Bpce: Results for the 3rd quarter and first 9 months of 2025

Core Insights - Groupe BPCE reported a net income of €1.1 billion for Q3-25, reflecting a 24% year-over-year increase, driven by strong performance across all business lines and effective cost management [1][2][26] Financial Performance - Net banking income for Q3-25 reached €6.4 billion, a 9% increase year-over-year, with gross operating income up 22% [2][11] - The cost/income ratio improved significantly to 63.3% in Q3-25, down 4.6 percentage points year-over-year, indicating better expense control [2][4][11] - For the first nine months of 2025, net banking income totaled €19 billion, a 10% increase year-over-year, with net income of €3 billion, up 13% [2][11][26] Business Lines Performance Retail Banking & Insurance - Revenue growth of 15% year-over-year in Q3-25, supported by a strong client base expansion with 630,000 new clients added [3][6][42] - Operating income increased by 31% in Q3-25, with a cost of risk up 26% [40][50] Global Financial Services - Net banking income rose by 7% in the first nine months of 2025, with a 10% increase in Corporate & Investment Banking revenues [3][15] - Asset Management saw high net inflows of €23 billion in 9M-25 [3][6] Digital & Payments - Net banking income increased by 9% in Q3-25, driven by robust payment transaction growth [46][97] - The underlying cost/income ratio improved to 65.9% in Q3-25, reflecting effective expense management [98] Capital and Liquidity - The CET1 ratio improved to 16.4% at the end of September 2025, indicating strong capital adequacy [4][29] - Liquidity Coverage Ratio (LCR) stood at 148%, well above the regulatory requirement, with liquidity reserves totaling €303 billion [4][35] Strategic Developments - Groupe BPCE is set to acquire novobanco, Portugal's fourth-largest bank, with the acquisition expected to finalize in H1-26 [5][8] - The issuance of the first European Defense Bond for €750 million demonstrates the group's commitment to supporting the defense sector [5][8]