BNP Paribas predicts further progress with new ROTE, capital targets

(Sharecast News) - French banking giant BNP Paribas on Tuesday confirmed its financial targets for 2025 and pointed to a further improvement in its return on tangible equity (ROTE) measure by 2028. The company, which is targeting a ROTE of 12% in 2026, up from an estimated 11.5% in 2025, expects this to rise to 13% in 2028 as part of its new 2027-30 medium term plan.

Meanwhile, the common equity tier 1 capital ratio is expected to reach 12.5% by the end of 2027, up from an estimated 12.3% at the end of this year.

"This trajectory is supported by the resilience of the group's diversified and integrated model, as well as growth drivers already in place thanks to prior investments," BNP Paribas said.

The update came as the bank reiterated its guidance for 2025 net income in excess of €12.2bn, in line with the company's 2024-26 targets of net income CAGR above 7%.

"Thanks to the commitment of our teams and the strength of our platforms, we are accelerating ahead of our next strategic plan for 2027-2030, which will be presented in early 2027," said chief executive Jean-Laurent Bonnafé.

"With our diversified and integrated model, we are perfectly positioned to continue supporting the financing needs of the economy."