Key messages
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Solid financial performance: Net profit of EUR 606 million and a return on equity of 9.4%
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Continued growth: Mortgage portfolio increased by EUR 1.8 billion and client assets by EUR 8.6 billion
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Stable income: Limited effects from geopolitical uncertainties
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Cost discipline: Underlying costs were slightly lower than the previous quarter, indicating a reduction in external FTEs
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Sound credit quality: EUR 6 million in net impairment releases, showing minimal net additions for individual files and a release of management overlays
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Strong capital position: Further optimization of RWAs led to a CET1 ratio of 14.8%, adjusted for a new EUR 250 million share buyback; interim dividend set at EUR 0.54 per share; a review of the capital position is planned for Q4 to explore further share buybacks
Marguerite Bérard, CEO:
“The second quarter of 2025 marked a strong period for ABN AMRO, with ongoing growth in our mortgage portfolio and net impairment releases. The Dutch economy held up well in the first half, despite some geopolitical challenges and the government’s fall. Economists are forecasting GDP growth of 1.6% this year. Looking ahead, the foundations of the Dutch economy appear robust: employment is rising, wages are keeping ahead of inflation, fiscal policies are cautious, and households are in good financial shape. The housing market remains vibrant, and we expect a rise in house prices by about 8% in 2025, fueled by income growth and limited supply. Housing transactions are anticipated to increase by 12.5% compared to last year, partly due to sales of investment properties.”
“In the second quarter of 2025, we achieved a net profit of EUR 606 million and a return on equity of 9.4%. While there was a slight drop in net interest income and fees from the last quarter, this was balanced by higher other income. Our mortgage portfolio grew by EUR 1.8 billion to EUR 160 billion. The effects of our cost discipline, including stricter controls on external staffing, became apparent this quarter. We remain committed to our full-year cost guidance of EUR 5.3-5.4 billion. Impairments related to individual loans were offset by releases, with management overlays being the largest contributor. Without these releases, our cost of risk would have approached 4 basis points.”
“As mentioned earlier, we conducted a postponed capital assessment originally planned for Q4 2024. We announced a new share buyback program of EUR 250 million, starting on August 7, 2025. This capital assessment factored in several elements such as the lingering effects of the Hauck Aufhäuser Lampe (HAL) acquisition and an anticipated increase in the Pillar 2 requirement by about 35 basis points from January 1, 2026. This is the preliminary finding from the 2025 Supervisory Review and Evaluation Process, primarily concerning our interest-only mortgages. This quarter, we further optimized our risk-weighted assets through active management and improved data quality, maintaining a strong capital position with a CET1 ratio of 14.8%. Following our capital framework, we will evaluate our capital standing in Q4 to determine if there’s room for additional buybacks.”
“In the second quarter of 2025, we advanced in several strategic and client-centered initiatives. We completed the acquisition of HAL, having received regulatory approval. This is a key move to bolster our presence in Germany’s wealth management sector. The merger with Bethmann Bank positions us as a leading player in the market, controlling over EUR 70 billion in assets with around 2,000 staff across 18 locations in Germany and Luxembourg. Our strategy here will involve operating under two brand umbrellas: Bethmann HAL for wealth management and ABN AMRO for corporate banking.”
“We aim to refresh and expand our client base, and the upcoming launch of neobank BUUT exemplifies this goal. The BUUT mobile app will aid parents and children in learning about money together. Thanks to ongoing upgrades and modularization in our application landscape, we managed to develop this within a year. Additionally, we’ve opened a new office in the High Tech Campus in Eindhoven to enhance our leading position among expats in the Netherlands.”
“Moreover, we’re dedicated to supporting the European sovereignty and defense sector, in line with our desire to be engaged in significant transitional themes. For instance, we’re investing EUR 10 million in Keen Venture Partners’ European Defence and Security Tech Fund. This marks our first investment in a dedicated European defense fund, focusing on early-stage companies involved in cyber defense, robotics, AI, space technologies, and dual-use innovations.”
“We remain committed to being a trusted partner for our clients. Our performance in the second quarter underscores the strength of our franchise and the dedication of our workforce. As we refine our strategy, our priorities will include enhancing profitability, optimizing our capital position, streamlining costs, and achieving sustainable growth. We’ll unveil the details at our Capital Markets Day on November 25, 2025, in Amsterdam.”
