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RESULTS AT 31 MARCH 2025
Press release
Paris, 30 April 2025
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STRONG QUARTERLY RESULTS, AHEAD OF OUR 2025 TARGETS
Quarterly revenues of EUR 7.1 billion, +6.6% vs. Q1 24 and +10.2% excluding asset disposals
(vs. an annual target of more than +3%). Positive contribution from all businesses, driven by a strong rebound in French Retail Banking, a solid performance of Global Banking and Investor Solutions and a sustained activity in Mobility, International Retail Banking and Financial Services
Strict cost management with operating expenses down -4.4% vs. Q1 24, excluding asset disposals. Ahead of our 2025 target to reduce operating expenses by more than -1%, excluding asset disposals
Cost-to-income ratio at 65.0% in Q1 25, ahead of our 2025 target (
Low cost of risk at 23 basis points in Q1 25, below the 2025 target of 25 to 30 basis points. The amount of S1/S2 provisions remains high at EUR 3.1 billion (more than 2x 2024 cost of risk), and has been further increased
Group net income of EUR 1,608 million, x2.4 vs. Q1 24
Profitability (ROTE) at 11.0%, ahead of our 2025 target of more than 8%. Even if restated for net gains on asset disposals of around EUR 200 million and considering a quarterly linear distribution of taxes (IFRIC 21) for an amount of around EUR 300 million, the ROTE stands at 10.9%
SOLID CAPITAL AND LIQUIDITY PROFILE
CET1 ratio of 13.4%1 at end-Q1 25, around 320 basis points above the regulatory requirement
Liquidity Coverage Ratio at 140% at end-Q1 25
Provision for distribution of EUR 0.912 per share, at end-March 2025
Completion of the 2024 share buy-back programme of EUR 872 million
ORDERLY EXECUTION OF ASSET DISPOSALS
Disposal of SGEF's activities completed on 28 February 2025, except for those in the Czech Republic and Slovakia, representing a positive impact of around +30 basis points on the Group's CET1 ratio in Q1 25
Disposals of Societe Generale Private Banking Suisse and SG Kleinwort Hambros completed on 31 January 2025 and 31 March 2025, for a total impact of around +10 basis points on the Group's CET1 ratio
Slawomir Krupa, the Group's Chief Executive Officer, commented:
" We are releasing today a very good set of results. Our revenues have grown across all our businesses. Our costs and our cost-to-income ratio have decreased across all our businesses. Our first quarter results are above all our annual targets, putting us in a favourable position to achieve them, thanks to our disciplined execution and prudent and rigorous risk management. Since the presentation of our Strategic Plan, we have built a strong capital position, and we have delivered a steady and material increase in our performance. Our diversified and resilient model allows us to navigate efficiently in the current environment. This is the result of the precise execution of our strategy by fully focused and talented teams whom I warmly thank for their commitment. We measure how far we've come and how far we still have to go. We will therefore pursue our work with the same focus and discipline, confident in our ability to deliver our 2026 roadmap and beyond, a sustainable and profitable growth. "
- GROUP CONSOLIDATED RESULTS
| In EURm | Q1 25 | Q1 24 | Change | |
| Net banking income | 7,083 | 6,645 | +6.6% | +9.9%* |
| Operating expenses | (4,604) | (4,980) | -7.6% | -4.6%* |
| Gross operating income | 2,479 | 1,665 | +48.9% | +53.0%* |
| Net cost of risk | (344) | (400) | -13.9% | -9.5%* |
| Operating income | 2,135 | 1,265 | +68.8% | +72.1%* |
| Net profits or losses from other assets | 202 | (80) | n/s | n/s |
| Income tax | (490) | (274) | +79.0% | +84.8%* |
| Net income | 1,855 | 917 | x 2.0 | x 2.1* |
| O.w. non-controlling interests | 247 | 237 | +4.0% | +12.0%* |
| Group net income | 1,608 | 680 | x 2.4 | x 2.4* |
| ROE | 9.7% | 3.6% | ||
| ROTE | 11.0% | 4.1% | ||
| Cost to income | 65.0% | 74.9% | ||
Asterisks* in the document refer to data at constant perimeter and exchange rates
Societe Generale's Board of Directors, which met on 29 April 2025 under the chairmanship of Lorenzo Bini Smaghi, examined the Societe Generale Group's results for the first quarter of 2025.
Net banking income
Net banking income stood at EUR 7.1 billion, up +6.6% vs. Q1 24 and up +10.2% vs. Q1 24, excluding asset disposals.
Revenues of French Retail, Private Banking and Insurance were up +14.1% vs. Q1 24 (+16.5% excluding asset disposals and +2.5% excluding both asset disposals and short-term hedge impact) to stand at EUR 2.3 billion in Q1 25. Net interest income recovered sharply in Q1 25 (+28.4% vs. Q1 24) and was broadly stable when restated for asset disposals and short-term hedges accounted for in Q1 24 (around EUR -270 million). Assets under management in Private Banking and Insurance grew by +6% and +5%, respectively (excluding asset disposals in Switzerland and in the United Kingdom) in Q1 25 vs. Q1 24. Lastly, BoursoBank continued its strong commercial development with nearly 460,000 new customers during the quarter, reaching a customer base of around 7.6 million clients at end-March 2025.
Global Banking and Investor Solutions registered a +10.0% increase in revenues relative to Q1 24. These totalled EUR 2.9 billion for the quarter, driven by strong momentum in equities and in Financing and Advisory. Global Markets grew by +10.9% in Q1 25 vs. Q1 24. Equity revenues were up +21.8%, reaching a quarterly record level3, driven by strong momentum in flow and listed products. Fixed income and currencies were down -2.4% due to lower client activity on rates investment solutions and margin compression in financing activities. Commercial activity nevertheless remained buoyant in rates and forex brokerage due to high volatility. In Global Banking and Advisory, revenues are up +10.5% with a solid commercial momentum in asset finance. Furthermore, the performance was resilient in Mergers and Acquisitions (M&A) and Debt Capital Markets (DCM). Similarly, Global Transaction and Payment Services posted an +8.7% increase in revenues vs. Q1 24, driven by higher payment volumes with institutional clients and strong commercial development for corporate clients.
Mobility, International Retail Banking and Financial Services' revenues were down -7.4% vs. Q1 24, mainly due to a perimeter effect of EUR -176 million in Q1 25. Excluding the impact of asset disposals, they were up +0.8%. International Retail Banking recorded a -12.1% fall in revenues vs. Q1 24 to EUR 0.9 billion, due to a perimeter effect related to the disposals completed in Africa (Morocco, Chad, Madagascar). They rose by +1.9% at constant perimeter and exchange rates. Revenues from Mobility and Financial Services were also down -3.0% vs. Q1 24 due to the disposal of SGEF's operations (except for those in the Czech Republic and Slovakia) in Q1 25. Besides, Ayvens' revenues were stable vs. Q1 24 owing to improved margins, offsetting the normalisation of the results of used car sales.
The Corporate Centre recorded revenues of EUR -112 million in Q1 25.
Operating expenses
Operating expenses came to EUR 4,604 million in Q1 25, down -7.6% vs. Q1 24 and -4.4% excluding asset disposals. The decrease in operating expenses is notably explained by a decrease in transformation charges of EUR 278 million, an increase of EUR 29 million related to taxes on variable compensation, an increase in expenses of EUR 22 million related to Bernstein perimeter, and EUR 5 million related to disposal transaction costs. Excluding these non-recurring items, operating expenses were slightly up, confirming the strong cost discipline.
The cost-to-income ratio stood at 65.0% in Q1 25, down sharply from Q1 24 (74.9%) and below the target of
Cost of risk
The cost of risk was stable over the quarter at 23 basis points (or EUR 344 million). It comprises a provision for non-performing loans of EUR 330 million (around 22 basis points) and a provision for performing loans of EUR 14 million.
At end-March, the Group had a stock of provisions for performing loans of EUR 3,131 million, slightly up +0.4% compared with 31 December 2024, which represents more than 2x 2024 cost of risk.
The gross non-performing loan ratio stood at 2.82%4,5 at 31 March 2025, broadly stable compared to its end - December 2024 level (2.81%). The net coverage ratio on the Group's non-performing loans stood at 82%6 at 31 March 2025 (after netting of guarantees and collateral).
Net profits from other assets
The Group recorded a net gain of EUR +202 million in Q1 25, mainly related to the accounting impacts of completed asset sales of SGEF7, Societe Generale Private Banking Suisse and SG Kleinwort Hambros.
Group net Income
Group net income stood at EUR 1,608 million for the quarter, equating to a Return on Tangible Equity (ROTE) of 11.0%.
- DELIVERING ON OUR ESG AMBITIONS
The Group is in line with its portfolio alignment targets in the most carbon-emitting sectors, including since 2019 a reduction of more than 50% in its upstream exposure to oil and gas, and a reduction of around 50% of its carbon emission intensity in power.
Reflecting progress on portfolio alignment, the Group's contribution to sustainable finance amounted to around 80 billion euros at the end of 2024, ahead of its target of 500 billion euros for the 2024-2030 period.
The Group is well positioned to seize new opportunities in the environmental transition. Societe Generale has acted as exclusive financial advisor for the UK's Net Zero Teesside Power and Northern Endurance Partnership projects, which aim to be the world's first gas-fired power station project with carbon capture and storage.
These actions are recognized externally, with best-in-class ratings from extra-financial rating agencies and through numerous awards.
- THE GROUP'S FINANCIAL STRUCTURE
At 31 March 2025, the Group's Common Equity Tier 1 ratio stood at 13.4%, or around 320 basis points above the regulatory requirement. Likewise, the Liquidity Coverage Ratio (LCR) was well above regulatory requirements at 140% at end-March 2025 (an average of 150% for the quarter), while the Net Stable Funding Ratio (NSFR) stood at 115% at end-March 2025.
All liquidity and solvency ratios are well above the regulatory requirements.
| 31/03/2025 | 31/12/2024 | Requirements | |
| CET1(1) | 13.4% | 13.3% | 10.22% |
| Tier 1 ratio(1) | 16.1% | 16.1% | 12.14% |
| Total Capital(1) | 19.1% | 18.9% | 14.70% |
| Leverage ratio(1) | 4.4% | 4.3% | 3.60% |
| TLAC (% RWA)(1) | 29.7% | 29.7% | 22.32% |
| TLAC (% leverage)(1) | 8.2% | 8.0% | 6.75% |
| MREL (% RWA)(1) | 33.3% | 34.2% | 27.59% |
| MREL (% leverage)(1) | 9.2% | 9.2% | 6.23% |
| End of period LCR | 140% | 162% | >100% |
| Period average LCR | 150% | 150% | >100% |
| NSFR | 115% | 117% | >100% |
| In EURbn | 31/03/2025 | 31/12/2024 |
| Total consolidated balance sheet | 1,554 | 1,574 |
| Group shareholders' equity | 71 | 70 |
| Risk-weighted assets | 393 | 390 |
| O.w. credit risk | 318 | 327 |
| Total funded balance sheet | 931 | 952 |
| Customer loans | 459 | 463 |
| Customer deposits | 596 | 614 |
8
As of 31 March 2025, the parent company has issued EUR 9.0 billion of medium/long-term debt under its 2025 financing programme, including EUR 4.5 billion of pre-financing raised at the end of 2024. The subsidiaries had issued EUR 1.0 billion. In all, the Group has issued a total of EUR 10.0 billion in medium/long-term debt.
At end of April 2025, the parent company's 2025 funding programme is 54% complete for vanilla notes.
The Group is rated by four rating agencies: (i) FitchRatings - long-term rating "A-”, stable outlook, senior preferred debt rating "A”, short-term rating "F1”; (ii) Moody's - long-term rating (senior preferred debt) "A1”, negative outlook, short-term rating "P-1”; (iii) R&I - long-term rating (senior preferred debt) "A”, stable outlook; and (iv) S&P Global Ratings - long-term rating (senior preferred debt) "A”, stable outlook, short-term rating "A-1”.
- FRENCH RETAIL, PRIVATE BANKING AND INSURANCE
| In EURm | Q1 25 | Q1 24 | Change | |
| Net banking income | 2,299 | 2,016 | +14.1% | +16.5%* |
| Of which net interest income | 1,061 | 827 | +28.4% | +31.6%* |
| Of which fees | 1,056 | 1,018 | +3.7% | +6.2%* |
| Operating expenses | (1,566) | (1,728) | -9.4% | -6.6%* |
| Gross operating income | 734 | 288 | x 2.5 | x 2.5* |
| Net cost of risk | (171) | (247) | -30.8% | -30.8%* |
| Operating income | 563 | 41 | x 13.7 | x 11.2* |
| Net profits or losses from other assets | 7 | 0 | x 19.2 | x 19.2* |
| Group net income | 421 | 31 | x 13.4 | x 10.9* |
| Cost to income | 68.1% | 85.7% | ||
Commercial activity
SG network, Private Banking and Insurance
The SG network's average deposit outstandings amounted to EUR 230 billion in Q1 25, down -1% from Q1 24, with a shift of inflows into savings life insurance.
The SG network's average loan outstandings contracted by -3% vs. Q1 24 to EUR 193 billion, and
by -1.8% vs. Q1 24 excluding repayments of state-guaranteed loans. Mortgage loan production saw a sharp increase of +115% vs. Q1 24.
The average loan-to-deposit ratio stood at 83.8% in Q1 25, down 1.1 percentage point relative to Q1 24.
In Private Banking, assets under management9 strongly rose by +6% vs. Q1 24 at EUR 130 billion. Net asset inflows totalled EUR 2 billion in Q1 25, with asset gathering (annualised net new money divided by AuM) standing at +6% in Q1 25. Net banking income came to EUR 361 million for the quarter, a +3.4% increase at constant perimeter1 and exchange rates, down -3.9% vs. Q1 24.
Insurance, which covers activities in and outside France, posted a very strong commercial performance. Life insurance outstandings increased sharply by +5% vs. Q1 24 to reach a record EUR 148 billion at end- March 2025. The share of unit-linked products remained high at 40%. Gross life insurance savings inflows amounted to EUR 5.4 billion in Q1 25.
In France, personal protection and Property & Casualty premia were up by +4% vs. Q1 24.
BoursoBank
BoursoBank reached almost 7.6 million clients in Q1 25. The bank recorded growth of +20.7% in the number of clients vs. Q1 24 (+1.3 million year-on-year), with onboarding still high this quarter (~458,000 new clients in Q1 25) while the churn rate remained low.
BoursoBank has once again confirmed its leading position in France in terms of client satisfaction with an NPS (Net Promoter Score) of +5410. The online bank is also ranked as the best digital bank in France11.
Average loan outstandings rose by +7.3% compared with Q1 24 to EUR 16 billion in Q1 25.
Average outstanding savings, including deposits and financial savings, totalled EUR 67 billion, an increase of +15.5% vs. Q1 24. Deposits outstanding totalled EUR 41 billion in Q1 25, posting another sharp increase of +16.3% vs. Q1 24. Average life insurance outstandings, at EUR 13 billion in Q1 25, rose by +8.9% vs. Q1 24 (of which 49.2% in unit-linked products). This activity continued to register strong gross inflows over the quarter (+24.6% vs. Q1 24, 57% in unit-linked products). The brokerage activity recorded more than 3 million transactions in Q1 25, a record quarter with an increase of +48.4%
vs. Q1 24.
Net banking income
In Q1 25, revenues came to EUR 2,299 million (including PEL/CEL provision), up +14.1% vs. Q1 24. Net interest income grew by +28.4% vs. Q1 24 and was broadly stable excluding asset disposals and the impact of short-term hedges in Q1 24. Fee income rose by +3.7% relative to Q1 24.
Operating expenses
Operating expenses came to EUR 1,566 million for the quarter, including around EUR 23 million euros of transformation charges, down -9.4% vs. Q1 24. The cost-to-income ratio stood at 68.1% in Q1 25, an improvement of 17.6 percentage points vs. Q1 24.
Cost of risk
In Q1 25, the cost of risk amounted to EUR 171 million, or 29 basis points, which was higher than in Q4 24 (20 basis points).
Group net Income
Group net income totalled EUR 421 million for the quarter. RONE stood at 9.5% in Q1 25.
- GLOBAL BANKING AND INVESTOR SOLUTIONS
| In EUR m | Q1 25 | Q1 24 | Change | |
| Net banking income | 2,896 | 2,631 | +10.0% | +8.8%* |
| Operating expenses | (1,755) | (1,757) | -0.1% | -0.6%* |
| Gross operating income | 1,140 | 874 | +30.4% | +27.6%* |
| Net cost of risk | (55) | 20 | n/s | n/s |
| Operating income | 1,085 | 894 | +21.3% | +18.9%* |
| Group net income | 856 | 697 | +22.8% | +19.6%* |
| Cost to income | 60.6% | 66.8% | 0 | +0.0%* |
Net banking income
Global Banking and Investor Solutions reported strong results in Q1 25, with revenues up +10.0% vs. Q1 24 to stand at EUR 2,896 million.
Global Markets and Investor Services recorded solid growth of +10.0% over the quarter compared with Q1 24, at EUR 1,922 million.
Market Activities grew in the first quarter with revenues of EUR 1,759 million, up +10.9% vs. Q1 24 in a volatile market environment.
The Equities business delivered a record performance12 in Q1 25 with revenues of EUR 1,061 million, a sharp increase of +21.8% compared with Q1 24, driven by positive momentum particularly in flow and listed products.
Fixed Income and Currencies were slightly down -2.4% to EUR 698 million in Q1 25, due to lower client activity on rates investment solutions and margin compression in financing activities. Commercial momentum also remained strong in flow activities, particularly for rates and forex products, driven by higher volatility.
In Securities Services, revenues were up +1.4% compared with Q1 24 at EUR 163 million and overall stable (-0.2%) excluding participation. The level of fees is good in comparison to a high Q1 24, notably thanks to a strong commercial performance in fund distribution. Assets under Custody and Assets under Administration amounted to EUR 5,194 billion and EUR 637 billion, respectively.
Revenues for the Financing and Advisory business totalled EUR 973 million, a sharp increase of +10.0% vs. Q1 24.
Global Banking & Advisory posted significant revenues, up +10.5% compared with Q1 24, driven by buoyant activity in asset finance. Asset-Backed Products are steady despite less conducive market conditions compared to Q1 24. Furthermore, the performance was resilient in Mergers and Acquisitions (M&A) and Debt Capital Markets (DCM).
Global Transaction & Payment Services once again delivered a strong performance compared with Q1 24, with a sharp increase in revenues of +8.7%, notably due to higher payment volumes with institutional clients and good commercial performance on the corporate franchise.
Operating expenses
Operating expenses came to EUR 1,755 million for the quarter and included around EUR 12 million in transformation charges. These are stable relative to Q1 24. The cost-to-income ratio stood at 60.6% in Q1 25.
Cost of risk
Over the quarter, the cost of risk was EUR 55 million, or 13 basis points vs. -5 basis points in Q1 24.
Group net Income
Group net income increased by +22.8% vs. Q1 24 to EUR 856 million.
Global Banking and Investor Solutions reported a strong RONE of 18.7% for the quarter.
- MOBILITY, INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES
| In EURm | Q1 25 |
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