Core Viewpoint - Credit Agricole experienced a 39% decline in fourth-quarter profit, primarily due to a one-off charge associated with its increased stake in Italy's Banco BPM, alongside rising costs and losses in its operations [1] Financial Performance - The bank reported a significant drop in profit for the fourth quarter, with a 39% decrease compared to previous periods [1] - The decline in profit was influenced by a one-off charge related to the acquisition of a larger stake in Banco BPM [1] Operational Challenges - Rising operational costs have contributed to the overall decline in profitability for Credit Agricole [1] - The bank is facing losses in its various business segments, which further exacerbates the financial challenges [1]

Core Insights - Crédit Agricole Group reported strong financial results for 2025, with revenues of €39,558 million, up 3.9% year-on-year, and net income of €8,754 million, an increase of 1.3% compared to 2024 [1][34][33] - The company plans to increase its dividend to €1.13 per share, reflecting a 3% increase from 2024 [2] - The ACT 2028 Strategic Plan is on track, with a focus on growth across all business lines and a strong emphasis on digitalization and international expansion [3][7] Financial Performance - Revenues for Crédit Agricole S.A. reached €28,079 million, a 3.3% increase from 2024, while operating expenses rose by 4.9% to €15,628 million [1][54] - The cost/income ratio for Crédit Agricole S.A. was 55.7%, up 0.9 percentage points from the previous year, indicating a slight increase in operational efficiency [1][54] - The cost of risk increased by 6.6% to €1,973 million, reflecting a cautious approach to credit risk management [1][35] Customer Growth and Market Position - The Group gained 2.1 million new customers in 2025, with significant growth in retail banking, particularly in France [6][10] - On-balance sheet deposits totaled €847 billion, up 1.2% year-on-year, while outstanding loans reached €895 billion, a 1.7% increase [10][41] - The property and casualty insurance equipment rate rose to 44.7%, indicating a growing customer base in insurance products [10][41] Business Line Performance - The Asset Management division saw net inflows of €21 billion in the fourth quarter, driven by strong performance in both passive and active management [12][64] - Insurance revenues reached €13.1 billion in the fourth quarter, up 20.4% year-on-year, contributing to a record annual revenue of €52.4 billion [59] - Corporate and Investment Banking reported record revenues for both the quarter and the full year, benefiting from strong capital markets activity [14][5] Strategic Initiatives and Future Outlook - Crédit Agricole is set to launch several strategic initiatives in 2026, including a digital savings platform in Germany and enhanced offerings for young customers [16][20] - The Group aims to capture 8 million new customers by 2028, positioning itself as a leading bank for young people and expanding its market share in Europe [19][21] - Continued investment in energy transition financing is a priority, with low-carbon financing exposure increasing significantly [24][25]

Banco BPM is set to strengthen the representation that minority shareholders such as France's Credit Agricole can get on the Italian bank's board, by doubling to six the maximum number of seats they c... ...

Group 1 - Crédit Agricole has received authorization from the European Central Bank to increase its shareholding in Banco BPM beyond 20%, raising its stake by an additional 0.3% through derivative transactions [1] - The institution has stated it does not intend to acquire control of Banco BPM and will keep its stake below the mandatory tender offer threshold, transitioning to influence accounting from the fourth quarter of 2025 [2] - The change in accounting treatment will mean that fluctuations in Banco BPM's share price will no longer directly impact Crédit Agricole's results, with an initial negative impact of approximately €600 million expected in the fourth quarter of 2025 [3] Group 2 - Despite the initial negative impact, the net income effect from holding Banco BPM shares, including fair value adjustments and dividends, is anticipated to be positive by roughly €200 million in 2025 [4] - The consolidation of Banco BPM is projected to enhance Crédit Agricole's CET1 ratio by about five basis points [4] - In April 2025, the ECB authorized Crédit Agricole to increase its stake in Banco BPM to up to 19.9% under the qualifying holding regime [4] Group 3 - Separately, UniCredit has filed an appeal with Italy's highest administrative court regarding terms set by authorities concerning its unsuccessful attempt to take over Banco BPM [5] - The dispute centers on a government requirement for UniCredit to cease its Russian operations, a condition upheld by a lower court and now being challenged [6]

Core Viewpoint - Eric Vial has been elected as the new Chairman of the Board of Directors of Crédit Agricole S.A., succeeding Dominique Lefebvre, effective from January 1, 2026 [2]. Group 1: Appointment Details - The Board of Directors of Crédit Agricole S.A. unanimously elected Eric Vial as Chairman during their meeting on December 16, 2025 [2]. - Dominique Lefebvre's contributions and commitment during his 10-year tenure were commended by the Board [2]. Group 2: Biography and Experience - Eric Vial has been the Chairman of Crédit Agricole des Savoie since 2018 and has served as a director of Crédit Agricole S.A. since 2022 [4]. - He was elected Chairman of Fédération nationale du Crédit Agricole (FNCA) and SAS Rue La Boétie on December 4, 2025 [3]. - Vial has been involved in the cooperative sector and regional economy throughout his career, including his role as a breeder and founding chairman of the Savoie Breeders' Cooperative [5].

Core Viewpoint - Credit Agricole SA has ruled out any sale of its Italian subsidiary for cash, indicating a strategic focus on potential partnerships rather than divestitures [1] Group 1 - The CEO of Credit Agricole SA stated that the bank is considering a potential tie-up with Italian peer Banco BPM, suggesting an interest in collaboration within the Italian banking sector [1]

Core Insights - The bank is implementing a new three-year plan aimed at expanding its operations outside its home market [1] - The target is to increase its customer base to 60 million, up from approximately 54 million currently [1] Company Strategy - The focus of the new plan is on international growth and customer acquisition [1] - The bank is looking to diversify its market presence beyond its domestic operations [1]

Core Viewpoint - Credit Agricole SA has set new profit and cost targets for the year 2028, indicating a strategic focus on enhancing financial performance and operational efficiency [1] Group 1: Profit Targets - The company aims to achieve significant profit growth by 2028, reflecting its commitment to improving overall financial health [1] Group 2: Cost Targets - Credit Agricole SA has outlined specific cost reduction goals, which are expected to contribute to the overall profitability and sustainability of the business by 2028 [1]

Group 1 - Credit Agricole has set a new net profit target of more than 8.5 billion euros ($9.0 billion) by 2028, exceeding analyst expectations [1] - The announcement reflects the bank's strategic interest in expanding its operations in Italy [1]

Core Viewpoint - Crédit Agricole S.A. has launched its medium-term strategic plan, ACT 2028, aiming to become a leading bank in Europe, focusing on transitions and new technologies while enhancing growth and transformation [2][4]. Financial Targets - The plan targets an average annual revenue growth of over 3.5% from 2024 to 2028, with a net income group share exceeding €8.5 billion by 2028 [6][50]. - The cost/income ratio is aimed to be below 55% by 2028, and a Return on Tangible Equity (ROTE) above 14% is also targeted [6][50]. Customer Growth - Crédit Agricole S.A. aims to reach 60 million customers by the end of 2028, with nearly 60% of revenues generated outside France [4][6]. - The group plans to capture over 8 million new customers in France and expand its customer base in Italy to 6.5 million by 2028 [11][4]. Strategic Objectives - The strategic plan emphasizes five key levers for growth: consolidating retail banking leadership in France, scaling development in Europe, strengthening presence in Asia, seizing opportunities in private markets, and asserting as a key driver of transitions [7][20]. - The group aims to develop a digital savings platform in Europe targeting over €40 billion in assets outside France by 2028 [13]. Transformation Initiatives - Transformation is central to the plan, focusing on operational efficiency, innovation, and risk management [23][31]. - The group plans to invest in AI and data to enhance customer capture and efficiency, aiming to reduce administrative task time by 20% and double the speed of market offers [24][27]. Cohesion and Team Engagement - The plan highlights the importance of team cohesion and engagement, with initiatives to empower employees and promote a culture of trust [33][36]. - By 2028, the group aims for 100% of target skills to be mapped and to have 50% women and 30% international profiles in strategic talent pools [34].