LSE$NWG

Natwest Group PLC · Q1 2025 earnings

Q1 2025 earnings · · Before market open · Investor relations

Briefing

NatWest delivered strong results with solid revenue growth, higher EPS, and robust net income supported by deposit margin expansion and stable credit performance.

NatWest Group posted a strong Q1 2025 with increased revenue and EPS. Operating income rose due to higher deposit margins and trading activity, while net income held steady despite an increased impairment charge. Liquidity and capital ratios remained robust.

Headline financials

Total Revenue

$5.15B

Previous: $4.41B+16.9%
EPS (adj)

$0.20

Previous: $0.26-23.1%
Net Interest Margin

2.3%

No prior period
Return on Tangible Equity

18.5%

No prior period
Loan Impairment Rate

0.2%

No prior period
CET1 Ratio

13.8%

No prior period
TNAV per Share

$4.49

No prior period
Net Income

$1.62B

Previous: $4M+40422.5%
Operating Income

$2.35B

Previous: $1.1K+213652393.4%

Revenue & EPS history

NatWest · Revenue · Quarterly

$5.15B

Q1 2025+16.9%vs Q1 2024

Forward guidance

NatWest expects to meet or exceed the upper range of its income and return targets for 2025, maintaining capital discipline and strong liquidity.

Tailwinds

  • Return on tangible equity expected at upper end of 15-16% range.
  • Income excluding notable items expected at upper end of £15.2-15.7B.
  • Operating costs expected around £8.1B including integration costs.
  • Loan impairment rate to remain below 20 basis points.
  • Continued focus on capital returns and potential buybacks.

Headwinds

  • Ongoing global economic uncertainty may impact forecasts.
  • Geopolitical risks require sustained credit vigilance.
  • Stage 3 defaults increased in some customer segments.
  • Private Banking deposits impacted by seasonal tax outflows.
  • RWAs expected to rise to £190-195B by year-end, impacting capital ratios.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2025

Historical avgQ1 2025

+289.0%

Avg return

Earnings day

-0.4%

Avg return

5 days after

+0.6%

Avg return

30 days after

46%

18 / 39 earnings

Positive

+3962.9%

Q4 2023

Best reaction

-13.8%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-1.7%-1.4%-1.1%
Q3 2026+4.6%+6.4%+4.9%
Q1 2025+3649.3%+0.2%+12.0%
Q4 2024+2.9%+2.8%+12.0%
Q3 2024+1.6%+0.7%+3.4%
Q2 2024+9.3%+8.2%+5.1%
Q1 2024+4.3%+5.1%+8.5%
Q4 2023+3962.9%+1.3%+22.8%
Q3 2023-13.8%-14.8%+3.0%
Q2 2023+2.6%+3.4%-15.8%
Q1 2023-6.7%-8.8%-4.3%
Q4 2022+3679.6%-7.1%-16.5%
Q3 2022-5.2%-5.8%+9.4%
Q2 2022+10.7%+8.8%+4.0%
Q1 2022-4.4%+0.4%+2.8%
Q4 2021+0.6%-5.1%-9.7%
Q3 2021-4.3%-3.7%-12.9%
Q2 2021-1.1%+2.5%-4.4%
Q1 2021-4.1%-4.8%+5.3%
Q4 2020+6.4%+10.1%+10.9%
Q3 2020+0.0%+5.9%+41.1%
Q2 2020+3.7%+5.7%+7.2%
Q1 2020-0.3%-4.6%-1.8%
Q4 2019-9.7%-10.8%-41.8%
Q3 2019-4.4%-6.8%-4.4%
Q2 2019-7.2%-4.2%-14.0%
Q1 2019-2.8%-4.0%-13.9%
Q4 2018+7.7%+8.3%+15.1%
Q3 2018-3.3%-0.2%-6.9%
Q2 2018-0.1%-0.3%-4.1%
Q1 2018-2.8%-3.1%+1.0%
Q4 2017-3.5%-6.2%-9.2%
Q3 2017+2.3%+2.7%-0.8%
Q2 2017+1.5%+0.4%-2.5%
Q1 2017+5.5%+5.4%+2.8%
Q4 2016-6.5%-4.0%-4.6%
Q3 2016-4.0%-6.4%+4.3%
Q2 2016-4.8%+0.2%+7.9%
Q1 2016+5.9%+8.1%+10.0%

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