Natwest Group Plc ( (NWG) ) has released its Q2 earnings. Here is a breakdown of the information Natwest Group Plc presented to its investors.
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NatWest Group Plc, a prominent UK-based banking and financial services company, has reported a robust performance in its 2025 interim results, reflecting its strategic focus on customer support and shareholder value. The company, which operates across retail, private, and commercial banking sectors, has shown significant growth in income and returns, supported by a strong balance sheet and strategic acquisitions.
NatWest Group’s interim results for the first half of 2025 highlight a strong financial performance, with an attributable profit of £2.5 billion and earnings per share up by 28% compared to the previous year. The bank announced an interim dividend of 9.5 pence per share and a £750 million share buyback program, reflecting its commitment to delivering shareholder value.
Key financial metrics reveal a Return on Tangible Equity (RoTE) of 18.1% and a cost:income ratio improvement to 48.8%. The bank’s net interest income rose by 13.2%, while non-interest income increased by 8.1%. The acquisition of Sainsbury’s Bank contributed to a £11.6 billion increase in net loans and a £4.5 billion rise in customer deposits. The bank also made strides in digital transformation and AI capabilities, enhancing customer experience and operational efficiency.
The bank’s strategic focus on climate and sustainable funding saw it exceed its £100 billion target, with a new goal set for £200 billion by 2030. Despite a slight decrease in its CET1 ratio to 13.6%, NatWest remains well-capitalized, with plans to maintain a CET1 ratio in the range of 13-14% and continue ordinary dividends of around 50% of attributable profit.
Looking ahead, NatWest Group is optimistic about its growth prospects, with expectations of achieving a RoTE greater than 16.5% in 2025 and income exceeding £16.0 billion. The bank is poised to support economic growth in the UK while creating sustainable value for its stakeholders.