Understanding our annual results 2024

Letter to shareholders N°144

Dear shareholders,

In 2024, our performance improves materially. All our targets are exceeded and ahead of plan.

Strong capital build-up, strong and sustainable business growth, strong cost control and risk management, and a material progress in our integration projects led to the doubling of the earnings per share. Against this strong backdrop, we are improving both the 2024 distribution and our distribution policy.

Our revenue for the year reached EUR 26.8 billion, up 6.7% compared to 2023 and above the initial target, driven in particular by the strong rebound in the net interest margin in France and by an excellent performance of the Global Banking and Investor Solutions activities, for which revenue reached EUR 10 billion. Net income Group share stood at EUR 4.2 billion for the year, corresponding to a Return on Tangible Equity (ROTE) of 6.9%. 

At the same time, our target of a CET1 capital ratio of 13% has been achieved, at 13.3%, i.e. around 310 basis points above our regulatory requirement. Having passed this decisive step, we can increase the return to our shareholders by proposing a payout ratio raised to 50% of reported net income¹. On this basis, the Board of Directors will propose to the Annual General Meeting of Shareholders on 20 May 2025 a payout equivalent to EUR 2.18 per share², consisting of a cash dividend of EUR 1.09 per share, i.e. an increase of 21%, and a share buyback programme of EUR 872 million, equivalent to EUR 1.09 per share. The ECB's authorisation has been obtained to launch this programme, which will start on 10 February 2025. 

We will continue to focus in 2025 on the relentless execution of our strategy, improving our performance even further.

I would like to thank you once again for the trust you have placed in our Group and your long-term commitment to us. 
 

Slawomir Krupa
Chief Executive Officer

^{1 - Reported net income Group share restated for non-cash items that have no impact on the CET1 ratio and after deduction of interest on TSS and TSDI
2 - Based on the number of shares in circulation at 31/12/2024, subject to approval from the Shareholders’ General Meeting}