Novobanco profits up 11% to €828 million in 2025

Novobanco recorded a historic profit of €828 million last year, 11% more than the previous year.

This performance was achieved despite the drop in margin, which was compensated with bank charges, sale of sovereign bonds, recovery of credits, additional solidarity and fewer provisions.

All this in the year in which the sale of the institution to the French BPCE was agreed, for €6.4Bn, in a deal that will be signed off by the end of April.

The bank refers to a payout of 60% of the results, which would mean a distribution of €496.8 million to US equities fund Lone Star and the Portuguese State which are the current shareholders, but the ongoing sale process should halt the payment of dividends to current shareholders.

In the message accompanying the results, CEO Mark Bourke highlights the “decisive advance in the bank’s sale process” to BPCE, “a structuring step for our future, which will allow us to enhance scale, accelerate innovation and reinforce support for national companies and the economy”.

“With these results and the short-term integration into one of the largest European financial groups, Novobanco will reinforce its commitment to creating sustainable value for customers, employees, investors and the Portuguese economy”, he states.

Source: ECO Online; Credits: Novobanco