Bank Millennium in 4Q25 & 2025 - good financial and business results, completion of the first year of Strategy’28 Value&Growth

Bank Millennium S.A. Group delivered a net profit of PLN 1,202 million in 2025, marking a 67% y/y increase and an ROE of 14.3%. The year was characterized by a limited number of extraordinary items, largely confined to costs linked to the FX‑mortgage portfolio. In 4Q25 alone, net profit amounted to PLN347 million translating into an ROE of 14.4%. This strong result was supported by broadly stable core income, higher non-interest income, lower credit risk charges and slightly lower CIT charge.

I am pleased to present the strong financial results for 2025, with a net profit increase of 67% y/y, as well as robust asset quality, liquidity and capital position of Bank Millennium. It was an extremely intense and important period for us — the first year of implementing our ambitious “Value and Growth” strategy for 2025–2028, which has already shown a clearly positive trajectory. We have built a solid foundation in both retail and corporate banking. In 2025, we further strengthened our performance, increasing the retail customer base to 3.27 million, and surpassing 3 million mobile and online banking users. For corporate banking, last year was a transformative period, marked by a significant increase in newly granted loans, which positioned us among the fastest-growing banks in the Polish banking sector. We also introduced new solutions to enhance corporate customers’ experience, such as the Millenet Factor platform, development loans for smaller transactions or a new mobile card management module providing full functionality via smartphone. We continued to develop our IT systems and applications, while ensuring system security and customer education - commented Joao Bras Jorge, Chairman of Bank Millennium.

In 2025 overall, the balance sheet expanded 12% y/y, driven primarily by a 12% increase in deposits. Total loan growth remained moderate at 2% y/y, contributing to a further increase in liquidity surplus. The loan‑to‑deposit (L/D) ratio fell to a historic low of 58% (64% at YE24).

4Q25 brought 2% growth in assets underpinned by 2% growth of deposits. With loans up 2% q/q, L/D ratio remained unchanged at 58%.

Loan‑portfolio dynamics varied in 2025. The retail portfolio contracted 4% y/y as volume of mortgages declined 7% y/y, offsetting a 4% rise in non‑mortgage consumer loans. Momentum in PLN mortgages improved significantly toward year‑end. 4Q25 originations of PLN 1.7 billion represented over 40% of full‑year production and marked the highest quarterly level since mid‑2022. In contrast, throughout 2025 cash‑loan origination remained steady at circa PLN 1.8 billion per quarter. This translated into 4% annual growth.

The corporate portfolio delivered exceptional performance. The y/y growth accelerated to 20% y/y in 4Q25, with corporate loans alone up 34%. Corporate loan originations in 2025 overall increased 135% y/y to more than PLN 8 billion, over 40% of which were investment loans.

Legacy FX-mortgage risk was further reduced, with active FX-mortgage book now below 1% of total loans. Inflow of new cases fell sharply (<700 in 4Q25 and 3.7k in 2025 overall, -36% y/y), while settlements remained steady (~1.1k in 4Q25 and 4.5k in 2025 overall. Provisions stood at 163% of gross active loans.

The customer base continued to expand, with 36k new active retail customers added in 4Q25 (144k in 2025 overall), to the level of 3,270 thsd, steadily rising primacy ratio and 94% digitally active.

The results of Bank Millennium Capital Group are also available here