BBVA reported a net profit of €2.34 billion for the fourth quarter of 2025, representing a 4.1% increase year-on-year from €2.25 billion in Q4 2024. Revenue rose by 3.5% to €8.7 billion, driven by a 5.2% expansion in net interest income as higher lending volumes and repricing initiatives more than offset a 7 basis-point compression in net interest margin. Operating costs were held flat at €4.3 billion, yielding a cost-to-income ratio of 49.4%, down from 50.1% a year earlier. The bank’s CET1 capital ratio improved to 12.6%, up 20 basis points sequentially, reflecting disciplined risk-weighted asset growth and retained earnings.

In Spain, net profit climbed 6.0% to €1.1 billion, supported by 4% loan growth in the retail portfolio and a 10% rise in mortgage originations. Mexico delivered a 3.5% profit increase to €650 million, underpinned by a 7% uptick in commercial loans and a 12% jump in digital customer transactions. South America operations posted a 2.8% profit gain to €320 million, with Peru and Colombia driving expansion through consumer lending and fee-based income. Turkey saw loan growth of 9%, but higher funding costs limited net profit growth to 1.5%, at €215 million. Nonperforming loan ratios remained stable across all regions, averaging 2.9%.

CEO Onur Genc highlighted progress on BBVA’s digital transformation roadmap, with 39.5 million active digital customers at year-end, up 8% year-on-year, and a 15% reduction in paper account openings. The bank has allocated €300 million to upgrade cloud infrastructure and expand AI-driven credit underwriting. Group CFO Luisa Gomez Bravo noted that the 2026 guidance aims for mid-single-digit revenue growth, a cost-to-income ratio below 48%, and an ROE target of 11.5%. Management reaffirmed plans to deploy excess capital through share buybacks of up to €1 billion and to maintain a dividend payout ratio near 50% of attributable profit.