Sovcombank Plans Profit Growth in 2025 Above the 77 Billion Rouble Result of 2024

MOSCOW, March 14, 2025 — Sovcombank, one of Russia's largest private banks, plans to increase its profit in 2025 above the 77 billion roubles recorded in 2024, managing director Andrei Osnos said during a conference call reported by Interfax. Management expects this year's earnings to exceed last year's result whatever the market backdrop, while keeping loan portfolio growth within 10% and the cost of risk close to the 2024 level.

Profit above the 2024 level in any scenario

Under IFRS, Sovcombank's net profit in 2024 declined 19% year on year to 77 billion roubles, compared with 95 billion roubles in 2023, the bank's results show. That figure is the baseline management intends to beat in the current year.

"On the whole, whatever happens, we expect a growth in our profit compared to last year," Osnos told participants of the conference call. He stressed that the bank's guidance for 2025 is built around profit growth rather than a specific numerical target, because the macroeconomic backdrop at the start of the year remains volatile.

Key rate and margins: what the 2025 result depends on

According to the managing director, three main factors will determine this year's earnings: the trajectory of the Bank of Russia's key rate, the cost of funding, and the situation in the securities market. At the time of the call the key rate stood at 21%.

"We expect profit to be somewhat higher this year than last year, but right now is only the start of the year and there are lots of uncertainties. Nobody knows what the rate will be in the middle of the year or at the end," Osnos said.

The bank's logic is straightforward: if the economic situation proves favourable and the key rate begins to decline, Sovcombank's margins will improve, which gives reason to believe profit in 2025 could be higher than in 2024.

Risk discipline held in place

Sovcombank does not expect the cost of risk to increase significantly in 2025. In 2024 this indicator stood at 2.6%, Osnos said, and management sees no preconditions for a material deterioration of portfolio quality in the current year.

Key facts of the announcement

• Net profit in 2024 under IFRS: 77 billion roubles, down 19% from 95 billion roubles in 2023.
• Guidance for 2025: profit above the 2024 level in any market scenario.
• Bank of Russia key rate at the time of the conference call: 21%.
• Cost of risk: 2.6% in 2024; no significant increase expected in 2025.
• Loan portfolio growth in 2025: within 10%.
• Main drivers of the result: key rate dynamics, cost of funding, securities market conditions.

Company and contacts

Sovcombank — one of Russia's largest private banks; the 2025 outlook and the 2024 IFRS results were presented by management during a conference call reported by Interfax.

Contacts: statements of Andrei Osnos, managing director of Sovcombank, made at the conference call of March 14, 2025 cited in the Interfax report.

Website: https://sovcombank.ru/