OTP Deputy CEO: After a strong year, they are successfully progressing with the strategy

By: Trademagazin Date: 2026. 03. 06. 09:54

🎧 Hallgasd a cikket: Nyelv: Sebesség: 1.05×

OTP Group is successfully continuing on the strategic path it has followed over the past decade, as demonstrated by its outstanding results – said László Bencsik, Deputy CEO of OTP Bank, at a press conference on the OTP Group’s 2025 fourth quarter and full-year results held in Budapest on Friday.

According to their expectations, last year’s growth rate will continue this year, and they expect a favorable year in retail and corporate lending, “the current problems they hope will not worsen the “picture” he said.

He added:

They haven’t made an acquisition in three years, yet organic loan growth was strong, at 15 percent in 2025, while regional competitors showed single-digit growth. The management is examining value-adding acquisition opportunities both within and outside the group’s current geographical boundaries, with a focus on the Central Asian region.

– he explained.

74 percent of the 4.5-fold net credit expansion achieved since 2014 was organic growth, he underlined. The return on equity (ROE) decreased slightly, from 23.5 percent in 2024 to 21.6 percent, because the capital stock increased, he said, as the group’s capital requirement is conservative. Asset quality has been stable for years, and the ratio of non-performing loans decreased from 3.6 percent to 3.5 percent last year.

The bank’s stable capital and liquidity position is also demonstrated by the fact that the source of liquidity is the stable deposit portfolio, and 7 percent of the total balance sheet is the bond portfolio, he said.

He said about the level of Hungarian special taxes: the extra profit tax increased 7.5 times last year, the bank made an extra payment of 259 billion forints based on its performance in the previous year, and in 2026, government burdens will increase further to 330 billion forints.

He explained that the performing loan portfolio in the Hungarian market increased by 17 percent, which is above the group-level results, while the profit achieved in the Hungarian market decreased by 2 percent to HUF 264 billion last year due to the higher extra-profit tax burden.

He called it good news that clients do not feel any of the extra burdens, lending has expanded in all segments. In housing lending, the portfolio increased by 21 percent last year, largely due to the impact of the Otthon Start program in the last quarter. Corporate lending in Hungary expanded by 18 percent last year, and the market share rose to a new high of 21 percent from 19.5 percent in 2024.

László Bencsik explained that foreign subsidiary banks achieved strong results last year, with lending showing double-digit growth in almost every country.

He mentioned that management does not expect any significant changes in the operating environment in 2026, geopolitical uncertainties persist, so the net interest margin may be close to the 4.34 percent in 2025.

The growth rate of the exchange rate-adjusted organic performing loan portfolio may be around last year’s 15 percent. The cost/income ratio may “slightly” exceed last year’s 41.7 percent rate. The risk profile and the credit risk cost ratio may develop similarly to 2025. The ROE indicator may be lower than the 21.6 percent in 2025, due to the expected decreasing leverage, he said.

He added,

According to the decision of the board of directors, a dividend of 300 billion forints (1,071 forints per share) was taken into account in the calculation of the fourth-quarter capital adequacy ratios. The board of directors’ final proposal for dividend payment will be published in the second half of March.

OTP’s consolidated adjusted profit after tax for the full year last year was 1,146.325 billion forints, 7 percent higher than a year earlier. In the last quarter of last year, the bank achieved a consolidated adjusted profit after tax of HUF 297.255 billion, approaching the average of analysts’ expectations, which is 19% higher than the previous quarter.