- Erste Group’s fourth-quarter net income was lower than expected, at €609 million compared to the estimated €624.3 million.
- The net interest income exceeded expectations at €1.94 billion, higher than the anticipated €1.88 billion.
- Fourth-quarter fee and commission income was €780 million, surpassing the estimate of €752.9 million.
- Total revenue for the quarter reached €2.86 billion, beating the forecasted €2.78 billion.
- Operating expenses stood at €1.47 billion, slightly above the estimated €1.45 billion.
- Pre-provision operating profit was €1.39 billion, exceeding the expected €1.34 billion.
- The cost to income ratio was better than anticipated at 51.4%, against an estimate of 52.2%.
- The CET1 ratio fully-loaded was 15.1%, slightly underperforming compared to the forecast of 15.7%.
- Net interest margin for the quarter was 2.46%.
- For the entire year of 2024, net interest income totaled €7.53 billion, higher than the projected €7.46 billion.
- Erste Bank Oesterreich’s annual net interest income was on target at €1.10 billion.
- Savings Banks reported a net interest income of €1.84 billion, slightly beating the €1.83 billion estimate.
- Annual net fee and commission income amounted to €2.94 billion, exceeding the expected €2.88 billion.
- Erste Bank Oesterreich fee and commission income was marginally below estimates at €549 million.
- Savings Banks fee and commission income surpassed expectations at €721 million, against an estimate of €710.8 million.
- Overall revenue for 2024 was €11.18 billion, higher than the forecast of €11.05 billion.
- Erste Bank Oesterreich’s operating income came in slightly above expectations at €1.76 billion.
- Savings Banks recorded operating income of €2.65 billion, in line with expectations.
- Investment ratings include 18 buys, 7 holds, and 1 sell.
A look at Erste Group Bank Ag Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Erste Group Bank AG, a global bank based in Wien, Austria, has been assessed using the Smartkarma Smart Scores. The bank received a solid score of 3 for its value, indicating a positive outlook in terms of its current market valuation. With a strong score of 4 for both dividend and growth, Erste Group Bank AG is showing promise in providing consistent returns to its investors while also displaying growth potential. However, its resilience score of 2 suggests some vulnerabilities that may need addressing for long-term stability. On the bright side, the bank scored a high 5 for momentum, indicating strong positive market sentiment and performance.
In summary, Erste Group Bank AG is positioned well for growth and income generation, with a positive outlook on dividends and overall progress. While there are areas where improvements can be made to enhance resilience, the bank’s strong momentum score reflects current positive market trends. Investors may find Erste Group Bank AG an attractive prospect for long-term investment based on its favorable Smartkarma Smart Scores.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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