Financial Data and Key Metrics Changes - The company reported revenues of EUR 32 billion for 2025, representing a compound annual revenue growth of 6% since 2021, within the target range of 5.5%-6.5% [4] - Pre-tax profit reached EUR 9.7 billion, with a net profit of EUR 7.1 billion, achieving a post-tax return on tangible equity of 10.3%, meeting the full-year target of above 10% [5] - The cost-income ratio was 64%, in line with the target of below 65%, and credit loss provisions were EUR 1.7 billion, down year-on-year [4][5] Business Line Data and Key Metrics Changes - The Corporate Bank delivered revenue growth of over 40% since 2021, benefiting from a normalized interest rate environment and increased fee income [8] - The Investment Bank saw client activity increase by 11% in 2025, with a focus on deepening and broadening the franchise [9] - The Private Bank achieved a cost-income ratio below 70% and returns above 10% in 2025, with EUR 110 billion of net inflows since 2021 [10] Market Data and Key Metrics Changes - The company maintained a strong CET1 ratio of 14.2% at year-end, despite capital headwinds [5][19] - The liquidity coverage ratio finished the year at 144%, and the net stable funding ratio was 119% [19] - The company expects net interest income across key banking segments to increase to around EUR 14 billion in 2026 [23] Company Strategy and Development Direction - The company aims to scale its Global House Bank, with a roadmap to increase post-tax return on tangible equity from 10% in 2025 to greater than 13% by 2028 [14] - Plans to further improve the cost-income ratio to below 60% from 64% in 2025 through focused growth, strict capital discipline, and a scalable operating model [14] - The company is committed to increasing its payout ratio to 60% starting in 2026, with continuous growth in dividends and share buybacks [41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong start to 2026, with expectations for continued growth across all business lines [15][39] - The geopolitical environment and regulatory discussions are seen as potential catalysts for growth, with a focus on simplifying regulations [70][71] - The company anticipates a modest increase in Corporate Bank revenues and continued growth in the Investment Bank and Private Bank [40] Other Important Information - The company proposed a EUR 1 dividend per share and an authorized share buyback of EUR 1 billion, totaling EUR 2.9 billion in distributions for 2025 [6][12] - Cumulative distributions for 2021-2025 are expected to reach EUR 8.5 billion, exceeding the original target of EUR 8 billion [6] Q&A Session Summary Question: Revenue guidance for 2026 - The company aims to reach EUR 33 billion in revenues, with expectations for growth in all business lines, particularly in the Corporate Bank and Investment Bank [46][48] Question: Operating leverage and investments - The company plans to invest EUR 900 million in 2026 to unlock growth and efficiencies, while also committing to positive operating leverage starting in 2026 [47][58] Question: Capital usage and distribution - The company intends to prioritize shareholder distributions, with plans for annual buybacks and a focus on organic growth opportunities [63][66] Question: Deposit growth and competition - The company is confident in its deposit growth strategy despite competitive pressures, emphasizing its unique value proposition and operational reliability [68][69]