ATB's Q4 2025 Results Reflect Challenging Market Conditions
The ATB's Q4 2025 results clearly bear the mark of the declining interest rate environment and regulatory changes. The net interest margin stood at 26,044 million, down 54.0% year-over-year. This decline was partially offset by the performance of net fees, which reached 20,088 million, and portfolio income, totaling 32,860 million. Overall, the bank's net banking income for the quarter contracted to 78,992 million, compared to 104,672 million a year earlier.
Full-Year 2025 Results
For the entire 2025 fiscal year, net banking income declined by 5.5% to 359,320 million. Interest income, down 4.7% to 584,744 million, was largely offset by the strong growth in portfolio income, which totaled 117,619 million. This trend is confirmed by the significant increase in the financial portfolio, which reached 1,313,225 million thanks to additional net investments of 248,582 million. This proactive strategy demonstrates that the ATB took positions in 2025, aiming for attractive returns to mitigate the impact of the declining interest rate cycle that has just begun.
Operating Expenses and Credit Portfolio
Operating expenses increased by 12.3% over the year, reaching 273,903 million. This growth is largely driven by personnel expenses, which account for 169,593 million of this total. The credit portfolio stood at 5,296,534 million at the end of 2025, down from 5,405,362 million at the end of 2024. Meanwhile, the deposit portfolio totaled 6,927,838 million, compared to 7,071,681 million a year earlier.
Market Focus on Asset Quality
We believe that the market will focus primarily on the quality of the ATB's assets. Indeed, its net income was already heavily impacted in the first half of the year by the decline in interest rates and the provisions of the law of August 2, 2024. In this context, a comprehensive and definitive assessment of the 2025 fiscal year can only be made in light of the publication and detailed analysis of the annual financial statements.
