Alior Bank Q3 profit falls on higher costs, lower interest income
29/10/2025 06:11
GDANSK, Oct 29 (Reuters) - Poland's Alior Bank ALRR.WA posted a 15.5% fall year-on-year in its third-quarter net profit on Wednesday, hit by rising operating costs and a lower net interest income.
It reported a quarterly profit of 562.8 million zlotys, missing a forecast of 567 million zlotys.
CONTEXT
Alior is one of the two Polish lenders partially owned by state-run insurer PZU PZU.WA, which in early June announced plans to merge with Bank Pekao PEO.WA. It aims to complete the tie-up, valued at more than 100 billion zlotys, by June 2026.
WHY IT'S IMPORTANT
Following the second-quarter results in August, Alior Bank's CEO said he hoped the 2025 results would allow for a dividend payment, while the deputy CEO added that legal provisions for Swiss franc loans are not expected to grow.
The results come in a changing monetary environment, as Poland's central bank began cutting interest rates in May and most recently delivered an unexpected cut in October, lowering its main rate to 4.50%.
BY THE NUMBERS
The bank's net interest income came in at 1.30 billion zlotys, compared with analysts' forecast of 1.28 billion zlotys.
Net fee and commission income was 233.9 million zlotys, above the 220 million zlotys expected.
(Reporting by Alicja Surdy; Editing by Matt Scuffham)
((alicjaewa.surdy2@thomsonreuters.com))