Crédit Agricole reported first-quarter 2025 results on Wednesday that were in line with analysts' expectations, despite the impact of an exceptional corporate tax surtax.
The French lender, the country's second-largest by market capitalization, posted group net income down 4.2% year-on-year at €1.82 billion, closely matching the analyst consensus compiled by the group at €1.86 billion.
Net banking income (NBI) rose 6.6% year-on-year to a record €7.26 billion, also in line with the analyst consensus of €7.12 billion.
Crédit Agricole SA stated that its tax expense rose by 35.5% year-on-year to €827 million, citing a €123 million cost in the first quarter from the exceptional corporate tax surtax adopted in the 2025 draft finance bill, with a total estimated cost of €200 million for 2025.
The NBI from the corporate and investment banking division climbed 7.3% year-on-year to a record €1.89 billion, while group net income for the segment fell 0.5% to €648 million, weighed down by the exceptional tax as well as a 7.5% increase in operating expenses to €992 million.
Overall, the NBI for the large clients division rose 6.3% to €2.41 billion, with group net income stable at €723 million.
The asset management and insurance division reported a 15% year-on-year increase in NBI to €2.06 billion, with pre-tax income up 8.2% to €1.14 billion. However, group net income for the division declined by 5% to €680 million.
Retail banking in France saw its NBI grow by 1% to €963 million, but net interest margin fell by 1.7%. Ultimately, group net income for the segment dropped 25.6% year-on-year to €129 million, weighed down by the exceptional surtax.
(Written by Bertrand De Meyer, with Mathieu Rosemain; edited by Kate Entringer)
