Banco Macro Q4 Net Interest Income Climbs 13% Despite 32% Annual Net Income Drop
Banco Macro’s consumer non-performing loans rose to 5.23% in Q4 2025 from 4.3% the prior quarter, while its effective income tax rate surged to 43.1% for fiscal 2025, driving net income down 32% year-on-year. The bank cut 75 branches and 514 employees, yet Q4 net interest income jumped 13% quarter-on-quarter.
1. Financial Performance
Consumer portfolio non-performing loans increased to 5.23% in Q4 2025 from 4.3% in Q3, contributing to a challenging credit environment. Net interest income rose 13% quarter-on-quarter and 19% year-on-year, driven by a 7% boost in interest income and a 1% reduction in funding costs, while fiscal 2025 net income fell 32% and effective tax rate jumped to 43.1%.
2. Operational Restructuring
Banco Macro reduced its branch network by 75 and its workforce by 514 employees in 2025, booking ARS82 billion in restructuring costs, with ARS36 billion of benefits flowing into 2026. These measures aim to permanently lower operating expenses and enhance efficiency, supporting margin improvement over the medium term.
3. 2026 Outlook and Guidance
The bank now forecasts 20% real loan growth and 6% deposit growth for 2026, targeting an 8% ROE and 1.8%–2% ROA, with cost of risk expected to decline to 5.2%. With 24% of assets held in securities to finance any loan-deposit gap, the board has proposed a 100% dividend payout ratio, subject to regulatory approval, to leverage its strong capital base.