Erste Group profit rises 20.6% to 3,095 million euros in 9 months
Key Facts
Erste Group said on October 30 that net result attributable to owners of the parent reached 3,095 million euros in the first nine months of 2026, up 20.6% from 2,566 million euros in the same period of 2025. The results came as the group raised its financial outlook for the year, reflecting performance in its existing markets and the inclusion of its Polish unit in the consolidated accounts. Net interest income rose to 8,258 million euros, compared with 5,761 million euros a year earlier, with Poland contributing 2,095 million euros of that income. Net fee and commission income also rose to 2,903 million euros from 2,340 million euros, including 341 million euros from Poland. The figures showed a broader revenue base alongside business growth in the markets where the group operates.
Erste Group raised its forecast for net interest income growth in its seven existing core markets, excluding Poland’s separate contribution, to more than 6% in 2026, from around 5% previously. It also expects fee and commission income in those markets to grow by around 10%, compared with a previous range of 7% to 9%. Consolidated forecasts for all eight markets, including Erste Bank Polska, point to interest income of more than 11 billion euros and fee and commission income of about 4 billion euros. The group said net interest income growth came mainly from loan growth in the Czech Republic and Hungary, and lower interest expenses on customer deposits in Austria. Fee and commission income rose across most of the group’s markets and income categories, according to investor information.
The group is targeting a return on tangible equity above 20% in 2026, compared with a target of about 19% announced in February. It also expects earnings per share to grow by more than 20%, based on comparing 2025 net profit adjusted for non-recurring items with reported 2026 net profit. It lowered its cost-to-income ratio target to below 46%, from below 47% previously, while expecting operating expenses to grow by around 3%. In the first nine months of 2026, the ratio stood at 44.0%, compared with 47.4% in the same period a year earlier. The company links these targets to strengthening income and improving efficiency, while operating expense growth remains part of its annual calculations.
The inclusion of Erste Bank Polska lifted the scale of consolidated activity, with operating income reaching 12,031 million euros in the first nine months, up 40.1% from 8,587 million euros, including 2,708 million euros from Poland. The group recorded integration costs of 100 million euros during the period. Net customer loans stood at 287.4 billion euros on September 30, up 23.9% since the end of 2025, including a Polish portfolio worth 41.9 billion euros. The group raised its net loan target to more than 290 billion euros in 2026. Customer deposits also rose to 324.1 billion euros, up 28.1% from the end of 2025, driven mainly by the inclusion of Poland’s 59.9 billion euros in deposits.
The result from impairment of financial instruments was 753 million euros in the first nine months, affected by a charge of 302 million euros on the initial inclusion of the Polish portfolio under IFRS 9. The group said the charge “does not indicate a deterioration in the portfolio.” The company expects risk costs of between 20 and 25 basis points in its seven existing markets, compared with a range of between 25 and 30 basis points for the consolidated group across eight markets. It also expects the consolidated entity’s net profit to exceed 4 billion euros in 2026 despite exceptional items related to the inclusion of the Polish bank. The group is targeting annual loan growth of between 6% and 8% in its seven existing markets.
In February, the group had forecast interest income growth of around 5%, a return on tangible equity of about 19%, and an improvement in the cost-to-income ratio to about 47% during 2026. The revised forecasts show improvements in all three targets, distinguishing between growth rates in the seven existing markets and consolidated figures that include Poland. A voluntary offer to increase Erste’s stake in its Polish unit is scheduled to launch on November 2, according to the follow-up angle in the story materials. The nine-month results were published on October 30, while the open financial calendar lists April 30 as the date for the announcement of first-quarter 2027 results. The calendar does not specify a date for the next annual results.