Bank Polska Kasa Opieki (BKPKF) Q1 2026 Earnings Call Transcript

Operator

Good morning, ladies and gentlemen. Welcome at the presentation of the financial results for the first quarter. We have Cezary Stypulkowski, CEO; Vice President responsible for Finance, Dagmara Wojnar; Vice President for Risk Division, Marcin Jablczynski; and Ernest Pytlarczyk, Chief Economist of the Bank. Over to Cezary.

Cezary Stypulkowski
President of Management Board

Good morning, ladies and gentlemen. The first quarter was successful for the bank. We recorded net profit at PLN 1.2 billion. We feel a revival of credit action both in retail and in corporate markets, maybe excluding mortgage loans, but that’s a separate topic. We see increasing digitization of Pekao S.A. clients who historically followed the market.

With respect to this trend and the capital position remains very strong. I would like to stress here that we maintain a low level of risk cost although we assume that there might be a certain increase here. Anyway, the boundaries within which we move were defined more broadly than the current actuals.

We see 11% growth in loan funding covering various categories. Return on equity continues at a decent expected level. Cost to income ratio is not set in stone in connection with the need to inject capital in the bank. But stays at almost 30.5%, excluding the effects of burdens of the first quarter, mainly in relation to the contributions to the fund for banking stability.

We see the developments that relate to the principal lines in which Pekao S.A. has been not sufficiently invested in particular with regard to micro market, but