% to 22% by 2029.

• Lending projected to grow at 5.2% annually, deposits at 2.7%.