Raiffeisen Bank International AG

Raiffeisen Bank International said year-to-date profit reached EUR 708 million, with Q2 profit running at about EUR 0.5 billion. Net interest income was up 3.2% in the quarter and 6% for the half year, fees were up 5.6% in the quarter and over 10% year to date, and loan growth was up 2.2% in the quarter and 5.7% year to date. CET1 excluding Russia was 15.5% at June 30, while risk costs were 4 basis points in Q2 and 20 basis points year to date, with NPE ratio at 1.6% and coverage at 47%. For full-year 2026, management guided to NII of EUR 4.4 billion to EUR 4.5 billion, fees close to EUR 2.2 billion, OpEx around EUR 3.8 billion, cost/income ratio around 55%, risk costs up to 35 basis points, organic loan growth above 9.5% including Garanti BBVA Romania, CET1 around 14.3%, and core ROE of 9.5%.

Michael Höllerer framed the bank as being ready for growth now that legacy issues are easing, and said capital could be redeployed toward CE/SEE, SME/mid-market, wealth management, and better retail engagement. He was direct that the core business can earn about a 13% ROE but that this is not good enough, and he placed profitability, efficiency, and capital allocation at the center of his agenda. He also stressed technology and AI as levers for customer experience, product delivery, and process automation.

Kamila Makhmudova highlighted strong top-line trends, including NII up 3.2% in Q2 and 6% year to date, fee income up 5.6% in the quarter and over 10% year to date, and loan growth of 5.7% year to date despite some accounting noise in Poland. She said NIM should remain stable around 2.3%, with NII mainly driven by volume growth and about EUR 50 million of upside from higher euro rates already included in guidance. On capital, she pointed to 15.5% CET1 at quarter-end and said the year-end move to around 14.3% reflects organic loan growth, acquisitions, dividend payout assumptions, and the planned SRT/securitization activity; she also noted Poland litigation provisions of around EUR 220 million for 2026 and that this should roughly halve in 2027, then halve again in 2028.

Analysts pressed management on Rasperia timing, settlement form, potential cash access, Russia exit implications, and whether proceeds could fund special dividends or M&A. Management said the claim is now filed in Vienna, expects the defendant to be notified soon, believes the legal basis is strong, and said any settlement would not involve becoming a STRABAG shareholder; proceeds would be used step-by-step, with special dividend or reinvestment possibilities discussed only later. Questions also focused on the strategy for GC&M, footprint changes, and NIM sensitivity; management said it will be more selective and focused on profitability and cross-sell, there are no concrete plans to enter or exit markets, and stable NIM around 2.3% should be supported by bond investments while NII is mainly a volume story.