Feb 10 (Reuters) - KBC reported fourth quarter net income of 1 billion euros ($1.19 billion), narrowly beating the 973 million euros analysts had expected in a consensus compiled by the company. "Our
KBC Reports Fourth Quarter Profit Exceeding Analyst Expectations
KBC Financial Performance Overview
Feb 10 (Reuters) - KBC reported fourth quarter net income of 1 billion euros ($1.19 billion), narrowly beating the 973 million euros analysts had expected in a consensus compiled by the company.
Quarterly Net Income Details
"Our total income benefited from several factors, including higher net interest income, an increase in trading & fair value income, increased insurance revenues and higher net fee and commission income," the Belgian bank and insurance group said in a press release on Thursday.
Future Financial Targets
Quarterly net interest income (NII) - the spread between the interest earned on loans and interest paid to depositors - grew by 12% on the year, bringing KBC's full year total NII to 6.1 billion euros, ahead of its previous target of 5.95 billion.
Dividend Proposal for 2025
The lender also set new medium and long-term targets. Total income for 2026 is projected to grow at least 9.9% year-on-year and net interest income is expected to be 6.73 billion euros or more.
By the end of 2028, the group aims to achieve a cost-to-income ratio below 38% and generate a total income of at least 7.7% higher.
KBC proposed a dividend of 5.1 euros per share for 2025, bringing its pay-out ratio to 60% of its yearly net profit, at the upper end of its guidance.
($1 = 0.8431 euros)
(Reporting by Jakob Van Calster)
