TBC Bank Group (TBCG) Q1 2026 earnings summary

Executive summary

• Q1 2026 net profit reached GEL 365 million, up 15% year-on-year, with ROE at 23.4%, driven by strong performance in Georgia and resilient results in Uzbekistan despite regulatory headwinds and global volatility.

• Georgia delivered GEL 362 million net profit, up 14% year-on-year, with ROE at 24.1%, robust loan growth (+12% YoY), and digital MAU reaching 7.2 million (+19% YoY).

• Uzbekistan saw net profit down 4% YoY to GEL 20.7-21 million, ROE at 10.9%, with business loans rising to 18% of the portfolio and digital engagement stable at 6-7.2 million MAU.

• Interim dividend of GEL 1.75 per share declared for Q1 2026.

Financial highlights

• Group net profit of GEL 365 million, up 15% YoY; operating income up 11% to GEL 859 million; net interest income up 17% YoY to GEL 625 million.

• Group NIM stable at 7%; Georgia NIM up 20 bps QoQ; Uzbekistan NIM declined due to higher liquidity and lower loan yields.

• Operating expenses increased 20% YoY, raising cost-to-income ratio to 40.2%.

• Gross loans up 11.4% YoY to GEL 30.5 billion; deposits up 13.9% YoY to GEL 25.4 billion.

• Cost of risk at 1.3% (down 0.1pp YoY); Georgia at 0.6%, Uzbekistan at 10.2% due to regulatory changes.

Outlook and guidance

• Full-year growth outlook reaffirmed; double-digit top line growth expected for 2026, with annual loan book growth targeted above 15%, ROE above 23%, and payout ratio between 25%-45%.

• Georgia fee and commission income expected flat in 2026, with double-digit growth resuming from H2 and into 2027.

• Uzbekistan loan book expected to bottom out in Q2, with cautious growth resuming in H2; NIM expected to recover to around 20% by year-end.

• Uzbekistan cost of risk guided at 7%-10% for the year, with headwinds from regulatory changes.

• Product pipeline in Uzbekistan remains active, with new lending products and digital banking enhancements planned.