Ing Groep N.V. ((ING)) has held its Q3 earnings call. Read on for the main highlights of the call.
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The recent earnings call for ING Groep N.V. conveyed a generally positive sentiment, highlighting a strong quarter characterized by significant customer and lending growth, increased fee income, and advancements in sustainable finance. Despite facing some challenges, such as a decline in core deposits and incidental expenses, the bank has improved its return on equity (ROE) outlook and continues to deliver robust shareholder returns.
Strong Customer Growth
During the third quarter of 2025, ING Groep added nearly 200,000 mobile primary customers, contributing to a 12-month growth of over 1.1 million new customers. This achievement surpasses the company’s targets and underscores its successful customer acquisition strategies.
Net Core Lending Growth
Retail Banking experienced a significant net core lending growth of EUR 8.6 billion, primarily driven by residential mortgages. Wholesale Banking also showed strong growth, supported by increased demand for trade finance services, reflecting the bank’s ability to capitalize on client financing needs.
Fee Income Increase
The bank reported a 15% year-on-year increase in fee income, driven by structural revenue growth across both Retail and Wholesale Banking. This positive trend has led to an upward revision of the full-year fee growth outlook to more than 10%.
Sustainable Finance Growth
ING Groep demonstrated its commitment to sustainability with a 29% increase in sustainable finance volumes compared to the previous year. This growth highlights the bank’s dedication to supporting clients in their sustainability transitions.
Strong Capital Returns
The company announced an additional EUR 1.6 billion distribution, which includes a EUR 1.1 billion share buyback and a EUR 500 million cash dividend. This move reflects ING’s focus on delivering strong returns to shareholders.
Improved ROE Outlook
ING Groep has raised its full-year ROE expectation to more than 12.5% for 2025, indicating improved profitability and efficient capital utilization.
Core Deposits Decline
There was a slight decline in core deposits by around EUR 200 million, mainly due to the end of promotional campaigns and seasonal spending in Retail Banking. However, this is not seen as a significant concern given the overall growth in customer balances.
Incidental Expenses Impact
The bank faced incidental expenses due to restructuring provisions. These are expected to result in EUR 30 million in annualized cost savings once implemented, which should benefit the bank’s cost structure in the long term.
Wholesale Banking Defaults
Net additions to Stage 3 provisions in Wholesale Banking were noted due to newly defaulted files. However, no specific sector-wide pattern was observed, suggesting these defaults are isolated incidents.
Forward-Looking Guidance
Looking ahead, ING Groep aims to maintain its commercial momentum and continue delivering attractive shareholder returns. The bank plans to focus on expanding its loan book and exploring merger and acquisition opportunities. With a revised CET1 ratio target of around 13%, ING is well-positioned to navigate regulatory changes and invest in value-accretive growth.
In summary, ING Groep’s earnings call highlighted a strong performance with significant growth in key areas such as customer acquisition, lending, and sustainable finance. Despite some challenges, the bank has improved its profitability outlook and remains committed to delivering strong shareholder returns, making it an attractive prospect for investors.