Triodos Bank (TRIO) H1 2025 earnings summary

Executive summary

• Entered a new strategic phase focused on customer impact, digitalization, innovation, and cost efficiency, with lending and investments aligned to five transition themes across 81 countries.

• Achieved €570 million in new business loans, with total loan and investment volume at €15.6 billion.

• Customer deposits grew by €288 million (2%) to €14.8 billion, with strong growth from personal banking customers.

• Listed depository receipts on Euronext Amsterdam in June 2025, improving tradability, trading volume, and investor access.

• Strategic repositioning in Spain and review of German business, with discontinued mortgage origination in Belgium and Spain.

Financial highlights

• Net profit for H1 2025 was €17 million, or €27.4 million excluding a €40 million/€14 million provision for the DR settlement.

• Return on equity was 2.7%, or 4.4% excluding the provision.

• Cost-income ratio at 86%, or 79% excluding the provision, above the medium-term target.

• CET1 ratio strong at 18.1%, up from 16.4% at end-2024, with leverage ratio at 6.6%.

• Total income declined by 6% to €219.6 million due to lower interest margins and higher funding costs.

Outlook and guidance

• Expectation of stabilized net interest margin in H2 2025 as ECB rate declines end.

• Medium-term targets: RoE 5–7%, cost-income ratio 70–75%, CET1 ratio >15%, dividend payout 50%, fee income 20–30%.

• Ongoing focus on cost management and efficiency, with further structural measures to be announced.

• Impact goals include €200 million in new SME lending with EIF and €500 million in Nature Based Solutions by 2030.

• Committed to reducing CO2e emissions by at least 42% by 2030.