Poland's mBank reports 46% profit rise in Q3 but misses forecast (updated)

Mbank SA

30/10/2025 06:45

Adds background in paragraph 4, 6 and 7, details on results in paragraph 3, 5, 6 and 8

GDANSK, Oct 30 (Reuters) - Commerzbank's CBKG.DE Polish unit mBank MBK.WA posted a 46% rise in third-quarter profit on Thursday, driven by strong net fee and commission income, but the result missed market expectations.

Poland's fourth-biggest lender by market capitalization reported net profit of 837 million zlotys ($230.17 million) in the quarter, below analysts' average forecast of 917 million zlotys in a company-compiled consensus estimates.

The bank, which said it expected the legal risk costs related to FX mortgages to impact its results for the last time in 2025, reported a 53% year-on-year reduction in FX legal risk costs for the quarter, totalling 455 million zlotys, but higher than its earlier estimate of around 426.7 million zlotys.

Polish banks are still holding foreign currency mortgages that were popular in the 2000s but have become a burden after the Swiss franc spiked, driving up repayment costs and triggering legal disputes that pushed banks to seek settlements.

mBank's net interest income, which reflects earnings on loans minus deposit costs, fell 4.3% year-on-year to 2.46 billion zlotys in the third quarter and was in line with analysts' average forecast of 2.47 billion zlotys in a poll compiled by the lender.

The bank said that its net interest income was under pressure due to rate cuts, while net fees stayed strong.

($1 = 3.6365 zlotys)

 (Reporting by Anna Jaworska-Guidotti; editing by Matt Scuffham)

 ((anna.jaworska-guidotti@tr.com ; +48 58 769 65 56))