Understanding our first quarter 2025 results

Letter to shareholders N°145

Dear shareholders,

We are releasing today a very good set of results. Our revenues have grown across all our businesses and our first quarter results are above all our annual targets. 

The start of 2025 has seen strong quarterly results, ahead of our annual targets. Our revenues totalled EUR 7.1 billion, up 6.6%¹ on the first quarter of 2024, driven by a positive contribution from all businesses. This is driven in particular by a strong rebound in French Retail Banking, a solid performance of Global Banking and Investor Solutions, and a sustained activity in Mobility, International Retail Banking and Financial Services. Group net income stood at EUR 1,608 million for the quarter, equating to a Return on Tangible Equity (ROTE) of 11.0%. 

Our strict cost management, with operating expenses down 4.4% from Q1 24, excluding asset disposals, has resulted in a cost-to-income ratio of 65.0%. This is a significant decrease compared with the first quarter of last year and is ahead of our target of less than 66% estimated for 2025. 

At the same time, our CET1 capital ratio as of 31 March 2025 stands at 13.4%², i.e. around 320 basis points above the regulatory requirement. In addition, our liquidity profile remains strong with a Liquidity Coverage Ratio of 140%. The 2024 share buyback programme has been finalised for EUR 872 million, and we have already provisioned an amount equivalent to EUR 0.91³ per share for the distribution. 

In terms of asset disposals, we finalised the sale of Societe Generale Equipment Finance⁴, Societe Generale Private Banking Suisse and SG Kleinwort Hambros at the end of February, January and March, respectively, resulting in a positive impact on the Group’s CET1 ratio.

These results are putting us in a favourable position to achieve our annual targets, thanks to our disciplined execution and prudent and rigorous risk management. 

Since presenting our Strategic Plan, we have built a strong capital position, and we have delivered a steady and material increase in our performance. Our diversified and resilient model will allow us to navigate efficiently in the current environment. This is the result of the precise execution of our strategy by fully focused and talented teams whom I warmly thank for their commitment. We measure how far we've come and how far we still have to go. We will therefore pursue our work with the same focus and discipline, confident in our ability to deliver our 2026 roadmap and beyond, a sustainable and profitable growth. 

I would like to thank you for the trust you have placed in our Group and your long-term commitment to us. 
Slawomir Krupa
Chief Executive Officer

_{1 Corresponding to an increase of 10.2% excluding assets sold
2 Including Basel IV phasing
3 Based on a pay-out ratio of 50% of the Groupe net income restated from non-cash items and after deduction of interest on deeply subordinated notes and undated subordinated notes, pro forma including Q1 25 results
4 Except for operations in the Czech Republic and Slovakia}