Banco de Sabadell SA

Latest Results (13.11.2025):

Banco de Sabadell SA’s Q3 2025 report shows a robust performance underpinned by strong earnings, capital generation, and a clear focus on commercial growth. The third quarter results, in line with the bank’s 2025–2027 Strategic Plan, confirm solid profitability—with a reported RoTE of 15.0% (14.1% recurring)—an improved CET1 ratio of 13.74%, and significant growth in both customer funds and performing loans.

Earnings & Profitability

The bank recorded a RoTE of 15.0% (14.1% recurring) in Q3 2025 and a net profit of 1,390 million euros during the first nine months, marking a year-on-year profit increase. Strong revenue generation from fee income, despite a slight net interest income decline, contributed to setting a new profit record for the period.

Capital Strength & Generation

Banco de Sabadell SA boosted its fully-loaded CET1 ratio up to 13.74%, with capital generation reaching 176 basis points year-to-date. This improvement reinforces the bank’s capacity to support future growth and its commitment to maintaining strong solvency.

Commercial Activity

Exhibiting vigorous commercial momentum, the bank saw its ex-TSB credit balance rise by 8.1% and significant growth in customer funds. Enhancements in mortgage, consumer, and SME/corporate lending further underscore the bank’s expanding market presence in Spain.

Risk Management & Cost Efficiency

Improvements in the bank’s risk profile were highlighted by a nearly 30% reduction in provisions and a decline in non-performing exposures. These actions, along with a favorable cost-to-income ratio of 48.1%, demonstrate effective management of asset quality and operational efficiency.

Shareholder Remuneration & Strategic Outlook

Guided by its Strategic Plan, Banco de Sabadell SA reaffirmed its commitment to attractive shareholder remuneration, forecasting a dividend per share higher than the 20.44 cents paid in 2024 and targeting a RoTE of 16% by 2027. This approach is further supported by ongoing share buyback programs and plans for significant dividend distributions.